Crm Analysis Canyon Ranch

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Executive Summary
Canyon Ranch is the gold standard in destination spas and enjoys commanding rates that are much higher than other destination spas, but there are signs of increasing competition. Day spas are aligning themselves with medical professional and offered services in nutrition, homeopathy, physical therapy and general medical practice. Also some hospitals were starting to provide spa treatments and wellness centers with nutritionists. Canyon Ranch is now faced with questions as to how to grow the business while maintaining the fundamental characteristics of Canyon Ranch. From an IT standpoint, Canyon Ranch has basic systems for the business to function although they are not very efficient. The CLS based system is used to record transactional data while customer preferences, support incident, rapid response etc. used Guestware. Guestware is not integrated well with CLS. The program coordinator, who remained as the contact person for the quest through their stay, did not always have all of the info ahead of time. There is no POS software in the restaurant or the salon, robbing the Ranch of an opportunity to compile and track sales data. Canyon Ranch’s each business unit is intent on improving the level of customer service and personalization. Berkshire is at the forefront of this trend. Some tough questions face the management like should Canyon Ranch develop customer relationship management strategy to maintain the position as a preeminent destination spa. What should Canyon Ranch do with vast amount of data collected during customer experience? Company Background

Canyon Ranch is a Health Resort and Spa that was started by Enid and Mel Zuckerman in 1979. The idea was to provide an environment where people would be inspired and motivated to transform their healthiest thoughts into action. In order to further this goal of providing a healthy environment, Canyon Ranch has kept almost all IT functions away from the guests. Unfortunately, this disconnect from the technology hasn't been limited to the guests. Canyon Ranch should be pursuing new clients using statistics mined from its thousands of visitors but lacks the technology to do so. The program coordinators are not always given information they need to assist guests and the company’s restaurants and shops have no POS system, giving them no way to track sales.

Situational Analysis
Canyon Ranch’s strategic vision was to provide an environment where people would be inspired and motivated to transform their healthiest thoughts into action. In order to further this goal of providing a healthy environment, Canyon Ranch has kept almost all IT functions away from the guests. Unfortunately, this disconnect from the technology hasn't been limited to the guests. Canyon Ranch should be pursuing new clients using statistics mined from its thousands of visitors but lacks the technology to do so. The program coordinators are not always given information they need to assist guests and the companies’ restaurants and shops have no POS system, giving them no way to track sales. Given that the Spa industry was flourishing in U.S., which was seen as a threat to CR, as several other companies had begun attacking it directly, so much so that companies tried to invade on CRs uniqueness but as authors have mentioned CR being coined as the gold standard of the industry, and it is essentially its Health and Healing department that set it apart from all other competitors. There was no doubt that the prosperity of this industry did affect CR, such that it made it difficult for them to compare and analyze their competitors. Although known for its high standard services and facilities, competition and alterations to the industry necessitated/demanded CR to revamp its marketing and their IT strategy.

Current Strategy
Strategic-goals of CR were based on its structure, culture and environment: * CRs strategic goals emphasized on acquiring and fostering innovative...
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