DFW Hotel & Casino is a start-up resort that will offer gambling, restaurants, accommodations, and live entertainment to North Texas residents and out-of-state visitors. The casino market in Texas has been underserved due to prohibitive legal regulations that are now being relaxed. Presently, most Texas residents choosing to gamble must travel to adjoining states. Up to now, this has been a prosperous situation for business owners in neighboring states at the expense of North Texas entrepreneurs. The DFW Hotel & Casino will enable local investors to capitalize on the enormous gambling market in North Texas, while providing great opportunity for sustainable growth into future periods. Gambling has evolved into a recreational activity and has been successfully integrated with the travel and hospitality sectors in other states. The DFW Hotel & Casino will provide an indigenous entrance into this growing market. The potential to broaden services into related markets in subsequent stages is significant. DFW Hotel & Casino stands to gain a large portion of the North Texas market by developing a desired service that maximizes its appeal to local residents. The targeted market will no longer need to commute three to four hours to neighboring states. The resort Web site will incorporate disintermediation, allowing DFW Hotel & Casino to maximize profit margins, while developing younger tech savvy customers, which will sustain growth going forward. The resort will also sponsor a number of local events to develop good working relationships with local business and community leaders. The target market is currently estimated at 100,000 participants, who will spend approximately $2,400,000.00 annually. The primary target market is older couples with resources to spend and who enjoy travelling. Younger families and singles with an excess of discretionary income will be targeted as a secondary market. The primary competitor in this endeavor will be Choctaw casino in Durant, Oklahoma. Supplemental competition is expected from local theme parks, concert venues, and hotels. Distribution channels will be the experience of the resort service and its employees. DFW Hotel & Casino will allocate marketing resources across a number of communications modes to reach the primary and secondary target markets. Pricing strategy will provide luxury at an affordable price. The payback period is estimated to be three and a half years, based on net revenues projected at $746,970 per year. The goal of the promotion budget and its integrated marketing campaign will be to increase sales by 5% each year over expected sales of $2,400,000 during the base year. This marketing plan will establish DFW Hotel & Casino as viable in the short-term, with growth options for the business long-term.
Product/Service Description, Situation Analysis
DFW Hotel & Casino will be a resort with mystical architecture and lush surroundings. The resort will set upon 50 acres just east of Plano, Texas. Hotel amenities will include: room service; restaurants; casino; lounges and bars; and valet parking. The resort will also include swimming pools; a day spa; and top name entertainment. Many of the residents in the Dallas – Fort Worth area enjoy gambling and vacationing at the resorts located in Oklahoma and Louisiana. The DFW Hotel & Casino will meet the needs of this growing market by combining world class entertainment and “Las Vegas” style casino gambling with the convenience of location here in the Metroplex. Strengths:
• Located within Collin County, the Hotel and Casino will be easily accessible by its target market. • Top name entertainment and a family friendly atmosphere. • Potential market is increasing as more people move to the area.
• New to the industry; need time to develop consistency...