Lesson 4: Think Long Term

Week 11: Customer Lifetime Value and Rosewood Hotels

Does your company explicitly know the value of its customers? The company I work for in changing efforts in order to understand what the customer wants then we able to value and adapt to them.
If not could your company utilize CLV? The company customer are very defined then the calculations on how many years it will take to start making profits will be useful.
What are some of the practical issues of implementing the use of CLV in a firm? Data collection and leadership shor-term goals could jeopardize a company long tern CLV
What are the major issues in the Rosewood Case? Individual property branding, competition in luxury hotel segment is intense. only 5% of Rosewood quests had stayed in more than one of Rosewood's properties.
What recommendations do you have for the management of Rosewood. Rewards program providing the following benefits: room upgrades, flexible check-in and check-out, personalized services, expedited registration, the freedom to request an specific room. Invest on creating a worldwide brand.
Which Rosewood property would you like to visit? Personally, I would love to visit The Mansion on Turtle Creek and Little Dix Bay in British Islands.

The tool below is used to calculate Customer Lifetime Value which helps marketing people to help drive customer behavior in the long term

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