This presentation was prepared during the Marketing Internship of Prof Sameer Mathur, IIM Lucknow.

1. “Where Happiness means the World.”

2. Target Market
“And Happiness follows you around the World.”

3. 1950 2015
Founded
1.5 million customers
72 resorts
30 countries
2004
Repositioning

4. 1955 – First bungalows in Tahiti
1956 – First mountain holiday in Switzerland
1965 - First Permanent Village
1967 – First mini club for children
1989 – First Village on Water
Initial Days
Club Med 2 is a 5-
masted cruise ship
started in 1996.
Sense of freedom through
nature & sports
Reconcile individual
liberty and social life.
Freedom & Equality.

5. Call For A Change
• 1980-90
• 1993
• 2001
• Decline of the
attractiveness of the
concept of holiday
homes.
• Economic crisis of
Gulf War.
• 9/11 Attacks.
Factors
The company under went a huge loss.
The company’s strategy was unclear –
neither a VOLUME nor a VALUE strategy.

6. NOW WHAT

7. Redirect to a ‘VALUE’ strategy.
Innovative “all-inclusive” premium packages.
Target Market changed to international
clientele seeking comfort , elegance , service.
Removal of 2 trident villages.
Renovation of 4 trident to 5 trident villages.
Creation of a new range of luxury 5 trident.

8. • High range of services and an
extension of the a la carte
services.
• Clubs offer a spa in partnership
with a famous brand.
• Shows designed by specialized
companies in the resort.
• Clubs for children have dedicated
spaces with an emphasis on nature
and local culture.
• Sports Schools offer 10 different
disciplines with qualified coaches
and quality equipment.

9. "The important thing in life is to be happy, the
place is here, the time is now."

10. MARKET SEGMENTATION

11. • Tailor-made marketing
• One Brand , One Positioning
• Marketing execution in two layers:
1. showing image of friendly upscale holiday
to appeal most.
2. providing attention & choice.
• High level pricing
to convey an image of prestige, quality, and
exclusivity.
• Campaign in 47 countries in 22 languages.

13. Interactive Marketing
Service Marketing
Customer-Staff relation at its’ peak.

14. • Core product
• Developing relationship with the
customer.
• Personalized marketing
• Staff Management to pilot change.
• Fast and timely using technologies.

15. Reliability
Assurance
Responsiveness
Empathy
Tangible
CUSTOMER CARE

16. WAS IT

17. • To create points of
difference with competitors
to a luxurious consumer.
• Club Med’s concept now is
the standard to follow.
• Helped in effective market
segmentation and to serve
effectively to the segment.

18. • Price Skimming on well-selling far
away holidays.
• Price Penetration on growing exotic
destinations.
• Price Discrimination on high-season
departures.
• Price Customization for frequent
traveller / high value targets.
• Price elasticity is low, Club Med only
targets the high income segments.

19. RISKS
• Economic Recession
• High Pricing
• Absence in Asia & Far East
• Competition in each particular
range level.
• Maintenance of employee
standard.

20. Strengths
International Branding
Effective Market Segmentation
Loyal User Base
All-Inclusive Packages
Innovative Marketing
High Quality Service
Opportunities
Internet
Low-cost Companies
Shift in Mentality
Sustainable Tourism
Weakness
High Costing
Drop in Investments
Prone to loss during recession
Threats
Peace & Stability of countries
Natural Catastrophe
Economic Crisis

21. Created By Rajit Bhattacharya of
Jadavpur University during the
marketing internship under Prof
Sameer Mathur , IIM Lucknow.