3. Overview
Industry Standing of Alegre Hotel
• Third largest hotel group in Latin America
• 206 popular, high end properties in cities and resort towns from
Caribbean to Argentina
• Located in 21 countries
• Various Properties – City, Beach, Golf, Mountain
Points of Difference
• Highly Decentralized
• Each hotel retains its own identity, own profit and loss
• Handled its own relationship with key intermediaries
• Risk Hedging: one failing hotel does not bring the entire house down
• Autonomous
• Diverse portfolio of lodging
• Unfavorable economic trend
4. Overview
Problem at Hand
• Small corporate marketing budget
• Lower performing hotels asking for corporate funding
• High performing managers want equality
5. Challenges
• Poor Performance
• Alegre’s latest flagship luxury hotel in Palma clay is floundering
• Many of their hotels are having a hard time filling up their rooms
• Non existent Brand Loyalty
• Alegre has no brand value or name recognition
• No programs to build consumer loyalty
• Lack of Communication
• No central form of communication between hotels and managers
• Lack of information or best practices sharing
• Build cohesion between hotels and managers
6. SWOT
S W
O T
1. Personalized Service
2. Adapted to local environment
3. Flexibility of staff to suit
4. operation as per
circumstances
1. No common guidelines
2. No global advertisement
3. No selling at global scale
4. No sharing of database
5. Lack of Information security
1. Build a reputation
2. Provide links for customers
3. Build Brand loyalty
1. Losing the managers
8. A Unified Campaign for Alegre
Many people in the company feared that no one-size-fits-all
campaign could possibly meet the needs and individual
personality of every property, so we chose a tagline for a regional
communications campaign that highlights the diversity of our
offerings:
“More than you can imagine.”
The tagline could be used on the corporate website and in
brochures, directories, and a promotional video
9. “More than you can imagine.”
PALMA CLAY ONLY
Individual Hotels
(Complete bottom – up)
Umbrella Brand Only
(Complete top –down)
Umbrella Brand Only
(Complete top –down)
Create a uniform Alegre brand
image that meshes with the local
flair of individual hotels, while
simultaneously increasing brand
awareness and customer loyalty
through reinforced partnerships
with intermediaries and rewards
program.
11. Company Wide Implementation
Introduce Alegre sub brands
Feature unique local experiences
Introduce loyalty programmes
Corporate Website
Hotel Locator
Social Media
Travel Agencies
Booking sites
Local Businesses
Airline Magazines
Travel Magazines
12. Local Implementation
All hotels
• Continue to emphasize the distinct
personalities of each hotels
• Retain individual unique identity,
but include the Alegre name
• Check-in provides complimentary
Loyalty Program registration
and Alegre brochures
• Have an Alegre locations board in
the lobby
13. Local Implementation
Individual Hotels
• Adapt the framework and drive local promotional and
advertising decisions
• Work with intermediaries to boost awareness around Alegre
and its benefits
• Diversity of offerings, unique hotel experience, loyalty
programs, and promotions
14. Metrics of Success
• Click-through rates from travel websites to various Alegre
group websites
• Click-through rates from one Alegre chain to another Alegre
chain Booking rates
• Cross-Booking rates
• Survey on travel websites and in hotel rooms of brand
awareness & recognition
• Reward points for Loyalty Program Holders
• Special reward points of Loyalty Program Holders that visit
more than 1 hotel
• Turn-around rate of consumers compared to that of the past.
16. Basis for: Advertising Alegrein Categories
• Alegre
Long term company interest
(all alegre hotels suffering)
Umbrella brand can provide
halo effect to sub – brands,
building reputation of Alegre
entire portfolio
Consistency in
expectation,standards
& association for each alegre
hotel
• Categories
Wants to boost booking for each
hotel
More affordable than advertising
each hotel seperately
Considers differences between
hotels, leaves flexible room for
individualized
17. Basis for: Alegre Loyalty Program
•Conative campaign so potential customers can first experience,
then appreciate features, then develop affinity/loyalty
•Build up demand out of season by encouraging bookings
outside of peak vacation times
•Benefit all Alegre hotels by cross-selling hotels and increasing
customer loyalty in all 21 countries
•Price promotions can’t be universally applied across each hotel’s
different target customers
19. Bottom Up with Palma Cay
Approach:
•Build a campaign for Palma Cay first as a test ground, containing
messages relevant to other Alegre hotels
Pro: -
•Trail to gauge –
•Opportunity to test and refine current Alegre messaging
•Flagship hotel helps regain revenue quickly
Con: -
•Resistance from other managers
•Success may not trickle down due to lack of cohesion among Alegre
Hotels –
•What works for Palma Cay might not work for others
20. Individualized Marketing
Campaign
Approach:
• Provide financial fund for individualized marketing campaigns
catering to different needs and situations by different hotels in
different regions
Pro: -
• Alegre may not be ready for a company-wide campaign
• Maintain decentralized structure, emphasizing ‘local approach’ just
as the directors wanted
Con: -
• Marketing budget shortage
• Cannot reinforce the brand image of the Alegre Hotel
• Hard to oversee the progress and operation on the administrative
leve
21. Complete Top-Down
Approach:
• Build a unified campaign with the same practices and standards for
every Alegre hotel in the portfolio
Pro: -
• Opportunity to build the reputation of Alegre as a chain
• Can cross-sell hotels in all 21 countries
Con: -
• Difficult to build a uniform brand image for all the hotels in the
portfolio considering the diversity among the hotels
• Deprive hotel managers who enjoy the autonomy and flexibility of
the incentive to stay in their jobs
