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Introduction

Banyan Tree: Among the top perfrming organizationr in the luxury resorts and spa market
in Asia.

Issue of Case Study:

Brand extension issues

Niche marketing strategy

Public Relations & Global Marketing Programs

BTHL has 15 resorts and hotels,35 spas and 38 retail shops located in 40 places arond
20 countries.

Creator: Ho Kywon Ping. (banyantree.com 2014)

Current Situation

Banyan Trees success might be attributed to an overall well designed and executed external and
internal marketing program, and in particular:
Choice of target segment
Positioning and branding strategy
Product/service design and delivery
Aggressive internal marketing
Winning the support of local communities and public interest groups
Pioneer status: first mover advantage
Pro-environmental business practices
Brand positioning is timely and appropriate in todays hectic and stressful lifestyles
Focused promotion efforts with minimal wastage( Wirtz 2012).
Unique positioning sustainable?

Unique service experience at Banyan Tree.

Appeal to the senses,

central theme: the romance of travel and the beauty of discovering the world.

Banyan Tree targeted the higher end of the luxury resorts market

Angsana was more mainstream and contemporary, targeting the wider market

The Colours of Angsana range of boutique hotels catered specifically to the soft
adventure tourism segment,

Recommendations

Achieving branding consistency through management by brand

Management of the portfolio by brand would achieve more consistency in branding and
positioning, and also make it easier to cross-sell and bundle products, although such an
arrangement would require duplication in resources for various functions.
In the case of Banyan Tree Holdings, the effect by practicing CSR is positive to theBrand Equity.
From my point of view, since the organizations itself could won so many award, so itshows how
positive and effective the practice of CSR have on Brand Equity.
The dedicated committee of CSR, headed by Claire Chiang who is also the CEO of Banyan Tree
Holdings focus on issues such as:
Actively caring for the natural and human environment
(
e.g.: environment andeco friendly)
Revitalizing local communities
(
e.g.: give job to local communities)
Pride and respect among staffs
(
e.g.: take a good care on staff welfare)
y
Example of positive effect:
o

Give positive image to Banyan Tree Holdings


(
e.g.: well-known 5 star hotel andresorts in the world)
o
Increase Banyan Tree profit of the year and increase customer.
(
e.g.: on the firstquarter 2008, Banyan Tree earns S$90.1 million in cumulative
unrecognizedrevenue at the end of 1Q 2008
AMERICAS
The potential problem is more on the cost to be invested since in America the costof living is higher
than Asia.
How to compete with legendary hotel and other luxury hotel
EUROPE
Same problem with America where it is more to the investment cost and competitors.
MIDDLE EAST
Since Banyan Tree is a leading player in the luxury resort and spa in Asia, matter arising is in
Middle East they cannot bring their tagline marketing as a senses of place to reflect and
enhance the culture and heritage of the destination
This is because in Middle East environment is more to dessert and not same asAsia where the
environment is tropical rainforest or Green
World.
Another problem is the government policies at Middle East is differ to Asia.
From the 3 countries, the most problem could be seen is actually same but what canBTHL do in
order to expand their hotel and resort all over the worlds.
Is the strategy that had brought fame and success to BTHL in Asia workable in the rest of the
world?

How could Banyan Tree mindful in the brands focus and to be careful so that it will notdilute
the brands?
Even though they have to face with all the potential problem but still through researches
donethey still can address those issues and settle down the matter arising.
y
To make sure they can compete with other competitors they need to stay with their brandequity
and CSR to show the quality of their products by observation of all competitors at thecountry.
y
They also need to search result of a study how they could attract customer and to show thattheir
product is best and good.
y
Need to make sure that Banyan Tree marketing tagline is still the main focus and careful not
todilute the brand.
y
Try to differentiate product from the local luxury resort and hotel.
y
Promote something new to the customer so they wont fell regret to come again. Other locations
may not offer the low-cost structure that Banyan Tree is currently familiar with.Therefore how
Banyan Trees strategies could be replicated in other countries where coststructures might be
different alike is goes to 3
rd
country which is need developing. Tropical forests might not be available in temperate
countries, and so the relevance of theBanyan Tree brand in such locations would be lost. A
possibility would be for the company tolaunch a new brand name that would reflect the
temperate settings of such locations should thecompany be interested to venture into temperate
countries. The culture, values, and norms of service staff in other non-Asian countries may be
distinctlydifferent from those of Asian countries. Thus, the compatibility of Asian hospitality in
non-Asian settings is suspect. Further, current services of Banyan Tree are based on Asian
therapies and remedies.
Wouldthese be compatible or appropriate in a non-Asian location, e.g., Europe or America,
withdifferent settings, culture, heritage, and norms?