As a result, the failure of the new branding strategy would be really costly. An excellent reputation among gusts associated with a higher level of brand recognition would lead to a positive brand awareness, more consumers would value Rosewood as a luxury brand that provides high quality service.
If the new strategy fail, Rosewood would lose a lot of money and portion of their original customer. When guests were seeking a Rosewood property experience and product, more and more guests were identifying other strong hotel brands, which usually were the competitors of the Rosewood hotel.
Given the above risks, it is imperative that if the new strategy proves to be financially beneficial and is implemented, that the same level of guest service and customer experience be preserved. While it is true that the proposed new corporate branding would increase brand awareness, sales revenue, the number of properties visited by each guest and cross-selling potential, the risks must also be examined.
Should it adopt new management program and change its marketing strategy?
Unlike other chain-like luxury hotels, Rosewood hotels have the flexibility to capture different local culture, which makes each of its hotel unique.