Canyon Ranch Essay Example
Canyon Ranch Essay Example

Canyon Ranch Essay Example

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Canyon Ranch, a health resort organization, seeks to inspire and motivate individuals to prioritize their health. The company takes pride in its ability to positively impact people's lives, both during their stay and beyond. Enid and Mel Zuckerman founded Canyon Ranch as a place for individuals to unwind, have fun, and uncover the potential for a happier, healthier life.

Keeping with its mission of providing a relaxing, high quality, and healthy organizational structure, Canyon Ranch is structured into three revenue-generating departments: Health and Healing, Hotel, and Spa. These departments are located in multiple locations throughout the United States (Applegate ; Piccoli, 2004). The Health and Healing department is the most popular venue; however, due to high commissions paid to employees in this department, it is not as profitable as the Hotel and Spa.

Although Canyon Ranch is renowned for its extensive range of amenities, such


as sports and fitness, therapeutic body work and massage, skin care and salon, metaphysical services, medical services, and nutritional services (Applegate ; Piccoli, 2004), it has been slow in implementing measures to enhance its overall business framework. Despite facing increasing competition, Canyon Ranch remains a benchmark for luxury services and features.

Canyon Ranch has been hesitant to adopt and invest in a centralized information technology system. The organization fears that this move may lead to a depersonalized and dehumanizing experience for customers, contradicting its mission and philosophy. However, not fully embracing the benefits of information technology, along with enhancing their marketing and advertising efforts, could potentially alter their esteemed gold standard.

Should Canyon Ranch in Berkshires establish a distinct customer relationship management strategy and make it a fundamental aspect of its reputation as

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an exceptional destination spa? If so, what should this undertaking entail? Indeed, Canyon Ranch in Berkshires should unquestionably formulate a coherent customer relationship management strategy. A major issue with Canyon Ranch is the excessive hurdles customers must overcome prior to arriving at the spa. For example, customers are required to directly contact Canyon Ranch in order to secure a reservation.

In order to provide details about their goals during their stay, the customer must call a 1-800 number three weeks before arriving at their preferred destination. However, upon arrival at Canyon Ranch, there is a chance that the customer's information was not coded correctly, resulting in their desired services not being available. This can lead to frustration and disappointment for the client and make the program coordinator's job more challenging as they have to address the glitches and satisfy a customer who has invested a significant amount of money in rejuvenation and relaxation.

If upper level management had considered offering more comprehensive training on the advantages of integrating information technology into the company at a quicker rate, Canyon Ranch might have enjoyed a better reputation. The case study also highlights that the main target audience consisted of "47-year-old women with a high income and adult children" (Applegate ; Piccoli, 2004). Canyon Ranch should consider tailoring their services to attract the male demographic and perhaps consider offering family spa vacation packages as well.

Customers can enhance their IT experience by creating their own account on Canyon Ranch's website. This allows them to keep track of personal goals, inspirational lectures, important life events, preferred meals at the restaurant, beauty supply options, and purchases. Canyon Ranch's managers and staff

will have instant access to this information, enabling them to provide the luxurious experience that customers anticipate.

Implementing this could significantly minimize errors, frustration, and dissatisfaction, while allowing the organization to tailor packages for customers and offer discounts to encourage return visits and increased spending. Currently, Canyon Ranch heavily relies on word-of-mouth recommendations and major business collaborations, limiting the number of people who know about their advantageous services.

Canyon Ranch should hire marketing consultants to improve their mass marketing and promotional strategies in a highly competitive era. By enhancing their advertising approach, the company can have better control over the information and images they project. This will provide an opportunity to address inquiries and answer questions, ultimately leading to an improved and positive customer relations experience.

What was the significance of the considerable data produced during the customer experience? Although Canyon Ranch attempted to gather important information, it was managed in an inadequate and ineffective way, leading to confusion, dissatisfaction, and heightened stress levels. These consequences could potentially discourage repeat customers and contribute to high turnover rates among discontented staff members. Additionally, program coordinators were required to memorize multiple codes for scheduling sessions and treatments.

This was an impractical expectation, considering the limited training time available. If Canyon Ranch had a suitable IT system, the codes would already be stored in a database, making it easy for the program coordinator to select options when customers express their desired services. The Canyon Ranch case study states that 55% of customers have visited before and 18% have returned multiple times (Applegate ; Piccoli, 2004).

The decline in the percentage of customers who return more than once and some who return multiple times

may be attributed to the loss of data requested by Canyon Ranch or the unavailability of requested services during a customer's stay. To encourage customers to return and reward frequent visitors, establishing a rewards program would make them feel appreciated for their patronage. When an organization is aware of the popularity of certain services and activities, they should consider hiring more staff to better cater to their guests' desires. It is not possible for a company to thrive solely based on efficiently processed transactions.

If customer concerns are ignored and the customer is not satisfied, it is inevitable that the number of transactions will decrease in the future. As Canyon Ranch possesses the source code to the CLS, it is crucial for them to establish centralized communication channels and ensure that all aspects of the business operate cohesively rather than independently; the company must function as a unified entity. Furthermore, an additional issue is that although this company has been in operation since 1979, any data prior to 1999 is questionable due to the inability to track customer purchases, particularly point of sale (POS) information.

Despite the advent of computers, the business recognizes the importance of maintaining customer files in order to define success as an organization. Failing to safeguard crucial and personal information undermines Canyon Ranch's commitment to providing a relaxing, informative, and healthy environment. By neglecting aspects of customers' lives that they consider highly valuable, the company compromises its philosophy. Could this data have been utilized for prospecting, during the customers' stay, or even after their departure?

Canyon Ranch could utilize the significant data they collect throughout the prospecting, customer's stay, and post-stay stages to their

advantage. By incorporating more advanced technology, they can improve their operational efficiency by eliminating intermediaries who are not directly associated with the resort. To achieve this, Canyon Ranch must integrate their business practices, technological solutions, and data analysis to gain a better understanding of their clientele's preferences. This will ultimately lead to increased profitability for the organization.

Canyon Ranch requires both an interactive website and a video showcasing their excellent services and amenities. This will give customers a visual representation of the activities they can enjoy. An interactive website can feature recommendations and feedback from new and returning clients, focusing on their preferred services among the more than 230 available. Additionally, Canyon Ranch's interactive website should include any questionnaires that the company wishes to utilize for tracking customer goals, concerns, and experiences.

This information can be quickly added to the customer's file for instant access by managers and customers. Additionally, the website should include a digital calendar displaying peak and non-peak seasons. This will help customers avoid large crowds and allow them to plan their visits accordingly. It should also list all available services with their prices and time slot availability. This will prevent customers from being put on a waiting list for popular services and ensure that the resort has sufficient staff to accommodate their needs.

This information can offer immediate feedback to managers for hiring staff and managing inventory control. By knowing in advance what customers prefer, managers can have products readily available for purchase. Resorts can also instantly track customer concerns/satisfaction by knowing who is booked for appointments, when and for how long, and with whom. This helps address any issues that may arise and

requires management attention.

The primary concern is the dissatisfaction of not fully enjoying a lavish vacation even after saving money. To maintain its position as the top spa compared to competitors, Canyon Ranch must think creatively and utilize technology. In this era of advanced technology, it is crucial to integrate efficient and easily accessible software and databases that can effectively communicate with one another.

In order to maintain its reputation based on word-of-mouth, it is crucial for this company to guarantee that every customer departs with a remarkable experience. To accomplish this, Canyon Ranch can depend on a mobile/tablet app to collect data from both new and returning customers. By doing so, the company can not only decrease the amount of paper mess but also mitigate the possibility of misplacing significant requests and information. The feedback gathered through the app can be instantly transmitted to the Information Technology department, enabling efficient categorization and dissemination of essential data to the appropriate departments.

In summary, it is suggested that a feedback panel be implemented biannually at the destination spa. This panel would provide participating customers with a complimentary service of their choosing on their next visit. The main objective of this panel is to ensure that any concerns or issues raised by customers are acknowledged and resolved. This initiative aims to enhance operational efficiency and attain optimal customer satisfaction levels (Applegate, Austin, & McFarlan, 2008; Applegate & Piccoli, 2004).

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