Charttrapat Hirunsiri

ID 109522
Banyan Tree case
Question 1: What are the main factors that contributed to Banyan Tree’s
success?
- Good target market selection, the target market consists of multi-segment client.
The company provide many strategies and product as attractive and appropriate to
each segment, for example, Banyan Tree Hotel and Resort, Angsana Resort and
Spa, Colours of Angsana, and Allamanda.
- Strong points of difference, Banyan Tree has the differentiate strategy to make its
own products and services distinctively with the high service standard that
determined in term of customers satisfaction from employees. Many services offer
to guests’ exclusivity and utmost privacy which comprised individual villas.
Moreover The company can fulfill the price gap in the luxury hotel markets by
positioning in the middle of the market.
- Effective marketing strategy, Banyan Tree promoting their product through mass
international media within the first few years after the launch of the brand. After
the brand is being recognized, they invite travel editors and writers who could
potentially increase editorial coverage on Banyan Tree to use the service. This can
make “Banyan Tree Experiences” distribute to people by word of mouth and it is
more effective. It is also make brand awareness and brand value that generated
largely through public relations and global marketing programs.

Question 2: Evaluate Banyan Tree’s brand positioning and communications

strategies. Can Banyan Tree maintain its unique positioning in an increasingly
overcrowded resorts market?
Brand positioning and communications strategies:
Banyan Tree is a strong brand positioning. The company’s positioning as a
sanctuary for romance and intimacy rather than luxurious accommodation as
promoted by most competitors with the concept of providing “a sense of place”.
Banyan Tree launches mass advertising internationally to capture all possible
potential markets in order to introduce the brand faster and more effective to the
market. After that, the company decrease advertising and keeps it minimal. Banyan
Tree instead relies more on public relations; by using third-party perspectives (travel
editors and columnists) to spread both editorial travel coverage and positive word of
mouth.

Can Banyan Tree maintain its unique positioning in an increasingly

overcrowded resorts market:
Yes, I think Banyan Tree can maintain its unique positioning in increasingly
overcrowded resort market competitors. In condition Banyan tree has to
continue developing competitive strategies in order to increase unique
positioning.