Starwood announced the launch of a new guest loyalty program called Starwood in February 1999 that included over 550 participating hotels worldwide with no blackout dates, capacity controls, paperless rewards, and hotel reimbursement. The program's manager, Diskin, faced the dilemma of whether to directly compete with other loyalty programs point-for-point or take a different strategic positioning. Key strategic issues included growing the limited network size and standardizing the program while recognizing profitable and loyal customers to drive branding.
Starwood announced the launch of a new guest loyalty program called Starwood in February 1999 that included over 550 participating hotels worldwide with no blackout dates, capacity controls, paperless rewards, and hotel reimbursement. The program's manager, Diskin, faced the dilemma of whether to directly compete with other loyalty programs point-for-point or take a different strategic positioning. Key strategic issues included growing the limited network size and standardizing the program while recognizing profitable and loyal customers to drive branding.
Starwood announced the launch of a new guest loyalty program called Starwood in February 1999 that included over 550 participating hotels worldwide with no blackout dates, capacity controls, paperless rewards, and hotel reimbursement. The program's manager, Diskin, faced the dilemma of whether to directly compete with other loyalty programs point-for-point or take a different strategic positioning. Key strategic issues included growing the limited network size and standardizing the program while recognizing profitable and loyal customers to drive branding.
• The wall street journal of Feb2, 1999 announced the
birth of Starwood guest program • It included more than 550 participating properties worldwide • Four features were • No blackout dates • No Capacity Control $50 ad camapaign • Paperless Reward • Hotel Reimbursement Diskins Dilemma • Do we have to compete point from point • Do we have to take a different positioning • Do we have to hold on to loyal members and differentiate honors from starwood and other competitors Strategic Issues • Limited Network Size and Distribution • Standardization • How to recognize profitable and loyal customers • Branding