Question
This case analysis assignment uses Rosewood Hotels and Resorts: Branding to Increase Customer Profitability and Lifetime Value from your Harvard Business Publishing CoursePack.Our focus is
This case analysis assignment uses "Rosewood Hotels and Resorts: Branding to Increase Customer Profitability and Lifetime Value" from your Harvard Business Publishing CoursePack.Our focus is on the computation and interpretation of Customer Lifetime Value (CLV).
Your submitted case analysis will be in the form of a Briefing Document for Robert Boulogne, Rosewood's vice president of sales and marketing, supplemented with an Excel file (template provided) containing the actual CLV analysis. Thus, you will submit two files: the Briefing Document and the completed Excel file "Rosewood CLV Analysis."
- A brief, introductory summary of why Rosewood is considering a new branding strategy and why CLV is an important analytic tool to provide input to that decision.
- A non-technical explanation of how the CLV model conceptually works (describe in words how the model estimates CLV for a reader who is unfamiliar with the CLV concept or computations).
- The results of your CLV analysis including (a) the key numerical results and (b) a brief explanation of input data used, explicitly noting which data points are based on management assumptions, as opposed to hard data.
- Discussion of the key input assumption made by management that could have the most impact on reported CLV estimates if that assumption proves incorrect. In other words, what could blow up the CLV results if we get it wrong? Another way to think about this is... What is the factor that introduces the most uncertainty into the CLV model?
- Your recommendation as to how the CLV results should influence the individual vs. corporate branding decision.
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