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Banyan Tree has five Cassia projects in development in Phuket (Thailand), Bintan (Indonesia), Beruwala (Sri Lanka), Gold Coast (Australia) and Lijiang (China). A further seven Cassia projects are planned in New York (USA), Brisbane (Australia), Japan, Seychelles, Chiang Mai and Bangkok (Thailand) and Lang Co (Vietnam). These measures not only allow Banyan Tree to increase its awareness in new markets and gain international momentum, but also create a strong platform for a portfolio of sub-brands that can be a source of long-term revenue generation.Globalization of the Banyan Tree brand portfolioThe future strategy of the Banyan Tree Group is described as “to string a necklace ofresorts around the world”. It’s not about being everywhere, but having a presence in chosen places. “It is not about quantity but building quality jewels that form a chain”, according to executive chairman Ho Kwon Ping. The company plans to expand the brand across new regions to create a truly global brand. Banyan Tree also has
extensive plans for China, which is expected to be a huge growth market due to booming domestic travel patterns and rising new affluent consumer groups seeking status and luxury experiences as well as the enormous inbound tourism market.The company focuses on growing the business through new management agreements and selective hotel and resort investment. With its vertically integrated business model, it takes development from greenfield to completion through wholly owned subsidiaries Architrave (design), GPS (project management) and Banyan Tree Hotels & Resorts (management).The international strategy is also part of having more diverse revenue streams from separate regions and markets of the world. The leisure industry is volatile and Banyan Tree is hedging against unexpected events and cyclical economies by having hotel resorts in different locations.Banyan Tree will continue to provide its unique blend of romance, rejuvenation and sensuality in multiple destinations across the globe as the lifestyle hospitality group expands further into the Middle East, Central America, Europe and Africa.The future Banyan Tree brand and business challengesDistinctively Asian versus developing a global image:As Banyan Tree has already expanded way beyond Asia where it started, the company faces the typical dilemma of any Asian brand to find a balance between being distinctively Asian and developing a more globally-oriented image. Though the entire brand is based on the unique Asian touch and cultural heritage, Banyan Tree has to constantly evaluate its relevance and sustainability carefully as it enters new territories. Generally, the Asian touch and feel that Banyan Tree provides to its customers is deemed both exotic and distinct in their properties outside Asia.