Case study on Rancho Las Palmas

Executive Summary:

This Marketing Report is based on the Rancho Las Palmas Hotel in Palm Springs. The Marriott Hotel group had joined forces with the Sunrise Corporation to develop the hotel in 1979.

The report considers the factors influencing the demand for hotel rooms in the Palm Springs area. It also looks at the difference in the mix of demand through the seasons. The winter season is the peak season with summer being the quiter season.

Rancho Las Palmas performance in the first year of opening is evaluated from various perspectives including the occupancy rates, the revenue generated and the costs incurred.

The positioning of the hotel is considered and the options of 4 versus 5 stars is discussed. The question of whether to remain open in the quiet summer months is also considered. The recommendation is for the hotel to remain 4 stars and to stay open for the summer months.

A marketing strategy is then proposed based on the aforementioned recommendation. The mark...