PRESENTATIONON BANYAN TREE: BRANDING THE INTANGIBLE Prepared by: Serina Rajkarnikar BBA 4th year 2nd semester INTRODUCTION Banyan tree Established Founded in 1994 by Ho Kwon Ping and his wife Claire Chiang Spent 15 years managing family business – low cost – factory closed down in Indonesia Realized Decided low cost strategy – difficult to follow – leads nowhere to build strong brand – maintain competitive advantage . Idea of luxury resort – gap in hotel industry Market segment – private and intimate accommodation Amanpuri – US$650 to over US$7000 Shangri-La hotel & Hilton – below US$350 Ho saw potential for offering an innovative niche product – could bridge the price gap in this market Banyan tree phuket .success – built 2 other resorts Indonesia Maldives . . reflect and enhance culture and heritage of the destination individual villas private Jacuzzi spa pool treatment room Example: dinner on a traditional Thai long tail boat wedding packages “Intimate Moments” package .SERVICE OFFERING “a sense of place” . carried out for a short period of time .marketed as intimate private moments . extensive advertising .MARKETING Tagline “Sanctuary for the Senses” “Banyan Tree Experiences” .to gain recognition in the industry.unforgettable memories. . Initially. Minimal advertising .high-end travel magazines in key markets. car rental reservations across 640. .BRAND AWARENESS public relation relationships with travel editors and writers were cultivated to encourage visits to the resorts. hotel. global marketing programs Global Distribution System .000 terminals of travel agents and other distribution partners around the world.used by travel providers .to process airline. WHAT EFFECT DOES THE PRACTICE OF CORPORATE SOCIAL RESPONSIBILITY HAVE ON BRAND EQUITY? Company’s socially responsible business values and practices caring for the social and natural environments. . and promote the natural and human environments in which Banyan Tree resorts were located. . Company worked actively to preserve. protect.identify with and support as part of their own life values. CSR committee formed to focus on issues with both a regional overview and local perspectives.BUILDIND THE BRAND ON VALUES revitalizing local communities employees and customers . Preserving the environment Resorts were built using local materials Villas were built on stilts and platforms to avoid cutting trees and possible soil erosion Fresh water supply was obtained by method of desalination Toiletries. . such as: shampoo hair conditioner bath foam body lotion provided in the resorts were non-toxic and biodegradable. and filled in reusable containers made from celadon or ceramic Waste water was treated and recycled in the irrigation of resort landscapes. the galleries did not carry products made from shell or ivory • planted 28.• Employment opportunities .321 trees and 20.000 fruit trees .Banyan Tree Gallery – a source of income preserve unique heritage • Use of eco-friendly and recycled materials Example: photo frames made up of discarded telephone directories • Animal rights . • Invited for coral transplantation program • offered free marine biology sessions allowing them to learn more about the fascinating marine life and its conservation. . Involving guests in environmental conservation • Environmental awareness .involved interested guaests in the research and environmental preservation work. restoration of coral reefs longevity of local village crafts . Guest’s contribution: construction of new schools for the local community. Involving the local community engaging local craftsmen to produce indigenous art and handicrafts for sale at its galleries local community was involved in various aspects of its business such as: building the resorts constructed with as much indigenous material as possible .supplied by local traders traditional arts and handicrafts that complemented the villas’ aesthetics purchased from local artisans building profitable resorts that would benefit the surrounding environment and contribute to local economies through the creation of employment and community development projects. . The Banyan Tree Maldives Marine Laboratory conservation efforts to protect and regenerate coral and marine life for the future of the tourism industry as well as to promote awareness and education of this field to the local community. funding scholarships for needy children a school and childcare centre built lunches and parties for the elderly hosted local cultural and religious activities supported Seedlings . CONCLUSION Leading player in the luxury resort and spa market in Asia The company is preparing to aggressively grow its global footprint in: The Americas Caribbean Europe The Middle East. while preserving its distinctive Asian identity and strong brand image of Banyan Tree Ultimate vision “to string a necklace of Banyan Tree Resorts around the world. but a number of jewels that form a chain around the world. not quantity.” . RECOMMENDATION Establishment of its resorts in developing countries – employment opportunities for local people – development of that particular area. .