Industry
Public & Social Sector
Social Sector
Company Profile
- National hospitality organization
- Not-for-profit status
- More than 2 million members
Situation and Objectives
- Number of visits per year started to decline due to demographic changes and increasing competition from private, price-focused providers
- Comparison portals and social networks increased price transparency
- Planning security of our client was reduced by seasonal, cyclical and other fluctuations
- Stabilize revenues in the mid- and long-term through successful price management
Approach
- Identified growth areas for existing and new target groups
- Validated strategy for future strategic positioning
- Measured willingness to pay of customer segments and incorporated findings in new offer packages and prices
- Improved price and value communication via better presentation of the offer (e.g., debundled offers, all-in rates) that convey the best (price) image and ensure favorable comparison vs competitors
Three steps to stabilizing income
Results
- Full understanding of (current and potential) customer segments and their requirements
- Clear view on competitors' offer and pricing
- Guidelines and training to generate and price bundles
- Price driver model for structured pricing; price calculation tool
- Improved price and value communication
Impact
- Increased visits and profits beyond customer’s best case expectations
- Optimized price processes transferable to regional associations
