playa dorada
DESCRIPTION
Playa Daroda case solutionTRANSCRIPT
Playa Dorada Beach & Resort
Playa Dorada Beach & Resort
• PD resort was formed in the early 1990s• Consisted of Housing development and Hotel
property with amenities• Development of resort was done in 6 stages
First units were built in 1993 By 2006, 4 stages were completed and sold out In 2007, 150 villa units were under construction Final stage of 125 villa units
• Main revenue came from the sale of villas
Other Facilities
• 127-unit oceanfront hotel• An Olympic-size swimming pool• An 18-hole golf course• A marina with 112 boat slips• 23 tennis courts• Several food and beverages facilities
Industry Overview
• US lodging industry witnessed remarkable growth during mid 1990s where operating margin increased from 25% to 27.3%
• Amenities along with lodging attracted tourism both domestic and internationally
• The industry moved out of the effect of economic downturn by 2003
• People bought their second homes with various amenities and added facilities so that they don’t have to move out of home
• Also renting of homes to vacationers became a common practice
Vacationers @ Playa Dorada
• Average length of stay at PD ranged between 4 to 26 days with a mean of 9.2 days
• Average stay First time visitors – 7.1 days Repeat visitors – 11.7 days
• Guests engaged in 4.2 activities per day on an average in PD resort
• Main activity First-time visitors – Beach Swimming Repeat Visitors – Golf (29.2%), Tennis (26.6%)
Tennis Play
Pres
ently
hou
ses
23 c
ourt
sFour hard and four clay
courts were built in 1993and updated in 1999
One hard and eight clay courts were developed in
the year 2000
Six clay courts were added in January 2004
Pricing StructureCategory Pricing
Guests $20 per hour for the first 2 hrs. $10 for each additional hrs.
Students(18 and under)
$10 per hour for the first 2 hrs. $5 for each additional hrs.
Tennis Rental $10 per hour
Ball Machine Rental(includes court fee)
$70 per hour
Lighted Courts(for evening play)
$40 per hour
Tennis Plans
4-day Plan7-day Plan
(available at all times except during March and April)
$130$230
Beach Tennis
Har-Tru Court
ClayTech Court
Recommendation
Pricing Modulation
with extended evening hours
per day
New Courts
Innovative Solutions
Increased per court/
per hour
charges
Differential
Pricing
2 Hard Courts to Clay Court Conversion in staggered manner
3 Dunlop Fort Clay Courts
Microsoft Office Excel Worksheet
Recommendation (contd.)
For Clay court: Singles
charges for students to
$15/hr
For Clay court: Singles
charges for guests to $25/hr
For clay court: Doubles charges $30/ 2 hours for
guests and $20 / 2 hours for students
Same Pricing Structure for hard courts
Daily Happy Hours for 2 hrs for Students during MAY-OCT for $12/hrs @Singles & $15/2 hrs @Doubles
Premium Pricing• Only one price
for Singles/ Doubles $35/ hr for both students and guests
Flat Pricing• No discount
after initial 2 hours