We developed a growth strategy and profit maximization plan for one of the largest travel and hospitality players
Our client operated more than 40 SPA resorts and a vast travel agents network. In the past 5 years, the revenues grew lower than planned. The management was concerned with the unstable performance of its assets, including several resorts making losses; the management also suspected that the profitability and the growth rate were lagging behind the market trend.
The MCG team conducted a full-scale diagnostics across 3 main dimensions:
• Strategy of the group as a whole and investment decision-making process
• Commercial model: products, pricing, marketing and sales channels
• Operations of the holding company, operations of each resort and organizational structure
The diagnostics revealed the potential to double the revenue and increase the profit five-fold over the period of 5 years. Then the team developed a full-scale operational transformation program. The program involved a coordinated transformation of all the elements of the organization during the period of 2 years:
• Strategic planning and strategic management
• Portfolio strategy for each SPA resort
• Institutionalization of investment process
• Pricing optimization
• Sales channels transformation
• Optimization of the organizational structure and business processes
• Organizational culture transformation
• Project management office (PMO)
