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INTANGIBLE VALUE AT CARLSON HOSPITALITY
I conducted a case study at Carlson Hospitality, a global leader in hospitality services, encompassing more than 1300 hotel, resort, restaurant, and cruise ship operations in 79 countries. One of its brands, Radisson Hotels & Resorts, researched guest stay information and guest satisfaction surveys. The company was able to quantify how much of a guest's lifetime value can be attributed to his or her perception of the stay experience. As a result, Radisson knows how much of the collective future value of the enterprise is at stake, given the perceived quality of the stay experience. Using this model, Radisson can confidently show that a 10% increase in customer satisfaction among the 10% of highest quality customers will capture a one-point market share for the brand. Each point in market share for the Radisson brand is worth $20 million in additional revenue.
QUESTION:
How can a project team use this information to help determine the economic feasibility of a system?
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