The strong competition within the spa industry requires businesses to exert effort in establishing a stronger hold on its market. The spa businesses should then integrate new business mechanisms or practices that are customer-oriented. One example of doing this alternative is through the employment of customer relationship management. The approach on CRM covers all business processes that an organization employs so as to determine, select, obtain, enhance and retain its customers. CRM is regarded as the integration of business processes, technological solutions and advanced analysis, which enables companies to understand clients from a multifaceted perspective. Through this understanding, companies such as Canyon Ranch will be able to establish deeper and more profitable customer relations.
Canyon Ranch is the gold standard in destination spas and enjoys commanding rates that are much higher than other destination spas, but there are signs of increasing competition. Day spas are aligning themselves with medical professional and offered services in nutrition, homeopathy, physical therapy and general medical practice. Also some hospitals were starting to provide spa treatments and wellness centers with nutritionists. Canyon Ranch is now faced with questions as to how to grow the business while maintaining the fundamental characteristics of Canyon Ranch.
From an IT standpoint, Canyon Ranch has basic systems for the business to function although they are not very efficient. The CLS based system is used to record transactional data while customer preferences, support incident, rapid response etc. used Guestware. Guestware is not integrated well with CLS. The program coordinator, who remained as the contact person for the quest through their stay, did not always have all of the info ahead of time. There is no POS software in the restaurant or the salon, robbing the Ranch of an opportunity to compile and track