Drowling Mountain

Drowling Mountain

How to avoid going “downhill”

Drowling Mountain’s (DM) financial shortcomings are a major concern for this company. DM’s board members have conflicting ideas about what the major issues are, throwing out naive strategies, and pointing their proverbial finger iniquitously. Analysis of their strengths, weaknesses, opportunities and threats will create potential strategies (Exhibit 1).

Options

DM has multiple options that they can pursue: focusing advertising strategies within the community or neighboring cities, develop a new price packaging model, diversify as a destination resort, establish future price positive to re-explore selling naming rights to Lasario Steel, or offer trade positions to students. Although many options exist for DM, none of these provide an all-encompassing solution. A strategically progressive advertising strategy focused on short, medium, and long-term objectives are the key to their success.

Short-term actions

DM needs to increase the annual amount of visitors, as it will influence revenue in all six of their sectors. DM can start recruiting visitors by implementing a rewards program via creation of the “Ski Bum” card, a preloaded rewards card with reduced rates on lift tickets, food/beverages, lessons, rentals, and accommodations all season long. Re-vamping DM’s website will be an integral part of promoting the “Ski Bum” card, as the new simplified price-packaging model will be introduced here. A “Seasonal Promotions” section will be included and highlighted on the website to promote daily specials on chalet accommodation, lift tickets, hotel & ski packages and other amenities, which will draw consumers to visit the website frequently. Discounted lift passes for students will be added to the price model to increase the casual student customer base. DM can continue to build their positive relationship within the community by providing local vendors and establishments (restaurants, bars, local ski &...