1. Tactical marketing plan
JOY Jagadish PATRA

2. Introduction
Spa comes from Latin word means for health by water . Lemonade™ The Wellness Spa
established in late 2012 , in consultation with the country's top spa expert is the in house
spa of Hotel Holiday Resort located at Puri,Odisha,India the 2nd most visited city by
pilgrimage tourists in India.
Surrounded by the resort's lush landscaping and breathtaking view of the sea, Lemonade
offers tranquility, privacy and pampering treatments ,featuring from full body massages to
shorter duration massages for foot, head, back , neck and shoulder.
Lemonade™ also presents new facials and body treatments with june jacobs, the creator
of three global skin care lines , unique body treatments include de-tan body scrub and
masks options like exotic green tea ,coffee and chocolate to name a few.
Special spa journey's like a jet Lag package, beauty essentials journey and men's package
are the other many reasons for customers to rejuvenate at the Lemonade spa.
Lemonade’s pampering treatments leaves a refreshed and beautiful feeling among the
guests during their stay at the beach resort . Lemonade's wellness services & regimes
combined with the best of international experiences brings about the union of mind body
and soul.
Come Discover A New You.

3. Executive Summary
• The Strategic Problem is the flat growth in sales for the last two years due to
low awareness of the benefits of spa treatments.
• The Strategic Opportunity is to drive customer walk in’s of adult guests
staying in the resort to achieve annual sales of $100,000 by 2017.
• Critical insight: Although the resort welcomes on an average 5727 tourists per
month only 6% of adults are converted to avail a spa service ,a market
opportunity to tap in more revenue per customer.
• The Strategic alternatives are :
a) A 60:40 mix of modern & traditional Ayurveda treatments
b) A 75:25 mix of modern and traditional treatments
• The Strategic recommendation is to have a treatment mix of 75:25 and
revamp the marketing strategies in order to increase our market share and
customer reach.

4. A wellness spa features services focused on one’s well-being and vitality,
includes relaxation and rejuvenation therapies.
Lifestyle : Health and Beauty Industry - Overview
Lifestyle
in
Health
&
Beauty
Ayurveda
spa
Medical
Spa
Wellness
spa
Thermal
spa
Hammam
spa
SPA
Facials
Hair
salons
Body
Treatments
Hands
&
Feet
care
Industry
Sub-­‐Industry
Segment
Treatments/Services
The spa industry is part of of health and beauty market which are characterized by
a substantial methods of treatments and services

5. Spa and wellness industry - overview
The global wellness industry represents a market of nearly US$ 2
trillion as opposed to the Indian spa & wellness Industry, which is a US
$ 9.8 billion market
Spa
Industry
in
India,
Market
size
2007-­‐2011
($9.8bn)
Spa
Industry
in
India,
EsQmated
Market
size
2012-­‐2017
($14.5bn)
During the next three years we estimate that the Indian spa & wellness
industry will grow at a CAGR of 20% to reach $14.5 bn. Growth in the
industry is due to increasing affluence among young transitional.

6. Puri welcomed 10Mn tourists in 2014 from all over India comprising of
families,corporates,couples and leisure guests and more than 40% stayed at beach
front resorts..
*Exhibit : Puri’s Demographics
Tourists have different knowledge about the wellness of a reliving massage at a
spa hence tend to opt for unprofessional beach side masseuses and traditional
Ayurveda massage.
An untapped Market
potential of 4mn people
is the spa industry’s
scope to capture in
Puri.
Spa
industry
in
India
Spa
industry
in
Puri

7. The Market Attractiveness for the spa industry is
medium in Puri, India
Although Puri doesn’t have many wellness spa with very low rivalry for
market share , there is still an existing demand for relaxation massage
services among tourists.
Mitigating Factors:
• There is a rise in local beach
masseuse offering massages at
dirt cheap prices substituting
spa’s value proposition
• The spa industry is now
attracting large number of
domestic entrants and
international players with new
disruptive techniques ,a threat to
local spa brands
4
5
3
2
2
Threat
of
subsQtutes
Threat
of
New
Entrants
Bargaining
power
of
buyers
Bargaining
power
of
suppliers
Rivalvry
among
compeQtors

8. Lemonade is competing against several other relaxation service
offering brands in the city
Lemonade stands second among competition in sales, relative
market share of 0.8x.
Premium
4
*
Hotels
Economic
Hotels
&
Beach
Side
masseuses
Local
Ayurveda
spas
• Mayfair
Resorts
• Toshali
Resort
• Hotel
Gandhara
• Hotel
Santana
• Ayurshree
spa
• Ayurveda
mahavidalya
Lemonade has strong brand loyalty and brand presence relative to competitors

9. Lemonade’s Relative SWOT Analysis
Relative Strengths
• Brand awareness is related to Holiday
Resort’s 3 decade old reputation in hospitality
• Large product mix targeting different
segments and needs of travellers
• Excellent technology, innovation, ambience and
expertise
• Inimitable competitiveness
Relative Threats
• Low priced competitor
• Increase in local massuse at the beach
• Decrease in demand of toursits visits
• Retaining skilled man force is another
hurdle for the industry
Relative Opportunities
• Increasing tourist arrivals by 10.6% YoY
• New technolgy development in spa industry
• Increasing demand for lifestyle products
• Create employment for locals
Relative Weakness
• Demand variation among guests
• Weak attraction & retention of local
residences and foreign tourists
• Less local partnerships
• Underutilization of capacity
Lemonade’s countable salient beliefs are its strong elements that
alleviates the brand reputation.

10. Lemonade proposes superior value among its
competitors
ü Superior operations
High skilled staff trained to expertise by
professionals hired from Spa institute.
Open 7 days a week with 12 hours of
operation
ü Superior Technology
Latest design and ambience with ultra finish
and imported massage accessories
ü Superior Branding, Offering &
Positioning
Uniquely branded as a spa brand subsidiary
of Hotel Holiday Resort for future franchise
expansion
ü Superior Access
Located right around the swimming pool
adjacent to all recreation areas gains
superior visibility
Superior
Branding
Superior
Data
Superior
Inputs
Superior
Offering
Superior
Customers
Superior
Operations
Superior
Customer
Segments
Superior
Technology
Superior
Access
Superior
Collaborati
ons
Superior
Agility
Superior
Positioning

11. Lemonade’s competitive positioning in the market
is relatively strong among competitors
Lemonade needs strategic investment on marketing and emphasize on
increasing customer penetration from current 35% to above 60% and
protect its position to disrupt the market

12. The spa industry is booming and consumer expectation are becoming
more discerning and sophisticated leading to assessment of well informed
services on offer
Consumers mainly comprise a young population with rising income
levels and the increasing need to look good and feel good, which has
led these young consumers to seek wellness solutions to meet
lifestyle challenges
Toshali Resort’s
Ayurveda spa
Lemonade
Spa
Mayfair
Resort’s spa
Perceived Performance
RelativePrice
Inferior Superior
Low
High
Others
Lemonade’s strategic pricing
attracts all range of customers
as it is averagely placed
between the premium and
economic pricing
Lemonade offers different
treatments with differentiation
in values for different market
segments.
Customer loyalty index of 75
due to 75% loyal and repeat
customers but only 15% new
customers
*Exhibit:
CompeQtors
analysis

13. Significant customer base is directed within
the resort
Marketing and targeting customers/guests of other and nearby hotels
with no spa facility will enforce walk in of customers and
IN
HOUSE
GUEST
85%
OTHER
HOTEL
11%
FOREIGNERS
1%
VISITORS
2%
LOCAL
1%
CUSTOMER
ACQUISITION
• Only 3586 in house guests of the
resort avail a service at the spa per
year with 70% privilege
membership redeeming discount of
20%
• Adult in house Customer
attractiveness is 6%
• Locals and guests of other hotels
are the biggest untapped customer
base

14. Lemonade’s customer life time value is highly positive
Holiday Resort’s 47000 privilege members are its frequent customers who have nearly
5-8 repeat visits a year with a customer retention of 88% and are Lemonade’s brand
loyal customers with 90% rated excellent .
Customers value more and are driven towards full body and express massage
CUSTOMER RETENTION AND LIFETIME VALUE
Customer Retention
CustomerLife
Local Ayurveda
Spa
Holiday Resort
Average CR 88%
Toshali Resort
Average CR 67%
50% 100%75%
Mayfair Resort
Average CR 80%
6%
37%
5%
31%
9%
3%
10%
POPULARITY
INDEX
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
EXCELLENT
GOOD
AVERAGE
FRIENDLINESS/
HELPFULNESS
CLEANINESS
THERAPIST/TREATMENT
AMBIENCE
OVERALL
Exhibit
:
Guest
feedback
form

15. The
center
of
in,luence
for
the
spa
are
the
massage
therapists
A highly skilled and trained therapist is a must need for high
conversion rate of customers and captive customers to prefer and
purchase
• A receptionist : welcomes and assists the guests
to understand about benefits of spa treatments
• Massage therapist: recommend and educate the
customers according to their relaxation need
• Aesthetician : suggests treatment of skin, hands
and feet for better foliating results
Exhibit
:Employee
ProducQvity

16. The spa industry can be greatly influenced by economic
conditions as it is adjacent to leisure industry
P
• Government wears multiple hats in its roles as a provider, facilitator,
enabler, and regulator in the industry.
E
• Consumers mainly being young population, their spending on wellness
have a direct co relation with the economic effect on their incomes
S
• Cross gender massage is opposed & discouraged in the pilgrimage city
• Locals tend not to prefer spa services over traditional home remedies
T
• Rise in new home based relaxation equipment’s that rejuvenates the
body without a need of a therapist

17. The Strategic
Opportunity is to
drive customer walk
in’s of adult guests
staying in the resort
to achieve annual
sales of $100,000 by
2017.
The Strategic
Problem is the flat
growth in sales for
the last two years
due to low awareness
of the benefits of spa
treatments.

18. Vision :
Become a premier benchmarking brand in the Puri, India’s spa business .
Goal :
Enhance customer relationship and acquire the highest number of customer in the market
Objective :
Drive in 9500 customer annually to optimize potential and increase sales to $1000,000 by 2017
Marketing strategy :
① The competitive advantage of lemonade is its best customer solutions and best product
variety
② Lemonade will use existing resources under the preview of Hotel Holiday Resort to market
its brand
③ The competitive intensity is high and aggressive
④ The target market would be the floating population i.e. the upper middle class tourists
who visit the city

19. Strategic Alternatives :Decision tree
Lemonade’s
MarkeQng
strategy
60:40 mix of modern
& traditional
Ayurveda treatments
Marketing investment
of 15%
75:25 mix of modern
and traditional
treatments
Marketing investment
of 25%

20. Adding more Ayurveda treatments to the menu with a 60:40 mix will
increase familiarity with the benefits of a spa treatment
- Focus on product that market is well
known for,i.e Ayurveda as the traditional
indian massage therapy
- Attractive to new old styled
customers
- canabalizing competitiors share
- High competition and precision in skills
is required
- Losing innovation to a new treatment
which is more modern and international
- Modern treatments will be demanded
to adapt traditional style
- Quick gain in sales by 20% of $8000 -
$10000 annually
- Controlled marketing expenses
- High cost of set up and training of
therapists,investment of $3500
- Loss of potential long term perpetual
revenue growth of CAGR 18-22 %
- Decrease in modern product portfolio
of services
60%
ayurveda
treatments
COSTS
BENEFITS
CON’s
PRO’s
Ascend- Ayurveda full body massage accounted 14.6% of total body treatments
and was positioned 3rd Among popularity rankings of body treatments

21. Going ahead with a 75:25 product mix of modern and traditional menu
will expand lemonade’s customer reach
- Create diffrentiation among competitors
offering
- Unique value proposition in services
- Wide scope of flexibility in innovation to
engage customer
- Increase in customer life time &
retention
- Risk in deviating from current market
need to new methods
- Extensive requirement of awareness
among customer to choose new modern
style treatments
- Need for variety in therapists and
specialisation
- High impact on long term growth in
sales,perpetual growth of 20-22%
- On track of international standards,high
functional value
- Hiring of spa consultant for R&D in
international treatments and
implementation for continous
innnovationation at a cost of $ 5000
- Higher NPV
75:25
mix
of
treatments
COSTS
BENEFITS
CON’s
PRO’s
Concentration of modern treatments will open up area for continuous
innovation strengthening brand and competitiveness

22.
The Strategic recommendation is to have a treatment mix of 75:25
and revamp the marketing strategies in order to increase our market
share and customer reach.
Ø Increase in sale to $95000 by 2017
Ø Attain high brand value
Ø Aggressively capture the Spa market with unique value proposition
of modern treatments
Tactical Marketing Plan

23. Marketing plan solutions
Attractive
75%
Price OK
75%
No Purchase
35%
Not Attractive
25%
8.2%Purchase
65%
24%
57%
6%
Not Aware
40% 23%
Aware
60%
High Price
78%
Market
Share
Leakage
An SDI of 40.1 indicates less than half of our potential has been realized
and there is still a considerable market share growth
Market
Share
Index
Increase in marketing spending will capture the customer leakages
through its promotion and communication strategy
Lemonade’s potential customer serve market
to 50% will require extensive push
marketing

24. Lemonade’s four pillars of branding
Esteem
• Customers know
lemonade from
Hotel Holiday
Resort’s goodwill
value
• Perceived as high
on quality standard
and cordial
treatment
• Desired brand in
comparison to
competitors
Knowledge
• Highlight
Lemonade’s phrase
“Come discover a
new you”
• Educate guests with
image and
explanation of the
modern treatments
benefits
Differentiation
• Treatment mix
variety caters to
different
customer needs
• superior
innovation in
treatment method
• Best customer
experience with
skillful therapists
Relevance
• DeTanning and De
pigmentation
appropriate to skin
repair
• Facial,pedicure and
manicure for
beautification
• Full body massages
with hot stone and
scrub for reduction
in strictness and
severity
Current Presence Future Performance
Echibit
Evaluating the pillars of Lemonade’s brand visualizes high potential to future growth
Lemonade’s differentiating components reinforces its brand value and
preference among customers hence must be addressed in marketing.

25. Lemonade’s value proposition – “Customer experience”
1. Market
Focusing on young
tourists in the city
2. Value Experience
Hospitality linked with
Holiday Resort’s
premium brand at
attractive price
3. Offerings
High quality services and
treatment mix for all
needs
4. Benefits
Smooth and gradient
skin
Relaxation &
revitalization
5. Alternatives &
Differentiation
Expertise treatments &
innovative
methods .Branded beauty
products
6. Proofs
Proliferating skin,
Rejuvenating Experience
5. Alternatives &
Differentiation
6. Proofs
Lemonade’s creates a memorable experience that the market values
most, the refreshment of body and mind.

26. Communication Strategy to create interest among
customers
End user target market i.e the tourists will be influenced with online
engagement prior to arrival and pushed once they check-in. Achievable
share of voice of 75%
Influencers
• Referral
code
&
Return
mailer
• Discount
vouchers
• Short
podcasts
on
TV’s
at
the
resort
• Cross
selling
with
in
house
restaurant
Partnerships
• Collaborate
with
online
booking
portal
to
offer
privileges
• Cross
Promote
with
other
budget
hotels
with
no
SPA
Direct
CommunicaFons
• InvitaCon
Calls
to
in
house
guests
• Email
adverCsement
along
with
the
reservaCon
vouchers
• Facebook
&
Trip
advisor
Page
engagement
• Website
Media
CommunicaFon
• Local
TV
ad
• Discount
flyer
distribuCon
at
check
in
• Billboards
at
railway/bus
staCon
• Blogs
&
YouTube
channel
PUSH
communicaQons
PULL
communicaQons
Exhibit
:
Facebook
&
Trip
advisor
page,
DistribuQon
Flyer

27. Marketing performance and budget timeline plan
2014
2015
2016
2017
55.00
66.00
79.20
95.04
Sales
growth
rate
($
000’s)
Actual
MarkeFng
Plan
MarkeFng
Investment
Sales
NMC
MarkeFng
ROS
MarkeFng
ROI
Influencers
=2000$
$15000
$3268
19%
183%
Partnerships
=$2000
$15000
$3668
24%
183%
Media
CommunicaQon
=
$5000
$20000
$4891
22%
98%
Direct
CommunicaQon
=
$2000
$45000
$11005
27%
550%
TOTAL
=
$11000
$95000
$23232
24%
211%
Marketing campaigns projected annual sales growth will result in $66000 in
2015 and future growth of $95000 by 2017 burgeoning our customer served
and market share
Lemonade’s
sale
will
exponenQally
rise
in
long
term
with
immediate
markeQng
strategy

28. BIBLIOGRAPHY
• Mayfair
Hotels
:hhp://www.mayfairhotels.com/mayfair-­‐puri/spa.html
• Lonely
Planet
India
:hhps://books.google.com/books?
id=vK88ktao7pIC&printsec=frontcover#v=onepage&q&f=false
• Toshali
sands
resort
&
spa
:hhp://www.toshalisands.com/ayurveda.html
• Hotel
santana
:
hhp://www.indiasantana.com/relax.html
The
• Chariot
resort
&
spa:
hhp://www.thechariotpuri.com/spa.html
• Ayurved
school
:
hhp://www.panchakarma.com/gopabandhu-­‐ayurved-­‐mahavidyalaya-­‐puri-­‐
orissa-­‐p-­‐504.html
• Ayurshree
Spa
:
hhp://www.lonelyplanet.com/india/orissa/puri/acQviQes/health-­‐wellness/
ayurshree-­‐spa
hhp://
• JustDial.com
www.justdial.com/Puri/Ayurvedic-­‐Treatment-­‐Centres-­‐For-­‐Massage/ct-­‐10030315
• Orissa
tourism
policy
and
staQsQcs
:hhp://orissatourism.gov.in/portal/Portals/0/pdf/StaQsQcs
%20at%20a%20Glance.pdf
• Company
Financials
• Lemonade
spa’s
POS
reports

29. Exhibit
1:
DistribuQon
Flyers

30. Exhibit
:
Menu
Pricing
Exhibit
:
Discount
voucher

31. Exhibit
:
Tripadvisor
Page

32. Exhibit
:
Facebook
Page

33. Exhibit
:Sale
Report
and
discount
redemption
anita
15%
laxmidhar
8%
pintu
19%
sachin
18%
sunita
19%
urmila
21%
TREATMENTS/SERVICES
Exhibit
:Employee
Productivity

34. Exhibit
:
Guest
Assesment
Form

35. Guest
Feedback
Form

36. Exhibit
:
Average
Temperature
in
Puri
Exhibit
:
Demographics
of
Puri