Commercializing Under-Utilized Private Reserves: Operating Model and Market Strategy

Role: consultant

Industry: strategy

Situation:

i have a portfolio of 20 private reserves across 10 different countries. we are trying ro commercialize these reserves as they are very much under-utilized. many of them are hunting related, but not all. mostly they are 5 star or more. the question is how to best go to market with these and fill additional capacity beyond the owner's usage. we need a business model which is probably going to be the operator for these reserves, but marketing different value propositions, such as normal hotel retreats vs hunting etc.

Question to Marcus:

“

what should the operating model look like. what kind of structure. what responsibilities to put at the center, what to the reserves.

Strategic Planning

Developing a strategic plan for commercializing under-utilized private reserves is paramount. Start by segmenting the properties based on their unique value propositions—hunting, luxury retreats, eco-tourism, etc.

This segmentation will help tailor marketing and operational strategies to target specific customer segments effectively. Consider a phased approach to market entry, prioritizing properties with the highest potential for quick wins. Establish clear objectives and key performance indicators (KPIs) to measure success. Align the strategic plan with broader market trends, such as increasing demand for sustainable and experiential travel, to ensure long-term viability and growth.

Operational Excellence

Operational excellence is critical for managing a diverse portfolio of private reserves. Implement standardized processes across all properties to ensure consistent service quality, while allowing for local adaptations to meet specific market needs.

Utilize technology for real-time monitoring and management of operations to optimize resource allocation and enhance guest experiences. Establish a central operations team responsible for overseeing these standards and facilitating best practice sharing across properties. This central team should also handle procurement, vendor management, and compliance to achieve economies of scale and maintain high operational standards.

Channel Strategy Example

Developing a robust channel strategy is essential for reaching diverse customer segments. Utilize a mix of direct and indirect channels to maximize reach.

Direct channels could include a dedicated website and mobile app for booking, while indirect channels might involve partnerships with travel agencies, luxury concierge services, and online travel marketplaces. Tailor the channel strategy to different value propositions—e.g., hunting reserves might partner with specialized hunting tour operators, while luxury retreats could collaborate with wellness influencers. Assess the performance of each channel regularly and adjust strategies to optimize conversion rates and customer acquisition costs.

Customer Value Proposition

Clearly defining and communicating the unique value proposition of each reserve is crucial. For hunting reserves, emphasize exclusivity, unique game species, and expert-guided experiences.

For luxury retreats, highlight personalized services, top-tier amenities, and unique local experiences. Ensure that the value propositions resonate with the targeted customer segments. Develop compelling marketing materials that showcase these unique offerings, and train staff to deliver on these promises consistently. A strong value proposition will differentiate your reserves in a competitive market and attract high-value customers.

Marketing Plan Development

A comprehensive marketing plan is essential for driving awareness and bookings. Start with market research to identify target demographics and understand their preferences.

Develop tailored marketing campaigns for different segments—luxury travelers, adventure seekers, corporate clients, etc. Utilize a mix of digital marketing, social media, influencer partnerships, and traditional advertising to reach these audiences. Invest in high-quality content, such as virtual tours and testimonials, to showcase the unique experiences offered by each reserve. Monitor the effectiveness of marketing campaigns through analytics and adjust strategies to improve ROI.

Organizational Structure

Design an organizational structure that supports both centralized and decentralized operations. At the center, establish a corporate team responsible for strategic planning, marketing, finance, and operational oversight.

Each reserve should have an on-site management team focused on day-to-day operations, guest services, and local marketing initiatives. Ensure clear communication channels between the central team and on-site managers to align goals and share best practices. This hybrid structure will enable efficient management while allowing each reserve to maintain its unique character and operational flexibility.

Stakeholder Management

Effective stakeholder management is crucial for the successful commercialization of private reserves. Identify key stakeholders, including property owners, local communities, regulatory bodies, and potential partners.

Develop a stakeholder engagement plan to address their interests and concerns. For property owners, provide regular updates on performance and strategic initiatives. Engage local communities through sustainable practices and employment opportunities to build goodwill. Ensure compliance with local regulations to avoid legal issues. Building strong relationships with stakeholders will facilitate smoother operations and enhance the reputation of your reserves.

Sales Management

Implementing a robust sales management process is essential for driving bookings and revenue. Develop a sales strategy that includes both direct sales efforts and partnerships.

Train a dedicated sales team to understand the unique selling points of each reserve and effectively communicate them to potential clients. Utilize customer relationship management (CRM) tools to track leads, manage customer interactions, and analyze sales performance. Establish sales targets and incentive programs to motivate the sales team. Regularly review sales data to identify trends and adjust strategies to meet market demands.

Customer Relationship Management

Investing in a robust CRM system is essential for managing customer interactions and enhancing guest experiences. Use CRM tools to capture detailed customer profiles, preferences, and feedback.

This data can inform personalized marketing efforts, tailored services, and targeted promotions. Implement loyalty programs to encourage repeat visits and referrals. Regularly analyze CRM data to identify trends and opportunities for improving customer satisfaction. A strong CRM strategy will help build long-term relationships with guests, increase customer retention, and drive revenue growth.

Financial Analysis

Conducting thorough financial analysis is critical for assessing the profitability and sustainability of your commercialization efforts. Develop detailed financial models to project revenues, costs, and cash flows for each reserve.

Analyze the financial performance of different value propositions—hunting, luxury retreats, etc.—to identify the most lucrative segments. Use financial data to inform pricing strategies, investment decisions, and cost management initiatives. Regularly review financial performance against targets and adjust strategies to optimize profitability. Robust financial analysis will ensure that your commercialization efforts are financially viable and aligned with long-term business goals.