Club Med

Club Med began over four decades ago, with just a few canvas tents scattered along a Majorcan beach--now there are more than 100 Club Meds around the world. What is equally impressive is that Club Med spent the 1970s retooling its operations and restructuring its image--away from the old singles-oriented scene. This was because, by 1989, 50 percent of all Club Med members were married, and 40 percent had children (Birnbaum, 1989, p. 32).

It was no surprise, therefore, that in 1989, Club-Med began a $12 million advertising campaign to change its image before the public from an endless, global singles bar to one having a family image. Said one Club Med marketing official, the club also wanted the fat rich guy who just wants to eat all day (Levine, 1989,

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phic obsolescence. For both Club Med, which operates from New York, and its parent, Club Mediterranee, which operates in Paris, their prime market was maturing with the graying of their European and American customers. That meant fewer swinging singles to respond the Club's traditional appeal. Furthermore, the company's island-hopping, all-inclusive packaging theme already had been widely copied. With more competition battling for fewer young vacationers, Club Med's selling cost rose. However, it has begun trying to attract the Asian customers, many of whom come from Japan with money to spend (Phalon, 1988, p. 61). Club Med's biggest challenge is attracting travelers who have never tried it. Club Med teems with loyalists who make annual or even semiannual pilgrimages--at least 47 percent of the guests are repeaters. However, in 1989, the Club had not convinced the uninitiated that it was not still a swinging singles club (Levine, 1989, p. 136). That is why it began its advertising campaign in 1989 and why it gave all its clubs a $208 million remodeling job. By November of 1989, all rooms had safes for valuables and locks on the doors. There was television and telephones in some rooms. All of the clubs already had annex
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Approximate Word count = 1790
Approximate Pages = 7 (250 words per page)

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