Market Research CCResort Essay

Market Research CCResort May 14, 2013 Kelvin Ting (z3438739) Table of Contents I. Executive Summary †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 2 II. Introdution †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 3 III. Methodology †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 4 IV. Key Performance Indicator †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 5 V. Conclusion†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 7 Executive Summary ï€   The customers with 2 or 4 family members, 69% of the customers have an income greater than $100,000 and the customers from 40 years old to 54 years old ( middle age) are more attracted by CCResorts Forster. The total expenditure for all the customers is $234772, the average is $1173.86. CCResorts succeed to achieve their first Key Performance Indicator: More than 40% of customers stay for a full week but fail to achieve the second Key Performance  Indicator : the average customer spends less than $255 per day in excess of accommodation costs. . Introduction The aim of this report is to analyze the data has been collected from customers in order to investigate what type of customer has been attracted to CCResort , how much they spending at the resort over and above their accommodation costs. In addition the question of whether CCResort being successful in meeting their key performance indicators (KPI’s) stated as the business plan: 1. 2. More than 40% of their customers stay for a full week(i.e. seven night); The average customers stay spends more than $255 per day in excess of accommodation costs. 200 customers sample were collected randomly and they refer to a separating booking at CCResort over the last 12 months. Each example included 6 variables: ï‚ · Number of people in the booking party ï‚ · Length of stay (represented by the number of night) ï‚ · Age in years of person making the booking ï‚ · Total amount in dollars spent per booking over and above accommodation costs ï‚ · Income MARKET RESEARCH CCRESORT – MAY 14, 2013 2 No. of customer Methodology and result 50 45 40 35 30 25 20 15 10 5 0 Frequency 0 zÃŽ ± The value of test statistic is z = 3.175 > zÃŽ ±, Thus we do reject the null hypothesis and conclude that there is enough evidence to infer that at more than 40% of bookings in CPResorts would be staying for full week. The average customers stay spends more than $255 per day in excess of accommodation costs. To test if the average customer spends more than $260 per day. We performance a hypothesis test again. Null hypothesis, H0: p= 255 Alternative Hypothesis, H1: p=: ÃŽ ¼>255 The test statistic is = 242 − 260 49.2/ 200 =-5.714 Let the significant level be 5%, namely, ÃŽ ±=0.05, thus Z0.05 =1.645, the rejection region isz > zÃŽ ± The rejection region should be Z> Z0.05 =1.645 We reject H0 if Z>1.645 Z =-5.174 So, there is not enough statistical evidence to infer that the alternative hypothesis is true which the average customer is spend more $255 per day in excess of accommodation costs. MARKET RESEARCH CCRESORT – MAY 14, 2013 6 Conclusion With the help of statistical data provided, the greater $100,000 income group could be identified as the prospective customers of CCResorts. Both average daily spending level and length of stay of this group are predicted to be greater than the below $60,000 income group. In addition, the analysis has also raised some concerns about CCResorts business performance in the first year of operation. Although there is  enough evidence to infer that more than 40% are full week customers, the expenditure analysis has indicated that their spending level could fall below $255 per day, with sufficient evidence to support. The analysis has provided two important implications. First, with at more than 40% are full week customers, this indicates that type and quality of service offered by CCResorts have met customer expectations. This also means that the marketing department has successfully identified customer needs to deliver the right services and add value to its customers. Second, these results also suggest that pricing issue could cause the failure to meet revenue expectation. As income alone cannot fully explain the variation in spending behavior, high price of services could cause customers to decrease their spending level. MARKET RESEARCH CCRESORT – MAY 14, 2013