CRM Report

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Loyalty Program Management at Starwood Hotels

1. How can a large company such as Starwood exploit customer data while still safeguarding and
respecting customer privacy?

Here what can Starwood do for safeguarding customer privacy while exploiting customer data.
 only gather the data necessary to transact business with customers.
 Limit who has access to consumer information.
 By using password management systems, you can increase security and manage
access.
 Implement a reliable data management plan and consolidate data storage.
 Establish minimum security requirements that the organization must meet.
 Organizations should assess whether they already have internal data protection
measures in place before investing in security solutions.
 Data can be stolen by cybercriminals without the user's knowledge. Malware
protection, also referred to as antivirus protection, serves as a firewall that businesses
can incorporate with current software to increase device security.
 Customers can take control of their data using blockchain without the need for
permissions, checks, or authorizations. Additionally, blockchain is renowned for its
ground-breaking capability to store data across multiple networks without requiring
a central repository.
2. What should Starwood do to attract loyalty program nonusers into the program or find out
more about the behavior and preferences of this large group?

Information that is not organized, standards that are impossible to meet, and information
disclosure are some of the reasons nonusers choose not to sign up for loyalty programmers. More
and more people are becoming concerned about the privacy of their personal information.
Through B2B partnerships and more targeted and precise marketing, Starwood can boost the
number of people signing up for the loyalty programme. To understand client preferences, large
corporations may need to dispatch personnel to their foreign subsidiaries often. These alliances
can assist big businesses in locating prospective members for their loyalty programme. Customers
demand straightforward and informal relationships, and too much information could mislead
potential consumers.

3. How far should Starwood push its direct offerings to its program members? How can it discover
the boundary?
Starwood must first provide members with the freedom to choose when to join and leave a
programme of this nature. The company mails out special discounts and advertisements.
However, when customers register for the "Starwood Preferred Guest" loyalty programme, there
is a checkbox for email preferences. In order to determine how frequently and what kinds of offers
to send a specific member in promotional emails, the business should second use its client
database and information system. Customers who respond well to information about using points
for purchases, for example, may need to receive more of the same. In summary, Starwood's direct
offering aims to put quality before quantity.
Although the business tries to tailor its up-selling and cross-selling, the client may take offence at
these actions. By comprehending the demands and backgrounds of its clients, Starwood can
discover its limit. They can carry out a study to see how customers feel and identify any potential
issues with the method employed to administer the loyalty programme.

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