Gretel Kutan
Luxury Hospitality Projects
EMEA · Globally Flexible
Practice · Advisory · Beach Club Repositioning

Beach Club Repositioning

When a beach club’s occupancy tracks the hotel’s, it is not underperforming. It is doing exactly what it was designed to do.

Most beachfront operations inside a resort were defined as an amenity: somewhere for the people already staying. They were built, staffed and marketed on that basis, and they behave accordingly for as long as nothing about the definition changes. Turning one into a destination is not a refurbishment and it is not a service problem. It is a decision about what the place is, who it is for, and what it is expected to contribute.

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When the question comes up

The symptom is usually described in the same few ways. It only fills when the hotel is full. It looks perfectly good and feels like anywhere. Locals do not come, or came once. It is subsidised and nobody can say against what. It was refurbished two seasons ago and the numbers did not move.

None of those is a diagnosis. They are all consistent with an operation that is working correctly against the wrong definition.

An amenity and a destination are different designs

An amenity succeeds by being there when the resident guest wants it. Its demand is the hotel’s demand. It does not need a reason to exist beyond convenience, and it does not need anybody to choose it over something else.

A destination has to be chosen. Someone who is not staying has to decide to come, from somewhere else, past other options, and to do it again. That requires a proposition that is legible from outside the property, an audience that has been defined rather than assumed, and a commercial expectation that matches what the place is actually for.

A property can hold both. Very few hold both by accident, and no amount of execution converts one design into the other.

Four problems that look identical from the inside

This is where most repositioning money is spent in the wrong place. The symptom is the same in all four cases. The work, the cost and the person who has to decide are not.

I.
Concept. The place has no clear idea of what it is. It serves food, it plays music, it has sunbeds, and nothing about it answers why someone would come here rather than anywhere else. A concept problem cannot be marketed around and it is the most expensive of the four to leave alone, because everything downstream is built on it.
II.
Positioning. The concept is sound and the claim is not. The place is pitched against the wrong set of alternatives, at the wrong level, or in a register that does not match what a guest finds when they arrive. Positioning problems often show up as a gap between what the property says and what the reviews say, and they are usually cheaper to fix than they look.
III.
Audience. The concept and the claim are right and they are addressed to the wrong people, or to nobody in particular. This is where the resident guest and the external audience are treated as the same audience, and where the practical routes a non-resident needs, the way they find out, book, arrive, park and are received, have never been designed for anyone who is not already inside the hotel. Access and arrival are evidence here rather than a separate problem.
IV.
Commercial role. Concept, positioning and audience can all be coherent while the asset is being measured against an expectation it was never built to meet. A beach operation may be there to produce standalone profit, to support rate and occupancy, to lift F&B spend across the property, to create destination relevance, to strengthen the brand, or to do several of those at once. Management frequently holds more than one of those expectations without having chosen between them, and judges the asset against whichever is most convenient that quarter. Until the role is settled, nobody can say whether the place is failing.

The value of separating the four is that they lead to different work. A concept problem is a rebuild of the proposition. A positioning problem is a rewrite of the claim and what supports it. An audience problem is a redesign of who is being reached and how they get in. A commercial role problem is a decision by the owner, and it may end with the conclusion that the asset is performing correctly and the expectation was wrong.

What marketing can and cannot do here

Marketing is how the second audience learns that the place exists and what it is for, and it is usually the part of a repositioning that has been running hardest and achieving least.

It can establish a position, build an audience that was never defined, make a property legible to a local market that had no reason to notice it, and put partnerships and programming behind a claim that is worth making. It cannot make people choose a place that has not decided what it is. Campaign spend against a concept problem buys a short season of trial and a longer one of disappointment, and the guest who came once and did not return is harder to recover than the one who never came.

Where marketing is the answer, the work here is direction: brand and audience strategy, positioning, launch or relaunch, partnerships, programming, local relevance, and how channels and commercial priorities line up behind the position. It is not media buying, campaign production, channel management or running the function.

Diagnosis, and the work that follows

If the question is which of the four problems the property has, that is a Review. An Independent Review is a contained piece of outside work with a defined output, and for a property that mainly needs to know where the problem sits, it is the cheaper and more appropriate route.

Advisory begins after that. It is the work of changing the proposition alongside the people who have to live with it: settling the definition, rebuilding the position, defining the audience, and holding the decision while the property acts on it over a season rather than a week.

The perspective behind the work

What matters here is having watched beachfront operations that were defined as amenities try to become something else, and having held the brand, marketing and commercial side of that inside an international operating company. That is first-hand knowledge of how an external audience is actually built, how long it takes to build one, and what an owner is buying when they buy a concept.

It is not hotel operations. This work does not extend to service delivery, kitchens or financial modelling.

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How an engagement is shaped

The work is defined by a question rather than by a scope of hours. It runs alongside the owner, the general manager and the marketing and commercial leads, and it produces the definition, the position and the direction that the property then acts on. Terms are agreed privately and depend on the mandate.

Questions

Is this the same as a refurbishment brief?

No. A refurbishment answers what the place should look like. This answers what it should be and who it is for, which is the decision a refurbishment usually assumes has already been made.

Can this be done without a Review first?

Yes, where the question is already clear. Where it is not, a Review is the cheaper way to establish which of the four problems is in play before committing to the work of changing it.

Does this include the financial case?

It establishes what the asset is expected to contribute and to which part of the business, which is a positioning decision. It does not extend to modelling, feasibility studies or forecasting.

How long does a repositioning take?

Long enough to see a season. The definition can be settled in weeks. Whether the market has revised its view of the place cannot be established in that time.

Discuss a mandate

A short conversation about the asset and what it is currently expected to do is usually enough to establish whether this is the right kind of involvement.

Discuss a mandate

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