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Vail Resorts

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Vail Resorts Is Turning Skiing Into Air Travel—Will Customers Pay Up?

 

Vail Resorts built the world’s largest mountain-resort network by convincing skiers to commit before the snow arrived. Its Epic Pass transformed skiing into a subscription-like business, giving customers discounted access while providing Vail with revenue months ahead of the season. That formula is now being tested. Following one of the worst snowfall seasons recorded across the western United States, North American spring pass units fell 10%, while pass sales dollars declined 5%. Chief Executive Officer Rob Katz is responding with a strategy inspired partly by Delta and United: combine loyalty, segmented pricing, digital technology and premium service to make a complicated trip feel easier from booking through departure. Planned improvements include concierge-supported ski lessons, upgraded food, app-based equipment selection and rental delivery. The strategy could remove genuine frustrations, but it could also encourage customers to spend more across tickets, lessons, equipment and dining.