wynn-las-vegas

Businessmodel of Wynn Las Vegas

Customer Segments

Wynn Las Vegas has a mass market business model, with no significant differentiation between customer groups. The company targets its offerings at all consumers who desire hospitality and entertainment services.

Value Proposition

Wynn Las Vegas offers three primary value propositions: innovation, cost reduction, and brand/status.

The company has embraced innovation throughout its history. Its groundbreaking efforts include the following:

  • Tallest hotel building on the Vegas strip upon its completion, a record that lasted two years
  • First Las Vegas casino to feature a car dealership, Ferrari-Maserati
  • First combination of a room key and a casino frequent-player card into a single card
  • Largest distribution of HDTV into hotel rooms in the world
  • Largest installation of voice-over IP technology for hotel phones

  • First Las Vegas casino to install RFID tags inside chips to better detect counterfeiting The company reduces costs through its Wynn Insiders loyalty program. The program offers the following benefits:

  • The lowest hotel prices available anywhere, guaranteed
  • 15% off every room booking with no black-out dates

  • The Wynn Rate Promise: easy changes to reservations, no hidden fees, and special offers The company has established a strong brand due to its success. It is the world’s seventh largest hotel, and is on the Standard & Poor’s 500 and NASDAQ 100 indexes. It has earned the following:

  • The Tower Suites at Wynn Las Vegas received the Forbes five-star distinction nine years in a row
  • The Spa at Wynn Las Vegas earned five-star recognition from Forbes for seven years in a row
  • The Tower Suites at Encore at Wynn Las Vegas and the Spa at Encore at Wynn Las Vegas have also received Forbes five-star distinction Wynn Las Vegas and Encore Las Vegas (its sister property) together have won more Forbes five-star awards than any other resort/casino worldwide. Wynn Las Vegas also made history by obtaining five-star ratings in every category (Spa, Restaurant, and Hotel) for two consecutive years. The resort has also earned Mobil five-star, Michelin five-star, AAA five diamond, and Zagat Survey Top U.S. Hotel ratings, in addition to a Michelin star for its Wing Lei restaurant. Lastly, it has been recognized by the Condé Nast Traveller Gold List as one of the “Top Hotels in the World”.

Channels

Wynn Las Vegas’s main channel is its website. The company promotes its offering through its social media pages, advertising, and participation in trade shows and conferences.

Customer Relationships

Wynn Las Vegas’s customer relationship is primarily of a personal assistance nature. It provides customers with services such as room bookings, room upkeep, and room service. That said, there is a self-service component. The company’s website features Wynn Magazine, which offers informative articles on Food & Drink, Fashion & Style, and Art & Design.

Key Activities

Wynn Las Vegas’s business model entails designing, developing, and delivering its services for customers.

Key Partners

Wynn Las Vegas’s key partners are the suppliers that provide it with the products and services it needs to offer its services to customers. These include slot machines, retail goods, security and surveillance systems, ferry tickets, gaming equipment and accessories, construction, and other administrative services.

Key Resources

Wynn Las Vegas’s main resources are its physical resources. Its integrated Las Vegas resort of Wynn Las Vegas and Encore at Wynn Las Vegas features 186,000 square feet of casino space with

232 table games, 1,849 slot machines, and two luxury hotel towers with a total of 4,748 guest rooms, villas, and suites. Wynn Las Vegas Encore includes 34 food and beverage outlets, 99,000 square feet of retail space, 290,000 square feet of meeting and convention space, an on-site 18-hole golf course, a Ferrari and Maserati dealership, two showrooms, three nightclubs, and a beach club. The company places a high priority on its intellectual property, with its trademarks important to its business.

Cost Structure

Wynn Las Vegas has a value-driven structure, aiming to provide a premium proposition through significant personal service and frequent service enhancements. Its biggest cost driver is casino operation costs. Other major drivers are in the areas of food/beverage costs and administration.

Revenue Streams

Wynn Las Vegas has two revenue streams: casino and non-casino revenues.

Written on October 25, 2017