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Published by:
Columbia CaseWorks, Columbia Business School (2011)
Version:
22 November 2016
Revision date:
17-Jul-2017
Length:
9 pages
Data source:
Generalised experience

Abstract

As a senior manager for the New York Health Club, Tom is looking through his personal trainers' time cards when he decides something needs to change. Personal training, a significant source of revenue for the club, has undisciplined pricing as trainers negotiate their own rates, raising concerns with Tom for the potential for fraud. Tom also wonders if a stable pricing system might boost the club's revenue by, for example, implementing higher pricing during peak hours. To that end, he creates a member survey and begins to study the responses. In this case students recommend pricing strategies and create models for different scenarios after examining the survey and response data.

Topics

Revenue management; Pricing
Other setting(s):
2007

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