Originally Posted by
HaleiwaFlyer
Aman is targeting the folks who can afford 200k Club membership at Aman NY, and folks who are paying 8-10k+ per square feet of their residences.....The nightly rates and costs of a 200 dollar spa face mask/T-shirt is a non factor. Another reason, as a hypothesis, I don't see super luxe hotel rates depreciating anytime soon.
That is true, however you did not consider taste and brand dynamics. It cheapens the brand and guests do notice. And the admiration many held and still hold for AMAN as brand is not only powerful but also translates into numbers. I have seen guest lists of Kila in the 90s and 2000s... AMAN has always attracted the "who's who" of International business, the arts and socialites. The crowd was understated but with very refined taste. It is clear the current ownership (structure) wants a different guest profile now. A clientele that buys the stuff his wife comes up with. Perhaps even influencers and crypto guys, as long as they pay what they command. It does make business sense. I just wonder if it does in the long run. AMAN always had 200 dollar t-shirts, but they were locally made. Everything has become a bit predictable.
In essence: you can't run a group like AMAN only by looking at the next two quarters or next year. They drank too much of their consultant's kool-aid.