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A New Dimension in
Owner Retention
Engaging The Senses
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Rioma Cominelli Graduated at the South African School of Marketing
Author of the Timeshare Code practice in South Africa (1987)
Longest standing executive of VOASA (1983-2010)
Developed 12 resorts
Timeshare sales – 65 000 owners & 2 Points Clubs
Rentals of 300 000 nights per annum
Increase in occupancies from 34% - 71% in 12 months
Achieved top Timeshare sales for 3 consecutive years.
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…however Soon a Pattern EmergedAging owner base – currently 78 yearsOwners began objecting to Maint. feeOwners began to abandon weeks Next generation could not be enticedValue of weeks began to plummetMaintenance fees became less collectableResort income deficits began to emerge Resort maintenance & quality deterioratedOnsite Resales –difficult due to poor spreadResales – limited success –no finance.
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… so We Thought We’d Check Interviewed
5000 owners and 5000 non owners
Independent Mystery Guest Programme to
visit resorts
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Interview Results: Owners
53% - “our kids aren’t keen to take over”79% - “we’re too old to travel and enjoy”54% - “our circumstances have changed”81% - “there are better choices”68% - “tired of resort & swapping not easy ”43% - “locked in and cannot sell.”
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Interview Results: Non Owners
68% “ resort is tired/outdated ”72% “can holiday better & cheaper”
58% “there’s little do to at resorts”84% “concept is too long term.”
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Mystery Guest Programme• How would you rate the resort overall? (1 – 10)• Was the Resort Manager welcoming?• Were you invited to "Meet the management”?• Were staff friendly and helpful?• Was the Manager visible during your stay?• Did staff make you feel very special?• Did the staff appear to enjoy their jobs?• Was info given on what to do at the resort?• Were you told often of the daily events taking place?• Is the resort awesome, everything you want?• Is the resort engaging with loads to do?• Is the resort memorable and exciting?• Would you choose to return to this resort? • Would you recommend this resort to your friends? • Is this resort one of your top 5 holiday options?.
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Resort 1 Resort 2 Resort 3
1 How would you rate the resort overall? (1 – 10) 6 4 6.5
Yes No Yes No Yes No
2 Was the Resort Manager welcoming
3 Were you invited to a "Meet the management”
4 Were staff members friendly and helpful?
5 Was the Manager visible during your stay?
6 Did staff make you feel very special?
7 Did the staff appear to enjoy their jobs?
8 Was regular info given on what to do?
9 Were you told of the daily events taking place?
10 Is the resort awesome, everything you want?
11 Is the resort engaging with loads of things to do?
12 Is the resort memorable and exciting?
13 Would you choose to return to this resort?
14 Would you recommend this resort to friends?
15 Is this resort one of your top 5 holiday options?
Unexpected Feedback
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We Compared Our Product To:
All inclusive packages
• More Flexible • Not locked in
• More things to do •More affordable
Caravans and camping Cruising
Hotels and B&B’s
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We Arrived at the Obvious Answer:
Need to find young ownersNeed a better spread of stock or
system to sell abandoned weeksNeed to find ways to finance resalesNeed to improve maintenance fee incomeNeed to improve condition of our resortsNeed to offer a range of experiences.
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Dramatic “Change” Became Essential
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The Realisation :
Large developers now all faced similar realities: Too few weeks spread across several resorts Too much to lose (i.e. maintenance fees)Millions still to collect from purchasersVery difficult to sell poor spread of weeksEven more difficult to sell on site.
Desparate need to Reengineer
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The Transformation Developers repackaged abandoned weeks: Into Clubs and points systems Added “bells and whistles” Added easy finance Absorbed unsold inventory Worked with home owners.
• SALES EXPLODED AND NEW MARKETS OPENED UP
Result: Revitalised Industry
• Dream Vacation
• Holiday Club• Star Club • Club Trafalgar • Flexi Club • Premier Club • Golf Club
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Win-Win Sales Outcome: Massive surge in new sales on and off site Abandoned weeks - absorbed by various clubs Resorts were upgraded and improved Demand for resorts increased Rentals improved Product became more attractive Record sales Younger blood interested Maintenance fee collection improved 54% of South African stock owned by Clubs Exit /Resale Strategy – Improved.
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Fear Clubs won’t pay maintenance fees
Clubs will take over resort
Reality Maintenance fees have to be paid for Clubs to survive Clubs support enhancements, to improve fulfillment
Clubs drive rentals and mini vacations
Resorts can protect democracy
Abandoned weeks are readily absorbed.
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Back To Our Resort Product
TRUTHS
The way the guest “feels” is key to his opinion
A well run Timeshare resort is no longer adequate
The more ”senses” engaged the better the rating
Guests expectations are ever increasing
Guest wants to have loads to do onsite.
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Minimum Services – No longer special
• Daily room service
• Guest amenities (shampoo etc)
• Hot and cold towels
• Welcome and farewell parties
• In room hot beverages
• Food deliveries to apartment
• Hairdryers
• Service questionnaires
• List of “things to do.”
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ADDING ENCHANTMENT
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Sight Touch Taste
Sound Smell
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The Senses - Key to Success:
Focus on Engagement Add new affordable experiences Add Revenue generating activities Create resort brands individually.
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Changing Mindsets & Staff Development: Staff Profiling Systems Sustainable programmes Uniformed Professionals
Empowering with recognition Cultivating innovationCross training/multi skilled.
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Who is your customerKids under 9
Pre teens under 13
Under 20s
Couples
Families
Chilled
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Morning, afternoon and evening Karaoke Puzzle building Picnics Craft markets Quiz shows / check your mate Bingo Staff shows & live performances Horse Riding/Paintball Seasonal Events (Easter/Valentines /
Christmas/ Halloween, etc)
“Organised” Entertainment (each Age)
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Wow Arrival and Departure Events
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Children’s Activities
Games
Arts and Crafts
Resort Character
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Preferred Membership to Local Facilities
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Signature Events
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Midnight Feasts Wine Tasting Murder Mystery Evenings
Riverside Picnics
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Mood Events
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Revenue Producing Facilities
Retail OutletsRental of premises Conferencing Hiring of Equipment.
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Hiring of Equipment
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Wellness Retreat
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Onsite Facilities
Adventure Golf Outdoor ChessOutdoor Chess
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Convenience store
Large store
Convenience Cabinet
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Going Enviro-MENTAL
Energy saver bulbs Water wise shower heads Recycle Bins Natural water storage tanks Daylight sensors Geyser time control Geysers – reduce
temperatures
Worm Farms Returnable bottlesSaving notices Salt water chlorinators Pool pump timersIncentivsed saving
programmes
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Attracting New Guests
Develop Resort Brands
Websites
Facebook and twitter
SEO
Mobile/ Email rental programmes
Transacting online
Customised software
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Promoting Industry Loyalty
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Simple Steps to Recovery Upgrade resort experience – Engage the
Senses Repackage abandoned weeks – link up with
club or points concepts Encourage onsite sales and rental
programmes (branding and clubs) Invite non owners to your sites – to
experience the product
Recovery and Win Win Outcome!