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Exclusive Resorts' Take on Availability

Written by Bill Youstra 07/12/2006
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Availability continues to be the bugaboo of destination clubs that can’t be squashed. This is particularly acute for new members who have yet to master the reservation process. The fact that there is a “reservation process” to be “mastered,” is concern enough, and this has leaked through to prospects evaluating the various clubs. We hear this from prospects and members of all clubs, and decided to check in with Exclusive Resorts on their efforts.

COO Michael Beindorff ticked off the short list of their availability initiatives since early 2005: expanding the portfolio, managing the waitlist and reconfiguring the membership structure. According to their own surveys, member satisfaction has “improved significantly” over the last year in all three windows: space available, advance reservation and holidays.

But getting the message out has been difficult. We sat down for lunch recently with Exclusive Resorts co-founder and vice chairman Brad Handler. He acknowledged scarcity at some destinations, but overall claimed great availability for advance and “space available” reservations. He suggested that members “view access like a three-legged stool.”

1 - Where you're going
2 - When you're going
3 - How far in advance you reserve

As Handler told us, “As long as you are flexible on one of those, there is always someplace to go.”

We’re impressed with the steps that Exclusive Resorts has taken over the past year, and agree that the three-legged stool is a logical and useful guide for ER members.

Despite its clinical accuracy, it seems a little dissonant with the glossy-brochure proposition of destination clubs – but prospective members need to internalise it before joining. And at least it’s more realistic than what other clubs may imply (or at least their sales people) – that you can get what you want, when you want it. Remember: there are more members than homes, a lot more.

The central struggle of all destination clubs is striking an appropriate and defensible balance between two contradictory goals: establishing a profitable and sustainable business model, and satisfying sky-high member expectations.

We anticipate continued progress in availability and messaging, and see both as essential to the growth of the industry.

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