Excited About Future of Timeshare; Cites Market
Response to Diverse Product Mix
Addressing a room filled with industry experts convened at the 10th Annual Lodging Conference held at the Arizona Biltmore last week, Small said he was “excited by the constantly evolving demographics of the market, which support the potential for continued growth. Like the cruise industry, the VO (vacation ownership) industry has great growth potential. Coupled with the expansion of leisure time of the baby boomers, improved products and better locations, the potential is enormous.”
Small should know of what he speaks. For more than 27 years, he held key management positions at some of the world’s leading properties including the Shangri La Hotel - Singapore, Block Hotels - Africa, Sun City Resorts - South Africa, Sugarbush Resort - Vermont, and Sitmar Cruises, Royal Viking Line and Princess Cruise Lines, Royal Lahaina Resort – Maui, and Waiohai/Poipu Resorts – Kauai.
While under his management, these entities received worldwide recognition as leaders in the industry.
Impact of Marketing Techniques on Timeshare
When asked about the impact of marketing techniques to the success of the timeshare business, Small reiterated a principle that has been a foundation of his philosophy and hallmark of execution as an award-winning owner and manager of resort properties: “We must be focused on the expansion and development of Owner marketing strategies. The introduction of mixed use properties gives us an opportunity to identify and form more strategic marketing relationships. This leads to alliances whose combined resources exceed any one individual property or [in general] one firm, and forges relationships that maximize messages and budgets.”
Benefits of Rewards Programs
When asked about the risks and rewards in the development of points, clubs and non-equity clubs, he offered that while points programs are more expensive to support internally, due to higher costs of operations and after sales issues, simplicity will still carry a lot of weight in product development.
Product Differentiation – Market Trends and the Strength of Mexico
“We see many more mixed use products, high end fractionals, and ‘variations on a theme’. Due to the changing demographic and fluid funding mechanisms in the market place, [our] product –timeshare and vacation ownerships--will also expand into other industries and vacation products. While we have seen some consolidation in the industry over the past few years, I do not think this trend will continue. Given the success of key developers in Mexico, and many in the USA, those with great products and excellent locations can compete very heavily.”
Four Keys to Business Success
Summarizing his remarks, Small cautioned the audience to ‘be sure you
have aligned yourself with the best possible partners or companies overseeing
the four key aspects of the business, - legal, construction, sales/marketing
and operations. Without the right team of key players, there can
be many expensive and in some cases, crippling encounters for new developers.’
About John E. Small and ResortCom International
As a former Chief Operating Officer of RCIM (RCI’s management group), Small extended RCI’s portfolio from 19 resorts to over 43, in three and one half years. During his tenure, RCIM won 40 American Resort Development Association (ARDA) awards, and most recently was named as the Employer of the Year in the category of Timeshare Resorts.
After leaving RCIM, John founded International Resort Management (IRM) and was its president. In 2002, IRM merged with Resort Communications to form ResortCom International. ResortCom International based in San Diego with offices in Florida, employees over 200 persons and provides turn-key solutions to the timeshare industry.
About the Lodging Conference
Thousands of industry executives representing the leading hotel companies have attended this event over the past nine years. Last year, over 70% of the conference attendees had previously attended. That’s a remarkable number in an industry where people are constantly changing. Over 85% of conference attendees are Presidents and CEO’s or run their own company, brand or business unit, representing more than 3 million hotel rooms worldwide. With a strictly-limited attendance, the Conference presents over 50 think tanks that cover an array of industry-related topics.
Mr. John E. Small
450 Camino del Rio South, 4th Floor
San Diego, Ca 92108
(619) 683-2470 Office
|Also See:||Cendant To Merge RCI Management with Fairfield Resort Management; Mark Nuzzo, Former President of Fairfield Resort Management Services Will Head / April 2001|
|University of Central Florida to Develop Nation's First Curriculum Serving Timeshare Industry / March 1999|