August 24, 2012 — If three top executives of a high-profile timeshare company had personal weekly incomes of $40,000 (each) in 2011 and their ‘take’ for 2010, 2009 and 2008 was about the same at a time when company sales had plummeted approximately 50% and thousands of employees were laid off, would said remuneration for these execs be justified and/or reasonable?
So here’s the scoop. Don’t read that question wrong because I want every developer, indeed everyone from OPC to senior VP’s, etc. to make tons of money. But I discovered that during those lean years these execs, IMPO, are responsible for gross incompetence when it comes to their marketing and sales operations and as such their pay, to me, seems totally inappropriate and absolutely unjustified!
First of all, this company (aka: execs) with about the lowest VPG in the industry for decades is still forcing their sales reps to tour “25-year-olds” with annual incomes about $12,000 less than the median household income in the USA, thus assuring that the unfortunate rep(s) and company have no opportunity of selling a (e.g.) $28,000 timeshare plan every time they tour these youngsters.
Secondly, according to the company marketing materials all sales guests must be “creditworthy” with a “minimum credit score as established by” the company but, wait for it, the tours’ “credit score” will not be checked unless “a decision to purchase a timeshare interest” has been agreed to by the sales guest!
The company marketing materials also mandate that said tours cannot have a bankruptcy or been adjudicated “insolvent” within the past 7 years and that the company “reserves the right to change” their qualifications, policies and promotions at any time and without any notice whatsoever.
But there is more. It appears those conditions (“creditworthy” etc.) apply to all their sales guests and when a prospect does want to purchase and if they don’t meet the “minimum credit score” and/or are deemed not “credit worthy” said company can then charge the prospect full rates for any inducements they were offered to attend the presentation in the first place.
Getting back to these “25 year olds” for the moment let me also remind these execs that they are also of the ‘tech’ generation who live, breathe and sleep with their hand-held devices and who look into (‘search’) everything before and/or after they purchase. So what do you suppose the likely outcome will be if they do buy and then search ‘timeshare’ and discover the ‘error of their ways’, so to speak?
Or, if the ‘kiddies’, for whatever reasons, don’t conduct a search then who do you suppose are the very first people they tell that they now proudly own a modest TS (or exit) plan? And what do you suppose the response is going to be when ‘Mommy & Daddy’ get the texted message and/or phone call from hell that informs them that “We bought a timeshare today…”?
But that is all okay with these execs because they apparently have nothing but time and money to burn and I suspect their logic is that they’ll ultimately pass along their excessive and wasteful marketing/sales cost to the truly qualified sales guests and/or some other poor suckers who will pay for the gross incompetence in the first place.
I was going to name names this week, however I know these execs read ‘Inside The Gate’ so perhaps they’ll peruse this week’s ‘Scoop’ and come to their senses so that they, their company and other ‘interested’ parties, including their marketing/sales reps, all earn much money, etc., thus avoiding the need to publically humiliate the now (hopefully) former NON COMPOS MENTIS executives!
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Contributing sometimes extravagant, bombastic, emotional, pompous or even pretentious writings about the timeshare industry, Scoop covers an array of industry related subjects each week including inside information, tips, scandals, interviews, forecasts as well as new (good or bad) products and services--- and, of course, all the 'Good', the 'Bad' and the 'Ugly'.
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