September 27, 2013 — I have written on this topic over the years and though I claim no exclusive rights to the idea, to the best of my knowledge there might only be one or two developers who’ve employed this highly successful method; and in this new era and challenges developers face maybe the time has come for more developers – if not everyone – to jump on the bandwagon and come on in for the big WIN!
So Here’s The Scoop. What developer in our industry doesn’t want to lower their base sales and marketing costs? What developer in our industry wouldn’t want to eliminate rescissions? What developer in our industry would not want to stop giving out costly gifts and premiums? What developers in our industry wouldn’t want to generate even more revenue and profits? I ask you – what developer?
To address those questions readers need to know that for the decade preceding my life and journey in the Land of Time I was a professional corporate sales executive, with my last position being the Far East Sales Representative for a major U.S. Defense Contractor. Prior to that position I was a regional sales rep in the western USA for one of the nation’s largest industrial supply companies.
In both those positions my dealings were with either the owners of companies and/or their executive-managed staffs – and sometimes, although rarely and depending on the products/services, I also dealt with sold to procurement professionals for the companies.
And it is just ‘that’ — the marketing and selling to the ‘corporate’ (company) ‘accounts’ — that timeshare developers should aggressive pursue, because that is also a market (business owners, their Execs, etc.) that often insists on superior accommodations when traveling for business or pleasure anyway. I.E. They’d ‘like-it’!
Next, these corporate ‘prospects’ – if converted to owners/members – would surely ‘use-it’ and unlike John and Betty Normal being dragged in off the street to a sales presentation these companies (prospects) have more ‘affordability’ options at their disposal – which means they would ‘want-it’ too!
Like-it – Use it – Want it? Touch Down!
Plus there is no shortage of these prospects because from the smallest town in Florida to bigger cities like Seattle, WA — and all across just the USA — there are about 30 million companies (Inc. LLC, S Corp, SP, etc.) just ripe for the picking, sort of like ‘creaming the room’ (closers will get that)!
One of the many great aspects of going ‘corporate’ is that with this market ‘they’ don’t require any (e.g.) dinner-for -two tickets, etc. to get an appointment in order for the Rep to meet F2F with all the decision makers and present the TS plan so that they can preview the ‘product/services’ – and simply make a yes or no decision then and there!
Another fantastic developer benefit is that any (repeat: ANY) developer can do this regardless of where they are, and they can do it for a lot less than the traditional timeshare marketing and sales costs.
The idea is to start small – but to start. And I can guarantee with 100% certainty that not only will a developer not lose one penny, they’ll not have to make an upfront investment — and they will create a whole new revenue stream and profits!
And it will only take two ‘Professionals’ to get the ball rolling. The first being a Pro who is an appointment setter – and I do mean a Professional – who calls up businesses in the target market – speaks directly with the ‘decider(s)’ – explains the very basics – determines the interest level – and that (e.g.) the company isn’t on the verge of being indicted and/or filing for BR – and then sets the appointment for the second Professional Rep to come and meet the deciders F2F.
‘Show, Tell, Sell & Close’ the deal!
As for costs and getting started? Well, as a guideline try paying a ‘PROFESSIONAL’ appointment setter (Yes they do exist – but they’re not of the $10-$15 per hour variety) a base of say $1,500 per month. And said Professional only needs to book (in the beginning) the outside F2F sales Pro one solid & double-confirmed appointment per day, five days per week.
By the way, a Professional Rep selling to companies on an appointment basis — assuming the product/service is viable and fills a need and is affordable — ALWAYS yields NLT a net 25% closing ratio.
And when these prospects purchase they are doing so in the comfort and security of their ‘office’ and absent the traditional timeshare sales center ‘action’ (or smoke, mirrors, bells & whistles) these F2F B2B deals ‘stick’!
So you pay the F2F rep (e.g.) a flat 15% on each contract. Over the course of the first four weeks she/he closes the 25% and at $18-K per contract that generates a base sales/marketing cost of $16.67% on $90,000 in new business. Oh, and many businesses will also be all cash buyers, too!
Besides – if a developer is willing to live with the traditional sales/marketing costs in the 50% neighborhood – then that would mean doing as I’m suggesting should be pretty darn attractive to any money conscious developer.
So the first month passes by and all goes well. Let’s see now – what could be done next to generate more revenue and profits? Oh, maybe hire the second Professional appointment setter to book appointments for the second Professional outside F2F B2B sales rep – and then from there…
As a side thought, nothing should prevent any real ‘go-getter’ currently in our industry who is a professional rep & closer (F2B = front to back Pro) from doing this all by their lonesome and approach their developer telling ‘em how it was, how it is – and how it’s gonna to be.
Translated: Cut a S/M deal (have a contract) with the developer, the developer continues to pay the F2B Pro that 50% (average – they’re paying anyway) sales and marketing costs on all new business said Pro ‘self-gens’.
And now this Pro would be off and running with their own new independent (1099) business venture and laugh all the way to the bank – earning – less the monthly $1,500 Professional appointment setter payment – a lot of extra ‘huskies’ (aka: C-Notes – Benjamin’s – Cabbage – Dinero – Moola) on each and every deal – Vs the average commish paid out to said rep casually sitting in a sales center somewhere waiting on ‘whatever’ walks through the door!
Either way! A developer setting this operation up in-house or a real Pro going independent, these prospective ‘owners/members’ of business-owners is a huge & very lucrative market that should be aggressively sought after — beginning yesterday!
Good Luck Out There!
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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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