September 11, 2015 — Two married couples unknown to one another are on separate vacations and enjoying their holiday this week in Orlando, Fl. Both find themselves invited to the same timeshare presentation on the same day. To qualify for the presentation and gifts the resort requires a minimum annual gross income per household of $50,000. Both households meet that requirement as each family is earning $50-K (gross) annually but there is a serious miscalculation. And that error is not only costing the developer lost selling opportunities every day but sometimes reps are getting fired for not selling one of these couples; a blunder not of the rep’s own doing or responsibility.
So Here’s The Scoop: As it turned out one of the couples hailed from Mobile Alabama, living and working a short distance from the beach area off the Gulf of Mexico. The other couple is from California, living and working in the San Jose region. Both sales guests have no children, love to travel, take vacations including weekend get-aways, etc. — which sounds like 2 pretty darn good selling opportunities except for one wee detail that has plagued our industry every selling day over the past half a century.
In this instance, that is the $28,446 difference the good folks at salary.com tell us about via their “cost-of-living Wizard”. You see, as it turns out the couple from the San Jose region actually needs to have a ‘combined household income’ of $78,446.00 (gross) to equal the same basic standard of living, lifestyle and purchasing power as the sales guest from Mobile, AL enjoys with their $50-K (gross) yearly household income.
Now that is about all I should have to say on this subject and within hours after each developer, their Exec staff and/or other management reads this week’s column, BAM, they’d immediately make the appropriate adjustment to improve sales and increase profits on day 1 and stop firing reps when (e.g.) ‘that one couple’ was the straw that broke the proverbial camel’s back, so to speak.
However, at this particular sales center, both couples’ are tallied up at the end of the day by the sales manager, the PD, the DOS, the DOM and the developer’s executive staff (developer, too) as fully “qualified” sales guests.
Equally wrong is each time this happens these ‘tours’ will be counted against both the ‘room’ (sales manager) and the rep’s STATS – in some cases lowering those STATS to a point that a rep might be sent packing or at least put on overage and/or on the bottom of the list for the next wave or day. And sometimes the sales manager can get the ax, too, for not hitting the ‘numbers’.
Just imagine how much money is being lost if (e.g.) 25% of every 1,000 of those expensive sales guests from all over the country/world meet the developers minimum gross income requirement – but in reality they are $5,000, $10,000, $20,000, $30,000 or more ‘short’ of the very income (aka: purchasing power) that the developer insists is sufficient to buy a slice or two of Paradise.
The good news is the ‘fix’ is so simple that my dearly departed Grandmother, God bless her soul, would have known exactly what to do that would immediately halt this costly practice and generate a lot more sales. But, since my ‘MaGa’ is not able to chat today I’ll share the simple little formula that I’m sure she would have figured out with the facts in front of her, and the cure-all starts with (e.g.) “Where you folks from…?”
Using the aforementioned couples as the example the first couple is spotted walking down the street in Orlando and the OPC asks that question. The friendly husband responds “California” and the OPC (who now has her/his first clue) responds saying “beautiful State. What part?” “San Jose” the wife proudly answers.
Now, if the DOM took an hour or two and developed a (e.g.) grid or chart for their OPC’s showing the income differences throughout each region of the USA (and beyond) then voila! Magically the OPC knows the real income level that matches the developer’s requirements. If a potential sales guest doesn’t have that income – well, Golly Gee Wally, they’re not invited and the developer saves a yuuuuge wad of money each time!
OMG: How exciting!
It sure is Bubba and the same is true of all phone rooms. They already know the regions they are calling and/or receiving calls from so their DOM simply provides the same info for those folks – and there you have it – more qualified sales guests who meet the developers’ demands and that usually equals more SALES!
It’s all pretty basic and simple, if developers would will it!
Now don’t thank me for bringing this to everyone’s attention because I’m all about peak performance, more commissions for the reps as well as increased sales and improved profits for the developer – especially when accomplishing that simple task does not require any additional effort or cost!
P.S. I can’t help myself (once again) – so much for that “AN UP IS AN UP” combined with “Either you sell them or they sell you” doo-da!
Good Luck Out There
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Contributing sometimes extravagant, bombastic, emotional, pompous or even pretentious writings about the timeshare industry (but always spot on!), 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’.