By Bruce Tepper, CTC, CTIE
Most people are joiners. They join service clubs, trade associations, the PTA -- you name it. We are a nation of members in all kinds of organizations. We join for any number of reasons, ranging from a spirit of volunteerism and community service to doing social and fun activities with people we enjoy.
Travel clubs are no different. The concept certainly is not new in the travel industry, but creating a club for luxury buyers is different and requires a different approach. The traditional agency club is often free or has a nominal annual fee of around $25 or $50.
Club members usually get a newsletter, special pricing, and perhaps some special products and group tours that you market only to your club members. After all, there have to be some perks in membership. Luxury travel is different in many ways.
Let's look at what it takes to create a travel club for luxury-oriented buyers. Successful luxury clubs usually have high fees. The perks that members expect are often expensive to provide, high fees keep out the "riff-raff" giving your club an air of exclusivity, and such fees establish a real value to membership.
Annual fees of $500 or even $5,000 would not be unreasonable. I'm aware of clubs that charge a good deal more than that. As another point of reference, look at what banks are charging for some of their premium credit cards. Consumers don't seem to have any problem paying $250 a year or more the privilege of using a particular credit card, with "prestige" usually being the only benefit included.
Membership benefits must be unique and special. For example, you should offer private receptions at top restaurants and private clubs in your area featuring slide presentations on hot new trendy travel products. The receptions are upscale, complimentary, and by invitation only to members.
Offer special pricing on very unique and exclusive super high-end travel experiences. These could be individual or group activities open only to your members. For example, you could offer a Mediterranean sailing on a private yacht with visits to places cruise lines miss or a chartered private business-class jet for an around-the-world adventure.
Depending on the unique interests of your clientele, you could create any number of special experiences tailored to their interests, ranging from private boxes at La Scala to tickets to the Masters to tours of elegant private homes conducted by a professional designer. You can offer a special discount for your club members or better yet, limit participation to club members only. You can create local and unique activities to bring your club members in contact with you more frequently.
For example, in the small town where I live we have a very active repertory theater company. It's easy to take over the theater for a private performance and host a reception afterwards. You can tie in with a charity and turn it into a black-tie event if you want outside publicity.If you are located in a central business district, create a private club just like the airline clubs for busy executives to escape to from their office. Your private and exclusive oasis could be a most welcome way to build more business.
You also can offer club members a private, dedicated unlisted phone line (so they get through quickly) and staff it with your very best people. This is probably the most important item on this list.A successful club allows high-end travelers to address their crucial needs.
Such a club will allow them to talk with knowledgeable professionals, be treated with extreme courtesy and attention, and be treated to exclusive perks not available to others. At the same time, such a club must offer products and services rarely if ever found in typical travel agencies.
Put another way, you become the super concierge and resource for all that's great about high-end travel.Keep your focus on quality and value together. Even the wealthiest don't want to pay too much. But also make sure you deliver extraordinary service.
There's no reason you can't charge a $5,000 fee, as long you provide at least $5,000 worth of "value" in the eyes of the customer. Imagination is your only limitation. Put some creativity into designing a club that fits your areas of expertise and your unique customer base
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