Jul. 9, 2008 at 9:11am

Las Vegas: land of lights, gambling and time shares

Posted by Melina Young in Talking to Members, The Power of Creativity
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My husband and I just got back from a “free” vacation to Las Vegas from a time share company. They paid for our hotel and gave us free show tickets in exchange for 90 minutes of our time.

You all know the deal. The plotting and planning with your significant other to ensure neither of you gives in to temptation and actually buys. Why do we need to conspire like that?

Because vacation ownership is a $10 billion a year industry. According to AIF, the U.S. had 1,604 time share resorts, with 154,439 units, in 2006 – and 4.4 million owners.

Our genuinely likeable saleswoman explained to me that one in four people who attend the seminar buy a time share. How does that happen? How does this industry manage to convert millions of stubborn Americans into shelling out thousands of their hard-earned dollars? During the spiel I couldn’t help but notice similarities between time shares and credit unions.

1. Ownership. Time shares sell “vacation ownership.” They show you the various vacation options (hotel, vacation home, time share) and compare the pros and cons. For them, ownership sells. They have supporting information and examples that make this claim extremely relevant to consumers.

   What can we do to make credit union ownership an equally desirable selling point? How is ownership an irresistible benefit?

2. Savings. Directly tied to “ownership,” a simple calculation showing how much money you will spend on vacations in your lifetime gives a startling number.

   What savings calculations can we show potential members to help them visualize the benefit? Lower interest rates on home loans or more money going toward principal instead of interest on a credit card payment? Long-term relevance makes long-term members.

3. Freedom. Time shares provide all the benefits of owning property without being tied to one vacation home.

   Credit unions offer financial freedom and independence. The destination is different, but the emotional response is the same. Financial freedom has unlimited benefits for the consumer. How can this be explained in a way that relates back to the individual consumer?

4. Collaboration. To make the vacation experience convenient and easy to use, time share organizations around the world work together to create points or other tradable plans between companies and resorts. This lets owners visit thousands of destinations without being tied down to a home resort.

   In the eyes of the consumer, this network is similar to shared branching.

The Las Vegas salespeople had tools to show anyone how they can benefit from a time share. What could credit union staffers use to help them personalize every conversation? These tools can help convert potentials to current members or inspire current members to make you their primary financial institution. Does anyone have a good example of how their credit union is using this kind of tool?

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