Hotels & Resorts

Wholesale Vacation Club Program

Most hotels and resorts concentrate on short term they are overlooking a major potential revenue source. We assist our clients by evaluating their inventory management and helping them adjust to take advantage of programs to help increase their bottom line.

This program benefits Hotel and Resorts by calculating the performance of their excess and least performing units to determine how many units they can incorporate in our program. 

By improving inventory management, a property may be able to free up units to put in our Wholesale Vacation Club Program that would earn considerably more revenue than they are currently producing.  

​​​Hospitality Representation does not compete with the resort for vacationers. The leased units are only used for club members. In fact, many members will want to stay for more than the week they are entitled to with their membership and will have to deal directly with the resort for any extensions at the rate you establish.

Payments to the resort are made automatically by wire transfer (unless requested otherwise by the resort) so that they are received AT LEAST 2 weeks prior to the start of each month. The resort is paid for the units whether or not they are used by Hospitality Representation.

Hospitality Representation leases the units on long term leases. The lessee is Hospitality Representation LLC, not the individual club members.

 

Most jurisdictions do not consider these to be short term rentals and are generally not subject to any sort of hotel tax. Check with your tax advisor. 

 

The concept is similar to a company leasing a condo by the year for the use of their staff or clients. 

How the Wholesale Vacation Club may work for you 

  • Fill unoccupied units:

    • The program is designed to increase our clients overall profit and RevPAR. HR will work with you to help determinine how many of your units would be the most beneficial to you to include in the program;

 

  • Improve RevPAR:

    • Filling unused room nights are a clear way to improve RevPAR;

 

  • Significant increase to bottom line profits:

    • Guaranteed added revenues from the program combined with some cost savings from various aspect of the program are designed to do what Hospitality Representation LLC does best, help our clients increase their bottom line!

 

  • Increase revenue from concierge services:

    • Member information is given to our clients in advance. Many clients choose to increase revenue by contacting them to offer concierge type services to also enhance their guest experiences;

 

  • Increase revenue from spending at property:

    • Increases occupancy means more guest spending money on site. Besides F&B and other typical revenue, this also may mean condo or timeshare sales. In those cases, you may not force a member to attend a presentation or such, but if they choose to and you sell them a unit, the revenue is yours. No commissions are expected by Hospitality Representation LLC.

 

  • Increase revenue by re-renting our unoccupied units and retain full revenues collected:

    • We notify our clients at least a week in advance of check ins. Occasionally there may be a last-minute reservation but rarely. If there are a number of units that are not indicated as checking in, we have no problem with our clients re-renting the units for that time. We still pay for the unit, so your added revenues are pure profit.

 

  • Easy cost control with same day check-ins:

    • Our weeks are based on a day agreeable to the clubs and the property. This enables our clients to schedule staff accordingly and save costs;

 

  • Property can request check ins Saturday to Saturday, Sunday to Sunday, or Friday to Friday check ins:

    • This will be clearly in the lease. If a member wants to check in or out on another day, the unit will be empty for the rest. There are no double check ins. One member reservation per week. 

 

  • Increase exposure without increasing marketing costs:

    • Our clubs must market our client’s property to their members in order to get their interest and use. This means free exposure to millions of members who not only may come as part of the club but may refer friends or come at times without using their membership.

 

  • Repeat and referral business from members returning as future guests:

    • When a member is happy, they may return or refer to your property. 

 

  • Members can reserve extra days directly with the resort at normal property rates:

    • Members may only reserve in weekly increments. If they want to check in earlier or check out later, they must go through you. Since specific rooms are not required, you can take full advantage of this added revenue by using your inventory management to coordinate units. If a member desires to bring others that also need a room, if they are not members, they can not reserve a club room and must go through you. In either of these cases, the entire revenue is yours. No commissions are expected by Hospitality Representation LLC.

 

 

 

Some Considerations:

  • Lower ADR:

    • Although RevPAR will increase, your ADR will decrease. Property owners and managers are concerned more with bottom line than ADR, however one method that is used by some clients is to show these long-term rentals as a separate division of your property, which in fact it is. Thus, this becomes a guaranteed revenue generating division while the rooms division would now have fewer rooms but virtually the same overall revenue for those rooms as before. The result is increased RevPAR and a stable ADR.
       

  • Lost Holiday and or other times where property would have had 100% occupancy at higher rates:

    • While some room revenue for the units leased to the program would be lost, the property should only place units into the program where the lease revenue in the program exceeds any lost revenue for the total that each of those units would produce from reservations that would not be places through inventory management.
       

  • Higher occupancy in remaining units results in the need for reservation department to exercise good inventory planning.

"Inventory Procurement for the travel industry   and increased occupancy for the hotel industry"