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Old 08-20-2008, 07:58 PM   #1
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Default UE cutting back on advertising?

A friend of mine was told by UE's media company that due to the economy and slower sales than anticipated they are cutting back on advertising this year. Doesn't sound too positive.
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Old 08-20-2008, 08:11 PM   #2
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Default Re: UE cutting back on advertising?

Especially if you are on the resignation list and they aren't bringing in new members..., but not good for remaining members, too, as that means minimal new properties.
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Old 08-20-2008, 10:06 PM   #3
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Default Re: UE cutting back on advertising?

I was told they were focusing on member referals and internet advertising vs. print and other media which has not generated sufficient results to justify the costs. I would not read more into this than refocusing their membership sales efforts. I also think prudent spending makes sense with a slower economy.
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Old 08-20-2008, 10:31 PM   #4
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Default Re: UE cutting back on advertising?

Most clubs I speak with "prefer" organic growth from current member referrals as the best source of new membership sales.

Then they are also focusing on Internet advertising and some select print advertising.

This is a difficult business to sell and the target market is limited.
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Old 08-20-2008, 10:47 PM   #5
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Default Re: UE cutting back on advertising?

Quote:
Originally Posted by DC4MS View Post
Most clubs I speak with "prefer" organic growth from current member referrals as the best source of new membership sales.

Then they are also focusing on Internet advertising and some select print advertising.

This is a difficult business to sell and the target market is limited.
Yes, but given that the new documents effectively burn the last bridge with current PE legacy members, that organic growth might be a tough one.
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Old 08-20-2008, 11:02 PM   #6
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Default Re: UE cutting back on advertising?

I doubt all the legacy PE folks are pissed---and I'm sure things will get better with time. I am sure many of the UR legacy folks like myself will also continue to help the club grow and give them referals and would suspect that it is in all of our best interests as long as we get great service and vacations to help the cause.
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Old 08-21-2008, 03:51 PM   #7
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Default Re: UE cutting back on advertising?

I am a PE Legacy and I am not mad anymore at all...now that I understand everything, I am ok with the situation.

Regarding marketing, this is a silly thread. First, UE's marketing budget will be in the top 2/3 in the industry, so their media buys will always be much greater than most. Second, the economy blows and I too would be cutting overall marketing expense (if this is even true) - its no different than any consumer business watching the P&L a little harder these days.

I am a little surprised that people still have a problem with the merger. We get to keep our old reservation caps and number of days allowed to travel...we give up a CPI calculation that is a bit heavy and the right to use hotels and other "affiliate" opportunities. I, for one, think that is a pretty good deal...as unlimited days are a massive value. Doesn't anyone think UR members may be a little mad that we get to keep these things? I would be. Lastly, I kind of like this Jim T. guy. Never met him, but he seems like a real businessman - and as much as Rich K. is an energetic guy - we probably can all agree PE was not built for the long haul from a Business Plan perspective. UR management wants to tighten up the financials - and we should want that - not be mad about it.

Not saying its all smiles, I have had my gripes, but I have more than moved on and would still reccommend the club for sure. I bet 90% of the people are this way...and the ones that are not probably get over it.
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Old 08-21-2008, 06:59 PM   #8
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Default Re: UE cutting back on advertising?

We all prefer to get referrals from happy existing members, rather than spend those ad dollars.
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Last edited by Quintess Michael; 08-21-2008 at 07:15 PM.
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Old 08-22-2008, 06:55 PM   #9
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Default Re: UE cutting back on advertising?

PWRSHIFT - I am curious where you heard that UE was cutting back on advertising. I have a friend who works for a media outlet who told me they were spending more this year than ever before. Although you are correct that it's mostly online.
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Old 08-22-2008, 07:08 PM   #10
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Default Re: UE cutting back on advertising?

welcome to the forum DC_Guy
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Old 09-05-2008, 09:17 PM   #11
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Default Re: UE cutting back on advertising?

Well, there's a half-page UE ad in today's Wall Street Journal. There was also a recent Halogen Guides tie-in.

In fact, I haven't seen a DC advertise more than UE this summer.
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Old 09-05-2008, 09:25 PM   #12
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Default Re: UE cutting back on advertising?

Don't know if they are the most frequent advertiser out there-or If I just seem to notice their ads as a member-but have seen them in ClubCorp's monthly mailer along with the WSJ, and Halogen and Sherpa too-(I think). They're everywhere!
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