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Yacht Club Membership Life Cycle

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Submitted By stephanieat7f
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Pages 6
Part 1 – written by Stephanie
Executive Summary
Continue the fast growing business from 2010s. The club is attempting to stretch its market share to 10% growth and soon to become one of the market leaders in the industry. Somewhat like Marina Boat Club, we own and operate a yacht club with providing a differing facilities and quality service. The guest can count on whether to have gourmet dinning in the lounge or join water sport training program & cruise party in Stanley Bay .
Voice-over the brand and build up our reputation and strengthen to the audience’s perception is the front burner.
From the coming year, a more mature membership plan will be developed. To catch the selected audience awareness, the promotion plan will be execute which comprises direct mailings, Internet, inserts, SMS, as well as joint promotion with Quicksilver. A series of social activities and training program would be held concurrently.

From the year 2012, it is anticipated that there will be 100 members drawn from the local district in result ideally. Strong retention program will be followed up comprises Membership referral program and a series of exclusive discount offer.
To deal with any changeable on customer behavior and trends, we decided to employ the database of America Express for analysis and assessment. The geared data will be used to match up the promotion plan accordingly.
Anyhow the whole development will be completed by three years and review the process and results by season.
Target segment

Our target market is only exclusively for the HK resident with foreign nationality and boarders.

It primarily consists of heads of household between the ages of 35-54 years old with household incomes averaging HKD1, 000,000 / yr. Generally some of them actually are yacht owner and get used to have resort trips aboard range from 3 or more for a year.

Secondary, segment includes singles and younger enthusiast. They have sustainable demands on attempting water sport which assembled with quality and style. Whether begin to learn, improving, or just enjoy their sailing safely.
Thirdly, the doubles or family groups are activist on catering services and relish for quality resort conventionally.
Background (with internal factors)

The club was found in 2008 and which was committed of a small core of enthusiasts and the generosity of the private owners. It was only after a period of dormancy in the 2008s, the board of directors appointed Mr. Johnson as CEO whom subordinated to the Marine Yacht Club before. Under his comprehensive expertise and experience in club house management, the club was constructed to distinguish its feature on catering as well as numerous water-sport training, regular cruising opportunities, and participate on sailing event.

Existing membership essentially comprises:

Local corporals and below of subordinate members (generally who pay an annual subscription to the Club); and retired members (many of them life members who continue to support the Club). The active membership of the Club tends to average about 150.

The aim of the Club is to promote, encourage and facilitate all aspects of sailing in order to provide its members with the opportunity to learn improve or just enjoy their sailing safely and, where appropriate, in a challenging and competitive environment.

Opportunities from demographic and consumer behavior

Over 30% to 40% of the total populations in HK are earning an income of HKD 40,000 to 60,000. Middle class income group are often occupies as management level or professional such as doctor or architect. They have spare money and quality of life concerns. People now are keener in pursuing a better living standard. Many high class entertainment trends have been developed, such as gourmet dining and sailing. Yacht sailing, which seems exclusively to the rich for a decade before, but now, even middle income group could be able to afford. Yacht membership previously are only a label for rich men, now as there are many different class yacht are available in the market, even some 2nd hand yacht only cost HKD50, 000 to HKD 100,000. Owing a yacht definitely is not a dream.

In the meantime, growing at a solid 15-20% per year, the demand for diversifies water-sports & sea font resort enjoyment is much higher than the market currently supplied.

Therefore, the market still waiting for development and expand.

Strengths

We have got over 10 trainers with professional license and an efficient workforce including yachtsmen and security team. Our gourmet dining has earned international chef awards specifically.

The club participates continually on China Sailing Champion for 3 years and earned excellent performances from last year. This internationally recognised event provides the Club with a very public and prestigious stage on which to perform with the obvious benefit to media image and recruiting potentials and get audiences to admire. More, the recent results at HK windsurf cup and other popular local events have been strong and enhanced esprit of the club both internally and externally. It provides another powerful dimension to rivalry with competitors.

Weakness

The existing lodge in Stanley can only accommodate 150 guests embracing shopping center, dining, gym rooms and lounge. It is expected there will be a limited on facilities and a longer waiting list to deal with the fast growing membership. Supposing, demand will outweighs the supply.

However, besides the lodge in Stanley and the other one is slated to be finished on 2013. Therefore, the addition would be straightened out this problem. (Limited in facilities but also turning to be opportunity)

Vary from other competitors like Marine Boat Club which is a subsidiary of The Kelly Group. Without such a tremendous parent company, the development and operation would be much confined by limited resources.

Threat

Affected by the aging demographic of HK, more members/ resident (approx: 45 -50years old) are stepping to retire. Their consume power will be limited and less willing to expend due to the lower income.

Government and environmental organization take more concern on sea pollution. The water-sport activities would be norm in neither harsh nor restricted. Example, diving in Sai Kung three star bay now is prohibited.

On the other hand, the recover the ocean clearness will enhance people more motivation on water sport.

Competition
Direct competition within HK consists of seven yacht clubs. However, the true competition is actually the all-inclusive yacht club. They offer water-sport provision, lodge, catering, inshore races and cruise. Discovery Bay Yacht Club, currently there also owe 2 operations in HK : Yacht club and Marina club. On the other hand, they offer marina facilities too. However, it’s quite far away from town centre. The location of site makes them disadvantaged. The another competitors, Royal HK Yacht club which is the market leader. Their principle base locates in Causeway bay. Another site in Repulse Bay (also on Hong Kong Island), besides of moors dinghies they also offers training and rowing facilities, and a site at Shelter Cove near Sai Kung in the New Territories, with provision of houses cruisers.

Diversification

The club hosts differing water sport activities and related course which is fast becoming a popular alternative to both vacations at the beach and sea-front resorts. While other competitors still only concentrate on their traditional business – yacht charter and gourmet catering, the club has been focus of this recreational activity and makes the provision of opportunities on a commercial basis.

Our resort will differ in the service. Quality service and attention to details far outweighs cost concerns. Some areas of quality service include the food, staff, amenities, and our training program.
Guest can choose to relax or enjoy all of the water sport they can handle. From our day-lodge, guest can go fishing, or cruise party, water skiing, lounging at our sandy beach. Also, throughout the summer, we will host numerous sailing event and training course.

Due to surplus in the industry, there’s no single yacht club can offer a variety of water-sport options assemble in sea-side resort features. Even if yes, such as RHKYC they are enterprise managed with systematical culture: a high doorsill. Contrary, we aimed to provide a geniality atmosphere as our club culture.

Management
Approximately, both of the clubs acquire member visit and consume rate at 90+% throughout the winter season. In 2010, RHKYC operations drew over XXX visitors spending over XX million dollars. The strategy of RHKYC to deal with such contingency is frankly faultless.
Similarly, To subsidies and retain revenue on low peak season (mostly fall winter), our core business would be shifted to resort & catering correspondingly instead of outdoor sport. A consistent level of quality and services would be undeterred. The guest can count on sport in the in-house swimming pool or enjoy grand dinning inside clubhouse.

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