2014 Annual Conference

Transcription

SUMMER 2014
SUMMER 2014 · VOLUME 26, NO. 3
2014 Annual Conference
Join us for the VRMA Annual Conference, Oct. 26-29, 2014 in San Diego, Calif. The Annual Conference boasts 56 concurrent sessions, multiple interactive workshops, three keynotes from vacation rental and business thought leaders, and a Vendor Showcase filled with dozens of solutions, products and
services that can make your life easier. For more information and to register, visit vrma.com.
Should You Contract
Out Work?
Independent contractors offer flexibility and reduced costs.
But there are pitfalls as well.
O
By Steve Bjerklie
n the face of it, the vacation rental
industry is ideally suited for temporary, or contract, freelance workers.
The business’s seasonal cycles – the highs,
the lows, the shoulders – almost demand
a workforce that can expand and shrink as
needs dictate. This is especially true
in housekeeping positions.
But while hiring temporary workers to fill
in the gaps during
high season may be
an easy solution,
it’s not necessarily a simple one,
emphasizes Sue
Jones, founder and
managing director
of the KLS Group, a
human resources con-
1
sultancy based in Bend, Ore. More often
than not, she says, “I am seeing that businesses are hiring independent contractors
but treating them as employees. This is a
slippery slope.”
The advantages of hiring independent contractors are several. Jones ticks
them off:
• Reduced costs, including payroll and other
taxes, benefits and
overtime.
• Greater flexibility.
• Supplement workforce “as needed”
during busy periods.
• Contractors are
easier to let go.
Continued on page 8
Five Easy Steps to More
Bookings and
Increased Revenue
By Matt Hoffman,
Sales & Business Development
Director, InstaManager
F
rom balancing staff resources to
addressing guests’ needs, a typical day
for vacation rental managers can be
daunting. Couple that with the need to generate more bookings and increase revenue
and you can feel defeated before the day even
begins.
Continued on page 5
Contracting Out Work................................. 1
Five Easy Steps......................................... 1
President’s Message.................................. 5
Board of Directors Update.......................... 6
Sponsor News......................................... 10
Member News......................................... 15
If Disaster Strikes.................................... 16
Rental Regulations.................................. 20
New Members......................................... 21
Calling All Leaders................................... 24
Customer Loyalty..................................... 27
Telling the VRMA Story............................ 30
MAGAZINE OF THE VACATION RENTAL MANAGERS ASSOCIATION
2
3
2014 OFFICERS
Ben Edwards — President
Mike Harrington — Vice President
Maureen Regan — Secretary
Alan Hammond —
Treasurer
/
DIRECTORS
PRESIDENT’S
comments
Message from the President
Ben Edwards
Matt Curtis • Lee Hughes
Bob Milne • Steve Milo
Jodi Taylor Refosco • Carole Sharoff
Tristan Webb • Heather Weiermann
/
VRMA STAFF
Mark McSweeney, CAE
Executive Director
Shelly Pfenninger
Director of Communication
Jamey King
Business Development Manager
Jill Curtis, CAE
Director of Membership
Sheila King, CMP
Director of Meetings & Education
Laura Miller
Administrative Assistant
Steve Bjerklie
Contributing Writer
VRMA Review is the quarterly magazine of the Vacation Rental Managers Association (VRMA) and is written, published and distributed by the association. Topics
and articles to be considered for publication are always
welcome at the VRMA office:
9100 Purdue Road, Suite 200
Indianapolis, Indiana 46268 USA
Ph: (317) 454-8315 ext. 145
Fax: (317) 454-8316
E-mail: [email protected]
Want to be published in The Review? We
welcome articles and article ideas from VRMA
members and industry experts.
For advertising inquiries please contact Shelly
Pfenninger, director of communication, at
[email protected] or (317) 454-8315.
ARE YOU CONNECTED?
Connect with VRMA, Discover Vacation Homes,
and Getting Away Together online! Add VRMA
to your safe senders list to ensure you receive
the latest industry information and publicity
opportunities.
VRMA
Web: VRMA.com
Facebook: facebook.com/TheVRMA
Twitter: twitter.com/VRMA
LinkedIn: Vacation Rental Managers Association
(Official)
Discover Vacation Homes
Web: DiscoverVacationHomes.com
Facebook: facebook.com/ DiscoverVacationHomes
Twitter: twitter.com/GoVacationHomes
LinkedIn: Discover Vacation Homes
“Getting Away Together”
Web: GettingAwayTogether.com
Facebook: facebook.com/GettingAwayTogether
Twitter: twitter.com/GetAwayTogether
Pinterest: pinterest.com/GetAwayTogether
4
Dear VRMA Members,
A
s we near peak summer season, I am amazed at how quickly this year has passed.
Perhaps, it is because my wife, Tiffany, and I have enjoyed watching our now 10-month
old son, Henry, grow by leaps and bounds this year, nearly eating us out of house and
home. Or, it could be the fact that we are experiencing a significant growth period in the industry. Vacation rental managers nationwide have seen increased web and voice traffic leading to
more reservations year over year. In the case of the Edwards family, it may be both instances,
but for most vacation rental managers, there is a clear increase in year over year results necessitating a much faster pace in 2014.
This increased pace, in my opinion, is as a result of vacation rentals becoming a mainstream
lodging accommodation, making it easier to find and rent a vacation rental. Clearly, there is a
proliferation within the vacation rental industry at the moment, and I expect, for years to come.
The benefits of increased occupancy and financial performance are easy to appreciate—they
create a sense of security and comfort in a voluminous service business. However, it is during
this period of industry gain that I would argue that vacation rental managers must be more
cognizant of their environment, better organized,
and continue to place serious focus on the future.
Becoming more involved in the VRMA is a great
place to start sharpening these skills, allowing you
to get the most out of such a bull market.
It is during this period of
industry gain that I would argue
that vacation rental managers
must be more cognizant of their
environment, better organized,
and continue to place serious
focus on the future. Becoming
more involved in the VRMA is
a great place to start sharpening
these skills, allowing you to get
the most out of such a bull market.
Just as vacation rental managers should be more
diligent in operating their business, the VRMA
Board of Directors has been more conscientious with
doing the same. The Board has recently reviewed
the strategic plan in further detail and we have
determined which areas are becoming increasingly
more important to the membership and the industry. One of these areas of interests is governmental
affairs. At this year’s Western Seminar, Matt Curtis,
Director of Government Relations with HomeAway,
spoke about HomeAway’s current tracking of proposed constrictive rental legislation in more than 200 cities across the U.S., up from 45 cities when
he started with HomeAway a few short years ago. These statistics prove what many of us have
recently experienced. While I realize this discussion continues to be a less than attractive conversation, it is acutely important to the industry and your business as more vacation rental managers
are affected by onerous legislation designed to restrict vacation rentals.
Conversely, we have re-prioritized those items that have become less important or germane
to the association’s direction. We have invested numerous man-hours in further creating tangible value for the membership by first establishing a value of membership task force, which is
designed to review and increase the value proposition for vacation rental managers. Secondly
we have created a membership recruitment committee as an effort to enhance membership
recruitment efforts. These committees, collectively, are focused on capturing a larger, more
Continued on page 7
Five Easy Steps Continued from page 1
So what can today’s vacation rental managers do to help allocate more time toward revenue-generating opportunities?
Consolidate your
marketing channels
It’s vital to ensure your marketing channels are up-to-date, error-free and communicating a consistent
message is vital. When you consolidate these channels and eliminate manual entry to each one, you
reduce the chance for errors and increase your data integrity. Plus, having to enter information only
once will save you a tremendous amount of time; time to focus on what’s important.
Typically, travelers start their vacation search using travel sites such as Booking.com, HomeAway
or FlipKey. MMGY, a travel marketing services firm, reported that in 2013, 58 percent of all travelers
turned to these online booking websites–that’s more than the overall percentage of travelers who visited these brands’ booking portals (45 percent) and travel agency websites (6 percent) combined.
Optimize your
search engine listing.
Go local.
Is your company registered with a Google local listing? If not, you may be missing out on millions of
potential guests. In April 2012, Google Maps was the top web brand in the travel brand category with
79 million unique U.S. visitors, followed by other popular mapping sites, according to HotelResearch.
Create a free Google Maps thumbtack that identifies your location along with your contact information and website address. This simple hack will help your properties pop to the top faster because
Google gives preferential treatment to locally optimized listings. According to trusted SEO resource
Moz, having a great local listing was the number one indicator for ranking well in 2013.
Work in an
always-on ecosystem
Communicate
in real-time
The increase in mobile usage among consumers is creating a greater need for an always-on environment. People are using smartphones to manage their day-to-day lives 24/7— from communicating
to making purchases, searching for information, and more. They expect brands to be available or
responsive when they are.
You also may want to consider investing in a strong mobile presence. We found that when contacted
within the first five minutes, a traveler is 22 times more likely to book a reservation. So, the faster you
respond, the greater chance you’ll have to capture and convert a lead. Also, consider having a universal inbox to capture all communication (phone, email, website inquiry) so you never miss a lead. And
for those moments when you can’t respond, set up an auto responder to share relevant information
from booking information to availability. Gartner Research found that companies that automate lead
management see a 10 percent or greater increase in revenue in six to nine months.
Real-time systems give you a true understanding of what is happening within your business operations – as it happens. But it doesn’t just help you get a bird’s-eye-view of the business. Real-time systems help eliminate wasted time, speed up your processes and reduce errors. By providing real-time
data to your third-party vendors, such as cleaning and maintenance, you eliminate trips to the office
for assignments and minimize error rates, duplication and miscommunication. Additionally, real-time
systems allow you to view bookings or check outs as they happen, giving you immediate insight into
cost and revenue centers.
If there’s one hack you should remember, it’s this one—operate in the cloud. Cloud solutions will
help you save time, increase revenue and decrease your stress levels. Your data is accessible from any
device at any time, so you can look at bookings, review statements and project your booking revenue.
Move toward
the cloud
By reducing manual and repetitive processes like inputting figures into spreadsheets, you’ll also
reduce or eliminate inaccuracies such as incorrect guest charges that can be caused by simple
human error.
Another benefit of moving to the cloud is that owners now have access to the same data that you do,
helping them gain a better understanding of their properties’ profitability, upcoming booking commissions and overall performance. And a well-informed owner equals a happy owner.
5
from your
Board of Directors
Recent
Projects
and
Goals
T
his a new section of The Review designed to keep the membership aware of some of things the Board has been working
on. The Board has been very busy since the record-setting
Annual Conference in Nashville last October on continuing
to implement VRMA’s Strategic Plan. (You can view the Strategic
Plan on our website at www.vrma.com/strategicplan.)
The Strategic Plan outlines four main goals for VRMA: Public
Awareness, Industry Value, Member Value and Organizational
Excellence. Below are brief overviews of just some of the projects we
are working on within these goals.
Public Awareness
Goal:
VRMA successfully communicates
the value of professionally managed
vacation rentals to consumers and
illustrates the value of VRMA
membership to industry professionals.
• VRMA continues to serve as the
voice of the industry through our
relationship with public relations
firm MMGY Global. For a detailed
report of recent progress,
media mentions and outreach on VRMA’s behalf,
see page 30.
• Additionally, VRMA
is undertaking a program to
examine the Discover Vacation Homes
brand, resources, messaging and website to ensure these meet the needs of
travelers today while strengthening the
core VRMA brand and providing value
to VRMA membership. Stay tuned for
updates as we begin this work.
• For the past several years, VRMA has had
the unique opportunity to be involved
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in the development and production of
a television program for PBS member
stations called Getting Away Together.
Though we recognize the uniqueness
of having this type of outreach, VRMA
has transferred ownership of the show
to the show’s creator PineRidge Film &
Television. By privatizing Getting Away
Together, VRMA is able to relieve itself
from the financial burdens and risks associated with managing the production of
the show. The show will continue to live
on as PineRidge will be able to invest
their resources and expertise into production and greater distribution of future seasons of the show. This means that though
VRMA is not involved in the day-to-day
management of the show, VRMA members will continue to benefit from this
program and the awareness it brings to
the vacation rental lodging category.
Industry Value Goal:
VRMA elevates vacation rental
management as a profession.
•VRMA is working to earmark funds
from its 2014 budget toward a government affairs program. The Government
Affairs Committee is working on mes-
saging to help VRMA leadership speak
out and serve as an industry resource
on vacation rental restrictions and bans,
and how local governments can work
with managers to develop mutually
beneficial relationships.
•VRMA is working to develop an educational program that expands beyond current in-person educational offerings. This
program may be introduced as early as
2015 and, once fully implemented, could
include everything from building an
online body of knowledge, offering online
webinars, creating certification programs
and more. This is an extremely robust and
detailed initiative that will take several
years to fully implement, but will provide
tremendous value to the industry and our
membership once it is up and running.
Membership Value
Goal:
VRMA continually grows its membership and creates opportunities
for all members to flourish.
•As technology continues to play an
ever-increasingly important role in
vacation rental operations and marketing, the Board has created an Industry
Technology Task Force that is working to
evaluate the current-day impact of OTAs
in our industry, establish how managers can best work within this landscape,
and determine what VRMA can do to
facilitate effective win-win relationships
between OTAs and professional property
managers.
•Earlier this year, VRMA launched a
revamped, searchable Member Resource
Center with more resources than ever
before to help put more resources at
members’ fingertips.
•VRMA created a Value of Membership
Task Force to help focus on what is
important to our members and what
VRMA can do to improve the membership experience.
•VRMA also created a Membership
Committee who have launched an aggressive membership recruitment program this
summer. Watch your email for updates on
how you can get involved and help grow
VRMA’s presence in the industry.
•VRMA also is working with the Finance
Committee to evaluate the dues structure
for vacation rental manager members.
•In addition to the marketing and promotion efforts to aggressively grow domestically, VRMA continues its outreach to
vacation rental industry professionals
outside of the U.S. We are committed to
growing the European Seminar and will
offer this seminar for at least the next
three years. The European Seminar has
become self-sufficient through the combination of event-specific sponsorships and
event registration fees to the point that
it generates a profit for the association.
Because of the potential global impact
on our industry, including the benefits
domestically, the Board is continuing to
support the European Seminar contingent
upon its ability to continue to be selfsustaining and profit-generating.
Organizational
Excellence Goal:
VRMA’s resources and leadership
exceed member and industry needs
•We are working to improve communication about the VRMA’s activities and the
rationale for the work it undertakes. /
As technology continues to play an ever-increasingly
important role in vacation rental operations and
marketing, the Board has created an Industry
Technology Task Force that is working to evaluate the
current-day impact of OTAs in our industry.
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President’s Comments
Continued from page 5
material segment of the professional vacation rental market place and have been
populated with various industry professionals to ensure our goals are met relative to membership. I expect big things to
come from these committees and expect
you will appreciate all that is brought to
bear.
We are fresh off of two record-setting
Regional Seminars; the VRMA continues
to serve as the voice of the traditional, professional vacation rental manager. I believe
the increase in Seminar attendance is being
driven by two things; first, the increase in
management companies as a result of the
growing industry and two, the valuable
educational sessions provided to vacation
rental managers. I am extremely proud of
the level of education the association provides and am encouraged with the strides
the Board is making relative to finalizing
VRMA’s education initiatives.
Lastly, as preparation is underway for the
Annual Conference, I think back to the
last conference in San Diego and how fantastic the area was to visit. Having stayed
at the Sheraton San Diego Hotel & Marina
in the past, I can assure you this location
will exceed your expectations. Situated
on an expansive marina in downtown San
Diego, the Sheraton offers breathtaking
panoramic views of the bay, easy access
to illustrious waterfront restaurants and
all that the great city has to offer. This
venue, coupled with the industry’s best
and brightest personnel is sure to make
the 2014 VRMA Annual Conference a big
hit. I look forward to seeing you there.
Thank you for your involvement in the
Vacation Rental Managers Association
and committing to professional vacation
rental management. /
Regards, Ben Edwards.
Contracting Help Continued from page 1
But the pitfalls for vacation rental managers
are nearly as many, according to Jones:
•Legally, the vacation rental manager
cannot direct or control the work that
needs to be done (telling independent
contractors when or how to do the job).
•Legally, the vacation rental manager
cannot tell independent contractors
what tools or equipment they should
use, or instruct them on how to do the
job with specific routines.
•Moreover, a vacation rental manager
cannot know if the independent contractor can realize a profit or loss - are
they truly an independent contractor
with a business?
“When you use contract employees, you do
not have any management control. Either
they do their job, or you hire someone else,”
she points out. “Disciplinary situations most
likely are related to performance of the job. If
the independent contractor isn’t holding up
their end of the agreement, it’s time to move
on. Employers can’t discipline, withhold pay,
or instruct contractors on how to do the job.
This is where it becomes challenging, especially in the housekeeping arena.”
Betsy LaBarge, president and owner of Mt
Hood Vacation Rentals in Welches, Ore., uses
independent contractors only in very particular situations, but notes another pitfall
of contracting out work. “When
a contractor is at a home
performing work, your
company brand is
not there – their
company
“I think it is just as important to follow the
same recruitment process for part-time workers
as you would for full-time workers, especially
when your workforce may be made up more of
part time employees.” — Sue Jones
brand is there, from the vehicle they drive,
to the shirts they wear and including the
quality of their work,” she says. “For example, if a contractor leaves a pile of debris in
the front yard, or is really loud or rude to
a neighbor, it reflects on our company as
much as it reflects on their company. If they
do not complete the job satisfactorily, we do
not have any power to force them to go back
and redo the work. Depending upon the
contract we have with them, we might still
have to pay them, then find someone else
to do the job. Also, we are hiring contractors
on behalf of our property owners, so we
need to be certain that our homeowners will
not be disappointed.”
Throwing Caution to the
Wind?
In order to prevent the kind of situations
LaBarge describes, the natural temptation
is to apply some kind of light control. But
beware: misclassifying employees – that is,
hiring independent contractors but treating them as staff employees – is a serious
offense in the eyes of the law. The risks of
misclassification include:
•Income tax liability for employment
taxes that should have been withheld
from wages.
• Potential overtime pay and other wage
claim liability.
•State unemployment insurance payments.
•Worker’s compensation insurance premiums (and potential liability for workplace injuries).
•Benefits and coverage under existing
employee benefit plans.
• Attorney fees and costs.
• Other civil and criminal liabilities.
Yet many small businesses “have thrown
caution to the wind and rolled the dice, hoping an audit won’t come their way,” says
Jones. “I think it is important that business
owners understand that misclassification
can amount to hundreds of thousands of
dollars in fines from the IRS, plus $25,000
from certain state agencies and exposure to
lawsuits for back wages, overtime, benefits,
civil penalties and attorney’s fees.”
Moreover, when an independent contractor is treated like an employee, resentments
can develop. “When a contractor is hired
and treated like an employee (told when
to work, how to do the job, or what tools
to use) and they don’t receive any benefits,
such as paid holidays, paid time off, benefits,
it can become a real issue,” Jones says. “But
this is something you might see in much
larger organizations; I am not sure that the
vacation rental industry sees this much.”
Choosing the Right IC for
the Right Job
For all these reasons, Mt Hood Vacation
8
Rentals is cautious about using independent
contractors – but does sometimes use them.
“We contract out for bigger cleaning and
maintenance jobs that require very specific
equipment, licensing or training or if the
job is high risk,” comments LaBarge. “Some
of the regular contracted vendors we use
are for carpet cleaning, window and gutter
cleaning, appliance repair (although we are
looking for classes to train our in-house staff
to do some of this), HVAC, electricians and
plumbers and chimney cleaning and inspections. We can do basic electrical and plumbing jobs, but for bigger jobs we do not want
the liability if something goes wrong and
there is a house fire, for example.”
For the contractors (plumbing, electrical,
HVAC, chimney cleaning, carpet cleaning,
and so forth) that Mt Hood uses, “we always
get a recommendation or reference from a
current customer first,” points out LaBarge
“Then we check their status with our state’s
Construction Contractor Board (they license
all of the trades) to make sure they are current with their license, bond and insurance
and have not had any consumer complaints
9
filed against them that they lost. We can do
this all online.”
Mt. Hood uses a chimney cleaning company recommended by the former head of
the National Chimney Sweep Guild and
Chimney Safety Institute of America. “I
knew he would refer a solid company for us
to use. Also, being a small business owner
in a small community for 22-plus years and
having lived here for 30-plus years, I know a
lot of people, so sometimes it is easy to select
the correct vendor. And we always check
them out online.”
But a good working relationship with an
independent contractor can bring real benefits of flexibility, even in limited situations.
“We develop very good relationships with
our contracted vendors,” LaBarge says.
“For example, we make sure we pay them
on time and invite them to the company
Christmas Party. So when we need an emergency plumbing job or carpet cleaning, we
can almost always get someone within 24
hours, including weekends. Many of our
contractors have worked for us for a dozen
years or more.”
What about hiring independent contractors
through an agency? Does that alleviate some
or all of the downside of bringing in temporary workers? Jones thinks working with
temp agencies offers certain advantages.
“Using staffing agencies to fill short-term
hiring needs is a cost effective way for
employers to ramp up quickly. Employers
working with staffing agencies have the
right to interview and conduct the process
just as if they were hiring on their own. I
think it is just as important to follow the
same recruitment process for part-time
workers as you would for full-time workers, especially when your workforce may be
made up more of part time employees,” she
says. “You want to put the same energy into
the process since it is highly likely that these
employees could become full time.” /
Steve Bjerklie has been writing for
VRMA Review for more than 10 years.
He also writes for The Economist magazine and several other publications.
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Property managers are partnering with CBIZ and have played a
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10
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*Based on average monthly visit and inquiry data for
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Media Metrix, “Media Trend Report,” September
2010-2011
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12
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13
14
MEMBER
news
Vantage Resort Realty Hosts Little Pink Houses of Hope
Employees and owners rally to support families affected by breast cancer
D
uring the week
of May 31-June
7, 2014, Vantage
Resort Realty, a vacation
rental management company in Ocean City, Md.,
hosted Ocean City’s firstever Little Pink Houses of
Hope beach retreat, thanks
to the donation of twelve
properties by its vacation rental owners.
Little Pink Houses of Hope is a non-profit
organization that facilitates rest, recovery &
reconnection for families affected by breast
cancer through free, week-long vacations.
While in Ocean City, families spent quality time together, as well as with other families who’ve had similar experiences. Shared
meals, fun activities and outings were also
planned to make it special
and relaxing.
The event couldn’t have
been possible without the
generosity of homeowners
who gave up their properties (and a week’s rent) to
become “Beach Angels” for
the visiting families. “We
are so grateful to the owners – they are amazing. They are the ones
who made it happen,” says Vantage Client
Relations Coordinator Eliana Miteva, who
felt compelled to organize the effort after
seeing a Little Pink Houses of Hope yard
sign in Fenwick Island, Delaware last fall.
Inspired by Eliana’s desire to help, Vantage
management and staff quickly pledged
their support, and the enthusiasm contin-
ued to spread. Within an hour of emailing
the idea to Vantage property owners, Eliana
began receiving responses from those who
wanted to participate – many of whom had
been affected by breast cancer in some way
or simply wanted to give back.
Owner Nancy Roes of Annapolis, Md.,
actually donated not one, but all three of
her Belmont Towers properties that are
located right on the Boardwalk. “We enjoy
giving back to the community and helping
those in need,” says Nancy. “When Susan
G. Komen Race for the Cure 5K comes to
the Boardwalk every April, I’m there. So,
when I learned of this opportunity to make
our condo units available to families in
need of a reprieve, I definitely wanted to
participate.” /
Vacasa named fastest-growing private company
in Portland, Ore.
V
acasa was named the fastest-growing private company in the Portland
region by the Portland Business
Journal on Thursday, June 12. The vacation
rental management company earned the
first-place ranking on a list of 100 companies
due to their three-year revenue growth percentage — which the PBJ described on their
website as an “almost-comical” 3,000-plus
percent.
“It is a great honor to receive this award,
and very humbling to be among the great
companies that made this list,” said Cliff
Johnson, Vacasa’s Chief Operating Officer.
“We are planning to continue our growth by
three to four times annually...so we hope to
be back year after year!”
Since the company’s founding in 2009,
Vacasa has increased their portfolio of
vacation homes to more than 1,000 rentals
located throughout seven states: Oregon,
Washington, Idaho, Utah, Colorado,
California, and Hawaii. Their staff, which
began with Johnson and CEO Eric Breon,
has grown to include more than 300 employ15
ees, including 209 in Oregon alone.
“It takes a great team to make a company grow like this, and we have been very
fortunate to add exceptional employees
at every phase of our growth plan,” said
Johnson. “We are always looking for ways to
improve, and the best way we’ve done that
is by adding new employees with expertise
in perceived areas of weaknesses.”
In 2014, Vacasa plans to add several hundred more rentals — both by signing individual owners and by focusing on acquisitions. The company also foresees hiring
nearly 1,000 additional employees over the
next year, with approximately 25% of those
positions being located in Oregon.
“We don’t foresee our growth
slowing down anytime soon,”
said Chief Strategy Officer Scott
Breon. “And it’s not just about
hiring more employees; we really pride ourselves on providing
significant advancement opportunities to the talented individuals already on our staff.”
The vacation rental industry itself is one of
the fastest-growing segments of the travel sector, and Vacasa entered the market
just before the economic downturn of 2009
prompted many second home owners to
explore renting their properties to paying
guests. Vacasa’s motto is “vacation rentals made easy,” and the company provides
full-service property management for hundreds of homeowners, including advertising, housekeeping, reservations, and maintenance. For guests, the company emphasizes
online reservations and automated check-in
services to make staying in a vacation home
as simple and straightforward as a traditional hotel. /
a crisis happens, having a
crisis communications plan
in place can help minimize
damage to your company’s
reputation.
A crisis situation has the potential to damage your reputation, which can negatively affect the lodging category through
decreased reservations. To minimize the
impact of a crisis situation, a plan must be in
place that outlines potential crisis situations,
primary principles for handling the situation
and a general order of activities for reacting
to each potential situation.
With Mother Nature dishing out everything
from wildfires to earthquakes and droughts
to hurricanes, summer is the prime time for
vacation rental managers to develop a plan
in case disaster strikes. Here are several crisis
communications tips from VRMA’s Public
Relations Committee to help your vacation
rental management company react effectively.
News Travels Fast
In today’s fast-paced, technology-driven
world, news travels faster than many of us
can comprehend. The effects of this technologically based form of new media include:
• Word of Mouth - This not only includes
traditional word of mouth communication,
but also e-mail and social media posts that
can be created and reported internationally
in just seconds.
• Internet – Anyone, including visitors or
media, can use the Internet to receive news
alerts or to search for topics. This means that
news can be revisited for years and “bad
press” can be particularly detrimental.
16
• News Wire - The Associated Press, Copley
News Service, etc. all share stories. If a story
is picked up by one service, it can spread
within minutes to all major outlets in every
country. Years ago, a local story that ran in a
regional newspaper would rarely be picked
up by other media; however, with the rising
power of these new media outlets, a story
can now find its way from the San Francisco
Chronicle to the Orlando Sentinel to the AP
and then to hundreds of other media outlets.
With that in mind, the following crisis communication plan has been created specifically
for the Vacation Rental Managers Association
and its members to be able to react in a timely, consistent and effective manner.
Defining a Crisis
A crucial situation; a situation whose outcome decides whether possible negative
consequences will follow. A decisive or crucial time, stage, or event.
The first step in any crisis situation is
acknowledging the existence of a situation
before it hits the news, and recognizing its
potential impact.
The Vacation Rental Managers Association
member should acknowledge the existence
of a situation when any of the following are
at risk:
1. Reputation or image of the member
company, the vacation rental industry or
the VRMA
2. Guests
3. Homeowners
4. Employees
Getting Through the
Disaster
Tips for handling crises of all kinds from
VRMA’s public relations committee:
TAILOR YOUR COMMUNICATION to
your four constituencies. Each group is
affected by a disaster in different ways. Be
sure not to neglect any of them.
• HOMEOWNERS (Example: Are you planning to issue refunds? What about my revenues? Won’t travel insurance reimburse the
guests? How will you protect my property?)
• GUESTS (Example: Should I book? Am I
safe? Will you refund my money? Will my
travel insurance cover this? How long will it
take to get my refund?)
• EMPLOYEES (Example: Will I have a job?
What happened to my scheduled raise? Will
we get bonuses this year? What is my company doing to manage this crisis?)
• VENDORS (Example: Will my work load
decrease? Will we focus on certain work
orders? What does this company expect of
me in the coming weeks?)
Designate a
Communication
Coordinator
One person should be the “keeper of official
information.” This person will be responsible
for compiling reports from news sources, local, county, state and national sources, city officials, websites, on-the ground contacts, etc.
and distributing them to everyone answering
the phones, sending out e-mails and newsletters and updating the website. All reports
should be vetted carefully for accuracy.
Keep Records of All
Communication.
Keep electronic records of all website
postings, emails and scripts; keep notes on
what was said to each guest (make notes in
reservation folios). You will find yourself reviewing records to find out: what did we say
and when did we say it? What information
did we have on this date? This information
might be used with homeowners, guests,
vendors, travel insurance representatives
and business insurance representatives, for
filing claims, and such.
Create Scripts
Information provided by your company must be clear, correct and consistent.
Everyone relaying information must distribute the same information. Update the
scripts/website often – as soon as there is a
significant change – and make sure everyone has the current scripts.
Use Your Phone System
In order to reduce confusion and assist
guests quickly, modify call options accordingly. For example, callers might hear: For
the latest on Hurricane Cindy, visit www.
websiteaddress.com. Press ONE for the latest update on the storm. Press TWO if you
already have a reservation and purchased
travel insurance for your stay. Press THREE
if you already have a reservation but do not
have travel insurance. Press FOUR to speak
with a company representative.
Website
weather conditions once the crisis is over.
Email Blasts.
If you have e-mail lists, use them!
Communicate updates and photos (good
and bad) to your guests, homeowners, vendors, employees, neighborhood organizations, tourism boards, etc. so they can see, as
well as hear, about your condition.
Attend to Your Social
Media.
Don’t let rumors control your message;
monitor and use your social media outlets to
get out your message and accurate information. Don’t be afraid to correct misinformation out in the blogosphere.
Communicating With
Homeowners
There is information that only homeowners
need. Post these messages on your company website in areas that only homeowners
can access. You can also create an electronic
newsletter or e-mail blasts for homeowners
and send them out every few days or when
there are significant updates. These newsletters are invaluable and much appreciated
by owners who don’t live in the area. They
won’t forget the effort!
Date/Time Your
Communications
Make it easy for callers, readers and website
visitors – and your staff – to understand
how current the information is.
State Your Refund Policy
Clearly
Your website is a valuable communication
tool – people can access it easily and at anytime, and it’s easy to update. You can choose
the words, tone and level of detail of your
messaging. You can include links to more
information and you can update it frequently. Remember to position your key message
near the top of the page – don’t make guests
hunt for it. It could make them think you are
minimizing their concerns. Guests are visiting your website
1) to learn more about the disaster,
2) to decide whether to make a reservation, and
3) to learn about cancellation/refund policies.
How does a guest cancel a paid booking?
How does a guest cancel an unconfirmed
booking? Does travel insurance cover a
loss? Will your company make refunds?
100% refunds or at what percent? Does that
include cancellation fees? Reservation fees?
How long will it take to receive a refund?
Be sure to include all necessary information
pertinent to your policy.
Encourage guests to visit your website often
for updates. Make the content so rich that
it is their main source for information and
updates on the disaster. Then be sure to keep
it updated including a synopsis of current
Your employees are your most important
resource. Keep them well-informed via
e-mail and most importantly, via one-on-one
meetings. Not only do they need to understand management’s plans, but they are critical
17
Managing Employees
to its success. Brainstorm with your employees:
get their ideas for reducing expenses and creating efficiencies, what to communicate with
guests, how to minimize the crisis’ impact on
guests and homeowners, etc.
Managing Money.
Review your general ledger line item by
line item. What expenses can be postponed?
Cancelled? Reduced? Consider eliminating or reducing expendable expenses such
as office cleaning fees; postpone new hires,
scheduled raises / bonuses; cancel office
parties, business travel, etc. Take a hard look
at utility bills, office equipment, employee
benefits and office amenities – anything that
is not a fixed cost.
This is a time to make difficult choices; it’s
hard to tell what’s ahead financially and
it’s important to reserve cash as well as set
expectations. It’s best to prepare for the
worst and then reinstate these items when
the crisis has passed.
Keep track of disaster-related expenses.
There might be special tax code changes specific to various disasters. These records will
assist you in budgeting for future situations,
indicating how much you will need to set
aside for a “disaster reserve fund.”
Use Your Local Contacts
Now is the time to engage your local officials and community leaders for the receipt
and conveyance of information. Your city and
county officials, police and sheriff departments, Chamber staff, Economic Development
staff, tourism boards, etc. are all vital sources
of information. Make sure you have office and
cell numbers for each person/department.
Give and Get
Now is the time to actively participate in
helping your community plan for this disaster.
Not only is it your responsibility, but the time,
energy and resources that your company contributes will be repaid to your company and
your employees time and time again.
Every situation is unique and requires a
unique and tailored approach; however it
is essential to have a plan in place to ensure
strategies are implemented in a timely and
effective manner. To download a detailed
template to help you in your crisis communications planning, including a list of
“do’s and don’ts” for working with the
media, visit the Member Resources Center of
VRMA.com. /
18
19
MAGAZINE OF THE VACATION RENTAL MANAGERS ASSOCIATION19
Vacation Rental Regulations On The Rise:
How to Protect Your Business
to discuss the various government best practice regulations, and the data that helps local
government find best practice solutions.
By Matt Curtis,
Director of Government
Relations, Homeaway and VRMA
Board Member
The Short Term Rental Advocacy Center
(www.stradvocacy.org) provides case studies and economic impact studies to use as a
resource in your local discussion. A group
of STR managers and owners in one community used the economic impact study of
St. Joseph, Mich. to use as an example – they
were similar in size and similar in culture.
This example helped to educate their town
leaders on the likely impact of the STR activity in their area.
R
egulations of traditional short-term
rentals continues to be a conversation that local governments are having around the world. Sometimes
these conversations are healthy discussions
with all the stakeholders, and the regulatory
environment that is created is positive for
the community.
Recent economic studies have found huge
impacts of the STR industry on local communities. As travel and tourism continues
to grow, and all aspects of the industry continue to see increases, studies of various
communities showcase millions of dollars in
direct, in-direct and induced spending and
significant job growth.
Sometimes, the regulations just don’t make
sense. They are onerous, ineffective or unfair.
• In Myrtle Beach, N.C., the overall economic impact of the STR industry is $200.7
million a year and the creation of 2,587 jobs.
Sometimes, the community decides that creating an added level of bureaucracy for this
vibrant activity is unnecessary.
There is an easy way to ensure your community finds the path to a healthy solution
– and it starts with organizing.
On the Texas coast, the Galveston
Association of Rental Managers (GARM)
organized to address the increasing discussions by their city council. GARM worked
quickly as a partner with city staff and elected officials, educating them on the intricacies of the industry, and reviewing best practices from around the country. The members
of GARM discovered what so many other
local alliances of short-term rental (STR)
stakeholders have discovered; they are far
more effective when they work in a positive, transparent, data-driven and solutionsoriented manner.
Data-driven
There are many resources that are available
for stakeholders of traditional short-term
rentals. VRMA provides a wide-variety of
online content and conference programming
20
• In California’s Coachella Valley, the impact
is $272 million a year with 2,539 jobs supported due to STR activity.
• And even in tiny St. Joseph, Mich., the
coastal community receives $24 million a
year in overall economic impact with 300
jobs tied to traditional STRs.
Solutions-oriented
When discussing best practices, there are not
a lot of glowing examples. However, there
are great parts of various local government
solutions that can be used.
In small communities, Palm Desert and
Rancho Mirage, Calif. offer effective registration programs where traditional short-term
rentals can easily register and understand the
rules. The cities have a strong online presence
where STR rules can be easily found.
In Okaloosa County, Fla., traditional shortterm rentals are promoted throughout the
county as part of their registration program. The county has fair rules that apply
to the activity, and local managers and
Continued on page 23
newmembers
new members
NEW MANAGER MEMBERS
As of June 9, 2014
AirEnvy
Eastern Shore Vacation Rentals
Lake Michigan Cottages
101 E. Dover Street
Suite A
Easton, MD 21601
218 S Beacon Blvd
Grand Haven, MI 49417
290 Division St., Suite 304
San Francisco, CA 94103
www.great-spots.com
Member Rep: Allison Satchell
[email protected]
Member Rep: Sean Conway
[email protected]
Edgewater Real Estate
http://www.lakem.com
Member Rep: Mike Joslyn
[email protected]
Lake Tahoe Lodging Company
104 Bridge Street
Bradenton Beach, FL 34217
2516 Lake Tahoe Blvd
South Lake Tahoe, CA 96150
2532 Valley View Ave
Salt Lake City, UT 84117
Member Rep: Lynn Zemmer
[email protected]
http://tahoelodging.com
Member Rep: Gregory Kiskinen
[email protected]
http://www.altachalets.com
Member Rep: Adrienne Ruderman
[email protected]
EMR Vacation Rentals Inc
Alta Chalets
AvenueStory
Unit 216, 326 Kensal Road
London, England W10 5BZ
http://avenuestory.com
Member Rep: Irina Raileanu
[email protected]
BeautifulPlaces, Inc.
531 First Street East
Sonoma, CA 95476
http://www.beautiful-places.com
Member Rep: Liza Graves
[email protected]
Canyon Services, Inc
9020 South Blackjack Road
Alta, UT 84092
http://www.canyonservices.com
Member Rep: Sara Eubank
[email protected]
CozyKey Vacation Rentals
PO Box 2466
Windmere, FL 34786
http://www.cozykey.com
Member Rep: Tiago Magalhaes
[email protected]
Lazy River Rentals
1016 McCallum Road,
Unit 106
Victoria, British Columbia V9B 4C6
844 Easton Avenue
Somerset, NJ 08873
http://www.emrvacationrentals.com
Member Rep: Blake MacKenzie
[email protected]
http://lazyriverrentals.com
Member Rep: Nicholas Mariano
[email protected]
Family Time Vacation Rentals
Little Basin Villas, LLC
293 Arkansas Ave
Vernonia, OR 97064
88521 Overseas Hwy
Tavernier, FL 33070
http://familytimevacationrentals.com
Member Rep: Matthew Tesdall
[email protected]
Member Rep: R Wood
[email protected]
Luxury Rentals
Hit Rentals
586 9th Street S
Naples, FL 34102
4168 N Marshall Way
Suite 1
Scottsdale, AZ 85251
http://luxuryrentalssouth.com
Member Rep: Laura Puckett
[email protected]
Member Rep: Ryan Dame
[email protected]
Iron Horse Property Management
523 Riverland Drive, Suite 2D
PO Box 168
Crested Butte, CO 81224
Marco Escapes Inc
Island Immo / Saint Martin Rentals
n° 11 Lotissement Mont Choisy
Saint Martin, AF 97150 French Southern Territories
21
7381 Gathering Court
Reunion, Kissimmee, FL 34747
http://www.magicalvacationhomes.com
Member Rep: Leigh Bateman
[email protected]
http://www.ironhorsecb.com
Member Rep: Steve Ryan
[email protected]
http://www.saintmartinrentals.com
Member Rep: Lydia Gumbs
[email protected]
Magical Vacation Homes
599 South Collier Boulevard
Suite 115
Marco Island, FL 34145
http://www.marcoescapes.com
Member Rep: Jason Byington
[email protected]
newmembers
new members
Miloff Aubuchon Realty Group, Inc.
Resort Homes of Florida, LLC
1314 Cape Coral Pkwy E.
Suite 102
Cape Coral, FL 33904
6661 SW 70 LN
Miami, FL 33143
http://rent.miloffaubuchonrealty.com
Member Rep: Marc Strengholt
[email protected]
Orlando Resorts Rental
PO Box 1762
Windmere, FL 34786
http://www.orlandoresortsrental.com
Member Rep: Daniel Waldron
[email protected]
Pacific Coastal Properties
731 S. Highway 101
Suite 1P
Solana Beach, CA 92075
http://www.pacificcoastalproperties.com
Member Rep: Joyce Doherty
[email protected]
Panama City Condo Vacations
475 E. Main Street, #118
Cartersville, GA 30121
http://panamacitycondovacations.com
Member Rep: Tina Jennings
[email protected]
Park City Rental Properties
5171 Silver Springs Rd.
Park City, UT 84098
http://www.parkcityvacationrentals.com/
Member Rep: Jessica Stack
[email protected]
Paso Robles Vacation Rentals
PO Box 4129
Paso Robles, CA 93447
http://www.pasoroblesvacationrentals.com
Member Rep: Kathy Bonelli
[email protected]
Resort Choice Ltd
Triq L-Imghazel
Swieqi, SWQ 3141 Malta
http://www.resortchoice.com
Member Rep: Andy Osborne
[email protected]
22
Summit Cove
Property Management
900 13th Street
Golden, CO 80401
http://resorthomesflorida.com
Member Rep: Ray Princiotta
[email protected]
Member Rep: Peter Reeburgh
[email protected]
Reunion Vacation Homes
Sun Village Management LLC
dba Sun Village Vacations
7555 Osceola Polk Line Rd
Davenport, FL 33896
http://www.reunionvacationhomes.com
Member Rep: Dean Bateman
[email protected]
Simply Steamboat
27901 Bonita Village Blvd
Bonita Springs, FL 34134
http://bonitavillage.com
Member Rep: Thomas Runyon
[email protected]
Sunset Properties
1169 Hilltop Parkway #206B
Steamboat Springs, CO 80487
PO Box 517
Gulf Shores, AL 36547
simplysteamboat.com
Member Rep: Jody Corey
[email protected]
http://www.sunsetproperties.com
Member Rep: Karen Bobe
[email protected]
South Padre Beach Houses
and Condos, Inc.
Trelis Vacation Homes
3800 Padre Blvd
South Padre Island, TX 78597
6735 Conroy Rd. Suite 210
Orlando, FL 32835
http://SoPadreRentals.com
Member Rep: Jay Carlsen
[email protected]
Member Rep: Scott St. Clair
[email protected]
Starfish Vacation Rentals, LLC
9001 SW Robert Gray Lane
Portland, OR 97225
NEW START UP MEMBERS
As of June 9, 2014
Colbyco LLC
237 Wilder Street
Hillside, NJ 07205
http://starfishluxuryrentals.com
Member Rep: Danña Kittell
[email protected]
Member Rep: Emin Muhammad
[email protected]
Stay Charlottesville
LuxuryGulfRentals.com
400 E. Water Street, Suite B
Charlottesville, VA 22902
4830 Main Street, Suite G-209
Orange Beach, AL 36561
http://www.staycharlottesville.com
Member Rep: Travis Wilburn
[email protected]
http://LuxuryGulfRentals.com
Member Rep: Chuck Steeg
[email protected]
Stewart Mountain Lodging
Norm Kamp
RR 3, Box E-2
Sundance, UT 84094
http://www.stewartmountainlodging.com
Member Rep: Brad Stewart
[email protected]
3313 W. Cherry Lane
Meridian, ID 83642
Member Rep: Norm Kamp
[email protected]
newmembers
new members
Pacifica Companies
Parakeet, LLC
1775 Hancock Street #200
San Diego, CA 92110
607 E Technology Ave
Orem, UT 84097
Member Rep: LJ Woodard
[email protected]
http://goparakeet.com
Member Rep: Brad Huber
[email protected]
NEW SUPPLIER MEMBERS
RedAwning.com, Inc.
As of June 9, 2014
Allegion
http://www.redawning.com
Member Rep: Tim Choate
[email protected]
http://www.allegion.com
Member Rep: Kyle Smallwood
[email protected]
Remotely
Chetu Inc
10167 W. Sunrise Blvd
Suite 200
Plantation, FL 33322
http://www.chetu.com
Member Rep: Michelle Ogden
[email protected]
CIMRsystem
PO Box 441
Dayton, OH 45409
Member Rep: Tom Wild
[email protected]
Expedia Inc.
4203 Vineland Rd
Suite K-5
Orlando, FL 32811
http://www.expedia.com
Member Rep: Jurriaan Klink
[email protected]
Lodging Kit Company
13492 State Rt 12
Boonville, NY 13309
http://www.lodgingkit.com
Member Rep: Eric Martin
[email protected]
23
Transparent
Local elected officials find a fair and effective
solution more easily when all the cards are
on the table. They are looking for a complete
understanding of the issues and the industry.
http://remotely.com
Member Rep: Mike Branam
[email protected]
The Hospitality Professional
109 Hope Town Ct.
Cedar Point, NC 28584
http://www.thehospitalityprofessional.com
Member Rep: Jamie Wax
[email protected]
4100 Newport Place Drive
640
Newport Beach, CA 92660
http://www.vakast.com
Member Rep: Steven Worley
[email protected]
owners find a friendly atmosphere creates
higher compliance.
Every community is unique, but it is not
necessary to always reinvent the wheel. Best
practices can be used to guide your council
and staff to a positive solution.
1062 Delaware Street
Denver, CO 80204
Vakast
Continued from page 20
In a larger community, Austin, Texas created a program where managers and
owners can submit paperwork online and
quickly receive their registration. The program was created after a long stakeholder process where the local Austin Rental
Alliance found a fair balance with the
needs of city staff.
2927 Newbury St., Suite A
Berkeley, CA 94703
11819 N. Pennsylvania St.
Carmel, IN 46032
Rental Regulations
Often, parties that engage local government
and play hide the ball - or obfuscate their objectives - don’t end up with a happy solution.
Be clear and open, and you’ll have far better
outcome.
Positive
City councils deal with endless amounts of
negativity. At their regular council meetings, some residents seem to make it their
job to be in attendance and be negative.
Opponents of land-use issues, or transportation changes, steer far from a friendly face
and find a better strategy in being unhappy.
This rarely works.
As the saying goes, “You catch more flies
with honey than with vinegar.” Local elected
officials will find comfort in your partnership,
your data and your solutions, if you bring
them forward with a smile. A public servant’s
job is often trying and very rarely pays well –
recognize that and appreciate their service.
And, do it all with a smile.
Becoming a partner with local government
to hold a healthy discussion and achieve
a fair, and effective, regulation is not only
possible, but for many managers and owners it also becomes a lot of fun. It’s a great
way to show you’re an industry leader
and get ahead of an issue before the issue
becomes a problem. /
Calling all Leaders:
Apply Now for the VRMA
Board of Directors
A
pplications are now available for VRMA members interested in
serving on the VRMA Board of Directors for a 2-year term spanning
Oct. 2014-Oct. 2016. Applications are available at www.vrma.com
and are due July 15, 2014.
The Board of Directors is comprised of 12 active VRMA members elected
by the membership to form one voice that governs the Association in accordance with Bylaws.
There are six open positions on the Board of Directors for 2014-2016, which
includes several current Board members who are eligible for re-election.
Five of these positions must be filled by vacation rental manager members;
one position may be filled by a vendor/supplier member.
24
How to apply
If you are interested in serving as a Director of VRMA, please visit www.vrma.com and complete the following no later than July 15, 2014:
1. Download and review the Candidate Packet to learn about the qualifications, policies and
responsibilities for serving on the VRMA Board of Directors.
2. Prepare to complete the application.
Note: You will not be able to save the information and access it later upon leaving the application page. You will need the following information:
• Professional headshot (JPEG format; 300 DPI or higher resolution preferred)
•Contact information for three member references, no more than one of which may be a
vendor/supplier member
• A candidate statement (150 words or less)
3. Complete the online Candidate Application.
Note to candidates: VRMA anticipates tremendous response to this request for applications,
and we hope you understand our appreciation for your interest while at the same time
understanding that, because of the breadth of candidates, your application should not be
interpreted as an assurance of election, nor an assurance of your slated nomination by the
Leadership Development Committee.
Qualifications
What happens next?
6.3 Qualifications. Only Members
July 15, 2014: Candidate Application Deadline
Those members who are interested in pursuing candidacy will be required to submit a candidate application by July 15, 2014. This application will include information to verify the
candidate’s qualification for election as well as information about his/her leadership experiences and VRMA leadership intentions to assist the membership in making informed decisions at election time.
Note to candidates: VRMA anticipates tremendous response to this request for applications,
and we hope you understand our appreciation for your interest while at the same time
understanding that, because of the breadth of candidates, your application should not be
interpreted as an assurance of election, nor an assurance of your slated nomination by the
Leadership Development Committee.
July 15, 2014- September 15, 2014: LDC Review of Candidate Applications
The Leadership Development Committee will review all Candidate Applications submitted
by the July 15, 2014 deadline. Leadership Development Committee members may follow-up
with candidates during this time frame to review the selection process and request additional information about the candidates; contact from a Leadership Development Committee
member should not be interpreted as an assurance of election, nor an assurance of your
slated nomination by the Leadership Development Committee.
As there may be more candidates than available spots on the Board, not all candidates may
be selected for the official Slate of Nominees presented to the membership. The Leadership
Development Committee will undertake a vetting process of each candidate to confirm that
qualifications are met and ensure that the Slate of Nominees is representative of the qualities,
whose memberships are in good
standing shall be eligible to serve as
Directors. If a Member is a corporation,
partnership, limited liability company
or any other similar corporate entity,
then the officers, directors, shareholders, partners, members or managers
of the Member, as applicable, shall be
eligible to serve as Directors. Directors
need not be residents of the state of
Oregon. Directors may be elected for
successive terms, provided that no
Director may serve on the Board of
Directors for more than 3 consecutive
terms. At least one year shall lapse
before any Director who ºhas served
3 consecutive terms on the Board of
Directors shall be eligible for re-election.
25
Calling All Leaders Continued from page 25
experience levels and demographics of the membership base.
By September 15, 2014: Slate Presented to Membership
The Leadership Development Committee report including the Slate of
Nominees that will appear on the ballot will be presented to the membership for review and consideration. Members will receive information on
registering to vote at the Annual Business meeting.
October 28, 2014: Elections at Annual Business Meeting at
2014 Annual Conference in San Diego, Calif.
Additional nominations can be taken from the floor. Election results will
be announced before the conclusion of the Annual Conference. New
Directors will assume office immediately at the conclusion of the Annual
Conference.
Questions?
Questions and suggestions regarding the elections process may be directed
to the Leadership Development Committee at [email protected].
The 2014 Leadership Development Committee is comprised of the following VRMA members:
Chair:
Tim Cafferty
Outer Banks Blue Realty Services, Kitty Hawk, N.C.
Members:
Michelle Acquavella
Sea to Sky Rentals, LLC, Seattle, Wash.
Claire Reiswerg
Sand ‘N Sea Properties, Galveston, Texas
Cort Roussel
Franconia Notch Vacations Rental & Realty, Franconia, N.H.
Kevin Strege
Catalina Island Vacation Rentals, Avalon, Calif.
VRMA Bylaws: Nominations for
Board of Directors
6.5 Nominations. The President of the Association shall appoint
a Leadership Development Committee composed of a number of
Members designated by the President no more than one of which
shall be an officer of the Association. The Leadership Development
Committee shall nominate candidates from the Members to
stand for election by the Members as Directors. The Leadership
Development Committee shall also nominate candidates from its
Director nominations to stand for election by the Board of Directors
as officers of the Association. In preparing its nominations, the
Leadership Development Committee shall solicit recommendations
from the Members. The Leadership Development Committee shall
use reasonable efforts to achieve a balance among the candidates
it nominates as Directors and/or officers, provided that no candi-
date shall be nominated to serve any specific constituency of the
membership, but shall be nominated to represent the interests of
the Association at all times. Notwithstanding their nomination by
the Leadership Development Committee, all nominees for Directors
or officers of the Association must meet the eligibility requirements
set forth in these Bylaws and be elected in accordance with the
procedures set forth in these Bylaws. The Leadership Development
Committee shall prepare a report containing its nominations for
Directors and officers of the Association (the “Nomination Report”).
A copy of the Nomination Report shall be delivered to the Members
in accordance with the delivery methods described in Section 5.4 at
least 30 days prior to the date of the Annual Membership Meeting
or the delivery of written ballots, if the election is to be held by
written ballot. If, at least 10 days before the date of the Annual
Membership Meeting or delivery of the written ballots, Members
holding at least five percent (5%) of the total voting power of the
Association sign, date and deliver to the Secretary a written petition
to nominate one or more eligible Members to stand for election to
the Board of Directors, then such Member(s) shall be included in the
list of candidates recommended by the Leadership Development
Committee at the Annual Membership Meeting or identified on
the written ballot, if the election is to be held by written ballot. If
the Nomination Report is not delivered to the Members at least
30 days prior to the date of the Annual Membership Meeting or
the delivery of written ballots, if the election is to be held by written ballot, then the Leadership Development Committee shall not
have the right to nominate candidates to stand for election by the
Members as Directors and nominations may only be made from
the floor at the Annual Membership Meeting and, in the case of
an election by written ballot, the written ballot shall not contain a
slate of candidates recommended by the Leadership Development
Committee. Nothing contained herein shall preclude the nomination of Directors to be made by any Member from the floor at any
meeting of the Members at which Directors are being elected.
Note: Nominations are also taken from the floor at the Annual
Members Meeting. However, candidates nominated in this way
must show that they meet the qualifications set out in the Bylaws.
26
Creating Customer Loyalty
How do you
keep guests
coming back?
And at what
price?
By Steve Bjerklie
I
t’s a business commonplace that the
most profitable customer is the one
who keeps coming back. Loyal customers don’t need to be convinced
again and again to return with their
business. The hard work — getting them
through the door the first time — is already
done. But is developing customer loyalty as
easy as providing attentive, personal service
and having an excellent product to sell?
“If you want to build customer loyalty, start
by making a decision: Are you willing to put
the customer at the center of everything you
do: at the center of your company or department, your daily routines, the way you hire,
the way you design your web forms?” asks
Micah Solomon, a customer-service consultant, writing in Forbes.com. “Don’t say ‘yes’
too automatically. Putting the customer at
the center is a more complicated, subtle and
arduous adventure than it sounds.”
“Loyalty can be earned only when lead27
ers put the welfare of their customers and
partners ahead of their own self-serving
interests,” writes Frederick Reichhold, a
noted consultant on loyalty with Bain & Co.
and author of Loyalty Rules! “Herein lies the
paradox of loyalty. If it is really about selfsacrifice — that is, about putting principles
and relationships ahead of immediate personal financial gain — what relevance can it
possibly hold for business, which is in large
part driven by self-interest? There is indeed
a high road in business, and it is the only
road to lasting success.”
Accenture, the global management consultancy, says loyalty begins “to take effect
even before a customer becomes a customer. The relationship a customer develops
with the brand during the acquisition stage
strongly influences customer value and
retention.” In other words, a vacation rental
customer’s potential loyalty will be influenced, at the start, with the way the vacation
rental management company presents itself
digitally and in person. People enjoy being
associated with quality, and quality is an
impression made at the beginning.
A Strategic
Approach
Solomon advises that establishing customer loyalty requires a structured, strategic
approach.
“Waving your hands around, chanting ‘oh
holy customer, thou art at the center of my
universe’ isn’t going to be sufficient, or
advisable. What you need is to appropriately
direct your resources and your employees
to a framework that can dependably, repeatedly satisfy your customers.”
He identifies four elements of a satisfactory
customer experience:
• A “perfect” product, defined as “designed
Customer Loyalty Continued from page 27
and tested to perform perfectly within circumstances you can reasonably foresee.”
•Caring delivery: “[N]o product is perfect if it’s presented to the
customer in a way that doesn’t appear to be caring to the intended recipient. No matter how delicious the food, no matter how
safe the jet travel, if it’s presented in a way that doesn’t show care
for the customer, it’s not going to be a hit.”
•Timely delivery: “[A] perfect product or service, delivered on a
timetable that doesn’t match your customer’s expectations, is a
defect. And customer expectations in the area of time have recently ramped up astoundingly. Factors that range from Amazon.com
to the smartphone revolution to global competition to customers
with complicated work schedules have led to a ramping up of
what customers expect in terms of timeliness in nearly industry.”
“Developing fierce loyalty with
customers requires a deep
commitment to more than great
service. You’ve got to be willing
to listen for and acknowledge
the specific needs your customers have, and, most importantly,
you’ve got to invest in a way to
meet those needs.” —Sarah Robinson
•An effective problem resolution process: “[Y]ou will, sometimes,
be late/uncaring/imperfect. An effective and complete problem
resolution process includes documentation and other oft-overlooked steps, but most importantly starts with an emotionally
resonant apology.”
“Fierce Loyalty”
Sarah Robinson, business strategist, speaker, and author of Fierce
Loyalty: Unlocking the DNA of Wildly Successful Communities, takes
loyalty a step further – she thinks companies can develop “fierce loyalty.” “Developing fierce loyalty with customers requires a deep commitment to more than great service. You’ve got to be willing to listen
for and acknowledge the specific needs your customers have, and,
most importantly, you’ve got to invest in a way to meet those needs.
In my experience, this means building a community for them. Think
of how Zappos and Apple, for example, have done just that.”
That kind of loyalty begins with knowing, clearly, what your company’s goals are, she says. “The clearer you are about your goals, the
easier it will be to see how to get there. When I first sit down with a
client, before I pull out the fierce loyalty model to begin work, I ask
them to spend time thinking about their answer to one question:
‘Why do you want a community?” she told Inc. magazine. “The
answer to this question determines every choice and every action
you will take as we move through building your community. If
you’re a small business owner and you like the idea of having fiercely loyal customers, spend some time with this question. Come up
with several possible answers. Discuss it with people who are vital
to your business. It’s the single most important thing you can do to
begin the fierce loyalty process.”
There are both simple and complex ways to establish and grow
customer loyalty. Among the former are simple strategies such as
writing long-time customers personal, handwritten notes, remembering special occasions (“You mentioned the last time you stayed
with us that it was your anniversary. We hope we can help you enjoy
another great year together.”), and letting customers know what you
do for them with a newsletter or a phone call. The critical message to
convey is: We care about you – not just your business, but you. What
can we do to work together with you more often?
What About Loyalty Programs?
Companies in the travel business have used rewards to recognize
loyalty for decades: the modern frequent-flier program was founded
by American Airlines (“AAdvantage”) in 1981. Since then, frequentflier and frequent-guest programs have become ubiquitous. They are
an expected perk by travelers, and anyone who flies often or who
frequents hotels has a portfolio of loyalty cards. Vacation rentals are
structured well for reward programs — e.g. for every two weeks
stayed, earn two free nights.
The key to a successful rewards program is providing rewards that
are valued by the customer but that don’t cost the company too much.
28
“Waving your hands around,
chanting ‘oh holy customer,
thou art at the center of my
universe’ isn’t going to be
sufficient, or advisable. What
you need is to appropriately
direct your resources and your
employees to a framework that
can dependably, repeatedly
satisfy your customers.”
—Micah Solomon
It can be tricky. A free night might be valued by one guest, a comped
dinner at the local steakhouse might be more valued by another and
a nice bottle of wine upon arrival by yet another. Yet creating individualized loyalty programs risks inadvertently providing rewards
of greater value to certain guests. But it’s not impossible to establish a
range of rewards that is fair and at the same time personal.
There are other pitfalls, however, as United Airlines recently learned
when it adjusted its popular Mileage Plus program to reward the
cost of a ticket rather than the miles traveled. As Jonathan Salem
Baskin, a contributor to Forbes.com, noted, a high-profit businessclass United customer is no more “loyal” than the customer who
bought the cheapest ticket. “If loyalty is nothing more than the
product of a commercial transaction, what differentiated or enduring
value has United (or its competitors) created?” he asks.
29
“I think loyalty should mean that it costs less to acquire customers, and less to keep them happy. It should make it less likely that
they will abandon a brand (i.e. more forgiving of shortcomings
without being paid for their silence). Loyalty should engender vocal
advocacy for a brand at no additional cost. It should be unique and
proprietary, so competitors can’t offer the exact same things to drive
it,” he writes. “Conversely, loyal customers should be willing to pay
more for otherwise identical benefits, if only because they perceive
intangible benefits. High loyalty marks should make employees’
lives easier and more rewarding, irrespective of what they’re paid.
“In other words, loyalty should have nothing to do with money.”
Baskin emphasizes that true loyalty — Sarah Robinson’s “fierce loyalty” — must be earned. It can’t be bought. “If customers are only as
loyal as the next transaction, and can only be kept so with additional
expense, then they’re not really loyal at all.”
“When you conclude an interaction with your customer, let her
know that it matters to you that she come back soon,” writes Micah
Solomon. “And when that customer returns from an extended
absence, let her know that she’s been missed. Most of all, work on
fulfilling, in that great phrase of The Ritz-Carlton, ‘even the unexpressed wishes’ of your customers. Customers shouldn’t have to
draw you a diagram to get across what they want from you. Figure it
out yourself. It’ll be worth it.” /
Steve Bjerklie has been writing for VRMA Review for
more than 10 years.
Telling the Vacation Rental Story:
Update on VRMA's Discover Vacation Homes PR Initiative
Congratulations
The growing momentum
on the continued growth of our industry, and on
travelers’ rising knowledge of vacation rentals
and their many benefits!
of the VRMA’s dedicated
“Discover Vacation Homes”
awareness campaign continues
to have a positive effect on our
industry, which has been
represented by more great
publicity placements on and
offline in the past several
months, with many more to
come!
30
PR Opportunities for Members
The “Discover Vacation Homes” campaign team developed a press release covering spring and summer family travel in which members had the opportunity
to share promotional deals and packages being offered for traveling families and
groups for the 2014 spring and summer season at member properties.
The team distributed the press release to a broad range of national media. As a
result, we received interest from travel blogger, Jacinda Cannon Bureau to stay
at a VRMA member property in Galveston, Texas. A visit for the writer and
her family was arranged. Jacinda posted a story in May 2014 on her website
Prudentbaby.com about her personal experience and the advantages of going
with a professionally – managed vacation rental when vacationing. She will also
be writing about her experience for additional outlets in the coming months.
VRMA will be developing another release for members regarding fall getaways in which members will have the opportunity to share any relevant promotions and deals.
Upcoming Media Opportunities/Coverage
TRAVEL WEEKLY
VRMA president Ben Edwards was interviewed in consideration for an upcoming piece on vacation rentals and technology
developments that might be improving distribution for them and how they can make it easier for travel agents to find the right
option for consumers; Run date for piece is TBD.
KIPLINGER’S PERSONAL FINANCE MAGAZINE
VRMA president Ben Edwards was interviewed in consideration for an upcoming piece offering tips on how to avoid scams
when booking vacation rentals; Run date for piece is TBD.
COAST RIVER BUSINESS JOURNAL – GETTING AWAY TOGETHER
The PR team and Jerry Smith from PineRidge TV, the production company behind Getting Away Together, worked with the
editor to provide images and further details for an upcoming episode that was filmed in Cannon Beach, OR; Run date for
piece is TBD.
TRAVELINGMOM.COM
Travel writer, Kim Orlando stayed at a property though one of the VRMA members in California, which was arranged as a result of
a deskside meeting with the “Discover Vacation Homes” campaign team in New York City in November 2013; Run date is TBD
Snapshot of Latest Publicity Generated by VRMA’s Discover
Vacation Homes PR Campaign
APRIL 2014 - TAHOE DAILY TRIBUNE
• “PBS Show Films in South Shore”
• Coverage about the taping of the latest season of Getting Away
Together and the segment in Tahoe.
MAY 2014 – PRUDENT BABY
• “10 Tips for the Best Family Vacation Ever”
•Coverage as a result of the journalist’s personal experience
with a member’s rental home who was part of the outreach
from the family spring and summer travel release.
MAY 2014 - IDAHO BUSINESS REVIEW
•“LiveRez Engaged in Vacation Rental Software ‘Tug of
War’”
31
Save the Date
for Upcoming VRMA Conferences and Seminars:
2014 VRMA
Annual
Conference
October 26-29, 2014
Sheraton San Diego Hotel
& Marina
San Diego, California
2015 European
Seminar
2015 Western
Seminar
2015 Eastern
Seminar
23-25 February
Grand Hotel
Malahide, County Dublin,
Ireland
April 13-14, 2015
Portland Marriott
Downtown Riverfront
Portland, Oregon
April 27-28, 2015
Marriott Norfolk Waterside
Norfolk, Virginia
Learn more about these events at
www.vrma.com.
32
33
34
35
9100 PURDUE ROAD
SUITE 200
INDIANAPOLIS, IN 46268
FIRST-CLASS MAIL
AUTO
U.S. POSTAGE PAID
INDIANAPOLIS, IN
PERMIT NO. 9589
FIRST-CLASS MAIL
U.S. POSTAGE PAID
INDIANAPOLIS, IN
PERMIT NO. 9589
PRSRT STD
AUTO
U. S. POSTAGE PAID
INDIANAPOLIS, IN
PERMIT #9589
PRSRT STD
U. S. POSTAGE PAID
INDIANAPOLIS, IN
PERMIT #9589
36

2014 Annual Conference

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