RCI has 3.8 million members (RCI, 2019). The target customer pool for timeshares in general are white married couples over the age of 35 with children who travel more than once a year (ARDA, 2017). There are multiple ways to reach this demographic. The cheapest option would be through social media marketing. According to Pew Research, 78% of users that use social media are between 30-49 (PewResearch, 2018). According to Pew Reseach 64% of the users are between 50-64 (PewResearch, 2018). Pew Research found that the two most used platforms for these age groups are Facebook and Youtube (PewResearch, 2018). According to Pew Research, 51% of Facebook users check Facebook several times a day and 74% of Facebook users log in daily. Facebook would be the primary form of advertisement for this campaign. Facebook has over 2 billion monthly active users (SproutSocial, 2017). Eighty-two percent of Facebook users have attended college which fits the timeshare owner demographics and 79% of them have graduated (SproutSocial, 2017). Opening a Facebook page for this promotion that ties in with RCI’s main Facebook age and running ads on both will be the key to making this promotion a success.
The cost for the promotion should be based on a total budget. Facebook marketing is broken down into multiple catagories. There are low costing options such as cost based on impressions or there are options such as cost based on clicks. The average cost per click for travel and hospitaltiy is 0.63 (KellyMain, 2018). The conversion rate is .0282 for travel and hospitality (KellyMain, 2018). The average cose for impressions for Facebook are $7.19 per 1,000 impressions (Betsy Mcleod, 2017). The hotel is based on around 500 a night if we look at a suite for a family (Reservations.com,2019). The promotion is for a week so it would be 3500 for each family. Taking all this into consideration, this promotion would be anywhere between $150,000 to $250,000. The reason it can very is because Facebook marketing is tricky cost wise and can fluctuate. The majority of the cost will be for the price of the resort. The promotion is perfect to grow the brand of RCI and reach the growing target market for timeshares. Timeshare owners hate going to the meetings and promotional tables when they get to the resort (Savannah Turk, 2015). This promotion will inform our target market and hit both of timeshares largest conversion rates. The first is consumers that have traveled to a resort and the second those that have been previously informed that go to meetings and travel to a resort (Savannah Turk, 2015).
References:
Smith, A., Anderson, M., Smith, A., & Anderson, M. (2018, September 19). Social Media Use 2018: Demographics and Statistics. Retrieved April 14, 2019, from https://www.pewinternet.org/2018/03/01/social-media-use-in-2018/
Osman, M. (2018, June 07). 28 Powerful Facebook Stats Your Brand Can’t Ignore in 2018. Retrieved April 14, 2019, from https://sproutsocial.com/insights/facebook-stats-for-marketers/
Dawson, C., Nisreen, Fabregas, K., Dan, Marsan, J., Aland, M., & Aland, M. (2019, March 28). Facebook Advertising Cost by Industry 2018. Retrieved April 14, 2019, from https://fitsmallbusiness.com/how-much-does-facebook-advertising-cost/
Reservations.com. (n.d.). Floridays Resort Orlando. Retrieved April 14, 2019, from https://www.reservations.com/hotel/floridays-resort-orlando?rc-ar=07-08-2019&rc-de=07-15-2019&rc-ro=1&rc-lo=Orlando&rc-ppid=0&rc-rm=1
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