Hilton Grand Vacations: Bluegreen Vacations Acquisition

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I'd love to hear about your experience. I've had a chance to look at it, but it's always better to hear it firsthand, especially as it relates to the timeshare industry. After that, we can go into some of my questions.

In comparison, Bluegreen is a step up from Diamond in terms of resort quality, but it still doesn't match up to HGV's resorts. My assumption is that they'll create a second-tier product, especially considering their 10-year agreement with Bass Pro. The strategy is to bring in new owners at a break-even point and make profits by upgrading the existing owner base. Bluegreen has recently struggled with their in-house performance, so HGV's opportunity lies in upgrading the Bluegreen owners into the Bluegreen Vacation Club or into the Hilton Grand Vacations.

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Stepping back a bit, considering the importance of salespeople, how do successful salespeople at Bluegreen compare to those at Diamond and Hilton Grand Vacations? Perhaps you could divide your answer between frontline and in-house staff.

My experience at Marriott was quite interesting. During my time there, credibility was never an issue. You see the big 'M' on the door and there's no need to question credibility. I presume it's the same at Hilton, even though I've never worked there. I'm sure that at Hilton Grand Vacations, there's no need to explain the company's history or credibility to potential customers. However, this is not the case at Diamond or Bluegreen. Bluegreen has switched between being privately and publicly owned, and there have been attempts to buy it before. Alan Levan held on, but now he's decided to sell.

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That leads to an interesting question. How would you compare Bluegreen's sales practices with those of Hilton, Marriott, legacy Diamond, and perhaps Wyndham?

I believe that the nature of the business, which involves the same day sale, makes it irrelevant whose name is on the door. If you're on the financial side of the business, you're likely analytical and not prone to making $40,000 decisions in three hours. The qualifications to get in the door at the brands are much higher than they were at Diamond or Bluegreen. However, there will always be a percentage of people who are not going to buy on the same day. When attempts are made to persuade them, it can ruffle some feathers. This is taken very seriously at the brands and at Bluegreen, but due to the nature of the business, it's inevitable that some feathers will be ruffled. It's the nature of the same-day sale.

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