Reimagining Exchange with RCI: Collaboration, Member Value, and the Future of Ownership

In this episode, Gaetan Babin interviews Tara Bergeron, Senior Director of Business Development at RCI, about the evolution of the vacation ownership industry, the role of exchange companies, and how they enhance owner experiences through innovation and collaboration.

Voices of Vacation Ownership is part of CRTA, Furthering vacation ownership in Canada and throughout the world. Learn more about CRTA and the benefits of being a member here: https://canadianrta.org/#

Transcript

SPEAKER_03 0:00

This episode is brought to you by Hama Kampai, the first vacation ownership project on the northern coast of Ecuador.

SPEAKER_00 0:09

This is Voices of Vacation Ownership, the only podcast where the vacation ownership industry's top executives speak openly about what's really driving the business forward. Hosted by Gay Tan Babin, president and CEO of the Canadian Resort and Travel Association. Each episode digs into the trends, challenges, and opportunities shaping our industry. One conversation at a time, let's go.

SPEAKER_03 0:41

Hi everyone, I'm Gaitan Dabin, and welcome to Voices of Vacation Ownership, the podcast where we speak with leaders shaping the future of our industry. Now, each episode we focus on ideas that help strengthen performance, partnerships, and the owner experience. Today I'm joined by Tara Bergeron. She's a senior director of business development at RCI, one of the most recognized exchange organizations in the world. Tara works closely with resorts and developers across North America, helping shape our exchange programs evolve to meet the modern owners' expectations. In today's environment, exchange isn't just a benefit, it's a strategic tool. And collaboration between resorts, exchange providers, and industry association is becoming more important than ever. Tara, thank you for your time and welcome to our podcast.

SPEAKER_01 1:41

Thank you so much for the invitation to be a part of a conversation that I am just so passionate about. Putting owners on vacation, collaborating with resort developers and associations, and just basically making people's travel dreams come true is such a great reality that we live in and a product that is second to none within the industry. That is correct. I was on a vacation in a timeshare resort, and you and I had an opportunity to connect. I think we did a little swim with the stingrays and even got shipwrecked at one point in time that we uh had to get creative to get ourselves out of.

SPEAKER_03 2:24

Well, shipwreck may be a big word. It's a sandbar. It's a sandbar where all the stingrays uh collect uh congregate and you have a chance to play with them, kiss them. Sure. I don't know if you actually held them in your hand, but somehow with the tides, we didn't figure we got caught on the sand a little bit. That's absolutely you end up pushing the boat. But uh yeah, and I think it's fair enough, we've been friends ever since. So it's it's great to have you on the show today, and I think you've been um uh so far a great ambassador and certainly deserted position you're with with RCI right now.

SPEAKER_02 2:52

But thank you.

SPEAKER_03 2:53

I want to get into how the role of exchange company has changed, evolved over the years. It it is still about destination swapping, or is there a lot more to it than that now?

SPEAKER_01 3:04

So it's interesting because travel has changed over the years. Owners and the way that they use the product have changed over the years. If you jump back in time with me and get in a time machine, I think one of the things that you would see is that the way that people once traveled and and the way that owners used their vacation ownership product was very different than the way it is today. So people at one point would be traveling to the same destination at the same resort for the same time of year. And then as things changed over time, owners then started to travel differently. Perhaps they looked at things like seasons, then that evolved to more flexible options like using points. Then from points, there was the need for transparency. You looked at things like trading power, and then all the way up to where you are today, where owners are looking for more of an experiential type of vacation. So that means things like all-inclusive resorts and crews and things that are just more than an accommodation stay. So it's really changed drastically, and we change along with the needs of those owners.

SPEAKER_03 4:16

So basically, if I hear you correct, the owners' expectations are a lot different today than they were, let's say, 30 years ago when I kind of started in the industry and this head was a little darker than it is today.

SPEAKER_01 4:29

Yeah.

SPEAKER_03 4:30

You bought a week and you can use your week or you can exchange your week. But I think owners expect a lot more today from an exchange company. Is that fair enough to say that?

SPEAKER_01 4:37

They absolutely do. They expect to be able to have that product change with the way that their lifestyle changes and adapt to the way that they choose to spend their vacation time, which was different than the way it once was way back when RCI was first founded.

unknown 4:54

Yeah.

SPEAKER_03 4:54

So a resort that's starting or an exact developer that's existing, they shouldn't not look as an exchange company as a as uh an extra cost, but as a retention center for retention strategy, I suppose, to uh to their member base. Is that is that an important factor for customer satisfaction?

SPEAKER_01 5:17

Sure. So we don't actually measure our vacation success in renewals or retention. It's more in the vacations that we deliver and the way that we help owners unlock the value that is so important to them, and it's the reason why they purchased in the first place. So our job as an exchange company is to help people use that product to the highest best way it can complement the way that they travel. So somebody that perhaps bought when their kids were young and they had the separate living space where the children could go to bed and then the adults could enjoy some alone time and actually continue their vacation way after those children went to bed. Now, even sometimes the roles are reversed where it's the parents that choose to go to bed a little bit earlier, and the kids that are up either playing games or having time outside of just working with their parents. So that's been a definite differentiator in the way that things perhaps were to where they are, and how exchange really makes that product, that promise of vacation, um more relatable and more of what that person needs.

SPEAKER_03 6:31

Well, the RCI philosophy when it first launched in 1974 with Crystal and John Dahan, um, I was very fortunate to have her as a great colleague for many years, and I loved Crystal. She's such a personal person, and I I think RCI's kept that culture a little bit. Like she didn't seem to be about the money because all the money that she's made went into the Crystal House, which is an organization that to help, you know, uh under impoverished uh nations and the students' education. She really had in mind of giving family time together, giving family experience, otherwise they wouldn't do. And I think the commitment of being part of a vacation club or a timeshare is that you're putting your foot forward, says, you know, I'm gonna commit to this, but not having to go back to the same place anymore. There's a lot of choices, a lot of options that are out there. But you mentioned point system product design, does that affect the request as far as what our members are expecting?

SPEAKER_01 7:32

I think that members expect us to be able to change with how their lifestyles change, and it's up to us as an industry to continue to innovate and to deliver things that are relative to what it is that that person is looking to accomplish when they talk about this is my vacation goal or this is how I choose to spend my time, which is a precious commodity in itself. So destination um travel, people going just for ski or just for beach, that's definitely changed. People have become a lot more aligned and have a trust in the brands, which is another piece of the whole experiential side, so they're emotionally connected and invested to things like that. So it's bringing forward the things that are most important to owners and honing in on it. So for some people, they do still choose to travel a week at a time, and a week's product is still exactly what's needed. But for others, there's that evolution with points and clubs and things that really give people that ultimate control.

SPEAKER_02 8:41

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SPEAKER_01 9:16

Sure.

SPEAKER_03 9:17

It cannot just be okay, we did the sale, you take over the travel. Is a collaboration important between you and the initial vendor or club? There's got to be, because again, like you were saying, some people want to go back to the resort and they want to use the resort, right? Or they may do a combination of using the resort part of the time, some of their benefits, and then using RCI for what all the uh option it provides. How is that collaboration maintain relationship?

SPEAKER_01 9:47

So collaboration is key, and I think part of that also goes right back to the communication piece and helping people understand how to use the product that they have decided to purchase. The more that they travel, the more that they continue to see the value in which they were promised at the sales table, and the more that they'll refer, the more that they'll buy more. But it's being able to deliver that education back to them to get that usage out of the product. So, how do you do that? You do that by aligning with your exchange company. You do that by offering options for people to be able to get assistance. So that could be anything from click to chat to content on the website, be it yours or with the exchange partner. It could be things like having easily accessible details about what that vacation experience would look like. So we all have a commitment to be able to continue to keep our owners educated so that they continue to use the product.

SPEAKER_03 10:50

Well, you brought the point of education, which is uh really referred to where my train of thought was going as you get somebody who goes to presentation, probably not intentional to get involved initially.

SPEAKER_01 11:01

Uh-huh.

SPEAKER_03 11:01

Um, they look at the product and they see something that will really benefit them. They say, you know what, this could really enhance our life. So they buy the product, they come into it, they have uh the book, their services, and then there's manual, there's the RCI book that goes along with it. They come home, it can be a little overwhelming. They've got all the stuff, and it's like having a new toy that you just don't, where's the instruction book? How involved does RCI get involved to help people walk through that process so they they become more comfortable with the product?

SPEAKER_01 11:32

Sure. I mean, we are as involved as people will allow us to be. So in partnership with the different um brands and resort developers and associations that we work with, we provide them with tangible collateral that they can then share with the consumer if they're looking for something in a printed fashion. There are things that we continue to do through email journeys to help people better understand some of the options that are available to them. Our website does have a comprehensive library of ways to be able to have tips and tricks for best practices within the exchange world. So lots of um items available at everybody's disposal.

SPEAKER_03 12:17

Is it fair enough to say though that at times the public perception in our industry has been it can be controversial at times? And a lot of it has to do with the knowledge, not aware of the progress that's being done because internally, from the exchange to product designs to the innovations and the new resorts developing and the new features, but there's a lot going on within our industry. Right. Um and the public's not always aware of that. They come in, they say, you know, what's gonna work, what's gonna surprise me, whatnot. But the contribution of an exchange, like giving all this freedom and all these options, uh versus being just locked into one type of experience, is it you feel it's helping the industry's perception, you know, the public's uh perception of our industry by showing that we are really a lot more flexible than people might think that we're not like the old timeshare of the old days.

SPEAKER_01 13:08

Right. I think that there are a few pieces to that. If you really take it back a level, it is so important for us as those in the industry to support our trade associations. So being involved with ARTA, being involved with ARTA win. Um I'm a member of the CARTA board. It's making sure that you make the investments in those industry associations that help advocate for us as an organization and as an industry. They also help with um legislation, they help build trust, they ensure different standards. I mean, we all need to make an investment in making sure that that reputation carries on and deliver consistent and exceptional vacation experiences for all.

SPEAKER_03 13:59

Well, I thank you for mentioning the associations. I mean, obviously, as president of the Canadian Association, I see the value of uniting all these forces together and and endorsing companies like yourself and so many that are have as a primary goal giving owners incredible good value by transparency, by having good ethical processes and whatnot. So we really are promoting the good in the industry, and and I'm really glad that you're on our board because it does help us on that end just expand, you know, our our horizons and what we're going. So it is important that we go because at the end of the day, our perspective is if it's not good for the end user, our members that are considering a program, an option, then it doesn't belong in our industry. And I think the the associations and meetings such as the ones we're uh at today really help put all the good thoughts together so that the public perception does change. So in the future, because you've seen the you've been in the industry for how many years now?

SPEAKER_01 15:02

Over 20.

SPEAKER_03 15:03

Over 20. So in the last 20 years, uh is the industry getting a better positive image through all the work of the associations? Are we still at the same level? What's your your feed from your perspective?

SPEAKER_01 15:16

I mean, I think you can always be better, yeah, and there's work to be done, and we'll only get there together. Yeah, I think the introduction of brands has also brought a certain level of trust and attachment for people. In addition to that, I think it's also equally important that we as professionals in the vacation ownership space also understand that brands may bring trust, but experiences tell the story. And so it's important for us to make sure that we invest in our narrative and our story so that it's understood and it's embraced and it's celebrated.

SPEAKER_03 15:55

So the collaboration and everybody working together for the better experience of the owner is everything.

SPEAKER_01 16:01

So absolutely.

SPEAKER_03 16:02

Yeah.

SPEAKER_01 16:02

I mean, this industry is all about putting people on vacation. It's just that simple. And if we do our jobs and people travel the world, I mean everywhere is waiting for them.

SPEAKER_03 16:12

So if you looked at, because RCI is like the thousands, obviously a resource affiliated with you, is if a new developer comes in, what's the one area they need to prioritize in their program when they're looking at putting a club together, putting a program together to sell to the public? It's not all about numbers. It's about providing, like you said, at the end, a product that's going to give a consumer a phenomenal experience. What's the one area they need to prioritize right off the gate?

SPEAKER_01 16:39

The owner. It's always about the owner because the owner is then going to tell you the story that you need to fulfill. So that owner may change in the way that they choose to vacation, as we talked about, from fix to float to points and clubs and experiences and beyond. If you follow the voice of the customer, they then will show you the way to growth and longevity.

SPEAKER_03 17:04

You know, it's just amazing. I asked that same, in not so same words, question to Crystal Dahan probably 20 years ago. And you know what her answer was?

SPEAKER_01 17:15

No.

SPEAKER_03 17:15

The owner.

SPEAKER_01 17:16

Really?

SPEAKER_03 17:17

So it's phenomenal that you come up with that same thing. And I I hope that RCI keeps that culture that has been integrated by her at the beginning, that it's not all about numbers. It's not all about how many exchanges you do. It's not, it's really at the end of the day, it's about the owner experience. I give family experiences. In our family, for instance, I've never ever missed a year of a great vacation with my family since because of the timeshare business. Now you put money into that, I'll listen to any argument any day. And RCI has provided us some phenomenal, phenomenal experiences. Barbados, uh, Europe, Hawaii, Caribbean, the beyond belief. Canada as well as the United States, all over the world. So it's a phenomenal, phenomenal thing to do. So and I think it's been um uh uh interesting to discuss how an exchange company can enhance just the product of a basic product of a buying a week somewhere, which in some people the perception is still still there, sadly, but it needs to change.

SPEAKER_01 18:19

Absolutely. And I think the more that we can do as an exchange company to continue to make that product relevant to the owner, to help them unlock the value and have it grow along with them and their travel needs, the better served we are because we as an exchange organization have to help you deliver on the dream that they were promised and and just validate that the things that they had imagined are the things that are actually in truth within their reach.

SPEAKER_03 18:50

Well, I'm definitely a product of the product. I've enjoyed the exchanges through the years. Hopefully, we'll continue to exchange for many, many more years. Absolutely. I every time I get to talk to you, I get to pick up a little something again to realize how great our industry is, and it's because of all the partners that provide a product, a complex product at the end to give people the ultimate flexibility. So I just want to thank you for your participation today. Today was great having you, Tara, and uh you are a phenomenal ambassador for the industry.

SPEAKER_01 19:20

Thank you so much. It was truly an honor and a privilege to be able to speak with you about something, as I mentioned, I'm so passionate about, and it's great to connect with an old friend and to uh definitely talk about the ways that we make a difference as an industry.

SPEAKER_03 19:34

Any final thoughts?

SPEAKER_01 19:36

I would simply say that as your exchange partner, we truly try to complement and keep people going on vacation year after year and making memories happen. I mean, that's what it's all about.

SPEAKER_03 19:47

I think RCI is here to say for many more years.

SPEAKER_01 19:50

So agreed.

SPEAKER_03 19:51

So I think it's fair to say from everyone that it's been a phenomenal discussion. Tara just shows the importance and the value of added flexibility options that RCI provides and has provided since 1974, still keeping that the owner at the end is by far the most important component. So I thank you for watching. If you have any question and would like to know more about RCI, please fill up the comments below. We'll be glad to get back in touch with you. In the meantime, safe travels. I'm Gaitan Babin. This episode is brought to you by Hama Kampai, the first vacation ownership project on the northern coast of Ecuador.