VIP’s Access Plan Profile
—VIP’s Access at a glance: A luxury concierge agency geared toward discerning clientele's travel requirement, VIP’s Access vision is to anticipate luxury clients' future needs, while offering a suite of services eventually to be of interest in some aspect of their lifestyle; —Private Jet Charters —Luxury Hotels —VIP Hospitality to famous sporting events to a worldwide audience. VIP’s Access extensive online collection offering over 100,000 luxury hotels and beach resorts, powered by Priceline.com, includes prestigious brands from around the globe.
Certainly, there are businesses offering services mentioned above, the questions we ask is rather; "Do private jet or luxury hotel travelers need one service or the other at times?" Imagine Priceline.com only offered hotels booking and clients must go to Delta for an airline ticket. VIP’s Access plans to be in the forefront the day travelers could book a luxury hotel and charter a private jet online.
Moreover, VIP’s Access broad range of services is strategically designed to attract either; those who delight in the finest travel arrangement or diehard sport fans requiring exclusivity while entertaining business partners and clients or family and friends.
VIP's Access unorthodox approach in introducing itself is primarily through fulfilling clients' passion. "Sport" is a common denominator whereas fans, whether rich or poor, would go through great length in support of their favorite team or athletes. While luxury travelers attending a sporting event could be limited by their budge, high net worth clients who often decide late, thus confront sold out venues and accommodations, would simply claim; -cost is not a factor. Fulfil a passion and you could win a big fan of your brand.
—VIP’s Access Clients Profile:
Beside the typical luxury travelers, VIP's Access counts among its clientele some of the world's elite personalities and has relationships with high profile celebrities and pro athletes. Below are a few examples.
| Notable VIP Clients
|Saudi Arabia Royal Family
||Private jet request upon the King's death in 2016
|Quatar Royal Family
||Private jet request and VIP hotel reservation in Cannes
|UAE Royal Family
||Luxury skybox suites to the UEFA Final
||Luxury suite to the Super Bowl
||Luxury suite to the Super Bowl
|Venture Capitalists, US & International Corporate
||Luxury Suites to the UEFA Final, Super Bowl, U.S. Open Tennis or Masters Berckman's Place Badges
|International Lifestyle Firms & Luxury Travel Agencies
||Hospitality Packages to the Olympics, UEFA Final, Super Bowl, F1 Grand Prix races or the Masters
|Famous Twitter Followers
|Julius Dr J Erving
||Legendary NBA Hall of Famer
||Singer and Producer
||Running Back Seattle Seahawks
|| World Champion UFC Fighter
|| Pro golfer, Nike athlete
|| Former Tight End Green Bay Packers
| Wendell Pierce
| Yara shahidi
| Zach Boychuk
Professional Hockey Player
| Clayton Blackmore
|| Pro Golfer, Former Pro Footballer Manchester United
| Marcus Smith
|| Defensive Back Philadelphia Eagles
|| Indianapolis Colts Wide Receiver
| DeShawn Williams
|| Defensive Tackle Cincinnati Bengals
| Al B. Sure
| Shaq Thompson
|| Linebacker Carolina Panthers
| Paul Turner
||Wide Receiver Philadelphia Eagles
| Vincent Valentine
|| Defensive Tackle SBLI Champion New England Patriot
| Dominique Franks
|| Coner Back Baltimore Ravens
| Ron Brooks
||Corner Back Philadelphia Eagles
| Datone Jones
|| Defensive Line Minnesota Vikings
—VIP’s Access Vision: VIP’s Access is seeking to raise $6.5 million investment in a Series A funding for equity into the company. This investment would serve for hiring expert concierge agents, sales, developers and support staff, as well as for marketing expenses. Moreover, this fund would serve for the development of a proprietary booking engine exclusively offering luxury hotels and private residences, as well as developing an app for three products within the same platform; —Luxury Hotels and Residences —Private Jet Charters —Sporting Events Hospitality Packages. In the currently marketplace, these services constitute three distinct industries, targeting the same elusive luxury travelers each and every day, causing most to resort to shenanigans.
For a better perceptive, imagine a gang of devoted entrepreneurs in 1765 along a trail, dancing around fire pits and screaming their lungs out, hoping to catch the attention of the daily caravans passing nearby, often indifferent to their beautiful camps open for business. However, what would be the odd if a clever, a visionary and a genius were to also add—A pond to his camp, while filling the air with the odeur of a slow roasted and delicious Texan buffalo barbeque, to his repertoire of increasing those precious stops? -Adding bootlegged Tennessee whiskey in the trickery bag, even the unsmiling fast gun Yankee would be tempted to call him; -Master of his domain...
VIP’s Access has streamlined these services under one umbrella with in depth expertise in each, leveraging profit acquired in one sector to lure clients for multiple or repeated business. This business model has proven particularly effective in generating additional sales with clients who primarily approached VIP's Access for VIP tickets to the Super Bowl or the Masters. They will find it all very natural to purchase private jet charters, 5 star hotel accommodations and limousine transfers because these services are clearly defined in the website. Furthermore, it is worth underlining the fact that those clients, more than likely visited Ticketmasters, Stubhub and others prior committing to VIP's Access. The ability to rely on one agent to answer every questions, provide updates and show that you have their best interest at heart is truly what luxury consumers want in the 21st century...
objective is to combine the best of the companies below:
— Jet Smarter:: Uber for Private Jets -Raised $5.2 million Series A in 2014
www.JetSmarter.com -And raised $105 million Series C in 2016
— Luxury Retreats:: Offers luxury residences -Raised $5 million Series A in 2012
www.LuxuryRetreats.com -Generated $150 million gross sales in 2016
—Quint Events:: Offers luxury hospitality packages to sporting events in the U.S.
www.quintevents.com -Official distributor of the NFL, U.S. Grand Prix F1 & others
—Competitors Weaknesses: -Jet Smarter weakness first and foremost rest in the considerable upfront membership fee required, around $12,000 per year, which obviously is not very appealing to the vast majority of occasional travelers. Further, Jet Smarter would need to attract additional investments in order to procure its own private aircraft fleet to fulfill the free flights promises to be successful in this venture. One could imagine if Uber had imposed a membership fee, it would have failed in disrupting the ride hailing business. Similarly, for the private jet charter industry.
-Luxury Retreats and others online providers in the luxury accommodation sector are all competing for the same client base, thus requiring a larger financial investment in advertising and marketing to remain relevant, therefore, affecting their net profit considerably. Assuming the average client takes a vacation once a year, these companies have to wait an entire year to monetize on the same client due to the fact they only offer product. And that is if indeed the client does come back, and he/she is not lured by a competitor's promotion the following year.
-Quint Events and most luxury hospitality providers to major sporting events are mainly marketing US sport championships, missing out on wealthy and corporate clients from around the world, who passionately love European soccer championships, the World Cup, the Olympics and Formula 1 Grand Prix races. It is safe to assume that this elite clientele whether from Asia, the Middle East or Africa, is also a consumer of both private jet charters and luxury hotels throughout the year. Further, most agencies assume the role of brokers, thus, relying on a third party to supply the inventory, particularly for corporate suites to the Super Bowl.
— VIP's Access Strength: The 21st century is creating more wealth, consequently increased luxury customers than at any time in the history of man kind. Stating the fact that luxury service providers are yet adapt to shift the 20th century's structure and marketing strategy is an understatement. Case and point one should consider Amazon.com impact in the retail industry. The principle is a straight forward strategy. —Capitalize on partners assets —Market everything under the sun —Lower cost —Optimize customers buying power to your advantage and enjoy screwing competitors.
Translation; Thousands of private jets fly empty every day around the world wishing they could at best recoup the fuel cost to increase profit. However, publicly lowering cost could have disastrous consequences in the industry if operators, especially larger ones, fiercely competed to retain clients. Initially, VIP's Access strategy would focus in dealing with operators chartering 10 private jets or less in major cities in the US and London. Given that charters' prices are set arbitrary and repeated business earns preferential status, VIP's Access would pass those benefits directly to clients.
Defining luxury travelers need, who mainly are corporate, celebrities, pro athletes and wealthy individuals all cherish flying private. In order to sustain offering lower prices for jet charters, one has to offset those loses while marketing different products just as cherished to this client base: —Luxury hotels/residences —VIP tickets & corporate skybox suites —Personalized concierge services; are all services saw after by luxury travelers globally. Thus, establishing corporate and VIP accounts with emphasis on each account spending power to earn cheaper to free private jet flights would by far attract more customers, than Jet Smart membership fee based program.
— Private Jet Charters: With increased traffic for luxury related services, interest and demand private jet charters will rise drastically. It has been our experience that customers purchasing VIP tickets to major sporting events, would inquire about chartering private jets as well. In fact, a client once chartered round trips from Atlanta to Augusta for the Masters, on a daily basis for several days. Furthermore, projecting that a considerable portion of luxury travelers booking VIP hotels or private residences would consider chartering private jet flights is not farfetched.
Though, it is hard to anticipate the sales volume generated in this sector, we are confident to safely expect earnings ranging from; $3 to $5 million within the first two years. Acting as a broker allows VIP’s Access not to assume the highly cost involved in owning and maintaining an aircraft fleet, rather, capitalizing on the vast network of private jet operators in every continent who fiercely compete to maximize their profit margin. It’s worth noting that a considerable effort is required in attracting entertainers, pro athletes and celebrities, who often charter private jet either for leisure or business.
— VIP’s Access Marketing Strategy: Rather than relying on a traditional advertising strategy, VIP’s Access would instead focus on building a fan base by promoting its "Chapter Program" in major markets, while squarely focusing on luxury clients. VIP’s Access Chapters would partner with local promoters to organize events such as; Sport Viewing or VIP Parties, happy hours at the trendiest venues, luxury yacht excursions and more. Chapters would offers financial benefit to the governing commitee while offering members discounts to events, as well as VIP's Access services.
Furthermore, it will serve VIP’s Access well to incorporate an "Entertainment Division" among its services. This division would serve to further enhance the VIP's Access brand, particularly during major sporting events, by co-hosting VIP parties and concert with major promoters during events such as; the Super Bowl, the UEFA Final and the U.S. Open in New York City. During the Monaco F1 and Abu Dhabi Grand Prix, VIP's Access would instead charter a luxury yacht for both races viewing and after parties.
Ideally, VIP’s Access would partner with established concert promoters and record companies to provide artists with luxury accommodations and private jet charters during concerts and tours. Whether the Entertainment Division is highly profitable or not would be a secondary factor, as the relationships built would be the most valuable in gaining hold of the highly lucrative entertainment industry's travel business.
With access to celebrities, VIP's Access would offer VIP passes and backstage access to loyal clients while sharing these experiences in social media to generating free advertisement online. This strategy would go a long way to further enhance the VIP's Access brand while highlighting its loyalty reward program.
Defining luxury travelers trend could better illustrate the void from which VIP's Access is set to fulfill in the current luxury travel marketplace, while differentiate itself from competitors with a suite of services strategically targeting this customer base year around. Consequently, the acquisition cost per visitor onto VIPsAccess.com would far greater pay dividend with customers potentially returning for different services, as oppose to competitors limited to one expertise.
It is worth mentioning that a notable client base is shifting preferences toward the private residence market from luxury hotel accommodations, especially, corporate clients or whenever an entire family or two combined travel arrangement happen to be much more attractive. Further, it is possible in such case, serious consideration for a private jet charter is contemplated, particularly, when travelling to remote exotic destinations or with small children.
Last but not least, attending and experiencing major events live is continually restrained to a certain income bracket, due to the skyrocketing cost of luxury accommodations and tickets to attend such events. These famous events not only introduces VIP’s Access to a worldwide audience, more importantly, it offers future expansion opportunities into other markets internationally, allowing local offices to introduce personalized concierge services to high net worth individuals in addition to online services.
The appeal in private rentals for clients is in the unparalleled privacy, often offering a private swimming pool, an exquisite estate and the ability to entertain a large group seemingly. The exorbitant cost of daily meals while at a 5 star hotel for a large group further deters clients appetite, encouraging them opting toward private rentals and hiring a private chef at a fraction of the cost. VIP's Access has an opportunity to play a major role in the luxury travel sector, capitalizing in our expertise and relationships built with several international partners to impact the market in a very short time frame. Furthermore, a booking engine offers the capability of developing an affiliate program of our own, as well as corporate portals to increase our revenue stream.
—Notable Luxury Hotels & Partners:
| Twitter Followers
|| 5 Star Luxury all-inclusive Spa Resort Cancun, Caribbean
Luxury 5 Star and 5 Diamond hotel in Beverly Hills, CA
|| Mandarin Oriental Elegant retreat in the nation's capital
||Luxury 5 Star Hotel in Monte Carlo, Monaco
||One&Only Palmilla ultra luxury resort & spa Pacific Ocean
||Official Starwood Hotels
||Award-winning luxury cruise company
||Luxury 5 Star Hotel in Monte Carlo, Monaco
|| Cote D' Azur luxury rental villa in Cannes, France
||Luxury 5 Star Hotel in Rome, Italy
||Panoramic Sea Views and Incredible Sunsets in Sardinia
||Luxury Villa in Tuscany, Italy
||Luxury Grand Hotel Tremezzo in Lake Como, Italy
|| Eco luxury, private resort in Costalegre, Mexico
|| Serene cove off the Atlantic ocean near Bordeaux, France
|| 10K Hectares pristine wilderness in Eastern Cape, Sth Africa
|| Luxury Bermuda resort in the Caribbean
|| Relais & Châteaux luxury resort nestled in Discovery Islands
|| Intimate oasis in the exclusive enclave of Paradise Valley
||Luxury 5 Star Hotel in Cancun, Caribbean
—VIP’s Access Projection:Once the booking engine is fully operational, VIP's Access stands to generate gross sales ranging from $27 to $56 million within the first two years, while earning a profit margin of $7 to $16 Million. However, from the third to the tenth year, VIP's Access should exceed the half billion dollar mark in gross sales, with an earning profit up to $200 million per year. Our projection is to have the $5 million investment fully reimbursed by the third year.
Depending on private property rentals, cost per night could range from $500 in a major city to $3,000 or $20,000 for a luxury estate in Aspen or up to $50,000 for a whole island in the Caribbean. Thus, a client spending $20,000 for an exotic getaway is rather in the lower end of the scale, larger group or corporate typically spend in the range of $50,000 to $300,000 for a week stay.
By our estimation, VIP’s Access could moderately generate 1,500 to 3,000 luxury rental reservations within the first two years, representing between $25 million to $50 million in gross sales, while averaging cost per stay at around $25,000. At a commission base of 20% per sale, VIP's Access' earning could range from; $5 million to $10 million in luxury property rentals in the first year.
Should an appropriate inventory were available, VIP's Access could have already been a leading provider of VIP tickets and luxury hospitality packages a couple of years ago. Instead, assuming a brokering role as is currently the case, has limited our capability to fully take advantageous of our prominence in Google's first page search listings for major sporting events.
Each year, several thousands of high net worth individuals, corporate, even Middle Eastern royalties visit VIPsAccess.com either for VIP tickets or luxury hotel accommodations, which are often sold out in the primary market for; — The Super Bowl — The Masters — The Formula One Grand Prix — The U.S. Open Tennis — The UEFA Champions League Final —The Olympics —The World Cup.
From experience, inquiries for luxury packages are mainly requested for in-stadium either shared or private skybox suite hospitality and 5 star hotel accommodations during major events. Consequently, VIP's Access has over the years built an email list of high caliber clients from all over the world and diehard fans of; “Soccer Championships, Golf, Super Bowl and the Olympics”. And at times, with disclaimers — Cost is not a factor.
Therefore, we anticipate generating sales ranging from $2 to $5 Million each year in this sector, provided an adequate inventory to include of VIP tickets, shared and private suites as well as 5 star hotel rooms availability into our inventory. Below are two products in particular, which present challenges in acquisition and establishing a reliable supplier chain.
—The Berckman's Place Badges: Are tickets offering the highest VIP hospitality during the Masters tournament in Augusta, for which VIP’s Access maintains a waiting list for clients’ inquiries each year. Unfortunately, these passes are very scares in the secondary market, given distribution is limited to a few corporate and sponsors, including to a very selective PGA’s members. VIP’s Access could sell thousands of those badges with a retail price ranging between $1,500 to $5,000 depending on the attending day of the Masters week, if we had access inventory.
—Luxury Skybox Suites: The Super Bowl and the UEFA Final (European’s soccer championship) are two biggest events for which VIP’s Access attract several thousands of visitors each year. Prominently listed on Google's first page, clients easily access VIPsAccess.com while searching for; -VIP Tickets, -Luxury suite Hospitality, -Corporate skybox and VIP parties to those events. The main challenge rest in the initial high acquisition cost of these suites. VIP’s Access could fairly sell between 5 to 10 luxury suites each year, at a retail cost ranging from $195,000 to $500,000 each depending on the location of the suite. It should be noted that prices has gone as high as $1 Million per a suite in the past, should the championship game generate enough buzz.
—Online Travel Marketing Strategy: Understanding hotel pricing structure for online travel sites, particularly for 4 and 5 star hotels is important, as nightly rates and promotions are dictated by each property’s management. Consequently, giant online travel sites such as Expedia or Priceline negotiate discounts with each properties to liquidate inventory, particularly during slow seasons with additional offers such as the "Last minute deals and Rooms upgrade". Other spin involved for sites such as; Booking.com and Hotel.com to allure customers is the; “10 night stay + 1 night free” marketing strategy. However, an average client won’t usually build up the 10 night hotel booking requirement each year, in order to claim the free night stay, sparing them the expenses of honoring the offer.
—Travel Industry Leaders Insight:
The travel industry with annual revenue of over $1.4 trillion globally, was disrupted with the internet revolution in the late 1990s, resulting in traditional travel agencies either adapting or closing shops over time, and several did. Two corporate in particular are consolidating their online dominance with multibillion dollar acquisitions of competitors remotely threatening their interests. The “Priceline Group”, followed by “Expedia Inc.” are in a fierce quest to be the undisputed king of online travel services.
Several companies entering this lucrative industry including; Google, Bing and many others explains its potential. Underlining the Priceline Group dominance, one has to appreciate the scope of their commitment to invest $3 billion in marketing expenses during 2015 alone, to further enhance their brands around the world, and bring new customers to the fold. A glance at both Priceline Group and Expedia Inc. quarterly earnings would better illustrated their performances.
Priceline Group Versus Expedia Inc. Metrics Q1 2015
Priceline Group Versus Expedia Inc. Metrics Q4 2015
Based on the fourth quarter earnings above, it's obvious how much profitable the Priceline Group is, as oppose to the Expedia Inc. based on the average booking cost per night. commissions break down as follow:
-Expedia Inc: An average reservation cost at $282.19/night, earns $32.19/night, around 12% commission paid by properties partners.
-Priceline Group: An average reservation cost at $121.08/night earns $20.18/night, around 17% commission paid by hotels partners in their network.
These figures illustrate the strength and weakness for each company, illustrating Priceline's dominance in the lower end hotel market. However, Priceline earns a much greater commission percentage per booking than Expedia Inc. does, while it is outperformed Expedia Inc. in the luxury hotel niche.
The magnitude of the Priceline Group’s dominance in the global travel industry with a gross sale of $55 Billion in 2015, and an operating profit increase from $1.4 billion in 2011 to $3.26 billion in 2015, illustrates the disruptive impact inflicted to the traditional structure by one company alone. The Priceline Group in merely 4 years was able to more than double its profit margin as indicated above, while making key acquisitions of; Booking.com, Agoda.com and Kayak.com which once were leading competitors. Not to be out performed, Expedia Inc. notable acquisitions include; Hotels.com, Venere.com, Hotwire.com, Travelocity.com, Orbitz.com, HomeAway.com and Wotif.com.
Moreover, one should consider that there are actually thousands of smaller travel agencies both online and offline in the United States and around the world, generating anywhere between $1 Million to $500 Million each year. Though, Priceline and Expedia have offices in several countries throughout the globe, with websites tailored to each market, indigenous competitors still fair well nevertheless in their markets. This is particularly true whether in countries such as; China, Japan, Brazil, UK, Mexico, Russia, Germany, etc. The reason is fairly simple, hotel properties do not discriminate on who is referring clients to their properties to keep their rooms filled. In fact, most luxury properties would much rather deal with smaller agencies requiring smaller commission payouts.
Enjoy a private jet flight at a fraction of the cost to great destinations like; New York City, Los Angeles, London and Miami or to
major sporting events such as; The Super Bowl, The Masters, The UEFA Final, The Wimbledom and the Monaco Formula One while paying only for your own seat, not the whole jet.
Shared Private Jet PAY PER SEAT
—VIP’s Access Chapter Program: The purpose of creating chapters is to further strengthen the brand, and creating a loyal fan base in major cities. Members could organize luxury events such as; “Happy hours at the trendiest establishments, VIP parties at private estates or aboard luxury yachts and major sport championship TV viewing parties, etc. Major cities such as; New York City, Los Angeles, Chicago, Atlanta and Miami will play a critical role in setting up the standard for other cities to emulate, highlighting the benefits of joining a VIP's Access chapter. Among other benefits, members would also enjoy discount to VIP's Access services offered online with two membership levels offered; "Platinum and Gold Plan". Cost of joining a chapter would be paid to VIP's Access with a referral fee awarded to a recommending member.
—VIP’s Access Online Competitiveness:Although maintaining relevance in the ever changing and competitive business environment nowadays present a monumental challenge, the internet however, offers somewhat of an even level playing field. Whether it’s a multinational with unlimited marketing budget such as; Expedia or Priceline or a smaller firm, we are all aiming for a footprint and strategic position online which translates into revenue. Thus, prominence in search engines' top listing either on Google or Bing is of the upmost importance, if wishing to remain relevant. Therefore, VIP’s Access online strength allows us to attract clients from across the globe, primarily while searching either for; VIP hotel accommodations, luxury hospitality packages or VIP tickets to major sport events. For a better perspective, below are a few search terms to illustrating the point;
-VIP tickets to the Masters —To the US Open or —To the Monaco Grand Prix
-Luxury Hotel to the Super Bowl —To the Kentucky Derby —The NBA All Star
-Luxury Suite to the UEFA Champions Final —Abu Dhabi F1 —The Super Bowl
-New York VIP hotel —Dubai —Las Vegas —Tokyo —Miami —Los Angeles
The search terms above illustrate VIP’s Access prominence among Google’s top first page listings, an achievement not to be underestimated by any mean. Websites online credibility is based on a system known as "Page Rank" which is governed by Google, with the highest score being a PR 10, while the lowest is a PR 0 for newer developed websites. For a website to be upgraded from a PR 0 to PR 1, 2, 3 or above, is based on the number of traffic a site attract, and it usually take years to move up one level. For better illustration, currently, VIP’s Access is a PR 4, while for instance; Google, Facebook or Twitter is all PR 10.