Ever since I wrote a negative article on Club Mahindra here, I’m discouraging people from enrolling for Club Mahindra’s Life membership and driving away CM’s business -Many people searching about Club Mahindra land at my blog post as it is appearing almost right below Club Mahindra official website for search queries-Details here(I don’t regret that because whatever I wrote is genuine and supported by necessary evidence/reasoning) however I feel obliged to write some tips how Club Mahindra can regain lost confidence of its members. (This is fully complementary to Club Mahindra from my side).
To justify the huge amount they are charging, and to fulfill whatever they are promising before taking the money, I suggest Club Mahindra to implement the following, at the earliest:
1. Commit a minimum service guarantee to your members and define a SLA (Service Level Agreement). (Currently, members must keep paying ASF (Annual Subscription Fee) etc irrespective of usage, while Club Mahindra has no commitment on guaranteed booking). That is, if a member expresses interest to take a holiday within reasonable time (say 30-45 days in advance) Club Mahindra should ensure that the member gets a confirmed booking. If you can’t comply with the SLA you must compensate the member adequately, which should include refunding ASF and extending membership by one year besides other compensations. This is very much essential, because as a member if I’m paying several lakhs of rupees, I would like to have an assurance that I’ll be getting whatever the salesman promised me. I’ve no interest in hearing “Sorry, NO vacancy at our resorts” and excuses CM may give, however sweet and reasonable, doesn’t serve my purpose and do not compensate my loss.
2. Make it inflation free: Either remove your slogan of promising Inflation Free holidays or commit to not increasing ASF every year.
3. Have a Customer Support Cell: (and attend members’ concerns too) Focus on keeping existing members happy so that the members themselves will refer more and more people and bring business. Avoid hunting for new people to fool every time.
4. Give a withdrawal option: Give members an option to pull out of membership scheme if they wish and offer proportionate refund. This puts an obligation on you to give better service and retain them. Naturally quality of service will improve. Also when you give a cancellation option more and more people will come and join (since they have an option of canceling membership and won’t be loosing much)
5. Do not enroll members when your resorts do not have the capacity to accommodate them. Resorts are not dormitories. When members enroll, they expect maximum return on their investment and satisfaction.
6. Reduce ASF: I feel the current ASF is not justified (it is almost at par with hotel rent, given that huge sum is already collected as membership fee). Bring it down or provide complementary food, transport etc.
7. Tell your sales reps NOT to make unrealistic promises. They should explain in plain english all pros and cons-What members are guaranteed to get, what all are purely luck based, what CM doesn't offer and what are the hidden factors and risks involved. They need to declare what all are covered by initial membership fee, what expenses are to be paid later (like ASF), what all are not at all covered etc.
All these are suggested hoping that you wish to grow your business by delighting your members and give them value for their money. It’s obvious that since you are in business you need to make money. But profit should be realized after delivering whatever was promised to the customers and not by fooling/cheating/misleading unsuspecting public.
Disclaimer: No offense is meant. The post only lists simple practical implementations which if implemented will increase customer satisfaction and automatically promotes business. This is just a suggestion and implementation at Club Mahindra’s discretion.
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