Press Release: Looking Glass, Inc.
July 13, 2001
DENVER, CO -- Household-based marketing segmentation from Looking Glass, Inc., illuminates timeshare purchasing
trends and best customers as revealed in a new study by Ragatz Association, a business unit of Resort Condominiums
International, LLC (RCI).
The study, titled, ``Timeshare Purchases: A Profile of Recent Activity,'' revealed that 79 percent of all timeshare
purchases from May 1999 through April 2000 were made by nine household types segmented using Looking Glass' household-based
market segmentation system called Cohorts®.
``Using Cohorts is a new approach to market segmentation in the timeshare industry, offering insights into industry
demographics and lifestyles not seen before,'' said Scott Schroeder, chief operating officer for Looking Glass.
``Timeshare marketers now have a powerful method, as demonstrated through the Ragatz research, for identifying
potential buyers, more accurately targeting marketing materials and campaigns and creating effective sales presentations.''
Survey respondents were ``typed'' to determine which Cohort they fit, based on their responses to demographic questions.
The largest percentage of timeshare purchasers -- 24.5 percent -- consists of mid-scale married couples who include
young families, back-to-school families and teen-dominated families. They are followed by affluent empty-nesters
-- Alec & Elyse -- who make up 16.2 percent. Burt & Marylyn are mature couples who compose 12.5 percent.
Closely behind are Jules & Roz, affluent couples with kids, who make up 10.6 percent. Buddy & Carole, comfortable
middle-aged couples, constitute 9.5 percent. And 4.3 percent of the respondents are ``hyperactive newlyweds'' named
Bret & Tracey. The only single person who was included in the top nine was Victoria, a savvy career woman who
came in at 3 percent.
Cohorts, which was created by performing a cluster analysis on self- reported demographic and lifestyle information
from 31 million households, resulted in the discovery of 27 naturally occurring consumer groups, or Cohorts. Looking
Glass chose highly over-represented first names within each Cohort to name the segments and developed lifestyle
vignettes to better understand, identify with and target each group distinctively.
For example, Cohort Alec & Elyse, the affluent empty-nesters, have a median age of 55, median income of more
than $100,000 and ``use their high discretionary incomes to enjoy all aspects of the good life.'' Cohort Cindy
& Dmitry, on the other hand, have a median age of 38, a median income of $51,000, and keep their preadolescent
kids occupied with pets, videos, computers and outdoor activities.
``Each of these nine Cohorts is more heavily represented among timeshare purchasers than among the U.S. population,''
said Steven Miner, director of research for Ragatz Associates and author of the study. ``Together, all nine Cohorts
represent only 48 percent of U.S. households; eight of these Cohorts are married couples, while one is, surprisingly,
a single woman.''
For a summary of this study with tables, including a supplemental table showing buyers of U.S. timeshares by key
Cohorts, please contact Jenny Reinke at jreinke@brwlegrand.com or (303)
298-8470. Full copies of the study -- with tables, additional findings on issues such as maintenance-fee trends,
most successful purchase locations, most effective lead-generation techniques and important explanatory details
on the study's key findings -- are available exclusively to RCI affiliated resorts through their regional RCI Resort
Services account representative.
About RCI
RCI (RCI.com) is the world's leading global provider of products and services to the timeshare industry, with more
than 3,700 affiliated resorts in 100 countries. In pursuit of its mission to be the market maker in global travel
and leisure, RCI offers the world's leading timeshare exchange services through RCI Points, the first worldwide
points-based exchange system, and RCI Weeks, RCI's traditional week-for-week exchange system. Last year, more than
2 million exchanges were confirmed through RCI, sending an estimated 7.5 million people on vacation. RCI provides
integrated timeshare solutions in addition to exchange through RCI Market Links, including consulting, travel agency
and technological support. RCI is a subsidiary of Cendant Corporation (NYSE: CD).
About Ragatz Associates
Ragatz Associates, a business unit of RCI, serves the international timeshare industry, offering market research,
feasibility analysis and comprehensive consulting services to established resort developers, marketers, operators
and prospective industry entrants.
About Looking Glass, Inc.
Looking Glass, Inc., is a consumer marketing information company that has pioneered the use of household-based
segmentation to help companies improve their marketing ROI. Looking Glass' Cohorts® system goes beyond ordinary
geo-demographic segmentation systems to humanize demographic and lifestyle data, enabling companies to make data-driven
marketing decisions, create customized communications and marketing programs, and make market research actionable.
The company's Internet application of Cohorts helps bridge online and offline consumer marketing efforts to create
a totally integrated marketing tool.
With staff experience in market research, database development and database marketing applications, Looking Glass
works with businesses in a variety of industries, including AT&T Broadband, The Bombay Company, Royal Resorts,
Cablevision, Proflowers.com, Charming Shoppes, Norm Thompson and Wells Fargo.
For more information, visit www.cohorts.com or contact Sandy McCray at Looking
Glass, Inc., 1624 Market St., Suite 311, Denver, CO 80202; (303) 893-8600; Fax (303) 893-8611; or smccray@cohorts.com.
SOURCE: Looking Glass, Inc.