April 11, 2019, Phil Lemler presented a HSV Marketing Seminar (Workshop). There were more than 50 Villagers in attendance including one sitting Board Member, Cindi Erickson. Also present were Tormey Campagna, Diana Podawiltz and Dick Garrison, the newly elected, but not yet seated Board Members. Thank you, Cindi, Tormey, Diana, and Dick for attending this very important workshop.
Four P’s of Marketing
The workshop was presented in a typical classroom style with Phil Lemler using whiteboards and the audience asking many varied and interesting questions. Lemler began by explaining the four P’s of marketing which are Product, Price, Place, and Promotion.
- A lot of people think marketing is only about promotion, explained Lemler. It is not. The first building block is Product. Product involves who we are and who we target.
- The second P of marketing, Price, is something that is not under our control. That is not to say the reasonable costs of living in Hot Springs Village should not be mentioned when marketing the Village. The reasonable costs should be used as a tool, but the price of homes, utilities, cost of living in Arkansas, etc. are items which are not under the HSV marketer’s control.
- Place, the third P, is a matter of getting the product to the customer and includes sales or prospect management. Prospect management means grabbing the attention of the prospect on the first call and understanding who they are. The ultimate goal is to get people here. Once we do that, people will fall in love with Hot Springs Village.
- Lastly, Promotion refers to advertising by direct mail, website, brochures, social media, etc.
HSV Perceived as Retirement Community
Phil Lemler said that we are perceived as a retirement community and customers buy on emotion. It is a psychological response to the advertisement and perception is the product, not the product itself. We are perceived as a retirement community and that is not going to change, at least not quickly or easily. Once we try to communicate to the marketplace that we are something other than a retirement community we erode our brand. The perception of the product determines who we are.
Determine Target Market
We must determine our target market. That does not mean people other than our target market cannot live here. We welcome everyone, but our advertising dollars should be used to pursue the target market or we are casting too wide of a net.
For example, Lemler stated that Burger King targets 18 to 35-year-old males. They realize that targeting everyone would be too expensive. This does not mean that a 40-year old woman would not be welcome at Burger King. Burger King welcomes all business but targets a large enough and specific segment of the market they feel they can most easily attract. This should be the same principle used in Hot Springs Village when we market.
Lemler explains that there are a lot of retirement communities and active lifestyle communities. If we present ourselves as being those, we are a small fish in a big pond. “ However, if we position ourselves as “an active lifestyle retirement community that has 9 championship golf courses”, we rise to the top of the options and have very little competition.” This is our product. It is who we are and tells us who to target.
We have a big lead on the marketplace because we have so many championship golf courses. This makes us different and places us at the top of the marketplace. The CMP is built on an ineffective marketing strategy, which targets many diverse groups, of all ages and interests. While we do welcome people of all ages and interests, that is not where we should be spending our marketing dollars.
Ron Tetu Explains Financial Future of Hot Springs Village
Below is a pdf in which Ron Tetu, Hot Springs Village Property Owner, supports Lemler’s position. In this document titled, The Financial Future of Hot Springs Village”, Tetu also talks about “potential revenue possibilities.”
Ron-Tetu-The-Financial-Future-of-Hot-Springs-VillageMuch Appreciation to Everyone
We would like to thank Phil Lemler for his well-thought-out and interesting marketing seminar. Thanks also to Ron Tetu for taking the time to produce this document and sending it to POA Management and all Board Directors.
Appreciation to videographer, Joe Dowden, for recording this session.
Special mention and thanks also to Gary Ketteler, Manager of the Coronado Center and his staff for their hard work in setting up the room.
All-in-all, the marketing seminar was a triumph!
Written by Cheryl Dowden —- Photography by Joseph Dowden
Marc Bayer
04/15/2019 — 10:20 am
It should be obvious the target for our community is the about to be retiree who is an avid golfer. Marketing should be directed, almost exclusively, to that audience.
Randy Hitchcock
04/15/2019 — 12:06 pm
Lemler is 100% on target with his presentation and view of how HSV marketing should be directed. Instead of trying to be everything to everybody–and failing noticeably–HSV’s POA should laser-focus on what makes the Village special, what will attract new retirees/residents/visitors, and what the reason is that most of us chose to live here: this is, first and foremost, a GOLF community. Yes, there’s a LOT to love besides golf. Yes, we would love a diverse residential base. But with limited marketing dollars, the POA should be concentrating on the millions of Baby Boomer Retirees who want to golf in a beautiful setting, at a reasonable and affordable price. The only mystery to me is, why is this even a question for debate?
Stan kaleta
04/15/2019 — 12:40 pm
My wife and I came here 2 years ago and what attracted us was to leave the urbanization of 90,000 pop. All city issues from schools, police fire pensions ,noise ,crime, and the bottom there is never enough money. Now, because of the 2008 economic down turn, real estate prices have stalled, incomes stagnant, and people in the income stream want to make up for lost-time. Then came the 12 amendments that failed last Nov. That send a message to the Villagers to become vigilant on who is behind this? , what special interests groups are involved? With this anxiety, that was created, nothing , I believe, could move forward until a solid direction materializes. What I`ve heard on the street of what Villagers wants are: Medical facilities , safety ( gated community) recreation, and a laid-back quite atmosphere. As far as appreciation of lots, home values, that will take time. Prices from 2000 thru 2008 went through the roof. now, I believe, we are experiencing a regression of the` mean`, in that demand and income will have to catch-up to what people paid during those years. Moreover, you are spot on, in that, the retirees are the target for future growth and must market that segment.
David Legan
04/17/2019 — 9:45 am
Amongst all of the stats…improved, unimproved, rounds of golf, etc. I never saw a figure for year round occupancy. I sense that a substantial number of “improved lots” are used for vacation homes and/or short term rentals to vacationers. If there is a number out there, I’d like to know it. Why? A profitable vacation rental property pays just as much in dues as an occupied home, and is likely to produce greater golf income. And if that is the case, we should widen our promotional net to include vacationers. Not just retirees, but folks of younger ages who might come to the Village for recreation, and fall in love with it as we did. More ACTIVITY means more money.
Walter Chance
04/22/2019 — 10:01 am
Been a while since I saw the 4 Ps. Not since college 35 years ago. First. Promotion. The Villages uses a substantial budget for marketing. For a reasonable fee, drone footage of the Village entrance, golf courses, walking trails, lakes should be played on webpage, Oaklawn video screen, etc. and 4 main points. 1) Lower Taxes 2) Largest Gated Community in US 3) Location 4) Amenities. A targeted marketing plan to those in the demographic of born 1955-1965. Ages 55-65. The POA must increase marketing budget, this will be a positive ROA
This is a destination marketing endeavor. You must offer an incentive to visit. How about offering some of the 3,000 lots at a huge discount with the terms being ‘one must build within 2 years from transfer of deed. This would increase POA revenue.
Place. Oaklawn , 30 minutes from us has a huge influx of potential residents. A Shuttle program during February- April with a goodie bag with a set intenarary. The shuttle should have a set route. Drive by Golf course or two, Walk trails, lakes and a lunch at the Woodlands. …Advertising at Oaklawn on video screens during these months is a no brainer. Seeing is believing. But without a physical visit, your prospects will fall out.
Price. One must show how prices vary from Golf Course, Lake Front, Lake View or in my case ‘Livable Forest’. Nationwide we are in most areas well below the National average for the price of a home. The key to success is getting the prospects here. Another possibility that has worked in my years in marketing Homes is a giveaway. I mean yes, a home. To enter one must visit and register for the ‘free home’. This could be a remodeled home with a limited budget’. It should fit the demographics. You will get tire kickers, but they will tell on average 7 persons of there visit. The giveaway can be 3 months or 6 months. When keys are handed out you will get news coverage. I have other ideas, but these are a few. I opened and closed out home sale communities for 15 years. I then built home for another 15 years. PS. I am Sold on the Village. We love it here.
Kirk Denger
04/23/2019 — 10:56 pm
Shhhhhhh!!! Stop telling everyone about the gold mine here. We have all we need without any outside financing. Shut down the management’s marketing debacle that lost over $1 million in our assessment dollars last year alone. If the BOD would just Woooaaaa!! the waste by our CEO, we would have enough financing to last 20 years! Lemler is 1 million times better than what we have now because he did not cost us a dime. Terminate the CEO, get back to reality where a marketing program must pay for itself.
michael fleming
09/08/2019 — 7:18 am
The very most sensible plan ever! EVER!!