VIRTUOSO®: THE HOTTEST NEW “ALL-INCLUSIVE” IN TRAVEL

Luxury Travel Network Announces An All-Inclusive Agreement For Its Members

NEW YORK (July 15, 2010) – Virtuoso®, the industry’s leading luxury travel network, announces today an all-inclusive membership agreement. Rather than offer a la carte pricing for components of membership, Virtuoso has packaged together the assets that analysis shows make agencies more successful with their clients, more desirable for advisors and better positioned for market success.

The new agreement was driven by a year-long analysis Virtuoso conducted which showed that member agencies not fully utilizing the network’s assets were less successful than agencies that took advantage of Virtuoso resources. Using marketing as an example, a review of 18,000 Virtuoso client households revealed that those receiving a campaign approach of publications, direct mail and e-marketing resulted in 80% higher transaction value than those households not receiving Virtuoso publications and marketing, and advisors participating in the training-based Sales Campaigns experienced four-times higher the average Virtuoso advisor transaction value for these tactical, integrated sales efforts.

“Our goal is a fully engaged network,” says Virtuoso CEO, Matthew D. Upchurch, CTC. “This all-inclusive approach provides every member with full access to the benefits and tool sets developed for their success. This means higher yields and production for our suppliers and for our members, a better ability to recruit and develop talent and increase profits.”

An all-inclusive agreement helps agencies budget for their network participation and focus on maximum utilization of the provided products and services. Members’ investment is set as a decreasing percent of preferred supplier production. “Preferred supplier production is rewarded in the form of 100% participation in bonus overrides and in year over year growth credits for members; it is also a key objective for Virtuoso’s investment—the others being advisor talent recruitment and development and client acquisition and value. This mutual investment keeps all of us focused on achieving these goals,” says Kristi Jones, Virtuoso President. “Best of all, our analysis shows a minimum of $9 return to our members for every $1 invested in this network.”

The annual investment, billed monthly, covers all membership charges including annual membership fees, branch fees, marketing charges, Travel Mart registration costs, training, license fees for Composer, etc. As an agency’s network production increases, their annual network investment percentage decreases. Yet increased production increases the amount of products and services an agency receives, effectively lowering the cost for these services as a percentage of production.

Virtuoso says the model itself reflects the original member agreements of 1988; however, the number of products and services has increased dramatically. Virtuoso says the majority of its members will be minimally or not affected by this new investment arrangement due to their current level of network engagement. All members will receive direct assistance from Virtuoso’s Regional Sales and Inside Sales teams in reviewing the model for their agency and effectively applying services and benefits they may not have utilized in the past.

“We are confident of the value of Virtuoso membership and this network,” says Upchurch. “The future demands a united, engaged, focused network. This inclusive agreement insures that we can continue to deliver on the vision of our entrepreneurial members and the expectations of our preferred suppliers.”

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About Virtuoso
Virtuoso® is the industry’s leading luxury travel network. This by-invitation-only organization comprises over 300 agencies with more than 6,000 elite travel specialists in 22 countries in North and South America, the Caribbean, Australia and New Zealand, as well as over 1,000 of the world’s best travel providers and premier destinations. The network’s member agencies generate over $5.1 billion annually in travel sales, making the group the most powerful in the luxury travel segment. Their relationships with the finest travel companies provide the network’s affluent clientele with exclusive amenities, rare experiences and privileged access. Virtuoso is the exclusive network of travel services and benefits provided by MasterCard® for participating World Elite MasterCard® programs.

Media Contact:
Misty Ewing
Virtuoso – Director, Public Relations
Office: 212.588.8242 / Mobile: 206.484.8022   
E-mail: mewing@virtuoso.com