Doug Bech talks about capitalizing on a niche market in high-end resort destinations for the baby boomer generation.

Ten years ago, Doug Bech saw an opportunity to consolidate a highly fragmented and growing industry premised on the baby boomer generation moving into their later career years and enjoying more vacation time. Capitalizing on that idea, Bech founded Raintree Resorts Inter-national in 1996.

Bech and his team began in Mexico by acquiring a high-end resort company, Club Regina, making the decision to remain in the upscale end of the timeshare industry, primarily focusing on Mexico, the Western US, and Western Canada. “We felt this was a smart way for people to have access to quality vacation properties and destinations without the hassle of trying to find a hotel that had all the amenities and services that they need for family and friends,” Bech said.

Exclusive membership
Raintree Resorts, headquartered in Houston, Texas, has 15 destinations: seven in Mexico, seven in the Western US, and one in Western Canada. “We have been focused on increasing the number of properties in Mexico, particularly the Cancun region, which includes the Mexican Riviera, Puerto Vallarta, and Los Cabos,” Bech said.

Doug Bech

“We are a condominium properties resort, and our members know what type of properties we have and what services and amenities we provide, so there’s no guesswork involved. When people make reservations through a travel Web site, they often worry if they are getting what they really want,” Bech said. “With our memberships, people not only understand the high quality properties they are getting, but they also know we offer 15 great destinations. If they want to go somewhere else, we’ll facilitate it for them through our exchange partner.”

Because Raintree is an independent company and not a brand, Bech understands the value of customer service. According to Bech, the customer service experience starts the second a member contacts Raintree. Before they are on vacation, members have the option of setting up activities—whether it’s fishing, golfing, biking, or hiking—via Raintree’s concierge services and activities staff.

Bech and his team also work to make certain Raintree members can easily understand what properties are available to them and how their memberships work via newsletters and its Web site. “Memberships work on a points-based system, so it’s a continual education process to make sure members understand how we are set up. We’re working on breaking this information down online through our Web site in the near future,” he said.

The right destinations
One of Raintree’s biggest challenges is finding the right destinations at the right price. A big help, though, has been its members. Bech and his team take into consideration members’ suggestions of where they’d like to see Raintree properties.

In Mexico, Bech looks for properties that have beachfront locations along with good access to the airport and a variety of activities. “We’ve been operating in Mexico for more than 10 years. Residents are familiar with us, and when properties become available, we usually get a phone call. We have frequent opportunities to see whether it’s a property we want to pursue,” Bech said.

Raintree primarily relies on referrals from its existing member base of more than 50,000 to get business and secondarily on newsletters and local advertising. “If members have a good experience at one of our resorts, they are going to want to come back,” said the CEO.

At this time, Bech doesn’t foresee the company expanding into other countries. “By having 15 resorts in destinations we are comfortable with, we’re doing what we know best, and that keeps us focused and enables us to give our members the best possible service we can manage. Once you start expanding, you have to change your business goals and strategies. For now, our choice of growth will continue to be in North America, with emphasis on Mexico and Western North American destinations,” he concluded.