NEW YORK -- The inclusive segment of the industry is "growing by
leaps and bounds," according to Alberto del Pino, president and
chief executive officer of Allegro Resorts Corp., which acquired
the Dallas-based inclusive product, Jack Tar Village Resorts.
"Our idea is precisely to expand and grow globally," Pino said,
adding that the Jack Tar deal is expected to close within the next
three weeks.
Under the acquisition agreement, Allegro Resorts will obtain
full ownership of the resort in Puerto Plata, the Dominican
Republic; the leases of the Montego Bay, Jamaica, and Cancun,
Mexico, properties; management contracts for two resorts in
Guanacaste, Costa Rica, and a franchise agreement for the St. Kitts
resort.
Allegro will manage all six Jack Tar Village Resorts, which will
continue to operate as a brand under the Allegro banner, joining
existing brands Royal Hideaways, Diamond Resorts and Caribbean
Villages.
Pino said Allegro hopes to "keep the best [Jack Tar] employees
in the family, but will continue to look for good new human
resources."
As for marketing changes, Robert Korba, president of Sammons
Travel and Resorts, parent company of Jack Tar Village Resorts,
said efforts are under way to assimilate the newly acquired
properties within the Allegro portfolio.
"We need to define the product, make the necessary upgrades and
then find the difference between Jack Tar and the rest of the
[Allegro] brands," Korba explained.
Once the target market is determined, extensive marketing will
be done in the U.S., Europe, Brazil, Argentina and Germany.
Korba added that Allegro will continue to work closely with
agents, especially in the U.S., and provide them with the
promotional tools necessary.
In terms of booking clients at the Jack Tar properties, Pino
said agents will experience a smooth transition -- nothing will
change.
Pino also assured that Jack Tar's goal of offering the most
value for the dollar will not change either. "If there are rate
changes they will not be anything sizable."
Outside of the Caribbean, Allegro plans to open six new
properties in Tunisia in March under the Diamond Resorts brand and
is negotiating several deals in Southeast Asia, with the first
property to open in Thailand.
Occupancy levels at all of Allegro properties have remained
constant at 80% and above, according to the company.
Pino credited the success of the inclusive vacation to the
development of the expectations tourists have about what a vacation
should be.
Not only do clients desire a complete vacation experience, but
"the 'pay-one-price before you go' concept allows the traveler to
plan trip expenses in advance so there are no hidden surprises upon
check-out," he noted.
Pino also cited the popularity of selling inclusives, as agents
receive a commission on the complete vacation package.
Allegro's long-term growth plan is to operate 20,000 rooms by
2000.