The Richman’s Story began many, many years ago. It started with a young man who went to work for a big international company. One day his boss suggested that he should join a well known local private club so he could meet prospective new customers while enjoying some of the club’s sporting and dining facilities. So the young man joined the club. His employer picked up the cost.
The young man visited the club as often as he could but he always felt that nobody at the club knew him. Only the waiters and club staff seemed to recognize him. So he started to introduce himself to other members but everybody seemed to have friends they brought to the club as their guests. He asked the club’s general manager if he could be introduced to some of the members. The general manager told him that it was not club policy and that he should not be talking business at the club anyway. It was for socializing only. The young man was confused.
As the young man moved up the corporate ladder, he traveled in big airplanes to far away cities to meet prospective new clients and suppliers. He was told that he could entertain at some famous private clubs in these cities because they were affiliated to his club back home.
He tried. He had to produce one introduction letter for every club he visited. He was not treated as a member. He was just an annoying guest from far away. Even the waiters knew he was not a club member because he was not allowed to sign any bills. He had to use his credit card. Many times he did not have the card the club accepted. He was often very embarrassed.
The young man thought about this often because he did not want to be embarrassed. He wondered if he could become a member of all the clubs in all the cities he visited because then he would be treated as a proper member.
The young man did his research and selected about 65 clubs in various countries he thought he should join. When he contacted these clubs some of them said that membership had been closed. Those who had transferable memberships said that he could purchase from the open market and those who did not said he could wait till someone died. These clubs however had a long waiting list and preferred locals over foreigners. So the young man replaced some of the clubs on his list with others who were available.
He did his math and discovered it would cost a small fortune to join and maintain membership at all the clubs on his list. However, he felt that his employer appreciated the work he was doing and knew the importance of belonging to private clubs. After all, had they not been the ones to suggest he join a club in the first place?
The young man prepared a well organized presentation to his bosses. He had full color brochures of all the clubs showing their amenities and even managed to get a list of some of the club’s members. He produced a table showing the benefits against the costs of joining and paying monthly dues. He worked out that the total cost would be at least $23,000,000.
At the special meeting,, his bosses listened to the young man’s presentation carefully. They said, “young man, you seriously want us to shell out more than $23,000,000 for club memberships around the world. Are you out of your mind?”
The young man was sad and disappointed. He had expected to be complemented on his suggestion. He now began to feel that his bosses would think he was a crazy lunatic. He was relieved that he was not fired.
But the young man just could not get rid of his idea that being able to use private clubs all over the world as members would be good for the company and for its business. He knew from personal experience that affiliate club privileges were not privileges at all. In fact, he knew that they were a huge embarrassment. He was determined to find a solution to the dilemma. One that would be acceptable to his bosses.
The young man started researching. He read about yachts, horse racing, golf, shooting, polo etc. He asked friends, at other companies like his own. why they joined private clubs. Slowly he began getting a clearer picture...
The young man’s research revealed that ONE of the most important reasons corporations joined private clubs was to allow their top executives to improve business through networking with other club members internationally.
The OTHER important reason was the ability to use affiliate club facilities at international, non-home clubs - again to meet and entertain potential foreign clients in an exclusive environment. Anyone with a couple of bucks could entertain at a hotel... but a private club? That was different!
The young man also learned that everything else the clubs offered like sporting facilities etc. was icing on the cake for the corporation but mattered a great deal to the corporation’s executives who actually used the clubs.
The only exception seemed to be Jockey Clubs that permitted race horse ownership and horse racing. Here the most important reason for joining the club appeared to be the sport itself. Royalty, wealthy individuals and of course corporations were all members.
The young man’s research took many, many years. He read everything he could about ancient and modern clubs and societies. He learned that historically membership in a club or society meant much more than sitting around having a drink. It meant receiving help and protection. The young man discovered that even in modern times, many Ivey league colleges had secret societies that helped their members when they had problems.
The young man imagined that he would like to join such a club. A club that would help him succeed financially and socially. And be available to help him solve problems when he had any.
Meanwhile, his hair had thinned and what little was left, turned grey at the temples. But he felt wiser. He had learnt a great deal about private clubs. He was tempted to approach his bosses again armed with his newfound knowledge... but the memory of their words “Are you out of your mind?” still lingered.
The young man, who was not so young now, knew that with the knowledge he had acquired about private clubs, a new, truly international club could be successfully created. A club that addressed and overcame all the frustrations felt by members. The words “ONE Club – Worldwide Benefits” came to his mind.
The slightly older young man planned and plotted for months. He contacted various firms of private club consultants in the United States, Europe and Asia. He asked then many important questions about the clubs they managed and consulted for. He discussed his idea of the new truly international club he was proposing. They were willing to answer his questions in exchange for consulting assignments in the new club he was proposing.
He learned that many exclusive private clubs around the world were in an impoverished financial state but could not increase their membership base because of capacity constraints. However, for the right financial incentives, they were willing to allow members from a new club outside their home base to use their facilities.
But the young man, who knew enough about so called affiliate privileges, wanted VIP rights for members of his new international club. He was not prepared to offer any reciprocal rights to these clubs in exchange, but was prepared to pay them on a per use basis. Many clubs were willing to accept these terms as it would help their cash flows without them having to increase their membership base or invest in new facilities. It seemed a win, win proposal.
The young man now knew that the new truly international club he was planning could fulfill the “ONE Club – Worldwide Benefits” promise. However, something still told him that the new club, being planned, should own some physical club assets in selected cities. He knew that these assets should not be duplicates of what could be easily available through partner deals he could strike with other clubs.
He realized that it was not necessary to own Country clubs ,City Dining clubs, Golf clubs , Shooting clubs , Ski clubs, Shooting clubs etc. There were plenty of these available through partnership deals. What appeared missing were Jockey clubs and Yachts. The young man then instinctively knew that yachts and Jockey clubs were the assets the new club should develop and own.
Several months later, while at a cocktail party in Hong Kong, the young man met a young lady who was the head of a company that specialized in researching the spending habits of the rich and famous.
With China producing millionaires faster than any other nation in the world, the young lady’s company naturally did a lot of assignments covering China. He discovered that she also covered other, what she called “new millionaire countries” like India, Russia, Latin America etc.
The young man excitedly told the young lady about his ideas for a new, truly international club. He spent the whole evening boring the young lady on all his research and the progress he had made with potential partner clubs.
She listened politely and finally said “I like your verbal identity statement “ONE Club – Worldwide Benefits”. What do you need to make it happen?
The young man was taken aback. He did not immediately know what to reply. His head was saying “don’t push it” but his heart wanted to honestly say “I need someone to back the idea financially...err... so we can purchase certain key club assets...” The young man’s heart won.
After several months of discussion, the young man was invited to be a full time adviser and interim CEO of the new club project. Of course he had to resign his other positions. He took the plunge.
His farewell party was attended by his bosses. They asked him where he was moving to and what he would be doing there.
He told them the whole story. He told them that he had been invited to implement the plan for a new truly international private club that would, with just one membership offer truly worldwide benefits at a fraction of the cost of purchasing memberships in clubs all over the world. He said "ONE Club - Worldwide Benefits"
His former bosses listened to him. They asked some important questions. The President, being the biggest boss of them all, said...
“ Young man, I still think you’re out of your mind... but put me down for a corporate membership...but remember, I'll be expecting a discount for old times sake.”
The young man visited the club as often as he could but he always felt that nobody at the club knew him. Only the waiters and club staff seemed to recognize him. So he started to introduce himself to other members but everybody seemed to have friends they brought to the club as their guests. He asked the club’s general manager if he could be introduced to some of the members. The general manager told him that it was not club policy and that he should not be talking business at the club anyway. It was for socializing only. The young man was confused.
As the young man moved up the corporate ladder, he traveled in big airplanes to far away cities to meet prospective new clients and suppliers. He was told that he could entertain at some famous private clubs in these cities because they were affiliated to his club back home.
He tried. He had to produce one introduction letter for every club he visited. He was not treated as a member. He was just an annoying guest from far away. Even the waiters knew he was not a club member because he was not allowed to sign any bills. He had to use his credit card. Many times he did not have the card the club accepted. He was often very embarrassed.
The young man thought about this often because he did not want to be embarrassed. He wondered if he could become a member of all the clubs in all the cities he visited because then he would be treated as a proper member.
The young man did his research and selected about 65 clubs in various countries he thought he should join. When he contacted these clubs some of them said that membership had been closed. Those who had transferable memberships said that he could purchase from the open market and those who did not said he could wait till someone died. These clubs however had a long waiting list and preferred locals over foreigners. So the young man replaced some of the clubs on his list with others who were available.
He did his math and discovered it would cost a small fortune to join and maintain membership at all the clubs on his list. However, he felt that his employer appreciated the work he was doing and knew the importance of belonging to private clubs. After all, had they not been the ones to suggest he join a club in the first place?
The young man prepared a well organized presentation to his bosses. He had full color brochures of all the clubs showing their amenities and even managed to get a list of some of the club’s members. He produced a table showing the benefits against the costs of joining and paying monthly dues. He worked out that the total cost would be at least $23,000,000.
At the special meeting,, his bosses listened to the young man’s presentation carefully. They said, “young man, you seriously want us to shell out more than $23,000,000 for club memberships around the world. Are you out of your mind?”
The young man was sad and disappointed. He had expected to be complemented on his suggestion. He now began to feel that his bosses would think he was a crazy lunatic. He was relieved that he was not fired.
But the young man just could not get rid of his idea that being able to use private clubs all over the world as members would be good for the company and for its business. He knew from personal experience that affiliate club privileges were not privileges at all. In fact, he knew that they were a huge embarrassment. He was determined to find a solution to the dilemma. One that would be acceptable to his bosses.
The young man started researching. He read about yachts, horse racing, golf, shooting, polo etc. He asked friends, at other companies like his own. why they joined private clubs. Slowly he began getting a clearer picture...
The young man’s research revealed that ONE of the most important reasons corporations joined private clubs was to allow their top executives to improve business through networking with other club members internationally.
The OTHER important reason was the ability to use affiliate club facilities at international, non-home clubs - again to meet and entertain potential foreign clients in an exclusive environment. Anyone with a couple of bucks could entertain at a hotel... but a private club? That was different!
The young man also learned that everything else the clubs offered like sporting facilities etc. was icing on the cake for the corporation but mattered a great deal to the corporation’s executives who actually used the clubs.
The only exception seemed to be Jockey Clubs that permitted race horse ownership and horse racing. Here the most important reason for joining the club appeared to be the sport itself. Royalty, wealthy individuals and of course corporations were all members.
The young man’s research took many, many years. He read everything he could about ancient and modern clubs and societies. He learned that historically membership in a club or society meant much more than sitting around having a drink. It meant receiving help and protection. The young man discovered that even in modern times, many Ivey league colleges had secret societies that helped their members when they had problems.
The young man imagined that he would like to join such a club. A club that would help him succeed financially and socially. And be available to help him solve problems when he had any.
Meanwhile, his hair had thinned and what little was left, turned grey at the temples. But he felt wiser. He had learnt a great deal about private clubs. He was tempted to approach his bosses again armed with his newfound knowledge... but the memory of their words “Are you out of your mind?” still lingered.
The young man, who was not so young now, knew that with the knowledge he had acquired about private clubs, a new, truly international club could be successfully created. A club that addressed and overcame all the frustrations felt by members. The words “ONE Club – Worldwide Benefits” came to his mind.
The slightly older young man planned and plotted for months. He contacted various firms of private club consultants in the United States, Europe and Asia. He asked then many important questions about the clubs they managed and consulted for. He discussed his idea of the new truly international club he was proposing. They were willing to answer his questions in exchange for consulting assignments in the new club he was proposing.
He learned that many exclusive private clubs around the world were in an impoverished financial state but could not increase their membership base because of capacity constraints. However, for the right financial incentives, they were willing to allow members from a new club outside their home base to use their facilities.
But the young man, who knew enough about so called affiliate privileges, wanted VIP rights for members of his new international club. He was not prepared to offer any reciprocal rights to these clubs in exchange, but was prepared to pay them on a per use basis. Many clubs were willing to accept these terms as it would help their cash flows without them having to increase their membership base or invest in new facilities. It seemed a win, win proposal.
The young man now knew that the new truly international club he was planning could fulfill the “ONE Club – Worldwide Benefits” promise. However, something still told him that the new club, being planned, should own some physical club assets in selected cities. He knew that these assets should not be duplicates of what could be easily available through partner deals he could strike with other clubs.
He realized that it was not necessary to own Country clubs ,City Dining clubs, Golf clubs , Shooting clubs , Ski clubs, Shooting clubs etc. There were plenty of these available through partnership deals. What appeared missing were Jockey clubs and Yachts. The young man then instinctively knew that yachts and Jockey clubs were the assets the new club should develop and own.
Several months later, while at a cocktail party in Hong Kong, the young man met a young lady who was the head of a company that specialized in researching the spending habits of the rich and famous.
With China producing millionaires faster than any other nation in the world, the young lady’s company naturally did a lot of assignments covering China. He discovered that she also covered other, what she called “new millionaire countries” like India, Russia, Latin America etc.
The young man excitedly told the young lady about his ideas for a new, truly international club. He spent the whole evening boring the young lady on all his research and the progress he had made with potential partner clubs.
She listened politely and finally said “I like your verbal identity statement “ONE Club – Worldwide Benefits”. What do you need to make it happen?
The young man was taken aback. He did not immediately know what to reply. His head was saying “don’t push it” but his heart wanted to honestly say “I need someone to back the idea financially...err... so we can purchase certain key club assets...” The young man’s heart won.
After several months of discussion, the young man was invited to be a full time adviser and interim CEO of the new club project. Of course he had to resign his other positions. He took the plunge.
His farewell party was attended by his bosses. They asked him where he was moving to and what he would be doing there.
He told them the whole story. He told them that he had been invited to implement the plan for a new truly international private club that would, with just one membership offer truly worldwide benefits at a fraction of the cost of purchasing memberships in clubs all over the world. He said "ONE Club - Worldwide Benefits"
His former bosses listened to him. They asked some important questions. The President, being the biggest boss of them all, said...
“ Young man, I still think you’re out of your mind... but put me down for a corporate membership...but remember, I'll be expecting a discount for old times sake.”
Source...