A recent article published by ARDA reported that at the end of 2010, timeshare average sales prices had held steady for the year, due in part to changing marketing and sales techniques.
Howard Nusbaum, president and CEO of ARDA (The American Resort Development Association) stated, “In the face of an overall tighter credit environment, several of the larger timeshare developers intentionally reduced the scope of their sales operations and focused efforts more on the efficiencies found in selling to existing owners, referrals, and rentals.” He went on to say, “Today’s consumer is more worldly, and their travel needs have expanded. Our industry continues to adapt to the changing environment and is responsive to those who love the product.”
There are several areas which have helped keep sales prices steady:
- Many timeshare developers now offer a rental program as a way for potential buyers to try out or test the product. While hotel occupancy was at just over 54% last year, timeshare rental occupancy was ten percent of the total of almost 80% occupancy overall.
- The introduction of the “points based” system has increased in popularity in timeshare sales due to the flexibility which allows owners to take long weekends, stay in a variety of unit types and sizes and stay at different locations.
- Biennial sales (every other year ownership) have helped owners who may only want to vacation every other year rather than each year.
- Repeat buyers were 38% of the timeshare sales last year indicating a high satisfaction with the timeshare product.
Overall, with these emerging trends, the future outlook for the timeshare industry in 2011 remains positive. Timeshare resales are expected to remain steady as well with Advantage Vacation offering some of the best resale prices in today’s market.
Advantage Vacation has been using Twitter and Facebook to help educate people on the changes in the timeshare industry along with current timeshare tips, news, FAQ’s and reviews for several years now. We hope you will follow us and make your voice heard.
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Aloha:
Thank you for your comment and thank you for following. Please send me your blog link and I would be happy to check it out and consider guest blogging.
Mahalo,
Cheri Becker