timeshare industry
TRANSCRIPT
Timeshare
A timeshare is a form of ownership or right to the use of a property, or the term used to describe such properties.
These properties are typically resort condominium units, in which multiple parties hold rights to use the property, and each sharer is allotted a period of time (typically one week, and almost always the same time every year) in which they may use the property.
Units may be on a part-ownership or lease/"right to use" basis, in which the sharer holds no claim to ownership of the property
HistoryThe notion of the term "time-share" was
originally created in Europe in the 1960s. Hapimag, a ski resort developer in the
French Alps, was experiencing trouble finding customers for his high priced resort
He marketed his resort by encouraging guests to "stop renting a room" and, instead, "buy the hotel". Success followed and the concept of partial ownership was embraced by developers worldwide,
Due to the promise of exchange, these units, called "vacation ownership" by the industry, often sell regardless of their deeded
If one is in Hawaii or Southern California it will exchange extremely well; however, those areas are some of the most expensive in the world, subject to demand typical of a highly trafficked vacation area.
The vast majority of inventory flows briskly through two international exchange companies:
RCI (Resorts Condominium International) and Interval International
Scope of the industryThe scope of today's timeshare industry in the USA is
well documented. The ARDA International Foundation which is the research arm of the American Resort Development Association (ARDA)
reports there are 1,604 timeshare resorts, with 154,439 units, in the USA as of January 1, 2012 (AIF 2012).
Approximately 4.4 million households own one or more U.S. weekly intervals or points-equivalent as of January 1, 2013, an increase of sixteen percent from the prior year.
About half of the resorts in the USA are currently selling, generating sales of $8.6 billion in 2012 (AIF 2012).
Interval International, one of the major exchange companies, reports there are 1,800 resorts in nearly 80 countries, with 2011 worldwide sales estimated at nearly $11.8 billion (Interval International 2012).
RCI has more than 4,000 resorts in nearly 100 countries.
A 2011 report estimated there to be 5,425 timeshare resorts worldwide, of which around 31% are situated in North America, 25% in Europe, 16% in Latin America (where Mexico leads with 40% in the region). Emerging resorts in Asia offers 14%, led by Japan, but with Thailand and India increasingly prominent.
Owners can Use their usage timeshare:
Rent out their owned usageGive it as a giftDonate it to a charityExchange internally within the same resort or
resort groupExchange externally into thousands of other
resortsSell it either through traditional advertising,
online advertising or by using a licensed broker
Fixed week ownershipThe most basic unit is a fixed week; the
resort will have a calendar enumerating the weeks roughly starting with the first calendar week of the year. An owner may own a deed to use a unit for a single specified week.
For example, week 26 normally includes the Fourth of July holiday, week 51, Christmas and so on. If an owner owned Week 26 at a resort he or she could use that week every year.
FloatingSometimes units are sold as floating weeks.
The ownership will be specific on how many weeks the owner owns and from which weeks the owner may select for the owner's stay.
An example of this may be a floating summer week where the owner may request any week during the summer season generally weeks 22 through 36. Some floating contracts exclude major holidays so they may be sold as fixed weeks.
RotatingSome are sold as rotating weeks, commonly
referred to as flex weeks. In an attempt to give all owners a chance for the best weeks, the weeks are rotated forward or backward through the calendar, so one year the owner may have use of week 25, then week 26 the next year and then week 27 the year after that. This method does give each owner a fair opportunity for prime weeks but it is not flexible.
Vacation clubsMajor international hotel chains such as
Hilton, Accor and Marriott have introduced their own Vacation Ownership Programs which are based on point systems.
The share of membership is sold is either deeded or with right to use the club's services for a certain number of years.
There are also Vacation Clubs that may own units in multiple resorts in different locations, offering services to a private customer base for exclusivity.
A points program member may often request fractional weeks as well as full or multiple weeks stays. The number of points required to stay at the resort will vary based on a points chart. The points chart will allow for factors such as:
The popularity of the resort;The size of the accommodations;The number of nights;The popularity of the season;and the specific nights requested.
Club Mahindra HolidaysStarted in 1996, the company’s flagship brand
‘Club Mahindra Holidays’Founder was Anand MahindraHeadquarters is in Chennai, Tamil NaduClub Mahindra started with a single resort in
Munnar in 2007currently has over 150,000 members and at
least 38 resorts in India and 5 resorts abroadResorts Condominium International (RCI)
affiliateClub Mahindra is also affiliated with Dial An
Exchange Rajiv Sawhney(CEO) Aloke Ghosh (CFO)
Mahindra Holidays & Resorts India
Goa Varca Beach Emerald Palm
Gujarat Gir
Rajasthan Jaisalmer Navalgarh Udaipur Kumbhalgarh
Maharashtra Tungi Mahabaleshwar
Himachal Pradesh Dharamshala Manali Shimla Kandaghat
Uttarakhand Binsar Villa Binsar Valley Corbett Mussoorie Naukuchiatal Kanatal
Karnataka Coorg Virajpet
Kerala Ashtamudi Cherai Kumarakom Munnar Poovar Thekkady
Tamil Nadu Ooty Kodaikanal Puducherry Yercaud Masinagudi Swami Malai
Gangtok
Panchwati Holiday Resorts
established in 1994Well known in Eastern parts of Indiaits operation spread over West Bengal
(Kolkata, Howrah), Puri, Gangtok, Guwahati, Patna.
The company is involved in the setting up of Resorts, Hotels, Country Clubs and other modern amenities in this side of the country.
The Chariot Resort & Spa It is located on the Puri beach, around over 4
acres of land Resort has the 168 aesthetically designed rooms,
All the rooms are either sea-facing or pool-facing It provides luxuriously appointed suites and
homely cottages with panoramic view of Bay Of Bengal Sea.
Sun temple at Konark and lord Jagannath temple can be reached easily from hotel
Symphony: A multi-cuisine restaurant,Coral Bay: An open-air coffee shopThe Lagoon: A specialty restaurant, to relish
sizzling sea food delicacies
Sterling Holiday Resorts
Sterling Holidays was established in 1986.Founder was Mr.R. SubramanianHeadquarters is in Chennai, Tamil NaduLake View Kodaikanal (the resort has been
recently renamed as Kodai - By The Lake).Sterling Holidays expanded to 11 resorts by the
year 1995.In 2010, the company changed its brand name
from Sterling Resorts to Sterling Holidays.Sterling currently has 19 resorts; 10 are
company owned and 9 have been acquired by the company on a lease basis.
Sterling Holidays is affiliated with Resorts Condominium International (RCI)
It is also accredited by All India Resorts Development Association. (AIRDA )
Siddharth Mehta (Chairman) Sidharth Subramanian (Vice Chairman) Ramesh Ramanathan(Managing Director)
Resorts:Sterling Holidays Ooty - Fern HillSterling Holidays Ooty - Elk HillSterling Holidays Kodai - By The LakeSterling Holidays Kodai - Valley ViewSterling Holidays Munnar - Terrace Greens
Sterling Holidays Yercaud - Rock PerchSterling Holidays Puri - Golden SandsSterling Holidays Darjeeling - Silver OaksSterling Holidays Mussoorie - Pine HillSterling Holidays Manali - White MistSterling Holidays Thekkady - Woods n’ SpiceSterling Holidays Karwar - Emerald BaySterling Holidays Goa - Villagio InnSterling Holidays Gangtok - Delisso AbodeSterling Holidays Yelagiri - MariGold RidgeSterling Holidays Lonavala - Under the OverSterling Holidays Goa - Club EstadiaSterling Holidays Corbet - The Riverview RetreatSterling Holidays Dharamsala - The Sanctuary
THANK YOU