State of the Industry Report: Industry Outlook is Strong
May 31, 2012
Results from the 2012 State of the Vacation Timeshare Industry: United States Study indicate a positive industry outlook based on consumer demand for expanded product offerings, high occupancy remaining steady, and the success of rental programs with existing inventory. The study found that timeshare resorts continue to offer more flexibility and ease to the way a consumer can buy intervals, especially through points-based systems, to new consumers and existing owners.
Continued growth in the rental market and sales from existing owners are also indicators of industry vitality. In 2011, renters accounted for 10.4 million nights or 12% of total occupancy, and 86% of timeshare resorts now offer some form of rental program. Timeshare sales from existing owners accounted for 42% of overall sales, demonstrating the continued high satisfaction with the product.
New consumers offer a promising area of growth. While ARDA continues to educate consumers about the extra benefits offered with timeshare vacations, the expanded product offerings and rental programs are proving to be appealing qualities to new consumers who want to try it out first. In fact, 58% of sales this year came from new owners and 72% of resorts have at least half of their sales from new owners.
More evidence of the industry’s resilience is that occupancy remains steady at nearly 80%—a figure that continues to outpace traditional hotel occupancy (60% according to Smith Travel Research December 2011 report).
For more information or to order the report, contact us here.