2012 AIF World Wide Shared Vacation Ownership Study Reinforces Link Between Owning and Vacationing with Promising Signs for International Growth
By Darla Zanini & Lan Wang
July 31, 2012
The ARDA International Foundation’s (AIF) newest research offers an insight into the international shared vacation ownership industry. Having data on the size of the industry, composition, and performance in regions around the world will be valuable information for our members as growth strategies and product innovations are developed.
With 5,300 resorts in 108 countries, we know that the industry has a significant footprint. But when we look more closely, we learn that global shared vacation ownership supported more than 1.1 million jobs and generated over $45 billion in direct economic output—nearly $114 billion when including indirect and induced impacts.
The study surveyed owners in 24 different countries and found that nearly two percent of households (20 million owner households) own at least one timeshare product, and that 81 percent of owners vacationed in the past year. The global occupancy rate remained strong through the recession and on average trended near 76 percent, outpacing the worldwide hotel industry occupancy rates.
Our three-year analysis revealed impressive stability through a global financial crisis. Sales in 2010 held steady after a 27% drop in 2009. In some regions—particularly Asia, Central and South America, and Africa—sales volume actually increased from 2008-2010.
Resort locations and market representation should not come as a surprise. North American properties represent 46 percent of the total market, followed by Europe with 25 percent, Central and South America with 10 percent, Asia with 6 percent, the Caribbean with 5 percent, Africa with 4 percent, and Australasia (Australia, New Zealand, the island of New Guinea, and neighboring islands in the Pacific Ocean) with 2 percent.
The research also found that 80 percent of the properties outside the U.S. offer traditional interval weeks, 28 percent offer biennial products, 27 percent offer points-based products, 27 percent offer trial memberships, 16 percent offer fractional or Private Residence Club ownership products, and 9 percent offer triennial products.
Other findings include data about new ownership and market growth. Future generations of timeshare owners will likely expand to numerous countries, with particular emphasis on Brazil, Russia, India, and China where there is a growing middle class. The survey found that the global industry is diverse in its makeup, resilient, and our owners are optimistic about the industry’s future. For more information, please visit the AIF Section of www.arda.org.