The Timeshare
Industry: Sharing Economy Trendsetter
In the quest for younger
buyers, let’s remind them that timeshare was the original sharing economy product.
As the market opportunity for new
buyers shifts to younger millennials, it may be time to capitalize on what they
already know and embrace: the sharing economy. Timeshare is the original
product in today’s popular sharing economy. This phenomenon is defined
as an economic model in which individuals are able to borrow or rent
assets owned by someone else. Some of the sharing economy brands that might pop
into your head right away are Uber, Lyft or Airbnb – but none of these
businesses can say they were the first.
Not only was the timeshare industry the first but it also remains the
best shared economy product in the hospitality industry. According to Gail
Mandel, president and CEO of Wyndham Destination Network, “Travelers booking
through peer-to-peer listing sites (like Airbnb or HomeAway) have virtually no
guarantees about what they will find upon arrival, who their hosts are, and if
the properties meet safety and cleanliness standards”
In fact, a recent study by Hotel
News Now revealed that 67.6% of users don't trust renting a room in someone
else's house. Of course, this isn’t the case with timeshare—our resorts pride
themselves on providing guests the highest quality services and luxurious
amenities. Timeshare brands have built strong reputations through reviews,
photos, complete information, responsive platforms and a coherent and steady on-line
presence.
And now with timeshare owners
becoming younger (30% of new owners are millennials), a sharing economy is
something they can relate to, helping change the perception of what a “normal”
timeshare owner may look like. The timeshare and exchange model is actually
quite appealing to millennials, which makes sense when you think about the fact
that they are more interested in travel and experiences than past generations
and are already so comfortable with different sharing economy businesses, according
to Mandel.
Focusing on the new generation of
timeshare owners through something that they are already very familiar with can
help to attract new, younger families to invest in timeshare. And with using
the clear advantages the industry has over peer-to-peer rentals timeshare can
capitalize even further on being in the shared economy – which it has been
doing ever since the beginning.