Timeshare Continues to Grow
ARDA’s latest study finds that vacation ownership is in good health.
According to the latest State of the Vacation Timeshare Industry 2018 report, ARDA International Foundation found that the timeshare industry had its eighth consecutive year of growth in 2017. And according to Howard Nusbaum, president and CEO of the American Resort Development Association (ARDA), it will only continue to rise. “I think the golden days of timeshare are ahead of us,” he says.
The study found that timeshare occupancy exceeded hotel occupancy by 15.5 percentage points, 81.4 percent to 65.9 percent. “I think that people are realizing that a great family vacation deserves more than a 200-square-foot hotel room,” Nusbaum says. “The prepaid nature of timeshare allows our occupancy to be more robust because we’re not as susceptible to the peaks and valleys of the economy.” Timeshare owners also contribute to the local economy, spending at grocery stores, boutiques, and gas stations as well as restaurants. “You’ll find that local business communities are the first ones to encourage timeshare into their business [communities],” he says.
Nusbaum says that, on average, timeshare owners purchase five times in their lifetime. When it comes to the sharing economy, he says that vacation ownership can actually utilize rental websites such as HomeAway and VRBO to help support timeshare sales. “It’s monetizing inventory while it’s waiting for it to be sold, and a great way to introduce the people into the product,” as consumers can pre-visit a destination, he says.
Image credit: iStockphoto