Timeshare Improves the Vacation Experience for Owners

According to National Study Released by AIF

. October 14, 2008

SEPTEMBER 11, 2006. Vacation owners report high satisfaction rates with their timeshare purchase, and over three quarters claim owning a timeshare has increased their looking forward to vacations, according to a new study released today by The American Resort Development Association International Foundation (AIF). Conducted by Ragatz Associates, Resort Timeshare Consumers: 'Who They Are, Why They Buy' examines the demographics, buying patterns, and usage of vacation ownership based on surveys of 938 recent timeshare buyers and 1,547 owners who purchased prior to 2005.

By all leisure indicators, timeshare has improved the vacation experience for owners. The vast majority of all owners (80.3 percent) express satisfaction with their timeshare purchase; 75.7 percent say owning a timeshare has increased their looking forward to vacations, and 68.4 percent say owning a timeshare has increased the amount of time on vacations. A full 66.4 percent of all owners say timeshare has increased their learning experiences, and 52.8 percent claim owning timeshare has increased their health and happiness.

Approximately 25 percent of recent buyers expressed interest in purchasing additional timeshares--a sizeable amount considering the average American is only allotted two weeks of vacation leave each year.

"Consistently high satisfaction rates along with repeat sales to existing owners and owner referrals of potential buyers point to the premium value vacation owners find in timeshare," said Howard C. Nusbaum, ARDA's president and CEO. "The study findings also show that timeshare owners are committed travelers and savvy purchasers. By attracting a steady stream of repeat visitors who stay longer and spend more than the average traveler, timeshare resorts accrue a host of economic benefits to the surrounding region."

According to the study, the average timeshare visitor spends 8.6 nights per vacation in the resort area where their timeshare is located. The average timeshare visitor party spends $1,334 per timeshare vacation--an increase of 10.7 percent since 2002. The average size of timeshare visitor parties is 3.8 persons.

Of all owners, 35.8 percent personally used their own timeshare purchase during the past 12 months, while 47.4 percent exchanged or space banked it, 4.4 percent rented it out, and 2.9 percent gave it away. Only 9.5 percent of time owned by all owners went unused during the last 12 months.

Vacation owners are savvy travelers who shop around: The average recent buyer attended 2.6 sales presentations before making a purchase. Of recent buyers, 57.4 percent purchased directly from a developer; 24.9 percent purchased from a home owners' association; 10.5 percent acquired their timeshare as a gift, inheritance, or from some other source; and 7.2 percent purchased from a pervious owner.

For recent buyers, the most attractive resort area characteristics include:

-- Attractions, entertainment 61.0 percent

-- Ocean beach 50.3

-- Mountains 36.2

-- Lake 24.2

-- History, culture 23.8

-- Golf 22.1

-- Tropics 20.1

-- Gaming, gambling 14.8

-- City, urban 13.2

-- Snow skiing 11.9

-- Desert 9.5