Timeshare is a type of vacation ownership where a property owner has the right to use their unit or the entire resort for a set period every year. The concept was first introduced in the US in the 1970s. Since then, the industry has developed worldwide. Timeshare has gained in popularity as it provides a variety of benefits such as access to luxury locations and facilities. Moreover, it helps consumers to save money on future vacations. However, the biggest challenge faced by timeshare is its high annual maintenance fee which acts as a restraining factor.
The timeshare industry used to have a bad reputation because of its high-pressure sales tactics. Visitors to southern European destinations, for example, found that they were constantly hassled by salespeople. In addition, consumers were often unaware of their cancellation rights and weren’t given enough time to review the contract. Consequently, they rushed into a decision that was often a lifetime financial commitment.
In the early 2000s, timeshare companies made a concerted effort to improve their image and focus on consumer-friendly marketing practices. However, they continued to face challenges. For one, timeshare companies struggled to find qualified staff members to operate the businesses, and their marketing efforts were hampered by state regulations that restrict how and where they can advertise. Also, the industry faced competition from vacation rental websites, which were easier to navigate and offered a wide variety of options.
Nevertheless, the industry persevered and is on its way to recovery. In fact, a survey by the ARDA International Foundation (AIF) reported that North America accounted for 47% of all timeshare sales in 2019 ($10.5 billion), indicating that it is poised to surpass its previous record-breaking year.
The industry’s recovery is likely to be fueled by rising millennial interest. Unlike the baby boomers, the millennial generation prefers to travel in groups. They also value flexibility, access to VIP weekends and location, and the ability to choose the exact date of their vacation. As a result, the timeshare industry has an opportunity to capture a larger share of this new market.
In conclusion, the industry is expected to grow significantly over the next few years. This will be mainly due to the booming tourism sector, an increased interest in exotic vacations, and the rising popularity of shared experiences. The resale market is also expanding as many people are looking to sell their timeshare or vacation club memberships. However, the resale market is not yet established in India.
Those interested in purchasing or selling their timeshare should seek the help of an experienced resale company. They can offer valuable advice, and provide assistance with the legal process. These companies are dedicated to maintaining the integrity of the timeshare industry and protecting its buyers’ interests. They should also be able to assist with any issues that may arise during the sale or purchase of a timeshare. They should be able to provide detailed information about the property and its history, and they should provide the necessary documentation.
