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I am aware that this has been debated before, but there seems a couple of interesting angles on this being discussed in the UK. Carolinian a poster on here has also contributed to this thread.
I am aware that the attitudes to timeshare in the USA seem to be a little different than that in Europe. So rather than a lot of posters contribute I would rather rent or timeshare is not for me.
A simple question is would you find a timeshare more appealing to you if it had break options as discussed in the thread below. This is not about new sales but also Resale purchases would break options be more attractive.
This is only for debate but I would be interested in your opinions.
The comments below were lifted from the UK thread so you had an idea where the debate was with this
Quote from: Mavo on Today at 09:49:28
"Club La Costa are a successful timeshare operation with an exit program. They don't have a panic exodus and are doing well. If it works for them then, they should be assessed and find out why and see what the timeshare Industry can learn from this and emulate."
If we take the above sentence posted by Charlie1 earlier in this thread, we can see that it may be that the fear of a stampede for the exit is one of the major reasons why there is a reluctance of the industry to create Exit Strategies.
The idea of an exit strategy for the points owners based on Certificate maturity thus becomes more workable as there will be no panic exodus but a staged withdrawal in 12 periods over any given year as each certificate would mature at the end of the same month of the year that the certificate was originally taken out. For example a certificate taken out in July 2005 would have a maturing date of 1st August 2015, if based on a 10 year maturity.
Not all members holding matured certificates would wish to immediately take up the option of relinquishment but a trend of percentages would quickly show, giving the developer useful data as to what to expect and so enabling them to plan ahead accordingly.
Taking into account the negativity to sales of timeshare products not having Exit Strategies. By creating an Exit Strategy that negativity is removed and the product becomes a much more attractive proposition to a purchaser and so the points relinquished by maturing certificates becomes infinitely easier to sell.
Re: Exit strategies
Reply 40 on: Today at 10:36:26 »
Absolutely Tom! That’s how I have always seen it and I noticed you mentioned this 2-3 months ago on a post.
I also feel that this would work for fixed and floating weeks. In the past if I was considering a new office on a lease basis. Say it had a lease of 25 years I would always search out those that had break options after 3 or 5 years. In business you never know what’s around the corner and that’s exactly the same in life. I would pay more for that break option or I had even taken an inferior office in the past because it had these break options. It was my opportunity to give notice.
So a timeshare could have a 99 year lease but after say 10 years have a break option and you would could apply for this in a given period and give say 4 months notice. There after it could be every 5 years.
This would stimulate the Industry with new sales. Younger people would get involved, now they are two cautious and don't want to get wrapped up in long leases or perpetuity. This would truly become a lifestyle product for them and could adapt to suit life's challenges.
The timeshare Industry could learn from the Financial Services Industry we created products that adapted to suit the markets.
The Industry now has a maturing owner. It needs a brave company now offering existing owners the chance to exit at 75 or 80 for a fixed period over say 3 months to decide if they elect to take this. They then have to give 4 months notice. If they don't take this option then it comes around every 2 years.
There should be somewhere this could be debated and reviewed. I only see annual conferences taking place same old subjects but no one is following through and so they are discussed again at the next meeting. I have sadly only seen this come about on this thread. There’s lots of new ideas as said its thinking outside the box. All I have seen is old ground being covered and very little happening.
Is anyone listening?
Are there any guests who would like to register and comment on this? Would you have found this more attractive as a product in timeshare? If a timeshare product existed that had break options would you think this would be more appealing?
Last Edit: Today at 10:44:05 by charlie1 »
The full thread can be seen on timeshare talk
http://www.timesharetalk.co.uk/index...17528.msg53503
I am aware that the attitudes to timeshare in the USA seem to be a little different than that in Europe. So rather than a lot of posters contribute I would rather rent or timeshare is not for me.
A simple question is would you find a timeshare more appealing to you if it had break options as discussed in the thread below. This is not about new sales but also Resale purchases would break options be more attractive.
This is only for debate but I would be interested in your opinions.
The comments below were lifted from the UK thread so you had an idea where the debate was with this
Quote from: Mavo on Today at 09:49:28
"Club La Costa are a successful timeshare operation with an exit program. They don't have a panic exodus and are doing well. If it works for them then, they should be assessed and find out why and see what the timeshare Industry can learn from this and emulate."
If we take the above sentence posted by Charlie1 earlier in this thread, we can see that it may be that the fear of a stampede for the exit is one of the major reasons why there is a reluctance of the industry to create Exit Strategies.
The idea of an exit strategy for the points owners based on Certificate maturity thus becomes more workable as there will be no panic exodus but a staged withdrawal in 12 periods over any given year as each certificate would mature at the end of the same month of the year that the certificate was originally taken out. For example a certificate taken out in July 2005 would have a maturing date of 1st August 2015, if based on a 10 year maturity.
Not all members holding matured certificates would wish to immediately take up the option of relinquishment but a trend of percentages would quickly show, giving the developer useful data as to what to expect and so enabling them to plan ahead accordingly.
Taking into account the negativity to sales of timeshare products not having Exit Strategies. By creating an Exit Strategy that negativity is removed and the product becomes a much more attractive proposition to a purchaser and so the points relinquished by maturing certificates becomes infinitely easier to sell.
Re: Exit strategies
Reply 40 on: Today at 10:36:26 »
Absolutely Tom! That’s how I have always seen it and I noticed you mentioned this 2-3 months ago on a post.
I also feel that this would work for fixed and floating weeks. In the past if I was considering a new office on a lease basis. Say it had a lease of 25 years I would always search out those that had break options after 3 or 5 years. In business you never know what’s around the corner and that’s exactly the same in life. I would pay more for that break option or I had even taken an inferior office in the past because it had these break options. It was my opportunity to give notice.
So a timeshare could have a 99 year lease but after say 10 years have a break option and you would could apply for this in a given period and give say 4 months notice. There after it could be every 5 years.
This would stimulate the Industry with new sales. Younger people would get involved, now they are two cautious and don't want to get wrapped up in long leases or perpetuity. This would truly become a lifestyle product for them and could adapt to suit life's challenges.
The timeshare Industry could learn from the Financial Services Industry we created products that adapted to suit the markets.
The Industry now has a maturing owner. It needs a brave company now offering existing owners the chance to exit at 75 or 80 for a fixed period over say 3 months to decide if they elect to take this. They then have to give 4 months notice. If they don't take this option then it comes around every 2 years.
There should be somewhere this could be debated and reviewed. I only see annual conferences taking place same old subjects but no one is following through and so they are discussed again at the next meeting. I have sadly only seen this come about on this thread. There’s lots of new ideas as said its thinking outside the box. All I have seen is old ground being covered and very little happening.
Is anyone listening?
Are there any guests who would like to register and comment on this? Would you have found this more attractive as a product in timeshare? If a timeshare product existed that had break options would you think this would be more appealing?
Last Edit: Today at 10:44:05 by charlie1 »
The full thread can be seen on timeshare talk
http://www.timesharetalk.co.uk/index...17528.msg53503
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