nuwermj
TUG Member
I own a deeded week at Welk Resort Villas -- 2 bedroom, 2 bath -- which is valued at 240,000 points in the Platinum Program. The annual fees in 2019 for this unit are $1,053.
The fee structure in the Platinum Program differs significantly. It using a two part pricing scheme, with a fixed fee and a fee per point. In 2019 the fixed fee -- every account regardless of size pays this -- is $703 and the per point fee is $0.00335.
Many people who owned a single deeded Villa later converted them into a 240,000 point Platinum membership. (The sales staff emphasis access to Cabo and Northstar which the owner could get with points but not with a deeded week.) Given the two part pricing scheme, the conversion to points produced an increase in annual fees to $1507 ($703 + [240,000 x $0.00335]) compared to $1,053.
Notice, however, that the nature of the Platinum Program's pricing structure favors larger over smaller size accounts. My family converted three Villa deeds for 720,000 points. Annual fees for this account are $3115, which averages to $1,038 per 240,000 points. That is, the annual fee on the bigger account is virtually the same amount we are paying for the deeds.
Larger accounts spread that fixed fee over even more points, thereby reducing the average cost of a week even more. For example, the annual fees for a 1,200,000 point account, which is five weeks in the villas (240,000 x 5), are $4723 or $945 per 240,000 points.
The fee structure in the Platinum Program differs significantly. It using a two part pricing scheme, with a fixed fee and a fee per point. In 2019 the fixed fee -- every account regardless of size pays this -- is $703 and the per point fee is $0.00335.
Many people who owned a single deeded Villa later converted them into a 240,000 point Platinum membership. (The sales staff emphasis access to Cabo and Northstar which the owner could get with points but not with a deeded week.) Given the two part pricing scheme, the conversion to points produced an increase in annual fees to $1507 ($703 + [240,000 x $0.00335]) compared to $1,053.
Notice, however, that the nature of the Platinum Program's pricing structure favors larger over smaller size accounts. My family converted three Villa deeds for 720,000 points. Annual fees for this account are $3115, which averages to $1,038 per 240,000 points. That is, the annual fee on the bigger account is virtually the same amount we are paying for the deeds.
Larger accounts spread that fixed fee over even more points, thereby reducing the average cost of a week even more. For example, the annual fees for a 1,200,000 point account, which is five weeks in the villas (240,000 x 5), are $4723 or $945 per 240,000 points.
