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Marriott Vacation Club Announces Points Program

ciscogizmo1

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Re: Marriott would do it right

PerryM said:
Points should be absolutely free to all Marriott owners.

Do you mean free to use or free to convert?
 

jerseyfinn

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. . . There is no good way to convert to fixed weeks and units from floating. I don't see that happening. What would likely happen is that Marriott would allow you to convert from the current floating and fixed weeks (without fixed units) to an equivalent point value based upon the type of week (season and location) you own . . .

Continuing "what if" thoughts on this very interesting thread.

Floyddl & ciscogizmo touch upon an important point.

The overwhelming majority of MVC weeks are floating weeks. IMO, Marriott was spot on years ago when they develop their program as a floating week program. It allows the greatest ownership flexibility ( and in a twisted logic of its own -- "democracy"). Consider that every MVC owner of a specific resort/season has a theoretical chance to nail down one of those highly sought-after weeks. Of course this comes via a frequently discordant reservation system/process, and there's a lot of disappointment/angst by those who don't succeed in reserving that sought-after week, but what other way is there to create potential parity amongst thousands of owners? We bought the product with full knowledge of this, although many folks did not initially realize the practical imperatives. Given all of this, I'm quite satisfied with our multi-week ownership, uncertainty and all.

But as the MVC product has matured, two things become increasingly apparant to Marriott. First, prime resort land is becoming an increasingly expensive commodity to find ( for example, MVC will never be able to consider another Florida on-the-beach resort such as Ocean Pointe simply because of the prohibitive economics of the land and development costs ). This is true in lots of places. Note that there will be more joint hotel/resort and timeshare combination type resorts in the future simply because of these high costs. This is the strategy MVC will pursue in Florida and at locations such as St. Thomas and St. Kitts.

Second, as the TS market matures, Marriott has become more bottom line conscious. Hence many of the new resorts are offering fixed and premium weeks. Indeed a market exists for folks who will pay the premium prices for the assurance of a fixed week. In one sense, it's simply a sign of the times as the market matures & new resorts are increasingly costly to build and more difficult to sell to a discriminating public. But look closely at some of the recent new offerings, and one thing I note is that prices are racheting way up there from the get go. It might reflect great potential price appreciation, but it might also reflect a shrewder MVC marketing strategy. It's simply getting a little more difficult to determine what constitutes a good deal because the destination and the market dynamics have evolved.

I think that we as MVC owners should keep these forces in mind as the future continues to unfold before us. Desperate to create more premiums ( read that income ), MVC won't hesitate to tinker with the product base if it see a buck in it. I think that we should all look more closely at what we currently have and be prepared to posit this against whatever "new future" MVC or anyone else tries to trumpet. We might be better off with what we already have, warts and all.

Barry
 

floyddl

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Re: Marriott would do it right

ciscogizmo1 said:
Do you mean free to use or free to convert?

It sounds like Perry means no conversion fee. That could be but the first timeshare I purchased was a fixed week and unit. Fairfield purchased the resort introduced a points programs to the owners. They wanted to charge a fee to convert to the points program. I had a prime week and view and had no desire to do that.

I seriously doubt that Marriott will pass on an opportunity to make money.
 

PerryM

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Cisco,

Conversion should be absolutely free – Marriott could put a “special” of free conversion if done in 180 days and then a $500 charge later (or whatever) – if they want. Folks do need to be prodded into action. Marriott needs ALL the existing owners to migrate to Points in one fell swoop.

Yearly dues could be minimal $100 or so. A better way might be a fee per transaction and make membership free. The way to keep fees to a minimum is to rid the Points system of human beings! Computers, via the internet, should be the ONLY way to use such a system. Folks who don’t know how to turn on a computer and operate a mouse should be relegated to the existing system of operators.

The existing reservation system would remain the same for a number of years and then ended – at that time folks who can’t operate the Internet would pay a hefty fee to speak to a person. Maybe one of those 900 numbers would get them going.

A Point system will open the sales doors for easier sales and convincing the existing Marriott owners could be very easy if Marriott offers the goodies needed to make dreaming of vacations part of its function.

If Marriott notifies its owners that Points is the wave of the future, offers incentives to convert, and then announces future termination of the existing system, owners will feel the need to migrate.
 

ciscogizmo1

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Re: Marriott would do it right

floyddl said:
It sounds like Perry means no conversion fee. That could be but the first timeshare I purchased was a fixed week and unit. Fairfield purchased the resort introduced a points programs to the owners. They wanted to charge a fee to convert to the points program. I had a prime week and view and had no desire to do that.

I seriously doubt that Marriott will pass on an opportunity to make money.

Can I ask how much they wanted to charge you to convert your week? What was your purchase price? You can make up numbers if you want just as long as I know how much more money they wanted in addition to your purchasing price.

I know for me I'd rather use and rent than trade if they are going to charge. Marriott already charges a premium for their product. I have hard time understanding why people would pay to convert their floating or fixed weeks to points. Maybe that's where I'm hung up on this. How about resorts that are already sold out? Also, I don't understand the justification to charge to convert to points? I guess, it is all about money. I just don't understand.
 

floyddl

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Cisco, I never got past the fact that there was an upgrade cost and never went to listen to the sales pitch so I really don't know how much the cost was.

Perry could be right if Marriott wants to force conversions quickly but I think that they would rather promote the benefits of the points system over the current week system and let people know what the impact would be to not convert to entice them to fork over the extra money.

The part I have difficulty grasping is what they will do with the people who own floating weeks and don't want to convert. That means they have to continue to support two systems which could be costly. Even with fixed weeks you still have 3 checkin dates and unassigned rooms to deal with.
 

rfb813

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This has all happened before with the Hilton Grand Vacation Club (HGVC). When Mariner Corp and Hilton created the HGVC in 1993, the Mariner Resorts which were the composed of Fixed week and Floating Week resorts were the primary resorts available until the HGVC Orlando and LV Flamingo were built. The HGVC when formed offered owners of Mariner resorts which are now managed by HGVC the opportunity to join the club for a membership fee of, as I recall $150 per week which included your RCI membership (I understand the entrance fee into the club is now $399) and the ability to exchange for Hilton Honors Point. When you joined the club your unit was assigned a number of points based on the season. For those with floating units which encompassed various seasons the the owner would reserve a unit week and the points allocated for that year would be based on the season reserved. For fixed week owners the HGVC automatically reserved your unit week and it is up to you to cancel if you do not wish to use and exchange within the club. For floating week owner in the old resorts if you want to exchange outside of your resort you cancel the reservation you have for your resort and then enter the points into the system. For owners in the new resorts, the points are there for you to use in your home resort during your preference period or with the club at other resort after the owner preference system has expired.

I see no reason why Marriott can't do the same thing. The question will be how to allocate the points. Hilton established the Platinum, Gold, Silver, Bronze periods which were based on demand periods for each resort area and assigned the same number of points to all units within the Platinum periods, etc. When Marriott bought American Resorts (the Monarch) they later changed to the the floating week system from the fixed week system.

I had a fixed summer week at Shell Island on Sanibel when I joined the HGVC. I have since never exchanged outside of the club. I think the system works well. I have more difficulty exchanging my Marriott weeks than the HGVC weeks.
 

JimC

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Disney's point system has seasons with varying points. Points also vary for size of accomodation and some views as well as resort to resort differences. Friday and Saturday nights also carry significant premiums over other nights -- mostly to discourage locals from booking all of the weekends and leaving everyone else with awkward five night stays.

Members may book from one night to as many nights as they have points. Points may be banked to the next year and borrowed from the next year, with certain restrictions.

A four month booking advantage at your "home" resort is the prime reason to purchase at a particular resort. There are no "trading" fees within the DVC resort system. Maintenance fees and reserves are resort specific.

Their points system is deeded but has an expiration date.

The flexibility of this system is a great selling tool. And like Marriott, the brand does a good job of selling the reliability and quality of the product and service.

The big difference is that check-ins are permitted any day of the week. So the front desk and housekeeping operation levels are more consistent day to day.

Marriott certainly has plenty of other points systems to study in creating theirs.
 
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