New DC Status Tiers effective 4/30/15

[SueDonJ]

good morning....
No clear evidence tha the 45% Visa discount is gone....

I am not sure that the "not to be combined with other discounts" clause is applicable here...

we shall see...

I hope it's not gone! But something is definitely different ...

Here's the current version of the status tier chart that's linked at the marriottvacationclub.com DC Pricing Information page; the version that will be effective on 4/30/15 is in Greg's pdf link in the first post here. In the current version Footnote 2 for the cash discounts says, "Additional 10% discount if purchased using Marriott Rewards Visa"; in the new version it says, "Cannot be combined with other discounts."

I have a bad feeling about this but like you said, we'll see. Fingers are crossed.

Does anyone have any other working links for the current "Benefits At A Glance" chart? All of my links from past Insider newsletters and my-vacationclub.com sources are now coming up as blank pages. (*See this thread.)

 

[TRAVELING FOOL]

We just returned from a presentation here at SurfWatch. Fortunately I had read about their new Tier level here on Tug and knew they were going to try to upgrade us to Executive level. We were 1725 points away from this level. They tried to sell us 2,000 pts. @ 9.73/pt., which was $19,951 out of pocket. This was using the Encore pkg we had purchased at MOW last year and not giving us 75,000 MRP. Maintenance fee would be 940. I began thinking of what I could purchase resale with this money, even though I could not use it in the destination program. We have received some terrific certificates and getaways from Interval in the past. All without required maintenance fees. Ultimately we declined and hope to continue to make the most out of what we have.

 

[GregT]

We just returned from a presentation here at SurfWatch. Fortunately I had read about their new Tier level here on Tug and knew they were going to try to upgrade us to Executive level. We were 1725 points away from this level. They tried to sell us 2,000 pts. @ 9.73/pt., which was $19,951 out of pocket. This was using the Encore pkg we had purchased at MOW last year and not giving us 75,000 MRP. Maintenance fee would be 940. I began thinking of what I could purchase resale with this money, even though I could not use it in the destination program. We have received some terrific certificates and getaways from Interval in the past. All without required maintenance fees. Ultimately we declined and hope to continue to make the most out of what we have.

That's interesting -- was their primary pitch around Executive Level the 1+ day reservations 13 months out, or did they highlight something else?

I will be curious to see what they highlight to each level when they try to sell the upgrade.

I still think Marriott needs an Uber level to try to get someone to reach 25,000 - 30,000 points. Not sure what that is though.

Best,

Greg

 

[Fasttr]

I still think Marriott needs an Uber level to try to get someone to reach 25,000 - 30,000 points. Not sure what that is though.

I think the Uber level would get you free car rides to restaurants and activities outside the resort.

 

[SueDonJ]

I think the Uber level would get you free car rides to restaurants and activities outside the resort.

HA! Hahahaha!

 

[SueDonJ]

That's interesting -- was their primary pitch around Executive Level the 1+ day reservations 13 months out, or did they highlight something else?

I will be curious to see what they highlight to each level when they try to sell the upgrade.

I still think Marriott needs an Uber level to try to get someone to reach 25,000 - 30,000 points. Not sure what that is though.

Best,

Greg

At that price level I think MVW would be more likely to pitch Ritz-Carlton Club?

 

[alchook]

Maintenance fee would be 940.

That's the part I don't understand. You can likely rent 2000 points for $1000-1200. Why spend nearly $20K when your maintenance fee will be almost what it costs to rent?

To put it another way, Mountainside maintenance fees are about $1200 a year. A good ski week requires 6900 points, or more than $3200 in maintenance fees.

Something doesn't add up.

 

[GregT]

At that price level I think MVW would be more likely to pitch Ritz-Carlton Club?

You may be right -- but what is striking to me about this change is that it is targeted towards lower levels of points -- ie, getting people to upgrade to 7,000 points.

There isn't anything in here that is compelling to get someone to buy more -- Ritz Carlton is already included. Perhaps that is simply the pitch -- to effectively use RC, you need to buy all those points. And there really isn't a usage benefit, it's just more access to the luxury properties.

Best,

Greg

 

[TRAVELING FOOL]

@ Greg, they kept stressing the advantage of the 13 months 1+ nights reservation window, as opposed to the 10 mo 1+ nights with select. If I have to pay almost 19,000 for this, then maybe I'm in the wrong system! Eventually I look for the tier level to be increased again. There seems to be no end to this!

 

[Fasttr]

It does appear the expansion of the tiers is aimed at getting existing owners to buy more points in order to get to that next "great" level, which is seemingly at least somewhat incongruent to this quote from their latest annual report....

...approximately 60 percent of our sales of vacation ownership products were to our owners. However, we are
focused on growing our tour flow cost effectively as we pivot to more first-time buyer tours and work towards achieving our long term goal of selling to an equal mix of new buyers and existing buyers. This strategy includes an emphasis on new sales channels concentrated on first-time buyers.

This quote seemed to be consistent with recent reports where TUGgers were told they were not able to take a tour because they had not purchased anything in X amount of time/tours.

The only correlation I see in having these new tiers and their supposed new focus on new customers is the first premium tier (Select) now will be at 4000 points, where previously the first premium tier was at 6500 points. Previously, their initial pitch seemed to be targeted at 3500 points, so one would assume their go to pitch now will be at 4000 points so that you can come into the program at Select status. That incremental 500 points per sale is all the benefit I can see which could be argued as something focused on new customers.

One would assume they will again be aggressively marketing to get existing owners to hear the pitch surrounding the benefits of the new tiers....and hopefully those of us who like to rake in the MR points as a result will find the offers to be aggressive in the quantity of MR points being offered.

 

[ilene13]

I would hope that the new Chairman's tier would give me hotel discounts!! We never seem to stay anywhere that the codes work!!!

 

[puckmanfl]

good afternoon....


regarding the 45% Visa rate... I put out an inquiry to my Guru... I expect an answer shortly...

will report...

My money states, it will still be active...

we shall see...

 

[Vacation1]

One would assume they will again be aggressively marketing to get existing owners to hear the pitch surrounding the benefits of the new tiers....and hopefully those of us who like to rake in the MR points as a result will find the offers to be aggressive in the quantity of MR points being offered.

Would have to agree - am staying at Imperial Palms later this month and have been offered 30,000 MRP for 75 minute presentation and tour at Lakeshore Reserve - we don't usually do the presentations but this was too tempting not to.

 

[dioxide45]

I wonder if this will have any impact on Marriott bulk banks in II. When Starwood made some changes to SVN allowing for banking of StarOptions along with some other changes allowing members to reserve single nights with StarOptions, there was a significant drop in Starwood bulk banks.

I suppose the impact on Marriott II deposits might not be as impacted since they have allowed single night reservations at 10 months for all owners since DC inception.

 

[taxare]

I have to agree with Puck. Last year I bought resale points to achieve PP. I'm not feeling the love from the new Chairman's level. I also agree with one of Sue's first comments about the complexity. As someone who just celebrated their 60th BD, I can't imagine explaining all of this to my kids, or believe they will have any interest in understanding it like we do (try explaining the Puck Trick to a 28 year old by texting!) I have truly enjoyed my Marriott ownership, but this time I'm feeling like they have diluted the PP level and differentiated perks associated with it.

 

[dioxide45]

I just wish the highest level, Chairman's Club, would get FREE BREAKFAST x2 wherever it's served in a Marriott hotel.

Many hotels don't have concierge lounges at all, and others don't open on weekend. We like the Renaissance brand occasionally because of locations, and they do not have free breakfast..... bummer.

I do think that they could provide at least Platinum Elite status in the MR program to the Chariman's Club owners. This would get them pretty much as close to what you. I think outside of that it would be hard to implement as the hotels really don't know your MVCI ownership status, but they do know your Elite status in Marriott Rewards. The problem is that most Marriott Hotel Resorts don't provide breakfast for Platinum Elites.

 

[GregT]

I have to agree with Puck. Last year I bought resale points to achieve PP. I'm not feeling the love from the new Chairman's level.

Good work -- I'm glad you didn't write a really big check to get the PP level. I understand the frustration, but glad you saved yourself a few bucks.

I agree with your comments on Chairman -- I just don't see it as a real value add.

Best,

Greg

 

[ilene13]

I do think that they could provide at least Platinum Elite status in the MR program to the Chariman's Club owners. This would get them pretty much as close to what you. I think outside of that it would be hard to implement as the hotels really don't know your MVCI ownership status, but they do know your Elite status in Marriott Rewards. The problem is that most Marriott Hotel Resorts don't provide breakfast for Platinum Elites.

That sounds like a good idea to me.

 

[thinze3]

I wonder if this will have any impact on Marriott bulk banks in II. When Starwood made some changes to SVN allowing for banking of StarOptions along with some other changes allowing members to reserve single nights with StarOptions, there was a significant drop in Starwood bulk banks.

I suppose the impact on Marriott II deposits might not be as impacted since they have allowed single night reservations at 10 months for all owners since DC inception.

I would venture to be that, yes, it will have an impact. Marriott will continue to squeeze weeks owners (who have not yet joined the DC) and II.

Although II won't admit it, everything has changed with the Marriott exchange system within II. Marriott only releases, or allows II to release, great weeks for exchange at the 60-90 day range nowadays. This was obviously done to help fulfill DC members exchange requests.

Gone is the old system of getting great exchanges at 13 and/or 12 months out with II - no matter when the week is deposited.

 

[StevenTing]

I'll be in Ko Olina in 4 days And am now looking forward to attend the sales presentation so I can ask them pointed questions. It will be interesting to hear the responses. I hope I get my usual guy who is normally straight up with me.

 

[GreenTea]

I would venture to be that, yes, it will have an impact. Marriott will continue to squeeze weeks owners (who have not yet joined the DC) and II.

Although II won't admit it, everything has changed with the Marriott exchange system within II. Marriott only releases, or allows II to release, great weeks for exchange at the 60-90 day range nowadays. This was obviously done to help fulfill DC members exchange requests.

Gone is the old system of getting great exchanges at 13 and/or 12 months out with II - no matter when the week is deposited.

If they are trying to squeeze the pre 2010 owners to enroll, why not just open it all week owners?

 

[thinze3]

If they are trying to squeeze the pre 2010 owners to enroll, why not just open it all week owners?

Because that would add value to weeks. Marriott wants to sell you points and steal your good weeks. One way to do that is make less good inventory available to II. Virtually 75% all of Marriott ownership weeks are now worthless.

Granted, based on the industry in general, this may have been the ultimate fate regardless of Marriott's implementation of the DC program.

 

[SueDonJ]

Because that would add value to weeks. Marriott wants to sell you points and steal your good weeks. One way to do that is make less good inventory available to II. ...

This is way too over the top for me. Marriott's not stealing anything - they can't get access to owned Weeks unless/until an Owner chooses to exchange the purchased Week for some other usage option, or unless an Owner doesn't follow the rules for reserving Weeks.

Or, if by "stealing" you mean that they're raiding II coffers (nefariously?) in order to satisfy DC Members' exchange request, why shouldn't they?? DC Members bought into MVW's exchange system - they're as entitled to exchange inventory as Weeks Owners.

Virtually 75% all of Marriott ownership weeks are now worthless. Granted, based on the industry in general, this may have been the ultimate fate regardless of Marriott's implementation of the DC program.

I disagree that 75% of Weeks are "worthless." "Worth less" maybe, but like you say that's the industry in general. It actually appears to me that MVW is doing more than most other timeshare companies with respect to Weeks resale value, because they're actively buying back/brokering internal resales (with some Weeks realizing more value from MVW than from the external resale market.)

Where would we be if MVW hadn't implemented the DC? Certainly the company wouldn't be doing as good as it is, which in turn would harm all Weeks Owners and DC Members.

 

[SueDonJ]

If they are trying to squeeze the pre 2010 owners to enroll, why not just open it all week owners?

I don't think MVW's focus has been on enrolling Weeks for quite some time. For one thing enough have been enrolled already to jump-start and fuel the DC exchange system, for another they have access to all Weeks exchanged for other usage options without opening enrollment beyond the current eligibility rules. Their focus is IMO where it should be, on selling DC Points.

 

[SueDonJ]

I'll be in Ko Olina in 4 days And am now looking forward to attend the sales presentation so I can ask them pointed questions. It will be interesting to hear the responses. I hope I get my usual guy who is normally straight up with me.

I think if you give them enough lead time you can request that a presentation be scheduled with a particular sales rep. If I were you I'd call prior to getting onsite. Good luck!