SVO in Europe???

[Maui_ed]

I just returned from a stay at WKV. I will write another post about my experience there - in general, it was all good. However, while there, my wife and I attended the sales presentation, excuse me, I meant to say the "customer update". I have been looking at both Marriott and Starwood and find that one major difference between the two programs is the number of properties owned by Marriott versus Starwood, and the locations served by Marriott versus Starwood (is that two major differences?). Marriott has a lot of properties in Europe, where I would like to travel in a few years. So, I thought I would find out if there are any plans from Starwood to expand overseas. The sales rep - sorry, the customer service rep - said that, while they have not been told anything specific, the reason for the acquisition of the Le Meridien hotel line was to provide an opportunity for expanding the timeshare protfolio overseas. Has anyone else heard that?

 

[DeniseM]

Very curious - I don't see how purchasing a hotel line expands their timeshare portfolio. Of course Starwood constantly promotes converting TS's to Starpoints and using them in Starwood hotels so that may be where he was going with that statement.

A while back, there was some info. that came out of Starwood about building a TS in Scotland, but haven't heard anything about that for a long time and in this economy, who knows!

 

[nodge]

Hi Denise,

You said that so very nicely and upbeat. I’d like to add that while everyone on the SVO sales force is probably deep in their hearts a good person in their own special way, sometimes on a rare occasion and with such an overwhelming desire to please, one or two of these fine individuals may ever so slightly overstate some aspects of the SVO system.

-nodge

 

[stevens397]

And nodge -

you crack me up!

 

[Maui_ed]

Nodge, you crack me up too.

Denise, what the rep said to me was that for those Le Meridien hotels where there was enough land to build timeshare units, then timeshare units would be built. For those Le Meridien hotels where there was not enough land to build anything else, the hotels would be converted (all or in part) to timeshares.

I understand that it could have just been a sales person talking to sound "important" or "connected", which is why I thought I would ask if others are hearing the same thing.

 

[DeniseM]

Hi Denise,

You said that so very nicely and upbeat.

-nodge

Nodge, Darling, thank you for noticing! You are SUCH a sweet boy! :hysterical:

 

[DeniseM]

Denise, what the rep said to me was that for those Le Meridien hotels where there was enough land to build timeshare units, then timeshare units would be built. For those Le Meridien hotels where there was not enough land to build anything else, the hotels would be converted (all or in part) to timeshares.

That is fabulous news! There are 35 Le Meridian Hotels in Europe so that means 35 new Starwood timeshares!

I can't wait for the one in Monte Carlo!

I have to let SDKath know right away - she will want one of each!

 

[SDKath]

Hey! I heard that.

I don't want any unless they are allowing upgrades and retros at the same time. And knowing the way it works, they will require $60,000 purchases to upgrade in Europe instead of the usual $20k or $40k for HI sooooooo, not gonna happen for me.

But it's nice that someone somewhere thinks that Starwood TS division will actually expand in this economy. :hysterical:

Katherine

 

[clsmit]

Naw, they wouldn't put lowly timeshares there. They'd put fractional ownership hotels there instead and charge people $1.5 million to buy one.

 

[LisaRex]

Gosh, my salesman told me that he "unofficially" heard that SVO is in discussions with a start-up lunar construction company for when they expand to the moon.

 

[bizaro86]

All kidding aside, its really too bad they don't do this. A floor dedicated to SVO suites in company owned hotels in (say) London, Venice, Rome and Barcelona would go a long way to selling to the program to buyers worldwide, many of whom are doing much better financially than North Americans at the moment. Obviously you couldn't build a whole new resort in each of those cities, but a conversion would be do-able, I would think.

I've always believed that timeshares are undeveloped in the "great-cities-of-the-world" market. Yes, you'd have higher prices, but I think people would pay them, since the comparison to area hotels that the salespeople use would be just as favourable due to high hotel rates.

Michael

 

[Scott & Laura]

SVO Europe

I will put my 2Cents in.

Out of speculation, I would think a globally positioned company located in the US with locations in Europe and the Far East, would understand that those markets of vacation ownership are relativly untapped.

It would make a lot of sense for Starwood to broaden their "trap Line" in order to catch the animals in other market places.

Starwood seems bent on becoming a manager operator, and not owner of properties.

SVO has positevly impacted Starwoods bottom line.

It seems a natural segue to Europe and the Far East timeshare markets.
Especiialy with their economies positioned a little better for the future.

Scott

 

[Maui_ed]

I have not yet had an opportunity to attempt to trade using II, so I don't know how well it works or any of the pitfalls associated, however I have traded within the Starwood system and have found it to be easy and very straightforward. If I could use that same system to be able to stay in a timeshare in the UK, Spain, Italy, or Greece, I would feel much better than having to take my chances with II and I would certainly consider it an advantage over Marriott.

I hope that what the sales rep told me is true, but I shudder to think how long it will take for Starwood to execute - it has taken a long time to get Cancun open, still nothing in Cabo San Lucas, I have heard that Aruba is going to be available in 2010 but, given the current economy, I wonder how many projects are going to put on hold for a while.

I do believe that availability of properties is one of the biggest differentiators between Starwood and Marriott, and it is an area where Starwood can make some improvements. Since they own the hotel properties, it makes sense to consider some form of conversion. Doesn't mean that they will do conversions, but they do have the framework upon which to build.

I am taking it from the comments that no one else has, as of yet, heard the same story regarding European expansion. I will ask Starwood again when I am in Maui in February and see if the folks in Maui are telling the same story. Since the reps in Mauii can only sell Hawaii timeshare property, they might not care what happens in the rest of the Starwood system. But it never hurts to ask.

 

[Ken555]

I have heard that Aruba is going to be available in 2010

They actually told you Aruba was still happening?!?! :hysterical:

 

[SDKath]

OK, now Ken you are just being mean. :ignore:

Aruba got "indefinitely postponed" i.e. nixed about 6 months ago.

I think Europe would be fantastic but too expensive to do too often, especially from the West Coast. We try to go once every 5-7 years. That's about all that we can stand given the airfare and 12-15 hour flights. Paris in 2010 is on my list -- with SPs thanks to my Am Ex card.

Katherine

 

[clsmit]

We feel the same way about Hawaii, you west coasters(KATH)! The DH was whining about the 12-14 hours of travel time to get there next summer, when London is "only" 9 hours (maybe 10). So we're going once, and probably not again until the DS and DD are in college. Then we can fly to California, hang out for a few days, then go to HI.

Getting him to Australia for the Australian Open in 2018 (when the DS is in college and we're no longer constrained by the school calendar) will be a challenge!

 

[Maui_ed]

I am guessing that the current economic situation signals, if not an end to plans for Europe, at least a major delay for any new timeshare developments from Starwood.

The Eurozone is officially in recession now, and the travel industry is hurting across the board - not just timeshares, but air and hotels as well. I saw on the Marriott board that there have been cutbacks announced in Marriott's plans, including putting the Kauai development on hold for a year.

 

[zinger1457]

When I went through the customer update at WKV last month I asked about Europe. The sales rep stated that SVO was backing off their expansion into Europe, apparently other timeshare companies have had trouble tapping into the local Europe market. They also don't think that the American market could make up for the lack of local interest.

 

[tomandrobin]

SVO will build in Europe right after real time booking gets implemented, Aruba and Cabo has their grand opening and MF's get reduced to realistic levels.!

 

[tlpnet]

I had heard the rumor regarding SVO expansion in Europe somewhere before - most likely here, and maybe it was even in a press release when Le Meridien was brought on board. That aside, SVO hasn't exactly tried to hide the fact that their expansion plans (save current construction) are on hold.

Who knows what might happen when the economy improves, but don't start thinking about how many StarOptions you're going to need to trade into a 3BR at the Westin Scottish Villas anytme soon.

-tim

 

[Loriannf]

Europe's been promised since at least 1998

When we bought our WSJ in 1998, one of the things we found attractive was the opening in "3 to 5 years" of a Scottish location. We're still waiting.

Anyone hear it any earlier than that? That has to be one of the biggest false promises SVO has made regarding potential locations.

Lori

 

[clsmit]

No Expansion, no Europe

As the Starwood people discussed in the 3rd Quarter Conference call 3rd Quarter 08 Conference Call they are only finishing the timeshares they have started and are not building any new ones any time soon. So no Europe.

 

[calgarygary]

SVO will build in Europe right after real time booking gets implemented, Aruba and Cabo has their grand opening and MF's get reduced to realistic levels.!

But it will be before the lunar expansion that was mentioned earlier in the thread.

 

[CanadianLawyer]

Recent WMH and SVV sales

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