Unconfirmed Marriott Internal trade system

[CMF]

FWIW

I just spoke with a Corporate Customer Relations Manager that told me that consideration of the Marriott internal exchange program has been an on again off again project and that it is currently off the table.

Some reasons cited include:

1. Laws against acting as your own exchange company.
2. A resulting significant increase in MFs
3. Complicated logistics.

Don't beat-up the messenger.

Charles

 

[dougp26364]

I just spoke with a Corporate Customer Relations Manager that told me that consideration of the Marriott internal exchange program has been an on again off again project and that it is currently off the table.

Some reasons cited include:

1. Laws against acting as your own exchange company.
2. A resulting significant increase in MFs
3. Complicated logistics.

Don't beat-up the messenger.

Charles

Then I wonder how the other mini-systems manage without an exchange company? Maybe they don't. Maybe despite the fact that they seem to act on their own they have a silent partner in the form of some sort of exchange company other than themselves that acts as an exchange company for online that group of timeshares.

I also wonder how handling their own exchanges will result in a significant increase in MF's? I suppose Marriott would want to pass the start up costs along to all it's members.

The complicated logistics I can understand.

Not shooting the messenger, just questioning the answers that were given to the messenger.

Look at it this way, it will give Marriott owners something to discuss for many years to come.

 

[PerryM]

Is that Jimmy Hoffa with Elvis?

I just spoke with a Corporate Customer Relations Manager that told me that consideration of the Marriott internal exchange program has been an on again off again project and that it is currently off the table.

Some reasons cited include:

1. Laws against acting as your own exchange company.
2. A resulting significant increase in MFs
3. Complicated logistics.

Don't beat-up the messenger.

Charles

Heck, I've got better ones:

• Hell freezes over
• Big Foot runs for President
• Jimmy Hoffa shows up with Elvis
• An asteroid wipes out Indiana (RCI)

I am surprised that Marriott even talks about this - it just fuels the fire.

 

[billymach4]

I am keeping score

what is your reason for asking?

I knew this would be an interesting topic of discussion. Look at all of the great comments we have all contributed! Now I just need to make sure I go to the gym so I can look slim and trim at Blizzard Beach with "Steamboat Bill's" friend from Boca:hysterical: :hysterical: :hysterical:

OK OK I am just joking!! I do belong to a gym and go religiously to keep healthy. Not for vanity. I take spin class(stationary bike) 2 -3 times a week. This burns about 2000 calories / week and keeps the heart in great shape.

SCORE Dave M 1 for Internal Trades by Marriott
CMF Charles 1 against Internal Trades by Marriott

More comments are welcome

 

[msfish]

Question for Dave M and/or PerryM:

Doesn't Marriott own a portion of Interval International? Maybe therein lies the conflict for Marriott to ever have an internal trade system.

Doris

 

[MikeM132]

Marriott owned part of II at one time but sold years ago. I am wondering about acting as your own exchange company and legality. What about the Florida CLub? How does DVC do this? This does not sound right or consistent with what is already happening. There must be some technical reason I'm not aware of.

 

[taffy19]

Is that Jimmy Hoffa with Elvis?

Heck, I've got better ones:

• Hell freezes over
• Big Foot runs for President
• Jimmy Hoffa shows up with Elvis
• An asteroid wipes out Indiana (RCI)

I am surprised that Marriott even talks about this - it just fuels the fire.

:hysterical:

I don't think that members would be too pleased with higher maintenance fees yet. Only time will tell but I am very happy with our fixed time and fixed unit and even more so now. :whoopie:

 

[CMF]

Dave vs CMF

I knew this would be an interesting topic of discussion. Look at all of the great comments we have all contributed! Now I just need to make sure I go to the gym so I can look slim and trim at Blizzard Beach with "Steamboat Bill's" friend from Boca:hysterical: :hysterical: :hysterical:

OK OK I am just joking!! I do belong to a gym and go religiously to keep healthy. Not for vanity. I take spin class(stationary bike) 2 -3 times a week. This burns about 2000 calories / week and keeps the heart in great shape.

SCORE Dave M 1 for Internal Trades by Marriott
CMF Charles 1 against Internal Trades by Marriott

More comments are welcome

It's not even a fair fight. 20 of my sources will contradict themselves and would not equal one of Mr. Daves sources.

Charles

 

[winger]

I guess I'll chime in. I do not care either way as long as I have an option to trade internal or thru II. If pt system is involved, I would like this idea. We converted out fixed Polo into the Sunterra pt system as we do not like the fixed week or week-long reservations.

 

[CaliDave]

It seems like all the other mini -systems had to go to point based? Maybe this is how they get away with not being considered an exchange company?

I think the comment about higher MF's is ridiculous. HGVC has a great mini-system and they have MUCH lower MF's than Marriott and I think the quality is on par.

They could do like RCI points, Sunterra and others that charge an obscene amount of $$ to convert to their internal system.

 

[Dave M]

Charles -

Sorry I took so long to post this. I have been out since mid-afternoon.

I was able to confirm earlier today from people I am positive are speaking from knowledge that the internal trading project is very much alive. When I gave the title of the person you talked to, all I got was a hearty laugh in return. The inference was clear.

#3 makes some sense. The other two don't. There's no question that getting it "right" will be complicated. If it weren't complicated, Marriott wouldn't be taking the expected four years for development!

 

[honeybunney]

To buy or not

I have two questions if the Marriott internal trade does go through. Of course it's anyone guesses, but it would be interesting to hear what other tuggers have to say. First, so is it a good idea to buy more Marriott timeshares prior to the completion of their Internal Trade program? Second, what then would be good trading power in this new program? Too bad I got no more moola.

 

[Beverley]

I don't even want to hear about increased MF's for an internal exchange system .... has nothing to do with mantaining a resort ... that is what the exhcange fee is all about.

As for the Florida Club, this has been a real waste for us since they only allow a reservation if your season matches with the season you want to reserve into. For instance, we can only travel summer so we bought gold OP. If we wanted to reserve one year into Beach Place we could not because the summer season (45 minutes away so you know this was more contrived than having to do with season and demand) is platinum. Useless :annoyed:

Beverley

 

[PerryM]

WAG #1 for the day

I have two questions if the Marriott internal trade does go through. Of course it's anyone guesses, but it would be interesting to hear what other tuggers have to say. First, so is it a good idea to buy more Marriott timeshares prior to the completion of their Internal Trade program? Second, what then would be good trading power in this new program? Too bad I got no more moola.

Here’s my WAG for 6 AM (I get 1 an hour – it’s the law here hi Missouri

II develops a Point Based exchange system and licenses it to Marriott; the following could apply:

1) ALL units grandfathered in and are treated as developer sold on day 1

2) Trading Power is a bad memory of an antique system (Weeks) – you get Marriott currency for your unit and spend anyway you want

3) Marriott does NOT determine which owner get’s what exchange – the owners spend currency and make reservations themselves

4) II exchange power explodes since so few Marriotts ever make it to II

5) Marriott will incorporate their rental program into the exchange program by linking the new currency to be the rental price that Marriott has always charged for their rentals. All newly deposited units are ONLY available for Marriott owners for 30 days and then the general public can come in and rent them for cash instead of points ($1 = 1 Marriott point)

6) Marriott incorporates ALL their hotel rooms into the new system – you can deposit timeshares and exchange into hotel units for just a day at a time if you want

7) Marriott incorporates the Marriott Reward Program by making each MRP equal .02 new points (2 cents)

Now if Marriot wants to lug a ball and chain around they will simply license II’s current system, but the 24 day Marriott window is a thing of the past here too.

I really see no reason for Marriott to hire programmers - pay II to develope the system and make it available to other developers and get a royalty thru II from the developers.

Ok, its almost 7 am and time for another WAG!

P.S.
You can opt for placing your unit direct into the rental pool - Marriott charges 25% to use their computers and humans. If you do this the unit will never be flagged for being exchangeable in the system.

 

[Big Matt]

I agree totally. They could always get you on the other fees, like lock off, etc. also. Marriott will have no problem finding ways to get their money without increasing MFs.

I don't even want to hear about increased MF's for an internal exchange system .... has nothing to do with mantaining a resort ... that is what the exhcange fee is all about.

 

[CaliDave]

I think Perry has some good thoughts and ideas, but when does a timeshare company do what we all think they should?

I'm hoping they'd have a pre-announcement, especially if they are grandfathering and not allowing new resales. Can you imagine the run on resales we'd have?

Which Marriotts seem to have the highest rental rates as compared to lowest entry costs?
I'm sure some of the ski seasons are up there.

 

[timeos2]

It will be ponts and it will cost

Here’s my WAG for 6 AM (I get 1 an hour – it’s the law here hi Missouri

II develops a Point Based exchange system and licenses it to Marriott; the following could apply:

1) ALL units grandfathered in and are treated as developer sold on day 1

If they go internal and it is based on points (they'd be insane not to do that in todays environment) they may treat all owners the same as far as being eligible to "upgrade" into the new system but you certainly can't be thinking it would be at no charge, can you? Like Wyndham, Sunterra, Shell, etc they will want to get a fee for membership in the new Marripoints tm system. Figure somewhere between $1500-$3900 would be the likely range. If they don't make money on it they have no reason to do it.

 

[CaliDave]

If they go internal and it is based on points (they'd be insane not to do that in todays environment) they may treat all owners the same as far as being eligible to "upgrade" into the new system but you certainly can't be thinking it would be at no charge, can you? Like Wyndham, Sunterra, Shell, etc they will want to get a fee for membership in the new Marripoints tm system. Figure somewhere between $1500-$3900 would be the likely range. If they don't make money on it they have no reason to do it.

Worldmark, Hyatt, DVC, and Hilton are all point based and do not charge a membership fee.

 

[timeos2]

Sold as points is different than adding the points to a week based system

Worldmark, Hyatt, DVC, and Hilton are all point based and do not charge a membership fee.

Yes they do but since it was sold that way it is blended into the sales price (as is Wyndham, Sunterra, Shell, etc if you buy today). But for conversions they all charge and I'd be very surprised if Marriott didn't (one can always hope).

 

[CaliDave]

I bought an HGVC affiliate in Scotland and Marco Island. All I paid was the $200 transfer fee.
I have a choice every year to use my week or relinquish it to Hilton for points.

I know you are right about the others.. That's why I decided against Sunterra. I didn't want to go through all the hoops and costs to get my weeks into their system

 

[PerryM]

Will they or won't they?

If they go internal and it is based on points (they'd be insane not to do that in todays environment) they may treat all owners the same as far as being eligible to "upgrade" into the new system but you certainly can't be thinking it would be at no charge, can you? Like Wyndham, Sunterra, Shell, etc they will want to get a fee for membership in the new Marripoints tm system. Figure somewhere between $1500-$3900 would be the likely range. If they don't make money on it they have no reason to do it.

This is a great point - will Marriott pull an RCI Points prank and charge thousands of dollars to "upgrade" to their new system.

If I had to guess Marriott will make the upgrade charge seem worth it. If they offer little they will charge little. If they offer all kinds of goodies then they could, indeed, charge a ton of money.

My advice to Marriott would be (like they listen):

Sign up 30 days before introduction and commit your units for 3 years: $199

Sign up on "day 1" and commit your units for 3 years: $499

Sign up on "day 1" without committing units for but 1 year: $799

Sign up after 30 days: $1,099

Sign up after 60 days $1,399

The above is for EACH unit to become part of the new exchange system. Basically make it max out at an additional MF. Each new threshold costs $300 more.

Each unit exchanged would be FREE for those that deposit BEFORE the system is open to the membership. After that each exchange is $199.

 

[JimC]

This is a great point - will Marriott pull an RCI Points prank and charge thousands of dollars to "upgrade" to their new system.

If I had to guess Marriott will make the upgrade charge seem worth it. If they offer little they will charge little. If they offer all kinds of goodies then they could, indeed, charge a ton of money.

My advice to Marriott would be (like they listen):

Sign up 30 days before introduction and commit your units for 3 years: $199

Sign up on "day 1" and commit your units for 3 years: $499

Sign up on "day 1" without committing units for but 1 year: $799

Sign up after 30 days: $1,099

Sign up after 60 days $1,399

The above is for EACH unit to become part of the new exchange system. Basically make it max out at an additional MF. Each new threshold costs $300 more.

Each unit exchanged would be FREE for those that deposit BEFORE the system is open to the membership. After that each exchange is $199.

But what if you don't know if you want to exchange your unit or if you buy EOY contracts -- my hedge against all of the fees and uncertainty at trading often.

 

[PerryM]

RCI Points is a guiding light...

But what if you don't know if you want to exchange your unit or if you buy EOY contracts -- my hedge against all of the fees and uncertainty at trading often.

The exchange system is purely optional and resale units would NOT have this option - it can be purchased by the new owner for another MF payment.

RCI Points has been a great example of WHAT NOT TO DO.

They gave no incentive to sign up early and their $199 fee per unit can be altered by the developer into $3,000+. The net result was slow enthusiasm for RCI folks to sign up - gee.

I don't have a clue what Marriott might do - but one would hope that Marriott learned a lot from RCI Points.

I think that an amount equal to the current MF would be something owners can relate to. ALL that money goes to Marriott. Give a discount to entice most owners to make the commitment and Marriott would start up with lots of inventory for folks to exchange into.

 

[jazzeaw]

It is intersting what different people hear. I attended an owners meeting at MMC this week - and the GM - Thomass something (Swedish) and his head sales guy - Jay said that there is NOT going to be an internal Marriott trading system and that if any sales person says there is they are out right Lieing. I mentioned what I heard at the MOW meeting just 3 weeks earlier and Jay mentioned the head sales rep at MOW by name and said "shame on him he knows better" and he then turned to Thomass and said to contact the MOW office and tell them to stop misleading people about this so called internal Marriott trading idea.

I would really like to know the truth that is for sure. At this point I am not sure I beleive any Marriott rep about anything.

 

[dougp26364]

It is intersting what different people hear. I attended an owners meeting at MMC this week - and the GM - Thomass something (Swedish) and his head sales guy - Jay said that there is NOT going to be an internal Marriott trading system and that if any sales person says there is they are out right Lieing. I mentioned what I heard at the MOW meeting just 3 weeks earlier and Jay mentioned the head sales rep at MOW by name and said "shame on him he knows better" and he then turned to Thomass and said to contact the MOW office and tell them to stop misleading people about this so called internal Marriott trading idea.

I would really like to know the truth that is for sure. At this point I am not sure I beleive any Marriott rep about anything.

If/when Marriott developes an internal trade system they're NOT going to want sales reps or anybody else releasing preliminary details of the program, or that it even is under consideration, until they have their plans firmly in place and ready to bring online. To say anything before a final decision is made and a final plan is implimented would only be misleading to the consumer, could get Marriott in trouble and could cause customer disatisfaction. Just look at all the turmoil just the rumor has casued amongst this group.

Marriott might admit to studying the option but they're not about to release any details or acknowledge that it's a done deal until it's a done deal. For any salesman to hint that it is definately going to happen is just what most TS saleman will do, stretch the truth about a rumor they know is not solid fact.