Would Marriott earn more waiving Destination Club cost to enroll?

[vail]

Am I missing something or would Marriott be better off if they waived the cost to join so that everyone could be a member?
Marriott would than have the yearly fee form everyone and would also profit from the skim they receive from everyone using the system.
It seems to me the less members they have join the less they earn?

There is also the added benefit to them that once people are a member they may purchase additional points whereas if they do not join that market is eliminated?

 

[dioxide45]

This was discussed in length after the program was rolled out. It seems on the surface that the annual fee earnings would outweigh the loss in enrollment fees. However, we don't know how much of that enrollment fee is passed on to II and the HOAs. The annual fee combines all II fees and split week and lock off fees that were previously passed on to II and the HOAs. How much of that annual DC fee does MVCI actually keep?

MVCI will already waive the enrollment fee if one purchases DC trust points, so the second point in your post really doesn't apply.

 

[funtime]

Assuming 20% of Marriott owners are now in points and assuming that their best market for "points upgrades" are Marriott owners, in my view it is only a matter of time - perhaps 18 months to two years - before they have another open enrollment period for weeks owners. After all Marriott owners are the best customers for additional points and sales is the name of the game. At Hilton Head they had several couples in on a three day tour for 199 (new prospects not Marriott owners.) It would be easier if they expanded the pool of Marriott owners and it makes perfect sense for them to do so once the system settles down. Funtime