Ja not capitalising on timeshare market

Claudia Gardner,Hospitality Jamaica Writer

David Callanghan

THE CARIBBEAN region remains the number two preferred international destination among United States (U.S.) timeshare travellers, according to latest research findings by leading global vacation exchange company, Interval International.

The report titled 'Future Timeshare Buyers: 2005 Market Profile' was released at the Timeshare and Resort Investment Conference held at the Peabody, Orlando hotel in Florida, recently. It said that almost 25 per cent (2.5 million) of the prospective buyers of timeshare, were interested in purchasing vacation time in the Caribbean within the next two years. The Caribbean is ranked behind Europe, with 69 per cent.

The report is the latest in a series of studies which offer resort developers and marketers insights into the vacation habits, preferences and intentions of leisure travellers who are interested in owning vacation time or 'timeshare'. Timeshare is also known as vacation ownership. It is the sale of a vacation accommodation such as a hotel room or condominium in increments of one week. It offers consumers the opportunity to purchase their future vacation time at today's prices.

In its last membership profile study commissioned in 2003, Interval also found that almost 75 per cent of its members plan to travel to the Caribbean by the end of this year.

"Interval International U.S. members' penchant to visit tropical warm weather destinations and the traditionally popular locations is ever present when travelling internationally. The Caribbean ­ again the most frequently cited international locale ­ is reported by nearly three-quarters of Intervals U.S. members as the leisure destination of choice for travel within the next two years," that report said.

But David Callaghan, vice-president of Resort Sales and Service at Interval, told Hospitality Jamaica that despite this preference for the Caribbean as a destination, Jamaica is yet to fully tap into the growing U.S. market. He said based on the report, timeshare could have huge economic impact on the island's tourism industry and its economy as it is is the fastest growing segment of the U.S. hospitality industry. As a result, he said, Interval intended to reach out to the Caribbean.

TOURIST FLOW

"It will create a flow of tourists who are not now coming to Jamaica," he said. "There are instances when our clients call to say they want to go to Jamaica and then we have to break the news to them that there is limited amount of vacation ownership product in Jamaica. So instead of going to Jamaica, they end up going to Florida, or to other Caribbean destinations.

"Very few timeshares are all-inclusives and so the money spent remains in the local economy," he said. "Timeshare owners bring more visitors to resort areas on a per unit basis and spend considerably more than the average vacationer. Because timeshare owners have prepaid for their vacations, they have a higher propensity to travel, regardless of economic conditions," he said.

More than six million U.S. families own their vacations at resorts in more than 90 countries with annual sales reaching over $8 billion. It is regarded as a global success with tremendous potential for future growth. At present, only three resorts are engaged in timeshare in Jamaica: Jamaica Inn, Franklin D. Resort (FDR) Pebbles in Trelawny and FDR in Runaway Bay.