A new study commissioned by The Resort Development Organisation (RDO) reveals strong timeshare sales in Europe, despite the ongoing recession.
According to the latest research, European sales totalled approximately €750 million last year, and the study also highlights a new trend towards shorter term timeshare products.
RDO unveiled the figures at their annual conference in London last month at the Pestana Chelsea Bridge Hotel. RDO commissioned Bournemouth University’s Market Research Group (MRG) to undertake the extensive research study, and the report analyses the performance of the industry in 2011, specifically sales volumes and the value of sales, s well as employee numbers and payroll numbers.
According to the report, 78,118 sales were made across Europe in 2011, with an average of 121 sales per resort. The average sales value at each resort topped the €1 million mark, with the average sale value over €9,500.
What’s interesting about the report – in addition to the positive figures – is that this year, the study included shorter term timeshare products which are more economically priced, and this is a new and rising trend in the shared ownership industry.
In previous years the sales would have been based on average price of a classic timeshare week. So this reflects a shift towards shorter term, limited term products which can be bought and held for five to ten years, with an exit strategy at the end of the term already in place. Today’s timeshare buyer is typically now a younger family, who perhaps wants to buy a five to ten year term product to enjoy holidays at various resorts around the world, but who may not require a longer term product.
The study highlighted 1,345 resorts around Europe, and reveals an estimated 40,000 employees supporting resort sales and operations during 2011, with an average of nearly 30 employees at each resort. Each developer had an average of 152 employees.
The corresponding payroll across Europe exceeded €848 million with an average of more than €630,000 per resort. Each developer had an average payroll of more than €2.3 million.
The report is very good news for both the industry and buyers because it underscores the fact that the timeshare industry remains robust, is adapting to consumers’ needs in the current economy, and continues to evolve, creating new products for a whole new generation looking for new and exciting holiday experiences, adapted to their lifestyle.
The report is available to download from the members’ only section of the RDO website www.rdo.org