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New Study Profiles Potential Timeshare Buyers And Identifies Social Trends Impacting Travel

Interval International Releases Latest in Series of Company-sponsored Research

Press Release: Interval International
November 12, 2002
ORLANDO, FL -- Interval International, a leading global vacation exchange company, today released its latest study - Future Timeshare Buyers: 2002 Market Profile, which profiles prospective vacation-owning consumers and their leisure travel preferences, as well as emerging social trends impacting current consumer-purchasing behavior. This industry insight, now in its second year, supports the appeal of typical timeshare vacation attributes given the growing propensity towards travel with family and friends.

The study was developed from data collected in The Yesawich, Pepperdine & Brown/Yankelovich Partners 2002 National Leisure Travel MONITORsm, one of the most highly regarded surveys of the travel habits and intentions of Americans. Future Timeshare Buyers: 2002 Market Profile focuses on the 16 percent of U.S. leisure travelers who indicate interest in purchasing some form of timeshare during the next two years.

"This level of purchase interest is consistent with prior years and reinforces the resiliency and continued appeal of vacation ownership, particularly noteworthy in the face of the social and economic pressures on the travel industry," said David G. Gilbert, executive vice president of Resort Sales and Service for Interval International. "The report provides a snapshot of potential purchasers and offers insight on relevant trends in the changing social climate as reflected in the lifestyles of this group."

Demographic Overview

The majority of prospective purchasers as identified in the report are female (54 percent), white (77 percent), married (56 percent), age 37 or older (57 percent), and report annual household incomes of $50,000 or more (63 percent). It is worth mentioning that one of the fastest-growing demographic groups expressing interest in the timeshare product is 23- to 36-year-olds. Additionally, singles represent another emerging demographic group.

Social Trends Affect Travel

In addition, the report identified three social trends that are impacting today's consumers: the "Affluent Attitude," a renewed emphasis on personal relationships, and marketplace clutter.

Prospective purchasers are significantly more likely than their non-interested counterparts to embrace the "Affluent Attitude," a growing sense of entitlement to luxury touches and also to associate material objects and status with success and accomplishment.

At the same time, Americans in general are seeking less stress, more spirituality, and a heightened focus on family and friends. Prospective timeshare buyers place a high value on their vacation time with nearly four in 10 expressing a preference for an increase in vacation time over an increase in pay. Spending time with family and friends tops their list of leisure time activities.

More grandparents are traveling with children, and prospective purchasers are significantly more likely to plan vacations with children (nearly one-half plan to travel with children in the upcoming 12 months).

In addition, friends are named as the traveling companion of choice, cited by 65 percent of prospective owners, compared to 53 percent who are interested in traveling with children who reside in their home. They are also more interested in traveling with extended family than leisure travelers in general. Prospective purchasers of vacation time, on average, travel with 2.6 adults (including themselves) and 2.2 children.

Finally, consumers are increasingly seeking advice to help them cut through the clutter of marketplace options, and customized solutions represent one of the few ways left for businesses to achieve true product/service differentiation. A substantial proportion of prospective timeshare buyers would be willing to pay up to 20 percent more for a product or service customized to their specifications.

"Overall, the data suggest that marketing messages that highlight luxury, entitlement, or prestige, and that communicate the space and privacy suitable for larger traveling parties would be effective," said Gilbert.

"The study results also indicate that targeted marketing is critical, and one-to-one marketing messages underscoring the flexibility of vacation ownership would appeal to these prospective owners."

For more than 26 years, Interval International has led the vacation ownership industry with innovative products and the highest levels of quality, service, and value. The company has attracted the leading hospitality brands and independent developers to its global network of more than 1,900 resorts in 75 countries. With its international headquarters located in Miami, Florida, Interval serves its developer clients and approximately 1.5 million members through 27 offices in 18 countries and employs nearly 1,700 people worldwide. Interval International is a division of USA Interactive.

Demographic Highlights

Characteristics of the average prospective U.S. timeshare buyer:

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CONTACT: 
Chris Boesch
305-666-1861, ext. 7267
Chris.Boesch@intervalintl.com