Professional Documents
Culture Documents
A Timeshare offers people the opportunity to purchase time at fully furnished vacation
accommodations for a fraction of the cost of full vacation home ownership. The owners of
timeshare will have great flexibility in their vacation property. For a one-time purchase price
and an annual maintenance fee, timeshare purchasers can own their vacations forever, or for a
predetermined number of years, depending upon the purchase agreement. Therefore, they
can choose to either use this vacation time or rent it out to someone else for use. Resort
condominium is the most common type of timeshare concept in practice. Timeshare owners
and renters experience luxurious resort accommodations that are rarely found in conventional
hotel/motel rooms, but for a fraction of the cost. This is why timesharing is the fastest-
growing segment of the global travel and tourism industry in the world today. In brief
Holiday timesharing refer to a holiday offered at a specific place for a specific period in a
particular apartment/cottage for a definite number of years on payment of the requisite
amount along with an annual subscription fee towards maintenance of the resort. With
vacation ownership, consumers have the opportunity to purchase condominium-style
accommodations at quality resorts offering an array of amenities in popular domestic and
international destinations.
Advantages of Timeshare
Economic method of holidaying.
Customer can enjoy an ownership interest in favorite vacation destination.
Offer a great way to spend quality time with family and friends.
Can lock in tomorrow's vacations in today's prices.
Flexibility - exchange or rent.
Variety of destinations to choose from.
Offer more amenities than most hotels.
Annual maintenance cost is shared by all owners and supervised by the managing
company, freeing customer from all related hassles and inconveniences.
Can pass on to heirs.
The global timeshare industry of multi-billion dollar worth with a history of over forty years
still holds incredible potential for developers and investors. The potential lies in the more
mature markets such as North America, to those like Europe and Asia Pacific where there is a
strong and growing base. The Middle East, on the other hand, represents a virtually untapped
potential of this industry.
With the entry of global hotel chains in Asia and Europe, market awareness about timeshares
would increase. India and China are expected to be potential targets of vacation ownership
developers in the long-term. The business model of the timeshare industry is quite unique
with sales & marketing expenditure being the largest component of the expenses. Therefore,
it is very important for the developer to efficiently manage sales and marketing expenses.
Worldwide over six thousand resorts operate on time share concept with the highest
percentage in North America. The resorts in Asia contribute to fourteen percentage of global
share led by Japan but with India and Thailand increasingly prominent. The global
distribution of time share resorts is depicted in table given below.
The Opportunities
The timeshare industry in India is in a vibrant mode today, growing at about 20 percent
annually. Currently 40 timeshare companies offer more than 80 resorts in India, with more
than 200,000 families having purchased a timeshare vacation ownership product during the
last 15 years. The original fixed-week product has morphed over time, adapting to market
demand and consumer needs. Today, floating weeks, split weeks and points-based products
are vital segments in the timeshare mix. The variety of lodging options also has expanded to
include such offerings as villas, palaces, houseboats and yachts. Rising consumer affluence
and the tremendous popularity of spiritual and experiential holidays, such as heritage
experiences, religious circuits, wellness and medical tourism, and adventure and eco-tourism,
combined with the advent of low-cost carriers, is driving the huge 461 million domestic
tourist arrivals, a growth of 13% CAGR since 2000. This growing trend is providing
opportunities for new product innovations in destinations offering these experiences. For the
most part, the large branded players have not taken advantage of the huge potential for
timeshare development in India. Rapid urbanization is also expected to produce a 10 fold
increase in affluent middle class from 50 million to 583 million people by 2025, resulting in
India being the worlds fifth largest consumer market. In addition, the number of high net
worth individuals (those with at least US1million in financial assets) in India has grown by
1.4 times since 2004 to 100,000 individuals. Fueled by dual incomes, low-fare airlines and a
compelling desire to spend more time with family, the propensity for richly deserved breaks
is on the increase. The opportunity to own a holiday home, at a fraction of the cost of a
second home, and have it taken care of and professionally maintained, can be an attractive
proposition.
The Challenges
While the boom in the aviation sector has opened up lesser-known destinations, the lack of
proper infrastructure, such as roads and drinking water in key tourism sectors, and the safety
and security of the tourist population, especially in remote tourist destinations, remain
concerns. Lack of established timeshare sales and marketing companies is a challenge as
many individual entrepreneurs and hotel operators are not in a position to set up their own
sales and marketing workforce. Presently, there is no government regulation of the timeshare
industry in India. However, about nine years ago, industry players banded together to
establish the All India Resort Development Association (AIRDA), which functions as a self-
regulatory body. Members of AIRDA follow a strict code of ethics, which includes giving
consumers a 10-day cooling-off period. AIRDA works with the government on behalf of the
industry on varied issues, such as the Capacity Building program, where AIRDA organizes
learning and development workshops for workers who deal with tourists. To provide a boost
to the growth of the timeshare industry and enable timeshare resorts to achieve benchmarking
and standardization of services, AIRDA has secured the Ministry of Tourism of Indias
approval for the classification of timeshare resorts in India since December 2005. The
classification is not mandatory but it is important. Getting a Minister of Tourism rating is
along the same lines of the ratings of traditional hotels. Further, the classification provides
AIRDA developer members a chance to avail themselves of the incentives and tax benefits
that are available to hotels. Under the approved guidelines, the timeshare resorts will be
classified in the category of 3, 4 and 5 star and heritage properties.
We will be Asias No.1 Company in holidays and leisure services for the urban family. We
will achieve this through customer centric practices that ensure service excellence, innovation
and employee pride. We will create wealth for the stakeholders and be a responsible
corporate citizen.
Club Mahindra has established a nationwide reach by setting up a network of offices. It has
nine offices spread across the country with a team of over two hundred marketing and
support executives who are specifically trained on service standards that Club Mahindra is
benchmarking in the industry. The accessibility to consumers has been increased significantly
by Club Mahindra opening up new channels in the form of Direct Sales Associates spread
right across the country.
RCI Gold Crown Award recognizes resorts that have surpassed standards of excellence in
Resort Quality and Hospitality. This evaluation is based on the RCI member comment card
ratings and an independent assessment of resort facilities, amenities and service. Only a small
percentage of RCI affiliated resorts worldwide achieve this distinction. Club Mahindra resorts
at Goa, Coorg, Munnar, Manali, Binsar, Kumbhalgarh and Dharamshala have consistently
achieved this award ever since their initiation.
Club Mahindra endeavors to make holidays enjoyable. The company trains latent talent
across resort to form a team of Champs, who work on creating a 'comeback value' based on
'experiences.' Activities are designed specifically to cater to all ages. The ability to anticipate
customer needs and delivering them has been a major strength of the company. The range of
activities span adventure sports, water sports, camping, treks, indoor family games and hobby
programs for children and adults. Apart from those above, specific recreational facilities that
include a fully equipped gymnasium, swimming pool, and ayurvedic center form part of Club
Mahindras resorts. The service in all the resorts is professional and highly personalized from
choice of food, holiday activities and personal touch in dealing with guests. Club Mahindra
benchmarks expectations and redefines entitlements.
MHRIL has made significant investments in state of the art IT systems to streamline their
operations and processes towards smooth, quick and efficient management of its substantial
member base. The implementation of a CRM system has been a powerful tool to track
important member information and preferences, thus providing the ability to greatly enhance
the total holiday experience. As a measure of providing quality customer service, Club
Mahindra has established systems which enable professionalism, efficiency and quality at all
times. MHRIL use Timeshare-ware, a sales and marketing, reservations and resort
operations software specially sourced from PCC Inc USA. Holiday experience profiling is
another interactive touch screen facility implemented at resorts to record online feedback
from members/customers on holiday. These facilities help to ensure consistent standards of
service to customers always. Apart from this a dedicated team of holiday consultants work at
the member relations center in Chennai offering easy and direct access for customers through
call centre seven days a week.
2) Travel club
Travel club is an integrated part of Club Mahindra which caters to all travelling needs
of its customers. It offers air ticket reservations, foreign exchange, car rentals, pick
and drop facilities to its customers.
3) Food Facility
Club Mahindra offers three dining options to its members
(A) Fun dining: Fun dining is a food package involving breakfast, lunch, dinner, tea
and snacks. The charges for fun dining vary in different locations.
(B) Ala carte: Ala carte is a menu having individual dishes listed with separate prices.
The customers can order food to his taste and requirement. Club Mahindra offers
its members 30 to 40% discount in Ala carte.
(C) Kitchenette facility: Club Mahindra offers resorts with a fully furnished kitchen
with a series of cutlery and crockery items to enable customers to cook their food.
Flexible holidays
Club Mahindra members are entitled seven nights per year in any destination of his/ her
choice. Mahindra offers amble flexibility in using these holidays. Members can use any of the
following modes:
1) Splitting the holidays: Club Mahindra members can split and use their seven nights
of holidays in different destinations over a year. If balance days are left in a year those
days will be carried forward to next year thereby ensuring hundred percent utilization
to members.
RCI is a global provider of leisure travel services to businesses and consumers, and the
worldwide leader in vacation exchange. Founded in 1974 as an exchange service for
condominium owners called Resort Condominiums International, Ltd., RCI quickly became a
driving force for growth within timeshare, and has been at the forefront of the vacation
exchange industry ever since inception. RCI's core business is exchange of vacations. RCI
provides its global community of more than three million timeshare owners worldwide with
quality vacation experiences at more than 5600 destinations in 129 countries through RCI's
week-for-week and points-based timeshare exchange networks. RCI has been at the forefront
of the timeshare exchange industry for 30 years, maintaining the highest standards of quality
and excellence as a growth partner to its resort affiliates. RCI is a subsidiary of Wyndham
Worldwide Corporation.
EUROPE 2466
ASIA 432
JAPAN 12
SRILANKA 2
Dial an exchange (DAE) head quartered in Gold coast, Australia started its operations in the
year 1997. It has grown to servicing over 340,000 members at a compounded annual growth
rate of over 40%. DAE is a worldwide exchange company with offices all over world.
Integrity and honesty is the cornerstone of DAEs success and is reflected in all its dealings
with customers. It offers over 2100 resorts worldwide and continues to grow. DAE is a
worldwide time share exchange company with offices all over the globe. It uses this
worldwide presence to make sure that members have access to a truly international inventory
of vacation weeks available for exchange. DAE has grown significantly since it first opened
its doors in 1997. It offers friendly and customer focused exchange of timeshare week in an
easy, affordable and rewarding way. It strives to give members the benefits, vacation
availability and the service they deserve and are looking for from their exchange service.
DAE members can access live availability online 24/7 and can search, hold, book and
confirm in real time, making the exchange process simple. The main advantage is that
customer does not have to wade through a set of complex rules to conduct a transaction with
DAE. The main objective of DAE is to add value to the investment of its members in
vacation ownership and strive to better their products and services to satisfy the growing
needs of vacation owners. DAE places its members needs first and foremost and they
achieve this by offering affordable, honest & timely service.
Club Mahindra members who have been offered special offer international holiday can avail
it through DAE. Club Mahindra members cannot avail bonus weeks with DAE