Dec 23, 2016
According to a recent luxury travel market report, more people across the globe are travelling than ever before, and they’re spending far more money when they do. This could be great news for the timeshare industry since people have come to prefer the luxury of home rather than the impersonal nature of a hotel room.
According to Allied Market Research, the global luxury travel market is expected to climb by some 6.4% between 2016 and 2022. In fact, at this rate, people around the world will be spending $1.15 trillion annually on luxury travel, whether within their own borders or internationally. They claim that the increased demand for unique vacations and exotic experiences is driving this trend, but social media is also playing an incredible role. As people continue to share their photos and experiences, others want to travel to those same places – and they’ll stop at nothing to do so.
Different Types of Experiences
Allied Market Research also broke the luxury travel market down into segments to determine the types of vacations people wanted the most. The statistics are quite interesting. Nearly 44% of vacations fit the adventure and safari segment, and vacations geared toward food and shopping will experience the fastest growth by 2022 at a CAGR of 7.8%. It’s estimated that nearly 70% of all the millennials took a trip in 2015 based purely on their interest in trying new delicacies in other locations.
What Does This Mean for Timeshares?
When people travel, they certainly need a place to stay, and with hotel rates climbing due to supply and demand, a timeshare is the perfect alternative. It’s truly home away from home for a couple of weeks every year, and those who travel get to choose the perfect resort or location to suit their vacation styles. If they want safari and adventure, they can choose a resort located near a wildlife sanctuary, which will allow them to see the sights for the entire trip. Conversely, if it’s a culinary experience they want, there are plenty of timeshares that are situated close to dozens of restaurants offering luxurious delicacies – and a few new things, too.
The Baby Boomers
Right now, it’s the baby boomers who own most of the timeshares around the world, and it’s those same baby boomers who will hold the highest market share in the market until 2022. They want exclusivity, first-class lodging, and incredible comfort, and timeshare resorts can offer all of that and more. Although there are hotels and bed-and-breakfasts that try to mimic the experience afforded by a timeshare, they will never be a true home away from home.
The timeshare industry may see a boom over the next few years as baby boomers and millennials alike go on the hunt for luxury vacations that suit their own unique tastes. There’s certainly a timeshare for everyone, and because they offer more exclusivity than a hotel ever could, they’re likely to be the preferred source of accommodations for both groups.