New timeshare buyers are a diverse group according to a recent Shared Vacation Ownership study from ARDA International Foundation (AIF). Younger and culturally diverse, these new buyers are fueling the timeshare industry's current growth mode of 7.9 percent up from 7.2 percent in 2012.
What Defines the New Buyers?
Howard Nusbaum, president and CEO of ARDA says, "We're excited not only about the fact that sales are up in our industry, but also about why they are up. While existing owners continue to enjoy the lifestyle and purchase more timeshare, it's the new owners that are responsible for the majority of qualified new sales." Statistics from the Shared Vacation Ownership study show just who these new buyers are and the reasons they can qualify for a timeshare purchase.
They are younger and more diverse
- Almost 10 years younger than conventional owners - median age of 39
- 42% are African American or Hispanic
They are highly educated, employed, have families, own homes
- 72% are college graduates
- 79% are married or in a committed relationship
- 51% have children under age 18
- 72% are employed full-time
- $94,800 is median household income
- 91% own a home
They do their research before they purchase
- 75% had some form of experience with timeshare before purchasing
- 35% attended multiple sales presentations
- 44% vacationed at the resort before they bought
- 42% experienced timeshare by renting first
They understand value
- 36% bought their timeshare to save money on vacations
- 31% bought a timeshare for the vacation flexibility it offers
More Good Signs
Other trends from the Shared Vacation Ownership study showed that the overall purchase price of a timeshare rose to an average of nearly $20,000. Timeshare owners are spreading their vacations evenly between summer, fall and spring, and 40% are as likely to travel under 500 miles as they are to travel 1000 miles or more. Though 75% of owners vacationed at a timeshare resort, the study showed 16% converted their timeshare to a different type of vacation-related purchase such as a cruise or airline ticket.