The concept of holidaying in itself has undergone a notable change. A holiday is no longer just a ‘get away’ with loved ones and a break from the regular and stressful routine, but it has also grown to become an activity that requires some serious planning to ensure the time spent with loved ones is both affordable and memorable. A fair degree of time and energy is invested in organising a perfect holiday which will suit every member of the family!
The Indian traveller today is more discerning and seeks to explore newer destinations and holiday experiences. There is also a shift from annual vacations to multiple short breaks with family and friends.
Recent trends indicate travellers from Tier 2 & 3 cities are also getting exposed to higher lifestyle standards, as they have started travelling across the globe as well as within the country. With this high propensity to travel among the growing middle class and rising disposable incomes, travel companies are aggressively targeting middle class families from these cities which area potential market.
Vacation ownership is a concept that allows multiple individuals to share rights to use the same property, wherein each of them are allotted a time frame (generally, this is a week each year) on the payment of a one-time sign-up fee and a nominal annual subscription.
For example, Club Mahindra is a unique leisure hospitality model in that it allows members to enjoy the amenities of a resort at any given point of time in the year, at affordable prices along with a variety of other services and benefits such as food at subsidized rates, fun activities, spacious accommodation, sightseeing, etc. all in one place. It also provides travellers with flexibility while planning holidays besides other benefits. By paying an exchange fee, vacation owners could also opt to stay in resorts of other vacation ownership companies in India or abroad as well. It is a beneficial option in the long run for many individuals, especially those who prefer to travel with family and friends.
Vacation ownership’s cost benefits
The travel industry has constantly sought out ways to reinvent itself and attract customers. One of the biggest challenges faced by the industry is risings costs. In an era of troubled economies around the world, travelers are increasingly wary of costs and any additional cost in every aspect including travel is highly scrutinized. With rising inflation, who knows how much holidays are going to cost in the future? Globally, there has been a vast increase in the percentage average cost of a hotel room and while prices may tend to fluctuate at times, there has always been a natural incline towards an increase.
Given this scenario, the incredibly well-crafted model of sharing vacation homes lets vacation ownership members pay for their stay in advance when they sign up for membership. By paying an annual maintenance fee, one can ensure that he/she will get to use this vacation ownership every year for 25 years. These fees do see a small increment every year, but one will still end up saving considerably as hotel rates continue to rise exponentially.
Also, the cost of a membership in a vacation ownership package depends on the size of the room and the season chosen, but remains the same even if the cost of the room increases over the years. Thus, the advantage of vacation ownership is that it lets one enjoy inflation-free holidays, as they are planned well in advance.
Other benefits of vacation ownership
An interesting feature of vacation ownership schemes is that it allows you to use all the seven days at one stretch or to split your weekly vacation entitlement into shorter vacations, say, of two days or more. You can also accumulate your entitlement (not more than 2-3 weeks) in case you are not able to go on vacation in a particular year.
These accumulated vacations can then be used later for longer holidays. For instance, if you have only one week but want a longer vacation, you can consider advancing the next year’s weekly entitlement.
Vacation ownership offers greater flexibility as well. For instance, flexibility means choosing the holidaying season and the type of accommodation, gifting it to loved ones, splitting the holiday, transferring membership and even upgrading it if so required.
To summarise, with vacation ownership you can:
* Explore top destinations in India and around the world at an affordable price
* Explore both popular and lesser travelled destinations within India
* Lock-in today’s price for vacation lodging for as long as you own your property or purchase it as a gift for friends and family
* Avoid peak hour rush and exorbitantly high prices at expensive hotels
* Last but not the least, you never have to worry with the vacation ownership model! Because hotel costs constantly vary and increase in most cases. The vacation ownership model really shines through as you don’t bear the financial burden of the increase in rates.
– By Kavinder Singh
MD & CEO, Mahindra Holidays & Resorts India Ltd.
