Dirk Wilson of fractionalownership.co.za has just produced a series of educational Q&A videos featuring a panel of key leaders from all sectors of the fractional and vacation ownership industry, and posted them on the fractionalownership.co.za website. He says: “There are over 24 billion websites floating out there in cyberspace, with a staggering 4 million websites being added to this number each month. You Tube alone has 24 hours of video being uploaded to it every 60 Seconds. As time-starved consumers, we are increasingly seeking ways to avoid the clutter and cut to the chase, and to find niche content platforms which assist us with our decision-making.

“As a dynamic online marketing company that specialises in fractional ownership, we are assisting buyers, owners, property professionals and researchers by continually providing a variety of free and interactive content. This assists our visitors to fully understand the concept of fractional property ownership in Southern Africa, and the ownership and usage differences between timeshare, fractional ownership and private residence clubs. We believe that online video is the most convenient way to deliver this educational content.”

The first series of informative Q&A videos features a panel which includes Alex Bosch, Executive Director of the Vacation Ownership Association of Southern Africa (VOASA); Deon Viljoen, Director of Operations of Southern Sun Lifestyle Resorts; David Clifton and Darren Ettridge from Interval International (which is based in the UK but moving into Africa with their global exchange programme); and Henry Greyling, CEO of Seeff Fractional Ownership. The sessions are debate-style, and the viewer is a fly on the wall. Each clip is under 11 minutes long.

This series addresses the broad question of ‘What is shared vacation ownership?’, and includes topics such as ‘How has the shared vacation ownership market evolved over the past 5 years? Do we have a new generation of consumers that are dictating future products based on their usage requirements?’, ‘What makes conventional fractional ownership and private residence clubs different from conventional timeshare products?’ and ‘What is happening in the South African fractional ownership resales market, and what channels and methods can fractional owners use to resell their fractions privately?’

Wilson says anybody who wants to know why fractional ownership is revolutionising the way people own leisure use property should watch the videos – “Here they will hear all about it from our experienced panel of experts. Using the internet as a dynamic resource, we will help people to become better informed in order to make the right purchase decisions which fit in with their lifestyle, family and financial objectives.

“We encourage property marketers and sales professionals to embrace the fact that the power has shifted – consumers now have countless channels to research, compare, and find the facts before making a purchase decision. Companies that embrace this change, use technology and communicate are the ones that will increase market share.”

View the videos at http://www.fractionalownership.co.za/videos/listings

Contact Dirk Wilson on +27 (0) 72 591 8582; +27 (0) 21 556 5064; email dirk@fractionaladvertising.com.

Attendees from across Europe and around the world converge in London to attend the first FORUM Conference, which served as 2009’s main event for the European shared-ownership industry.
By Matt McDaniel, editor

2009 was bad enough. And in a year without a conference held by the Resort Development Organisation (RDO; formerly known as the Organisation for Timeshare in Europe or OTE), at least some shared-ownership professionals were neither pleased with how 2009 had gone so far nor entirely optimistic about 2010.

“We were all disappointed we were not going to have an event this year, but then we had this event,” said RCI Vice President of Development Dimitris Manikis. “Everybody was a bit negative in the beginning, but everybody’s leaving with a smile on their faces – we heard some great success stories, and I think we’re all ready for a challenge in 2010. We’re a great bunch of people, great companies, great people to work with, and I think we’re going to have a great year.”

So what turned people’s attitudes around? It was, in this case, participation in The FORUM Conference, held 9 and 10 December at the Sofitel London Heathrow Hotel. The FORUM was a not-for-profit event arranged and hosted by Generator Systems and Perspective Magazine to enable the European timeshare and fractional industry and international guests to reflect on the economic downturn of 2009 and discuss best practices and innovative ideas for 2010.

An Event Overview
Spanning all aspects of the shared ownership industry, The FORUM drew from the experience and knowledge of more than 30 industry experts from Europe, USA, Asia, South Africa and Mexico. A combination of seasoned veterans (and a few outstanding newcomers), inspiring speakers, panelists and moderators took a look at the difficulties of the past year and then looked forward to new opportunities.They discussed everything: legal and financial hurdles, the need to adapt and the desire for change, new sales and marketing techniques, regional and local challenges and more. But perhaps most importantly, topics actually were discussed by everyone.

Each person in attendance was given ample opportunity to pose questions, make comments, and even disagree with a presenter, which happened more than once. This combination of expert advice and instant vox populi feedback translated into real-world answers and oftentimes practical, workable solutions to challenges facing our industry. The FORUM provided an honest, open and frank environment to share views and encourage cooperation as we enter a new era.

What’s more, in various sessions participants broke down the issues by geography, evaluated and analyzed the latest industry statistics and facts, and talked directly with RDO leaders about legislative changes and other issues facing shared ownership. According to FORUM attendees, two of the main reasons for attending the event were networking and hearing the latest industry news. The FORUM powerfully met both these objectives: Shorter sessions and an intimate and relaxed setting for coffee breaks and lunches maximized networking opportunities, and knowledgeable speakers coupled with a truly interactive format meant that those there heard up-to-the-minute reports on what was going on in shared ownership worldwide.

Importantly, the conference content worked on two levels: Long-time industry players were able to glean knowledge from their peers, while new entrants to the industry could learn a great deal.

“There was practical information that we need. Especially for us, a development that’s just starting to go into the fractional industry, so this is exactly the kind of forum that we need to gain credible information and all the details we don’t know about,” said Regan Berger, sales and marketing director for Promotora Golf Fain S.L. “[The legal session] which essentially opened our eyes to a few things that we hadn’t thought about thus far.”

“It’s always good at least once a year to catch up with your fellow industry experts and to swap stories and to see how they’re getting on in this business,” said long-time industry player Peter Booth, managing director of Pestana Vacation Club. “And once again find out if you can learn a little bit, because you never stop learning in this business and there’s always something to pick up and take away and implement back home at your resorts. For me it’s been enlightening and a couple of things that I’ve penciled in to follow up when I get back to Madeira.”

Popular Sessions
Session highlights according to attendees were the sales and marketing and fractional sessions, as well as the open-agenda, open-mic Gloves Off! session.

In the session, Selling & Marketing to the new consumer: What Works for You?, panelists and participants shared what worked and what didn’t over the past 12 months; listened with interest as Philip Watson, managing director of Worldwide Timeshare Hypermarket, described a new TV advertising program that looks set to unleash a sustainable cost-effective route to market; and heard Paul Mattimoe, CEO of Perspective International, describe how his consumer publication, Owners Perspective Magazine – through aligning with major brands outside of the industry, such as British Airways – was proving that consumers have a greater appetite for timeshare and fractional products than some would think.

In another session, Is Fractional the Future of the Shared Ownership Industry?, panel speakers and members of the audience opened up about what actually was selling in 2009, providing actual sales totals at various properties worldwide. Attendees also discussed the various definitions of the word fractional and debated the differences between fractional and timeshare interests. It was clear that most fractional developers still wanted to disassociate themselves from the timeshare industry, despite hearing that the two products were in fact legally considered the same type of product.

The Gloves Off! session lived up to its name, as attendees fiercely continued their examination of fractionals and where again some fractional developers still battled with definition issues, even when comments came from other developers and even fractional exchange companies to the contrary. But most importantly, this session allowed for a much needed group discussion to take place that involved major players in the industry debating (and essentially shaping) the future of the shared ownership industry – something that in Europe, at least, is extremely rare. On a separate topic in this same session, delegates also got into a quite-spirited and controversial discussion of how to rid the industry of unscrupulous holidaypack scammers.

But the meeting was not all about heated debate on serious subjects. The FORUM scored a major coup in featuring two industry icons, each of whom had scarcely spoken at shared-ownership events during the past 10 years. John Spence, chairman and owner of Karma Royal Group, has over 25 years in the business, but he delighted the crowd with brilliantly funny anecdotes from his pre-resort music-industry days and his early days in our business. Roy Peires, chairman and founder of Club La Costa Resorts & Hotels, fascinatingly explained how his company came to be among the leading lights of timeshare in Europe and one that is, by its innovative and progressive approach, defining the standard and shaping the way in which its more than 50,000 members enjoy their holidays.

Summing It Up
“Without an RDO conference [in 2009], there were few opportunities for all interested parties within the industry – developers, exchange companies, finance companies – to actually get together in one place and at one time and not just socialize, but talk business,” said Michael Myers, Interval’s vice president of resort sales for Europe, the Middle East and Africa.” And without it, we would have had to wait a whole year. If you don’t bring the industry together, it tends to go off in separate directions.”

Others agreed with Myers’ assessment. “It’s very easy to get down when you read doom and gloom in the papers all the time,” commented Leslie McCann, group marketing director for Seasons Holidays Plc, who effused about The FORUM and then mentioned an additional benefit to attending: “If you just come away from an event like this with one idea and make it your own, that’s what it’s all about, really.”

Overall, people seemed to really enjoy the event in addition to appreciating its business benefit. Further attendee feedback indicated they also believed the conference was a good value for the money and that it was well-organized, two reasons why those who took the time to comment rated the meeting as either good or excellent overall.

“It’s been fantastic, bringing everyone together,” saidRobin Mills, communications chairman for RDO. “I’m really grateful for what Generator and Perspective have done. It’s been the right mixture of networking, sessions, individual speakers and party.”

Possibly most significant, however, is that many attendees left the conference with a positive outlook for the future of the industry. “It’s been a great time for the industry to come together, and I think we’ve accomplished a lot,” says Interval International Managing Director David Clifton.

“It looks like people are optimistic that 2010 is going to be better than 2009.”

Generator Party Rocks The FORUM
Of course, there was a Generator party at The FORUM – and Generator-hosted bashes are renowned for their great music, freeflowing drinks and let-down-your-hair fun.

The evening began with an elegant dinner and good conversation. A supposed maître d’, chef and server turned out to be a trio of gifted operatic singers in an extremely entertaining comic routine that captivated the entire audience.

Later, as people moved from the dining to the dancing, an energetic and talented cover band got people moving and grooving right away. It also didn’t hurt to have the conference’s “Generator Girls,” who were dressed all in white and had been serving champagne at the entrance, move inside and invite attendees to join them on the dance floor.

It has been said that many times that our industry “knows how to party,” and perhaps it is best to borrow a phrase from Las Vegas: What happens at the Generator party stays at the Generator party.

“There were a few sore heads this morning,” noted Robin Mills on the day after the party, “including mine.”

Joins Sold-out Royal Club at Palm-Jumeirah and Royal Club at Downtown Dubai

Interval International, a leading global provider of vacation services and an operating segment of Interval Leisure Group (Nasdaq: IILG), today announced the affiliation of Royal Club at Bonnington Tower in Dubai. The 40-story, five-star Bonnington Tower is located in the heart of Jumeirah Lakes Towers, one of Dubai’s most prestigious residential and commercial communities.

Royal Club at Bonnington consists of 30 spacious one-, two- and three-bedroom apartments furnished to the highest standards, boasting large balconies overlooking the stunning “New Dubai” skyline and the Jumeirah Lakes. Owners and guests also can enjoy a wide range of on-site amenities, including six restaurants and bars, a Leisure Deck, state-of- the-art gym, hairdressing salons, and 24-hour concierge service. The unique double-height Leisure Deck on the 11th floor has an infinity pool open to the elements on three sides.

“Interval International has worked with Royal Club in Dubai and its marketing partner for many years, and we’ve developed a relationship based on shared respect for quality product and service excellence,” said David Clifton, Interval’s managing director for Europe, Middle East, Africa, and Asia. “We have no doubt that the Royal Club at Bonnington Tower will be as valuable an addition to our network as the two other Royal Club resorts — Royal Club at Downtown Dubai and Royal Club at Palm, Jumeirah — have been.”

“Royal Club at Bonnington is our third affiliation with Interval International,” noted Sherif Khalil, chief executive officer of Dermarr Real Estate, owner of the Royal Clubs. “We are focused on quality, so our exchange provider must have the same vision. Interval is not just our exchange provider, but also a trusted business partner.”
The newest Royal Club is convenient to the Dubai International Airport, and to major malls, including the Mall of the Emirates with its indoor ski resort, and the Dubai Mall, one of the largest luxury malls in the world.

About Interval International
Interval International operates membership programs for vacation owners and provides value-added services to its developer clients worldwide. Based in Miami, Florida, the company has been a pioneer and innovator in serving the vacation ownership market for more than 33 years. Today, Interval has a network of approximately 2,500 resorts in more than 75 countries and offers its resort clients and about 2 million member families high-quality products and programs through offices in 26 cities in 16 countries. Interval is an operating segment of Interval Leisure Group, Inc. (Nasdaq: IILG), a leading global provider of membership and leisure services to the vacation industry.

Interval International, a leading global provider of vacation services and an operating segment of Interval Leisure Group (Nasdaq: IILG), today announced its role as a Major Supporter of The FORUM, a conference that will cover all aspects of shared ownership. Hosted by Generator Systems and Perspective Magazine, the event is anticipated to draw 200 industry leaders to the Sofitel London Heathrow Hotel next month.

“We are proud to play a leading role at The FORUM and look forward to the discussions and networking opportunities, which should be enlightening and productive,” said Darren Ettridge, Interval International’s vice president of resort sales and service for Europe, Middle East, and Africa.

Two Interval executives will be among the industry experts participating in the panels scheduled for 9th and 10th December. David Clifton, managing director for Europe, Middle East, Africa, and Asia, will join the opening session “So You Think You Had It Bad!?!” and Ettridge will speak on both the “Triumph Out of Adversity” and “Is Fractional the Future of the Shared Ownership Industry?” panels.

“We are delighted that Interval International is a Major Supporter of The FORUM, a not-for-profit networking and conference event for the European marketplace,” said Paul Mattimoe, chief executive officer of Perspective International Ltd. “The company’s significant support has helped us gather more than 25 key industry figures from around the world to share their insights in a new, innovative format that promises to address possible solutions to the most pertinent questions being asked today.”

About Interval International
Interval International operates membership programs for vacation owners and provides value-added services to its developer clients worldwide. Based in Miami, Florida, the company has been a pioneer and innovator in serving the vacation ownership market for more than 33 years. Today, Interval has a network of approximately 2,500 resorts in more than 75 countries and offers its resort clients and about 2 million member families high-quality products and programs through offices in 26 cities in 16 countries.Interval is an operating segment of Interval Leisure Group, Inc. (Nasdaq: IILG), a leading global provider of membership and leisure services to the vacation industry.

An interview with David Clifton, managing director Europe, Middle East, Africa and Australasia for Interval International on his extensive worldwide experience in vacation ownership.

Tell us about some of the roles you’ve had in the vacation ownership industry and the challenges that you’ve faced in your career.

I’m very grateful to have had the opportunity to work in all aspects of the shared ownership industry for almost 30 years. I enjoyed being a developer and marketer during my days as Managing General Partner of Welk Park North (a joint venture between Welk Resort Group and Kemper Development) and Executive Director with Hilton Grand Vacations. And, I’ve thoroughly enjoyed working on the exchange side of the business for the past 12 years.

Having the chance to live outside of the U.S. since 1995 has been an incredible experience. While it took me a bit of time to recognize that the way I was used to doing business in the U.S. was not necessarily the best way to get things done abroad, I’ve learned to think out of the proverbial box to come up with creative solutions that fit each specific market. I’ve also had to learn as much as possible about all of the cultures throughout Europe, Middle East, Africa, Asia, and Australasia. I’ve found that while there are vast differences in each market, most people are fundamentally similar. Along the way, I have been blessed to discover so many new things and to meet so many incredible people.

What’s the best thing about living abroad?

Meeting people from different countries, learning about their customs and culture, and assisting them in their successful entry into our dynamic industry. It’s very rewarding to educate newcomers about what our business is and what it is not, and to help them become successful. It’s also gratifying to deal with the many seasoned professionals in each market who have been in the business for years, know the industry inside out, and are willing to share their understanding of local and regional cultures.

Dubai has been at the epicentre of the travel and tourism industry for the last five years. You’ve been in the unique position to have experienced the boom, the correction, and now its re-emergence. What’s it been like on the spot?

It’s been quite a ride … I believe I first visited Dubai in 2003 and moved there in March 2005. I was drawn to it by a number of things, including His Highness Sheikh Mohammed Bin Rashid Al Maktoum’s vision for the Emirate’s future, the warmth of its people, quality of its resorts, great weather and beaches, incredible restaurants, substantial airlift, and high quality of life – all of which made for tremendous potential for shared ownership.

When I moved into my apartment across the street from the future location of the Burj Dubai (being promoted as the world’s tallest building upon its completion), I vowed on the first day of every month (or as close to it as possible given my travel schedule) that I would set up my tripod and photograph this building as it was being built. It’s been magical to watch history being made as it went from a pile of sand to a structure that is now over 160 stories tall.

During this same period, I’ve also watched Palm Island, and so many other world-class projects, take shape as the speculative real estate market soared to stratospheric heights before the global meltdown that took place last year. Dubai’s real estate market, like many others, has experienced a material pullback since it peaked in the second quarter of 2008. The days of investors queuing up for hours, if not days, to buy properties off-plan with little regard for price, are over.

Today, a far more rational and sustainable thought process is the norm in this market. Real estate prices are now much more affordable, which is great news for the shared ownership industry. In fact, Dermarr Real Estate just purchased 30 completed units in the Bonnington Jumeirah Lake Towers with an option for
20 more. Dermarr and Arabian Falcon Holidays (its marketing company) have been very successful timeshare developers and marketers in the region and are long time Interval clients.

The government is very focused on getting more end-users to purchase real estate in the Emirate and many officials with whom I’ve spoken recently recognise how important the shared ownership sector could be in meeting their ambitious tourism objectives. With most of the speculators out of the market, many developers are now looking seriously at our sector as a solution for the current oversupply of inventory, just as others have done before them in other markets around the world. In my opinion, the real estate correction in Dubai was necessary and it will be good in the mid- to longer-term for both the Emirate and for our industry. After all, Dubai continues to have not only all the attributes of a very appealing shared ownership destination that I referred to earlier, but it is strategically located in proximity to hundreds of millions of middle-class consumers who are prime customers for our vacation ownership products.

What are some of the key ingredients for success in vacation ownership today?

No doubt, they are qualified lead generation that is cost effective, being able to provide attractive consumer financing, and getting your overhead in line with your sales volume. In this economic climate, consumers continue to want quality resorts located in highly desirable destinations, but some are looking for more affordable purchase options than in the past. A number of developers are now creating shorter-term products that will satisfy this segment of the market. More than ever before, sales and marketing must be targeted in areas where qualified families live and/or where they vacation. Maximum results are achieved by
those developers with cost-effective lead generation and the ability to offer a strong value proposition and a consumer financing programme for the client.

I also believe the foundation for sustainable growth in the shared ownership industry starts with well-balanced legislation that benefits all the stakeholders (consumer, developer, and government). This is the primary reason why Interval plays a leadership role in global regulatory matters in most major shared ownership markets.

How has the industry changed since you began your career?

Shared ownership was quite a new concept when I got into the business. Most people had little real knowledge about what timesharing was back then. The majority of programmes being offered were quite simple: a fixed unit for a fixed week. The physical product was also very different. Most developments were conversions and there were few purpose-built quality shared ownership resorts in existence.

Developers in the late 1970s and early 1980s were all independents with a great entrepreneurial spirit, but with little, if any, historical industry knowledge to fall back on. Today, most hospitality companies are in the business and a number of independent developers have created their own brands as well.

The consumer too has changed. Satellite television and the Internet have helped fuel the appetite to travel the world and learn about different cultures. I think this thirst for travel is now unstoppable. At the same time, product quality has improved, programmes are more flexible, shorter-term products are being created, and many companies have adopted sophisticated target marketing and counsellor selling techniques. This is all in keeping with our industry’s ability to adapt and evolve in an everchanging environment.

What this all adds up to is a product that’s enjoyed by a wide spectrum of consumers all over the world.

Many in vacation ownership view the industry as more resilient than other businesses during difficult times. Do you agree with this view?

Most of us recognize that the global economic downturn over the past 12 months has been difficult on almost all industries and ours is no exception. While consumers have continued to purchase the product, it has been at a slower pace than in the past. Developers who have been dependent on receivables financing have been affected and have had to pull back on their sales and marketing. We’re hearing, however, that some lenders might be ready to re-enter the shared ownership consumer financing arena, which will be good news for us all.

Because the whole-unit real estate market has screeched to a virtual standstill in many locations around the world, we’re seeing these developers look to our industry, as they have done during previous difficult times, as a potential solution for their current whole-unit real estate woes.

Although we still face some tough days ahead, I would much rather be in the shared ownership industry than in the conventional real estate business today.

We’ve seen diversity in the vacation ownership product range with fractional resorts, private residence clubs, and condo hotels alongside the traditional timeshare model. Which do you see as having the biggest future growth potential?

Traditional timesharing will continue to be the dominant sector within shared ownership. But, we see opportunities for long-term sustainable growth in other shared ownership products as viable alternatives to second-home ownership. To capitalize on this value proposition, Interval formed an alliance with Preferred Hotel Group to establish Preferred Residences, a branded membership and exchange programme for luxury fractional resorts, private residence clubs, and condo-hotels. While sales of these products have also been impacted by current market conditions, we’ve recently affiliated several resorts with Preferred Residences,
have a number in various stages of the affiliation process, and are actively pursuing quite a few leads.

Your solo fundraising motorcycle ride “Cruising for the Cure” was a great personal achievement. What was the most memorable moment?

It has to have been meeting all the great people. I will never forget their kindness and generosity as I travelled 24,000 miles and visited 49 states last summer to raise awareness and funds for breast cancer research and treatment. It totally rekindled my faith in mankind.

And finally, for such a world traveller, where do you call home?

Although I’ve had a home at Aviara in Carlsbad, California, for many years, these days I’m very happy to call Dubai home.

Interval International, a leading global provider of vacation services, announced the addition of Zorgvliet Private Residence Club in South Africa to its vacation exchange network. The affiliation covers six outstanding resorts, sold on both a fractional and traditional timeshare basis. Holiday options available through the Club’s resorts include safaris, South Africa’s famed Wine Region and Garden Route, and health and spa resorts.

“We are very proud to welcome Zorgvliet to our network of worldwide resorts. These are all upscale properties in very desirable locations and this will be another key affiliation in the region for our company,” said David Clifton, managing director Europe, Middle East, Africa & Asia, Interval International. “These properties offer a wide range of leisure amenities and unique experiences and can be said to represent the best holiday experiences that South Africa has to offer. This great quality affiliation continues our planned expansion in southern Africa.”

The resorts included in the affiliation are:

Ka’Ingo Private Reserve and Spa. A luxury African bush experience developed as a prime private “big-five” game animal reserve on the Mokolo River through three safari camps – one offering self-catering, one fully integrated hospitality and one six-room private lodge.

Dinkweng Safari Camp at Ka’Ingo. Comprising luxury secluded bush lodges with modernly appointed kitchen, open-plan layout, three master en suite bedrooms and own pool.

Riviera on Vaal Hotel and Country Club. An exceptional inland resort on the banks of the Vaal River with high class lifestyle, leisure and sporting facilities, including golf, spa treatments, dining, river cruises and a floating restaurant.

Zorgvliet Vineyard Lodge and Spa and Alluvia Specialist Winery and Guesthouse. Both situated close to Cape Town in the beautiful Banhoek Valley outside Stellenbosch, Zorgvliet is an award-winning working wine farm.  Protea King George Hotel. This gem of the famed Garden Route overlooks the Outeniqua Mountains and is situated on the George golf course.

“The Zorgvliet Group of companies have executed a long-term affiliation agreement with Interval International offering members of the Zorgvliet Private Residence Club exciting South African and international exchange opportunities,” said Mac van der Merwe, chief executive, Zorgvliet Private Residence Club. “Interval is a global leader in the field of vacation services and we are delighted to be enhancing the Zorgvliet product offering by partnering with a company of this stature.”

About Interval International
Interval International operates membership programs for vacation owners and provides value-added services to its developer clients worldwide. Based in Miami, Florida, the company has been a pioneer and innovator in serving the vacation ownership market for more than 33 years. Today, Interval has a network of over 2,400 resorts in more than 75 countries and offers its resort clients and approximately 2 million member families high-quality products and programs through 25 offices in 16 countries. Interval is an operating segment of Interval Leisure Group, Inc. (Nasdaq: IILG), a leading global provider of membership and leisure services to the vacation industry.

About Zorgvliet Private Residence Club
Zorgvliet Private Residence Club (ZPRC) is a multi -destination club offering vacation ownership options backed by five-star hospitality services at all its destinations. The company has been developed to provide vacation options at the most appealing South African destinations including game safaris, vineyard holidays and leisure resorts. ZPRC is a family-owned business operating under the Zorgvliet brand. Zorgvliet is based outside Stellenbosch in the Western Cape and offers wine partnership opportunities to its associates.