The Abercrombie & Kent Residence Club, the largest equity-based destination club in the industry, announced a new member promotion that builds on A&K’s award-winning reputation as the leader in luxury travel.  Prospects who enroll as new equity members in the Abercrombie & Kent Residence Club by September 30, 2011, will receive an Abercrombie & Kent USA travel credit of up to $20,000, depending on their level of membership.  This credit can be used for A&K travel in more than 100 countries on all seven continents.

“The ability to trade Club nights for travel any place Abercrombie & Kent operates has always been important to our members,” explains Abercrombie & Kent Residence Club Managing Director Stephanie Papaioannou.  “Last year members traded nights for A&K travel, including African safaris, adventure cruises in the Galapagos, family holidays in China, and stays at European villas.  Prospective members want that same access to Abercrombie & Kent’s worldwide travel services.”

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The Hideaways Club, a property investment company specialising in the management of a collection of international luxury property Funds, picked up two prestigious awards in the first two months of 2011. Destination Club News awarded the company Best International Destination Club 2010 for the second year running and Fractional Life presented the company with the Best Destination Club 2010 award.

Commenting on the awards Nick Bettany, CEO of The Hideaways Club said, “Receiving these two awards is a great way to start the year and is a further endorsement of our unique proposals – the Classic and City Collections.  Both our Funds offer a great combination of lifestyle experiences and investment potential. The extremely positive testimonials we have received from our members underlines our belief that membership of The Hideaways Club is the logical way forward to owning international properties.”

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Ultimate Escapes, Inc. (OTCBB: ULEI and ULEI-W) (the “Company”), one of the world’s largest luxury destination clubs, today announced that the Company is now trading on the OTC Bulletin Board (the “OTCBB”) with the ticker symbols ULEI for its common shares and ULEI-W for its warrants. The Financial Industry Regulatory Authority (FINRA) cleared the request of the Company for trading on the OTCBB for the Company’s common stock and warrants earlier today.

Ultimate Escapes continues to offer the full transparency, financial accountability, market exposure and credibility inherent in being a publicly-traded company, making the Company the only pure-play, public destination club in the world with full financial disclosure.

About Ultimate Escapes®
Founded in 2004, Ultimate Escapes is the largest luxury destination club as measured by number of club destinations, and the second-largest destination club as measured by number of members. Ultimate Escapes offers club members flexible access to a growing collection of hundreds of multi‐million dollar private residences and luxury hotels in more than 150 global club and affiliate destinations. Locations range from chic urban apartments to charming beach cottages, spacious five-bedroom homes to an 80-foot private yacht. Each trip is coordinated by experienced, knowledgeable staff, trained to handle every vacation detail. Additional information about Ultimate Escapes and its club and membership offerings can be found at www.ultimateescapes.com.

About the OTCBB
The OTCBB is a regulated quotation service operated by FINRA that displays real-time quotes, last-sale prices, and volume information in OTC equity securities. It is a quotation medium for subscribing members, not an issuer listing service. An OTC equity security generally is any equity that is not listed or traded on a national securities exchange. OTCBB securities include national, regional, and foreign equity issues, warrants, units, ADRs, and Direct Participation Programs. More information is available at http://www.otcbb.com.

About Pink OTC Markets Inc.
Pink OTC Markets Inc. is a financial information and technology services company that operates an inter-dealer electronic quotation and trading system in the Over-the-Counter, or OTC, securities market. It is not registered with the Securities and Exchange Commission as a stock exchange or a broker-dealer firm. Investors should contact a broker-dealer firm to trade in a security quoted on the Pink Sheets. More information is available at http://www.pinksheets.com.

The Hideaways Club, a leading international property investment Fund that offers its members the opportunity to invest in and exclusively enjoy an entire portfolio of luxury villas and chalets, announced this week that it has formed an exciting alliance with Banyan Tree Private Collection, Asia’s first and most luxurious global destination club.

The alliance takes the form of an exchange partnership, offering members of both clubs a new and unique holiday experience allowing them the opportunity to enjoy reciprocal usage of each other’s properties.

Launched in 2007, The Hideaways Club is one of the largest clubs of its kind with over 25 multi-million dollar properties throughout Europe, Africa, Mauritius and South East Asia. Banyan Tree Private Collection owns premium villas within Banyan Tree resorts in Thailand, Bali, China and Seychelles as well as standalone private villas and luxury apartments in Italy, France, the United Kingdom and Japan. This alliance allows members of both clubs the opportunity to substantially broaden their holiday horizons at no extra cost to their initial membership or yearly fees. Members of each club will be able to use the spare capacity of the other club which will greatly increase property availability for all members.

Commenting on the alliance Mike Balfour, Chairman and co-founder of The Hideaways Club said,” We are thrilled to have formed this partnership with such a prestigious and internationally recognised company. This is a very exciting time in the growth of The Hideaways Club, and with nine additional properties from which to choose the alliance opens up a whole new area for our members to discover and enjoy. This relationship further endorses our commitment to offering the widest range of holiday options available to members of the Club.”

Marina Kleiman, Managing Director of Banyan Tree Private Collection commented, “The Hideaways Club is a perfect fit for us and totally reflects the luxury, quality and service that our members have come to expect. This will give them the opportunity to visit some of the most exotic and exciting locations around the world in the comfort and style for which the Banyan Tree Private Collection is renowned.”

The properties of both clubs are serviced by their own concierge operation who will handle all reservations and requests thereby removing all the hassles, unforeseen financial pitfalls and headaches associated with booking a holiday in order to ensure a relaxed and memorable experience.

Membership of The Hideaways Club is rapidly becoming recognised as the most financially astute way of investing in overseas property that combines a unique investment with a luxurious lifestyle, offering members a wide variety of holiday options while at the same time benefiting from medium to long term growth on their investment.

Quintess, LRW is thrilled to announce a new enclave on the enchanting Caribbean island of Saint Martin, the latest addition to the Club’s portfolio of more than 40 coveted destinations worldwide. The enclave is located within the superlative La Samanna Resort & Spa, a secluded paradise on the French side of the island offering extensive privileges, activities and services to Quintess, LRW Members. The Club is initially bringing on two free standing villas, each with a private infinity pool and panoramic views of the Caribbean Sea, for stays as of February 20, 2010.

With the best homes and availability in the destination club industry, the Club’s financial strength and stability, and attractive payment options, Quintess, LRW continues to welcome new Members. Now with 525+ Members, the Club’s growth in turn allows Quintess, LRW to add breadth and depth to the home portfolio and enhance its Members’ travel opportunities. This year alone, in addition to the new Saint Martin enclave, Quintess, LRW has opened a second home in La Quinta, California, and created its fourth and most recent enclave environment in Aspen, Colorado with the addition of two slope-side homes adjacent to, and receiving amenities through, The Ritz-Carlton Residence Club.

“We are pleased to open this new enclave of four-bedroom, oceanfront villas in Saint Martin for our Members, building on our portfolio of great luxury homes. These homes, along with the extensive amenities provided by La Samanna Resort & Spa, exemplify the Quintess, LRW experience our Members enjoy,” said Greg Eure, President of Quintess, LRW.

With Saint Martin, the Club’s fifth enclave, Quintess, LRW continues to deliver the best of the best by providing its Members five-star services and amenities within A-list destinations: La Samanna Resort & Spa, which is part of the world renowned Orient-Express Hotels portfolio, is frequently ranked by Travel & Leisure magazine as one of the top 10 hotels for service in the Caribbean.

“This interest from the elite membership of Quintess, LRW reinforces the status of La Samanna as one of the finest residential communities anywhere in the Caribbean, as well as the stature of Orient-Express in the world of luxury real estate. We are delighted to be working together,” said Paul White, President and Chief Executive Officer, Orient-Express Hotels.

The Club’s villas are prominently located within the resort, on a bluff offering sweeping views of the sea, and ideally situated to take advantage of La Samanna’s enviable private beach and comprehensive resort amenities. Also recognized as a Small Leading Hotel of the World, La Samanna truly is an exclusive haven for luxurious living, elegant accommodations, delectable cuisine and family-friendly activities. While many other destination clubs have compounds of condos within resorts, Quintess, LRW knows that family and friends prefer homes with ample space and privacy after a day on the beach, at the spa, or touring the island.

About Quintess, The Leading Residences of the World (quintess.com)
Quintess, The Leading Residences of the World is a luxury destination club that creates highly personalized vacation experiences for its Members. Quintess, LRW provides its Members with access to 80+ multimillion-dollar residences and experiences in 40+ international resort and city destinations, including Aspen, Los Cabos, Florence, Hawaii, Jackson Hole, London, Napa Valley, New York City, Paris, Saint Martin and Tuscany, among countless others. As part of Quintess, LRW’s strategic relationship with The Leading Hotels of the World, Ltd., the Club now offers Q Leading Experiences at select member hotels around the globe. With 525+ Members, the Club remains committed to financial transparency and full disclosure and continues the practice of providing its Members with third party audited financial statements. For more information about Quintess, LRW please call 800.550.0324 or visit quintess.com.

About Orient-Express Hotels (orient-express.com)
Orient-Express, the name behind an elite collection of travel experiences, first came into being in 1883 as one of the world’s most exciting and indulgent train journeys. Today those same two evocative words also embrace hotels, cruises and other luxury rail adventures in 25 countries, across five continents. The company’s overriding commitment to providing the highest quality of service, products and amenities in its hotels, trains and cruises is also a standard in its real estate developments. In addition to Porto Cupecoy, Orient-Express is currently offering luxury lifestyle residences at The Villas at La Samanna (Saint Martin), Keswick Estate (Charlottesville, Virginia) and Napasai (Koh Samui, Thailand). The company owns developable land in Madeira; Riviera Maya, Mexico; and St. Michaels, Maryland.

New Elite Property within the Lungarno Suites Features Views of the Ponte Vecchio, Further Expands Club’s Portfolio of Luxury Destinations

Ultimate Escapes, Inc. (NYSE Amex: UEI and UEIWT), one of the world’s largest destination clubs, today announced the addition of a new Elite Club residence within the Lungarno Suites in Florence, Italy. Featuring views of the historic Ponte Vecchio bridge arched over the Arno River, this acquisition further expands Ultimate Escapes’ current collection of luxury properties around the world, offering members the very best selection in destinations as well as memorable experiences with loved ones.

“This spectacular Elite Club property in the Lungarno Suites in Florence helps to further round-out our international destination collection,” said Jim Tousignant, CEO and president of Ultimate Escapes. “The art, culture and history of Florence make it a very special addition to our portfolio. Our members now have a place they can call home in this spectacular city.”

Located on Lungarno Acciaiuoli, next to Ponte Vecchio, one of Europe’s oldest bridges, the Lungarno Suites are unsurpassed in design, style, views and amenities. Lungarno Suites is dedicated to providing guests with the comforts of home without giving up the services, amenities and comforts of a luxury hotel. The Elite property features 2 bedrooms, 2 baths, and more, all within a well-designed layout. The suite’s expansive
windows showcase the splendors of the city creating a striking experience of incomparable light and beauty, providing magnificent views of Florence and Ponte Vecchio, as well as unforgettable sunsets.

Luxury Leisure Properties International LLC (LLPI), an international advisory and management company servicing developers and investors in luxury mixed-use hotels and resorts, helped to facilitate the relationship with Ultimate Escapes. “We are proud to offer Ultimate Escapes members access to this unique urban lifestyle resort in the heart of Florence,” said Luca Franco, president of LLPI, based in Chicago. “We are
always seeking ways to maximize value for our real estate assets through creative strategies and innovative partnerships with like-minded businesses. Ultimate Escapes represents the ideal synergy.”

“Lungarno Hotels and Lungarno Suites are committed to offering visitors an experience that conveys hospitality, elegance, sensitivity and culture – values that mirror the foundation of our family business,” said Leonardo Ferragamo, chairman of Lungarno Hotels. “Ultimate Escapes’ members are an ideal fit for Lungarno Suites given their commitment to quality time with loved ones. We are thrilled to offer them these quintessential values native to our Italian character.”

As with every Ultimate Escapes experience, all conceivable comforts will be available to members. Features and services include reception service 24 hours a day, housekeeping service twice a day, concierge, laundry service, free high speed Internet, satellite TV, CD player, DVD player, A/C and more. On request services include limousine, valet parking and video conference systems. Members of Ultimate Escapes will also enjoy access to other Lungarno Hotels facilities in the heart of Florence including free use of the gym in the Continentale, invitations to exhibitions in the Gallery Hotel Art, special facilities and services at Lungarno Details Store, and special services at Borgo San Jacopo Restaurant, the Fusion Bar & Restaurant, Bar & Sky
Lounge Continentale and Lounge Bar Lungarno.

About Lungarno Suites
Lungarno Suites was inaugurated in January 2002 in Florence as an exclusive project of Design residence by Lungarno Hotels, the hotel management company owned by the Ferragamo family. Lungarno Suites is part of the international network “Small Luxury Hotels of the World.” Lungarno Suites, directly facing the Arno River and the Ponte Vecchio, offers guests the sensation of having a home in Florence without giving up the services and comforts of a hotel. Forty-four suites, consisting of studio suites, one bedroom and two bedroom suites, have a contemporary personality: a smart and functional design that is the natural evolution of Hotel Lungarno’s character, the progenitor of a new hotel generation within the company. Lungarno Suites represents a diversified form of personalized hospitality within the hotel company. Along with the other projects, Lungarno Hotels seals the quality of accommodating guests that are travelling for either business or pleasure with a unique and valuable way of being in Florence and in its surroundings. Additional information can be found at www.lungarnohotels.com.

About Ultimate Escapes®
Founded in 2004, Ultimate Escapes is the largest luxury destination club as measured by number of club destinations, and the second-largest destination club as measured by number of members. Ultimate Escapes offers members flexible access to a growing collection of hundreds of multi‐million dollar private residences and luxury hotels in more than 150 global club and affiliate destinations. Locations range from chic urban
apartments to charming beach cottages, spacious five-bedroom homes to an 80-foot private yacht. Each trip is coordinated by experienced, knowledgeable staff, trained to handle every vacation detail. Additional information about Ultimate Escapes and its club and membership offerings can be found at  www.ultimateescapes.com.

The 11th annual event draws a decent crowd despite economy

The 11th Annual Vacation Ownership Investment Conference (VOIC) was held September 14-17, 2009 at the Peabody Hotel in Orlando, Florida – a venue known for its quirky longstanding tradition of “marching” ducks in and out of the library each day at the designated time like clockwork.

VOIC itself seems to run like clockwork as well. But while the yearly event has occurred regularly for more than a decade, there were some doubts this time around given market conditions. Not that the conference wouldn’t be held – its organizers remained committed throughout – but that attendance would be soft. Many people were pleasantly surprised that the event actually did happen, thinking that it would be canceled like some other industry meetings.

But just over 500 industry professionals attended the event – and while that is down from the previous year’s 626 official attendees, conference organizers were very pleased thinking attendance might be as low as 300 to 400 people. What’s more, 20% of attendees were based outside the United States, which is an increase year-overyear – and a fulfillment of the intent of VOIC to help educate potential new entrants to the industry, whether they are involved with timeshare, fractional, private residence club or destination club projects. And the feedback from attendees was that the conference went extraordinarily well.

Networking and More
Following tradition, VOIC kicked off with its golf networking event, this year held at Shingle Creek Golf Club on its David Harman-designed course. Back at the Peabody, a fundamentals-oriented session and welcome
reception were held on the first day of the conference as well, but most the real takeaway content of the conference would be found during the many informational, educational and networking sessions occurring over the following two days.

A concerted effort is made to reach out to related industries (such as golf-course, hotel and second-home development) to help educate them on and draw them into shared ownership. The introductory sessions are
specifically geared to accomplish this goal. At one of these sessions, audience members were asked to raise their hand if they were a developer who was not in the industry but was currently exploring it. More than half of the approximately 300 in attendance did so. The conference reinforces the point that there are still plenty of opportunities in the vacationownership industry. In fact, actively lending companies – including several conference sponsors – were at the 2009 VOIC.

Despite the challenges in the marketplace, industry professionals were busy conducting business at and around VOIC during these four days in Orlando.

Knowledge Sharing
Perhaps what is most intriguing is the amount of insight industry experts are willing to share in an open forum. Those listening in could easily glean the benefit of years of experience in development, marketing and sales, finance and other key areas.

This year’s keynote speakers offered volumes of knowledge as well. A particular highlight was the irreverent and opinionated Robert Genetski, Ph.D., a featured conference luncheon speaker. Genetski, an interest-rate
forecaster and investment banker known for his research regarding and advocacy of classical economic principles, was an energetic and entertaining speaker who aptly held the interest of the crowd despite being an expert in a relatively dry field. Genetski’s criticisms of the U.S. Federal Reserve and multiple White House
administrations were delivered with insightful observations and sharp wit.

In what has become an expected and much-looked-forward-to event each year, Peter C. Yesawich, Ph.D., chairman and CEO of the Ypartnership agency, served as a featured luncheon speaker as well. Yesawich updated the crowd on the latest results from the widely anticipated National Travel Monitor, in which he explained travel and leisure patterns and how they are evolving. In addition, Yesawich also shared highlights from a recent survey of the resort real estate interests and preferences of affluent travelers.

Resort Tours
The fourth and final day of the conference comprised road trips to various Orlando-area resorts so that industry newcomers could see first-hand the daily operation of a successful project. This year, tour attendees chose among three visitation options that represented different products: Floridays Orlando Resort, which is a condohotel; Westgate Lakes Resort & Spa, representing independently branded timeshare; and Marriott’s Lakeshore Reserve at Grande Lakes, a hotel-branded timeshare resort.

The dates for next year’s Vacation Ownership Investment Conference have been set already: the 12th annual event will take place October 4 through 7, again at the Peabody Hotel in Orlando. For more information, visit
www.VacationOwnershipInvestment.com.

VOIC: Why You Should Attend and What You’ll Get out of It
The Vacation Ownership Investment Conference is one of the top industry events, focusing on the successful resort financing, development, branding, marketing, selling and management of vacation ownership properties. Industry professionals and those looking to enter the industry gain multiple benefits by attending:

- Discovering how vacation ownership can maximize a project’s earning potential

- Learning the latest on acquisition development and end-loan financing

- Exploring the boom in fractional resorts and private residence clubs

- Making valuable contacts, including developers, hoteliers, lenders, vacation ownership experts and government tourism officials

Attendance is geared toward resort developers considering or currently developing any type of vacation ownership product; lenders eager to learn about vacation ownership financing, and interested in meeting new and current vacation ownership developers; and existing players looking for capital or development opportunities.

Each year, the Vacation Ownership Investment Conference distributes to attendees complimentary copies of research studies and reports specifically created for the shared ownership industry. This year’s conference-goers received the following data, which has a retail value of US$1,500:

- Financial Performance 2009 Edition: A Survey of Timeshare & Vacation Ownership Companies – published and sponsored by the ARDA International Foundation, and conducted by PriceWaterhouseCoopers – helps in understanding overall economics of the industry and in tracking industry trends

- State of the Vacation Timeshare Industry, 2009 United States Study – published by the ARDA International Foundation and compiled by Ernst & Young – presents key characteristics of the U.S. industry

-Economic Impact of the Timeshare Industry on the U.S. Economy – commissioned by the ARDA International Foundation and compiled by PriceWaterhouseCoopers – is a detailed analysis of the direct, indirect and fiscal impacts the industry has on the U.S. economy

- Vacation Timeshare Owners Report 2009 Edition – commissioned by the ARDA International Foundation and compiled by Penn, Schoen and Berland Associates – evaluates various attributes of long-term owners and recent timeshare purchasers

- The Affluent Shared Ownership Buyer: 2009 Market Profile – drawn from the Ypartnership 2009 Portrait of Affluent Travelers – offers an in-depth exploration of the lifestyles, social values, travel habits and resort real estate preferences of the top 8% of U.S. households

- Affluent Market for Vacation Homes: Full and Fractional Ownership and Destination Club Membership 2009 – published by the American Affluence Research Center – tracks the behavior, attitudes and
preferences of the wealthiest 10% of U.S. households

Visit www.VacationOwnershipInvestment.com for more information.

As 2010 quickly approaches, most of us are hopeful, if not optimistic, that the recession and the worst of its
consequences are behind us and that the target market, the affluent consumer, will be in a financial position that allows them to increase their spending.

As you focus on what lies ahead for the private residence and destination club markets (which are the focus of this article and will be referred to as shared vacation ownership even though that term normally applies to typical timeshare and fractional product) and how you can increase sales for your products, you will need to have a measure of optimism.

For purposes of this article, the affluent market is defined as the wealthiest 10% of U.S. households, which includes 11.4 million households with an average net worth of US$3.1 million and an average income of US$256,000 according to the research of the Federal Reserve Board.

Understanding Where Shared Ownership Should Be Focused
Recent studies by the American Affluence Research Center support three primary observations about the shared vacation ownership industry. These observations are keys to understanding where the industry should focus going forward.

First, the value of the homes (and thus the price points of shared ownership vacations) and their locations may be inconsistent with what some important segments of the market want.

Second, we have concluded that despite the impressive growth of the shared vacation ownership businesses in recent years, the affluent market is a very large and virtually untapped sales opportunity for private residence and destination clubs.

Third, the affluent market is somewhat ignorant of the shared vacation ownership concepts and needs to be better educated to understand the private residence and destination club concepts and the benefits and appeals of each.

The relatively limited familiarity with PRCs and destination clubs among the affluent is rather surprising, especially given the growth in recent years in the number of PRCs and destination clubs, their marketing activities, and their media coverage. We believe that once the affluent have been better educated about the concepts of PRCs and destination clubs, the benefits and appeal of these two concepts will likely lead to a surge in sales that equals or exceeds the impressive rate of growth achieved in the years preceding the recession. This is good news for the industry and a reason to be optimistic.

Understanding the Size and Composition of the Affluent Market
It is imperative that the affluent market not be viewed as a single, homogeneous population. At upwards of 11.4 million households, the affluent market is so large it can be segmented in many ways. According to AARC’s study of the affluent and shared vacation ownership markets, the most likely target for PRCs and destination clubs is the approximately 6 million households that represent the wealthiest 5% of all US households. These households have a minimum net worth of US$1.5 million and/or a minimum income of US$200,000 or more.

PRCs and destination clubs compete with full vacation home ownership. A closer look at the affluent market for full ownership of vacation homes reveals several key points to consider. First, 2.5% of the affluent market plan to build or buy a vacation home in the next 12 months (from AARC Fall 2009 survey). This represents a potential market of almost 300,000 vacation home purchases.

While the percentage of the affluent market that plans to buy a second home in the next 12 months is smaller than it was prior to the recession, it still represents rather substantial absolute numbers. These are potential buyers for shared ownership vacations if they can be educated on the advantages of shared ownership vacations versus fully owned vacation homes. Since full vacation home ownership is not widespread across all segments of the market, this leaves a huge market (at least 70% of the affluent market own only one home) to pursue.

Full vacation home ownership is strongest among the top 10 percentile of the affluent market, those one million households with a minimum US$6 million net worth. Over half (54%) of this group owns a vacation home that has an average value of US$1.3 million.  This averages about two-thirds the value of the primary residence. On average, their vacation home is over 1,000 miles from the primary residence. This suggests seasonal rather than weekend usage. These factors are all clues as to how to plan the price points and locations of shared ownership vacations to be promoted to this group.

Only about 12% of this group owns some form of a shared ownership vacation. This group might be targeted with appeals based on trading their fully owned vacation home for the benefits of a shared ownership vacation. Even the half with no vacation home might be targeted with similar appeals reflecting the advantages of shared ownership vacations versus full ownership. Marketers of shared ownership vacations might want to focus their offerings on vacation homes in the US$1 to US$1.5 million range of value within 1,000 to 1,500 miles of the target market’s primary residence.

Among the other 90% of the affluent market (about 10 million households), only about a quarter report full ownership of a vacation home, which has an average value of about US$650,000. This averages about twothirds the value of the primary residence. On average, the vacation home is less than 700 miles from the primary residence. Over half are within a day’s drive (299 miles), with the largest percentage within 99 miles. This suggests frequent usage during the year rather than seasonal usage. Again, these factors are all clues as to how to plan the price points and locations of shared ownership vacations to be promoted to this group.

Only about 15% of this group owns some form of a shared ownership vacation. This group might be targeted with appeals based on the financial advantages (especially potentially lower up front investment and maintenance expenses) of shared ownership vacations as compared to full ownership of a vacation home. Marketers of shared ownership vacations might want to focus their offerings on vacation homes in the US$750,000 range of value (to create attractive up front costs) within 100 to 300 miles of the target market’s primary residence.

In summary, over 60% of America’s most affluent households did not own any of the second home options listed in the spring 2009 survey, which included time shares, full ownership of vacation homes, PRCs, and destination clubs. The group reporting the least access to a vacation home was composed of the less affluent respondents. Yet, many of them have the resources to afford a shared ownership concept. This is the same group, however, that is least familiar with the concepts of shared ownership vacations.

Familiarity with Shared Vacation Ownership Concepts Is Limited
Both the spring 2007 survey and the spring 2009 survey of the American Affluence Research Center show that 6 in 10 of the affluent market indicate no familiarity with either the private residence or destination club concepts. These results were generally consistent with a fall 2006 survey by PriceWaterhouseCoopers for Interval International in which 41% of their respondents said they had “heard of” fractional ownership.

Familiarity with the two concepts did not seem to vary significantly by age or gender. However, familiarity with the two concepts did increase as income and net worth increase. While this indicates the best prospects are starting to get the message, there is still much room for improvement.

The stagnant numbers for familiarity with industry products is stunning and indicates that current marketing efforts should be re-examined and new approaches developed. The overall sales and marketing models now being employed should be reviewed to assess why they have not been more effective thus far.

In its efforts to increase the appeal of its products and pricing in order to grow the business, the industry has introduced various pricing plans, purchase incentives, and product line extensions (including cruises, tour vacations, and private jet flights). The industry may have done itself a disservice by expanding the number of product and pricing options that have been created and offered to the market.

Both the PRC and destination club concepts involve some degree of complexity. The concepts are not easily explained or understood by the consumer. The introduction of various pricing plans and product variations and product line extensions has probably added to the complexity of the concepts and thus consumer confusion. If not confused, at best the consumer lacks confidence in having real familiarity with the concepts.

Until the market has a better understanding of the basic concepts, it might be best to minimize multiple pricing strategies and line extensions and try to simplify the product and it pricing. The diversity of product and pricing features might be better left for a time when market has become more mature.

Three Key Conclusions
The messages for the shared vacation ownership industry seem clear. First, the basic product (home values, location, and intervals of use) and pricing strategies should be revisited and perhaps both simplified and better tailored to certain segments of the affluent market. For the more affluent market segments, homes of US$1 to US$1.5 million value for both private residence and destination clubs might be more consistent with the product and pricing interests of the target consumer. For the less affluent market segments, homes with a value in the US$750,000 range within 100 to 300 miles of major cities could make an attractive product and price proposition.

For simplification, the options for features such as cruises, land tours, and private jet services could be eliminated. While the cruises and land tours are understandably popular features for many, these options seem to confuse or detract from the basic concept of vacation homes. In addition, our research indicates private jets are rarely used by people with less than a US$20 million net worth, which represents a very small portion of the target market for private residence and destination club product.

Second, the affluent market needs to be better educated to understand the private residence and destination club concepts and the benefits and appeals of each. Simplification of the product and pricing could contribute to this process.

Finally, despite the impressive growth and increased visibility of the shared ownership businesses in recent years, the affluent market lacks confidence in its familiarity with the shared ownership concepts and thus is a very large and virtually untapped sales opportunity for private residence and destination clubs.

If the industry can effectively address these issues, I am optimistic that the shared vacation ownership industry will regain momentum as affluent customers begin to recover from the recession and increase spending on vacation properties.

Ron Kurtz is President of The American Affluence Research Center, which specializes in surveys and mailing lists of the affluent. He is the founder of The Management Resource Group, which provides strategic marketing consulting services to the travel and hospitality industries. He has consulted to such companies as The World of ResidenSea and The Four Seasons Ocean Residence Club. Ron’s experience includes 20 years in senior management positions in the cruise, airline, and hotel industries. He has served as the president or chief marketing officer of four cruise lines.

Ron earned his MBA degree at the Harvard Graduate School of Business and his BBA degree at the University of Texas. A frequent writer for trade publications and speaker at industry functions, he is often quoted in the media as a recognized authority on the affluent market and the travel industry.

Announced today, The Ritz-Carlton Destination Club, an equity-based, luxury destination club, and Marquis Jet(SM)*, the leader in private jet cards, have forged a new partnership.

For the benefit of the Club Members and Jet Card Owners, this alliance presents the opportunity to blend the very best in the world of private jet cards with the foremost purveyor of inspiring vacation home experiences.

“Our discerning Ritz-Carlton Destination Club Members value the many conveniences Club membership provides,” said Peter J. Watzka, executive vice president and chief operating officer for The Ritz-Carlton Development Company, Inc. (an affiliate of The Ritz-Carlton Hotel Company, LLC). “Now, they can also enjoy simplicity and peace of mind when they join the Marquis Jet Card(SM) program, backed by the NetJets fleet.”
“The two brands are a natural complement to one another providing ease in air travel and vacation home living,” continued Watzka.

“We look forward to introducing The Ritz-Carlton Destination Club to Marquis Jet Card Owners.” “The Marquis Jet Card program will change the way Club Members travel,” said Mark Sage, executive vice president, business development for Marquis Jet. “Members will be able to fly on their own schedule and remain in control. With consistent, high-quality service and guaranteed availability, the Marquis Jet Card program will enable a new level of efficiency and productivity in Club Members’ personal and professional lives. It’s the perfect program to enable Ritz-Carlton Destination Club Members to travel to and from their favorite properties with ease.”

Marquis Jet Card Owners value having access to the convenience, quality and safety of the world’s premier fractional aircraft ownership program, NetJets, 25 hours at a time with no long-term commitment. Furthermore, Marquis Jet Card Owners select from 10 different aircraft types to meet a broad range of aviation needs. Club Members who contact Marquis Jet will receive a complimentary aviation consultation that will assist in matching their individual needs to the ideal aviation solution.

The Marquis Jet fleet is provided by NetJets through an exclusive alliance between the two companies. NetJets, a Berkshire Hathaway Inc. company, is the worldwide leader in fractional jet ownership. NetJets owns the world’s largest and most diversified fleet of more than 800 aircraft, staffs the most highly trained and experienced pilots, and provides the world’s safest and most secure private travel solutions.

Depending on a Ritz-Carlton Destination Club Member’s vacation aspirations, they may select a Home Club Membership which provides a one- to four-bedroom, titled residence and guaranteed usage at their favorite resort every year, or a deeded Portfolio Membership which affords the opportunity to discover a wide variety of locations, accommodations and experiences around the globe through the use of Club points.

The new Hotel Exchange Program also enables Members who enroll in a Portfolio Membership to utilize a portion of their Club points at more than 70 Ritz-Carlton hotels and resorts. Club Members benefit from an exceptional level of service as they are paired with their very own member experience manager who serves as their primary travel liaison. The member experience manager coordinates everything from airport pick-up and pre-arrival provisioning of the residence, to unpacking and pressing pre-sent garments and arranging a complete vacation itinerary.

Membership pricing ranges from the low $100,000s – low $800,000s per membership. A typical membership is approximately $250,000.

About Marquis Jet
Marquis Jet is the leader in private jet cards. Through its exclusive alliance with NetJets, a Berkshire Hathaway Inc. company, Marquis Jet provides the convenience, quality and safety of the world’s premier fractional aircraft ownership program 25 hours at a time. The Marquis Jet Card is available throughout North America, catering to businesses and individuals who desire access to the world’s best fleet and service.

Business Traveler Magazine, Executive Travel Magazine, Robb Report and Flight International have recognized the Marquis Jet Card as the number one private jet card program. The Marquis Jet Card program is operated by NetJets Aviation, Inc. or NetJets International, Inc. under their respective FAR Part 135 Air Carrier Certificates.
For additional information, visit the Company’s website at www.MarquisJet.com or call 1-866-JET-1400. Please refer to Marquis Program Documents for more complete details.

About The Ritz-Carlton Destination Club
Combining innovative membership options for luxury travel around the world with the legendary services of The Ritz-Carlton Hotel Company, L.L.C., The Ritz-Carlton Destination Club offers an inspirational vacation lifestyle tailored to each Member’s needs and expectations. This year, on its 10th anniversary, The Club was awarded Robb Report’s distinction of top fractional vacation home program for their 21st annual “Best of the Best” issue. For information, please visit www.ritzcarltondestinationclub.com. The Club can also be found on Facebook and Twitter (@RitzCarltonClub).

*Marquis Jet is an independent company not affiliated with NetJets and through its exclusive U.S. alliance sells the Marquis Jet Card

by Campbell Jefferys

Brent Handler

In just a few short years, Exclusive Resorts has gone from an idea born on a Hawaiian beach to being the world’s premier vacation club, now with over 3,400 members.

Over 400 luxury vacation residences are available in prime locations around the world, from beachside villas to mountain cabins to cruise liners. Brent Handler, cofounder and president of Exclusive Resorts spoke about the outstanding progress his company has made, about the burgeoning luxury destination club industry, and about why it’s better to join a club rather than invest in a vacation home.

Exclusive Resorts has achieved tremendous success in just three years. How do you account for such success in such a short time?

I think there are three main factors to our success. First, we offer more choice and flexibility than anyone else. Second, our quality is second to none. And third, we have a fantastic group of employees, both here in Denver and on site around the world.

As far as the industry itself is concerned, at first I think members were just attracted to the idea of an effortless vacation. Before I co-founded Exclusive Resorts, when I went on vacation I had a choice: I could stay in a hotel or a resort, I could rent a villa, or I could take on the headaches of buying a second home or a timeshare. And while each of those has its benefits, they all come with their own set of problems. That’s not the case with Exclusive Resorts. Our members enjoy fantastic private residences, all the amenities and convenience of a luxury resort, and dozens of destinations like a world-class hotel chain. And that’s without the uncertainty of rentals or the cost to own and maintain a second home.

The luxury destination club market is currently very competitive. What edge does Exclusive Resorts have over the competition?

It comes down to flexibility, ease and value. We offer over 400 luxury residences in 37 of the world’s most desirable destinations. We partner with amazing resorts and amenity providers. All the usual work of planning a vacation is made very easy for our members, thanks to our dedicated Member Services Managers and Onsite Concierges. And you can’t beat the value of getting 400 homes for the cost of a down payment on one, without any of the hassles.

You currently have residences in North and Central America, the Caribbean, and Europe, with more under development. Will we see further developments in the near future?

We have an incredible real estate team that assesses locations, development options and amenities to find projects that will be a fantastic fit for our members. We know where our members want to travel because we listen to them very closely. We survey our members regularly and follow up on their suggestions for new destinations. We are always examining exciting opportunities that will answer the specific requests we receive from our members.

We live in a modern world of time constraints and fluctuating property prices. What advice can you give to customers choosing between buying a vacation home and joining a vacation club?

Any prospective member needs to sit down and evaluate their vacation needs before they make a decision. If you just want to go to the same place every year, maybe you don’t need a destination club. For some, a second home in one location is right for them. But for those who want to experience vacations in locations around the world, who crave that variety, a club like ours provides that without the usual headaches. There’s no maintenance, HOA, tax, or real estate deflation to worry about. And you don’t have to become an expert on Costa Rica or Paris or Puerto Vallarta to have an amazing vacation there. The way I like to put it is, the first place our members should see on vacation is the beach, not the grocery store. That’s the way travel should be.

Is this the future of luxury travel? Will we see more people shying away from investing in property and turning instead towards upmarket clubs?

Our industry is still very young, but it’s growing at an unbelievable rate. Exclusive Resorts has grown from fewer than 100 members a few years ago to more than 3,400 members today. As awareness grows, so does our club. With the current concerns about declining real estate values, we predict that many will take a look at joining a luxury destination club as an alternative.

The market for luxury destination clubs is actually larger than many people think. We believe this model has the potential to continue to grow into a large piece of the luxury travel industry. Luxury destination clubs put the luxury travel lifestyle within reach of a greater percentage of the population than ever before by eliminating the headaches and bringing together everything people want in one easy package.

How are luxury destination clubs different from basic timeshare options and fractional investments?

Timeshares and fractional investments operate on a completely different business model. The most fundamental distinction is that luxury destination clubs don’t sell any real estate interest to the purchaser. Basically, we operate like a country club. Members pay dues and have access to the club’s services; in our case, to over 400 multi-million dollar vacation residences. With timeshares, you purchase an interest in a particular plan and a specific property and typically have a designated time of year to use your share. With Exclusive Resorts, members can vacation at any time of year they want and at any one of our 37 destinations around the world. And our membership fee is 75 percent refundable.

What does the future hold for Exclusive Resorts?

More memorable vacations for our members. We are really excited about the future of Exclusive Resorts. We believe in providing our members with the most rewarding vacation experiences possible and we have a fabulous team in place in order to do this now and in the years to come.

Todd Harris

Giving Members the Best

It is the quality of service which sets the leading luxury destination clubs apart from the rest. Todd Harris, senior vice president of Hospitality & Member Services, spoke about the services offered by Exclusive Resorts.

What kinds of services are available for members of Exclusive Resorts?

Exclusive Resorts combines the best of all worlds. You get a spacious, elegant private home, the amenities and convenience of a luxury resort, and the breadth of destinations of a world-class hotel chain. It’s a completely new way to travel. We provide dedicated Onsite Concierges who look after members around the clock and make sure everything is taken care of. They buy groceries, coordinate the daily housekeeping, make the arrangements if you want a private chef and provide all the standard concierge duties including making reservations and offering advice on the local attractions, as well as unique personalized service designed to make members feel at home from the moment they arrive.

With nearly 400 residences available, do members often seek advice when choosing their holiday location?

Our members have several options to choose from. We have a terrific Member Services team in our Denver office which looks after every aspect of planning members’ travel. Each club member is assigned a dedicated Member Services Manager who learns the member’s travel preferences and can help them make the best decisions so they can get the most out of their vacation. We also have a proprietary member reservation system called ER Compass® that empowers those members who prefer to “do it themselves” to research every destination and residence in detail. And we’ve partnered with leading brands including American Express and Marquis JetSM to provide even more options to uniquely customise every vacation.

You worked for 14 years with the Ritz-Carlton Hotel Company. Why should customers join a destination club instead of opting for a five star hotel or resort?

I think a five star hotel experience, like Ritz-Carlton or Four Seasons, is still a wonderful option for some travellers, particularly for business travel or couples travelling alone. Exclusive Resorts has been successful because we offer members travelling with a larger family or other families an opportunity to really connect with each other during their vacation. Part of why the affluent traveller values time off is to help reconnect with family and friends. Obviously it’s much easier to do this in a spacious four-bedroom residence that really feels like home than if everyone is staying in separate hotel rooms.

While Exclusive Resorts provides similar world-class service and amenities as a hotel, our concierges are more readily available to personally assist with members’ needs. A hotel concierge often has 150 or more rooms of guests and no way to deliver the in-depth personal attention our members get. Finally, the cost of four luxury hotel rooms or suites could easily run over US$5,000 a night making a week-long stay cost close to US$40,000 after paying taxes and service charges. In many cases, this is double what our members pay in annual dues for up to three or four of these week-long vacations.

Ritz-Carlton offers fractional ownership through the Ritz-Carlton Club. How does this club compare with the luxury destination club of Exclusive Resorts?

The Ritz-Carlton Club’s fractional concept works very well for some people. Having managed the Ritz-Carlton Club at Bachelor Gulch, I think they provide a good service experience for travellers who enjoy going back to the same location over and over again. As I see it, Exclusive Resorts membership provides three major benefits over many fractional products. First, the size and quality of the homes. Compare a four-bedroom private residence with a two-bedroom condo that might have neighbours next door, above and below. Second, the amazing variety of residences and destinations. And third, ease of use. We have a very simple and transparent way to plan and book travel, where members can either book themselves or have their Member Services Manager book for them.

Which of the residences are currently in the highest demand?

It may sound like a cliché but it is hard to say that any one location is in the highest demand. Many of our members love the beach and, therefore, we offer a significant number of residences in beach destinations. However, residences in mountain and metropolitan destinations also have great appeal to our members year-round. You could say that our members’ highest demand is variety.

Exclusive Resorts has membership levels that are tailor-made to fit a variety of lifestyles. These range from 10 nights per year for a $160,000 deposit and $13,900 annual dues up to 60 nights per year for $500,000 deposit and $59,900 annual dues. All membership deposits are 75 percent refundable should a member ever choose to leave the club.
www.exclusiveresorts.com