Bright Lights, Big City – The Future Of Vacation Ownership

January 23, 2009 by Fractional Property Ownership, Timeshare & Luxury Travel Magazine · Leave a Comment

Article by Barry Robinson – CEO Wyndham Vacation Resort Asia Pacific

Vacation ownership is one of the fastest growing, most profitable sectors of Asia Pacific’s hospitality and leisure industry. Once the domain of private developers selling set weeks, the sector now includes publicly-traded hospitality companies actively developing a range of products for a plethora of markets, from the ubiquitous full service resort to boutique hideaways and more recently chic urban locales. While the vacation ownership industry continues to experience increased profit growth and mounting interest from consumers as a result of the industry’s evolvement, Wyndham Vacation Resorts Asia Pacific is powering ahead to keep up with demand. Having recently cemented plans for new resorts in Coffs Harbour, Australia; Lake Wanaka, New Zealand and Phuket, Thailand, we are certainly living up to our reputation as the largest vacation ownership company in Asia Pacific.

As the region’s leader, we actively embrace international vacation ownership trends and pioneer the way for these in the Asia Pacific. One such trend is the development of urban properties. Whilst we’re certainly not about to abandon the tried and true of beachside resorts, we are keen to diversify our developmentoptions and expand on our interests in Sydney and Perth with other Australian metropolitan locations and possibly even in Asia. As a development, the urban property attracts a range of different owners, in addition to satisfying an additional need for traditional Vacation Ownership families who frequent beachside resorts. There are owners who simply find the buzz of a big city addictive. Owners attracted by the cultural, entertainment and sporting events a metropolis can offer; owners in search of shopping and cosmopolitan dining, business travellers, couples, families and even singles. The urban escape is a largely untapped market for vacation ownership in Asia Pacific, yet one that has the potential for phenomenal growth.

However it’s not as simple as build it and fill it. The lack of vacation ownership product or development opportunities in Australia’s major cities, like it is in New York, London, and many metropolises throughout the world, is fast becoming one of the biggest restrictions to urban vacation ownership expansion. The result is that we, as developers, have to think creatively about how we can go about increasing our interests. Challenges including how we operate common areas and how are they branded, together with independent external forces, such as heritage-listed buildings or facades, site access, even developmental restrictions, can impact a property’s success. But then these same factors are responsible for producing some of the most unique, innovative and sought-after properties in town.

Having secured a location, the next step is marketing it. In some ways, beachside destinations have an advantage over urban ones in that the consumer is already ‘thinking’ holiday when they see the resort – they want to know about it. Whereas it’s business as usual in the city – a different consumer with a different mindset – they may not even notice the property, let alone consider holidaying there. So to cut through to these new markets we have to be clever in our approach. Do it successfully and an urban vacation ownership property will bring your brand to a swathe of new markets and create tremendous opportunity for growth. As
more and more mixed-use urban properties come online, there’s every chance that vacation ownership’s flexibility and value will make it a real contender for the business dollar. New markets aside, the response to our current urban properties in Sydney and Perth from our existing owner base has been impressive. Even though we don’t actively pursue the business traveller, we know that a number of our owners use their ownerships for this purpose, whilst others simply come to enjoy a ‘city break’.

Wyndham Vacation Resorts Asia Pacific Sydney serves as the perfect base to discover Sydney. Recent major
refurbishment and its convenient location on the outskirts of the CBD, a stones throw from popular
destinations including Hyde Park, Oxford Street and Darling Harbour, make it ideal for business or pleasure.
The refurbishment saw all guest rooms and corridors being re-designed in a natural palette of earthy browns, reds and greens – reminiscent of an Australian landscape – and all rooms updated with wall-mounted flat screen televisions and modern furniture. The Sky and Presidential Suites on the top two floors now feature 42” televisions, a Bose sound system, oven, dishwasher, microwave and in the case of the Presidential Suite, a private outdoor rooftop spa – perfect for a luxurious getaway, an executive retreat,or a special treat for owners wanting a little more.

Similarly, Wyndham Vacation Resorts Asia Pacific Perth also appeals with its location, chic ultra-modern design and proximity to the CBD. Situated in the West Perth business district, Wyndham Vacation Resorts Perth is a short walk from the heart of the city, relaxing Kings Park and the beautiful Swan River. Those in search of retail therapy will be satisfied by the large variety of high-end fashion and quirky boutiques Perth has to offer, while the gastronome and fleetfooted tourist will find more than enough to tempt both palate and endurance. The Club Room & Bar provides excellent business facilities and offers the ideal atmosphere for a business meeting or a relaxed drink with friends before heading out for a bite.

Another factor contributing to the rising popularity of urban vacation ownership properties is the increasing emergence of mixed-use developments. Embraced for its ability to mitigate costs and maximise yield, mixed-use models leverage the stable occupancy of vacation ownership to offset the cost of running a standard hotel. As general hotel occupancy ebbs and flows throughout the year creating a fickle environment and unreliable income for the hotel operator, vacation ownership’s relatively stable income enables mixeduse properties to offer more facilities; pools, spas, restaurants, cafes, bars, retail outlets, in the knowledge that there’s every chance they will have more consistent returns. Whilst everyone stands to benefit from a mixed-use model, the clear winners are guests, both vacation ownership and hotel, as
they have more quality facilities and services at their disposal.

Brand and product are also well served by mixed-use developments. The mixed-use model implemented at WorldMark South Pacific Club by Wyndham Rotorua and Wyndham Vacation Resorts Asia Pacific Wanaka
allows Wyndham Vacation Resorts Asia Pacific to expose our brand to people that we may not have reached through our standard marketing channels. And what better exposure can you get than a first-hand trial? Having experienced our product as non-owners, many resort guests have already sold themselves on the idea of experiencing equitable accommodation globally, every year, for as short or as long as they please and become owners after just one stay at a mixed-use resort.

Yet another trend that Wyndham Vacation Resorts Asia Pacific is taking into consideration is the emergence of fractional ownership. Whilst there are both pros and cons associated with this form of ownership, it is becoming apparent that there is some consumer interest in this trend in the Asia Pacific region, particularly with small group high-end luxury products including apartments, houses, yachts and aircraft. Although we have no plans to offer fractional ownership products as yet,it is definitely a trend we will continue to monitor.

Once again, the old staple of flexibility is coming to the fore, but this time round flexibility is paired with choice. Flexibility in when, where and how long you choose to use your ownership coupled with the choice of accommodation style – beachside resort, urban, mixeduse, fractional and more. The future for vacation ownership therefore can be summed up in one word – ‘more’. More products, in more locations, targeted at more markets. All designed to create clubs with more flexibility. With so much yet to be realised, vacation ownership in Asia Pacific is primed to surge ahead and as the market leaders, Wyndham Vacation Resorts Asia Pacific plans to lead the charge.

The opinion presented in this article is that of the author only and does not necessarily reflect the views and opinions of Wyndham Vacation Resorts Asia Pacific.

Executive Profile
Barry Robinson, Chief Executive Officer, Wyndham Vacation Resorts Asia Pacific

Barry Robinson has been Chief Executive Officer of Wyndham Vacation Resorts Asia Pacific since 2003. With
more than 1,700 staff, Wyndham Vacation Resorts Asia Pacific is the region’s leading and largest Holiday Ownership company and developer of the 40,000 plus Holiday Ownership Club, WorldMark South Pacific Club by Wyndham.

Wyndham Vacation Resorts Asia Pacific develops, markets and sells Holiday Ownership interests, provides consumer financing to Owners and operates 17 resort locations throughout Australia, Fiji and New Zealand using a flexible credits-based Holiday Ownership system. Wyndham Vacation Resorts Asia Pacific is one of three primary consumer brands of Wyndham Vacation Ownership.

A member of the Wyndham Worldwide (NYSE: WYN) family, Wyndham Vacation Ownership is the world’s largest Vacation Ownership business, as measured by the number of Vacation Ownership resorts, units and interests.

Born in New Zealand, Barry’s formative years were spent cutting his ‘tourism and hospitality teeth’ and learning the founding principles for success at several independent hotels and resorts. During this period, Barry amassed a wealth of experience and built an enviable reputation as one of New Zealand’s leading resort managers.

Recognising this wealth of experience, Quality Hotels New Zealand (now M&C Hotels) quickly employed him as General Manager Auckland Region and National Procurement Director.

From 1995, Barry held a variety of senior positions across Asia with industry giants including Choice Hotels International, Swiss-Belhotel International and Swissôtel Worldwide Partner Hotels until he accepted the post of Managing Director Asia Pacific for Choice Hotels International, where he oversaw the company’s entry into new markets such as Japan and China along with the acquisition of Flag Australia and New Zealand.

Now into his fifth year as CEO of Wyndham Vacation Resorts Asia Pacific, Barry has been the driving force behind many significant Wyndham Vacation Resorts Asia Pacific business practice innovations including: A revised corporate structure; renewed customer focus; new property acquisitions focus; and enhancements to resort services and facilities resulting in new sales and customer satisfaction records.

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