Good Economy = Great Hospitality $$

So, based on the attached data, provided by the US Bureau of Economic Analysis, which includes the latest data related to what happens to hospitality spending after an economic downturn, shows that it far outpaces the overall growth of the economy.

We contribute this to two, main factors. #1. The Coiled Spring Effect. People like to travel. Period. So when they don’t get to or can’t, they become more desirable of a vacation etc. Then, when times are better and discretionary spending bounces back, one of the first sectors to see hyper-growth is hospitality. (letting go of the compressed spring) According to a Post from Terry Christopher Bounds, timeshare and fractional sales lead the way early given the extensive marketing budgets employed by these sales groups. #2. Travel begets more Travel. If your employer is enjoying a growing economy and needs to get various department heads together in a fun place to increase moral etc, he might pick New Orleans. The employee might decide to make a family trip of it or come back again with the family. Once the travel ball gets rolling it is hard to stop. “We all rose to the top of the food chain, over millions of years, by..traveling!”

As we enter a new, more relaxed and business minded regulatory environment and with a rapidly expanding economy, it is my belief that timeshare and related club membership programs are entering another “glory days” decade of growth. Just follow the money. Marriott, Hilton, Wyndham have all completed spins, giving their timeshare development access to their own capital. Bluegreen and Diamond may be poised to also access public funds once again, via spins of their own. Wall Street is currently rewarding such activities. Holiday Inn Club Vacations is building a new, state of the art, corporate campus in Orlando and several large, Mexican developers have completed acquisitions and strategic partnerships with branded hoteliers in an effort to push timeshare related products. Yes, it appears that we have a near perfect storm of variable lining up to make the next several years record setting in the timeshare and fractional business.

See more no non-sense timeshare stuff at terrychristopherbounds.com.