New Survey: Affluent Market for Vacation Homes Looks Gloomy for Full Ownership and Private Residence and Destination Clubs
April 21st, 2009 
admin The potential market for vacation homes, including full ownership and private residence and destination clubs, has declined substantially from 2007 levels, reflecting losses in net worth and a negative 12-month outlook for the economy and personal income among the wealthiest 10% of US households surveyed in March 2009.
The American Affluence Research Center has studied this market every 2 years since 2005. The new Spring 2009 survey report includes relevant comparisons to the 2007 survey results.
About 60% of the affluent target market indicates no familiarity with either the private residence or destination club concepts, which represents little or no change from the 2007 survey. Familiarity with the concepts does vary by demographic segment of the affluent.
Among those familiar with the concept, 72% did not name a brand of private residence club with which they are familiar and 82% did not name a brand of destination club with which they are familiar. The majority did indicate recognition of one or more of the 9 brands listed for each concept.
The incidence of access to wholly-owned vacation homes and time share, private residence club, and destination club units was essentially the same as in 2007. Reported plans to seriously consider purchase of one of these options during the next 12 months are about half what they were in 2007.
This new report (21 pages, including 19 tables), provides the following market insight:
• The brands/companies in both businesses with which the affluent report familiarity and how this has changed since 2007.
• The brands/companies in both businesses that the affluent recognize and how this has changed since 2007.
• Which segments of the affluent have the highest level of familiarity with the two concepts and with the brands in each business.
• Current ownership among the affluent of wholly-owned vacation homes and time share, private residence club, and destination club units.
• Plans by the affluent to seriously consider purchase during the next 12 months of wholly-owned vacation homes and time share, private residence club, and destination club units.
• Which segments of the affluent have the highest level of ownership or access to a vacation home and which are most likely to consider such an acquisition during the next 12 months.
• The current estimated value of wholly-owned vacation homes and how the values compare to the value of their primary residences and to vacation home values in 2007.
• The usage of vacation homes throughout the year versus seasonally.
• The distance between the primary residence and the vacation home.
Unlike other affluent and luxury market research that is based on surveying online panels of people who are compensated for responding to regular and frequent surveys, our unique direct mail study is based on samples drawn at random from, and representative of, the select population of the wealthiest 10% of US households.
This report is based on the responses of 640 men and women from households with an average income of $290,000, an average net worth of $3.1 million, and average investable assets of $1.4 million. The average age is 56 and 58% are males.
Tags: Affluence Research, affluence surveys, affluent market, destination clubs, luxury market, private residence ownership