Its the time of year when Fractional Life peers into its crystal ball to identify the 10 fractional trends to look out for in 2010:
1.Traditional timeshare operators broaden their purchasing options with fractional ownership products.
With the well publicized recent success of Seasons Holidays 100% sell out of its Forest Hills fractional development in Spain
it will be no surprise to see other vacation ownership operators innovating their product offerings to reap similar rewards into 2010.
While consumers have become accustomed to staycations , small indulgences and cooking at home, Mintel predicts theyll start occasionally breaking free from the tyranny of value in 2010. Escapism will resonate both in and outside the homes as consumers splurge on big purchases and new experiences.
3 Increased fractional cross category activity
With consumers demanding more from their potential fractional ownership purchase and marketing directors constantly searching for quality fractional savvy leads, we foresee more reciprocal relationships being formed across non-competing fractional categories for joint initiatives and cross sale activity
We reported earlier in the year on how this is already happening with Ritz Carltons recent link up with Marquis Jets in the USA
4 Whole ownership operators complement their resort sales with fractional ownership products.
We predict another grim year for whole ownership developers in Europe, UAE and USA unless forced to innovate with lower price points and attractive alternative sales offerings including fractional ownership products. Weve already reported on a number of fractional developers who have achieved successful sales with a mixed use offering, including Halcyon Hills in Greece and Oceanico Developments in Portugal.
5 Boutique fractionals
With Marriott and other high profile fractional real estate brands publicly announcing a general scaling back of fractional developments and the current financial constraints facing developers, we foresee a rise in the launch and sale of smaller, high quality, strongly branded boutique fractional real estate.
6 Bespoke fractional real estate agencies.
A hot topic, and yet to be professionally delivered into the fractional market outside of the US will 2010 be the year fractional sales agents start to make their mark? We believe theres a fair chance.
7 Green fractionals.
The bar will be raised for individuals, companies and Governments, who will have to demonstrate they care for the environment with the introduction of more and more ecologically sustainable practices. We reported on many commendable green practices from fractional operators in 2009-expect more in 2010.
8 Fractional trade networking
With hundreds of millions of consumers now nurturing some form of online profile, the success of many business networking websites like LinkedIn and Xing should come as no surprise. In 2010 we foresee increased pressure on SME individuals tasked with generating more profitable new business relationships initiated in the virtual world. Why not start now?
9 Real Time Reviews, Tracking and Alerting
Whatever fractional product you’re selling or launching in 2010, trendwatching.com predicts it will be reviewed en masse, live 24/7. Tracking and alerting are the new search, and 2010 will see countless new infolust services that will help consumers expand their web of control.
10 Collaborative consumption – the next consumer trend
Emerging consumer purchasing patterns will abound with start-up companies exploring dynamic and re-engineered business models based around the new market rules and formulae. We will see a major paradigm shift in the consumer’s mindset towards collaborative consumption, made possible by the ever increasing speed with which they are embracing advances in new technology, communication and social media networks, driven by the cost consciousness and environmental necessity. All will offer value, delivering the same benefits and pleasures of ownership with less associated costs and hassles, whilst reducing the environmental footprint. This sharing economy makes even more sense in tough economic conditions, promoting self-fulfillment whilst offering new personal and collective discoveries and experiences.
Hopefully, good news for all involved in the fractional ownership industry then!
We wish all our readers and clients a successful and prosperous New Year.
Notes To Editors
From a fractional jet to fractional real estate, Fractional Life http://www.fractionallife.com is the number one consumer lifestyle brand dedicated to growing the fractional ownership marketplace. The company has 3 divisions: interactive, fractional conferences http://www.fractionalsummit.com and exhibitions http://www.fractionallifeexpo.com.
Issued 7th January 2010