Millennials are becoming a key segment of vacation owners, both as first-time buyers and as second-generation owners through inheritance. This up-and-coming group of customers has its own preferences, expectations and needs, according to just-released industry research conducted by Leger for the ARDA International Foundation. This demographic is likely to spur new ways of doing business in vacation ownership, just as millennials have been recasting other industries.
Younger owners are more diverse than older generations, and they can differ from older ones in where they travel and with whom they travel as well as their online habits and use of social media. Compared to those in their late 40s and older, the younger owners do vacations differently.
How They Vacation
- More likely to book their vacation less than six months in advance.
- Will spend more time and money on vacations this year than other groups.
- More likely to have a higher average party size than older generations.
- More likely to want help with booking and arranging travel from the airport and pre-arrival services such as grocery shopping.
Responding to These Trends
Accommodating these needs can lead to higher engagement and satisfaction. In fact, the younger generations are more likely to recommend vacation ownership, including their home resort, than older owners.
Engaging customers on a regular basis is a smart way to better understand and satisfy the preferences and habits of newer, younger owners while also catering to the generations that precede them. Some must-haves:
- Offer digital and mobile-friendly options. This is especially important for younger owners, who plan, book, prepare, pre-check, arrive, experience their vacation, check out and share online. They also want communication about meal reservations, pre-stocking groceries and booking tours.
- Extend omnichannel communications beyond the vacation experience. Develop customized communications programs using multiple channels for new owner welcome packages and membership cards, sales outreach, such as upgrade and referral information, and financial correspondence including timeshare mortgage and annual assessment billing and the homeowners’ governance and elections process.
- Add convenient digital payments. They expedite transactions and offer more choice that will appeal to younger owners, especially applications enabling electronic bill presentment and payment, multiple payment channel options including digital wallets.
If you would like to order a copy of the U.S. Shared Vacation Ownership Owners Consolidated Report, 2018, click here to be redirected to the ARDA Research Library site.
Connect with us at email@example.com to learn more about how we help you create a millennial-focused customer journey.
About the Author
Bryan joined Nordis Technologies in 2016 to manage and grow the company’s already-large vacation ownership client base. He also is responsible for business development and market expansion in the healthcare and financial services markets. Before joining Nordis, Bryan spent more than 21 years with Interval International, a leading global provider of vacation ownership services. Bryan graduated from Northwestern University with a bachelor of science in political science.
Bryan Ten Broek
Vice President - Business Development