Not Familiar to Most of the Affluent Market in New Survey
Miami, Fla. - - May 25, 2007 - - Less than half of the target market for private residence and destination clubs, and similar fractional concepts for jets, cars, and boats, said they are familiar with these concepts in the recently released Affluent Market Tracking Study #11 ™ conducted twice a year by the American Affluence Research Center (AARC).
The following chart shows the percentage of respondents indicating familiarity with each concept. These results are generally consistent with a fall 2006 survey by PricewaterhouseCoopers in which 41% of their affluent respondents said they had “heard of” fractional ownership.
Concept Familiarity | |
| % of Total Respondents | |
| Private Ownership Clubs (Fractional Ownership of a vacation home) | 33% |
| Destination Clubs (membership for access to a collection of vacation homes) | 26% |
| None of the above | 61% |
| Total | 120% |
Among those indicating familiarity with the private residence club concept, half did not name a brand or company with which they are familiar. The other half named an average of 1.37 private residence club brands, with the hotel-affiliated brands the most frequently mentioned.
Among those indicating familiarity with the destination club concept, only one-third named a brand with which they are familiar.
Some brands/companies were incorrectly named as either a private residence club or destination club, thus indicating some confusion about the two concepts.
Among those indicating familiarity with the private residence club concept, about one in five did not check any of the nine (9) listed brands as one they had heard of. Among those indicating familiarity with the destination club concept, over half did not check any of the nine (9) listed brands as one they had heard of.
About 6 of every 10 respondents indicated a lack of familiarity with any of the concepts of fractional ownership of private jets, large boats, or exotic cars. Familiarity with these concepts is somewhat higher among males, those under 60, and those with higher income and net worth.
Concept Familiarity | |
| % of Total Respondents | |
| Fractional Ownership of a private Jet | 36% |
| Jet cards/pre-purchase of flight time on private jets | 16% |
| Fractional Ownership of an exotic car | 6% |
| Fractional Ownership of a large boat/yacht | 11% |
| None of the above | 61% |
| Total | 130% |
The following table shows the percentage of respondents who reported they currently own one or more of the fractional concepts in the survey by the American Affluence Research Center.
Product Category Ownership | |
| % of total respondents | |
| A time share vacation condo or apartment | 15.5% |
| A fractional share of a home at a private residence club | 0.2% |
| A destination club membership for access to a collection of vacation homes | 1.0% |
| A wholly owned second home that you use primarily on a seasonal basis | 13% |
| A wholly owned second home that you use at various times throughout the year | 15.5% |
| A fractional share or club membership for use of a large boat/yacht | 0.2% |
| A fractional share of a private jet | 0.5% |
| A jet card for flight time on private jets | 0.3% |
| None of the above | 61.1% |
| Total | 107.2% |
Approximately 10% of the respondents reported they would seriously consider the acquisition of one or more of the above concepts during the next 12 months. Projections of potential buyer interest over the next 12 months among the wealthiest 10% of Americans can be estimated at 1.1 million for a second home, 78,000 for destination club memberships, 56,000 for fractional home ownership units through private residence clubs, 112,000 for jet card units, and 123,000 for fractional jet ownership units.
Highlights of the national survey of 398 men and women in the wealthiest 10% of American households can be found on the American Affluence Research Center website, http://www.affluenceresearch.org/. The survey participants have an average income of $324,000 and an average net worth of $3.3 million.
The complete 27-page report containing 24 tables may be ordered by calling 305-933-4887 or at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .
