My suggestion for the point rental issue

[koslo]

Well I haven't read these boards for quite some time and I just finished reading through the Point Rental debate thats about 6 pages long. I am sorry if starting a new thread is not appropriate but I had an idea that I know will never happen but I thought I would toss it out there anyway. So here goes:

What if DVCMC controlled the point rental, kind of like a Magical Beginings anytime you wanted it. Any memeber who has extra points can sell them back to DVC for $10 or $15 or whatever per point. Then DVC is allowed to rent these rooms to anyone just like the breakerage (sp?) period. Any profit above the price paid per point plus any extras like daily housekeepeing and admin costs would then go toward reducing our yearly dues. This has 2 benefits: 1) DVC memebers can easily get rid of points that they might not be able to use, and 2) all DVC memebers benefit joint from reduced dues.

This of course assumes that the demand for these rooms at (or close to) the full price exists. I am pretty sure it does. I am sure that Disney has put a lot of work in determine a price that will keep the rooms full and return a tidy profit.

Comments?

Jim Kosloski
BWV

 

[Tigger1]

I do like the idea of DVC buying back those points. I could even see DVC paying less than $10 per point since they would have to make a profit for thier time. Dvc might also be able to get better control to those who rent for profit and those who rent to not lose there points.

Tigger

 

[ckr]

... Weird! I had the very same idea this morning on the way to work! Seems fair to me... Any one else have any feedback?

 

[DebbieB]

When DVC buys back points with Magical Beginnings, income does not go back to the members like with breakage. With Magical Beginnings, DVC becomes the owner of the points and takes all the income. Breakage is DVC renting unused point rooms, the income goes back to the members (because DVC didn't buy the points, they still belong to the members), but I'm sure DVC takes some kind of service fee from it for handling the rental. So with this idea, I doubt DVC would return any income to the members since they would become the owner of the points (for that year). With breakage, DVC isn't taking any risk because if the room goes unrented there's no loss to them.

One concern I would have is that if DVC did this, they would have to put some restriction on the number of points that could be sold back and how often. It would be too easy for members to rent their points back to DVC when they needed cash and DVC would have lots of rooms on their hands to rent.

I really doubt DVC wants to get into the rental business on a large scale. With Magical Beginnings, it was part of a sales strategy to sell memberships.

[This message was edited by DebbieB on 03-21-01 at 10:08 AM.]