Why can't all days have the same number of points values?

[Dean]

Okay, maybe not Christmas, Thanksgiving or Easter, but why can't DVC make the weekday and weekend points value be the same? Would that make having a 7 day stay versus a 5 day (Sun-Thur) stay easier or harder to get or would people probaby blow through their points faster because of booking more days at a time then paying cash for weekends or whatever it is they do? I guess I'm missing as to why the weekday/weekend points values are set up this way.

Thanks for any insight!

All the points systems I know of have some version of this where weekends are higher, usually much higher. Some are 5 times for Fri and Sat compared to week days. Some of them do have some options for a full week that may include certain weeks can only be booked for a full week, or some resorts are only for a full week or those who book at week (or at least a week) get a priority over the rest. Better than DVC in some ways and not in others. Like anything else it simply depends on which side of the fence you fall on and how much effort and $$$ you're willing to invest to be on the right side of the equation.

The problem with that is the DVC point systems is based on all rooms being occupied every night of the year, that is the total number of points they sell. If they start giving point discounts for longer stays, that could throw the system balance. Any change in points requirements has to balance to the same total.

The information I've seen in the past suggests that DVC runs a significantly lower occupancy than most weeks based timeshares tend to do.

 

[DebbieB]

The information I've seen in the past suggests that DVC runs a significantly lower occupancy than most weeks based timeshares tend to do.

But how do they determine how many points to sell at a resort? I thought it was based on all rooms being full for a year. Or do they sell less than that? For example, boardwalk's budget is based on ~4,888,853 points. How did they get that number?

 

[Dean]

But how do they determine how many points to sell at a resort? I thought it was based on all rooms being full for a year. Or do they sell less than that? For example, boardwalk's budget is based on ~4,888,853 points. How did they get that number?

First and foremost, Orlando is still a seasonal location, even for the WDW resorts. They sell points based on what will fill the resort minus a cushion. DVC has never said how much they retain but it's been rumored to be 2-4% with most of the being used for maintenance. But then those that lose points and those that trade points for cash type options create unused inventory. Those that use mostly weekend do also because they use more points per day and those that use mostly weekdays also could contribute because of the orphan weekend days. Inherently any system that allows single day reservations will have a lower occupancy than a full week system simply because it's harder to fit the pieces of the puzzle together. It appears that the general DVC membership loses points not uncommonly. When one trades for CC, etc, DVC does not rent all those rooms either directly or through CRO. What I've been told by DVC corporate in the past is that they average renting about 75% of the cash rooms given up in this manner. For SSR, it is not sold out and those devloper rooms are not consistently rented either. Same for the points bought back under ROFR.

Given the nature of the "flexibility" of the system, if it was sold out consistently, we'd have a lot more people complaining than we do. Most timeshares that find themselves with extra developer inventory have two other ways to dispose of that inventory than DVC chooses to use. They rent full weeks through the exchange company and they do developer deposits to try to get fresh meat in to try to sell to, of course they don't have WDW sitting there as a draw in most cases. Many also do package tours where you get a cheap room but have to tour. One I own also does short notice cheap rentals where all studios are $49 per night (min 2) plus $10 per night per unit size upgrade subject to availability. One can reserve 48 days out if you do it by internet, 45 days by phone.

 

[DebbieB]

That's still not my point. Say they decide to build a new resort. How do they determine how many total points will be available for the resort? I'm not talking about actual occupancy.

 

[Dean]

That's still not my point. Say they decide to build a new resort. How do they determine how many total points will be available for the resort? I'm not talking about actual occupancy.

The points sold will be the number of units times the points for each unit for 52 weeks minus a cushion. Likely about one week's worth or slightly more. DVC has never officially stated, at least to my knowledge, how much they keep back or how much they have done so in the past. The 2-4% numbers thrown around likely come from casual conversations with various CM some of which are probably in the position to truly know. And that amount is c/w what would be expected for maintenance and a minor cushion for orphaned days. It's really simple math. How they determine the points for each unit is a little more complicated but the principles are also simple.

 

[DebbieB]

So, if they started offering points discounts for 7 nights or more stay, wouldn't that throw off the balance of points needed for a resort?

 

[Dean]

So, if they started offering points discounts for 7 nights or more stay, wouldn't that throw off the balance of points needed for a resort?

Possibly but not automatically so. The discount would have to be compensated in some way that could include higher points for non 7 night stays or better efficiency in the system by utilizing high points weekend nights that are going unused now. I think you're going on the premise that DVC members do not currently lose points and that would be incorrect if so. Likely a better option from a system standpoint would not be a discount but a booking priority. You can book 7 days now but have to wait 2 months if you want to book less. As I read the rules some of these options would require a vote of the actual members to implement. What they could do now would be to require minimum stays up to 5 days. They could specify the specific days such as Fri to Sunday and Mon-Fri as a unit. That would effectively be a mandate to book 7 nights for many people. I believe they could do those things at the present time if they wanted though I doubt they will. An easier option for DVC would simply to be reallocate points to even out usage.

 

[Luigi's Girl]

I have read a lot of posts where the new CRO policy is pushing people off site. Others have posted that they are done with Disney.

What is the new CRO policy? Just wondering if I missed something.

 

[Deb & Bill]

What is the new CRO policy? Just wondering if I missed something.

For 2008 (and even some new reservations in late 2007), they are raising the price to stay on the weekend at most WDW resorts. Just like we use more points to stay on Fri and Sat nights.

 

[salmoneous]

For 2008 (and even some new reservations in late 2007), they are raising the price to stay on the weekend at most WDW resorts. Just like we use more points to stay on Fri and Sat nights.

Although the difference in CRO rates is pretty small - often only about $10/night. It's not clear if the think that the appropriate differential, or if they are just easing in the differential a little at a time.

 

[drusba]

"DVC has never officially stated, at least to my knowledge, how much they keep back or how much they have done so in the past. The 2-4% numbers thrown around likely come from casual conversations with various CM some of which are probably in the position to truly know."


When I purchased years ago at BWV, I specifically asked for confirmation as to the percentage that DVD would retain in each unit after selling all interests to members. I was sent a letter from DVD that stated it is 4% at BWV.

 

[dianeschlicht]

I believe the 4% number is actually in our POS.