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When is a fad a fad and a trend a trend?
Usually, only time can tell. I’m thinking about this as I
catch up with some so-called authoritative rundowns
on popular travel trends. Will more people head to
countries such as Mexico for low-cost cosmetic pro-
cedures? Does the movement to seek out authentic
in-home dining experiences while abroad portend a
new kind of hospitality? Will the popularity of high-
end hostels spark a rise in “flashpacker” travel? And
will tourists continue to snap selfies in front of iconic
attractions to post for friends on social media?
Some developments are pushing boundaries.
Increased desire to travel with pets has pres-
sured hotel companies to loosen their policies or
draw a clear line at service animals. Millennial
demand for more inviting public areas is chal-
lenging hotels to create a coffee-shop/nightclub
ambiance in the lobby.
Then, of course, there’s pot tourism. Although
illegal under federal law, legalized recreational mari-
juana use in some states is lighting up a budding
industry in which companies provide package tours
that include airport pickup in a VW minibus (natu-
rally) and cannabis-cooking classes.
Whatever your views on the subject, you have to
admit that this makes for some interesting implica-
tions for the hospitality business. Will timeshare
properties in Colorado (not to mention Oregon and
Washington) see an increase in demand from folks
seeking their own Rocky Mountain high? Will owners
be expecting to partake on-site? Can a homeowners’
association vote on recreational use in their units?
Some uncharted territory, indeed. Stay tuned.
Access Over Ownership
Another burgeoning travel development fraught with
ambiguity falls within the domain of the exploding
sharing economy. Alternately referred to as collabo-
rative consumption, peer-to-peer economy, and
access economy, this Internet-based model permits
people to seek goods and services from peers.
Social networks and online advisory outlets make it
easy for individuals to advertise to and reach a large
market — and for consumers to get recommenda-
tions, find information, and transact business with
total strangers.
The sharing model emphasizes access to rather
than
ownership
of goods and services ranging from
lawn mowers to a ride to the airport. Why own when
you can rent for just the time or amount you need?
Sound familiar? Vacation timesharing can
arguably be recognized as a pioneer of the sharing
economy. Since our industry began in the 1960s,
we’ve hung our hat on a similar argument: Why
invest in a vacation home when you can pay for just
the amount of time you use?
Fair Share
I’ve talked to some of you about the implications of
peer-to-peer lodging services on our industry. Of
course, we applaud the entrepreneurial spirit of
these enterprises. But we are and should be con-
cerned about an uneven playing field — on which
these young businesses aren’t burdened with the
same tax obligations and regulatory framework that
those in the conventional hospitality and timeshare
industry must follow.
The millions of travelers who use services such
as Airbnb, VRBO, and Roomorama have expecta-
tions — as they do when staying at hotels or
timeshare accommodations — that a certain level
of consumer protection and regulation is in place,
addressing issues such as fire safety, credit-card
security, business licensing, and more. But that isn’t
necessarily the case.
For the sake of equity, such consumer protec-
tions, as well as tax assessments, must be fairly
applied to these new forms — just as they are to the
greater hospitality industry. In the U.S., the Federal
Trade Commission is beginning to explore the role of
regulation on the sharing economy. And at local and
municipal levels, cities from Portland to London are
warning hosts of alternative accommodations to fol-
low local laws applicable to hospitality enterprises.
Words From the Wise
Meantime, the American Resort Development
Association has committed to monitoring this issue,
providing guidance and consultation as appropriate,
and working with its coalition partners toward ensur-
ing that the timeshare industry is not inadvertently
affected by new legislation or regulations intended
for the sharing economy.
There’s no denying that the sharing economy is
much more than a fad, as companies such as Airbnb
are reportedly worth billions. So in the spirit of shar-
ing, let us impart some of the experience and wisdom
we’ve gathered over 50 years. The sharing economy
is to be celebrated for all the flexibility and choice that
it offers. But in order to ensure the benefits of that
product, thoughtful regulation is critical for the sus-
tainability and success of the business. Laws that
protect consumers and ensure consistency, safety,
and security are necessary not just for the well-
being of the consumers, but for the health of the
business itself.
VIEWPOINT
4
RESORTDEVELOPER.COM
vacation industry review
OCTOBER – DECEMBER 2015
BY
Craig M. Nash
CHAIRMAN, PRESIDENT, AND CEO
INTERVAL LEISURE GROUP
Thank You for Sharing
We applaud the
entrepreneurial spirit
of the sharing
economy. But we are
and should be
concerned about an
uneven playing field.