TIME-SHARE FACTS Looking at details
Time-sharing resorts generate huge amounts of cash but remain a tough sale to consumers. Here's how it breaks down:
Marketing: Up to half the cost of each unit goes to marketing. If a new 200 unit project sold out, it would generate $153 million in cash. However, about $76 million of that goes to sales commissions and come-ons used to prod prospects to sit through 90 minute sales pitches.
Response: One in 200 people respond to telemarketing and mailed invitations.
Prospects: One in four prospects admit they are only there for the freebies.
Actual buyers: One in 10 of those who endured a sales pitch.
Average buyer's age: 55.
Median household income: $80,000.
Price: The average one-time price paid for a week annually is $14,200.
Resale: The average price of a resale is $5,000.
Fee: The average annual maintenance fee is $456.
XSources: Raggatz Associates, American Resort Development Association, Plouff Equities, PricewaterhouseCoopers