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The Value Options Part One: Destination Clubs Expand Entry-Level Plans
| Written by Amy Gunderson 08/10/2008 |
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Multi-million dollar homes are seeing price slashes, five-star hotels are throwing in freebie nights and even Whole Foods—the store that earned the moniker—“whole paycheck”—is looking at adding lower-priced items to sit alongside those $40 a pound goat cheeses. As consumers curb their discretionary spending, destination clubs are also widening their offerings to include lower-cost plans.
Last month, the Lusso Collection rolled out a plan that was priced $100,000 lower than its standard plan. Earlier this spring, Ultimate Escapes offered its Ultimate Discovery membership, with limited plans offering 15, 30 and 45 days of vacations starting at $13,500 with no deposit. The plans were aimed at those looking to test-drive the club before making a bigger financial commitment. While Ultimate Escapes is no longer offering that plan, it does have a “Preview Membership” in the works, according to a company spokesperson. Pricing and usage details have not yet been released.
Opting for an entry-level option at a club is one way to try out membership with a comparatively small upfront layout. There are some sacrifices, however. Depending on the club, these plans can include fewer advanced reservations, may not offer holiday reservations or will simply give you access to a portfolio of smaller homes with amenities like ocean views, instead of beach frontage. Additionally, while these plans have smaller annual dues and deposits, members should expect that the actual cost-per-night on entry-level plans will come in higher the nightly costs of higher-priced plans that offer greater access and more nights.
While destination clubs are exploring the entry-level market, they are quick to point out that members can upgrade to a plan with more nights at any time. To upgrade, the amount of the current plan deposit is applied to the new plan, and members simply pay the difference. Annual dues will also be pro-rated, if necessary.
In part two of this article, we’ll provide a club by club rundown of entry-level options being offered by the bigger players in the destination club industry.
Do you want to learn more about joining a destination club, regardless of the price? Download our Decision Guide to Destination Clubs



