As regular readers will be aware, TCA have been carrying out a survey amongst owners of timeshare in relation to their 2020 maintenance payments and whether it would be fair and equitable to expect a refund for those who have missed out on their annual allocation, or are likely to do so as the worldwide pandemic continues to disrupt our daily lives. It has come as no surprise that the resorts have been intransigent to say the least with offers of refunds or compensation.
A recent report was published in the Diario Sur, the main daily paper for southern Spain, stated that a number of major hotel chains are offering discounts and offers to attract visitors. The article stated the following:
“The restart is coming at a great cost and is moving a lot slower than expected,” says president of the Costa del Sol Hotel Business Association (Aehcos), Luis Callejón Suñé. In view of the strategies being enacted by the larger hotel groups to attract, Callejón believes that it will be “inevitable” that there will be a price war this summer. “Everyone is looking for ways to cover their expenses, but you also have to be aware of how far you can go.”
The first to announce discounts was the Paradores chain which opened up on the 25th June. It did so with several campaigns such as the ‘Veraneadores’ (holidaymakers) promotion, with rooms starting at 65 euros, and which, according to this public chain, “is proving to be a real success”, with reservations for three nights at the price of two or five nights at the price of four.
Marriott International is also offering discounts and free breakfast for members; Iberostar is rewarding children under 12 for their “good behaviour during lockdown”; NH Hoteles are offering discounts of up to 25 per cent at its recently reopened luxury hotel Anantara Villa Padierna Palace in Benahavís, among other perks; Barceló and Riu are offering free medical services with stays; and online agency Destiniaare offering beachside accommodation for as little 30 euros.
At local level, the chains aim to maintain their prices, but say that they are aware that specific promotions will have to be launched as demand evolves.
This price war will be compounded, Callejón has warned, by high prices for flights which are making potential tourists reluctant to book, creating “more complications”.
As the president of the Association of Travel Agents of Andalucía, Sergio García, points out: “Prices are expensive, so sales are more than slow.” Flights arriving on the Costa del Sol have been far from full, he says, explaining that airlines, which have suffered enormously as a result of the pandemic, have to recover losses too.
As a result, however, flights during this period are proving unaffordable for normal budgets, he says.
The Poor Little Insignificant Timeshare Owner
From the article above it appears that accommodation costs will either be coming down or at least bring with them some forms of financial incentives, no such luck for the timeshare owner. Those who have missed their holidays due to the pandemic will at best be able to use their lost holiday next year, not much solace for those who can’t afford another holiday this year and for those with their break still to come, maybe more expensive travel.
Whichever way you look at it the timeshare owner is being penalised. One really has to question if timeshare ownership is now even in the top 10 of ways to holiday given all the alternative methods at the touch of a button that offer greater flexibility and in nearly all cases a much cheaper option.
2020 has proved that the draconian way timeshare owners have been treated by resorts and management companies leaves a lot to be desired. We must all hope that pandemics such as we all are experiencing will not prove to be a feature of future life because we can see no way that the scenario regards ownership will change in the future or ever for that matter.
One last thought, from the feedback that our consumers have received from their respective resorts; having written to them to request a full or partial refund of their 2020 maintenance fees, most timeshare companies are adamantly stating that the yearly fees pay towards the maintenance of the resorts and not their clients holidays.
So despite being closed throughout the lockdown, the monthly income of tens, if not hundreds of thousands of pounds, was still required to ensure the upkeep of these establishments. Taking into account that all facilities were shut, up-to 90% of staff were either laid off or on voluntary leave and the remainder were working from home, apart from a few gardeners and security staff, what else was there to maintain and why did it cost so much money?
Equally, if these payments are solely necessary for the upkeep of the resort, then why are many timeshare companies offering their clients a free week in 2021? Is this an act of kindness or an “ACT OF GUILT?” Also if all those that missed their 2020 holidays were to take up the offer of a second holiday in 2021 would the resorts have the availability to accommodate them? Given that many timeshare owners complain to the TCA about lack of availability in normal times, we suspect the resorts would struggle to fulfil this offer!
£7 billion pounds owed by airlines & tour operators and a lot more in timeshare maintenance fees – are you due a refund?
For more information regarding this article or assistance in any other timeshare related issues please contact the TCA on 01908 881058 or email: info@TimeshareConsumerAssociation.org.uk