A Billion Dollar Threat to Marriott and Hyatt’s Brand Reputation

Brand arrangements

The Vacation Owner concept at Marriott and Hyatt seems to be a master of deception. A billion Dollar brand confusion conspiracy.

Mariott Vacation Club, Hyatt Vacation Club. When you google this, the Marriott Vacation Club website is promising consumers:

Stay at World-class Resorts in Popular Destinations like Aruba, Costa Rica, and Maui. Choose Exciting Vacations with Over 60 Marriott Vacation Club Resorts in 7 Countries.

Mariott Vacation Club advertising

Sounds exciting, sounds legitimate. Work with two brands you may trust.

European Consumer Claims (ECC) is A European timeshare release and claims specialist. ECC has been dealing with the perception openly promoted to consumers who trust brands such as Marriott and Hyatt. The same misleading concept is true with other major hotel brands.

In a recent article on eTurboNews, a PR representative for the Westin Kaanapali Villas called the eTurboNews newsroom, saying the Westin Kaanapali Villas did not know and has no relations or affiliation with the Westin Kaanapali (Resort).

According to Google Maps, the properties are 1.6 miles away, or a 30-minute walk. The front desk manager confirmed the name is constantly confusing for both properties. Guests are complaining about not being able to use the theme pool of the other Westin property with an almost identical name and the same brand.

It appears for many years, tourists staying in some Marriott, Westin, St. Regis, Ritz Carlton, or even Hyatt resorts, among others, did not stay at hotels directly affiliated with the Marriott or Hyatt brand.

Vacation Club owners (Timeshare) who spend premium rates to own a timeshare in a brand hotel such as Marriott or Hyatt bought a timeshare for high rates in a complex that can claim it is not affiliated with the hotel and the resort brand by the same name.

Timeshare owners are furious at their ‘exclusive’ resorts being made available to non-members on regular bookings sites like Expedia, Airbnb, and Booking.com. Anyone visiting the Marriott website may also find hotel room availability in those exclusive vacation club properties. They earn Bonvoy points and would not know they stay at a property not affiliated with the brand.

A year ago eTurboNews revealed that renting is much cheaper than buying a timeshare.

Owners that paid a high price to own a timeshare in the vacation club could have just booked rooms in the same property without becoming an “owner.”

Marriott’s Ownership of apartments started in 1984.

1984
Marriott Corporation becomes the first hospitality brand to enter the timeshare industry. Marriott Ownership Resorts, Inc. (MORI) is established.

1990
Marriott begins an exchange partnership with Interval International®, allowing owners to exchange their Home Resort ownership for weeks to access other resort destinations.

2004
Marriott Vacation Club International celebrates 20 years in the industry by announcing new resorts and over 250,000 Owners and members.

2010
A new points-based program is introduced, providing Owners and members with unparalleled flexibility in vacation experiences.

2011
Marriott Vacations Worldwide Corporation (MVW) launches as a separate public company under the NYSE: VAC ticker. 2019 MVW acquires ILG, Inc., encompassing more vacation ownership brands and exchange company Interval International.

2021
MVW acquires Welk Hospitality Group, Inc. and celebrates ten years as a publicly listed New York Stock Exchange company.

Today
Marriott Vacations Worldwide encompasses a diverse portfolio of businesses and distinctive brands. Each has its own unique legacy of innovation, integrity, and excellence — but a shared passion unites all for delivering exceptional vacations.

Many Marriott Vacations Worldwide owners joined because of the credibility of the Marriott brands. However, this report clarifies that the names Marriott International and Hyatt are only used as part of licensing agreements. 

About the author

Juergen T Steinmetz

Juergen Thomas Steinmetz has continuously worked in the travel and tourism industry since he was a teenager in Germany (1977).
He founded eTurboNews in 1999 as the first online newsletter for the global travel tourism industry.

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Deng Frosch

Timeshares defraud their victims and should be illegal. Shame on major hotels for licensing their name to these con artists.

Pam

Almost all hotels are not owned by the “brand” company. A company builds a hotel and chooses what brand they want a license agreement, and that’s the flag they fly, the signage that’s installed. For various reasons, that hotel (or the brand company) could decide that the licensing should cease, and that hotel could become another branded property. Marriott today, maybe a Hilton tomorrow.

Yes, timeshare companies are independent from the brand flags that they fly, but how is that much different than hotels in the same portfolio? Starwood Vacation Ownerhio, once owned by Starwood, was sold off. They started as Vistana Resorts, became Starwood branded, later sold off, then Vistana again. Many years of passing through different official hands. They are now Vistana signature experiences and are not owned by Marriott, but their properties fly Marriott flags.

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