Timeshare History

Before we discuss the history of the timeshare and how timeshares evolved, I think its important to give a brief explanation of what a timeshare is. A timeshare is a form of vacation property ownership. The owners of the timeshare, share in the use and the costs of running the resort. The use of the timeshare is usually divided up among the owners over a specified period of time. There are many types of timeshare, but the most common form of timeshares are condominiums or cooperatives at vacation resorts.

The timeshare first originated in Europe in the 1960's. The popularity of commercial jets as well as the 60's carefree attitude helped revolutionize the travel industry. A French development company, The Societe des Grands Travaux de Marseille recognized the considerable growth in the travel and tourism industry and are one of two companies that began to offer the timeshare model. They are credited with developing the first ever timeshare slogan; "No need to rent the room; buy the hotel, its cheaper!" Like that, the timeshare was born. The first resort to adapt the timeshare was a ski resort in the French Alps called SuperDevoluy. At the same time, another company called Hapimag in Baar Switzerland also offered the timeshare model. The owners of Hapimag began purchasing resort properties in Italy, Spain, and Switzerland giving their members a choice of timeshare destinations.

The first timeshare in the United States started on the island of Kauai in 1969 by two men who later started Vacation Internationale. Those interested in the timeshare program were offered weeks that were sold on a leasehold basis. They also were the first to offer timeshares sold on a point system to give more options to timeshare owners. The first state in the continental U.S to offer timeshares was Florida. During the 1970's, many existing condo developments in Florida migrated towards the timeshare resorts model. In 1973, a joint effort by the Hyatt company and Innisfree companies offered the first "deeded ownership" timeshares. Shortly thereafter, Resort Condominiums International (RCI) debuted in 1974. RCI provided timeshare owners with the flexibility to exchange weeks between different timeshare resorts. This was a very attractive option to timeshare owners, one which they did not have before. To this day, RCI is one of the largest timeshare exchange companies in this world.

During the end of the 70's and into the early 80's the timeshare industry continued to grow. Driven by the popularity of timeshares, resorts all over the world were converting over to them. The timeshare appealed to people of all classes and backgrounds. The high class individual used the timeshare to travel to exotic resorts and new locations. Timeshares appealed to families and the working class individual for its ability to offer a lavish vacation at affordable prices. Throughout the 80s, as more people continued to see the benefit of the timeshare, the industry continued to grow. The timeshare industry expanded globally and seeing great success in Spain and Portugal. By 1990, timeshare was a household name and had expanded across Eastern Europe and Asia. Seeing the global success of timeshare, big hotel companies began to offer timeshare properties. With the backing of major hotel chains (Marriot, Sheraton, Ramada, Hilton etc.), timeshare sales reached record highs, as well as consumer confidence.

Today the timeshare industry is a multi-billion dollar industry. Timeshare resorts boast a worldwide offering of about 5400 resorts in over 100 countries. The United States alone accounts for approximately 45% of all timeshare owners. Backed by major corporations and global offerings, the timeshare industry is poised to expand ever more in the years ahead.