Marriott Cuts Back in a Tough Economy October 6, 2008
Posted by Bryan Connelly in : ARDA, General, Marriott Timeshares, News & Events, Timeshare Rental, Timeshare Resale, Timeshare Resource, Travel, Uncategorized , trackbackIn the wake of declining profits and rising energy costs, Marriott International has taken steps to counter the 28% drop in earnings this year. After a significant financial decline, the current economic dismay in the U.S. has forced Marriott to reduce staffing, slash share repurchasing, and allow projects to be cancelled or delayed.
With the ongoing financial crisis, credit market turmoil, cutbacks in businesses and soft consumer spending, it has been a bumpy year for Marriott International. Management has expressed bleak expectations for 2009. They project at least a 3% drop in revenue per available room (Revpar) a key gauge for a hotelier’s performance. This sobering year has forced Marriott to focus on its own cash flow, which means “consolidating positions,†and trimming investments.
Marriott’s timeshare sector has suffered as well, with contract sales falling 13% over the quarter. With the dwindling economy, Marriott, which normally finances timeshare purchases, is becoming less and less able to finance these properties for buyers. This troublesome financial environment will most certainly goad buyers who would otherwise need financing, to search for their vacation properties on the resale market.
While companies like Westgate, Wyndham and Marriott are slowing down and hording their funds, timeshare sales on the resale market are speeding up. BuyATimeshare.com has always been your best bet for finding the perfect vacation property. Why pay more than you have to when you can shop our extensive inventory and buy for thousands of dollars less. Without Marriott’s financing power, there is no economically sound method for buying direct from that developer. BuyATimeshare.com, a leading name in the timeshare resale industry, offers various timeshare packages and brands. Each property advertised is for-sale-by-owner—and priced to sell. Explore hundreds of Marriott properties and save thousands when buying.
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