brianfox
TUG Member
- Joined
- Apr 14, 2007
- Messages
- 798
- Reaction score
- 446
- Location
- Thousand Oaks
- Resorts Owned
- Marriott Waiohai x3
We are on day 2 of our Ko Olina trip and just finished our owners presentation.
Before I get to it, we own a Platinum DSV II week and a Silver Willow Ridge week (Branson). On the points system, these would net 2300 and 850, respectively.
Our first presenter had read our profile ahead of time. He saw that we had resale weeks (he referred to them as "non Marriott", if you can believe that). His "presentation" consisted of asking us if we had questions about the new system. In my very first question, I mentioned TUG, and his face went pretty much flat. He became disinterested immediately, and went so far as to tell us that we would probably not benefit from the point system. He then went to get a supervisor that would be able to answer all of our questions (seriously - this was 5 minutes into the meeting).
The supervisor tried moderately to push points. I was adamant that 3150 points would get us nowhere in the Marriott system. We had split and traded our two weeks for three adjacent Hawaii weeks and our trades would have cost over 15,000 points under the system. She agreed, but still said that it would be the "best of both worlds" if we just purchased 3,000 points. We suggested there was no way we were about to drop $28000 after we spent only $7000 between our two resales that together are worth more than 3000 points.
Here were my questions (and Marriott's answers). My comments in brackets:
What happens with week resales going forward? Will they be required to be enrolled in the point program?
Yes. All future week resales will be required to be enrolled in the point system. If a seller sells a week that is already enrolled, the week will be continued to be enrolled at zero cost to the new owner. [enrollment is therefore attached to the WEEK, not to the OWNER.] If a seller sells a "legacy" week, the new owner will be required to enroll the week in the point program at whatever the enrollment fee is.
I currently have an un-enrolled week. If I purchase an unenrolled resale week this year, can I enroll BOTH under the $1999 cost for multiple weeks?
Yes. She said we could enroll our current week(s) along with any weeks we purchase for the combined price. [I have no idea as to the mechanics of this, as I have yet to see any Ebay listing mention any point system enrollment fee].
There is great speculation and concern on the TUG boards that we will not be able to perform searches (or even Flexchange searches) from our "new II" account that we will have for Marriott weeks enrolled under the Point program.
We were told that the II account we will be given will allow us to do exactly the same things our old II account does. We only need to contact our advisor once a year to decide whether to take points for the year or not. If we choose to keep weeks, then the II interface will be identical to the one we currently use.
We have a DSV II week that will nab a reasonable number of points, but also have a worthless Willow Ridge week. If we choose to NOT enroll Willow Ridge, will we then have two II accounts?
NO. The Willow Ridge would be seen in your new II account, but you would not have the option to take points for it.
But I can still keep the Willow Ridge week in a separate II account if I want to, right?
"No.....there is no real reason I see to do that". Why do you want to pay for 2 accounts?
Because I am afraid Marriott will take my ability to do my own searches away from me. The Willow Ridge is great for splitting and doing Flexchanges
"Marriott has no intention of limiting your searches."
Purchasing points means you are "owning" interest in a group of resorts, and not just one. What happens when there is a Special Assessment?
"Points owners only see the benefits of the resort collection - not any liabilities. Therefore, Point owners will never be subject to a Special Assessment.".
But the Weeks owners will be subject to SA now and then. Going forward, what happens when Marriott excercises their ROFR, slowly removing weeks owners from the system? Taking an extreme example, what if a resort eventually only had one Weeks owner, all the rest being Points owners? Along comes a $1M SA. That one owner is on the hook?
"I understand where you are going, and nothing like that would happen at Marriott. That's why there is a reserve that your MF goes toward." [Clearly, she was not following me, or had no good answer. If the reserves covered everything, there would never be an SA.]
We left the discussion with no intention to buy anything.
That is when she pulled out an interesting offer....
They called it an "Encore Membership Agreement", and it works as follows:
* Purchase a 7-night stay at Ko Olina (1BR or 2BR), good for the next 2 years.
* You will get whatever week you want, as long as you book at least 2 months in advance.
* Purchasing the stay will lock in the Points cost for the next 2 years at the current offer value [no value to me, since I am not interested in buying points]
* Purchasing the stay will lock in the Enrollment cost of my resale weeks for the next two years at the current price [potentially no value to me, since I believe they are not going to raise the enrollment price anytime soon].
* When you arrive for your stay, you will receive a $200 AMEX gift card.
* Once you take the trip your are purchasing, your full purchase price will apply toward any Point purchase OR resale week enrollment
That last one makes it really interesting....Here are the week prices (before any AMEX gift card offset):
1 BR (Mountain View) - $1999
1 BR (Ocean View) - $2299
2 BR (Ocean View) - $2999
Payment options:
* Pay full price now and immediately get a $100 AMEX gift card (you still get $200 when you take your trip)
* Pay $495 now and pay the rest over 10 monthly payments (0% interest) - no $100 AMEX bonus
So let's break this down:
Assuming you are NOT interested in buying points, but ARE interested in enrolling your week(s)...
Cost of trip $2000
AMEX gift card $100 - for buying today
AMEX gidt card $200 - when you take your stay
Enrollment fee $1500 - that you were going to pay anyhow for enrolling your week.
Real cost of trip - $200 for a 1BR Ko Olina Mountain View.
This is not bad, in my opinion. Of course, it assumes we will enroll our week when we return. For those who want to buy points, this is basically a fully free week. Of course, they only tell you about this when you are ready to walk out the door of the presentation, not intending to buy.
A couple of extra things -
* They will "reasonably" extend the 2 year deadline for free if you let them know ahead of time (2 months).
* There is NO refund if you change your mind
* The week is transferrable to a family member if you cannot use it
* You must attend another 90 minute presentation when you return
* You can buy the 1BR now and upgrade with 2 months notice - they actually push this option. Upgrade to an OV for $300, or a 2BR OV for $1000.
* There is NO option for a 2BR Mountain View. They only offer the three choices.
* You will NOT need to pay for parking when you come - you will be considered to be a Marriott Owner.
We took the bait and purchased the $1999 week. I wonder what they would have offered if we turned it down... Be aware that you will be signing a purchase agreement contract (for the week stay - not to purchase any points). So we walked away with a $100 AMEX and a guaranted 1BR in the next 2 years.
We still have no intention of buying points at this time. I am crossing my fingers that Marriott will allow us to keep doing all the things we currently do with our II accounts - in fact, I am now officially betting on it.
We may very well purchase a second resale week in the next two years and enroll our current DSV II week along with the one we purchase - after all, they are claiming we can do both for $2000 and have 2 years to keep that offer. I don't see any reason to ever enroll our Branson week.
If the II situation turns sour before we return, then we purchased a week for essentially $1700 - about what a private rental would cost.
I did not ask how the current offer of 800 bonus points works with the Encore Membership Agreement. My guess is you'd get it if you wavered enough when the time came to enroll...
Any thoughts on this offer? If you think it is a bad deal, please try to make me not feel like too much of a moron.
Before I get to it, we own a Platinum DSV II week and a Silver Willow Ridge week (Branson). On the points system, these would net 2300 and 850, respectively.
Our first presenter had read our profile ahead of time. He saw that we had resale weeks (he referred to them as "non Marriott", if you can believe that). His "presentation" consisted of asking us if we had questions about the new system. In my very first question, I mentioned TUG, and his face went pretty much flat. He became disinterested immediately, and went so far as to tell us that we would probably not benefit from the point system. He then went to get a supervisor that would be able to answer all of our questions (seriously - this was 5 minutes into the meeting).
The supervisor tried moderately to push points. I was adamant that 3150 points would get us nowhere in the Marriott system. We had split and traded our two weeks for three adjacent Hawaii weeks and our trades would have cost over 15,000 points under the system. She agreed, but still said that it would be the "best of both worlds" if we just purchased 3,000 points. We suggested there was no way we were about to drop $28000 after we spent only $7000 between our two resales that together are worth more than 3000 points.
Here were my questions (and Marriott's answers). My comments in brackets:
What happens with week resales going forward? Will they be required to be enrolled in the point program?
Yes. All future week resales will be required to be enrolled in the point system. If a seller sells a week that is already enrolled, the week will be continued to be enrolled at zero cost to the new owner. [enrollment is therefore attached to the WEEK, not to the OWNER.] If a seller sells a "legacy" week, the new owner will be required to enroll the week in the point program at whatever the enrollment fee is.
I currently have an un-enrolled week. If I purchase an unenrolled resale week this year, can I enroll BOTH under the $1999 cost for multiple weeks?
Yes. She said we could enroll our current week(s) along with any weeks we purchase for the combined price. [I have no idea as to the mechanics of this, as I have yet to see any Ebay listing mention any point system enrollment fee].
There is great speculation and concern on the TUG boards that we will not be able to perform searches (or even Flexchange searches) from our "new II" account that we will have for Marriott weeks enrolled under the Point program.
We were told that the II account we will be given will allow us to do exactly the same things our old II account does. We only need to contact our advisor once a year to decide whether to take points for the year or not. If we choose to keep weeks, then the II interface will be identical to the one we currently use.
We have a DSV II week that will nab a reasonable number of points, but also have a worthless Willow Ridge week. If we choose to NOT enroll Willow Ridge, will we then have two II accounts?
NO. The Willow Ridge would be seen in your new II account, but you would not have the option to take points for it.
But I can still keep the Willow Ridge week in a separate II account if I want to, right?
"No.....there is no real reason I see to do that". Why do you want to pay for 2 accounts?
Because I am afraid Marriott will take my ability to do my own searches away from me. The Willow Ridge is great for splitting and doing Flexchanges
"Marriott has no intention of limiting your searches."
Purchasing points means you are "owning" interest in a group of resorts, and not just one. What happens when there is a Special Assessment?
"Points owners only see the benefits of the resort collection - not any liabilities. Therefore, Point owners will never be subject to a Special Assessment.".
But the Weeks owners will be subject to SA now and then. Going forward, what happens when Marriott excercises their ROFR, slowly removing weeks owners from the system? Taking an extreme example, what if a resort eventually only had one Weeks owner, all the rest being Points owners? Along comes a $1M SA. That one owner is on the hook?
"I understand where you are going, and nothing like that would happen at Marriott. That's why there is a reserve that your MF goes toward." [Clearly, she was not following me, or had no good answer. If the reserves covered everything, there would never be an SA.]
We left the discussion with no intention to buy anything.
That is when she pulled out an interesting offer....
They called it an "Encore Membership Agreement", and it works as follows:
* Purchase a 7-night stay at Ko Olina (1BR or 2BR), good for the next 2 years.
* You will get whatever week you want, as long as you book at least 2 months in advance.
* Purchasing the stay will lock in the Points cost for the next 2 years at the current offer value [no value to me, since I am not interested in buying points]
* Purchasing the stay will lock in the Enrollment cost of my resale weeks for the next two years at the current price [potentially no value to me, since I believe they are not going to raise the enrollment price anytime soon].
* When you arrive for your stay, you will receive a $200 AMEX gift card.
* Once you take the trip your are purchasing, your full purchase price will apply toward any Point purchase OR resale week enrollment
That last one makes it really interesting....Here are the week prices (before any AMEX gift card offset):
1 BR (Mountain View) - $1999
1 BR (Ocean View) - $2299
2 BR (Ocean View) - $2999
Payment options:
* Pay full price now and immediately get a $100 AMEX gift card (you still get $200 when you take your trip)
* Pay $495 now and pay the rest over 10 monthly payments (0% interest) - no $100 AMEX bonus
So let's break this down:
Assuming you are NOT interested in buying points, but ARE interested in enrolling your week(s)...
Cost of trip $2000
AMEX gift card $100 - for buying today
AMEX gidt card $200 - when you take your stay
Enrollment fee $1500 - that you were going to pay anyhow for enrolling your week.
Real cost of trip - $200 for a 1BR Ko Olina Mountain View.
This is not bad, in my opinion. Of course, it assumes we will enroll our week when we return. For those who want to buy points, this is basically a fully free week. Of course, they only tell you about this when you are ready to walk out the door of the presentation, not intending to buy.
A couple of extra things -
* They will "reasonably" extend the 2 year deadline for free if you let them know ahead of time (2 months).
* There is NO refund if you change your mind
* The week is transferrable to a family member if you cannot use it
* You must attend another 90 minute presentation when you return
* You can buy the 1BR now and upgrade with 2 months notice - they actually push this option. Upgrade to an OV for $300, or a 2BR OV for $1000.
* There is NO option for a 2BR Mountain View. They only offer the three choices.
* You will NOT need to pay for parking when you come - you will be considered to be a Marriott Owner.
We took the bait and purchased the $1999 week. I wonder what they would have offered if we turned it down... Be aware that you will be signing a purchase agreement contract (for the week stay - not to purchase any points). So we walked away with a $100 AMEX and a guaranted 1BR in the next 2 years.
We still have no intention of buying points at this time. I am crossing my fingers that Marriott will allow us to keep doing all the things we currently do with our II accounts - in fact, I am now officially betting on it.
We may very well purchase a second resale week in the next two years and enroll our current DSV II week along with the one we purchase - after all, they are claiming we can do both for $2000 and have 2 years to keep that offer. I don't see any reason to ever enroll our Branson week.
If the II situation turns sour before we return, then we purchased a week for essentially $1700 - about what a private rental would cost.
I did not ask how the current offer of 800 bonus points works with the Encore Membership Agreement. My guess is you'd get it if you wavered enough when the time came to enroll...
Any thoughts on this offer? If you think it is a bad deal, please try to make me not feel like too much of a moron.
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