WorldMark^® Words

A topic that comes up from time to time is the growth of WorldMark. For example, at the 2009 Annual Owners Meeting a chart was presented showing the number of owners over the years. For the past three years the numbers listed were 268,585, 274,082, and 265,043 reflecting the owner base for 2007, 2008, and 2009 respectively.

Here's a different look at how the club has grown. The chart below shows the number Vacation Credits in the WorldMark system. The three different values shown for each year represent the credits held by the owners in their accounts, the credits held by the developer (Wyndham), and the total number of credits in the system. The chart starts in 1996 and continues through 2010. The values shown are for January 1 of each year. 1997 and 1998 are not included since I do not have data for those two years.


The growth shown represents over a 15-fold increase in the size of the WorldMark system. From 212 million credits in 1996 the club has grown to contain just over 3.2 billion credits today. The chart shows the leveling off of the size recently as growth and corresponding sales have slowed. The credits held by the owners has not been increasing as fast as the total credits for the past few years. The developer held credits have picked up the increased credits as new resorts were added to the system and as the economy caused sales to slow.

All of that growth is reflected in the dues that have been paid. The next chart shows the dues paid each year, also broken down into owner, developer, and total amounts. The developer dues are the dues paid on the unsold credits that the developer holds.


The dues income has grown from around $10 million in 1996 to a projected value of over $200 million in 2010. That increase is a combination of more credits generating more dues and dues increases that have been put in place over the years. The chart also shows the large increase in the developer dues the past few years. As the number of credits held by the developer increased the dues on those credits show a corresponding increase.

As a final note, the data for the charts was taken from the Annual Auditors Report for each year, except for the 2010 dues information. The 2010 dues information is from the 2010 budget; the actual values will not be known until the end of the year.

I browse through the old issues of the WorldMark magazines from time to time. I recently came across a feature article about the WorldMark Otter Crest resort at Newport, Oregon in the January, 1994 WorldMark Express newsletter. Here's what they said in the first paragraph of that article.

"Your Otter Crest Resort, with its panoramic view of the Pacific Ocean, is famous for its natural wooded beauty and rugged, jetting rock cliffs. The unique coastal environment at Otter Crest offers children and adults alike the wonders of marine life. The local towns of Newport and Lincoln City have lots of sightseeing, shopping and wonderful dining and entertainment. Otter Crest Resort offers all of the fine first-class amenities WorldMark owners have come to expect."

Otter Crest was one of the very first resorts in the WorldMark system. The WorldMark history shows that there were 6 units in the system at the end of 1989 and one of those units was at Otter Crest. From the above description it sounds like a very nice place. But things weren't all bright and shiny at Otter Crest. The December, 1996 edition of the newsletter contained this announcement:

"With Gleneden in full operation, after Jan. 1, 1997, your Vacation Planning Center will no longer book reservations for The Inn at Otter Crest. For all of us, Otter Crest has been an old friend, and a favorite for many of you. Your Board of Directors looked long and hard for ways to keep this long-standing favorite. With only nine WorldMark units and critical maintenance issues facing the resort, the only action that made sense was to build a new coastal retreat as close as possible to Otter Crest."

1996 was before my time with WorldMark but I'm sure many owners remember the Otter Crest resort. The fact that it was closed is somewhat significant in that it illustrates that it is possible to shed a problem resort from the WorldMark family.

What I find more interesting is illustrated in the following table, which shows the weekly credit values for the Otter Crest and Gleneden resorts and the percentage increase you would have paid to move from Otter Crest to Gleneden.

	Otter Crest	Gleneden	% Increase
1 Br Red Week	7,000	8,000	14.3
1 Br White Week	5,000	6,000	20.0
1 Br Blue Week	2,000	4,000	100.0
2 Br Red Week	8,000	10,000	25.0
2 Br White Week	6,000	7,000	16.7
2 Br Blue Week	3,000	5,000	66.7
3 Br Red Week	10,000	12,000	20.0
3 Br White Week	7,000	8,000	14.3
3 Br Blue Week	5,000	6,000	20.0

Look at the differences in those credit values. A one bedroom Red week jumped up by 1,000 credits. A one bedroom Blue week doubled in cost, from 2,000 credits to 4,000 credits. The other weeks show similar large increases.

Two things come to mind concerning the credit allocations. Otter Crest had a total of 9 units when it was closed and the announcement for the Gleneden resort indicated that there were a total of 80 units there. I'll assume that some of the credits generated by the opening of Gleneden were designated to offset the credits that were lost when Otter Crest was closed. That would prevent any reduction in the total number of credits and keep things in line with the legal requirements. But if you replace low credit requirement units with higher credit requirement units it is not a 1 to 1 unit replacement. Replacing the credits allocated to the 9 units at Otter Crest probably required only 6 or 7 units at Gleneden due to the higher credit values at the new resort. The total credits stay the same but the number of units is reduced.

The other thought is that since Otter Crest was one of the first WorldMark resorts and had low credit values, were there any protests when new resorts came in at higher values? A 14 to 100 percent increase in credit requirements is not a minor adjustment, it's a big jump. These days the higher credit values on some of the newer resorts are a hot topic for some owners. Was that the case back in the 1990's? Was there talk against moving from an 8,000 credit 2 Br Red week model to a 10,000 credit Red week? Or did those owners recognize the value of a new resort and were willing to accept the higher credit values? Any long time owners out there who can provide some insight on this subject? It would be interesting to hear your thoughts.

Here's something I ran across in the October, 1999 Destinations magazine: "Your Club is thrilled to announce that the WorldMark Web site will soon boast a new feature: checking the availability of your condominiums on-line!"

That was big news back in 1999. Before that time if you wanted to check availability you had to call the Vacation Planning Center. Even with this change you still could not make reservations but at least you could view what was available. When we first became owners in 2001 the capability to make reservations on-line was still not available. On-line booking did not become available for all owners until September of 2002.

Look what we can do with the on-line system now. In addition to making and canceling reservations we can view our complete reservation history, sorted in multiple ways; we can view our available credits and housekeeping balance, including expiration dates; we can view our dues and contract information; and many more things. And from the rumors I hear there are more changes on the way. Hmmm, I wonder if a web site enhancement announcement could be part of the mystery concerning the late delivery of the October Destinations that is posted on the WorldMark Web site?

Confirm First is the normal way that most exchanges are made through RCI. What Confirm First means is that credits are not deducted from your WorldMark account until after you have confirmed an RCI exchange into a resort outside of the WorldMark system.

It hasn’t always been that way. The December, 1995 WorldMark Express newsletter contained the following announcement:

"WorldMark, The Club, recently signed a new agreement with RCI transforming a longtime RCI policy into an exclusive new way for WorldMark Owners to make exchange requests."

The articles lists the old way things were done as:

• Call WorldMark to have a specific week spacebanked into RCI.
• Wait 48 hours.
• Call RCI.
• If your requested space was available, your exchange was confirmed; if not a search began.
• If your search was unsuccessful, you had up to 2 years to use your week in RCI. Your week could not be returned to WorldMark.

The new process under the 1995 agreement was defined in the newsletter as:

• Call RCI and make your request.
• RCI will immediately (without a spacebank) search your request based on the value of all WorldMark resorts as a whole, giving you trading power that is unmatched in the industry.
• Choose the exchange offered to you or not…all before a single credit is deducted from your account!
• If you choose the exchange, the appropriate number of credits will be deducted from your WorldMark account automatically, after your exchange is confirmed!
• If you choose not to accept the exchange, your credits stay in your WorldMark account!

An agreement that was first signed 14 years ago is still in effect today. You can still make a Deposit First before looking for an exchange, and there are some cases where that might be a preferable approach. But Confirm First is a good benefit for WorldMark owners. It takes much of the risk out of the exchange process since you are not committing any of your WorldMark credits until after the exchange is confirmed.

You've probably heard the term "best available unit based on reservation date" with regards to the unit you receive for your reservation at WorldMark resort. You are not assigned a specific unit when you make the reservation, units are assigned based on which units are available on your check in day. Here's a copy of WorldMark Guideline C.6 which defines the unit assignment process.

Unit Assignment. Units are assigned based on the time of reservation, not on the time of check-in. Assignments are determined by the computer system so that stay opportunities for all Owners are maximized. At some Resorts, Units with special features, such as views, may be ranked in the computer so that earlier reservations have priority of assignment. Any priority of assignment that might be given for special features is based on the time of the reservation, not on the time of check-in. Special requests can be accepted with medical documentation.

It hasn't always been that way. In the early days you were assigned a specific unit when you made your reservation. It was changed to the current method in 1994. In the April, 1994 WorldMark Express Newsletter, the reasoning was explained. Here's a quote from that newsletter:

When a specific unit was selected by an agent, space became blocked out in little "chunks" throughout the inventory. When this happened, WorldMark had to turn away owners because there were not enough days available in any one unit to fill their requested stay. The reservation agent could be looking at the screen and see that there was plenty of space to fill the owner's request, but the days were spread between a number of different units.

There is a little more explanation of how the old system worked, and then the new system is described with the following:

By not assigning a specific unit, the computer matches the reservation request to the best fit available. Requested stays can be put "back to back" with other reservations. The total number of each size unit is put into the computer and then the computer subtracts from this number as reservations are made.

Sounds simple, right? Well, not really, that is a very brief explanation. What it means is that reservations are made based on the total number of units available (unbooked) for each day of your reservation, without regards to specific units being available. On the morning of your check in the computer looks at all arrivals for that day; it looks at the date those reservations were made; and it then assigns what is flagged the best unit to the oldest reservation. The next best unit goes to the next oldest reservation and the process continues until all reservations have a unit assigned. Best unit is subjective, and what one owner perceives as best may not be seen that way by another owner. Nevertheless, it's the system that is in place and in general it seems to work quite well.

The thoughtfulness of WorldMark owners continues to impress me. One of my readers commented that she was enjoying the history items I have been posting from the back issues of Destinations magazine. Then she offered to send me issues of the Express newsletter, the predecessor to Destinations, dating back to 1993. So with a great big THANK YOU to Susan, here's a quote from the June, 1993 WorldMark Express newsletter.

"Holiday Weekends tend to fill up with Vacation Credit reservations prior to the 14 day period for reserving Bonus Time. It's wise to PLAN AHEAD and use your regular Vacation Credits rather than counting on using Bonus Time when reserving holiday weekend getaways. Remember, a holiday weekend is a three (3) night minimum stay."

The first part of that quote goes without saying, and still applies. Holiday weekend Bonus Time is not something you should expect to find. What I found most interesting was the part I emphasized in bold. In 1993 a holiday weekend required a three night minimum stay. That is a rule I have never heard about and it is not the rule today. Now a weekend, any weekend, requires a two night minimum stay, but there is currently no reservation that requires a three night minimum. Things change, and this is one of the better changes. I don't know when that three night rule went away, I'll see if I can find any more about in those old newsletters.

If you read your Destinations magazine you know that there are always advertisements for various non-WorldMark travel opportunities. That is true today and it has always been true. The very first issue of Destinations, in March, 1997, contained advertisements for a Panama Canal Cruise, a trip to Australia and New Zealand, a special airfare to Europe, and several others. One difference that you will notice between those ads and the current travel ads in Destinations is that the advertisements from 1997 are all cash only deals. Today you have many travel options you can book using your WorldMark credits.

The use of WorldMark credits for booking of non-WorldMark travel was inaugurated in April, 1998, with an announcement in Destinations magazine titled Cruise with Credits. Quoting from that announcement:

"Cruise the sunny Mexican Riviera with Royal Caribbean – and your WorldMark credits! That's right, WorldMark Owners now have yet another vacation option. Using your vacation credits, you can sail aboard the elegant Viking Serenade over the Fourth of July holiday."

Cruises, trips to events, or travel to foreign lands are all opportunities you will find advertised in the Destinations magazine you receive each month. Apparently the program is very popular with WorldMark owners. A program which began over 11 years ago is still going strong today.

Sometimes it's the little things that catch your eye. I was looking through the November, 1997 Destinations Magazine and in the Questions & Answers section I found the following:

"I was wondering if there is a new direct number for Owner Services?"

The answer of course was yes. That was probably the whole point of printing the question, to let everyone know that in addition to the normal reservations number there was a new direct number to Owner Services that had been installed.

That was somewhat noteworthy, but what really caught my attention was a little further down in the column.

"Our new WorldMark refrigerator magnets have both of these phone numbers, as well as WorldMark's exclusive RCI Hot Line number printed on them."

We've been owners since 2001 and I've never heard any reference to refrigerator magnets. If you have one of those refrigerator magnets it might be a collector's item. Plus you can still use it, the numbers are the same today as they were in 1997. If someone sends me a picture of the refrigerator magnet I'll post it so everyone can see what they looked like. You'll get credit, normally by first name only unless you tell me otherwise, and a few minutes of fame. Alas, no fortune is included.

The WorldMark history items from the Destinations magazine have been popular so here's another item that some do not seem to be aware of. This concerns the election for the Board of Directors. From the June, 2000 Destinations:

"To ensure that the best possible candidates are brought forward for your consideration, the Board has instituted a procedure to bring more consistency to the election process, starting with this call for WórldMark Board nominations:"

The article then presents a list of standards for nominees for the election. The article goes on to state:

"The Board will establish an elections committee to assess each nomination against the above criteria, conduct telephone interviews and develop a list of final candidates."

Notice the date everyone. That's the 2000 election, 9 years ago, with nominee standards and a nominating committee in place. Now if only we could get the moaners and groaners to stop whining about the recent standards and nominating committees, especially those used since the 2007 election. It is nothing new, it is a continuation of something that was started at least 9 years ago if not earlier. Check the facts folks.

Did you know that the lead time for booking a short stay in Red Season was originally 30 days? Yep, when the club first began, if you made a reservation more than 30 days in advance of your check in date you were required to book a full week. It was changed to 60 days in 1992. Here's a quote from the March, 1992 entry on the WorldMark history timeline that is in the October, 1999 Destinations magazine.

“Reservation Window Widens! You can now book Red Season units 60 days in advance (rather than 30) for vacations less than a week long.”

That wasn't the only restriction in those early days. For full week Red Season reservations you could only check in on a Saturday. Friday and Sunday check ins were added in November of 1993. Plus you had to book your entire week at one resort. Splitting of a reservation among multiple resorts didn't appear on the scene until June, 1998.

Now you can book short stays 90 days before check in; you can split a reservation among multiple resorts to meet the Red Season 7 night requirement for check in beyond 90 days; and you can begin your vacation on any day of the week. WorldMark flexibility, something that has evolved over the years. It is a pretty safe bet that you can look for more changes in the coming years.