It's the time of year to indulge in a bit of spending spree.
And if a hotel club membership sounds particularly appealing, take heed of the advice - and the lessons of many a complainant - the Consumer Council has to offer in a survey of 11 of such schemes.
In the first 10 months of this year, the Council has received a total of 154 complaints related to the marketing of hotel club membership, compared with 118 for the whole of 2003.
Hotel club memberships which are often marketed over the phone, entitle the consumers to a package of privileges such as discounted meals, use of hotel facilities or even free room accommodation for a night or two, etc.
In one of the cases, after much persuasion from the salesperson on the verbal promise of a gift meal coupon on her birthday, the complainant finally gave in by handing over her credit card number and personal identity data.
Before long she was notified that an annual membership fee of over $1,000 had been debited from her card. The cardholder was very dissatisfied with the aggressive sales tactic.
In another case, the complainant paid the membership of over $1,000 and was allegedly promised, among others, two nights free accommodation, two bottles of complimentary wine, and 25% discount on meals.
It transpired that, upon the receipt of the booklet of gift certificates, the promised free accommodation was for only the second night after paying for the first night in the hotel, the complimentary wine was applicable only when dining (at least 2 persons) at designated restaurants, and the discount on meals was 15% instead.
According to the survey, with one exception, the annual membership fees of the schemes ranged from $200 to $2,700. The one exception collects no membership fee but to become a member, consumers need spending over $1,300 (exclusive of service charge and discount) in food and beverage outlets at designated hotels.
In general, members are entitled to as low as 50% discount on meals, discounted accommodation, and/or other hotel service (hairdo, massage or spa) and shopping benefits.
Invariably all these are subject to restrictions of one kind or another such that they are not valid, for instance, during special promotional periods and festive holidays (i.e. black out dates).
Consumers are advised to always seek from the salespersons details of the club membership plan and carefully study the terms and conditions before commitment to avoid unnecessary disputes later.
Whether a plan is of good value for money depends to a large extent on the kind of restrictions attached and the individual needs and requirements. In any case, do not divulge your personal and credit card data to the other party unless you are absolutely clear about the details of the offer.
The Consumer Council also calls on marketers of hotel club membership plans to adhere to a high standard of good business practice:
- To avoid misunderstanding, they should provide their prospects with detailed information in advance, particularly both the benefits and restrictions.
- To avoid excessive demand, hotels should devise a ratio of the number of memberships to that of hotel rooms being reserved for complimentary or special discount accommodation that will meet reasonable expectations of the club members.
Meanwhile, as Christmas is just around the corner, also included in this issue of CHOICE are some salient tips on Christmas buffets offered by many hotels on such festive occasion.
In the interest of health and safety, consumers are advised to refrain from over-eating during Christmas buffets, taking particular note of the manner in which raw (such as raw oysters and sashimi which are high risk items) and cooked foods are prepared and handled, and wisely selecting the food for consumption accordingly.
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