Disney’s Q3 FY21 Earnings Results Webcast

[MisterPenguin]

Q: Why not pause releasing movies til COVID is gone? (!!!) Why not revisit Hulu predictions since it's doing so well?

A: Bob - Things are uncertain. We're going to continue to be flexible. (Just like he said in his prepared remarks.) We also need to make decisions with partners not know what the market will be in three months, e.g.

Q: Just add Premier Access!!!!

A: Bob - Free Guy was contracted with a different schema (from old Fox). Shang-Chi... we'll just see... we're experimenting, but then Delta!

A: Christine - Hulu is indeed doing well will subs and ads and dynamic ads. But we expect new expenses with new content creation. So... things are in flux.

 

[Slpy3270]

Looking like Shang-Chi will stay as is for now. They had a plan but it's too late to implement it.

And Chapek admits they can't do day-to-date with Free Guy because contracts (HBO and the like, though Hulu does sell HBO subscriptions).

 

[CaptainAmerica]

"World class yield management systems."

 

[MisterPenguin]

Q: JP Morgan: On parks, doing well... is Delta variant affecting things? What's the longer term profitability given stuff?

A: Bob - Strong demand!! The main deficit are large group/convention cancellations. Attendance is still up. Reservation system will spread demand. (Be prepared to be spread, folks!!)

A: Christine - per caps are exceptionally strong. Previous Q, up double digits, and now, even more so.

 

[CaptainAmerica]

Oh god oh no.

He just described Genie as "My Magic Plus on steroids."

He literally used those words. I hate this so much.

Does anyone want to buy my DVC contract?

 

[DCBaker]

Question with Genie - How substantial of an improvement or evolution in the guest experience?

Bob - My Magic Plus was sticking our toe in the pond of this type of transformational work. Disney Genie is the program on steroids. This is going to revolutionize the experience. Guests are going to spend less time waiting and more time having fun in the parks with a dramatically-improved guest experience that's going to make their navigation of their day and planning of their day much easier. Essentially it is going to take the consumer preferences that we note from our consumers, given what we note from them and blend that with basically industrial engineering data in terms of how the park is operating that day and meld them together to make suggestions on the fly that not only will lead to the improved guest experience and lead to substantial commercial opportunities for us as the guest navigates their days.

 

[Slpy3270]

Genie will lead to "substantial commercial opportunities".

LOL.

 

[MisterPenguin]

Q: Morgan Stanly: Hula ad growth? International growth? Disney Genie... how substantial is the expected improvement over MDE?

A: Bob: "transformational" MDE was just a dip of a toe, Genie is revolutionary!!!!!!!!!!!!! Dramatically improved!!!!!!! Industrial engineer data + consumer patterns = Profit!!

A: Christine: Strong ad growth Q after Q. Driven by higher impressions and rates. Hulu live uses dynamic ad insertion, which brings in higher rates.

 

[mightynine]

Question with Genie - How substantial of an improvement or evolution in the guest experience?

Bob - My Magic Plus was sticking our toe in the pond of this type of transformational work. Disney Genie is the program on steroids. This is going to revolutionize the experience. Guests are going to spend less time waiting and more time having fun in the parks with a dramatically-improved guest experience that's going to make their navigation of their day and planning of their day much easier. Essentially it is going to take the consumer preferences that we note from our consumers, given what we note from them and blend that with basically industrial engineering data in terms of how the park is operating that day and meld them together to make suggestions on the fly that not only will lead to the improved guest experience and lead to substantial commercial opportunities for us as the guest navigates their days.

A look into the future at a Disney guest using the Genie app:

 

[FantasiaMickey2000]

Genie will lead to "substantial commercial opportunities".

LOL.

When I heard this, my alarm bells started blaring.

 

[Sirwalterraleigh]

Oh god oh no.

He just described Genie as "My Magic Plus on steroids."

He literally used those words. I hate this so much.

Does anyone want to buy my DVC contract?

…you shouldn’t have bought it. I told you

…but I don’t think this is coming to Aulani until at least 2023

 

[el_super]

He just described Genie as "My Magic Plus on steroids."

 

[Notes from Neverland]

Question with Genie - How substantial of an improvement or evolution in the guest experience?

Bob - My Magic Plus was sticking our toe in the pond of this type of transformational work. Disney Genie is the program on steroids. This is going to revolutionize the experience. Guests are going to spend less time waiting and more time having fun in the parks with a dramatically-improved guest experience that's going to make their navigation of their day and planning of their day much easier. Essentially it is going to take the consumer preferences that we note from our consumers, given what we note from them and blend that with basically industrial engineering data in terms of how the park is operating that day and meld them together to make suggestions on the fly that not only will lead to the improved guest experience and lead to substantial commercial opportunities for us as the guest navigates their days.

"and lead to substantial commercial opportunities for us as the guest navigates their days."

Hold on to your butts.

 

[CaptainAmerica]

Genie might genuinely be a dealbreaker. I might be done with Walt Disney World.

 

[Slpy3270]

40% of Disney's upfront money was allocated to digital operations.

 

[CaptainAmerica]

…you shouldn’t have bought it. I told you

…but I don’t think this is coming to Aulani until at least 2023

That's really what I should do... Sell Saratoga and buy Aulani.

 

[Sirwalterraleigh]

Question with Genie - How substantial of an improvement or evolution in the guest experience?

Bob - My Magic Plus was sticking our toe in the pond of this type of transformational work. Disney Genie is the program on steroids. This is going to revolutionize the experience. Guests are going to spend less time waiting and more time having fun in the parks with a dramatically-improved guest experience that's going to make their navigation of their day and planning of their day much easier. Essentially it is going to take the consumer preferences that we note from our consumers, given what we note from them and blend that with basically industrial engineering data in terms of how the park is operating that day and meld them together to make suggestions on the fly that not only will lead to the improved guest experience and lead to substantial commercial opportunities for us as the guest navigates their days.

Well there you go…

he’s not clever or subtle. He just TOLD you what it is:

the same crappy app/reservation systems they had before for fees.

as always…i hope to the depths of hell I’m wrong

 

[Sirwalterraleigh]

That's really what I should do... Sell Saratoga and buy Aulani.

That wouldn’t change much…the point of the whole thing is that doesn’t matter. When it was good

 

[CaptainAmerica]

as always…i hope to the depth of hell I’m wrong.

Best case scenario for guests might be "they're so cripplingly incompetent that they can't make the tech work."

 

[Slpy3270]

Disney+ churn is down despite increased prices.