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News Disney CFO Hugh Johnston Says Dynamic Pricing Is Coming to the Parks

Biff215

Well-Known Member
Maybe they can pump the price up on days where Tiana, the carnotaurous, the yeti, and Ariel are all functioning. Something to make you feel like you're getting something for the premium price, you know?

I'm kidding, of course; they would never be able to charge more with that criteria.
You mean they would never be able to get all four working at the same time…lol

Dynamic pricing is everywhere today, but as some have pointed out, it’s typically done with something that’s limited in supply. Sure Disney could potentially sell out their parks or resorts, it’s just extremely rare.

As someone with one foot already out the door, this would likely be the nail in the coffin for me.
 

Sirwalterraleigh

Premium Member
Nobody is suggesting asking for more money at the gate. What the inference here is that you pay more when you buy the ticket or room based on when you do it…that is the airline model…or if you want to be really scummy…Ticketmaster resells

Makes sense,right?

Wrong…there is no scarcity…which is kinda an “economics thang”

There are no “sellouts”…because Those are not set on a capacity figure posted. Never happened…never will

How about hotels?

Glad you asked…as of now I looked to see if I could get a room on the busiest two days of the year? No way…impossible

12/31…9 properties available
12/24…ALL OF THEM

The plane isn’t full…there’s no scarcity. The “dynamics” lack dynamo

Food and beverage is harder…but not impossible

All menus can be digital that can be adjust via algorithm in apps and on boards in the park

Ya think that can’t happen?
 
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monothingie

Dynamically Raising Prices Excites Me
Premium Member
You can still buy date-based tickets in advance. Those day-tickets will have different prices depending on assumed demand, just like it is right now.

Once you buy those tickets, you're locked in. They won't ask for more money at the tapstile.

BUT... if demand is particularly low, Disney may start selling those same dates you bought at a lower price. Which is not unlike offering a discount for those days to fill rooms and parks.

OR... demand is unusually high and the cost of those tickets go up, but it won't affect you. Your tickets are locked in. In fact, it's to your advantage that the cost goes up as demand goes up... it will discourage people from making the park over-crowded.

HOWEVER... if you wait until the last minute to buy day-tickets, you may be pleasantly surprised to see that the normal price has dropped because of soft demand. OR... you'll be steaming mad when you see the cost of those tickets sky-rocket.

This is pretty much what Broadway and airlines do. (Ironically, it was Disney that innovated dynamic prices on Broadway beginning with their own Broadway shows.)

And as mentioned above, this is for rooms and park tickets, not for meals or water.

You may be tempted, then, to get a room outside the Disney bubble. But those hotels are also using dynamic pricing. <sad trombone>

Also, resorts and day-tickets are already dynamically priced, only over a time period of a year. This new dynamic pricing will make it dynamically priced over a time period of a day or two.
Just think of all the happy customers knowing they overpaid.

Of course we all know Disney would never lower the price, they just didn’t raise it as much.
 

KDM31091

Well-Known Member
Potential for Lower Prices on Slow Days: Those visiting on traditionally less crowded days may benefit from lower ticket costs

Except that these prices will never drop below the already "low" level for slow season. So it's really only further increases for the busy days that they think people will pay anyway.
Plus the base prices even right now only apply a small number of days per year. And as people see and learn the less crowded days more people go and the price goes up. It’s just a vicious cycle
 

Sirwalterraleigh

Premium Member
Getting rid of APs would be an extremely greedy and ridiculous move but at this point can’t put anything past them.
They’re in a nosedive they can’t pull out of at this point

Not from a balance sheet perspective…but from the perspective of expectations…

They tried to align with high (totally fake) “value” tech and social media companies…who post huge “growth” based on predictions…not physical product. Disney sells a physical product.

Iger is caught…there’s no going back.

Correction…they sell a physical product through emotion…which is infinitely harder to quantify and sustain
 

Po'Rich

Well-Known Member
Not saying this is going to happen... but I can see at least 1 way it could help the guest...

Lets say they are currently at the hub and are looking for lunch. While browsing menus in the app to decide where to go, they see that Cosmic Rays lunch is 10% more expensive than Columbia Harbor house. So they go to CHH.

In the background, the reason Cosmic Rays is more expensive is because the kitchen is backed up, while CHH has readily available capacity.

The guest (assuming they didn't really care what restaurant) will get their food faster and potentially at the same cost as they would have if dynamic pricing was not in effect.

It could be used as a crowd control metric.

Edit: Also Mr. IAAPA has been saying this is coming for awhile https://forums.wdwmagic.com/search/6023322/?q=dynamic&c[users]=lentesta&o=relevance
Yes, that is exactly how I'd like to spend my vacation days at WDW: price checking the available restaurants every 10 minutes to see where I can get the best deal. Perhaps I can also bring my laptop and create some spreadsheets with pivot tables and the like. What a fantastic use of time while I'm at the park!
 

Sirwalterraleigh

Premium Member
They do that and DVC appeal goes into freefall along with locals and any other group that provides stability.

I know my DVC gets sold and I ain’t coming back.

Play stupid games win stupid prizes.
The gluteus Maximus hats at the top have made that abundantly clear…those are “lower value” patrons…

Don’t rule out the next speech including the term “nuisance customers to operational efficiency”
 

KDM31091

Well-Known Member
Yes, that is exactly how I'd like to spend my vacation days at WDW: price checking the available restaurants every 10 minutes to see where I can get the best deal. Perhaps I can also bring my laptop and create some spreadsheets with pivot tables and the like. What a fantastic use of time while I'm at the park!
I know. It’s so ridicuous. They really want to ensure we can’t just show up and enjoy. Plan this, plan that, stare at this app. Enough already. It becomes not fun at some point when it’s that much effort.
 

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