News Josh D’Amaro Named Next CEO of The Walt Disney Company

[Chi84]

Grow up.

I know you don't like the laugh emoji but in the context of who's posting what here, this couldn't be any funnier.

 

[Sirwalterraleigh]

The contention that they can pivot backwards to the “middle class” seems impossible…from my seat.

The costs on the ground have gotten uncomfortable on a different level. And the world isn’t gonna catch up for any such “growth strategy”…it’s unrealistic.

They’re just too far down the road. The economic factors are different.

Also…leaning into this Disney Adults thing is a big mistake…I’m more convinced than ever…

But it’s been awhile since I was in Orlando…so maybe I’m remembering wrong?

 

[Chi84]

The contention that they can pivot backwards to the “middle class” seems impossible…from my seat.

The costs on the ground have gotten uncomfortable on a different level. And the world isn’t gonna catch up for any such “growth strategy”…it’s unrealistic.

They’re just too far down the road. The economic factors are different.

Also…leaning into this Disney Adults thing is a big mistake…I’m more convinced than ever…

But it’s been awhile since I was in Orlando…so maybe I’m remembering wrong?

I think it depends on what you mean by too far down the road.

I don't think WDW is ever going back to being as affordable or inclusive as it once was. But I do expect they will be able to make enough adjustments to keep people coming.

I don't necessarily agree that they're leaning too much toward adults content-wise but there's no question that the pricing is limiting their attractiveness to young families.

 

[rio]

The contention that they can pivot backwards to the “middle class” seems impossible…from my seat.

The costs on the ground have gotten uncomfortable on a different level. And the world isn’t gonna catch up for any such “growth strategy”…it’s unrealistic.

They’re just too far down the road. The economic factors are different.

Also…leaning into this Disney Adults thing is a big mistake…I’m more convinced than ever…

But it’s been awhile since I was in Orlando…so maybe I’m remembering wrong?

I don't think they have a choice but to pivot back. When people realized you could fly to Japan, stay for a week at Tokyo Disney Resort and fly back for the same price as a Florida vacation it showed how overpriced the Florida vacation got. As their attendance falls the place becomes "uncool" to the luxury spenders too because it's less relatable/unacceptable to show off about. The only choice left is to revert, but you can't lower prices for wall street. Prices may not fall, but they will stagnate while benefits and service come back as that reversion happens.

This is likely to happen to a lot of America. I've said since COVID that it's unsustainable for America to be 30% more expensive than it's peers and that the bill would come due eventually. Still, it's made my international travel very great, and I cannot wait.

 

[Sirwalterraleigh]

I don't think they have a choice but to pivot back. When people realized you could fly to Japan, stay for a week at Tokyo Disney Resort and fly back for the same price as a Florida vacation it showed how overpriced the Florida vacation got. As their attendance falls the place becomes "uncool" to the luxury spenders too because it's less relatable/unacceptable to show off about. The only choice left is to revert, but you can't lower prices for wall street. Prices may not fall, but they will stagnate while benefits and service come back as that reversion happens.

This is likely to happen to a lot of America. I've said since COVID that it's unsustainable for America to be 30% more expensive than it's peers and that the bill would come due eventually. Still, it's made my international travel very great, and I cannot wait.

By and large the American middle class…whatever is left of that?…isn’t jetting overseas. They’ve largely been dogma’d into false narratives and stupidity about their superiority over what frankly are more interesting places to travel. They’re left trying to do things here that accelerated so fast they actually feel it. Which takes ALOT to pull off. Very skilled…that Bob

But I appreciate your points

 

[LSLS]

I don't think they have a choice but to pivot back. When people realized you could fly to Japan, stay for a week at Tokyo Disney Resort and fly back for the same price as a Florida vacation it showed how overpriced the Florida vacation got. As their attendance falls the place becomes "uncool" to the luxury spenders too because it's less relatable/unacceptable to show off about. The only choice left is to revert, but you can't lower prices for wall street. Prices may not fall, but they will stagnate while benefits and service come back as that reversion happens.

This is likely to happen to a lot of America. I've said since COVID that it's unsustainable for America to be 30% more expensive than it's peers and that the bill would come due eventually. Still, it's made my international travel very great, and I cannot wait.

But at some point, we need to see evidence this is going to happen. I've for a long time figured it was coming, but the attendance figures aren't dropping. NOW, they aren't really rising, but I don't think that matters. Disney is finding that level where they can charge crazy (both tickets and add ons), take away stuff, and still have that same number of people hit the parks to create the record profit they need to report. I'm just not convinced this day of reckoning is really coming. It could come in a generation. I know my kids don't have the connections to the parks or Disney in general I had growing up. But I'm not sure if that means anything, and even if it does, that's certainly not a "In the next 6 years" type thing.

 

[Chi84]

But at some point, we need to see evidence this is going to happen. I've for a long time figured it was coming, but the attendance figures aren't dropping. NOW, they aren't really rising, but I don't think that matters. Disney is finding that level where they can charge crazy (both tickets and add ons), take away stuff, and still have that same number of people hit the parks to create the record profit they need to report. I'm just not convinced this day of reckoning is really coming. It could come in a generation. I know my kids don't have the connections to the parks or Disney in general I had growing up. But I'm not sure if that means anything, and even if it does, that's certainly not a "In the next 6 years" type thing.

They provide an excellent (albeit very expensive) vacation.

Despite the constant mentions of other venues WDW is still unique in what it contains. Other parks may have this part (more thrill rides) or that part (more affordable) but WDW is popular for a reason.

That said, if a new CEO can make the experience even better I'm all for it.

 

[rio]

But at some point, we need to see evidence this is going to happen. I've for a long time figured it was coming, but the attendance figures aren't dropping. NOW, they aren't really rising, but I don't think that matters. Disney is finding that level where they can charge crazy (both tickets and add ons), take away stuff, and still have that same number of people hit the parks to create the record profit they need to report. I'm just not convinced this day of reckoning is really coming. It could come in a generation. I know my kids don't have the connections to the parks or Disney in general I had growing up. But I'm not sure if that means anything, and even if it does, that's certainly not a "In the next 6 years" type thing.

It's already having an effect, just not as visible as people want. We're still 3M people annually from the MK peak attendance in 2019, which is about 8200 people per day. With COVID "revenge travel" they should've easily hit that figure again. But they never did. Instead Disney had to get creative and suck money out of a more limited pool of people than pre-COVID. Now, attendance is stagnating, and they're running out of revenue generation ideas. Imagine how much more money they could've made from LL if they had 8200+ more people per day? We contributed to the guest count total, but not the LL totals the past couple years because we didn't feel the need. This is over a 10% drop, similar to Vegas, that they never recovered from attendance-wise.

I don't think we'll have a "Disney attendance down 50%" without a recession, but continued years of no-attendance growth and small declines wouldn't be unheard of. If that's the case they will have no choice but to make their product better, effectively cheaper, or both. Considering this year they've announced deep discounts and expansions, I bet they're worried that they've reached their peak too.

 

[Chi84]

Now, attendance is stagnating, and they're running out of revenue generation ideas. Imagine how much more money they could've made from LL if they had 8200+ more people per day? We contributed to the guest count total, but not the LL totals the past couple years because we didn't feel the need. This is over a 10% drop, similar to Vegas, that they never recovered from attendance-wise.

Didn't this work better for you?

It was extremely crowded in 2019 but no one was paying for LLs. Everyone could use FP+ to get on their favorite rides, which made the large crowds more palatable.

What you seem to be suggesting is that people would be okay with 2019 attendance AND paid line skips. That sounds pretty much like hell to me.

 

[LSLS]

It's already having an effect, just not as visible as people want. We're still 3M people annually from the MK peak attendance in 2019, which is about 8200 people per day. With COVID "revenge travel" they should've easily hit that figure again. But they never did. Instead Disney had to get creative and suck money out of a more limited pool of people than pre-COVID. Now, attendance is stagnating, and they're running out of revenue generation ideas. Imagine how much more money they could've made from LL if they had 8200+ more people per day? We contributed to the guest count total, but not the LL totals the past couple years because we didn't feel the need. This is over a 10% drop, similar to Vegas, that they never recovered from attendance-wise.

I don't think we'll have a "Disney attendance down 50%" without a recession, but continued years of no-attendance growth and small declines wouldn't be unheard of. If that's the case they will have no choice but to make their product better, effectively cheaper, or both. Considering this year they've announced deep discounts and expansions, I bet they're worried that they've reached their peak too.

It's not declines though, they are steady or small increases, and the profit is up because they cut positions, cut costs, and raise the price of add ons. And that is the care.

 

[Sirwalterraleigh]

It's already having an effect, just not as visible as people want. We're still 3M people annually from the MK peak attendance in 2019, which is about 8200 people per day. With COVID "revenge travel" they should've easily hit that figure again. But they never did. Instead Disney had to get creative and suck money out of a more limited pool of people than pre-COVID. Now, attendance is stagnating, and they're running out of revenue generation ideas. Imagine how much more money they could've made from LL if they had 8200+ more people per day? We contributed to the guest count total, but not the LL totals the past couple years because we didn't feel the need. This is over a 10% drop, similar to Vegas, that they never recovered from attendance-wise.

I don't think we'll have a "Disney attendance down 50%" without a recession, but continued years of no-attendance growth and small declines wouldn't be unheard of. If that's the case they will have no choice but to make their product better, effectively cheaper, or both. Considering this year they've announced deep discounts and expansions, I bet they're worried that they've reached their peak too.

A 3-5% drop is considered catastrophic behind the dwarves

Just saying

 

[rio]

Didn't this work better for you?

It was extremely crowded in 2019 but no one was paying for LLs. Everyone could use FP+ to get on their favorite rides, which made the large crowds more palatable.

What you seem to be suggesting is that people would be okay with 2019 attendance AND paid line skips. That sounds pretty much like hell to me.

I think they would put up with it. But they aren’t at these price points. Were the price of admission lower they would.

The current situation is working great for me. Lower crowds has increased my enjoyment (I don’t travel at peak periods anywhere)

 

[Disstevefan1]

It's already having an effect, just not as visible as people want. We're still 3M people annually from the MK peak attendance in 2019, which is about 8200 people per day. With COVID "revenge travel" they should've easily hit that figure again. But they never did. Instead Disney had to get creative and suck money out of a more limited pool of people than pre-COVID. Now, attendance is stagnating, and they're running out of revenue generation ideas. Imagine how much more money they could've made from LL if they had 8200+ more people per day? We contributed to the guest count total, but not the LL totals the past couple years because we didn't feel the need. This is over a 10% drop, similar to Vegas, that they never recovered from attendance-wise.

I don't think we'll have a "Disney attendance down 50%" without a recession, but continued years of no-attendance growth and small declines wouldn't be unheard of. If that's the case they will have no choice but to make their product better, effectively cheaper, or both. Considering this year they've announced deep discounts and expansions, I bet they're worried that they've reached their peak too.

It seems to me, attendance for the sake of attendance is not the measure of success today.

Just like Disney stopped counting subscribers to D+ as a measure of success.

Disneyparks are getting more money from less people like it or not.

Disney has learned they don't have to have the parks SUPER MOBBED to make money.

Disney has learned they can still make money with the parks only difunctionally crowded.

 

[TrainsOfDisney]

When people realized you could fly to Japan, stay for a week at Tokyo Disney Resort and fly back for the same price as a Florida vacation it showed how overpriced the Florida vacation got.

Where is the math on that!?

 

[Andrew C]

welp...Mom is gonna have some cleanup work unfortunately.

 

[Andrew C]

Where is the math on that!?

Requires at least a TI-83 to solve.

But to be serious, depending on travel party size and where you stay, Tokyo Disney can be cheaper for an American. Tickets are cheaper, food is cheaper. Exchange rate is super favorable for Americans. Now, with some packages they sell, it could be quite pricey still. It is not exactly easy to be able to compare apples to apples.

 

[Chi84]

Requires at least a TI-83 to solve.

But to be serious, depending on travel party size and where you stay, Tokyo Disney can be cheaper for an American. Tickets are cheaper, food is cheaper. Exchange rate is super favorable for Americans. Now, with some packages they sell, it could be quite pricey still. It is not exactly easy to be able to compare apples to apples.

We can thank Disney for opening up the world to people who would not otherwise have gone overseas.

Always good to broaden one’s horizons.

 

[Chef Mickey]

What specific changes would you want this person to make to the parks? Since the site is for WDW fans I think people here would be most interested in that aspect.

A lot of the things I mentioned earlier that I don’t want to keep listing. The failures are well-documented. Endless price increases, IP galore, ride closures, poor staff, poor food, poor value, poor maintenance, unused buildings, bad ride decisions, cutting hours, cutting entertainment and staff, etc.

 

[TrainsOfDisney]

poor staff

The Florida parks are really close to ideal - it’s honestly just a few bad apples that need to be fired that are bringing it down.

WDW for the most part has really great CM’s right now.

 

[Chi84]

A lot of the things I mentioned earlier that I don’t want to keep listing. The failures are well-documented. Endless price increases, IP galore, ride closures, poor staff, poor food, poor value, poor maintenance, unused buildings, bad ride decisions, cutting hours, cutting entertainment and staff, etc.

But would those things improve the stock performance?

It seems what you’re suggesting would require more staff and much more money devoted to the parks.