Captain Barbossa
Well-Known Member
Can I use Venmo?
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Price hike coming 10/9
- Thread starter powhatan414
- Start date
You’re
out of luck.
Andrew C
You know what's funny?
Nah. Zelle is the official partner of Walt Disney World.
Here is Disney's financial strategy for the parks:
Raise ARPU (average rate per user)
Here is how it goes.
1.) Average parks attendance is in decline. (This is a fact, not a rumor. Disney themselves tell investors this)
2.) Raise ARPU by raising tickets, hotels and retail prices to RECOVER and COMPENSATE for lost revenue.
3.) Cut daily operations and maintenance spending to balance the books. (less spent = less loss)
When parks attendance decline further? Raise ARPU more and more and spend even less and less on operations. Every time attendance drops further and further, just wash, rinse and repeat the ARPU increase cycle over and over again.
The parks do NOT need more attendance!! Disney just needs to extract more revenue from each of the people left that DO go.
This is a bulletproof strategy that will always keep Disney ahead of the declining attendance.
Some argue that this leads to poor customer satisfaction after they return home to the high bill and reflect on what they spent that money on. I don't really buy into that idea though. People love this brand and will pay whatever is necessary to get that Disney experience.
Pretty smart, if you ask Burbank.
Raise ARPU (average rate per user)
Here is how it goes.
1.) Average parks attendance is in decline. (This is a fact, not a rumor. Disney themselves tell investors this)
2.) Raise ARPU by raising tickets, hotels and retail prices to RECOVER and COMPENSATE for lost revenue.
3.) Cut daily operations and maintenance spending to balance the books. (less spent = less loss)
When parks attendance decline further? Raise ARPU more and more and spend even less and less on operations. Every time attendance drops further and further, just wash, rinse and repeat the ARPU increase cycle over and over again.
The parks do NOT need more attendance!! Disney just needs to extract more revenue from each of the people left that DO go.
This is a bulletproof strategy that will always keep Disney ahead of the declining attendance.
Some argue that this leads to poor customer satisfaction after they return home to the high bill and reflect on what they spent that money on. I don't really buy into that idea though. People love this brand and will pay whatever is necessary to get that Disney experience.
Pretty smart, if you ask Burbank.
Last edited:
SplashJacket
Well-Known Member
Parks are far more enjoyable than they were in 2019. It’s not even close. It’s not that saying otherwise is invalid, I’d just be blinded from the glare on those rose-colored glasses.
GhostHost1000
Premium Member
so worth it with all the new things coming in 2025!
oh wait
oh wait
JD80
Well-Known Member
Adjust for inflation the 2015 and after prices are all the same value.
John park hopper
Well-Known Member
When company has product people are no longer buying as they used to they reduce the cost of said product and they streamline their business and improve the product. I guess that business model Disney is exempt from ---declining attendance raise prices across the board on everything attendance declines as a result --raise prices
JD80
Well-Known Member
People are still buying.
But they've been doing this since the mid/early 2010's and now the fruits of their genius are ripening.
As demonstrated by the situation they're in right now, with being BEHIND their declining attendance, it doesn't work as a long term solution.
They mythological high margin guests is an endangered species they're chasing after at the expense of the regular guests who they are driving away in droves.
Prince-1
Well-Known Member
JD80
Well-Known Member
It's not declining, you just bought another AP.
I renewed 1 AP, not 50,000.
Yes,...Disney has always been raising it's prices to stay in line with their general product demand. However, it's being said that Disney has now gotten "in front" of that demand and is now suppressing that demand.
When people love a brand, they WILL often pay more for it...just out of sheer goodwill and admiration for that brand.
However, if that brand "love" dies or the goodwill fades, suddenly people will question weather that brand is "worth it" anymore....and they will NOT spend a premium tax for that product is that happens.
In short,..Disney CAN charge a high-dollar cost and get away with it "if" people "love" that brand enough to do that. They know it's expensive but their brand love or brand "LOYALTY" persuades them to do it.
If that brand loyalty dies?.....what happens then?
Exactly,...you guessed it,...that brand is SCREWED.
Last edited:
jeanericuser001
Well-Known Member
That happened during the 80s and 90s for a brief period as both universal and disney fought a serious battle that included discounted tickets, coupons, and seasonal specials.
threvester
Well-Known Member
No, only PeePal at this time
Shareholder value and guest satisfaction are are two completely incompatible things. Even if it works out in the short term, they eventually deviate because guest costs will continue to rise and in order to maintain shareholder value. The things that would improve guest satisfaction significantly all require an increase in operational expense, which is something that stockholders are allergic to (labor, maintenance, etc). If they really wanted to improve the guest experience and lower guest cost, they'd spin experiences off as a private company, but that would never happen for a number of reasons, the most important being its the only thing keeping Disney as a whole in the black.
