Lightning Lane Premier Pass

[Chi84]

So you’ve missed the point every time.

Maybe. Are you suggesting that people not buy LLPP because of the detrimental effect on other guests and park operations as a whole?

 

[Coaster Lover]

Curious what sort of revenue they are making on these... if you figure an average cost (across the four parks) of $250, even if they only sell 100 per day per park (which seems VERY low), that's still $36.5 million per year in essentially pure profit (there's no need for any additional staff/resources to use this... it uses all preexisting resources).

 

[Disstevefan1]

Curious what sort of revenue they are making on these... if you figure an average cost (across the four parks) of $250, even if they only sell 100 per day per park (which seems VERY low), that's still $36.5 million per year in essentially pure profit (there's no need for any additional staff/resources to use this... it uses all preexisting resources).

I think the key as you describe Disney is getting “money for nothing”. They created a “vapor ware” product that is as close to 100 percent profit, and also, they can adjust the supply and demand with a few keystrokes.

I do not think Disney has any concern about selling “too few” of this product like there is a warehouse back stage that is bulging with inventory.

 

[Sirwalterraleigh]

Maybe. Are you suggesting that people not buy LLPP because of the detrimental effect on other guests and park operations as a whole?

…you know…that might be something worth considering…or we can keep riding the locomotive into the ravine beyond the tracks

 

[Sirwalterraleigh]

You are just now learning that other people can value things differently than you?

You’ve yet to learn when it sticks to your shoe and smells really bad…it can only be one thing…

I just don’t think it’s a beautiful thing

Dust is really potent stuff…

 

[Chi84]

…you know…that might be something worth considering…or we can keep riding the locomotive into the ravine beyond the tracks

The only way people will stop buying it is if Disney stops selling it. They may, if enough people stop coming to the parks.

The ones who buy it and the ones who reject the parks are often two different groups.

Hoping that people who want this product won’t buy it is probably futile.

 

[Sirwalterraleigh]

The only way people will stop buying it is if Disney stops selling it. They may, if enough people stop coming to the parks.

The ones who buy it and the ones who reject the parks are often two different groups.

Hoping that people who want this product won’t buy it is probably futile.

I’m not “hoping” for anything…I’m watching self destructive business…from both sides of the window

 

[DoubleSwitchback]

Not random at all. The number is to sell the maximum number LLPPs possible.

I would love to know how they come up with the number of LLPPs “in stock” on a given day.

Did they subtract from the number of LLMPs and LLSPs when they added the LLPP offering?

Does the number of LLPPs change depending on the time of the year?

Does the number of LLPPs change depending on how many VIP tours sold that day?

I'd guess yes to all of those. I bet that the objective function is to sell as many as possible while ensuring that LL waits rarely get above X minutes again. So it's not a widget, but now that the DAS reforms have LL waits under control, you can't have the people who paid $2k for the day stuck in long LLs again. They understand a lot about the dynamics of clumpiness when many people can enter a LL at whatever time of their choosing from DAS.

 

[Chi84]

I’m not “hoping” for anything…I’m watching self destructive business…from both sides of the window

You’re assuming the people who are buying the LLPPs are somehow invested in keeping the parks going. I doubt many of them are.

 

[lentesta]

The surge pricing strategy has become more dramatic over time, too. It used to just be the hotel that cost more during peak weeks. Now it’s also tickets, LLs, and even buffets. Even your LYFT to and from the airport!

Yield Management has funded FY2025 Dynamic Pricing projects for tickets and hotel rooms for WDW and DLR, just like DLP.

 

[Sirwalterraleigh]

I'd guess yes to all of those. I bet that the objective function is to sell as many as possible while ensuring that LL waits rarely get above X minutes again. So it's not a widget, but now that the DAS reforms have LL waits under control, you can't have the people who paid $2k for the day stuck in long LLs again. They understand a lot about the dynamics of clumpiness when many people can enter a LL at whatever time of their choosing from DAS.

If slow moving lines in sparse crowds are “under control”…well rue the day if its ever crowded again

 

[DisneyDreamer08]

I’m wondering if the people purchasing premier pass have ever actually used multi pass. Even though the idea of using premier pass is intriguing to me, I know it’s not financially responsible because my experience with multi pass has been very good

 

[Jrb1979]

I’m wondering if the people purchasing premier pass have ever actually used multi pass. Even though the idea of using premier pass is intriguing to me, I know it’s not financially responsible because my experience with multi pass has been very good

My family are ones that would buy Premier pass over Multi pass. While Multi pass can be just as effective in getting to ride everything you want, the return time thing doesn't work for the way we tour the parks. We are spontaneous on how we ride things and premier pass fits that.

 

[WDWhopper]

Internal numbers show that the Premier Pass is taking away from how much guests are spending on resorts, food and merchandise. Average guest length of stay went down during the two months when Premium Lighting Pass was vying for guest $$. This can only mean one thing. Guests are not always adding extra money to their total vacation spending, they are reallocating it. Now, the premium lightning pass appears to be the biggest $$ win for Disney, because it is almost pure profit, and who cares that a pure profit item is taking away from other departments like resorts, food, merchandise, etc. Those things cost money and have a much smaller profit margin. Disney would love to have guests just donate them money, but the problem is, the premium lightning lane is giving Disney the appearance of being a boutique Park and resort destination, catering only to the very high-end. This is a very dangerous situation to be in, especially since Universal is opening up another park this year and they play more to the $$ middle. Companies get in big trouble, when they get the reputation for being outliers. Hard to come back from being labeled too expensive, especially when your core customer base is middle class families.