A Spirited Perfect Ten

[RSoxNo1]

Ugh...
Business theory makes me nauseous.

Whoever came up with this VSM and Lean Managment, or any other such nonsense that negatively impacts Guest Experience, should be subjected to extreme verbal abuse and possibly slapped around a bit.

VSM and Lean have value, but companies viewed them as a cure all for everything. They can help but should not be the only approach to running a business. In the last 10 years, many companies fell down this trap and watched service suffer as a result.

 

[Animaniac93-98]

On a lighter note, I can honestly say I wasn't expecting "Dream Along with Mickey" to be referenced in Magic Mike XXL.

 

[wogwog]

No, you can please people today. I'm please when I visit UNI. I'm pleased when I visit DLR. I'm pleased when I visit one of Disney's international resorts or take a cruise. I'm even pleased by what I see happening (the tree slaughtering aside) at DAK.

What you need to get is Walt would have been kicked out of Disney and likely wound up homeless under the 405 freeway if he lived today. He created a company. A visionary entertainment company that was wildly successful financially. He didn't create or run a 21st century global media goliath that has no feelings, no warmth, no appreciation for its history or its founders and their principles and beliefs.

TWDC is about as MAGICal as what I flush after eating a large burrito!

You are succinct and at the top of your game with this post.

 

[andysol]

I'm no pixieduster when I write that Disney needs to construct a 5th Gate in Orlando by 2025. WDW really needs one.

Throughout the decades, WDW's attendance has varied quite a bit. However, the general trend has always been upward. Even during Iger's 9-plus years as CEO, WDW's attendance has grown by over 2% annually despite no major expansion to attract more Guests.

If we assume a 4% growth for the rest of this fiscal year (WDW should beat that) and 1% growth after that, this is what WDW's per theme park attendance looks like by 2025:

View attachment 99248

In just a few years, per park attendance surpasses even when WDW consisted of only the Magic Kingdom, the World's most popular theme park. WDW's theme parks simply cannot handle that kind of load in 2025.

Now let's assume the same attendance growth through 2024. Then, in 2025, let's assume a 5th theme park opens resulting in a relatively modest (for a new theme park) 10% bump in attendance:

View attachment 99249

Even with 5 theme parks, per theme park attendance in 2025 matches last year's number. 2014 was a record year for WDW and, by the way, one in which crowd levels were a significant source of complaints from Guests.

Note that these projections don't factor in the large investment Disney is about to make in DHS, which almost certainly will result in an additional 5-to-10% attendance bump.

With 5 theme parks in 2025, WDW will be crowded. With only 4 theme parks in 2025, WDW will be insufferable.

Remember, by 2025, it will have been over a quarter of a century since WDW's last theme park.

The numbers suggest a 5th Gate is not a pipe dream. By 2025, the numbers suggest it's a financial and operational necessity.

Wow- I've always been a "fix the existing parks" guy- but your numbers show not only an absolute necessity for a 5th gate if attendance continues its pace, but actually a need now, historically.

To play devils advocate; however, if you used all the expansion plots in Epcot, MK, and DAK- wouldn't that be the equivalent; if not more than the equivalent, of opening a 5th gate without as much costs associated with it?

 

[JoeCamel]

To play devils advocate; however, if you used all the expansion plots in Epcot, MK, and DAK- wouldn't that be the equivalent; if not more than the equivalent, of opening a 5th gate without as much costs associated with it?

To devil your devil if you still have the guests coming the same gate it is not the ride capacity but the walkways, food service and restrooms that control the capacity of the park. Jamming more people through the gate means the park is just more crowded. Remember they cut having people stand in lines with FP+ so those that would have been in line are out wandering around in the park along with all the other guests.

 

[ford91exploder]

VSM and Lean have value, but companies viewed them as a cure all for everything. They can help but should not be the only approach to running a business. In the last 10 years, many companies fell down this trap and watched service suffer as a result.

Correct they are a tool to be used in the appropriate manner not like using a hammer to drive a screw as they are frequently applied. these days.

 

[ford91exploder]

"The justification for profit is profit." FRoA #202

"Learn the customer's weaknesses, so that you can better take advantage of him." FRoA #87

But they break this one all the time

"Good Customers are as rare as Latinum - treasure them" FRoA #57

And the merch these days is definitely compliant with FRoA #82

"The flimisier the merchandise the higher the price"

 

[ford91exploder]

I wonder if the Spirit came across this but China's remarks on Greece were entertaining. The kind of jabs they throw are quite great...

Premier Li Keqiang had the following to say (background info China owns some Greek ports thus having a stake in their future):

He desribed Greek Prime Minister Alexis Tsipras as "like Phaeton, given the reins of the sun chariot only to lose control and nearly destroy the earth".

Chinese state media said the following earlier this year: Greece had "forgotten that it is the birthplace of Western civilisation which values the spirit of a contract the most".

What's great are the intellectual jabs made by referencing Greek mythology and democracy.

@WDW1974

Whats depressing is the average 'Murican has NO CLUE as to what those references mean and no interest either and the school systems are more interested in pushing the Gaia mythology rather than teaching the foundation of western civilization, The Chinese have not forgotten their history though.

For those wondering who Phaeton was grab a copy of Bulfinchs Mythology from your favorite bookseller - it's on Kindle for free

 

[SYRIK2000]

They make little ones, like price gouging and upcharge parties

I like the upcharge events inside upcharge parties.

 

[SYRIK2000]

You're looking at some different ideas here.

First, Burbank and Parks & Resorts Leadership - namely Bob Chapek - is now calling the shots.... assuming its not Staggs still in control. They make all the big decisions while Local Orlando Management sails the ship and maintains the profit margins. Orlando can do some things on their own but very little. Nice to see a brand manager of Ketchup is now in charge of Theme Parks. /sarcasmfont

Second.... yes, individual park management teams are not created equal. DAK is known for being glorious because of its lack of internal politics. Conversely, MK is one of the most cutthroat places to work in management.

What I've been trying to hammer home for a year now (and failing, clearly) is that internal politics runs this company and Walt Disney World is no exception. Its all who you know, who has power, who's making budget decisions and who gets the money. What you actually do has no bearing on your career- making yourself look good in a spreadsheet is. Guest service isnt the focus of management, CYA and rising above is.

This is the culture the company has created.

I don't think that's just Disney. You describe the corporation I work in as well. It's the corporate culture.

 

[ford91exploder]

I think the average investor is mostly in the big funds and any one stock wouldn't be a big driver. With Disney giving extra dividends that will keep the rest fat and happy. Plus the stock is going to shoot up when they announce Star Wars at the parks.

Disagree - when they announce a SW buildout I think you will see the stock take a 10-15% dive because money that was going to fund stock repurchases will now be spent on construction.

This is one reason 'The Park which must not be named' builds so fast they get the attraction online and MAKING MONEY, They don't announce much in advance so the 'Street does not hammer them but if you watch their stock they always take a hit when a new attraction is 'ANNOUNCED' and they gain when the attraction is 'ONLINE'.

 

[PhotoDave219]

I don't think that's just Disney. You describe the corporation I work in as well. It's the corporate culture.

Should that be an excuse?

 

[SYRIK2000]

Should that be an excuse?

No definitely not, Just saying it's not unique to them.

 

[SYRIK2000]

Should that be an excuse?

You don't get ahead in corporations unless you are smooching the higher ups and stepping on your peers. The management loves and rewards this behavior. It's sad, but a fact of corporate life.

 

[Mike S]

I like the upcharge events inside upcharge parties.

 

[Rodan75]

I'm no pixieduster when I write that Disney needs to construct a 5th Gate in Orlando by 2025. WDW really needs one.

Throughout the decades, WDW's attendance has varied quite a bit. However, the general trend has always been upward. Even during Iger's 9-plus years as CEO, WDW's attendance has grown by over 2% annually despite no major expansion to attract more Guests.

If we assume a 4% growth for the rest of this fiscal year (WDW should beat that) and 1% growth after that, this is what WDW's per theme park attendance looks like by 2025:

View attachment 99248

In just a few years, per park attendance surpasses even when WDW consisted of only the Magic Kingdom, the World's most popular theme park. WDW's theme parks simply cannot handle that kind of load in 2025.

Now let's assume the same attendance growth through 2024. Then, in 2025, let's assume a 5th theme park opens resulting in a relatively modest (for a new theme park) 10% bump in attendance:

View attachment 99249

Even with 5 theme parks, per theme park attendance in 2025 matches last year's number. 2014 was a record year for WDW and, by the way, one in which crowd levels were a significant source of complaints from Guests.

Note that these projections don't factor in the large investment Disney is about to make in DHS, which almost certainly will result in an additional 5-to-10% attendance bump.

With 5 theme parks in 2025, WDW will be crowded. With only 4 theme parks in 2025, WDW will be insufferable.

Remember, by 2025, it will have been over a quarter of a century since WDW's last theme park.

The numbers suggest a 5th Gate is not a pipe dream. By 2025, the numbers suggest it's a financial and operational necessity.

Great read! I agree with you and I think your analysis and the trending at WDW, moreso than anything that Universal is doing, is the reason why things have started to move at WDW over the last couple of years and why the DHS makeover is back to being a priority. I would also assume that leveraging Epcot's capacity more effectively will start to become a higher and higher priority. I don't think they can open a new park without Epcot re-invented and bursting at the seems.

 

[Rodan75]

VSM and Lean have value, but companies viewed them as a cure all for everything. They can help but should not be the only approach to running a business. In the last 10 years, many companies fell down this trap and watched service suffer as a result.

Just wanted to Extra Like this! =-)

 

[rael ramone]

Well, I wasn't being rude to you, so I'd appreciate the same. ... I really don't want to waste my time discussing towel animals. By doing so, I sorta feel like I'm legitimizing the whole topic as something worth talking about.

Ultimately, I couldn't care less whether housekeepers make them or not. I do care whether or not rooms are properly cleaned.

Perhaps some people see the 'towel plushie' in their room and that tells them that the know that they are at Disney.

Years ago, what told me that I was definitely at Disney was seeing a clean public bathroom...

(And since this a 'movie' kinda sorta talk space - 'Love & Mercy' is mandatory viewing - I hope it's not out of the theatres already since it isn't a franchise)

 

[dizneycrazy09]

Wow- I've always been a "fix the existing parks" guy- but your numbers show not only an absolute necessity for a 5th gate if attendance continues its pace, but actually a need now, historically.

To play devils advocate; however, if you used all the expansion plots in Epcot, MK, and DAK- wouldn't that be the equivalent; if not more than the equivalent, of opening a 5th gate without as much costs associated with it?

I'm thinking specifically of EPCOT, but the reopening of WoL, an update to UoE being the people eater it is, the addition of another pavillion between The Land and The Seas, a complete overhaul of imagination, a ride or two in WS, and the use of ALL of the wasted space (Odyssey, Innoventions, etc), EPCOT's attendance could exponentially increase without pushing the park to bursting at it's seams. Just a thought...

 

[Goofyernmost]

Goof, I truly had no clue what you were talking about. Sorry, but the thread moves quickly and I didn't recall. I can't speak for Disney management back then. I can say that SQS weren't a quaint old notion from 1971-1999 when the Skyway operated. In other words, I don't believe they felt seeing roofs took away from the MAGIC of gliding high above the MK. I'd agree with that view.

OK, so you agree with it not being hurtful to the show. Good, so the exposure of the back of the Main Street Buildings is fine then? Gotcha!

Good for you. I feel that at least one out of every two people is largely a total schmuck, so I don't care whether minor things are noticed by most guests. It doesn't matter if a detail is only noticed by 1-2 out of a hundred. It matters that they exist. That was one of the core principles at WED/WDI in designing parks, attractions and resorts.

However, the detail of the towel animals is not important! Alrighty then!

And drop the ''distorted memories'' BS. I practically lived at WDW from the late 70s to the late 90s, I'm also paid professionally to observe things in DETAIL. It's a dumb defense of WDW was really never that good, so it can't really be that bad now. It was and it is.

You are saying that the perception that you had as a kid is exactly the same now, as an adult, as it was when the world was new to you! And to think otherwise would be BS! Can't say I agree with that!

No, it's because they were NEVER part of the show. Like picnic tables full of bored CMs coloring with kids. Or handing out Mickey stickers. Or being told to ''have a MAGICal day!'' All of this crap started in the late 90s and with the rise of the Internet came to signify to many people, who didn't know TRUE Disney quality, what set Disney apart from dumps like UNI and SW. ... I have no idea how much time it takes to make animals. I do know that rooms are not cleaned to proper standards. I know where the focus should be.

Almost everything you care to name was never part of the show until it became part of the show. Those other elements, that you prioritize, not noticed by many "schmucks" is possibly true, however, this is a detail that is universally enjoyed by resort guests for well over a decade now, but, it's not important? And even if it wasn't, how one can bunch towel animals with room cleanliness is a bit of a stretch even for you. One has absolutely nothing to do with the other and both can and should exist. I don't even stay onsite, so personally, it means nothing to me, but, I can readily see just how important it is to the Guest experience, which you do not see. AGAIN... I think that room cleanliness is a priority, but, it should never be linked to towel animals because it is a completely different thing only linked by the fact that Mousekeeping does it. The quality of room cleaning is completely and independently controllable.

I just don't care ... sorry, argue it with some of the schmucks here!

Apparently, I am!