A Spirited Perfect Ten

[PhotoDave219]

Interestingly, I was at WDW a month ago and, because of the MNNSHP, 3 of the 4 theme parks were closed by 7:00 PM several nights during the week. The 2 days I managed to make it to a WDW theme park were supposed to be "2" and "3" per touringplans.com, but the crowd levels and wait times felt like near-summer levels from only a few years ago.

Despite the crowds, my twins daughters (who I've trained well ) and their friends were done with DHS and DAK by mid-afternoon, experiencing pretty much everything. They only reason Epcot kept them busy for a full day was because of Food & Wine Festival; they were done with Epcot's few attractions by lunchtime. (They did skip Ellen's and Captain EO, but who could blame them. )

Looking at tonight's normal closing hours:

• Magic Kingdom - 7:00 PM
• Epcot - 9:00 PM
• DHS - 8:30 PM
• DAK - 6:30 PM

When writing that DHS and DAK "are closing early -- even on a weekend evening -- because there just isn't enough at the parks to keep folks entertained", I don't think the author is that far off.

Yeah you, me, and @lentesta could talk attendance levels until dawn.

They seem to be maximizing labor by intentionally keeping lines long, or is the theory I'm working on these days.

 

[PhotoDave219]

Yet it's the same kind of reduction in operation hours the parks have been operating for under for decades.. even when the parks were new and fresh.. so while it makes nice jab.. no it's just conjecture. You can't connect the hours to the park's menu.

Its maximizing labor hours.... Use the least amount of people possible.

 

[Lord_Vader]

While we're talking ESPN, everyone caught that Grantland was shut down today as part of cost-cutting efforts, right?

It was more about YouTube's new paid service and reduced revenue sharing with content providers from everything I have read.

 

[ParentsOf4]

Yeah you, me, and @lentesta could talk attendance levels until dawn.

They seem to be maximizing labor by intentionally keeping lines long, or is the theory I'm working on these days.

Its maximizing labor hours.... Use the least amount of people possible.

10 years ago the parks were relatively empty in September, October, November, and December (holidays excluded). Heck, they were relatively empty for much of the year. I remember non spring break weeks in May when Peter Pan's Flight maxed out at a 30-minute wait. It's not surprising that the parks closed earlier then. However, as nearly everyone now observes, there is no "slow" time of the year anymore. It's just varies between crowded and painfully crowded.

According to Disney's own 10K filings, domestic theme park attendance is up 30% since 2005. At WDW, that's more than an entire theme park's worth of attendance packed into the same 4 theme parks!

Yet not only do they maintain the same short hours at DHS and DAK, but they also effectively close MK earlier for much of September to December for 2 hard ticketed events!

The reasons for the shorter hours (despite the increased crowds) is obvious. Yes, it's to control costs in order to maximize margin. However, more importantly, it's to justify surge pricing.

Think of it this way, Epcot typically is open from 9-to-9 for most of the year, a total of 12 hours. That hasn't changed much in a decade despite higher crowds. Disney could readily increase its daily capacity by 25% and cover most of that 30% increase by simply opening 1 hour earlier and closing 2 hours later. There are plenty of families willing to get to the parks by 8 AM, while others are eager to stay till 11 PM. (Perhaps the single most common complaint I heard from other Guests during my last trip was how early the parks closed.)

Wow, imagine that, a 25% increase in capacity with a simple decision from senior management.

However, that approach costs Disney. "Heck with that. Let's keep the parks crowded so we can justify increasing prices. Let's get our 'Guests' to pay more for more crowded parks. Let's make our close-to-minimum-wage Cast Members deal with those unhappy 'Guests'. Higher margins while our lowest paid employees deal with the headaches. Sounds like a no brainer."

 

[Nubs70]

Yeah you, me, and @lentesta could talk attendance levels until dawn.

They seem to be maximizing labor by intentionally keeping lines long, or is the theory I'm working on these days.

Long lines keep people out of lines and in the stores buying stuff

 

[PhotoDave219]

Long lines keep people out of lines and in the stores buying stuff

True but you're talking about reducing/maximizing labor costs.

 

[1023]

Long lines keep people out of lines and in the stores buying stuff

Actually, total attraction participation by the average guest has gone down since the implementation of the magic handcuff. Less attractions due to long lines and perceived value of guaranteed 3 "desired" attractions. Perception is now a key ingredient. Merch sales are not suffering at all.

*1023*

 

[RSoxNo1]

When they're still throwing millions at Stephen A Smith and Curt Schilling instead? Then yes.

I'm guessing Schilling isn't long for ESPN, but I'm a big fan. He's a blow hard on things unrelated to sports, but he's a good analyst.

He's fallen victim to ESPN being super liberal and super concerned about their public image. He's a bad fit there.

 

[RSoxNo1]

I stumbled across an interesting article this morning on The Motley Fool.

Epcot Will Be Disney World's Least Visited Park by 2020

Disney's second most popular Florida park is showing signs of fatigue.

Disney (NYSEIS) is likely to announce record results for its theme parks division on Thursday, but it's easy to wonder if the family entertainment giant is doing enough to earn those record turnstile clicks.

I'm at Disney World this weekend, and some things are pretty embarrassing. Animal Kingdom and Disney's Hollywood Studios closed at 6pm and 7pm, respectively, on Friday night. They didn't shut their doors early for a hard-ticket Halloween event the way that rival Comcast (NASDAQ:CMCSA) (NASDAQ:CMCSK) did to make way for its Halloween Horror Nights. The parks are closing early -- even on a weekend evening -- because there just isn't enough at the parks to keep folks entertained.

Animal Kingdom has been trying to shake the common complaint that it's not a full-day park, but it's hard to offer up much of a fight when you're operating on bankers' hours. Disney's Hollywood Studios is a different story. It's been closing attractions, giving folks less to do at the park than they did a couple of years ago.

However, as bad as things may be at Animal Kingdom and Disney's Hollywood Studios -- Disney World's two least-visited parks -- at lest we know that things will get better soon.

Take a trip to Animal Kingdom, and from the parking lot you see gargantuan cranes helping to piece the heavily themed Avatar section of the park together. A huge ride building and the early construction of the area's floating mountains are clearly visible from the lot. Head inside to the Asia section of the park, and you'll see crews busy building permanent seating around the lake for the upcoming Rivers of Lights nighttime show.

A trip to Animal Kingdom will be a completely different experience in two years from what it is right now. Between Avatar's two new rides and the Rivers of Light ritualistic tribute to animals, you won't be seeing the park close at 6 p.m. before long. You need darkness, after all, for something called Rivers of Light to shine in more ways than one.

We know why Disney's been carving out Disney's Hollywood Studios. Pixar Land and Star Wars Land are coming. There haven't been any definitive opening dates revealed, but Pixar Land doesn't seem like it will take too long to get ready. Star Wars Land is far more ambitious, but it would be a shock -- and heads will probably roll -- if at least the initial phase of the 14-acre project isn't open for fans of the iconic sci-fi series in five years.

This brings us to Epcot. It's Disney World's second most visited Florida attraction at the moment, but the attendance gap between the park and both Animal Kingdom and Disney's Hollywood Studios is narrowing. Going back to 2006, just before the recession rocked the travel industry, it's the only Disney World park that hasn't grown its attendance in the double digits through 2014, according to industry tracker Themed Entertainment Association.

As bad as the situation may be at Animal Kingdom and Disney's Hollywood Studios, Epcot is the one that has struggled the most. Every other Disney World park -- and Comcast's two Universal Orlando theme parks -- is growing in the double digits.

Epcot has an identity problem. The park traces its roots to Walt Disney's vision of a planned community, but that is not what the park turned out to be. It's a park that's always trying to manage the delicate balance between edutainment in the front of the park and foodie-centric country pavilions in the back. It's a beautiful park, but it's lacking in the personality department. There's no shortage of people who love the park, but the attendance numbers don't lie.

The near-term plan to spruce up Epcot isn't very exciting. It's adding a new theater to expand the capacity of its popular Soarin' attraction, and it's changing up the video to feature the entire world instead of just California. There's also a Frozen boat ride opening next year, but let's face it: Even your Anna- and Elsa-loving daughter has been over Frozen for a few months now.

I predicted a few weeks ago that Epcot would be Disney World's least visited park by 2020, but I simply left it at that. I figured that's a bold forecast that needed to be fleshed out, and until Epcot proves otherwise, I'm going to stick to that prediction.
​

Whether or not you agree with the writer's conclusions, it's interesting to read a business article about WDW from someone who actually seems to know what they are talking about.

I've been saying this for years. Epcot is in trouble because it has no clear path for success (well, it does, but they're not seemingly unwilling to make those moves). Having said that, I feel you're better than posting a Motley Fool article.

As for the future of Epcot, one thing the article doesn't mention is the effect that Disney Springs will have on Epcot. People would hop to Epcot for dinner, I think many of those guests will go to Disney Springs.

 

[DGracey]

As for the future of Epcot, one thing the article doesn't mention is the effect that Disney Springs will have on Epcot. People would hop to Epcot for dinner, I think many of those guests will go to Disney Springs.

I honestly believe that's what TDO is hoping for. Why expand park hours with increased operations & labour costs when you can just funnel people to the new shopping mall for the night?

 

[Magenta Panther]

I honestly believe that's what TDO is hoping for. Why expand park hours with increased operations & labour costs when you can just funnel people to the new shopping mall for the night?

Yeah, that's pretty much all Disney Springs is. A shopping mall. Big deal. Just what we needed, another Downtown Disney. Feh.

 

[DDLand]

I honestly believe that's what TDO is hoping for. Why expand park hours with increased operations & labour costs when you can just funnel people to the new shopping mall for the night?

That's seems to be at odds with most of their other plans though. Avatar, RoL, and Savannah improvements are all about bringing people in at night. They're also building new restaurants at that theme park too. While there may be some truth to what you're saying, Disney is sinking a lot of money into doing the opposite.

 

[Next Big Thing]

People ccouldn't cope wiithhh DCA getting all the attention and DL getting no new additions for a few years

Disneyland hasn't gotten an actual *Addition* since Indiana Jones. So yeah, it's been awhile.

 

[flynnibus]

Disneyland hasn't gotten an actual *Addition* since Indiana Jones. So yeah, it's been awhile.

Meh - DL has gotten tons of changes and improvements... getting hung up on 'add' as in increase is petty. You can't grow forever. Things like the Hollowscreams Fireworks were an add... the castle lighting was an add.. and we can go on and on. But you can hang onto 'no increase in rides' or argue things like the show in the theater were 'replacements' for things that hadn't run in years.

 

[ford91exploder]

That's seems to be at odds with most of their other plans though. Avatar, RoL, and Savannah improvements are all about bringing people in at night. They're also building new restaurants at that theme park too. While there may be some truth to what you're saying, Disney is sinking a lot of money into doing the opposite.

You are making an assumption that the Left hand is aware of what the RIght hand is doing, Bad assumption at WDW you have competing business units at WDW and whoever is the most profitable will win. The new stuff may never go online if the operational management can make more money without it. Think of the nighttime attractions as a backstop incase the current strategy of short park hours and low staffing levels fail to increase profits fast enough.

 

[ford91exploder]

I've been saying this for years. Epcot is in trouble because it has no clear path for success (well, it does, but they're not seemingly unwilling to make those moves). Having said that, I feel you're better than posting a Motley Fool article.

As for the future of Epcot, one thing the article doesn't mention is the effect that Disney Springs will have on Epcot. People would hop to Epcot for dinner, I think many of those guests will go to Disney Springs.

Or they will go to Citywalk where there is no need of a reservation 6 months in advance.

 

[RSoxNo1]

Or they will go to Citywalk where there is no need of a reservation 6 months in advance.

Thankfully the demand for Disney Springs restaurants hasn't hit that hard yet.

 

[bhg469]

Thankfully the demand for Disney Springs restaurants hasn't hit that hard yet.

Disney springs seems to be adding mostly those higher end places. I just don't see them all being successful long term.

Do we know what's left, restaurant wise, to open? There is STK which is a high end steak house. Edison or whatever, which also seems like it will be up there in price. I feel like this is a gamble for these restauranta to open there.

 

[disneyflush]

10 years ago the parks were relatively empty in September, October, November, and December (holidays excluded). Heck, they were relatively empty for much of the year. I remember non spring break weeks in May when Peter Pan's Flight maxed out at a 30-minute wait. It's not surprising that the parks closed earlier then. However, as nearly everyone now observes, there is no "slow" time of the year anymore. It's just varies between crowded and painfully crowded.

According to Disney's own 10K filings, domestic theme park attendance is up 30% since 2005. At WDW, that's more than an entire theme park's worth of attendance packed into the same 4 theme parks!

Yet not only do they maintain the same short hours at DHS and DAK, but they also effectively close MK earlier for much of September to December for 2 hard ticketed events!

The reasons for the shorter hours (despite the increased crowds) is obvious. Yes, it's to control costs in order to maximize margin. However, more importantly, it's to justify surge pricing.

Think of it this way, Epcot typically is open from 9-to-9 for most of the year, a total of 12 hours. That hasn't changed much in a decade despite higher crowds. Disney could readily increase its daily capacity by 25% and cover most of that 30% increase by simply opening 1 hour earlier and closing 2 hours later. There are plenty of families willing to get to the parks by 8 AM, while others are eager to stay till 11 PM. (Perhaps the single most common complaint I heard from other Guests during my last trip was how early the parks closed.)

Wow, imagine that, a 25% increase in capacity with a simple decision from senior management.

However, that approach costs Disney. "Heck with that. Let's keep the parks crowded so we can justify increasing prices. Let's get our 'Guests' to pay more for more crowded parks. Let's make our close-to-minimum-wage Cast Members deal with those unhappy 'Guests'. Higher margins while our lowest paid employees deal with the headaches. Sounds like a no brainer."

ParentsOf4, I have a random question that I've been going over. Say MK has an exact attendance every Thursday of 100,000 people present-day. If WDW doubled the price of Thursday admission to the Magic Kingdom (say from $100 exactly to get in on Thursday to $200 exactly) and left everything else static across the week with regard to price/hours/etc., would attendance be more or less than 50,000 on Thursday (for simplicity lets assume only single-day tickets can be purchased for attendance)?

I wonder what price point would see 100,000 daily guests to MK become 10,000 daily guests if price was the only variable different in the current attendance equation.

 

[RSoxNo1]

Disney springs seems to be adding mostly those higher end places. I just don't see them all being successful long term.

Do we know what's left, restaurant wise, to open? There is STK which is a high end steak house. Edison or whatever, which also seems like it will be up there in price. I feel like this is a gamble for these restauranta to open there.

It's not possible for all of the restaurants and shops at Disney Springs to succeed. We know there will be failures.

STK and Edison are the biggest that have been announced, but there's also rumors of Walt's as well.