"Budget Cuts" - Now Showing at Disney's Hollywood Studios

[flynnibus]

Exactly, you don't. So everyone can stop comparing Disney to a department store. It's not the same thing.

Because you're missing the points they do share - both are trying to attract you as a customer. Stores lose money staying open 6-7 days a week because they know they have to build the image that they will be available.. when you are ready.

So when someone argues 'hey, this is ok, they gotta optimize...' and advocates that's all there is to it... they are wearing blinders and ignoring the rest of the interactions between the vendor and the potential customer.

The shortsightedness of only looking at situations in isolation is what leads to stupid ideas like homogenization, reduced shifts, reduced maintenance, and more. Yes... saving money = good! Reaching for pennies while the dollars float over your head = dumb.

Like a lot of things on this site... it's about the mindset and trends... not the actions in isolation. You'd think people would finally start to see the bigger picture... but I guess not.

Here we have a park that has been basically GUTTED and left to rot while it waits for the future major change. Instead of working out how to improve the park in the meantime with alternate forms of entertainment... they hunker down even more and skim even more off the top.

That's the difference between someone hunkering down knowing the sheep will return no matter what... and a business looking to create thrilled customers.

 

[GoofGoof]

Because you're missing the points they do share - both are trying to attract you as a customer. Stores lose money staying open 6-7 days a week because they know they have to build the image that they will be available.. when you are ready.

So when someone argues 'hey, this is ok, they gotta optimize...' and advocates that's all there is to it... they are wearing blinders and ignoring the rest of the interactions between the vendor and the potential customer.

The shortsightedness of only looking at situations in isolation is what leads to stupid ideas like homogenization, reduced shifts, reduced maintenance, and more. Yes... saving money = good! Reaching for pennies while the dollars float over your head = dumb.

Like a lot of things on this site... it's about the mindset and trends... not the actions in isolation. You'd think people would finally start to see the bigger picture... but I guess not.

Here we have a park that has been basically GUTTED and left to rot while it waits for the future major change. Instead of working out how to improve the park in the meantime with alternate forms of entertainment... they hunker down even more and skim even more off the top.

That's the difference between someone hunkering down knowing the sheep will return no matter what... and a business looking to create thrilled customers.

This is a valid point. The real issue as you stated is the park has been Gutted while we wait for construction to be finished. They have added temporary entertainment options and minor attractions to try to bridge the gap but it's just not enough to keep people happy and entertained for a full day. I haven't been to DHS in a little while now but from accounts here people are saying that the attractions that are closing early were empty at night. It's probably because the people left in the park are waiting for Fantasmic and/or people have hopped to other parks or went to Disney Springs for the evening (Pandora is supposed to be pretty nice at night). It's definitely not a full day park these days and I'm not sure any amount of temporary offerings would keep people there longer when the other parks offer better options. They could keep those attractions open until park close anyway but if the majority of guests aren't enjoying them at that time then you aren't really hurting very many guests by closing them early. I realize that the primary driver of these closings is cost cutting and in an ideal world they would offer a discount on the price of admission but we all know that would never happen. IMHO it's a much bigger deal that they are closing MK several hours earlier than most typical summer nights because that park is actually crowded and there's plenty of demand to keep the attractions open later.

 

[Chef Mickey]

*sigh* Has Disney ever discounted tickets because of a lack of offerings?

Why would they? You're not being forced to go and they just spent $1b on Pandora...go there until DHS is back and you'll be beating the door down to get into SWL.

Take the good with the bad and enjoy the new offerings.

Otherwise, just stay home and return when you see the value return.

Spoiler Alert: Disney will NEVER reduce ticket prices, so the snarky comments just get old.

 

[lazyboy97o]

Should theme parks only have quick service restaurants open from 12:00 - 6:00? That would capture the super majority of their business while drastically saving on labor when percentages of overall sales are lowest.

 

[GoofGoof]

Should theme parks only have quick service restaurants open from 12:00 - 6:00? That would capture the super majority of their business while drastically saving on labor when percentages of overall sales are lowest.

Of course they won't do that because the restaurants are a profit center. They still make money even in the off peak hours.

 

[seabreezept813]

Well I suppose I can't disagree completely here. They really need to curtail the obscene hiring of clueless college kids. I've definitely noticed a decline in the quality of College Program participants in the two years since I moved to Orlando. Most are the unbearable obsessed pixie dusters who are only in love with the idea of working at the most iconic vacation destination in the world. As long they can run to MK after work and fan boi out over the fireworks, they're set. They need a better vetting process both for CPs and regular workers. It just sucks they cannot fire people who don't truly care about the company and treat it like a run of the mill job.

I applied for CP about 7 years ago. As soon as I mentioned I was an English major, I was told I wouldn't make the cut. One of my acquaintances who was a Business major automatically got in.. and in this one example our work ethics were much different and I was a bit taken aback.. so while I'm sure they do get some good CPers, their selection process seemed odd to me

 

[RAXIP]

Should theme parks only have quick service restaurants open from 12:00 - 6:00? That would capture the super majority of their business while drastically saving on labor when percentages of overall sales are lowest.

Of course they won't do that because the restaurants are a profit center. They still make money even in the off peak hours.

PizzeRizzo is only open 11:00a-4:00p.

 

[Nmoody1]

Should theme parks only have quick service restaurants open from 12:00 - 6:00? That would capture the super majority of their business while drastically saving on labor when percentages of overall sales are lowest.

See the mess at Disneyland paris... this would be a resounding NO!

 

[The Empress Lilly]

Should theme parks only have quick service restaurants open from 12:00 - 6:00? That would capture the super majority of their business while drastically saving on labor when percentages of overall sales are lowest.

Ah, you mean like DLP?

 

[Rinx]

I highly doubt this is due to cuts but does anyone know what's going on with ToT? My brother was at DHS on the 11th and it was operating at half capacity. He also went on the 15th and still operating at half capacity but due to the crowds the Standby line was closed at some point in the afternoon and they were only accepting Fastpasses. Is there a refurb going on?

 

[Kman101]

Should theme parks only have quick service restaurants open from 12:00 - 6:00? That would capture the super majority of their business while drastically saving on labor when percentages of overall sales are lowest.

No.

Amazing what you all make a big deal out of. (And I agree they shouldn't be doing this, but they are, and I refuse to get worked up over it, if you find it an issue take it up with them.)

PizzeRizzo closes early. Let's grab the pitchforks!

 

[Princess Leia]

The thing about PizzeRizzo is that when SW:GE opens, I'm assuming PizzeRizzo will have longer hours. Sure, I think they should be open for dinner (it's got to be the only pizza place that isn't), but it's possible that it'll only be for a couple of years.

 

[ford91exploder]

This is a valid point. The real issue as you stated is the park has been Gutted while we wait for construction to be finished. They have added temporary entertainment options and minor attractions to try to bridge the gap but it's just not enough to keep people happy and entertained for a full day. I haven't been to DHS in a little while now but from accounts here people are saying that the attractions that are closing early were empty at night. It's probably because the people left in the park are waiting for Fantasmic and/or people have hopped to other parks or went to Disney Springs for the evening (Pandora is supposed to be pretty nice at night). It's definitely not a full day park these days and I'm not sure any amount of temporary offerings would keep people there longer when the other parks offer better options. They could keep those attractions open until park close anyway but if the majority of guests aren't enjoying them at that time then you aren't really hurting very many guests by closing them early. I realize that the primary driver of these closings is cost cutting and in an ideal world they would offer a discount on the price of admission but we all know that would never happen. IMHO it's a much bigger deal that they are closing MK several hours earlier than most typical summer nights because that park is actually crowded and there's plenty of demand to keep the attractions open later.

Both are symptoms of the mindless drive 'To Improve Margins at the Parks' thats thing from last earnings call which sticks in my head in point of fact it makes my head vibrate like Wile E Coyote with his head stuck in a bell.

There are two ways to improve margin one is by cost cutting, MK closing at 10 during peak vacation season, GMR closure all the 'little' cuts which add ip. This is what TDO has chosen,

The other is increase top line revenue but that involves RISK in that initiatives/products fail.

I think the biggest problem is that Burbank is afraid of risk taking and even worse how to take both creative and calculated financial risk.

This explains everything from Gasparillas running out of snacks by 7pm (because manager will be dinged if unsold), Restaurants not taking walkups to purchasing IP's to the Stock Buybacks. Everything TWDC does has to be 'A sure thing' when that strategy fails things fail fast as management is paralyzed because suddenly all the choices involve risk which because of earlier avoidance behavior they are unable to evaluate properly.

The worst thing about the cost cutting mentality is it's not Iger and his henchmen chortling about how they are cutting back on what they are delivering,

Its become institutionalized and somewhere there is a team of data scientists creating algorithms to analyze everything and decide what can be cut today and pushing those orders to park operations.

I doubt very much if there is a strategic look at whats being cut more likely its algorithmic because it makes senior leadership feel 'data driven' and sciency.

 

[Kman101]

The thing about PizzeRizzo is that when SW:GE opens, I'm assuming PizzeRizzo will have longer hours. Sure, I think they should be open for dinner (it's got to be the only pizza place that isn't), but it's possible that it'll only be for a couple of years.

Exactly. Was just using it as sarcastic point. lol.

 

[Princess Leia]

Exactly. Was just using it as sarcastic point. lol.

There are a lot of things to be ticked about for DHS, and PizzeRizzo's hours isn't exactly at the top of my list.

 

[Kman101]

There are a lot of things to be ticked about for DHS, and PizzeRizzo's hours isn't exactly at the top of my list.

And to me neither is closing One Man's Dream an hour or two before the park does. I understand why it bothers people, I think they could easily keep it open but it's not worth it to me to get worked up over.

 

[Movielover]

I think the biggest problem is that Burbank is afraid of risk taking and even worse how to take both creative and calculated financial risk.

Ah yes, I guess that is why the company is totally not spending mountains of cash on the parks right now. All that construction is absolutely not a risk, I mean it's only the largest expansion in park history (besides flat out building a new park) But hey you're right, they are just sitting there twirling their thumbs...

 

[ford91exploder]

Ah yes, I guess that is why the company is totally not spending mountains of cash on the parks right now. All that construction is absolutely not a risk, I mean it's only the largest expansion in park history (besides flat out building a new park) But hey you're right, they are just sitting there twirling their thumbs...

Try this for size, Disney is spending in total on constructing the new stuff at all parks a grand total of 8% relative to what they are spending on stock buybacks i.e. Chump change.

It's like NASA because of its visibility you think the budget is much larger in reality NASA's budget is like 0.4% of the US budget once again chump change

 

[HauntedPirate]

Ah yes, I guess that is why the company is totally not spending mountains of cash on the parks right now. All that construction is absolutely not a risk, I mean it's only the largest expansion in park history (besides flat out building a new park) But hey you're right, they are just sitting there twirling their thumbs...

All the construction is not an expansion of the park.

 

[Movielover]

Try this for size, Disney is spending in total on constructing the new stuff at all parks a grand total of 8% relative to what they are spending on stock buybacks i.e. Chump change.

It's like NASA because of its visibility you think the budget is much larger in reality NASA's budget is like 0.4% of the US budget once again chump change

I do get what you are saying, just 2 things.

1. I never thought NASA had any kind of budget ever since the space race ended, that's why the private sector had to take over our maned space missions and is also the reason why we still don't have the Starship Enterprise! (I'm a little upset about that one, thanks Obama...)

2. You are right that the budget of the parks expansion is small compared to Disney stocks however its still larger than anything that was happening in the early 2000's Maybe I am an optimist but things are much brighter now then they were when the only expansions occurring were a meet and greet location and a churro stand... ( I do love me some churro's though!)