Changes to DVC Bookings - effective June 2nd

[KDM31091]

Unless I am missing something, I don't really see how this will improve availability. In demand dates (which are basically all of the year) always book out anyway. Lack of 7 month availability is really nothing new. It's never been easy for most of the resorts. This is why OKW and SSR have long been dubbed the resorts of last resort. They are/were typically the only ones available a lot of the time on shorter notice. Maybe it has gotten worse but a lot of it is social media influence and info about DVC becoming more readily available in that sense, and techniques like walking which most didn't know about before. Stopping rentals, eh. The rooms are getting used, the dues are paid, I don't really see why Disney cares so much.

 

[tanc]

I just rented for the first time before this change luckily lol. But why would anyone want to buy DVC if I could get reservations for half price and not even require a 50 year membership or whatever? Maybe they need to start providing more perks.

 

[Club Cooloholic]

Unless I am missing something, I don't really see how this will improve availability. In demand dates (which are basically all of the year) always book out anyway. Lack of 7 month availability is really nothing new. It's never been easy for most of the resorts. This is why OKW and SSR have long been dubbed the resorts of last resort. They are/were typically the only ones available a lot of the time on shorter notice. Maybe it has gotten worse but a lot of it is social media influence and info about DVC becoming more readily available in that sense, and techniques like walking which most didn't know about before. Stopping rentals, eh. The rooms are getting used, the dues are paid, I don't really see why Disney cares so much.

I can definitely see how it would help to not be renting them out, especially when the middlemen groups are doing searches and actively helping making bookings happen for specific dates if I own a bunch of points and I'm not thinking about booking anything I'm just not going to till I'm ready as it is now if I think I'm going to just throw them into rentals. Well they're going to get eaten up every last one of them

 

[C33Mom]

I'm trying to identify the downside for Disney that they're trying to prevent.

Let's say my Private Equity company, Amalgamated Evil, buys a bunch of DVC contracts with the sole intent of renting them out.

Disney gets paid for the contracts, same as if they were sold to individuals.

Amalgamated Evil, a for-profit company, has every incentive to rent the points out to make money. So they rent to families far and near.

The families come to Walt Disney World and spend money like usual.

What's the downside to Disney here?

It is often discussed on this site that Disney has been having more trouble filling their hotel rooms, the huge wave of very generous discounts throughout this year seems to confirm it.

DVC gets members dues whether they show up or not, but Disney hotels lose some amount of revenue each time a person who would have stayed at Beach Club pays 60% as much for a BCV studio, or who would have stayed at Polynesian books a villa for 75% as much.

Okay, but it's still the same number of people in the rooms. I'm not even sure that on average, over time, the geographic demographic for Amalgamated Evil is that different from the average DVC owner.

Is there a direct cost to Disney shareholders for Amalgamated Evil to rent points?

As mentioned above, a Disney shareholder is losing the profit margin on each room that sits empty because someone picked up a spec rental instead…and probably also losing additional money as Disney has to drop rates across resorts to compete with the rental companies that can charge $250 a night at AK villas or BC villas and still make a big profit.

As mentioned by @ehh above, they are losing profit on the empty hotel rooms (whether deluxe, moderate, or value), any additional across the board discounts they offer to raise occupancy, *and* the DVC members who decide not to visit at all or leave the program entirely and stop visiting Disney for a while due to frustration being unable to book a studio at 11mo while seeing 10+ rooms available for their dates on rental sites.