Cuts coming to every area of parks and resorts - thanks to Shanghai and Paris

[ford91exploder]

This. The attendance will be what China says it is. Any loss will be what China says. Any profit will be what China says. China can void any Disney exec or employee visa at will. Where would Disney go for help if the check is always "in the mail?".

Up a well known creek without a paddle (or lifejacket).and how much do you wanna bet Disney has to make good any losses related to SDL...

 

[flyerjab]

Where is Save Disney when you need it, Right now the only hope would be somebody like Warren Buffet buying Disney keeping the Studios and Parks and unloading the media networks portion and selling the foreign parks to be operated as licensed entities like OLC currently operates (the best Disney park)

Did you forget your meds again?

 

[TalkingHead]

They already used to do an upcharge for E-Ride nights. They went away from it.

EMH will go away and instead onsite guests will be given 2 extra FP+ reservations for that park on that day.

Bank it.

There's all kinds of devious ideas that could be adopted for on-property guests that would effectively screw everyone else.

Imagine if Disney resorts guests were given "complimentary" re-rides ("All You Can Ride"-type of thing) whereas other day guests have to pay extra for the same perk. Lee alluded to a similar kind of up-charge. If that was "added" as a perk while EMH were eliminated, the operational savings could be substantial, I'd think. It would further diminish the value of the product, but at this point, who in charge cares?

 

[ford91exploder]

Did you forget your meds again?

How much cutting at P&R is acceptable, The company would be better served by splittng P&R and Studios have always been complimentary, The media business needs to evolve and it cann under current structure. The foreign parks should be sold to local investors and operated like OLC as in under license that insulates the US based business from overseas weakness and allows the parks to be tailored to local markets.

 

[asianway]

They already used to do an upcharge for E-Ride nights. They went away from it.

EMH will go away and instead onsite guests will be given 2 extra FP+ reservations for that park on that day.

Bank it.

I think E Ride Nights were like twelve bucks? Wonder what a pay to play EMH would be today

 

[marni1971]

Disney is making cuts to Parks and Resorts as a whole (in order to compensate for Shanghai, because god forbid every section of the company not being profitable at all times), and since WDW is the biggest resort, it gets the most cuts. Presumably it is the most expensive to run,

But maybe it also makes the most profit.

 

[marni1971]

I agree with most of this although I think some of the "doom & gloomers" as they are called around here are taking pleasure .

If I'm considered being in that class (and I hope not) it's quite the opposite.

I'm gutted.

 

[TalkingHead]

I think E Ride Nights were like twelve bucks? Wonder what a pay to play EMH would be today

Nearly as much as a one-day ticket, surely.

 

[marni1971]

Is the Extra Magic Hours and "Free Dining Plan" going away too? If they are are making cuts, those might be coming next.

They've wanted to eliminate both for a while now. Potentially EMH will be quietly reduced over time first.

 

[CrescentLake]

But maybe it also makes the most profit.

Of course it does. I'm not at all defending the cuts, I think they are an enormous blunder on the part of TWDC. I did not really understand what @raven was trying to say in that Disney was losing their foothold and deciding to invest overseas. For me, the more plausible explanation (albeit an incredibly shortsighted one) was that hey, we need to make cuts at Parks and Resorts. Where can those cuts be made to "balance the budget?" The answer would be WDW, because it is the largest resort.

Again, I'd like to reiterate to you both, I am NOT advocating, explaining away, or justifying these cuts. I am appalled by them. I am merely trying to say I don't think Disney is losing their foothold in Orlando and calling an audible (investing overseas). Rather, they are using the above logic I described. I don't have any inside information like the both of you, so I may be just straight wrong, but it seems to me that its Disney's ego thats the problem here. They know they can make these cuts and nobody will care, and they will still make record profits, not that they are losing their foothold in the Orlando market.

 

[Figaro928]

Maybe Disney could go the Kanye route and ask Mark Zuckerburg for a billion dollar bailout

 

[Timsierramist]

^^^THIS!

EDIT: Quoted in error.

 

[LAKid53]

The difference I think with Eisner is Eisner greatly added to the Disney parks, Created DVC and the Cruise line and basically BUILT the Disney powerhouse that Iger is running into the ground, What are Iger's accomplishments, Price Increases, Quality Cuts and some IP purchases - not the stuff a positive legacy is built on.

And don't forget he took the Walt out of Walt Disney Pictures. I heard that had been done, but didn't believe it until I saw Tomorrowland on cable. You know, it was Roy who wanted the full name to be Walt Disney World to honor his late brother. So are we going to be calling it DW one day? Is that what Iger feels he needs to do to ensure HIS legacy? Since WDW is really Roy's park.....

I wonder what the Disney family thinks about all of this. Diane's husband is still living, correct?

I love Disney, have since I was a kid. AP, DVC member, won't do any cruise but Disney. But Universal had done some really great attractions and now that HP West is opening in April, an amazing looking water park is set to open, the new attractions coming soon to Orlando, another hotel, Disney really needs to get its act in gear, soon. Not that I think Uni could ever pass the Mouse (unless they do an all Marvel park), but they have figured how to do it right. Diagon Alley took, what two years? Is the Hub finally completed ?

 

[LAKid53]

Do you think the average american even KNOWS Disney bought Marvel?, The stock price I expect Iger soon will want people to forget about that especially the ones who bought at 119!, The only lasting thing I think for Iger in the eyes of the public will be Star Wars.

No, because they see all the Marvel attractions in Uni and just Marvel merchandise in WDW....

 

[LAKid53]

This. The attendance will be what China says it is. Any loss will be what China says. Any profit will be what China says. China can void any Disney exec or employee visa at will. Where would Disney go for help if the check is always "in the mail?".

Not the Feds, given the % of US Treasuries the Chinese hold......

" Sorry Bob, but we're not going to off the country that has fueled our borrowing..."

 

[LAKid53]

There's all kinds of devious ideas that could be adopted for on-property guests that would effectively screw everyone else.

Imagine if Disney resorts guests were given "complimentary" re-rides ("All You Can Ride"-type of thing) whereas other day guests have to pay extra for the same perk. Lee alluded to a similar kind of up-charge. If that was "added" as a perk while EMH were eliminated, the operational savings could be substantial, I'd think. It would further diminish the value of the product, but at this point, who in charge cares?

Similar to what Uni does for those guests staying at their deluxe resorts? And everyone else can buy as an add-on to their ticket?

 

[TheGuyThatMakesSwords]

A smart Business team would cut their losses at....
Shanghai and Paris.

Please let me know if Disney comes up with a smart Business team.....

 

[lazyboy97o]

A smart Business team would cut their losses at....
Shanghai and Paris.

Please let me know if Disney comes up with a smart Business team.....

Why? The problems at those Resorts are systemic to all of Disney's parks.

 

[HauntedMansionFLA]

They've wanted to eliminate both for a while now. Potentially EMH will be quietly reduced over time first.

Would resort guests be able to get say 5 fast passes compared the 3 you can reserve at this time? Hopefully resort guests get a little bit of perks with staying on site.

 

[No Name]

You're not really touching on any real cultural issues that have plagued Disneyland Paris and Hong Kong Disneyland. In the case of Disneyland Paris the issues aren't naming or attraction content, but guest spending and that issue was not one of America compared to Europe as it was Japan compared to Europe. The name was never an issue, nor were the excessive number of hotel rooms a misreading of Europe.

Hong Kong Disneyland's cultural issues are more about conflicts between Hong Kongers and Mainlanders. That is not so much a Disney issue. The Government of Hong Kong wants to be closer to Beijing and has the area's tourism industry around attracting Mainland tourists, and the decline in Mainland visitors also hit Ocean Park Hong Kong.

Sorry, I missed this somehow. Anyway, yes I do agree that there are some troubling cultural issues with no easy solutions like spending in paris and vistors to hong kong. Though I do believe that most of these issues can be overcome somehow. French people, and especialy tourists visiting paris, do spend money. I don't have the answer but Disney has to find what'll make these people less tight on their wallets. And Hong Kong Disneyland, well, if the park was superb and such a great value, enough mainlanders should've still been drawn regardless of the tensions (that issue is troubling though for when Shanghai opens).

Again, there are no easy solutions and I do agree there are more cultural problems in other countries than the US, but I think Disney just needs to figure out how to get around them. I guess that's where we disagree. Personally I am happy about Shanghai (just not happy with the terrible budget decisions) and I do hope it's very successful.