Good Story On Costs

[Club Cooloholic]

I thought this was a pretty thorough story on WDW costs. Much of what was said in this has been reflected by various posters in the forum

 

[DW Aficionado]

It's kind of Yes and No... Everyone I know is being outpriced. But based on the crowds and the demand, I can't blame Disney for increasing the prices on a weekly basis. I think even they are shocked how willing families are to pay these prices. It really is supply and demand, what are country is based on (at least for now).

 

[Club Cooloholic]

It's kind of Yes and No... Everyone I know is being outpriced. But based on the crowds and the demand, I can't blame Disney for increasing the prices on a weekly basis. I think even they are shocked how willing families are to pay these prices. It really is supply and demand, what are country is based on (at least for now).

Oh I see it, but they are not building their audience this way. How many first timers think they need to experience that again?

 

[Sirwalterraleigh]

Oh I see itz but they are not building their audience this way. How many first timers think they're need to experience that again?

It’s not about people paying the price today…

The intermediate to long term damage.

Bob has no problem stripping it bare with no concern for how bad it gets (mercifully) after he’s gone.

That’s the larger issue

 

[DW Aficionado]

Oh I see it, but they are not building their audience this way. How many first timers think they need to experience that again?

I totally agree. They are not looking at the big long term picture. My kids grew up going to Disney almost every year, now they are looking forward to doing the same with their children.

But if they can only afford to go once every 10 years or so, their children will have little interest to eventually take their children.

I know it sounds like it's many years away, but i'm still trying to wrap my head around the fact that 9/11 was 20 years ago already.

 

[Sirwalterraleigh]

I totally agree. They are not looking at the big long term picture. My kids grew up going to Disney almost every year, now they are looking forward to doing the same with their children.

But if they can only afford to go once every 10 years or so, their children will have little interest to eventually take their children.

I know it sounds like it's many years away, but i'm still trying to wrap my head around the fact that 9/11 was 20 years ago already.

Only being able to afford it once every 10 years serves no purpose in the Disney parks model…for Disney

I mention it on occasion…but my past work experience was centered around avoiding EXACTLY this…it’s contrary to the entire concept/model that worked successfully for 50+ years.

I assure everyone…there are NOT that many fish in the sea to sustain and profit if you are discarding your core customers in this manner. Unsustainable

 

[Epcot-Rules]

WOW, 45% of families will take on debt just to go is mind boggling.

 

[jloucks]

WDW is a kind of bad example of this as it is a luxury good nobody has to purchase. Getting priced out of a luxury good or service is almost part of the very definition.

The bigger picture is families are being priced out of everything (WDW included). Mark my words, the biggest problem as far as "pricing out" goes is housing. Our society is stripping the wealth from the middle class at an unheard-of rate by turning the US into a nation of renters. Renters are not building wealth. Not for themselves anyway. This will NOT end well for the average person. The top 10-15% will rake it in tho.... yay?

Around where I live (DFW) there are entire subdivisions of housing going up, and they are 100-freakin-percent rentals. Out of the gate, the entire neighborhoods are owned by Blackrock. Not good for overall health.

WDW prices are just an exaggerated example of this "pricing out".

 

[jloucks]

WOW, 45% of families will take on debt just to go is mind boggling.

They need to stop doing this. There should be some kind of warning, like on cigarettes. It's gross to me. Disney crack.

 

[Club Cooloholic]

Only being able to afford it once every 10 years serves no purpose in the Disney parks model…for Disney

I mention it on occasion…but my past work experience was centered around avoiding EXACTLY this…it’s contrary to the entire concept/model that worked successfully for 50+ years.

I assure everyone…there are NOT that many fish in the sea to sustain and profit if you are discarding your core customers in this manner. Unsustainable

It started with the dessert parties, the separating guests, and giving those spending more a different experience, and it has only grown from there with after hours events and Christmas parties that run nearly every night of the week.

While guests with money always could have a different experience, be it behind the scenes tours, better resorts, better restaurants, that was always not in the face of the average guest. You could wake up at your All Star Resorts, have breakfast at the food court, head to the park ride some rides eat lunch at Casey's Hot Dogs, maybe have a dinner at Crystal Palace(and could even do it with a family of four for under $175 bucks), watch your fireworks wherever you want, then take your bus back to your room at the All Stars. During that time you might see some folks on a tour, but that was about it. Want to skip a few lines, work the fast pass kiosks, which don't care how much money you have as they are all free.

Today? Many folks are priced out of most sit down restaurants. Your kid wants to know why they can't sit where all those people are for the fireworks, well you had to buy a $80 ticket for that. Oh wait, you don't even have to worry about the fireworks, because you are getting kicked out at 7pm so the people who paide another $200 can use the park that night. Sorry kids. Oh and you want to skip the lines, like all those other people, we can't because that extra $100 a day to buy genie just isn't in the budget. The guest leaves wondering why they went into debt to feel like a second class citizen.
Disney is treating it's guests like suckers.

 

[jloucks]

I totally agree. They are not looking at the big long term picture. My kids grew up going to Disney almost every year, now they are looking forward to doing the same with their children.

But if they can only afford to go once every 10 years or so, their children will have little interest to eventually take their children.

I know it sounds like it's many years away, but i'm still trying to wrap my head around the fact that 9/11 was 20 years ago already.

The silver lining I guess is that empty parks won't generate profit, so WDW will find a balance that maximized profit.

Only one can be true....

• WDW is doing great, and therefore the prices are correct
• WDW is not doing great, and therefore the prices will be adjusted

I assume prices will have to go down if the park's attendance is down, so win?

 

[JIMINYCR]

WOW, 45% of families will take on debt just to go is mind boggling.

Not really. ( And it wouldnt surprise me that 45% is too low a figure) Its not just a Dis vacation, its how they run their entire lives. Everything. When stats tell us that approx 90% of people dont have $5000 in savings for emergencies and the majority of spending is on credit cards where interest rates are killing them, never paying off the cards. If they want to go to Dis then its normal to just pull out the card and worry about paying it later.

 

[Sirwalterraleigh]

WDW is a kind of bad example of this as it is a luxury good nobody has to purchase. Getting priced out of a luxury good or service is almost part of the very definition.

The bigger picture is families are being priced out of everything (WDW included). Mark my words, the biggest problem as far as "pricing out" goes is housing. Our society is stripping the wealth from the middle class at an unheard-of rate by turning the US into a nation of renters. Renters are not building wealth. Not for themselves anyway. This will NOT end well for the average person. The top 10-15% will rake it in tho.... yay?

Around where I live (DFW) there are entire subdivisions of housing going up, and they are 100-freakin-percent rentals. Out of the gate, the entire neighborhoods are owned by Blackrock. Not good for overall health.

WDW prices are just an exaggerated example of this "pricing out".

It relies on middle class business and the ancillary expenditures once they’re there.

That is how they make profits.

Period.

It is not…nor ever was…a “luxury” good.

That’s the problem…a small segment of zealots promoting it as such.

 

[Mr. Pusskers]

It's more than that. Yes, some one hit the nail on the head about credit cards and spending, but the other major factor is the cost of groceries has gone up. Affording to put food on the table is getting harder and harder. So, any thoughts on disposable income from the middle class is shrinking every day. I work and can afford my groceries but have cut back on spending and am in no way going to WDW right now. I want a little money tucked away in case of emergency happens.

 

[Club Cooloholic]

Best

It's more than that. Yes, some one hit the nail on the head about credit cards and spending, but the other major factor is the cost of groceries has gone up. Affording to put food on the table is getting harder and harder. So, any thoughts on disposable income from the middle class is shrinking every day. I work and can afford my groceries but have cut back on spending and am in no way going to WDW right now. I want a little money tucked away in case of emergency happens.

Disney has outpaced inflation by leaps and bounds.

 

[Sirwalterraleigh]

Disney has outpaced inflation by leaps and bounds.

NO IT HASN’T!!!!!

(Cant wait for that to show up)

 

[Lilofan]

Not really. ( And it wouldnt surprise me that 45% is too low a figure) Its not just a Dis vacation, its how they run their entire lives. Everything. When stats tell us that approx 90% of people dont have $5000 in savings for emergencies and the majority of spending is on credit cards where interest rates are killing them, never paying off the cards. If they want to go to Dis then its normal to just pull out the card and worry about paying it later.

Credit is an " I love debt " score.
Those who don't manage money effectively work for those who do.

Food for thought from someone wise.

 

[DW Aficionado]

It started with the dessert parties, the separating guests, and giving those spending more a different experience, and it has only grown from there with after hours events and Christmas parties that run nearly every night of the week.

While guests with money always could have a different experience, be it behind the scenes tours, better resorts, better restaurants, that was always not in the face of the average guest. You could wake up at your All Star Resorts, have breakfast at the food court, head to the park ride some rides eat lunch at Casey's Hot Dogs, maybe have a dinner at Crystal Palace(and could even do it with a family of four for under $175 bucks), watch your fireworks wherever you want, then take your bus back to your room at the All Stars. During that time you might see some folks on a tour, but that was about it. Want to skip a few lines, work the fast pass kiosks, which don't care how much money you have as they are all free.

Today? Many folks are priced out of most sit down restaurants. Your kid wants to know why they can't sit where all those people are for the fireworks, well you had to buy a $80 ticket for that. Oh wait, you don't even have to worry about the fireworks, because you are getting kicked out at 7pm so the people who paide another $200 can use the park that night. Sorry kids. Oh and you want to skip the lines, like all those other people, we can't because that extra $100 a day to buy genie just isn't in the budget. The guest leaves wondering why they went into debt to feel like a second class citizen.
Disney is treating it's guests like suckers.

Best Post of the Week !!!!!!

 

[jloucks]

It relies on middle class business and the ancillary expenditures once they’re there.

That is how they make profits.

Period.

It is not…nor ever was…a “luxury” good.

That’s the problem…a small segment of zealots promoting it as such.

"A luxury good is a non-essential product. Consumers don't need luxury goods to live. Examples include clothing from high-end designers, designer luggage and handbags, jewelry and watches, high-end vehicles, over-the-top vacations and real estate, and certain services, such as a live-in nanny." - Google

Those are not my words, but I do agree with them.

So then, is WDW an "over-the-top vacation"? Not what is it meant to be, I mean what is it now in reality. Consider the prices of other vacation options.

 

[NelsonRD]

WOW, 45% of families will take on debt just to go is mind boggling.

Depends how you look at it. The argument is you can always pay off debt, but your children are only young once. Kids grow fast, and it is often the cost of opportunity. I know several friends who always were waiting for the best time to go, between saving money, or being old enough to remember, only to never go because of divorce, or kids losing interest. I am not advocating reckless spending, but I understand the importance of a family vacation. Personally I make cuts elsewhere to fund trips, but it is often still not enough.