PhotoDave219
Well-Known Member
Here's a simple explanation of elasticity from The Wire. (Naughty Language Inside)
Edit: Better Clip
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How far will Disney price gouging go?
- Thread starter THEMEPARKPIONEER
- Start date
Here's a simple explanation of elasticity from The Wire. (Naughty Language Inside)
Edit: Better Clip
JIMINYCR
Well-Known Member
You may get angry because the cost of your vacation has increased since the last time you went and it causes you to work more, save more, and wait longer in between to get there. You may not be able to do all the things you were expecting to do or purchase as many souvenirs the kids are crying for. But the reality is that Disneys cost of operating and maintaining the property and keeping employees has increased as well. Just like there isnt any part of my business that hasnt gotten more expensive to run, or the cost of living in my home and maintaining my vehicles. We expect the parks to open every day, have cm's operating everything, shows running on time, efficient transportation and more for our buck. Well it all comes at a cost, the cost of operating continues to increase. So I'd say even though my tickets and resort stay has increased since last year....I feel like for all I'm getting while on property, I'm still getting a bargain. I'll pay out again this year to enjoy my 2 weeks and not grumble at all.
ShoalFox
Well-Known Member
- In the Parks
- Yes
I'm just glad I finally got to apply something I learned this year in AP Economics to a real life situation.
Mouse_Trap
Well-Known Member
I doubt they really care where the guests are coming from; as long as they come. A dollar is a dollar no matter who gives it to you.
I'm not convinced about this concept of discounts for non-domestic markets. At least not in the UK.
Right now we are only offered 2, 7, 14 and 21 day tickets.
Interestingly, they have only recently started offering 2 day tickets here. I presume this is to claw some cash from those making Universal centred vacations and who would not have otherwise paid for a 7 day Disney ticket (or 14, the prices were next to identical).
An adult 7 day ticket is currently £289, but does include hopping and water parks etc. A 14 day ticket is the same price.
£289 currently equates to $433
The closest equivalent US ticket is the 10 day ticket with water park and hopping added. That I believe is $440.
So we are not really getting a better price, just a slightly different deal because people typically come for 7 or 14 days. The incremental price on a US ticket is only a few $ a day.
So giving the few extra days is just offered to keep the guests on-site longer and try to prevent them going to Universal for a few days.
Dwarful
Well-Known Member
For us, we decided to skip FLA this summer. We were at WDW in Feb. / March and that was enough of a fix for us, we were disappointed in a few things and decided to save the funds for other trips. We have already decided next year to do the first part of the trip at Universal on their property...something we have never done (stayed on their sight...we have been to Uni) and do fewer days at WDW.
raven
Well-Known Member
They aren't just raising ticket prices but also prices for merchandise, food, tours and other things. For those of us who've been many times over the years it is the hardest to take, but for people who've never been before they think it's normal.
They seem to be sneaky about other items as well thinking guests won't notice. For example: the price of Fish & Chips in UK went up slightly yet the serving size got smaller. I like to call that the "Nabisco effect" because the normal size packages of Nabisco cookies and crackers 10 years ago are now being labeled as "family size" and the new normal size is much smaller. Same goes for certain brands of cereal.
The problem returning guests are seeing is not only the price has been increased but the park offerings are dwindling and sense of the whole "Disney feeling" has completely changed over the past 15 years or so as well.
They seem to be sneaky about other items as well thinking guests won't notice. For example: the price of Fish & Chips in UK went up slightly yet the serving size got smaller. I like to call that the "Nabisco effect" because the normal size packages of Nabisco cookies and crackers 10 years ago are now being labeled as "family size" and the new normal size is much smaller. Same goes for certain brands of cereal.
The problem returning guests are seeing is not only the price has been increased but the park offerings are dwindling and sense of the whole "Disney feeling" has completely changed over the past 15 years or so as well.
Goofyernmost
Well-Known Member
People can only be gouged if they allow themselves to be gouged. Or if they don't feel it is gouging. It has a ceiling, but, at least to now, it hasn't been reached yet. It will eventually, but, for now more people then ever are seeing the value and spending the money. It's a hard concept to accept, but, it is supply and demand, pure and simple. In as much as Disney is not a life support item, a person can live a happy, productive life without ever setting foot in a Disney park. The only thing between us and not being "gouged" is our willingness to pay what is asked (and then complain about it).
No way, they cut back to cut down on costs and mantenence
As a hyper-nostalgic 17-year-old, this sounds like a formula for a potential demise in my adulthood, which scares me.
jakeman
Well-Known Member
Adulthood is full of demises. A theme park is probably going to be pretty far down on your list of things to worry about when you reach that point.
Club Cooloholic
Well-Known Member
People love to say Disney will raise the price till people stop coming. If that really is their intention it is poor planning, especially if they do not add improvements to justify increases. If a family saves and saves to go and then come away with the feeling that they did not get their money's worth, they have lost that family for future visits. Likewise a returning family that sees less attractions and quality than in the past may likewise feel ripped off and look to spend dollars elsewhere. It is hard to get customers back after a bad experience. Universal and DL have raised prices as well, but you can look at those parks and see clear improvements that have elevated the parks from where thay were 5 years ago.
At WDW where has the money gone? More construction of DVC Villas(I pity anyone shelling out for Poly while that went on) and a Fantasyland Expansion where the signature experience that defines it is a restaurant? Line em up Uni, DL-CA, WDW...one of these things is not like the other.
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DVCOwner
A Long Time DVC Member
DVC takes no money away from the Parks...it is a cash cow that Disney will continue to milk as run as it can.
Club Cooloholic
Well-Known Member
What's your point? I never said it took money away, but on the surface to the average vacationer it looks like WDW is more interested in building Villas quickly than adding quality attractions.
jloucks
Well-Known Member
Well, supply isn't really all that flexible. Price is the best tool they have for demand manipulation. The very fact that there are crowds would indicate they are NOT "gouging" in a broad sense. Disney is a luxury item. A discretionary item. It is not like something you must have. A person could argue that any luxury item is gougy. Gouging is typically associated with charging more for something you have no choice but to buy. Fitting that model to a luxury good or service sounds funny to me.
If the parks are full, price fits demand and might even be doing those at the park a favor!! (crowd control).
My unpopular opinion continues to be double or triple park admission prices and get the crowds under control.
Communicore
Well-Known Member
Well, in that one thread, they mentioned they got rid of the free cheese sauce. Which means they will charge for it, like an upcharge and it will just be served behind the counter. Good job, Disney. Toppings bar will be gone next, no more free salads and sauerkraut and onion sandwiches.
raven
Well-Known Member
The average guests (and several of my friends alike) see it as Disney is raising their ticket prices and building properties to pull more visitors into Disney time share. He was just mentioning this fact and that guests aren't seeing quality improvements and additions INSIDE the actual parks where the prices have increased. So to those average guests it seems as if though they are paying to fund projects at WDW that they aren't intending to experience. Disney needs to step up it's game at the parks and building more areas for guests to visit if they are wise.
WDW has become so crowded in the last few years that it's not even enjoyable anymore for some repeat customers. They can build more and more rooms and DVC's but all of those additional guests are going to be cramming the parks too. They really need to build another park at this point to even out crowds if they aren't planning on expanding what they already have in a major way.
DVCOwner
A Long Time DVC Member
You stated that no real improvements have been made at Walt Disney World in the last five years and than you asked where did all the money go and then implied that it went to DVC construction. Your quote is "At WDW where has the money gone? More construction of DVC Villas." So if your point was not that Disney was spending money on Disney Vacation Club and not the parks; than what's your point.
Maybe you should have said, "With all the money that Disney has made on Disney Vacation Club, why has not some of that been put back into the parks."
DVCOwner
A Long Time DVC Member
Now this is what I can agree with. As Disney makes money off the Disney Vacation Club and that this does increase the number of people stay "on park"; it will cause a increase at the gate. Disney should be taking some of the profits from Disney Vacation Club and putting it into more rides and attractions. Disney now has over 30,000 rooms on the park and they need to do something in the parks to keep the rooms full and people coming back or telling their friends to make a trip.
DVCOwner
A Long Time DVC Member
I for one get tired of people blaming the lack of investment in the parks on Disney Vacation Club. Disney Vacation Club has never failed to make a quick return on investment on the properties that they have built. Most sell out within a few years, returning in a short time the money invested in the time shares plus a lot of profit. I am hoping that at this years Disney Convention in August we will hear about major improvements at Walt Disney World.