Iger’s $17 Billion Walt Disney World Investment

[Tha Realest]

Ridonkulously expensive, no doubt. Looking at the rumored overall price tag, it totally fits. But everything I have ever read was that MB was primarily sold to management as a data-gathering and crowd control tool, and that the payment piece was a nice benefit that they took advantage of. I'm genuinely interested to know if that's true and the "getting away from cash and cards" was an original design goal.

I haven't used a MB to pay for anything in a while. Does it still batch process at the end of the day?

I’ve heard there is a tremendous amount of data leakage that isn’t captured in the current system, which necessitated the move to MB+

 

[HauntedPirate]

I was simply pointing out how early the technology was, and how that lead to it being more expensive but also having more of a unique identity. Apologies if you read anything more into it.

All good. I'm a bit wound up today due to work, so I apologize for my tone.

 

[flynnibus]

I haven't used a MB to pay for anything in a while. Does it still batch process at the end of the day? I'm presuming it does since it would still show up as one daily charge on your hotel folio

your hotel bill gets batched when you hit accumulation thresholds. Hence a big savings.

 

[mikejs78]

If anything, the Skyliner probably cannibalized sales at other resorts (excluding the 2022 attendance boom). Isn't half of Port Orleans shut down at the moment?

I don't think this is accurate.

 

[Advisable Joseph]

Back to the topic.

WDW employs 75,000 now (https://disneyconnect.com/disneyworld/our-cast/), and 60,000 in 2010 (https://thedisneyblog.com/2010/12/01/disney-world-union-takes-offensive/
) so 15,000 more with the same amount of capex as last decade (adjusted for inflation, etc.) is not unreasonable. EDIT: For reference, Disney was talking about adding about 13,000 jobs.

However, $17 billion at WDW seems too small for $60 billion worldwide, unless Disneyland Forward is going to be truly gigantic, or there is hyper expansion in China.

 

[peter11435]

Back to the topic.

WDW employs 75,000 now (https://disneyconnect.com/disneyworld/our-cast/), and 60,000 in 2010 (https://thedisneyblog.com/2010/12/01/disney-world-union-takes-offensive/
) so 15,000 more with the same amount of capex as last decade (adjusted for inflation, etc.) is not unreasonable.last

However, $17 billion at WDW seems too small for $60 billion worldwide, unless Disneyland Forward is going to be truly gigantic, or there is hyper expansion in China.

It is my understanding that the $17 billion number for WDW might be increasing.

 

[HauntedPirate]

It is my understanding that the $17 billion number for WDW might be increasing.

So what you’re saying is… DVC towers everywhere!!!

 

[HauntedPirate]

your hotel bill gets batched when you hit accumulation thresholds. Hence a big savings.

You’d think an entity as large as Disney would be able to negotiate a slightly lower per-transaction rate with the big CC providers. When will they start taking Vasa, and Muster Card?

 

[JoeCamel]

So what you’re saying is… DVC towers everywhere!!!

Come on, you know that is code for fifth gate

 

[Sirwalterraleigh]

Most of the 60B will end up in Asia, whether Shanghai Disneyland, Hong Kong and certainly with the cruise ships. The slide show itself showed the massive population pool Disney believe is untapped in Asia vs what they feel is available within the domestic parks.

Same ole…
They’re big in Japan…and will never be anywhere else in that neighborhood.
Might have something to do with Japan being firebombed into oblivion and rebuilt with US dollars from the ground up once? Just maybe?

Didn't MDE alone cost $1 billion +? Which is ridiculous considering the track record of Disney's still terrible IT.

We probably need to ask someone what that was really about?

Ok…I’ll go…

Hidden in plain site of that development was a MASSIVE…from the ground up IT build. Because their system was outdated, underperforming and wholly inadequate.

But in a great display of Bob 3:16….he tried to sell stock off an overhead expense. When it was really just an overhead expanse. Magic bands weren’t going to make more money…better merch and more people with new draws at higher prices…would

He lied. No “illegal”…just a shell game.

 

[HauntedPirate]

I just can’t get excited (at this point) knowing what Disney tends to spend on attractions and what results they get for that money these days.

 

[flynnibus]

You’d think an entity as large as Disney would be able to negotiate a slightly lower per-transaction rate with the big CC providers. When will they start taking Vasa, and Muster Card?

Disney is big.. but mainly because they are single site. Imagine the number of card swipes a business like McDonalds does a day... or how much a stadium vendor like Aramark

Disney obviously has a sponsorship deal with Visa, so maybe they have special arrangements, but I doubt it involves changing the skim %.

 

[Sirwalterraleigh]

Ridonkulously expensive, no doubt. Looking at the rumored overall price tag, it totally fits. But everything I have ever read was that MB was primarily sold to management as a data-gathering and crowd control tool, and that the payment piece was a nice benefit that they took advantage of. I'm genuinely interested to know if that's true and the "getting away from cash and cards" was an original design goal.

I haven't used a MB to pay for anything in a while. Does it still batch process at the end of the day? I'm presuming it does since it would still show up as one daily charge on your hotel folio.

Yep…I’ve gone off the band 100%…
Batching is distasteful. A cat like me says that…it’s not a smart strategy. Trust me.

your hotel bill gets batched when you hit accumulation thresholds. Hence a big savings.

Oh…terminal fees? I hadn’t thought of it that way?

My god…that’s the most Low Rent thing ever…sure sounds like a Bobs Thing

 

[HauntedPirate]

Come on, you know that is code for fifth gate

Darn it, and now you broke the 4th wall! Everyone knows they’re going to triple the size of MK by expanding to the west. Plus put in a new park along World Drive. And add half a dozen new resorts, inspired by Marriott and IKEA.

 

[Sirwalterraleigh]

I just can’t get excited (at this point) knowing what Disney tends to spend on attractions and what results they get for that money these days.

Or what they “project” we’ll pay

Blue sky BS and skins are the way to keep the price ceiling “invisible”?

They sure let some dummies into Stanford these days

 

[HauntedPirate]

Disney is big.. but mainly because they are single site. Imagine the number of card swipes a business like McDonalds does a day... or how much a stadium vendor like Aramark

Disney obviously has a sponsorship deal with Visa, so maybe they have special arrangements, but I doubt it involves changing the skim %.

Good point.

You can tell I don’t do much with MB’s when I’m there - I had completely forgotten about the dollar threshold for pushing a charge through.

 

[Sirwalterraleigh]

It is my understanding that the $17 billion number for WDW might be increasing.

Just as much chance they converted it to complete

 

[Advisable Joseph]

It is my understanding that the $17 billion number for WDW might be increasing.

The plot thickens.

WDW employed 74,000 cast members June 2016 (https://wsvn.com/news/local/disney-donates-1-million-to-help-those-affected-by-orlando-massacre/), which is before the vast majority of the spending last decade.

I'm not even sure how temp jobs are being counted.

So, that 15,000 increase in cast members may require accelerated investment after all. There are several concepts of "investment," from what I can see.

 

[Indy_UK]

However, $17 billion at WDW seems too small for $60 billion worldwide, unless Disneyland Forward is going to be truly gigantic, or there is hyper expansion in China.

Im dubious but apparently Paris is going to get a huge amount of $$$ past the current expansion plans.

 

[John park hopper]

I find all this talk about investing 17 billion in WDW rather interesting and wishful thinking. Disney is like the government ---we're going to invest X amount of dollars over the next 10 years and administrations change and nothing ever happens. Disney is no different when Iger is gone or the economy takes a down turn the 17 billion will be forgotten. I guess its fun to speculate why could be.