Josh D'Amaro comments on rising prices and "additional" or removed services: "An inevitable result of progress"

[GimpYancIent]

So the CFO has a motive to lie about attendance in this statement?

Christine said, "Demand at our domestic parks continues to exceed expectations with attendance on many days tracking ahead of 2019 levels. Our continued focus on improving the guest experience through the use of our reservation systems to purposefully manage capacity versus simply increasing volume has the added benefit of improving yield and optimizing overall economics. So, even while the average daily attendance at our domestic parks across the first recordings of this fiscal year was slightly below 2019, we have delivered significantly higher revenue and operating income over that same time period. This approach also provides flexibility. With levels we can adjust if demand were to shift. Per capita spending at our domestic parks also remains strong. Increasing 10% versus Q3 of fiscal 2021 and over 40% versus fiscal 2019."

Disney domestic theme park attendance now at 2019 levels with per capita spending up 40 percent

Disney CFO Christine McCarthy comments on attendance, revenue, hotel occupancy and international visitors.

www.wdwmagic.com

Generic corporate speak for more money was made without any noticeable increase in patronage. Blah, Blah Blah.

 

[Andrew C]

Generic corporate speak for more money was made without any noticeable increase in patronage. Blah, Blah Blah.

Then you agree. Attendance had not hit 2019 levels when this statement was made.

 

[Indy_UK]

If only they took my advice of building a 5th gate at WDW AND a new US park. I guess my voicemail to Bobby was mistakenly deleted. Better try again.

Oh God no, a 5th park will only bring even more people.

 

[The Colonel]

I bought DVC a long time ago and added on a lot during the recession. I computed a couple of years ago that I was staying at Beach Club Villas and Boardwalk for $125-$150 per night in a studio. That's a good deal no matter how you look at it.

It's not that way anymore. I wouldn't buy now.

 

[Andrew C]

Oh God no, a 5th park will only bring even more people.

Its a fun way to bring in additional capacity and spread the crowds.

 

[Sirwalterraleigh]

It’s probably part of their thinking but they then can’t moan and start considering DVC guests as ‘unfavourable’ because we chose to buy in long term.

By the time both my contracts expire, I will have probably dropped over $100k in dues but of course that isn’t profit to Disney so maybe I am unfavourable.

Probably why merch and food is so sky high to make up for it

You’re right…all of it.

The point of DVC was to get you there to buy high profit stuff made in China - mostly. And served to you by people making $8.00 and hour (subsidized if it’s CP) as much as possible.

That was the point. It wasn’t to “make money off construction” as younger twits insist because they’re proud of getting a B+ in Econ in 2009. But we see that a lot.

 

[GimpYancIent]

Then you agree. Attendance had not hit 2019 levels when this statement was made.

No do not agree. It is so generic and unspecific it says nothing except more money was made. As far as truth about more money was made, now that is true.

 

[Sirwalterraleigh]

I bought DVC a long time ago and added on a lot during the recession. I computed a couple of years ago that I was staying at Beach Club Villas and Boardwalk for $125-$150 per night in a studio. That's a good deal no matter how you look at it.

It's not that way anymore. I wouldn't buy now.

You, me and everyone else. Wouldn’t change a thing

But that doesn’t mean I can’t objectively say they have tried every way possible to pooch it for the last 10 years.

Like building at the caribbean Motor lodge

 

[Sirwalterraleigh]

If only they took my advice of building a 5th gate at WDW AND a new US park. I guess my voicemail to Bobby was mistakenly deleted. Better try again.

Never will happen

Its a fun way to bring in additional capacity and spread the crowds.

It actually is…but there’s no money in it for them…so they’ll never do it.

 

[Kirby86]

If only they took my advice of building a 5th gate at WDW AND a new US park. I guess my voicemail to Bobby was mistakenly deleted. Better try again.

Jokes aside assuming they would build another US park where could they put it? Unless it's a fully indoor park it's going to have to be down south since Disney would have no intrest in running a seasonal park up north. Texas seems like it could work but it has the chance of takeing to much buisness from both land and world.

 

[Sirwalterraleigh]

Jokes aside assuming they would build another US park where could they put it? Unless it's a fully indoor park it's going to have to be down south since Disney would have no intrest in running a seasonal park up north. Texas seems like it could work but it has the chance of takeing to much buisness from both land and world.

They will never build another park. Certainly not in Orlando. They’d just be spreading the same customers and money around at higher costs.

Park cannibalization. Learned it with DAK.

 

[Sirwalterraleigh]

Then you agree. Attendance had not hit 2019 levels when this statement was made.

I believe chapek misdirected/contradicted that on the same stage…
…he did “good cop”. Watching those things is like centre court at Wimbledon…

And yet…the fbi weren’t waiting to arrest anyone. That’s how that plays.

 

[Javier Antonio Nisa Avila]

Demand mostly. Demand and customer retention.




Walt operated a park that, at it's busiest, saw half as many guests as the Disneyland of today. A lot of what Walt said about operating a park, just doesn't apply. And even in Walt's time people complained about the prices being high, the crowds being too high, and the general quality of the place.



It isn't a straight one-for-one comparison. Climate change, for instance, can drive up the costs of some goods (like paper products) while also reducing the demand of international visits (thru air travel). Cutting a free service like the Magical Express, would make financial sense if those funds were being diverted to other projects, like building a solar farm, that would have a greater positive impact on the resort as a whole.

It isn't really a matter of whether they buses are still running or not, because they are. It's just that Disney isn't paying for it any longer. At it's core, it's just a price increase.




A lot of these companies went under because they insisted on continuing to do business as they always had, and steadfastly holding to their old business models. Companies need to adapt and change to survive, and sometimes, that means abandoning the past.

I want to insist on crowded is a bad form of organization. There are a lot of crowded places and they organized. As a result, everyone enjoy together. However, laboral conditions are worse , in spite of increasing prices.

 

[Kirby86]

They will never build another park. Certainly not in Orlando. They’d just be spreading the same customers and money around at higher costs.

Park cannibalization. Learned it with DAK.

Eh Never is a strong word but I agree it is unlikely and that's being nice about the situation. That's why I said if they made another park in let's say Texas it would cannibalize sales to the 2 resorts in California and Florida.

 

[UNCgolf]

Only if it’s intentionally misleading with intent and knowledge contrary and causes a response that defrauds. And there are ways to parachute out of most “projections”

I feel like everyone needs to move closer to New York and learn just how much of an Wild West cattle town it really is…

Yeah, I know -- like half of the cases I work on are either SEC investigations or shareholder actions against a company.

But management still can't just say anything they want with no fear of repercussions (that doesn't mean companies don't obfuscate and/or outright lie all the time though, hence why I have so much work on those matters).

 

[Indy_UK]

Its a fun way to bring in additional capacity and spread the crowds.

I may eat my words but i think universal are going to get a shock when they have all this park capacity but can’t fill it once Epic Universe opens.

They seem to think they are like Disney but they really aren’t. They’ll probably pick up a few extra AP holders who are disgruntled with Disney but the majority will stay at Disney no matter the cost

 

[Sirwalterraleigh]

Yeah, I know -- like half of the cases I work on are either SEC investigations or shareholder actions against a company.

But management still can't just say anything they want with no fear of repercussions (that doesn't mean companies don't obfuscate and/or outright lie all the time though, hence why I have so much work on those matters).

And that’s what I’m acknowledging…nothing more

What gets me is that people put their fandom where their brain should be when if comes to Disney execs and directors.

They are as much of lying cutthroats as any other company. People think they act like their kindergarten teacher

 

[Sirwalterraleigh]

Eh Never is a strong word but I agree it is unlikely and that's being nice about the situation. That's why I said if they made another park in let's say Texas it would cannibalize sales to the 2 resorts in California and Florida.

You are correct…and that’s why “never” fits…

The magic number is 7…that’s the reason

 

[Trekkie101]

I may eat my words but i think universal are going to get a shock when they have all this park capacity but can’t fill it once Epic Universe opens.

They seem to think they are like Disney but they really aren’t. They’ll probably pick up a few extra AP holders who are disgruntled with Disney but the majority will stay at Disney no matter the cost

I thought this too. However I have a few friends who don't feel like doing Disney due to the reservations system, nor the crowds.

If Universal bought SeaWorld Orlando/Aquatica moments after opening Epic Universe - it would be amusing to see the Disney response to Universal owning as large a foot print down the road.

We should all hope for Epic Universe to be a success - competition may be the only thing to improve the offering and reduce the price of Disney.

A fifth gate I suspect will come. I'm unsure the format, but I suspect it's being considered and is a long way off. However at some point you're just not meeting demand - and competition will move in on your turf, Disney or not.

 

[Touchdown]

I may eat my words but i think universal are going to get a shock when they have all this park capacity but can’t fill it once Epic Universe opens.

They seem to think they are like Disney but they really aren’t. They’ll probably pick up a few extra AP holders who are disgruntled with Disney but the majority will stay at Disney no matter the cost

I don’t think they will have that problem. The park is going to open with 10ish rides, that’s about the size of IOA, which only opened to crickets because of the dot com crash. I think it will do quite well, although I expect some canibalization of USF as it is in desperate need of a good new ride.