Lightning Lane Premier Pass

Coaster Lover

Well-Known Member
In the Parks
No
Curious what sort of revenue they are making on these... if you figure an average cost (across the four parks) of $250, even if they only sell 100 per day per park (which seems VERY low), that's still $36.5 million per year in essentially pure profit (there's no need for any additional staff/resources to use this... it uses all preexisting resources).
 

Disstevefan1

Well-Known Member
Curious what sort of revenue they are making on these... if you figure an average cost (across the four parks) of $250, even if they only sell 100 per day per park (which seems VERY low), that's still $36.5 million per year in essentially pure profit (there's no need for any additional staff/resources to use this... it uses all preexisting resources).
I think the key as you describe Disney is getting “money for nothing”. They created a “vapor ware” product that is as close to 100 percent profit, and also, they can adjust the supply and demand with a few keystrokes.

I do not think Disney has any concern about selling “too few” of this product like there is a warehouse back stage that is bulging with inventory.
 

Chi84

Premium Member
…you know…that might be something worth considering…or we can keep riding the locomotive into the ravine beyond the tracks
The only way people will stop buying it is if Disney stops selling it. They may, if enough people stop coming to the parks.

The ones who buy it and the ones who reject the parks are often two different groups.

Hoping that people who want this product won’t buy it is probably futile.
 
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Sirwalterraleigh

Premium Member
The only way people will stop buying it is if Disney stops selling it. They may, if enough people stop coming to the parks.

The ones who buy it and the ones who reject the parks are often two different groups.

Hoping that people who want this product won’t buy it is probably futile.
I’m not “hoping” for anything…I’m watching self destructive business…from both sides of the window
 

DoubleSwitchback

Well-Known Member
Not random at all. The number is to sell the maximum number LLPPs possible.

I would love to know how they come up with the number of LLPPs “in stock” on a given day.

Did they subtract from the number of LLMPs and LLSPs when they added the LLPP offering?

Does the number of LLPPs change depending on the time of the year?

Does the number of LLPPs change depending on how many VIP tours sold that day?
I'd guess yes to all of those. I bet that the objective function is to sell as many as possible while ensuring that LL waits rarely get above X minutes again. So it's not a widget, but now that the DAS reforms have LL waits under control, you can't have the people who paid $2k for the day stuck in long LLs again. They understand a lot about the dynamics of clumpiness when many people can enter a LL at whatever time of their choosing from DAS.
 

lentesta

Premium Member
The surge pricing strategy has become more dramatic over time, too. It used to just be the hotel that cost more during peak weeks. Now it’s also tickets, LLs, and even buffets. Even your LYFT to and from the airport!

Yield Management has funded FY2025 Dynamic Pricing projects for tickets and hotel rooms for WDW and DLR, just like DLP.
 

Sirwalterraleigh

Premium Member
I'd guess yes to all of those. I bet that the objective function is to sell as many as possible while ensuring that LL waits rarely get above X minutes again. So it's not a widget, but now that the DAS reforms have LL waits under control, you can't have the people who paid $2k for the day stuck in long LLs again. They understand a lot about the dynamics of clumpiness when many people can enter a LL at whatever time of their choosing from DAS.
If slow moving lines in sparse crowds are “under control”…well rue the day if its ever crowded again
 

DisneyDreamer08

Well-Known Member
I’m wondering if the people purchasing premier pass have ever actually used multi pass. Even though the idea of using premier pass is intriguing to me, I know it’s not financially responsible because my experience with multi pass has been very good 🤷🏻‍♀️
 

Jrb1979

Well-Known Member
I’m wondering if the people purchasing premier pass have ever actually used multi pass. Even though the idea of using premier pass is intriguing to me, I know it’s not financially responsible because my experience with multi pass has been very good 🤷🏻‍♀️
My family are ones that would buy Premier pass over Multi pass. While Multi pass can be just as effective in getting to ride everything you want, the return time thing doesn't work for the way we tour the parks. We are spontaneous on how we ride things and premier pass fits that.
 

WDWhopper

Active Member
Internal numbers show that the Premier Pass is taking away from how much guests are spending on resorts, food and merchandise. Average guest length of stay went down during the two months when Premium Lighting Pass was vying for guest $$. This can only mean one thing. Guests are not always adding extra money to their total vacation spending, they are reallocating it. Now, the premium lightning pass appears to be the biggest $$ win for Disney, because it is almost pure profit, and who cares that a pure profit item is taking away from other departments like resorts, food, merchandise, etc. Those things cost money and have a much smaller profit margin. Disney would love to have guests just donate them money, but the problem is, the premium lightning lane is giving Disney the appearance of being a boutique Park and resort destination, catering only to the very high-end. This is a very dangerous situation to be in, especially since Universal is opening up another park this year and they play more to the $$ middle. Companies get in big trouble, when they get the reputation for being outliers. Hard to come back from being labeled too expensive, especially when your core customer base is middle class families.
 

John park hopper

Well-Known Member
I think the key as you describe Disney is getting “money for nothing”. They created a “vapor ware” product that is as close to 100 percent profit, and also, they can adjust the supply and demand with a few keystrokes.

I do not think Disney has any concern about selling “too few” of this product like there is a warehouse back stage that is bulging with inventory.
Money for nothing like when they started resort parking fees---money for nothing. I was shocked they removed the fee
 

bmr1591

Well-Known Member
I think some of yall way overdramatize premier pass, an option Universal has had for years and one many on here openly questioned Disney for not offering. We can complain about guest impact, but on busy holiday weeks when it sells out, lines were going to be long and busy anyway. Very few will blame PP for their wait; they’ll blame a packed park, just like it always is this time of year.
 

Disstevefan1

Well-Known Member
Money for nothing like when they started resort parking fees---money for nothing. I was shocked they removed the fee
Yes, I think the removal of the parking fees was just a publicity stunt by Iger so he could claim he lowered the cost of something.

I fully expect them to reinstate the parking fees when no one is looking,
 

Disstevefan1

Well-Known Member
I'd guess yes to all of those. I bet that the objective function is to sell as many as possible while ensuring that LL waits rarely get above X minutes again. So it's not a widget, but now that the DAS reforms have LL waits under control, you can't have the people who paid $2k for the day stuck in long LLs again. They understand a lot about the dynamics of clumpiness when many people can enter a LL at whatever time of their choosing from DAS.
The "repair" of DAS and the creation of LLMP, LLSP and LLPP is making WDW tons of money for very little cost.

I wish they could keep that money in their theme park business but the need the money to make money losing movies.
 

DCBaker

Premium Member
Lightning Lane Premier Pass at EPCOT and Hollywood Studios is now showing as sold out on December 31:

IMG_5D762CF44C01-1.jpeg
 

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