New DVC Resales Restrictions

[DuckTalesWooHoo1987]

So I called DVC today and asked them about this and they said the only people that this effects are the people who ONLY have resale points. So if you have a contract DIRECTLY from Disney you can still use those points and get all the benefits that we enjoy but if you only have resale points that were bought past today then you DON'T get the discounts. There are some who think they can just do a 25 point add on and use that contract for the benefits but the only places you can even get direct add on points right now is Poly and Aulani. The agent I spoke with said this was just simply a way for people to not get special treatment for not buying straight through Disney. I personally think it's just a way for Disney to kill the resale market.

 

[DuckTalesWooHoo1987]

If they are taking away certain discounts, will there be a different membership card that states you have since purchased after this date? I have direct and resale points. I don't imagine one would cancel out the other. obviously, only the direct points would be available for cruises etc. It will be interesting to see.

Disney told me today that what will happen is the people who will have only resale contracts will be basically "red flagged" in the system and will not be permitted to be issued a membership card. That's how they're gonna keep them from getting perks.

 

[EOD K9]

Disney told me today that what will happen is the people who will have only resale contracts will be basically "red flagged" in the system and will not be permitted to be issued a membership card. That's how they're gonna keep them from getting perks.

BS in my opinion.

 

[lostpro9het]

BS in my opinion.

What part? What way?

Do you think DVD is blowing smoke and will Still let anyone with a membership enjoy any perk?

Or

Is the whole thing BS for DVD trying to make direct ownership have the illusion of value?

 

[DuckTalesWooHoo1987]

BS in my opinion.

It's a good thing if you're a direct owner like myself but I could see how it would anger people that aren't. I realize that not everyone can afford to buy directly but, at the same time, people aren't "entitled" to certain things when they sorta try to take a "shortcut" or whatever. As long as you have an actual direct contract you are good though.

 

[ParentsOf4]

As I stated in my Do DVC Members deserve better perks post, perks offered by DVD are a marketing tactic to entice people to buy into DVC. From a marketing perspective, DVD needs to provide some differentiation between buying direct and buying resale. There has to be some justification for the price variance between direct and resale. Clearly, the changes they made in 2011 have been deemed not effective enough. We have seen direct point sales decline over the past year, and this is a plain and simple marketing tactic to increase the value of a direct purchase over a resale purchase.

The latest move, along with continued DVC direct sale discounts, make it clear that PVB sales continue to disappoint.

In its first 14 months, VGF sold 1.5 million points, over 60% of its total points.

In its first 14 months, the larger PVB has sold only 1.0 million points, only 26% of its total points.

 

[Biff215]

It's a good thing if you're a direct owner like myself but I could see how it would anger people that aren't. I realize that not everyone can afford to buy directly but, at the same time, people aren't "entitled" to certain things when they sorta try to take a "shortcut" or whatever. As long as you have an actual direct contract you are good though.

IMO it's not a good thing for anyone. We also own direct but today's announcement technically hurts the value of our points as well. If something happens and we need to sell, our points could now be worth less in the resale market.

When we bought ten years ago, Disney gave us a reason to buy direct and that was a competitive price without the hassle of ROFR. We paid slightly more than buying resale, but the additional years on the SSR contract more than justified it. Fast-forward ten years and how can most buyers justify paying double purchasing direct from Disney? Of course part of the issue are contracts ending in 2042 and an abundance of SSR points that will keep resale prices lower, but Disney still needs to justify charging $180/point which they have not IMO. Even today's announcement does very little to entice me to buy direct.

I understand that we only purchased points and not perks and discounts, but they're continuing to cut value from DVC and now discouraging current members from adding points through resale, which is the only option for many of us at these prices. We had planned to double our points this year but put it on hold due to concerns over cutbacks in the parks, but today's announcement probably takes it off the table completely. We'll hold onto our points for one solid trip a year, but the second trip will likely be in other destinations including Universal.

Sad to see DVC going in this direction, guess we should have seen it coming, and I'm pretty sure it won't end here.

 

[xdan0920]

It's a good thing if you're a direct owner like myself but I could see how it would anger people that aren't. I realize that not everyone can afford to buy directly but, at the same time, people aren't "entitled" to certain things when they sorta try to take a "shortcut" or whatever. As long as you have an actual direct contract you are good though.

Why is this a good thing for you?

Take a shortcut? You mean "not pay Disney's insane direct buy prices?"

 

[EOD K9]

It's a good thing if you're a direct owner like myself but I could see how it would anger people that aren't. I realize that not everyone can afford to buy directly but, at the same time, people aren't "entitled" to certain things when they sorta try to take a "shortcut" or whatever. As long as you have an actual direct contract you are good though.

I have both direct and indirect at SSR. I don't think of it as an entitlement thing, but if someone owns the same thing as someone else, why cant they have the discounts? If I person buys a HUD home next to someone who bought theirs from the builder, are they both not entitled to use their community pool and gym?

 

[EOD K9]

What part? What way?

Do you think DVD is blowing smoke and will Still let anyone with a membership enjoy any perk?

Or

Is the whole thing BS for DVD trying to make direct ownership have the illusion of value?

To quote Han, "All of it" I see what they are trying to do, I don't agree with all of their methods. I may have missed it, but can resale use Top of the World if they aren't given member cards? That's a nice treat that does no harm in my opinion. I understand certain restrictions, but I think there are too many now. And as I said, I have both types of contracts.

 

[GoofGoof]

DVD is a business, and it exists to sell. Perks are a marketing tool to help sell. The primary reason for DVC to offer perks is to help improve sales by Disney Vacation Development.

Based on this logic they should revoke the perks for anyone who already bought in (direct or resale) and only offer it to new buyers. It's just a marketing tool to help sell points.

It's a good thing if you're a direct owner like myself but I could see how it would anger people that aren't. I realize that not everyone can afford to buy directly but, at the same time, people aren't "entitled" to certain things when they sorta try to take a "shortcut" or whatever. As long as you have an actual direct contract you are good though.

Not sure how it's a good thing for current direct owners. You aren't getting anything new or better. In the future they could easily revoke this for existing direct owners too. It's a perk that can be cancelled or changed at any time. Nobody is entitled to it.

What it does is potentially decrease the value of the resale market. That's not good for any current owners no matter how they bought in. If you either decide to sell your points or run into a bad financial/personal situation where you have to sell your points it means you will likely get less money for your resale now. How is that a good thing for anyone?

 

[DVC Mike]

Based on this logic they should revoke the perks for anyone who already bought in (direct or resale) and only offer it to new buyers. It's just a marketing tool to help sell points.

The contract new purchasers from Disney signs states that the incidental benefits are only to be provided for a period of 3 years, so what you suggest could come to pass. However, they'd only do that if it made sense from a marketing perspective.

 

[xdan0920]

The contract new purchasers from Disney signs states that the incidental benefits are only to be provided for a period of 3 years, so what you suggest could come to pass. However, they'd only do that if it made sense from a marketing perspective.

But it doesn't and neither does this. It's just a petty move to squash the resale game. Reminds me of this.

http://www.nydailynews.com/sports/b...fers-premium-seats-25-cents-article-1.2587433

 

[WDW_Firefighter]

IMO it's not a good thing for anyone. We also own direct but today's announcement technically hurts the value of our points as well. If something happens and we need to sell, our points could now be worth less in the resale market.

Bingo! I've been looking into DVC for a couple years now and haven't pulled the trigger for one reason or another. I've done cost comparison between buying direct and buying resale and looked at the pros and cons to both.

I totally agree with Biff, if anything, this gives me another reason to not join DVC at all. I don't want to invest that kind of money and not be able to at least get a good chunk of it back, if something happened and I needed to sell.

I understand they are trying to make it more appealing to buy direct, but I don't think this is good for anyone.

 

[LuvtheGoof]

Also, will this deny future resale buyers from being admitted to Top of the World Lounge?

Considering when they first started this it was only for members staying at BLT on points and no one else, it may go back to that. I hope not, but you never know.

 

[LuvtheGoof]

I understand that we only purchased points and not perks and discounts, but they're continuing to cut value from DVC and now discouraging current members from adding points through resale, which is the only option for many of us at these prices. We had planned to double our points this year but put it on hold due to concerns over cutbacks in the parks, but today's announcement probably takes it off the table completely. We'll hold onto our points for one solid trip a year, but the second trip will likely be in other destinations including Universal.

Sad to see DVC going in this direction, guess we should have seen it coming, and I'm pretty sure it won't end here.

This announcement doesn't change your situation at all. Since you already own points, you can add-on via resale all you want, and still receive all of the benefits. The ONLY people this affects are those that do not own DVC at all, and buy resale.

 

[LuvtheGoof]

To quote Han, "All of it" I see what they are trying to do, I don't agree with all of their methods. I may have missed it, but can resale use Top of the World if they aren't given member cards? That's a nice treat that does no harm in my opinion. I understand certain restrictions, but I think there are too many now. And as I said, I have both types of contracts.

When you go to the ToTW lounge, they only scan your MB or room key. It tells them if you are staying on points or not. You don't have to show your member card, at least we never have.

 

[deeevo]

This may work out very well for FL residents since we get an AP discount anyway and AP holders pretty much get all the perks of DVC members. If the resale market hits rock bottom it maybe something to look at.

 

[CaptainAmerica]

Bingo! I've been looking into DVC for a couple years now and haven't pulled the trigger for one reason or another. I've done cost comparison between buying direct and buying resale and looked at the pros and cons to both.

I totally agree with Biff, if anything, this gives me another reason to not join DVC at all. I don't want to invest that kind of money and not be able to at least get a good chunk of it back, if something happened and I needed to sell.

I understand they are trying to make it more appealing to buy direct, but I don't think this is good for anyone.

If your decision to purchase was based on the margin of whether or not you got a small F&B discount, it's probably best that you're erring on the side of not purchasing.

 

[WDWYankee15]

As I stated in my Do DVC Members deserve better perks post, perks offered by DVD are a marketing tactic to entice people to buy into DVC. From a marketing perspective, DVD needs to provide some differentiation between buying direct and buying resale. There has to be some justification for the price variance between direct and resale. Clearly, the changes they made in 2011 have been deemed not effective enough. We have seen direct point sales decline over the past year, and this is a plain and simple marketing tactic to increase the value of a direct purchase over a resale purchase. Guides must be jumping up and down with excitement for this new sales tool.

DVD is a business, and it exists to sell. Perks are a marketing tool to help sell. The primary reason for DVC to offer perks is to help improve sales by Disney Vacation Development. Offering perks to all members does increase their goodwill towards Disney and increases the positive word of mouth about DVC from current members to their friends and family. A lot of happy members providing positive word of mouth advertising would be a good marketing tool. So, it's good for business - to a certain extent. However, in this case, DVD decided it's direct sales would be better enhanced by differentiating it more from resales.

However they will need to greatly step up their "perks" if this is going to work for them. A few special events this year is a great start. But they need to continue that into the future and not just for the 25th. Also those events are very limited to people who are close to the parks or can travel on short notice (which DVC is currently not great at accommodating).

I think their best better on trying to get people to buy direct is to open up a third booking window (between the 11 and 7 month mark) that allows for booking non-home resorts with direct purchase points.