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Should DisneyWorld Build a 5th park with more emphasis on thrill rides?
- Thread starter chinitopoop
- Start date
brainpile3000
New Member
As Champion has stated, why would they want to leave open a safari when they have Animal Kingdom at WDW? That would be taking money away from the big parks, resort stays, dining, etc.... Why have a customer pay 120 max in a summer to go to that safari when they could be paying 1200 at least on a disney vacation?
Why not add another park? Or why not expand current parks? New attractions will bring in new clientèle and ultimately add to the bottom line. Investors like to see growth out of their company and a fifth park would be one way in doing so. And, when you stated that no family can fit everything into a vacation as it is, well thats kind of a good thing because it will entice guests to visit the park more often to experience what they missed the last time. More Visits, more dollars... more growth.
Building a new park would indeed be quite the investment. However, a number of factors play into the fact that Disney can start expanding even further. Firstly, Disney experienced a large decrease in capital expenditure in 2006 due primarily to lower investment at Hong Kong Disneyland resulting from substantial completion of the park prior to its opening in September 2005, as well as lower expenditures at the domestic parks due to increased investment in the prior year in preparation for the Disneyland 50th anniversary celebration. This freed up capital now gives the green light to a number or projects they can pursue (and right now it looks like Refurb is their choice). Also, the parks alone in 2006 1.5 billion dollars in PROFIT alone!!! This money could easily be reinvested (last year they choose to increase dividends a monstrous 14% with some of these profits). They also ramped up borrowing power in 2006 giving the company an opportunity to borrow 4.3 billion dollars if need be. So in short, yes they have plenty of money build PLENTY of new parks and attractions.
The reason there is a two dollar difference between 5 and 6 day tickets is the economic law of diminishing returns... why do you think a shopping a Sam's Club is so cheap? Because you're buying in bulk. Thus, in order to entice you to spend more days in the park, they decrease the price as days spent increases... Same reason why a 50 gallon jug of Mayo is cheaper per ounce than a 12 oz jar.
It is widely known that teens have the largest amount of expendable income so yes, they will bring money into the park.
Companies like Cedar Fair do not post profits comparable to WDW because they fail to offer the type of experience that Disney can. They in no way can charge as much as Disney for hotel rooms and ticket prices because of this. This experience is why you see people from all over the world constantly at WDW all year long. While, in their short summer seasons, Cedar Fair/Six Flags cannot attract that kind of clientèle.
And finally, in the 2006 annual report, in the Dreaming fold out section. There is concept art for a new theme park with a roller coaster in the background. I know this doesnt mean much... but they could already be toying with the idea of it.
Sorry sorry sorry for the long rant but i love this stuff--the business of amusement. Its all in good debate.
(my figures come from the shareholders report btw).
ImaYoyo
Active Member
If I even dreamed of something like this in my next financial report, I would be the booted from the room. Families bring in money, not teens. Ask Mark Shapiro, he'll agree. Just because a larger percentage of a teenager's income is expendable, does not mean that they spend higher amounts. Because their income is extremely lower than a family of 4, the equation is still disproportionate and a family will have much more expendable income. You should rephrase your above statement to say they have the largest PERCENTAGE of expendable income. However, if a teenager is planning a trip to a major resort destination, are they going to stay in a concierge suite, or are they going to rent the cheapest room they can find? Are they going to buy 4 hooded sweatshirts for their fellow family members or would they rather indulge in a selfish single-item splurge? Are they going to have a nice sitdown meal and order anything off the menu? Or are they going to grab a quick order of fries and/or nachos?
If you've ever worked in finance or research at WDW (which I'm assuming you have not) then you've seen the breakdowns and know the HUGE gap between families with teens and families with young children. Unless you start telling me you know who "Beaker" from WDW finance is and you speak with him often, I'll stick with my former finance background on this one.
Also, you mentioned this:
The reason there is a two dollar difference between 5 and 6 day tickets is the economic law of diminishing returns... why do you think a shopping a Sam's Club is so cheap? Because you're buying in bulk. Thus, in order to entice you to spend more days in the park, they decrease the price as days spent increases... Same reason why a 50 gallon jug of Mayo is cheaper per ounce than a 12 oz jar.
Yes, this is true, and you've just PROVED that an additional park is not going to increase ticket revenue.
Yes, and you're excluding the rest of the attractions that have opened. (Such as Mickey's Philharmagic) that ARE for kids.
ImaYoyo
Active Member
Or that AMAZING playground...
I didn't really want to make a list ... but there are just as many attractions for the younger crowd in that time period that he listed for thrill rides.
dthieme
New Member
Disney Quest Expansion
I know there are rumors concerning the livelihood of Disney Quest in Downtown Disney. However, I think DQ would be more successful if it didn't need to compete with WDW & those other entertainment companies in Orlando. I guess it wouldn't fit the Disney style to have franchises, but building Disney Quests through out the nation or for that matter the world would be the best Disney expansion I could dream of. Having the ability to visit Disney without having to plan a whole week would be great. It would also give Disney the ability to grab the Northeast market share with a year round facility, with that Disney flare. I could also envision them having a few of those simulator rides (e.g. Star Tours), and a 3D cinema with Muppet Vision and Honey I Shrunk The Audience. They could even change the simulator of 3D movie throughout the day or ever couple of weeks or something to give us a reason to visit more often. Now that would be awesome.
I know there are rumors concerning the livelihood of Disney Quest in Downtown Disney. However, I think DQ would be more successful if it didn't need to compete with WDW & those other entertainment companies in Orlando. I guess it wouldn't fit the Disney style to have franchises, but building Disney Quests through out the nation or for that matter the world would be the best Disney expansion I could dream of. Having the ability to visit Disney without having to plan a whole week would be great. It would also give Disney the ability to grab the Northeast market share with a year round facility, with that Disney flare. I could also envision them having a few of those simulator rides (e.g. Star Tours), and a 3D cinema with Muppet Vision and Honey I Shrunk The Audience. They could even change the simulator of 3D movie throughout the day or ever couple of weeks or something to give us a reason to visit more often. Now that would be awesome.
ImaYoyo
Active Member
Actually, this already happened. Disney Quest WAS a franchise. It had a second test location in Chicago. It failed miserably.
psifreek27
New Member
I agree...Disney has too much defunct spaces that could be brought back to life and fill the current parks with many many more things. I refuse to say "they need a new park..." just because i think the current parks could still use so much.
The parks to me are like unfinished puzzles...the closer you get to finishing you start to get the picture, but then you get lazy and never finish it . I think that sums up a nicely pro/con disney metaphor.
I would love if 20k area wouldve become Mermaid Lagoon...and if MK wouldve created a theater for TLM show from TDS.
If Tommorowland would create a new space/mission/something themed ride not related to a pixar movie or a blue creature and if Space Mountain would get a heavy heavy refurb!
If we would get that rumored pirates table service restaurant in the always closed el pirata y el perico...
HM mass refurb...
some sort of show not related to the castle.
::sigh:: and this was ONLY magic kingdom....
jmvd20
Well-Known Member
Repair, upgrade, refurbish, re-hab, re-do, re-paint and complete backed up routine maintenance on all existing stuff before expansion. That'd be my plan for the next few years.
There's just way too many areas in the existing parks that need some TLC to even think about a major expansion.
There's just way too many areas in the existing parks that need some TLC to even think about a major expansion.
KeithVH
Well-Known Member
Ah. How about "Chernabog's Descent into Hell"? That oughta be entertaining for the kiddies.
As pointed out earlier, besides being just another 5th gate post, it totally misses the understanding that you don't make a park for just "some" age groups. A park that doesn't accommodate the too short/too young with such a simple focus wouldn't be worth the effort to even calc the ROI.
brainpile3000
New Member
After reading your post and thinking about it for a few minutes, I now agree that a new park will not increase ticket revenues as much as a new theme park would require. But I disagree that its because of the Law of Diminishing Returns.... Since we have already established that WDW is a family oriented resort in which people stay for days at a time, a new park will just be a new fringe benefit and the number of people coming specifically for the thrill park would be insignificant compared to the total number of families that will still attend the park. Thus, I agree that expansion of the parks would be the best idea for implementing 'thrill rides'. Until Disney comes up with a park that will offer a legitimate competitive advantage and attract people to spend VACATIONS there then a new park wont be built.
As for teens... It makes sense that resorts prefer families. I guess I was only considering products or a traditional sense of sales instead of what Disney offers--big mistake.
goofy47
New Member
Before Animal Kingdom
Before they announced AK and word was out there was going to be a 4th park I was hoping for a thrill ride park to keep the teens at WDW instead of going to US ... but, alas we have AK instead.. don't get me wrong I love AK.. but a Thrill Park would work, "All Themed Rides" :wave:
Before they announced AK and word was out there was going to be a 4th park I was hoping for a thrill ride park to keep the teens at WDW instead of going to US ... but, alas we have AK instead.. don't get me wrong I love AK.. but a Thrill Park would work, "All Themed Rides" :wave:
majortom1981
Active Member
brainpile
Brainpile. IF disney bought Great Adventure it would be different from disney world. It would be mostly thrills with the disney experience.
It would not take away from disney world and the safari would stay open because you would get people looking for something different.
IF you go by that idea then no other park ever will get built in the US.
Brainpile. IF disney bought Great Adventure it would be different from disney world. It would be mostly thrills with the disney experience.
It would not take away from disney world and the safari would stay open because you would get people looking for something different.
IF you go by that idea then no other park ever will get built in the US.
Exactly. Disney will NEVER have another major theme park property outside of WDW and DLR. (This isn't to say they won't have certain other rumored endeavors. Water parks being one example.)
Once again, you only want this because its close to you. Give it up, its a terrible idea, and will never happen. And as for your PM about Universal once wanting to buy it. Thats wonderful, but Universal isn't up to Disney's level. They were for a time, but that time has passed. They don't want to spend what it takes to be Disney.
Hey, Hey!!!! What if Disney opened a ...uhhhh....Water Park? you know, with water slides and stuff...yeah..that'd be cool...!!! Like they could have a lazy river, umm, a beach, they could sell hot dogs and stuff..i mean, wow, that would be cool......
Wait, they could open a spot for shopping...like an area that is reserved for major shopping and like uhh, restaurants. They could have a Disney store, movie theatre, places like house of blues, maybe a circus, record store...yeah, that would rock....
:hammer:
Wait, they could open a spot for shopping...like an area that is reserved for major shopping and like uhh, restaurants. They could have a Disney store, movie theatre, places like house of blues, maybe a circus, record store...yeah, that would rock....
:hammer:
elabron
New Member
:lookaroun Ummm......if a family can't fit everything into a Disney vacation as it is, then wouldn't they want to come back again? Or perhaps stay longer the next time?
I know that when my wife and I first started going, as you state, we couldn't fit everything we wanted to see into our 4 night stays. So, because we had whetted our "appetite", we went back the next year.....and stayed longer. More to do = people staying longer. People staying longer = people spending more money on property. People spending more money at WDW = a happy Mouse.