Spirited News and Observations and Opinions ...

WDW1974

Well-Known Member
Original Poster
Wow @WDW1974! Now the cash part of the cash cow is coming into focus. My little brain is working overtime again. Here are my thoughts on how this might work:

I see this as a whole new revenue stream based on FP+ and the 'personalization' that they have been touting as a part of the Next Gen program using a new Disney 'currency'. Think of it like a guest rewards card for purchases that you make while on property, let's call it 'My Magic Points' for the lack of an official name (do I get an extra orange bird vinylmation if I picked the right name? :p ). Guests get points for everything that they purchase on property: rooms (with those booking at a Deluxe resort getting more points than those booking at a Value of course and us lowly campers will be lucky if we get any points at all for the $100/night we pay for our concrete slab), theme park tickets, food, merchandise, etc... Those points can then be redeemed to make your visit 'Extra Magical'. Want another FP? Redeem your points and skip to the front of the line. How about a personalized experience at Enchanted Tales with Belle for little Julie? You can do it by redeeming points.

Are you out of points? No problem! Just buy more stuff and we'll give you extra points based on your purchases. This would all be linked to the credit card that you linked to your account at check-in. Want to pay cash or use the credit or debit card in your wallet for your purchases? Sorry... we only give points for purchases that made with your Magic Band. But hey! You can pre-load your Magic Band and use it for purchases around WDW. Of course this would have the same rules as purchasing a gift card, so if you put $300 on your Magic Band you would have to spend it or it would be stuck there until your next visit (or for eternity) as it cannot be redeemed for cash.

Your My Magic Points would of course be tightly integrated with your My Magic app. You will be able to view your points balance, purchase (yes, purchase - you spent money for those points even if it doesn't feel like it) a FP for Space Mountain or a personalized Meet & Greet with Minnie Mouse. If you haven't already purchased the personalized Meet & Greet with your points, you will get a notification from the My Magic app on your phone when you approach the queue. Your My Magic app will probably even show you how much more you need to spend to get more points and suggest things to spend your money on to get them based on where you are in the park.

Of course this is just conjecture, but I am once again intrigued and anxiously awaiting just how this will all play out.

OK, you get Spirited MAGICal points from me for this post.
 

Darth Sidious

Authentically Disney Distinctly Chinese
What Disney shows/movies interest you at the moment spirit? I'm interested in talking on a lighter subject for a few posts. Then we can go back to house arrest bands.
 

Kuhio

Well-Known Member
Wow. What a quiet weekend it has been ... I guess folks are all out enjoying the long holiday break or watching lousy basketball games ... oh, what's that you say? The NHL came back today? Yawn ....
There was plenty of entertainment today if you knew where to look. For example, I sat back and enjoyed some popcorn while watching a magical Melt-down take place.
 

Kuhio

Well-Known Member
Georgie K told the O-Town Biz Journal (and he's never tell a fib!) that he met a MAGICal family at WDW and they told him all of their hopes ... oops, I mean Wishes for future WDW vacations and he said everyone would be answered by MyMagic+.
These are Georgie's actual words: "I had the opportunity to have lunch with a guest and I asked them what they would like to see changed from a guest experience and he nailed every component of what MyMagic+ will offer guests, so I am quite sure the guests will love it."

He doesn't say he "met" anyone -- which might suggest a chance encounter with a randomly-selected guest -- or elaborate exactly where the interaction took place. Rather, he simply says that he "had the opportunity to have lunch" with someone, which is general enough to encompass an arranged meeting with a pre-selected individual, while still being technically truthful.

It wouldn't surprise me if this mystery MyMagic+ enthusiast just happened to be surnamed... oh... "Mongello" or something similar.
 

Ignohippo

Well-Known Member
The saddest part of this? The mom and dad who make $40,000 a year and have saved and saved to take their children to Disney. They can't afford to stay on property. In all accounts, their time at WDW is probably going to mean more to them and be the trip of a lifetime. Literally.

Sadly, they'll get to experience less because they won't get the perks like FP+ now.

There used to be a time when ANYONE could go to a Disney park and be treated like a millionaire. Isn't that what it should be all about?
 

Longhairbear

Well-Known Member
Disney really needs to come upfront, right now, with what all of My Magic, Fastpass +, and Next Gen is all about. I'm reading mommy types that totally hate this. I'm reading DVC members that totally hate this. I'm reading AP holders, PAP holders that totally hate this.
I did a quick look/see of the various Disney fan site forums , however most don't address the subject at all, as if they have no idea.
It's fairly obvious who are on these boards that are plants sent to serve us Kool Aid, and defend it all.
 

RSoxNo1

Well-Known Member
I assure you that there are loopholes....now whether or not those loopholes are WORTH pursuing is another matter altogether.
Doesn't that make them not loopholes? The loopholes are essentially maintenance based and Disney went down that avenue. They had Disney employees ride through Marvel Super Hero Island on a regular basis to see if show quality standards were being maintained in hopes that they weren't. What's frustrating is that they don't do that in their own parks.
 

RSoxNo1

Well-Known Member
I had a buddy in college, we had a class together, and the guy spent all his time trying to figure out ways to cheat through the class, he spent so much time gathering ideas, coming up with plans to cheat ... in reality he spent as much time as I did, but I studied. I kept telling him, "look I am spending the same amount of time as you, maybe less, just reading the material." He didn't get it, he was convinced the best way to pass the class was with trickery, cheating, etc ... in the end he made a B, I got an A ... so ... the end result was fine but had he stopped trying to cheat and just do what got him there in the first place, namely studying, he would have had a better grade.

That's Disney right now ... they are spending so much time and money trying to "cheat" guests out of money, if they just had spent the same amount of time and money on what got them there in the first place, namely attractions and service, then guests would have gladly given them their money, maybe even more.

It's so infuriating that they don't get that.
This is a fantastic comparison. A few pages ago I said that they're essentially turning guests into profit centers (we weren't before?) Beyond just taking guests money they're taking a guest's information and selling that too. We are now no longer worth the $200 a day we're spending on tickets, hotels, food and merchandise. We are now worth that and whatever another company is willing to pay Disney for our vacation itinerary.
 

Hakunamatata

Le Meh
Premium Member
This is a fantastic comparison. A few pages ago I said that they're essentially turning guests into profit centers (we weren't before?) Beyond just taking guests money they're taking a guest's information and selling that too. We are now no longer worth the $200 a day we're spending on tickets, hotels, food and merchandise. We are now worth that and whatever another company is willing to pay Disney for our vacation itinerary.
Maybe I missed the discussion previously, or just forgot given my age (which is more likely) I just dont see the value to other companies knowing that I like a churro after I ride Buzz Lightyear SRS......Maybe there is some information to be gleaned from knowing the habits of certain sets of people (i.e. those staying off site vs on site, or those paying by cash vs credit), but I just dont see a huge goldmine in data from park specific info.
 

dhall

Well-Known Member
Maybe I missed the discussion previously, or just forgot given my age (which is more likely) I just dont see the value to other companies knowing that I like a churro after I ride Buzz Lightyear SRS......Maybe there is some information to be gleaned from knowing the habits of certain sets of people (i.e. those staying off site vs on site, or those paying by cash vs credit), but I just dont see a huge goldmine in data from park specific info.

Data about you as an individual to that level of granularity isn't what they'd be making selling directly, necessarily (although if you consistently show a preference for sweet snacks like churros over salty snacks like popcorn, there may be some value in that for Disney's partner Nestle). They're going to be looking for different ways to aggregate you with all of he other Buzz luvin' Churro eaters to see how you behave as a group.

For example, if they know that 12.4% of Stitch riders' (switching attractions because Stitch lets out big groups all at once rather than a steady stream) next action is to buy a churro at the LaunchPad, then they'll be asking questions like "how do we make it 14.6% of Stitch riders" (maybe by ensuring that the optimal number of churros is available every time Stitch lets out). Or more likely, "How could we convert those churro eaters to consumers of something with more profit?", or "what happened to that number when we made each churro 1" shorter for the same price?", or "Are Stitch riders buying one churro per guest in party or are they splitting churros among multiple guests".
 

GoofGoof

Premium Member
But wait, we hear the competition is Doing what Disney does used to do. This buisness model might be great for a casino but I dont see it working for this BRAND. Harrahs has their brand and Disney has theirs.

I'm not saying I like this plan at all, but whether it works or not is unknown at this point. I have my doubts it can work the way they want it to. Its easy to dismiss the casino analogy since gambling and theme parks are so different, but the fact of the matter is the Harrahs model is very similar to what Disney is attempting to do here. If you ignore the industry and focus on the data mining it's very similar. When Harrahs rolled out their data mining and loyalty program it was unique to the industry (it's since been copied by most others). The competition (like MGM/Mirage) was building billion dollar new casinos with a "build it and they will come" mentality (sound familiar?). Harrahs decided that instead of competing by building new resorts or investing capital in exisitng resorts they would instead focus on extracting the maximum profits from their current guests. The thing that made the program really unique is that it didn't cater just to high rollers. They offered rewards and incentives to all levels of guests. The goal was to get someone who only visits once a year to come twice or stay an extra day not just reward high rollers. The other goal was to get guests to pick Harrahs over the competition. The psychological impact of treating average guests like high rollers even if the incentives they got were small in actual value was huge. These are goals WDW definitely has too (get guests to visit or spend more and keep them away from Universal). Disney has been using marketing like magic your way length of stay tickets and free DDP to get people to stay on property and stay longer. I think they probably view this as an extension of that plan.

The goal is to identify guests on the verge of spending additional money and offer them something to push them over the top. The more data you have on the customers spending habits the more you can predict behavior. It was pointed out by others that Disney always offered discounts and incentives to people but with this system they can pinpoint exactly who might actually cave and bite on the incentives. Maybe they stop offering blanket discounts available to anyone and make them only available to a certain tier of guests. IMHO the key to this succeeding is you have to offer a base level of experience and then offer incentives above that. Reducing offerings from the current base level for some while leaving things where they are for others won't work.
 

GoofGoof

Premium Member
Maybe I missed the discussion previously, or just forgot given my age (which is more likely) I just dont see the value to other companies knowing that I like a churro after I ride Buzz Lightyear SRS......Maybe there is some information to be gleaned from knowing the habits of certain sets of people (i.e. those staying off site vs on site, or those paying by cash vs credit), but I just dont see a huge goldmine in data from park specific info.

I agree with this. I think I posted something similar many pages back but it was summarily dismissed.
 

GoofGoof

Premium Member
Wow. What a quiet weekend it has been ... I guess folks are all out enjoying the long holiday break or watching lousy basketball games ... oh, what's that you say? The NHL came back today? Yawn ....

Did someone here actually compare Disney's MyMagic+ to a casino loyalty card? That's the type of comparison that could drive Nick Franklin all the way to Europe, and not to buy nice clothes in Paris or Prague. Disney HATES casino gambling more than the average fanboi hates girls. Disney does not want anything it does connected to the dark seedy world of casinos.

That, and unlike Las Vegas which targets whales, NEXT GEN's prime target are those cute 'wittle princesses and pirates.

Also, we must not lose focus here, there are no real rewards for ANY guest under this scheme. Rather, TWDC will be giving certain guests certain things/access/experiences that all guests once received or had the opportunity to (I did meet Gary Loveman not too long after he moved from Harvard to head up then-Harrah's/now Ceasar's and he made a really good first impression. I don't think he gambles.)

Oh, and did anybody notice that 'Next '13' film that premiered at the Sundance Film Festival last night? I heard it was lensed by Jeff Lange and with associate producer nods to Blondie, Crazy Gary and Bland Tommy ... ok, I kid here. But seriously, my friend's nephew had a film premiere last night at Sundance. I hope y'all get to see it!:D;):cool:

Sorry to beat the casino thing to death. I responded to the OP before reading this. Like I said in my other post if they don't offer any actual rewards this will bomb. We are definitely on the same page there.
 

nytimez

Well-Known Member
Maybe I missed the discussion previously, or just forgot given my age (which is more likely) I just dont see the value to other companies knowing that I like a churro after I ride Buzz Lightyear SRS......Maybe there is some information to be gleaned from knowing the habits of certain sets of people (i.e. those staying off site vs on site, or those paying by cash vs credit), but I just dont see a huge goldmine in data from park specific info.

Hypothetical example using your churro: We know you like churros. We also know that every time you buy one, you don't just buy one for yourself - you get one from every member of the family.

Now, the park closes in an hour and you've been wandering around with your family. Suddenly, your iDevice buzzes and it's an offer for a free churro. MAGIC! Except... you're going to buy a churro for everyone else in your family now.

Now, maybe you were going to buy that churro - those churros - anyway. Disney doesn't lose, since the churro cost them about 18 cents. But let's say you weren't going to buy a churro. Disney has just steered you into spending $20 for about $1 worth of sugar and dough to get that "free" churro.

If they steered you away from ice cream, they win even bigger. They can sell the ice cream to someone else tomorrow - but that late-in-the-day churro was almost certainly headed for the trash in an hour.

This isn't the best and most profitable application of NextGen - but it's one that springs immediately to mind when you say "churro."

This data - including highly specific individual-level data, and not just data for the collective or mass buying behaviors - is highly valuable to retailers. They already pay a lot of money for this kind of info, whether you're aware of it or not or see how it works or not.

A good example of this is the Target "RED" card, which gives you 5 percent off all purchases at Target in exchange for simply letting Target know what you're buying and when you buy it (and no, the goal isn't just to sell consumer credit - the "RED" card is also available as a debit card with that same 5 percent discount).
 

Hakunamatata

Le Meh
Premium Member
Hypothetical example using your churro: We know you like churros. We also know that every time you buy one, you don't just buy one for yourself - you get one from every member of the family.

Now, the park closes in an hour and you've been wandering around with your family. Suddenly, your iDevice buzzes and it's an offer for a free churro. MAGIC! Except... you're going to buy a churro for everyone else in your family now.

Now, maybe you were going to buy that churro - those churros - anyway. Disney doesn't lose, since the churro cost them about 18 cents. But let's say you weren't going to buy a churro. Disney has just steered you into spending $20 for about $1 worth of sugar and dough to get that "free" churro.

If they steered you away from ice cream, they win even bigger. They can sell the ice cream to someone else tomorrow - but that late-in-the-day churro was almost certainly headed for the trash in an hour.

This isn't the best and most profitable application of NextGen - but it's one that springs immediately to mind when you say "churro."

This data - including highly specific individual-level data, and not just data for the collective or mass buying behaviors - is highly valuable to retailers. They already pay a lot of money for this kind of info, whether you're aware of it or not or see how it works or not.

A good example of this is the Target "RED" card, which gives you 5 percent off all purchases at Target in exchange for simply letting Target know what you're buying and when you buy it (and no, the goal isn't just to sell consumer credit - the "RED" card is also available as a debit card with that same 5 percent discount).

...and I guess that where I'm confused because I don't see the harm in Disney ibuzzing me to tell me it's time for a churro, reguardless if I buy another, or some other item, for anyone else.
 

nytimez

Well-Known Member
...and I guess that where I'm confused because I don't see the harm in Disney ibuzzing me to tell me it's time for a churro, reguardless if I buy another, or some other item, for anyone else.

If that was the only component of NexGen, I think many people would agree with you. The bigger picture, however, is more disturbing - but I don't think I can add anything to what's in the previous 127 pages so I will leave it at that.
 

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