Long-time lurker..had to log in to post something on this.
I think it's great that Disney is throwing in the towel on running deluxe resorts and will now be focusing on running timeshares and motels. Because they haven't run a proper deluxe resort in a long time. A big part of running a true luxury hotel is service, which shows in so many ways. It's hard to quantify, but you know it when you see it. Better for Disney to cede that business to the real players like the Four Seasons. No coincidence that the FS moved in right when this plan was being hatched. One example, you can't call the front desk...my mind boggles when I think about this.
It's kind of similar to the way they gave up on running real restaurants.
We've always stayed deluxe and then we started to rent DVC 1 brs through Disney when we needed more space, only at BCV/BW/BLT. The DVC units (from the perspective of someone renting them directly) are basically disgusting, but we put up with them for the space and the proximity to the parks. I'm talking fingerprints on the windows and lamps, the carpets were gnarly, furniture is beat up, walls are beat up. And it was obvious to me that the housekeeping isn't being given enough time to thoroughly clean the units in between stays. And the daily housekeeping that you are supposed to get when you book through Disney? Good luck getting that. 9 times out of 10 the housekeeper boss lady will pretend that she thought you were DVC when you call looking for your daily housekeeping. It's easier to just bring some Clorox wipes, wash your own towels and put the do not disturb sign out. Now we stay offsite and some accommodations are good, some are great, but the prices are more in line with what you get.
Anyway, we don't mind paying for value on our vacations and the WDW parks work for us right now spectacularly as a family vacation (along with UOR). The one place where I probably disagree with many on this board is regarding the parks. I actually think the parks are fine for what you pay, and I don't think ticket prices are outrageous. Compared to what we spend at local amusement parks or the boardwalk down the shore to ride a few rides...eh, ticket prices really aren't that bad and we still have a lot of fun in the WDW parks. That might change for us in the future, who knows. It's really the food and resorts that are driving us away. I have this thing now where I try to enjoy the parks while spending as little as possible on Disney food and hotels (and merch) at Disney. That's pretty sad when you get to that point.
As far as prices, the whole thing is a house of cards. They need the prices to be X at the deluxes so they can charge Y at the values, etc. All of the rooms are ripoffs, the deluxes aren't the worst offenders.
I think the moderate DVCs will be a hit if they can find a way to price them a bit lower. So many people who can't afford the regular DVC would love to buy into DVC, so they can feel fancy-schmancy as well. Brilliance there, pure brilliance.