The Spirited Seventh Heaven ...

KJC

Active Member
People view the initial purchase price as a barrier. By lowering that barrier, they are more likely to participate. Once they are onsite, the discounts encourage additional onsite spending.

The key is to offer real discounts, discounts that offer real savings.

If Disney raises hamburger prices to $20 and then offers a 30% discount, it’s still a $14 burger, a ridiculous price for Disney’s Quick Service restaurants. No, still list that burger for $10 but offer those Deluxe Resorts guests a chance to purchase that burger for $7. There's still a lot of profit at $7 for a Quick Service burger.

Even if guests decide to spend a day offsite, Disney still collects their high-margin hotel money. In fact, those guests miss out by spending money elsewhere:

“I can have dinner at WDW and get a 30% discount or I can pay full price at Universal. What do I do?”​

Even if they spend the day at Universal, they are more likely to eat breakfast or dinner at WDW. And that 30% ticket discount makes Universal’s ticket prices seem so much more.

Use pricing and discounts to encourage spending at WDW, while simultaneously discouraging spending elsewhere.

It’s money in the bank. :D

Not to belabor the endless WDW/Uni comparisons, but what you're describing is why we end up spending so much on site at Universal. We get the AP discount on the room, and with the small monthly payment for the AP, the upfront costs for staying are already very low. Then, the pass gets us 15-20% off every purchase in the park and on CityWalk. They even let me use my Premier pass to give the largest discount to all members of the party that I'm with.

I always feel like I'm getting a great deal, so I spend so much more in the parks. When we went to Disney, the costs upfront were so prohibitive, and the food was so expensive, that I didn't buy a single souvenir while i was there. (That there were so few souvenirs worth buying didn't help matters. And again, the high price for something like a mug or even set of pencils? Not worth the cost.)

The changes you're suggesting would immediately make Disney more appealing.
 

skubersky

Active Member

Stevek

Well-Known Member
Random thought: Since Disney brought back Captain EO when Michael Jackson died, do you think there's any way we could convince them to bring back Timekeeper?
It would be a heck of alot better than EO. Just a matter of where they could put it as there are few circle vision theaters available. Can't see them booting any of the ones in Epcot.
 

ford91exploder

Resident Curmudgeon
There are growing signs that the latest round of theme park price hikes have run their course, becoming increasingly ineffective.

After three consecutive years of 7% or higher across-the-board price increases at the theme parks, tickets are up 4% this year, while the Disney Dining Plan is up 4.6%, increases that still are well above household income but at least a bit more sane. What gives?

Disney reports “Supplemental revenue data” in its 10K. For Parks & Resorts, this data contains “Merchandise, food and beverage” revenue and “Admissions” revenue.

Prior to 2010, merchandise, food and beverage revenue was higher than admission revenue, typically 1% to 5% higher. In other words, for every $1 in ticket sales, Disney sold $1.01 to $1.05 in merchandise, food, and beverage.

In recent years, Disney has aggressively increased all prices at the theme parks. As a result, merchandise, food, and beverage revenue was down to 89% of admissions revenue in 2013 (i.e. 89 cents on the dollar).

Merchandise, food, and beverage can be thought of as discretionary spending. If I want to visit a Disney theme park, I have to purchase a ticket. However, once inside the gate, I don’t have to purchase anything.

By raising prices faster than what people can afford, Disney has forced guests to cut back elsewhere. Instead of spending at WDW, they eat, drink, and shop offsite, where prices are significantly less.

In 2013, admissions revenue was up 11% while merchandise, food, and beverage revenue was up only 6%. The gap between the two has never been wider.

Last year, domestic attendance was up 4% while prices were up more than that. Yet Disney managed only 6% growth on merchandise, food, and beverage revenue. That’s just bad.

People still want to visit Disney theme parks, still need to eat, still need to drink, still want to buy souvenirs, but by squeezing tighter, Disney has lost a growing chunk of their vacation dollars.

Rather than drive guests offsite with higher prices, Disney needs to adopt a strategy that causes guests to spend all their vacation dollars onsite.

Disney needs to bundle hotel, ticket, food, and perhaps even merchandise into vacation packages that provide genuine savings to those willing to spend all their vacation dollars at WDW, not the disingenuous “raise prices 40% and then offer 30% discounts” strategy that they employ today.

Raising prices even more ain’t gonna cut it.

No it is not - Not being sports fans we just cut the cable tier which included sports and saved about 20 bucks a month - Out of that 20 according to cable provider 5 bucks went for ESPN alone. And Disney is raising prices for all the cable providers they can.
 

doctornick

Well-Known Member
The Ministry of Magic is about the only place they can go. My guess is that Lost Continent will be saved for the Harry Potter spinoff movies

MoM taking over Fear Factor has been talked about and would make sense. The other good idea I head was closing Dueling Dragons and making that area into the Forbidden Forest.
 

ford91exploder

Resident Curmudgeon
Disney needs to come up with a pricing strategy to stop people like you from leaving.

Using a fictional example:

Stay at a Walt Disney World resort and receive up to a 30% discount on all ticket, food, and merchandise purchases for your length of stay.*

* Some restrictions may apply.​

Someone close to the numbers needs to come up with the right combination. For example, a 30% discount for Deluxe, 20% for Moderate, and 10% for Value Resort guests.

The idea is to minimize how much guests spend prior to arrival (i.e. only the room needs to be prepaid) but encourage spending after arrival. Let them buy tickets, Disney Dining Plan, etc. after they check-in, using their discount to do so. (Of course, they are free to purchase these using their discounts before arrival, if they want to.)

Paying for tickets and the Disney Dining Plan before arrival just makes WDW seem so much more expensive.

People view the initial purchase price as a barrier. By lowering that barrier, they are more likely to participate. Once they are onsite, the discounts encourage additional onsite spending.

The key is to offer real discounts, discounts that offer real savings.

If Disney raises hamburger prices to $20 and then offers a 30% discount, it’s still a $14 burger, a ridiculous price for Disney’s Quick Service restaurants. No, still list that burger for $10 but offer those Deluxe Resorts guests a chance to purchase that burger for $7. There's still a lot of profit at $7 for a Quick Service burger.

Even if guests decide to spend a day offsite, Disney still collects their high-margin hotel money. In fact, those guests miss out by spending money elsewhere:

“I can have dinner at WDW and get a 30% discount or I can pay full price at Universal. What do I do?”​

Even if they spend the day at Universal, they are more likely to eat breakfast or dinner at WDW. And that 30% ticket discount makes Universal’s ticket prices seem so much more.

Use pricing and discounts to encourage spending at WDW, while simultaneously discouraging spending elsewhere.

It’s money in the bank. :D

Being long term DVC members we usually get a 1BR or GV depending on how many of the family are with us during trip. However in the last 2 years we have almost entirely stopped eating in the parks because of the insane price increases.

For example Biergarten is one of our favorites at EPCOT during most of the 'Noughts it was 20 and change which was a decent value for the meal and we ate multiple times there per trip. Last trip (May 14) family went without me and it was 39.99 per person,

Family decided to skip as meal was not WORTH almost 40 bucks per person especially since many items have been removed from the buffet. They went back to room and made sandwiches instead.

We used to use the Deluxe Dining Plan but it's now priced well beyond value and still use TIW but we may cancel that if WDW meals keep going up in price.

We are using our DVC now as a base to visit Central FL as Disney is busy pricing itself out of the market. In our case we can pay the high prices but like @WDW1974 we choose NOT TO as the value is no longer there.
 

ford91exploder

Resident Curmudgeon
Disney's "refurbishments" are so misapplied in the fan community. People have unrealistic expectations that every refurb is supposed to be Star Tours 2.0 or something.. or the BTMRR redo.. and they get all y if an attraction comes back from refurb just being the same show. Scheduled closures can be for everything from catch-up work, to mechanical repair, replace, show element upgrades, infrastructure upgrades, safety upgrades, to complete reworks of the attraction.

Not everything can be done during normal off-hours.. and given Disney's shift to non-dedicated maintenance staff, it is not surprising that more extensive work is pushed into scheduled downtimes where teams can spend dedicated time vs time-sliced.



What breakdowns? The ride system is pretty reliable.


When I use 'refurbishment' I mean it in the sense of restoring the attractions mechanics to 'as-new' state along with any necessary safety upgrades. Disney has not done much along these lines for a very long time with many rides with the monorails being the most glaring example. It does not mean adding or changing show elements - it does mean that on completion all show elements WORK however.

Maintenance is replacing wear components and touching up the finish.

Cleaning - is just that
 

lazyboy97o

Well-Known Member
When I use 'refurbishment' I mean it in the sense of restoring the attractions mechanics to 'as-new' state along with any necessary safety upgrades. Disney has not done much along these lines for a very long time with many rides with the monorails being the most glaring example. It does not mean adding or changing show elements - it does mean that on completion all show elements WORK however.

Maintenance is replacing wear components and touching up the finish.

Cleaning - is just that
By that definition then almost every attraction at any park has never been refurbished.
 

ford91exploder

Resident Curmudgeon
By that definition then almost every attraction at any park has never been refurbished.

Perhaps taking it a bit too literally,

Have you seen escalator maintenance It's disassembled, parts checked, existing parts cleaned and reinstalled if within specs and new parts installed where required and reassembled and placed back into service.

One would think WDW could do the same with rides...
 

Cesar R M

Well-Known Member
Uhh.. before the internet, in the 80s we all relied on books put out by this guy...
View attachment 61549

And those dinosaurs we call TRAVEL AGENTS.
Not everyone had these books.
but you got a point on the Travel Agents (but I dont think they even had as much information as today's)

still, today times are nothing like the 80's.
SO I do not understand the push for that.
 

Cesar R M

Well-Known Member
I'm still cringing from where one of the announcements I saw said that he "resides" with his wife in their home... anyone else think the obvious word there should be "resided?" I know my brain is a bit off right now and all, but come on...
Maybe because Robin had many homes?
And I think he tried to pull a classic "he is now survived by his wife and.." type of line.. and it backfired on him.
Oh, and you might want to check the dates on the infographic again... it shows a trend over the last 4 years. Unless you think this crazy idea of shared information over the interwebs and forums is something that just started in the last 4 years..:hilarious:

you missed my point but ok.
 

Cesar R M

Well-Known Member
Yeah I think he either doesn't care or does it on purpose. I mean we know he can write, he was an English Major and a published author.
Question, does a person like Eisner manage his own twitter account?
I know many "celebrities" or "executives" actually have personnel for that... specially if the user is not exactly fond of the internet.
 

asianway

Well-Known Member
Being long term DVC members we usually get a 1BR or GV depending on how many of the family are with us during trip. However in the last 2 years we have almost entirely stopped eating in the parks because of the insane price increases.

For example Biergarten is one of our favorites at EPCOT during most of the 'Noughts it was 20 and change which was a decent value for the meal and we ate multiple times there per trip. Last trip (May 14) family went without me and it was 39.99 per person,

Family decided to skip as meal was not WORTH almost 40 bucks per person especially since many items have been removed from the buffet. They went back to room and made sandwiches instead.

We used to use the Deluxe Dining Plan but it's now priced well beyond value and still use TIW but we may cancel that if WDW meals keep going up in price.

We are using our DVC now as a base to visit Central FL as Disney is busy pricing itself out of the market. In our case we can pay the high prices but like @WDW1974 we choose NOT TO as the value is no longer there.
TIW is now implementing additional block outs at selected(read: popular) restaurants to follow the holiday pricing calendar
 

lazyboy97o

Well-Known Member
Perhaps taking it a bit too literally,

Have you seen escalator maintenance It's disassembled, parts checked, existing parts cleaned and reinstalled if within specs and new parts installed where required and reassembled and placed back into service.

One would think WDW could do the same with rides...
Not at all a good comparison. An escalator is a single functioning unit. A bad ride vehicle or small show scene can be taken out while the ride continues to operate.
 

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