What's up with all the cutbacks?

[rg35]

Public company needing to create "shareholder value".

What WDW is doing now by getting rid of all these little touches, by creating generic rooms, etc., is turning their theme parks into regular amusement parks.
Thing is, only people who have been going to disney for a long time will notice these things and be bothered by them. The question is how much is too much for long time repeat visitors to be turned off enough to not visit. So far it seems like they've not reached that point. For new visitors, who won't know about these things and therefore can't "miss" them, it's a matter of whether or not people are finding their visits "magical" enough to become repeat visitors.

 

[middlechild]

@rg35 great question, further clouded by the proliferation of DVC properties. With contracts locked in that guarantee visits, does the magic to attract repeat visits all that necessary anymore?

 

[rg35]

@rg35 great question, further clouded by the proliferation of DVC properties. With contracts locked in that guarantee visits, does the magic to attract repeat visits all that necessary anymore?

Yeah, that's a good point. I became a DVC owner in 2012 and as such vacationed at WDW every year between 2013-2017. We took this year off and went on a cruise. But, with points banked from this year to next, we'll be back at Disney next year for two weeks. Don't get me wrong, my wife and I both love WDW and our kids are still young enough to not be jaded about "Disney Magic", so I'm not complaining. But, it just highlights your point that with the proliferation of DVC resorts, people are essentially locked into vacationing at Disney World every one to two years so there might be less effort required to keep people coming back.

That said, my understanding is that over time, DVC owner trips tend to include fewer and fewer visits to the parks. I'll be interested to see how our patterns change as we and our kids get older.

 

[WaywardMemphian]

Public company needing to create "shareholder value".

What WDW is doing now by getting rid of all these little touches, by creating generic rooms, etc., is turning their theme parks into regular amusement parks.
Thing is, only people who have been going to disney for a long time will notice these things and be bothered by them. The question is how much is too much for long time repeat visitors to be turned off enough to not visit. So far it seems like they've not reached that point. For new visitors, who won't know about these things and therefore can't "miss" them, it's a matter of whether or not people are finding their visits "magical" enough to become repeat visitors.

I've been planning an epic 5 week European Vacarion that focuses on visiting Europe's top them parks(Europa, Puy du Fou, Efteling, Phantasialand, Port Aventura, Disney Paris,Tivoli) with a Disney cruise in the middle. What I'm paying for 2 and 3 night stays in highly themed rooms and what they include(tickets, breakfast buffets) just puts the high cost of Disney into greater perspective.

 

[1lilspark]

I'm probably the only one Happy that Mike and Sully will be taking the star lord's and groot's place..

I was hoping for Ralph and Vanelope but Mike and Sully are a pleasant alternative

Now you remind me that I'd love the McDonalds fry stand to return.

I miss the smell of them in the parks

 

[Darkhaund]

I also fear that Disney parks might slowly loose their magic and uniqueness and turn into regular amusement parks

 

[ChrisFL]

I don't see any indication of them turning into regular "amusement parks" more than they were back in the early 2000's when we got DCA as one big amusement park, Disney Studios Paris, Dino-Rama with a bunch of barely themed carnival rides and games in DAK, etc. , plus lots of good attractions replaced by very cheap ones.

Those were the dark ages.

 

[Texans_loyal]

aaaaaand food and drink prices went up today according to Disney food blog. $6 for a churro....Jesus.

 

[snappy]

That’s nuts but I am not surprised. We are doing a grocery run and an Amazon prime now delivery for our DVC unit to protect our wallets. We will definitely spend some at the food and wine festival but limit our restaurant meals to Sanaa and maybe a couple restaurants at swan/dolphin that we particularly like. NOT buying any churros lol.

 

[HopperFan]

Public company needing to create "shareholder value".

What WDW is doing now by getting rid of all these little touches, by creating generic rooms, etc., is turning their theme parks into regular amusement parks.
Thing is, only people who have been going to disney for a long time will notice these things and be bothered by them. The question is how much is too much for long time repeat visitors to be turned off enough to not visit. So far it seems like they've not reached that point. For new visitors, who won't know about these things and therefore can't "miss" them, it's a matter of whether or not people are finding their visits "magical" enough to become repeat visitors.

Both DS and I have APs. Have had for years. Unfortunately we have landed where we are not in sync (Aug, Oct, Dec) but it didn't stop us from having hard conversation if we wanted to take a break for awhile before we renewed Aug one. We know folks that have not renewed that we sometimes hang with there.

I think if we were taking a big trip where we would have to purchase regular tickets we would likely take that break and channel the money elsewhere or a different Disney park.

@rg35 great question, further clouded by the proliferation of DVC properties. With contracts locked in that guarantee visits, does the magic to attract repeat visits all that necessary anymore?

Yeah, that's a good point. I became a DVC owner in 2012 and as such vacationed at WDW every year between 2013-2017. We took this year off and went on a cruise. But, with points banked from this year to next, we'll be back at Disney next year for two weeks. Don't get me wrong, my wife and I both love WDW and our kids are still young enough to not be jaded about "Disney Magic", so I'm not complaining. But, it just highlights your point that with the proliferation of DVC resorts, people are essentially locked into vacationing at Disney World every one to two years so there might be less effort required to keep people coming back.

That said, my understanding is that over time, DVC owner trips tend to include fewer and fewer visits to the parks. I'll be interested to see how our patterns change as we and our kids get older.

I agree that the DVC being their focus right now does as you say. Otherwise I think their demographic is the non-regular visitor that wants to spend lots of money on a "once in a lifetime or decade" trip. The regulars are no longer their concern. If we come great, if we don't someone else will.

We opted for a beach location for our money but the plus is that it is 1.5 hours from Disney so I can box in a trip with two extra days without paying for a hotel for those days. If we are really crazy we can even drive over for the day, we've done it for one night with two full days at parks. Disney gets very little of my money now that I'm booking offsite so I understand if I am not important .... but folks like us are likely to burn money on stuff like snacks and extras that are a bit pricey but now ...... I would just feel ripped off.

aaaaaand food and drink prices went up today according to Disney food blog. $6 for a churro....Jesus.

I saw ........ the prices are really nutty, some of them up over 20%. Water bottle for sure now and we'll pass on most those snacks. They aren't worth half their price.

Hope it works out for them ....
.... they will need those Dining Plans sold,
and I hope the "value limit" was raised ... pretzel $7?

 

[rg35]

For our kids, we bring insulated water bottles that I partially fill (about 1/4) and freeze the night before, than top off in the morning. Paying for bottled water (at any price, let alone Disney's), is absurd. As for me, I just drink plenty of water at lunch and dinner. We don't really snack in the parks, but we generally do TS lunch and dinners in the parks which definitely adds up.

These snack price increases are nutty though, especially in light of many items being raised not too long ago.

In Q2 2018, Disney Parks alone reported $4.88 billion in revenues. Average earnings were $1.84 per share beating analyst expectations by almost 15 cents a share. I mean, they are not hurting, but they are really starting to put the squeeze on visitors.

Thing is, I do really wonder where the inflection point is. Part of me is selfishly OK with increasing prices because I can afford to pay them, and that could eventually mean less crowded parks. BUT, so far, huge price increases in food, park tickets and hotels has not stemmed visitors at all. And I get that vacations are luxury items, but I do feel bad about the family who spends years and years saving for a once in a lifetime trip - especially if they're ill-prepared and don't wind up enjoying their trip.

Kind of a rambling stream of consciousness here on my part but I really do wonder how much they can push.

 

[snappy]

I think with the current situation of low unemployment and the stock market continuing to do pretty well, Disney is making hay while the sun shines. I am not delusional enough to think that food prices might decline, but they may have to discount rooms a good bit if/when the worm turns.

 

[HopperFan]

I think with the current situation of low unemployment and the stock market continuing to do pretty well, Disney is making hay while the sun shines. I am not delusional enough to think that food prices might decline, but they may have to discount rooms a good bit if/when the worm turns.

Which is why I think their focus is on more DVC rooms and no new hotel rooms. They are guaranteed the money from DVC with no discounts unlike the hotels in slower times.

 

[snappy]

It’s crazy how much points are at the newer resorts, pretty high at the older ones too if you buy direct.

 

[1lilspark]

The sad truth is that the guests are being the ones to ‘carry the burdon’ Of the mouse now giving it’s employees a living wage
Re: entertainment cuts and drastic price jumps on food and merchandise

 

[manning]

I also fear that Disney parks might slowly loose their magic and uniqueness and turn into regular amusement parks

Slowly?

 

[ChrisFL]

The sad truth is that the guests are being the ones to ‘carry the burdon’ Of the mouse now giving it’s employees a living wage
Re: entertainment cuts and drastic price jumps on food and merchandise

I'm sure spending $71 Billion on Fox had something to do with it as well

 

[sndral]

Those snack price increases are pretty hefty % wise particularly since the CPI was only up 2% last year, they raised the price of a can of soda 12%, for example. I assume that menu prices at restaurants will see similar increases. In their earnings calls Disney is always saying per guest spending is up - I guess this is why.
Those not concerned w/ budgeting pay for a cupcake w/ a ‘view’ type upcharge events, those on a budget pay .50 here, a dollar there and before you know it, this year’s visit is 10-20% more expensive than last year’s visit. It will reach the point where those who wouldn’t have bothered to seek things like sodas & snacks elsewhere because of the hassle will decide it’s worth a little effort to save and Disney may find that they’ve driven net per guest spending on food down.

 

[Texans_loyal]

Food and wine went up today!! Where does it stop? Cuts left and right, merchandise increase, ticket increase on the 16th, snack increase and now booth food. I'm scared to see festival of the arts pricing,$14 for a snack size cheese board last year

 

[SaharanTea]

Food and wine went up today!! Where does it stop? Cuts left and right, merchandise increase, ticket increase on the 16th, snack increase and now booth food. I'm scared to see festival of the arts pricing,$14 for a snack size cheese board last year

Mid-festival!?!

That seems extreme even for Disney.