Chapek: Nearly 1/3rd of Disney World Guests are Purchasing Genie+

[imbelle]

I was there last week, I simply don't believe it as is being presented here.

Yup, I call bull on this too. Of course I can't prove it, but just by observing the LL queues I'd say that there was no way nearly a third of the guests were using them compared to the standby lines.

 

[Brian Noble]

The company reported annual revenue in excess of $67B. And there is some question about what he actually said (I haven’t read the quote in the transcript: what’s the denominator of the 1/3 number, full attendance or “People who used Genie during the day”?). But even if we use the largest possible number, and even if we assume it’s fully accretive (It won’t be, because some G+ spending will cannibalize other parts of a vacation budget) it’s about $300M, or less than 0.5% of total revenue.

Mostly it seems that people are upset the Company views this as successful. No one should be surprised at that. Disney was the last hold out among the major theme park operators in adopting paid virtual queuing, and the others have only expanded it in the past decade or two.

 

[igrsod]

1/3 isn't that many in my opinion. I'm glad it's only 1/3 and hope that it doesn't increase.
I really hate the nickel and diming mentality. $15 does not break the bank, but it's the slimy feeling I get from Disney now, that I didn't feel before.
I loved the all inclusive feel I used to get from my vacation. It was mostly paid for before we arrived, except some souvenirs and tips. Now I have to
arrange everything on my own, pay for it while I'm there. Debate whether or not I need to upgrade my tickets. If I do, I have to be up at the crack of dawn
planning the day, and then continue all day on my phone, stressed about getting the most out of my $15 upgrade... it's ridiculous.
We own DVC, and while we have had great vacations up to this point, we may be done soon.

 

[teachmedis]

I don’t really think this is a true representation, it’s not a complete picture. One third of guests bought it for their whole stay? Tried it for one day, two days? No mention of the individual lightning lane purchases.
I think many of those who bought it were just checking it out. It’s new, right? Many will not buy it again, some will. Run those figures again after a certain time has passed and the newness wears off, then we’ll see.

I agree, 30% of who? When? That number is likely not a lie but without more information it's arbitrary.

 

[UberClaire]

In the parks now. Would be shocked if the 1/3 number was true. Seems like very few are using it. We bought for one day at HS and it was not worth it. It is not a well-designed system.

 

[Grasshopper2016]

Of course I can't prove it, but just by observing the LL queues I'd say that there was no way nearly a third of the guests were using them compared to the standby lines.

If Genie+ were like Universal’s Unlimited Express Pass—where if you have it, you get to use it on every ride, every time—then it would be relatively easy to tell what percentage of customers have bought it, just by observing the ratio of standby to LL users on any given ride. But since Genie+ is so limited, most people who have it aren’t able to use it on most rides. They are still using the standby lines for a lot of rides while they wait for their LL return windows to open. So I think the eye test can be misleading.

 

[Mousey0324]

Genie + is a flop

 

[VAlegacy]

https://blogmickey.com/2021/11/nearly-1-3-of-disney-world-guests-purchase-disney-genie/
An interesting

I really hate the nickel and diming mentality. $15 does not break the bank, but it's the slimy feeling I get from Disney now, that I didn't feel before.

Couldnt agree more. Its the same wool over the eyes feeling I get from paying $1k/night at Disney, only to later get a bill for parking there.

 

[thanxfornoticin]

Genie + is a flop

Seems like not everyone agrees with that opinion. There are quite a few positive reports about how it works - not happy about the cost, but how it can be used to enhance the day. Similar mixed feelings when FP+ came out. And when FP came out.

I wonder if folks would have preferred all tickets get a $15-$20 increase to 'include' Genie+, and then have many not use it (but pay). At least folks have an option.

 

[VAlegacy]

Disney was the last hold out among the major theme park operators in adopting paid virtual queuing, and the others have only expanded it in the past decade or two.

A fact lost on the bean counters and corporate executives is that this "aligning with the industry" mentality actually devalues their branding.
Disney parks never has and never will need to align with the industry, unless of course it's to nickel and dime its patrons

 

[Mousey0324]

Seems like not everyone agrees with that opinion. There are quite a few positive reports about how it works - not happy about the cost, but how it can be used to enhance the day. Similar mixed feelings when FP+ came out. And when FP came out.

I wonder if folks would have preferred all tickets get a $15-$20 increase to 'include' Genie+, and then have many not use it (but pay). At least folks have an option.

having used it for a few days…i don’t like it.

everyone has there opinions. It’s wonderful that other people like it. I don’t.

 

[Kbrb]

Good old Bob Intends to die on the genie hill.
He would have claimed to be amazingly happy with 15% uptake to investors.

I see they are looking into reducing the amount of food we get to.. mickey rations incoming

 

[PaladinButters]

Inside the Magic purports to quote Chapek: “Nearly 1/3 of Park Guests [are] upgrading to Genie+”. If that quote is accurate, and he meant to say that 1/3 of Genie users have upgraded—rather than 1/3 of all park guests—he really should issue a correction.

They kinda stuck the wait times and dining in there at the top of the app so you would "use Genie" whether or not you are letting in ruin plan your day for you so I imagine a lot of people are "using" Genie. There's other ways to get that info, but I just clicked the tip board so I guess I'm a "genie user" today and I'm not even at the parks?

 

[Mousey0324]

Worst part is all of this is done to make money and shareholders…right.

look at there floundering stock price. HAHAHAHA it’s horrible.

they will need to come up with another cheap gimmick quick to improve market sentiment.

 

[VAlegacy]

Good old Bob Intends to die in the genie hill.
He would have claimed to be amazingly happy with 15% uptake to investors.

I see they are looking into reducing the amount of food we get to.. mickey rations incoming

Its a small burger after all

 

[HopperFan]

I'm not sure how you can take this other than a straight up lie(which has legal ramifications), or he is telling the truth.

Its not an ambiguous statement.

He would be really being tricky if the theories here are right. Which is a risk on his part.

Earnings calls are pep rallies for the company and stockholders. Much of what they say is exaggerated and they have the ability to play with fuzzy math.

Genie+ was not received well because it was an existing service they have now monetized and reduced it's value. They were going to stretch and say whatever they could to be a "I told you so."

No one is going to legally challenge statements that they have no access to the most important number to prove/disprove and there can be no losses here because it cost them nothing. So in a way, any gain in income is fine with stockholders. (I am long term stockholder)

Yup, I call bull on this too. Of course I can't prove it, but just by observing the LL queues I'd say that there was no way nearly a third of the guests were using them compared to the standby lines.

No one can prove or disprove and Disney knows it. Disney does not release attendance numbers, it's a guarded secret. Without that number, there is no way to disprove. And they covered themselves by calling it upgrading which is even more diluted information.

Mostly it seems that people are upset the Company views this as successful. No one should be surprised at that. Disney was the last hold out among the major theme park operators in adopting paid virtual queuing, and the others have only expanded it in the past decade or two.

Not sure why you keep hanging on to this that people want it to fail and are mad. I think most of us know it is here to stay and the last thing I want is it to fail because that would likely mean (1) it's gone without a replacement and we get no help with lines (2) the best way to make something appear more valuable and create demand is to raise the price, which we don't want. People here are those who love the parks and want to see it moving forward in a positive way. What we see is non-stop monetizing with the continuation of reduced experiences (trams, parades etc).

The issues here is that Disney had changed it's business model, and there is enough written to know that Chapek has upended the organization structure and future direction. There is enough concern at the top of Disney - that is why Iger is still around. Chapek was not their first choice but there was no one else, and he will be the one responsible for any failures. I don't doubt the board will fully blame him for any failings in the immediate future. He has to know that. NOW he stands before a group to talk about all that is happening and change, a good opportunity to talk about all the positive movement. And there he proclaims something that just isn't backed up with what is actually visible on the ground. It is so easy to lie about something when you keep numbers needed secret. But it makes him look good to justify the decision to monetize something that was upsetting to park guests. Most people listening to call with purpose likely never go to parks, don't know what he is talking about and don't care, they heard profit. He risked nothing by saying what he did because no one that matters will challenge it.

If Genie+ were like Universal’s Unlimited Express Pass—where if you have it, you get to use it on every ride, every time—then it would be relatively easy to tell what percentage of customers have bought it, just by observing the ratio of standby to LL users on any given ride. But since Genie+ is so limited, most people who have it aren’t able to use it on most rides. They are still using the standby lines for a lot of rides while they wait for their LL return windows to open. So I think the eye test can be misleading.

Except MANY in the Express Lanes are staying at Universal deluxe hotels where they get it free. It is also used for their disability pass and VIP tours (never saw as many as I saw last week). Also higher level Express passes can repeat rides so those folks would be counted more than once.

I hear what you are saying and you are correct in how it is used. But being there and being in those LL lines for five days .... the usage was very low compared to the crowds. I honestly was very surprised at how few were heading in the LL lines.

They kinda stuck the wait times and dining in there at the top of the app so you would "use Genie" whether or not you are letting in ruin plan your day for you so I imagine a lot of people are "using" Genie. There's other ways to get that info, but I just clicked the tip board so I guess I'm a "genie user" today and I'm not even at the parks?

No, you do not have to engage the bulk of the Genie to look at all that. It's like .... reading a menu doesn't mean you actually ordered any food. On the Home Page you actually click in to "Summon Disney Genie". It wants you to give it all kinds of information that helps the Genie begin to plan your day, send you push notifications, make suggestions of where you should go, what you should ride, where you should eat. Of course all these are nothing to do with what you want to do (as has been reported over and over by those testing/using it) but rather how Disney wants to move you around the park. I never summoned or answered any questions and the Genie never tried to give me any help.

The other places like the Tip Board are really just part of MDE. But the HOME PAGE is where they try to suck you in to the Genie, to play Disney Games (which he is also pushing) .... there is lots to enjoy on the page but I was very careful about which ones I was engaging because I didn't want the Genie or any of the others that were trying to tell me how to vacation, it was enough work with Genie+.

Chapek talking about metaverse and all that .... they are trying to completely be in your head at all times, even at home. They forced me to wide open my "precise" location to make some things work, so after home I needed to close those or the tracking continues. They now have listed on MDE if you are a Disney Visa Holder, if you are a Disney+ subscriber ... This is way more than Genie or Genie+ this is about 365 days of engagement and being in your phone. Kudos to them, but be aware of what you are leaving open on your phone.

 

[Jrb1979]

Genie + is a flop

I don't think it's a flop at all. From what I have read it seems the many here want it to flop in hopes it goes away. It's here to stay. I for one love it cause it means less people will use it. It's what I hated about FP+.

 

[thanxfornoticin]

having used it for a few days…i don’t like it.

everyone has there opinions. It’s wonderful that other people like it. I don’t.

And I respect the fact that you voice your opinion having actually used it. I have not had that opportunity yet, but will next month. At least you have first-hand experience when coming to your decision. I get the impression many of the haters and the lovers haven't even used it yet. I'll come to my own conclusion in a few weeks. Who knows, maybe I'll join you!

 

[VAlegacy]

And I respect the fact that you voice your opinion having actually used it. I have not had that opportunity yet, but will next month. At least you have first-hand experience when coming to your decision. I get the impression many of the haters and the lovers haven't even used it yet. I'll come to my own conclusion in a few weeks. Who knows, maybe I'll join you!

The haters dont hate it for its useability though.

 

[thanxfornoticin]

The haters dont hate it for its useability though.

Sorry, not sure I understand the comment. Are you saying people hate it perhaps for cost, but not how it works at the parks?