Disney Price Changes...on The Daily Show

[snowwhitenyc]

I enjoyed listening to the team discuss the Disney's recent price changes on today's podcast -- it's been a major topic of discussion among friends for the past 2 days, and I knew I'd hear some interesting perspectives from my favorite podcasters.

The one thing I found myself disagreeing with a bit was the idea that this was really only a big deal to the Disney fan community/regular board readers compared to the general public. I know I saw it on the front page of Yahoo yesterday (among other places), and tonight it got a mention on The Daily Show, specifically the idea of surge pricing. It felt good to be able to laugh a little

I mention this because while I agree that Disney raising prices is not necessarily news, I think this particular set of increases is newsworthy, and is causing a bit of a cultural ripple. A trip to Disney really is becoming less and less attainable for the middle class, and that's kind of disconcerting for a lot of people.

I'm glad to see Disney taking a bit of heat for this. I understand there are problems to solve (crowding, funding expansions, etc), but I don't think raising ticket prices was the only solution, and I'm not ready to give them a pass that this sort of thing is just capitalism at work.

 

[Princess Jes]

A trip to Disney really is becoming less and less attainable for the middle class, and that's kind of disconcerting for a lot of people.

Only that these increases in particular don't really apply to people just taking a trip to Disney. This is for those going multiple times a year, which in WDW case, are typically Disney fans, not just a regular family on vacation.

 

[kbelle8995]

Nope the idea that Disney is to expensive is already out in the general public. I did have friend tell me recently he would love to go to Disney. He just doesn't like the idea of taking out another mortgage to be able to do this.

So I think that when Disney does raise their ticket prices people who don't go every year or have never been do register it.

 

[TheMaxRebo]

Only that these increases in particular don't really apply to people just taking a trip to Disney. This is for those going multiple times a year, which in WDW case, are typically Disney fans, not just a regular family on vacation.

That's true, but I think a lot of people just see the headline or just the "Disney increases prices" part and it just furthers their view that Disney is too expensive or pricing them out. Especially eye catching headlines such as "Disneyland Annual Pass Jumps To More Than $1,000" it makes it seem like they are pricing people out (even though the vast majority of the people seeing that would never be interested in that particular pass

Though, I think the counter is that everything is more expensive. A movie ticket is now approaching $15 in many areas, taking a family to a baseball game is more expensive, a broadway show is more than $100 for most tickets .... so like anything each individual needs to decide how to spend their money

I do hope Disney is thinking of other ways to help deal with crowd levels beyond just raising prices or going to the tiered pricing structure. Be it more parks, or maybe even lowering the max level of crowds allowed for each day, or moving toward having the parks open 24 hours all the time

 

[Crystal824]

I agree that prices increase, but the cost of the AP has increased so much over the last 5 years or so....it is insane. With that being said, I will buy the Gold DVC AP. We have a trip planned for early March and had intended to buy APs. All in all it isn't that much more than the old AP, this change actually saves me money as we typically purchased Memory Maker too.

If the prices continue to increase, there is a point where we will be renting our DVC points rather than taking a trip or taking a trip but renting a car and checking out Universal or other Orlando attractions. At some point, we just won't be able to afford it no make how much we love Disney.

 

[bjmort]

I thi k the annual pass price increase is good. Especially for Disneyland. The parks are too busy. If you can raise pass prices by 20% and reduce pass numbers by 20% you will make the same amount of money and then word will spread that Disney is not as busy and more people will buy single day tickets and your profits will sky rocket and guests will be happier.

 

[JimmyV]

The one thing I found myself disagreeing with a bit was the idea that this was really only a big deal to the Disney fan community/regular board readers compared to the general public.

This is spot on. I love the podcast crew and the perspective that they bring. But sometimes that perspective gets trapped in its own bubble. They really don't have their collective finger on the pulse of the public at large--they are too close to the trees to see the forest. And that's OK. We want and need their insight. However, that comes at a cost, and that cost is revealed when they make statements about what non-Disney fanatics think and feel. Take the price increases as an example. (And yes, it needs to be noted that when talking about Annual Pass price increases, this does only impact people who intend to go very often and won't impact casual guests...but the same comments were being made when the prices of multi-day passes were raised.) When the Disney fanatic sees the cost of her vacation rise from $5,000 to $5,700, she is likely to groan, but ultimately conclude that she loves WDW so much that she is going to suck it up and pay the upcharge. But when the casual guest from Buffalo is looking at taking a family vacation, and is on the fence between taking his family to WDW or Yellowstone for a week, Disney's price increases may very well be the thing that puts him over the edge. The idea that the "general public" doesn't care about Disney's price increases and that this is only fuel for the Disney fanatic chatboards simply couldn't be more wrong. Indeed, the fanatics are the ones who are going to absorb the increase rather than abandon their favorite place in the world. But if WDW is not your favorite place in the world, or is looked at as "just another vacation option to consider", the cost increases are meaningful and likely to factor more heavily into your decision making. And this is why the price increases were front page news on CNN's website, Yahoo's website, MSN's website, and were being discussed on the Daily Show.

 

[cxcelica]

This is spot on. I love the podcast crew and the perspective that they bring. But sometimes that perspective gets trapped in its own bubble. They really don't have their collective finger on the pulse of the public at large--they are too close to the trees to see the forest. And that's OK. We want and need their insight. However, that comes at a cost, and that cost is revealed when they make statements about what non-Disney fanatics think and feel. Take the price increases as an example. (And yes, it needs to be noted that when talking about Annual Pass price increases, this does only impact people who intend to go very often and won't impact casual guests...but the same comments were being made when the prices of multi-day passes were raised.) When the Disney fanatic sees the cost of her vacation rise from $5,000 to $5,700, she is likely to groan, but ultimately conclude that she loves WDW so much that she is going to suck it up and pay the upcharge. But when the casual guest from Buffalo is looking at taking a family vacation, and is on the fence between taking his family to WDW or Yellowstone for a week, Disney's price increases may very well be the thing that puts him over the edge. The idea that the "general public" doesn't care about Disney's price increases and that this is only fuel for the Disney fanatic chatboards simply couldn't be more wrong. Indeed, the fanatics are the ones who are going to absorb the increase rather than abandon their favorite place in the world. But if WDW is not your favorite place in the world, or is looked at as "just another vacation option to consider", the cost increases are meaningful and likely to factor more heavily into your decision making. And this is why the price increases were front page news on CNN's website, Yahoo's website, MSN's website, and were being discussed on the Daily Show.

The counter to this is that Disney has been increasing regular ticket prices steadily for the last few years, sometimes more than once in a year. Each time there is always an outcry that Disney "has done it this time" and has priced out too many people. But the numbers show that attendance is higher than ever and has just kept growing.

I hate paying more as much as anyone else, but something tells me these ticket prices at Disneyworld are not going to result in a decrease in attendance.

 

[JimmyV]

The counter to this is that Disney has been increasing regular ticket prices steadily for the last few years, sometimes more than once in a year. Each time there is always an outcry that Disney "has done it this time" and has priced out too many people. But the numbers show that attendance is higher than ever and has just kept growing.

I hate paying more as much as anyone else, but something tells me these ticket prices at Disneyworld are not going to result in a decrease in attendance.

Two different issues. That there are more people going does not tell us who is going. We have no way of knowing if people who used to go once a year have cut back, or if they have stopped going altogether. But we do know that they are being replaced by others. I am not suggesting that price increases are driving down attendance. But they may very well be shifting the demographic. There are way, way more foreign guests now than ever before, because their money is worth more here than at home. One can see an increase in attendance while at the same time see a drop in attendance from middle America. What I am fairly certain of, however, is that the people who are accused of being the "only ones who care" about price increases, (i.e., the hard corp fans and chat board crowd), are the ones least likely to stop going. So if they are not changing their visitation habits, then that means that the only ones who will change their visitation habits are the non-superfans. Or...no one is changing at all. Which is possible. But to suggest that the superfans are the only ones who care about this and the only ones who will change their visitation patterns is simply backwards. Disney has the hook set deep into them.

 

[cxcelica]

Two different issues. That there are more people going does not tell us who is going. We have no way of knowing if people who used to go once a year have cut back, or if they have stopped going altogether. But we do know that they are being replaced by others. I am not suggesting that price increases are driving down attendance. But they may very well be shifting the demographic.

Fair enough. But your logic also debunks your theory as well. If you do not know who is going, you have no way of knowing if it is shifting the demographic in any way. You have nothing to support your theory that "Middle America" has stopped going and the increase in attendance is from "foreign guests".

We can agree with the point that its not the superfans who are going to change their habits. I think the "superfans" will complain about it, and maybe make some valid points, but in the end the vast majority will just pay the prices.

 

[JimmyV]

If you do not know who is going, you have no way of knowing if it is shifting the demographic in any way. You have nothing to support your theory that "Middle America" has stopped going and the increase in attendance is from "foreign guests".

Nothing provable, no. But the other side of the argument, (that "most people don't care about price increases") has no provable support either. What I do have is personal observation. I know that there are more foreign guests because I can see it, and I know that slices of middle America are getting to the breaking point because I hear about it.

 

[Accident]

The friends and neighbors around me I would call the non-superfans and many have asked how we can afford to go a lot with all the price increase news they are seeing. They might go to a disney property once every generation and many have never been and no plans to do so.. Several who are either star wars or avatar fans can't wait to see those when they are finished and it'll be their first trip ever. They really don't care what the price changes too because they already found it really expensive and will not be changing how they go. I think for most visitors to a disney property its more of a rare pilgrimage to the motherland unless you live reasonably close.

My friends that really have no interest in disney but love music festivals pay far more per day for a weekend here and there. Disney might be more expensive than most, but life goes on, things go up in cost. It's a luxury destination and not a traveling carnival. What makes disney disney and why we love the place is not inexpensive. I would love for everything to cost less but then it wouldn't be what we like about the place and probably not going.

 

[Princess Jes]

Correct me if I'm wrong but we can discuss who is and isn't going to the park all we like, but regardless of WHO is buying the tickets, someone is and that's the bottom line... Literally, it's Sidney's bottom line figure they care about.
The "super fans" are butt hurt because they know they'll keep going but angry that Disney is showing them no loyalty.
The loyalty is gone because Disney is a listed company, they don't give a rats who buys the tickets, just that they're bought.
They'll continue with this mentality until numbers decrease (not slow down) because that is the primary objective of a company, to make money!