Is Disney becoming too greedy?

[brockash]

I know this is going to be more relevant for the Britts. As with the shape of the economy, we certainly have less petty cash!

Disney have recently made changes with regards to it's packages/deals or for a better word, lack of deals.

I know it's out of their control, however the prices of flights have increased, it appears Disney doesn't seem to be doing much to reduce the financial cost, in fact increasing their own prices!

Firstly free dining has literally been taken off the table

Magic hours are being removed from the evenings in Magic Kingdom and a possibility that the other parks may follow suit?

The fast pass scheme has been replaced with a different scheme, which to be honest, what was wrong with the fast pass system? It worked, why fix it with a Pre booking scheme? Profit gain?

So these elements combined has led to me to draw to the conclusion, that there are several individuals at the HQ in California who are to be frank becoming greedy and tarnishing Walt Disney's dream and ideology.
It was never his aim to be poor, of course he wanted financial gain but not to exploit his idea at every turn.

Remember the question, is Disney becoming too greedy? Could they do more?

Your thoughts?

In a word Yes. When I look back at what we paid for our Disney trips just a few years ago to now, and what we got at those prices and what we get now, it honestly makes me sick to my stomach...although mainly because I foresee an end to our annual Disney trips very soon, because of the prices.

 

[tinkerpea]

In a word Yes. When I look back at what we paid for our Disney trips just a few years ago to now, and what we got at those prices and what we get now, it honestly makes me sick to my stomach...although mainly because I foresee an end to our annual Disney trips very soon, because of the prices.

And this is so very upsetting! it's so hard to think that people who have been able to go for years are having to face that fact they either won't be going for a long time or even at all........

I couldn't believe my eyes when I seem how much the SAME trip for this yr had gone up by from last, and I dread to think what next years prices will be like!

 

[tinkerpea]

Disney isn't going to cut their prices to make up for the cost of another business.

And nobody is asking them to "cut" their prices but do they really have to put them up by so many $$$ for the exact same trip? Everything has gone up I get it BUT Disney has taken for lack of a better word the Mickey!!

 

[tinkerpea]

Exactly. If you look at how crowded the parks are, it's hard to say that Disney is being greedy, since people are obviously still willing to pay the prices that Disney is offering. If Disney were greedy, the prices would be high and consumers would decide not to come to the park (or not visit bbb or not stay on site, etc). That doesn't seem to be the case.

Hahaha the prices are exactly reasonable!!
They want £470 odd a night for a 2 bed villa when you can get that for £100 off site! Of course there is always going to be hundreds of people willing to pay the prices, many come for that once in a life time trip, many other only stay a wk less then that BUT when your staying for at least 14/21 nights the prices are insane!!

We paid last trip in total including everything £13,000 that's a deposit on a house!
Disney do not have to keep hiking up their prices for everything to make a bloody good profit! They could keep reasonable and still make a fortune as they do every year.

I guess we will see what happens when they start lowering the discounts and decreasing the free dining plans cause for any family over 4/5 people the costs will be insane.

 

[Marionnette]

This article about Q1 2013 earnings made for an interesting read. A observation from that writer that drew my attention was:

...the point is that (while the devil is in the details) for equal amounts of revenue, in general Disney is better off with higher prices and slightly lower crowds than it is with lower prices and higher crowds.

In the first instance it both makes more money and has higher guest satisfaction. In the second, because variable costs go up with higher crowds and, in general, guest satisfaction goes down with higher crowds, it may both perform less well economically and see lower satisfaction.

((emphasis mine))

http://**************.net/2013/02/0...c-implications-disneys-q1-2013-earnings-call/

 

[Sparkly]

We paid £4000 in total for our Feb holiday- 10 nights offsite with one onsite.

You would pay just as much or more for the same length of holiday elsewhere in the world. I think it's better value for money then other holidays.

Disneyland Paris want a ridiculous amount for a very short stay, and it's certainly not Florida.

 

[jennylyn_b]

Part of it is the places you are staying on site. For example, a two bdrm villa at SSR ranges from $618-$995 per night ( us dollars and does not include tax) depending on when in the year you go. A value or moderate would be a fraction of the cost. The high price is due to the amenities that the Vacation Club villas offer versus the other hotels. These DvC resorts are meant to be used by members using points more so than cash customers. Not that cash isn't wanted of course it's just that they weren't set up to be economical for cash customers like the other choices.

 

[disneychell]

I definately think its down to the resort choice that is making there be such a rise in price, perhaps people who go and stay at SSR and OKW could consider staying at a moderate if the increases are that much- it would save a lot of money and they really are lovely resorts. Another option I suppose is if memory servers me right they have the 35%-40% off stays and free dining at SSR when the offer usually comes out (in the Uk we are lucky because these 2 offers can be used together, unlike the US where offers can't be combined), wait and see if that were to bring the price down. Disney is by no means a cheap holiday, but I would rather spend my money there than anywhere else and don't find it to be overly more than if we were to do 2 weeks elsewhere. Another thing we get that I think is great is the 14 day ultimate tickets, after seeing the price for tickets that americans have to pay- wowzers- disney sure looked after us with ultimate tickets!

 

[lost*in*cyberspace]

I'm guessing your [sic] joking as if you have seen the exchange rate for the last few months it's been bloody poor lmao!
No more $2/3 to the £ for us anymore!

No, I'm not. While the value of the £ has dropped recently, it's still stronger than the US dollar. It has been stronger than the dollar for many years.

If the exchange rate has been as high as 1£ = $3.00, it was before WDW was built! The highest rate in many years was in Nov 1980 when 1£ = $2.44.

 

[Reddog1134]

Any thing that Disney does could be attributed to greed because it's all done to make money. Even when they offer promotions like Free Dining, it's so they can get more people in their parks and hotels.

If they were to cut prices because of rising airline costs it would only be because they realize fewer people were coming to the resort.

It's all to make money, it's just our perception that changes.

 

[mm1971]

Hi all,

I'm married to the OP and wanted to give more of a back ground about us then what he has,

I have been going to Disney for the last 25 years, for at least 3 wks at a time so I remember what Disney WAS like!
We go every other yr for 3 wks at a time and stay at either SSR or AKL so we can easily afford the trips we take and like my DH said will continue to do so,
We have never gotten the DDP free except last trip so that was just a bonus, apart from that we have paid for it every time!!

For me the pros of staying on site was the evening EMH which have been shortened and now have a threat of being taken away all together, we also have had most promotions taken away.
Just because my Dh and I can afford the trips the thread was more about the general cost of a Disney holiday and sorry but it has gone up a lot!

Dining prices have increased to a insane amount, " you can't do a character meal for under $200 for a family if 5, ( outside if Disney property food is reasonable so it's not just because the economy has changed)
Disney used to be affordable to most however now I see a lot of posts from family's that have to save for years before going its a sad thing to see.

We love Disney and understand there will be many who stick up for Disney no matter what, but in our opinion Disney has started to get greedy. I mean even monorail hotels don't get the full benefits of the monorail due to cut hours after a certain time?!

Hello Tinkerpea. I think the most important statement is that you have been going for 25 years. Society has changed so much and they way business is done is so much different now than it was even 10 years ago. Everything is now geared towards the almighty dollar and making shareholders satisfied (I am a shareholder so review the quarterly and annual reports regularly). Things are definitely more expensive and you get less for you $$. Unfortunately, that is the way it is everywhere.

While I agree that the dining plan is priced way too high for what you get and as they continue to raise the price and cut what is provided it is really important to "do the math" as they say. We will not pay for the dining plan at this point. We'll take it if it is offered free as it is a better deal than the room discount, but only if it is free.

I disagree about the rooms and ticket prices. From our experiences, for what you get it is still a pretty good value if you stay at a moderate or value (we never stay deluxe out of principle, $450/night for a hotel room is crazy). Amusement parks and decent hotels around our area are just as expensive, sometimes more, than what we end up paying at Disney.

I do see how if you went 10 years ago how all these changes can make it seem like they are greedy. Basically I don't see it as greed, I see it as a change in the way society thinks and what is now important. A simple example: It has now become acceptable for children and men to wear hats (usually baseball hats) indoors. Rest assured, my DS and I will remove our hats and hold the door for you out of respect. Not sure you can say that too much anymore.

I'm guessing your joking as if you have seen the exchange rate for the last few months it's been bloody poor lmao!
No more $2/3 to the £ for us anymore!

Nope. They are not joking. The dollar has been so bad for so long everyone just assumes it is still downgraded. It is really a small percentage of people who keep a close eye on things like the conversion rates. Point made though. Disney is not only becoming more expensive, but the International guest is seeing a higher increase at least in the near term.

 

[SweetMissy]

my thoughts, no Disney isn't being too Greedy.

The cost of everything goes up, not just for individuals but for business's too. The cost of fuel is up...that effects Disney too.
The cost of food has went up...that effects Disney too.
Local taxes, state taxes, payroll taxes have increased...that definitely effects Disney .


Disney is a business first and foremost whose goal is to make a profit by providing entertainment. Who doesn't like to make a profit?

Very well said! Unfortunately it's true. We can't expect disney to sit back and lower or keep their prices the same while everything around them goes up.

 

[maxiesmom]

Very well said! Unfortunately it's true. We can't expect disney to sit back and lower or keep their prices the same while everything around them goes up.

Very true!

You can also look at is as people are being greedy by expecting discounts all of the time.

 

[luvmy2babies]

I'm preparing for our 3rd trip.

Times are changing and Disney changes with them. So do we.

Disney’s prices increase and peoples’ lives also change. Children get older and cost more in everyday life. And they cost more at Disney. Last year I had a 2 year-old and a 9 year-old when we went. This year when we go I will have a 10 year-old and a 3 year-old, so going from a Disney child and a free infant to a Disney adult and a Disney child on top of the price increase.

But this year it also costs more to feed us due to food prices rising. It costs more for me to go back and forth to work due to gas prices. It costs more for me to heat and cool our home too. Education is costing me more because my daughter is officially Dyslexic and requires tutors that costs me a significant amount of money.

So we were staying in a Value before, but we’ll stay off-site this year because even with the 30% discount for military the hotel I found is still going to be $200 less for the week and that is after I add the $14/day parking and the $20/day for the breakfast buffet the hotel has. No dining plan so we just have 2 ADRs this year, but that breakfast buffet is just $20 because my 3 year-old can still eat free. Plus unlike the Value resort rooms I’ll have a microwave to go with the fridge. The hotel is also within walking distance of a McDonald’s, Burger King, Taco Bell, etc. There’s still a kiddie pool and colorful splash pad for them. No 50 foot tall Buzz Lightyear when we come in for the evening, but there is a playground just like at ASMo.

We flew in before, but fortunately we just live 10 hours away so this year I’ll drive. I know not everyone can do that. Driving will give me the option of going to the store myself instead of having Garden Grocer deliver.

But hey…we’re going and these cut backs mean my daughter can get to BBB one more time before she ages out. Our little family goes through a lot and we work hard and play hard. They know summer is coming and upon hearing my daughter ask, “Can we go to Disney for summer break…pleeeeeeaaasssee, my son was chanting with his little fists flying…”I want to go see Mickey…I want to go see Mickey.” I kind of figured as they grew older our trips would change. I’m grateful to be able to make it happen even though it won’t be the same.

 

[diamondpixienc]

I agree with the OP. I think they are becoming greedy.

We have gone every year (most years twice)..since our kids were infants. We bought DVC at the Beach Club and we purchase annual passes most years.

It has most definitely changed to maximize profits over those 10 years.

I know they will always try to make a profit (I'm not naive) but there is a difference between making a profit and maximizing.

I've seen the focus shift from making things special for children (and adults). Little extras..Just because. to how can we sell this and attract even more people.

The Halloween party has become overrun with people...when it started it was a very special thing for our family. See the Villains, great parade, trick or treating...and get on rides with little to no lines...Now people have fist fights over their spot at a parade....no thanks.

The the dining plan... We do a TS every night.. We didn't buy into it because I don't eat an appetizer, entree and dessert... Too much food... It was more economical to pay out of pocket... Disney has since raise prices on all their dishes so even ordering a garden salad will cost you $20.

There is no such thing as a low crowd day any longer...irregardless of what time of year you go.. build more and more hotels but only expansion of the parks was a few rides in fantasyland?

and dont even get me going with the amount of people they let register for the run disney events..the princess half marathon was down right dangerous...

Ok..end of rant./..

I'm still a dvc member and next year we are trying our first disney cruise...I'm still giving them my money.. but I'm still very aware of these changes and consider them a negative... and will effect my future purchases..

I'm just editing to add, there is more to business than just maximizing profits. That is a short term goal. There is the customer experience..that produces loyalty, reputation.

ITA but would like to add it comes a time where one should consider the VALUE they are getting for their money. The truth is the price is rising while the Quality is slowly slipping away.

 

[maxiesmom]

ITA but would like to add it comes a time where one should consider the VALUE they are getting for their money. The truth is the price is rising while the Quality is slowly slipping away.

I don't agree with you. I still find a trip to WDW to be a high quality vacation.

 

[meggiebeth]

Yes I think Disney is getting greedy. We have free dining for 11 nights, this coming November. We want to upgrade from regular to deluxe. Just two years ago, the cost to upgrade would have been around £700 for the five of us. This year, the same upgrade is over £1200. That is almost a double in price to upgrade! Ridiculous.

If the UK Disney site no longer offers free dining then we won't be going to Disney anymore. Free dining and the SSR discount are what make it more affordable for us. We wouldn't go without eating out a lot and we certainly wouldn't stay offsite. So we likely just won't go anymore should no more offers come out. The UK is still really struggling money wise and our family has really had to tighten our belts.

Disneyland Paris want a ridiculous amount for a very short stay, and it's certainly not Florida.

Tell me about it! We were considering going to DLP last August and when we saw the price tag slowly veered away. We were quoted around £4000 for a three night trip for the five of us, excluding transport and food. What sucker would pay that?! Lol!

Meg~ Sent from my iPhone using DISBoards

 

[GusGus77]

I suppose the main difference is that you guys don't have to pay at least $800 just to get to Disney and before any body says flight prices are not Disneys fault I'm not saying they are.

It costs us more than that to get to Disney and we are in the US. If you want to look at numbers, you will find that it actually isn't much more expensive for Brits to go to Disney than many Americans. (And you guys actually tend to get offered better deals than we do.) Regardless of what our government may say, many Americans are still struggling due to the economy.
There are also many threads with Americans saying they have been priced out of Disney as well. I agree it is getting ridiculous, but as long as people will still pay then the prices will keep going up.

 

[tinkerpea]

I definately think its down to the resort choice that is making there be such a rise in price, perhaps people who go and stay at SSR and OKW could consider staying at a moderate if the increases are that much- it would save a lot of money and they really are lovely resorts. Another option I suppose is if memory servers me right they have the 35%-40% off stays and free dining at SSR when the offer usually comes out (in the Uk we are lucky because these 2 offers can be used together, unlike the US where offers can't be combined), wait and see if that were to bring the price down. Disney is by no means a cheap holiday, but I would rather spend my money there than anywhere else and don't find it to be overly more than if we were to do 2 weeks elsewhere. Another thing we get that I think is great is the 14 day ultimate tickets, after seeing the price for tickets that americans have to pay- wowzers- disney sure looked after us with ultimate tickets!

I'm not sure we would save much more money, we are a family of 5 and so would have to get 2 rooms at a moderate either way!

Don't get me wrong we have stayed at the VALUES twice actually each holiday being 3wks we still need 2 rooms, but the DDP has risen a lot over the last 4 years in price! The food prices have risen to insane prices to make the DDP look good so that when its free it looks like a great deal!

They have cut out the 35/45% deal for thi yr or at least when I called up they wasn't offering it,

Again everybody has their own opinion this is ours .
This year they only offered in the UK free QS with the moderate and deluxe resort stays so that's already a discount that has dropped!

We don't holiday at other places as we love Disney
And I don't think other holidays would cost me in excess of £10,000 but when you have been going as long as I have you will start to notice how much everything has gone up!

 

[tinkerpea]

Part of it is the places you are staying on site. For example, a two bdrm villa at SSR ranges from $618-$995 per night ( us dollars and does not include tax) depending on when in the year you go. A value or moderate would be a fraction of the cost. The high price is due to the amenities that the Vacation Club villas offer versus the other hotels. These DvC resorts are meant to be used by members using points more so than cash customers. Not that cash isn't wanted of course it's just that they weren't set up to be economical for cash customers like the other choices.

It would be a fraction if the cost but I would still need 2 rooms and to pay for the DDP if I did a moderate,
Last year they wanted more for our trip to stay in a value with the DDP then it would cost for me to stay in a 2bed!! Over £1000 in fact.