ChipnDale79
DIS Veteran
- Joined
- Aug 2, 2012
That's the case with any for-profit business. It's just a question of the path chosen to achieve the goal.
I'm sure you aren't the only one, but judging by Disney's recent financial report (Parks & Resorts profit up 74% compared to same time period last year), many people are choosing to pay Disney's prices.
We could spend all day debating the true state of the economy and its future prospects. But in the here-and-now, consumers are spending more. That usually results in businesses raising prices and not offering as many discounts. Look around and you'll see similar trends all across the retail landscape--restaurants, department stores, auto dealers, etc. The ones that are doing well have begun to inch-up prices and will have fewer sales & specials.
Those are certainly buying decisions every consumer must make. Many people consider a $4 hamburger, $400 cell phone or $40,000 car to be overpriced. Others don't bat an eye at it.
With regard to Disney, we have always taken the approach that we will spend whatever we are able and not be coerced into unneeded impulse purchases.
If airfare is too expensive, we'll drive. If character meals are too expensive, we'll dine elsewhere or cook in our hotel room. If we don't have money for park tickets, we'll skip a planned trip and take a longer one next time. If souvenirs are overpriced and poorly made, we simply do not buy them.
We probably do not spend as many days at the Disney parks today as we did 5 or 10 years ago, but I'm not going to spout venom at Disney over that decision. They only have so many seats each day at Cinderella's Royal Table and Chef Mickey's. Every business in the world would charge as much as possible to fill those seats. Same is true of capacity in the theme parks, hotel rooms, etc. As a business, you charge what the market will bear.
Tired of the Disney parks? Think it's overpriced? Absolutely go elsewhere. But realize that someone else will probably take your place. Disney's profits suggest that they aren't feeling much pain from the guests who decide to spend a day at Universal or Sea World.
Here's my 2 cents on the ever increasing Disney vacation and this board. It seems to me that everything today is pro business, pro money, and pro bottom line, it's the world we live in today. Consumers have stopped demanding more for their money and will fork over cash for just about anything. By doing so, we have allowed business to do less and charge more.
For some odd reason we are letting companies get away with taking more and giving us less, for some odd reason we think that's ok. And for some, if you question that, then all of a sudden you're "anti business" and on this board, almost "anti Disney". Why is not ok to question where our money is going?
An example, my wife and I went on our honeymoon to WDW in 2008, we looked at booking the same exact trip at the exact same time this year for our 5 year Anniversary. Keep in mind when this was priced out it was around the same time that Disney released it's annual report and noted that hotel room occupancy at his Orlando hotels were flat. From 2008-2012 when our economy went through a horrible recession, a WDW vacation increased in price a little more than 20%. We aren't going this year simply because of that, and this report of increased revenues does not include hotel occupancy rates. I'd like to know the percent increase of that, if its minimal or flat, then it tells me that Disney's cost is in fact keeping people away.
I wonder how much Carsland and Disney's rolling back promotions is a part of the increase in revenues.
Point is, I do think Disney is missing out on more revenue because of their high prices.