April 2022 Direct Sales Numbers

[havoc315]

I am curious as to what will happen with direct sales as we get closer to 2042 if they keep the resale restrictions. I know the restrictions do not affect resale but in my opinion it affects direct. DVC is probably one of the most expensive direct timeshares, partly because it holds its resale value. If resale restrictions impact or affect sales, direct becomes harder. Just my opinion - unless dvc tiers booking at that point too. Direct 7 months can book non home resorts resale for a fee can book at 5 months then at 4 months RCI or II whoever they are with can trade in. Otherwise I see a many dvc points going into RCI or II- in which case why not buy a cheaper timeshare to trade into DVC?
Just speculating. I agree with Sandisw that the incentives for VGF skewed the sales. Curious to see what it will be in August after families have had their summer vacations.

The whole point of the restrictions is to increase the value of direct. It encourages people to buy direct instead of resale.
Very few people -- I would venture to say almost nobody -- is making the decision to buy on the grounds of, "I'll buy direct if I can re-sell it for $120 per point in 10 years, but I won't buy direct if I can only re-sell for $100 per point in 10 years."
The people who are most likely to crunch the numbers down to the penny are the ones who buy re-sale to begin with. Disney doesn't much care if they lose the re-sale buyers.
So ok, if re-sale values go down, maybe a small number of potential direct buyers will see it's not as good a deal, and won't buy.
But, that will be outweighed by would-be resale buyers who see the restrictions, and buy direct instead of re-sale due to the restrictions.

 

[npatellye]

We bought OKW direct at $180, just before the price increase. Those direct contracts come fully loaded with 2057 expirations. When the 2042 resorts expire, the OKW rooms with their amazing point charts are going to be a premium

We added on OKW direct last summer (when it was $165/point plus incentives) because we love it. We hope to enjoy some GVs there in the future.

 

[Littlelulu01]

I'm in agreement that something as trivial as luggage really helped the sales on that first day. I was all set to purchase but I put the brakes on the purchase when I realized GFV2 came without current use year points. Couldn't get past that and will now probably wait for Disneyland hotel sales before another add on.

I'd guess most purchasers don't put too much weight on potential resale value when purchasing. If they know about resale, they are likely to go direct over resale when they find out about the restrictions but otherwise I think they purchase where they want to stay most often. I went direct vs resale add on when they added Riviera restrictions and purchased Riviera just because it was my favorite. Certainly helped that they offered some excellent incentives and with all possible points on the contract available with Riviera. Grand Flordian not giving current use year points is a good way to solve the covid closure point issues but it sure gave me pause on purchase.

I have initially bought all my points with intent to keep long term and perhaps till the contract expires if my kids want to keep the contracts which they say they do. I love Riviera and so do my kids. We love Grand Floridan too but Riviera is definitely our favorite . I am in the middle age camp and think there is perhaps some merit to Riviera tending to skew toward younger owners than GFV. With GFV2 sales that much stronger, and if purchasers are more apt to be middle aged, they likely have more disposable cash, probably have their house paid off, kids are done with college and see DVC as an affordable way to vacation comfortably with grand children on the horizon vs. Riviera purchasers who if skew younger, are more likely to be spending on more important things to them right now such as a house, college funds for kids...

My original plan was to sell my AKV points after purchasing GFV. GFV points have much less mf's and we much prefer the transportation options and the units at Riviera and GFV. We are staying at GFV later this year and might end up with a GFV contract as long as the cost per point doesn't soar by then. We used to love AKV and the thrill of getting the value units but we now use them as sleep around points with high mf's. Resale companies that are now charging an eyewatering 9% commission and all the other fees associated with selling give me pause on the plan to sell to buy where I want to stay.

 

[thelionqueen]

I still think it’s a very minimal effect. I think ultimately RIV “hurts” RIV compared to VGF.
There is nothing wrong with RIV, but it does not have anything just amazing going for it. It’s a moderate location that has a skyliner. And the resort itself is like a giant JW Marriott etc. To a lot of people it just doesn’t have this huge draw to it. Once again it’s perfectly fine, but to me that’s it.

Agree 100% No draw whatsoever, even without the debilitating restrictions! I am hopeful the new properties "might.. just maybe" have DVC reconsider the restrictions placed on RIV and it's affect on its value. They can change whatever they want at any time. I feel pretty confidently, that they may choose to restrict resale purchases only to the location bought. Just an inkling...

 

[thelionqueen]

Right, I was making a speed/efficiency point, not a personal preference point. If you love love love the monorail, cool. If you love the monorail because you think it's a faster way to get from the Grand to Epcot than a bus would be, that's just incorrect.

Oh I disagree with this 100%. We always rent a car, because Disney buses are the WORST and only going to get worse! The monorail runs very consistently, and a monorail ride to Epcot is not only scenic, but way more relaxing. Staying at Epcot resorts, we will take the monorail to MK to avoid Disney buses. Also, my personal belief, if Chapek continues as CEO (which I TRULY hope doesn't happen) I see him adding a "Transportation Fee" to Disney resort guests for their stay. This would include buses, monorail, boat & Skyliner. Like having to scan your magic band or room key upon entrance. I sincerely believe this is coming. PS, I do NOT have any inside information on this, strictly my opinion.

 

[CaptainAmerica]

Staying at Epcot resorts, we will take the monorail to MK to avoid Disney buses.

That takes five times longer than a bus, it requires Park Hopper, and it only works after 2pm.

 

[Sandisw]

Agree 100% No draw whatsoever, even without the debilitating restrictions! I am hopeful the new properties "might.. just maybe" have DVC reconsider the restrictions placed on RIV and it's affect on its value. They can change whatever they want at any time. I feel pretty confidently, that they may choose to restrict resale purchases only to the location bought. Just an inkling...

RIV is a very popular resort for many…but that is the thing…we all have different tastes. So while it doesn’t fit you, it fits so many others.

Again, 93k points were still sold in April and that is simply a very good sales month. Those buyers chose it over VGF and other resorts.

The restrictions make it a very different DVC product so I can’t imagine when DVD made the decision to implement them in 2019, they didn’t anticipate that in the short term, sales might be different, but over time, when more resorts had them, it would equal out.

The pandemic in 2020 changed a lot and there is just no way to really figure out the loss of sales…but, at least now, with VGF as an option, DVD can start weeding out those effects to determine what is best for sales moving forward and what to do with new resorts.

I know people think that VDH is unique and that they can do restrictions there but decide to abandon them at WDW. And they certainly can, but if the reason for them is to make resale not as attractive and get people to purchase direct, now and in the future, it just seems unlikely they are going to make it a resort by resort decision…at least to me, that doesn’t seem like a way they will go.

The next few months will be interesting, but I bet DVD wants them to stay and that if they see any evidence that sales are similar between them,..even if only amongst new buyers...they will ride out the storm.

 

[Sandisw]

Oh I disagree with this 100%. We always rent a car, because Disney buses are the WORST and only going to get worse! The monorail runs very consistently, and a monorail ride to Epcot is not only scenic, but way more relaxing. Staying at Epcot resorts, we will take the monorail to MK to avoid Disney buses. Also, my personal belief, if Chapek continues as CEO (which I TRULY hope doesn't happen) I see him adding a "Transportation Fee" to Disney resort guests for their stay. This would include buses, monorail, boat & Skyliner. Like having to scan your magic band or room key upon entrance. I sincerely believe this is coming. PS, I do NOT have any inside information on this, strictly my opinion.

DVC owners pay a share of those costs via dues. So, any attempt to add charges for use would mean they could no longer charge us via the dues.

I think they’d lose more to do that than gain. Cash guests, sure…like parking…but I doubt they’d want to give up the share we pay the way we do.

 

[thelionqueen]

I agree. One of the biggest draw for DVC has been its resale value. Its seems very short sighted to have come up with the resale restrictions.

Agree 100%

DVC owners pay a share of those costs via dues. So, any attempt to add charges for use would mean they could no longer charge us via the dues.

I think they’d lose more to do that than gain. Cash guests, sure…like parking…but I doubt they’d want to give up the share we pay the way we do.

I agree. I believe that by charging non DVC guests for "perks" given to DVC owners, would be a strong draw for guests to buy DVC. Similarly to Genie+ and LL currently, if they could use another incentive to purchase, that would definitely be one. And with how the MagicBand technology was built, it would be a super easy technology add. Again, just food for thought

 

[thelionqueen]

I agree. One of the biggest draw for DVC has been its resale value. Its seems very short sighted to have come up with the resale restrictions.

Agree 100%

DVC owners pay a share of those costs via dues. So, any attempt to add charges for use would mean they could no longer charge us via the dues.

I think they’d lose more to do that than gain. Cash guests, sure…like parking…but I doubt they’d want to give up the share we pay the way we do.

I agree. I believe that by charging non DVC guests for "perks" given to DVC owners, would be a strong draw for guests to buy DVC. Similarly to Genie+ and LL currently, if they could use another incentive to purchase, that would definitely be one. And with how the MagicBand technology was built, it would be a super easy technology add. Again, just food for thought

That takes five times longer than a bus, it requires Park Hopper, and it only works after 2pm.

I disagree on the timeline.. yes will need a PH or AP to get into MK though. Took a bus last trip since the party we were with had the car. 10X worse than I remember years and years ago. Waited for a bus for over 45 mins only to be crowded next to smelly people after a hot day at MK (I am certain I didn't smell of Lavender and Linen either lol). Will never ever do it again..like ever (humming Taylor Swift)

 

[Sandisw]

Agree 100%

I agree. I believe that by charging non DVC guests for "perks" given to DVC owners, would be a strong draw for guests to buy DVC. Similarly to Genie+ and LL currently, if they could use another incentive to purchase, that would definitely be one. And with how the MagicBand technology was built, it would be a super easy technology add. Again, just food for thought

GP and LL are not something DVD can offer without some sort of contract with DPEP…like the APs…and it has to be part of membership extras based on timeshare law.

Transportation is different in that we do pay for it via the dues. But, if it did become an up charge for cash, I agree it could be promoted like parking is now….no additional charge

 

[thelionqueen]

I agree. 2042 will be an interesting year. But by then, I’ll probably be too old to care.

Exactly!!! I bought where I want to stay. Our vacationing habits have changed SOOO much since our initial purchase over a decade ago.. and that was way less than the 20 (or 19) years left on the 2042 contracts. Extended contract years have zero incentive for me, but is the main selling point for others. I find it interesting to see both sides of the coin. I do agree with a previous poster, that the extended OKW points will be gold by then! I may look for an OKW extended contract if prices drop significantly. OKW was our first love (as far as DVC goes) and will always be somewhere we would love to stay. Especially with the low point chart.

 

[thelionqueen]

GP and LL are not something DVD can offer without some sort of contract with DPEP…like the APs…and it has to be part of membership extras based on timeshare law.

Transportation is different in that we do pay for it via the dues. But, if it did become an up charge for cash, I agree it could be promoted like parking is now….no additional charge

Exactly what I was trying to say, only you did it better lol! My thought is exactly this. As the company can manipulate perks like AP discounts, food discounts, free parking, etc. that is recognized on the magic band.. it would distinguish DVC & non DVC guests, making it an easy perk to add or take away. I am not educated enough on Timeshare or DVC laws to accurately guess how or if it could be implemented.. but at the very least, would be an easy cash grab for non DVC guests... who would absolutely pay for it.

 

[Sandisw]

Exactly what I was trying to say, only you did it better lol! My thought is exactly this. As the company can manipulate perks like AP discounts, food discounts, free parking, etc. that is recognized on the magic band.. it would distinguish DVC & non DVC guests, making it an easy perk to add or take away. I am not educated enough on Timeshare or DVC laws to accurately guess how or if it could be implemented.. but at the very least, would be an easy cash grab for non DVC guests... who would absolutely pay for it.

Timeshare law prevents any charges paid via MFs to be based on anything but operating costs that function for the running of the resorts.

Transportation tied to the resorts is allowed as it is part of the POS. Extras like discounts, etc. are not and considered incidental benefits by the state. Those, if offered, can’t be paid for by dues.

But, I think that anything they want to make easy via Magic band, they can. Transportation, I assume, would be the same as parking. It’s just added to cash reservations and not DVC so no scanning needed.

 

[Jwaire]

Oh I disagree with this 100%. We always rent a car, because Disney buses are the WORST and only going to get worse! The monorail runs very consistently, and a monorail ride to Epcot is not only scenic, but way more relaxing. Staying at Epcot resorts, we will take the monorail to MK to avoid Disney buses. Also, my personal belief, if Chapek continues as CEO (which I TRULY hope doesn't happen) I see him adding a "Transportation Fee" to Disney resort guests for their stay. This would include buses, monorail, boat & Skyliner. Like having to scan your magic band or room key upon entrance. I sincerely believe this is coming. PS, I do NOT have any inside information on this, strictly my opinion.

When Walt Disney World first opened, you used to have to purchase a transportation ticket to ride the ferry or monorail. I actually support this idea as long as the revenue goes directly to the transportation department and gets used within that department.

It's actually pretty embarrassing what they've let the monorail become. It's a shadow of its former self. It no longer runs efficiently because of all the new "safety" holding rules put in place because of the tragic accident several years ago.

I can't tell you how many times it broke in December. They were having to tow it off the track! They also shut it down for lightening. I'm no expert, but I'm pretty sure other monorail systems in the United States operate during lightening and thunderstorms.

It's 50 years old. The trains are 30+ years old. How about you invest in a modern safety system to allow it to function properly? These trains were not designed to last 30 years.

I don't care if they have to sell merchandise at the different stations. How about you put 100% of all the profit from monorail toys towards the monorail system? Release a special line of merch to support it? I'd even support a GoFundMe at this point, lol.

It's an iconic part of your flagship destination. It deserves better.

If you look at videos of Tokyo Disneyland, their monorail system is modern, fun and the upkeep is heads and tails above Walt Disney World.

 

[lowlight]

I don't care if they have to sell merchandise at the different stations. How about you put 100% of all the profit from monorail toys towards the monorail system? Release a special line of merch to support it? I'd even support a GoFundMe at this point, lol.

It's an iconic part of your flagship destination. It deserves better.

If you look at videos of Tokyo Disneyland, their monorail system is modern, fun and the upkeep is heads and tails above Walt Disney World.

You would donate to one of the largest and wealthiest corporations in the world to fix a transportation system they already have the money to fix? It isn’t a lack of money, it’s a la k of desire on their part.

 

[Royal Consort]

It's an iconic part of your flagship destination. It deserves better.

If you look at videos of Tokyo Disneyland, their monorail system is modern, fun and the upkeep is heads and tails above Walt Disney World.

There's a cultural component in Japan. Letting rides or the monorail decay is just not done or acceptable. It's always clean and they've only recently replaced their monorails too. That goes for the attitude at Tokyo Disney Resort generally: there is pride in everything, they just do Disney better. I just want them to open their damn borders again! I need Green Alien Mochi!!!