Article on SSR from the Orlando paper

[perdidobay]

'Toga party at Disney

Disney opened the first phase of its new resort. Even the mayor of Saratoga Springs showed up.

By Todd Pack | Sentinel Staff Writer
Posted May 28, 2004



With a splash of water from the real Saratoga Springs, the Walt Disney Co. christened its seventh -- and eventually its largest -- time-share resort Thursday and suggested there may be more to come.

Saratoga Springs Resort & Spa, built on the former site of the Disney Institute across from Downtown Disney, opened with 184 units.

Units range from simple studios the size of a typical motel room to two-story suites with whirlpool tubs, full kitchens and DVD players with surround-sound speakers.

Inspired by the upstate New York country retreats of the late 1800s, the resort was designed around the themes of natural springs and Saratoga's tradition of horse racing. Several "springs" dot the resort, and silhouettes of thoroughbred racehorses circle lampshades in the rooms.

The first guests arrived earlier this month, but the resort was dedicated Thursday morning by the mayor of Saratoga Springs, N.Y., Michael Lenz, who poured a pitcher of spring water into the resort's swimming pool.

Disney executives said Phase One of the resort was three-quarters sold, and they announced plans to expand the resort by another 644 units by 2007.

Saratoga Springs "is part of our long-term strategy to continue to give guests what they want," said Al Weiss, Walt Disney World's president.

Beginning with Disney's Old Key West Resort in 1991, each of Disney's previous time-share resorts has sold out, Weiss said.

"Obviously," he said, "they're demanding our Disney Vacation Club product in a big way."

As with other time-share programs, Disney Vacation Club sells part-ownership in a property. Disney's program gives members the option of staying at any of its time shares or certain Disney hotels, or they may exchange their "vacation points" to stay at other properties.

The average price for a unit at Saratoga Springs is about $19,000 for a two-bedroom suite, Disney said. Buyers also are required to pay an annual maintenance fee of $800.

During weeks when a unit isn't being used by a vacation club member, Disney will treat it the same as a hotel room, renting by the night. Rates will start at $254 a night for a 355-square-foot studio.

Disney is weighing plans to build more time-share resorts in Orlando and elsewhere. "We see a lot of opportunity on both fronts," said Jim Lewis, senior vice president for Disney's time-share division.

Lewis wouldn't give details but said, "We still have a lot of green space to expand."

Lewis said the company wants to build its time-share business because owners tend to visit more often and spend more money -- twice as much as those who stay at a Disney hotel and seven times as much as those who stay off property.

Saratoga Springs' opening gives the company five time shares at Walt Disney World and one each in Vero Beach and on Hilton Head Island, S.C.

Hummm,
Interesting don't you think that we owners spend twice as much money at WDW than the average resort (non-DVC) guest????

 

[PamOKW]

Thanks so much for sharing this! Overall, a very interesting article. I guess they aren't jumping to give us park discounts since they think we have such deep pockets.

Disney is weighing plans to build more time-share resorts in Orlando and elsewhere. "We see a lot of opportunity on both fronts," said Jim Lewis, senior vice president for Disney's time-share division.

I found this quote a bit surprising. There hasn't been any mention of off-site possibilities in a very long time. I wonder if Disney might be considering getting into the the timeshare business whole hog since they've had such success? It sure would be nice to have more Disney places like HHI and Vero.

 

[Nick@ VB+OKW]

Thanks for the article perdidobay.

Here is the link of that story with 2 related articles about tourism and WDW, to the right of it.

http://www.orlandosentinel.com/busi...8,1,7686325.story?coll=orl-business-headlines

 

[pmcpmc]

on site with a descent discount on an AP that restarts as the first did.

 

[Ksp]

Now we know why they don't offer us AP discounts....since DVC members are such a good dependable source of revenue...why change what's obviously a good thing.
Ok, that's sounds a little acerbic, but since most of us are down there often enough to make buying an AP sensible....it would be really nice to get a discount on it.

I am glad to hear that they are still planning to build more sites.

 

[tjkraz]

Originally posted by PamOKW
I found this quote a bit surprising. There hasn't been any mention of off-site possibilities in a very long time. I wonder if Disney might be considering getting into the the timeshare business whole hog since they've had such success? It sure would be nice to have more Disney places like HHI and Vero.

I wonder what location would so compelling to convince Disney that they could sell the points in a reasonable timeframe.

With the DVC annual dues being as high as they are, I think they would have difficulty competing with the other big dogs in the industry. And, if they opened an off-site property with dues more in-line with someone like Marriott, what would keep people from buying with the intent of mostly staying at WDW?

 

[Nick@ VB+OKW]

Originally posted by perdidobay
Lewis said the company wants to build its time-share business because owners tend to visit more often and spend more money -- twice as much as those who stay at a Disney hotel and seven times as much as those who stay off property.

Originally posted by Johnnie Fedora
Moooo....Sounds like a classic DVCer cash cow treatment.

 

[PamOKW]

I wonder if they could get into some type of off-site option along the lines of what the Ritz-Carlton is doing with their timeshares? It's a lot more expensive and may not be doable for a lot of current DVC owners but it would tap into other "non-Disney" customers. Maybe Disney would partner/buy some other current timeshare operator?

I agree that something that has always concerned me is having an influx of people who buy outside WDW just to stay at Disney. That scared me a bit in 1993 when I signed the papers and all other Disney Vacation Club resorts were just a glimmer in Eisner's eye. If they keep the proportion of on-site to off-site balanced in favor of "on-site", maybe it could work. Vero & HHI have been absorbed with no problem and we are now talking about adding 800 more units to the on-site options.

 

[JimC]

Thanks for sharing. I also am surprised about the "elsewhere" expansion.

 

[Johnnie Fedora]

I am absolutely thrilled with the idea that DVC may expand the offsites. More vacation destinations within the DVC points system will give variety without the points gouging that has taken over all the non-DVC exchanges. This is exactly what the program needs....that, and a good location for the next offsite.

 

[Carlnne]

Lewis said the company wants to build its time-share business because owners tend to visit more often and spend more money -- twice as much as those who stay at a Disney hotel and seven times as much as those who stay off property.

I feel a little used-- But I would also probably spend even more if we got discounts on park tickets, in fact we would probably buy even more points if we had APs.

 

[chris1gill]

Uh, I don't think WE personally spend twice that of normal on-site visitors, THAT would be pretty sad if true!! We make use of the kitchen, that's all I have to say

But, that's okay, I'd love to see DVC expand to other places that offer nice weather year round... Key West for instance!

 

[DrTomorrow]

Originally posted by Ksp
Now we know why they don't offer us AP discounts....since DVC members are such a good dependable source of revenue...why change what's obviously a good thing.

This is so odd; I was at the Orlando Airport this morning, reading these three articles in their old-fashioned paper format.

As for the DVC AP Debate, this is exactly why they're in no hurry to give us AP discounts. There are three groups of customers described: DVC, on-site and off-site. on-site folks spend half of what we do, and off-siters spend only 1/7 of what we do. It's rather obvious which group of people Disney Marketing is targeting - the off-siters. Get them on-site, get them in the parks, get them to spend more money.

 

[Granny]

DrT...I concur, and it's even more obvious when you consider the numbers attached to each one. DVC members are about 81,000. How many more people stay in the on-site resorts? Probably a whole bunch more.

And how many people visit WDW from off-site hotels? My guess is that's the biggest number of all, even if you throw out the locals.

Personally, I don't feel used. I'm getting what I signed on for. We'd love to get AP discounts, and yes we would spend many more days in the parks than we currently do. But I can't say that I feel used.

I think DVC is a win/win situation for Disney and ourselves.

 

[lodgelady]

DVC is the ultimate in "brand loyalty".......
No wonder they want more of us!!!
I would LOVE to have more DVC owned and operated properties to choose from!!!

 

[Johnnie Fedora]

It is somewhat difficult to inturpret the comments about DVCers spending habits. So...DVCers spend the most, but in what timeframe?? Do we spend more per visit/per year/per lifetime. Do these numbers reflect the DVC purchase price? I know for a fact that we spent much more money (lodging aside) on our pre-DVC trips.

 

[pirateparrot]

I asked at the DVC Preview Center at SSR yesterday about where these additional units would be constructed. The representative there told me that they would be tearing down the fairway villias and replacing them with SSR buildings.

Had not seen that information posted here yet so I hope it is helpful.

 

[Beca]

Hmmm...well, if they are going to build more places offsite, then they certainly need more places on site to "trade into". Maybe THAT is the real explanation of SSR going to 828 rooms.

I'm not quite sure HOW I feel about it all, yet. But, it does promise to be VERY interesting in the future!! DVC must be quite profitable for all involved (Disney and DVC/DVD). Like I said on another post...maybe DVC has an option we haven't even imagined!!!



Beca