Brian Noble
Gratefully in Recovery
- Joined
- Mar 23, 2004
- Messages
- 17,871
Do they need to do something? I am not so sure.
Occupancy rates at the WDW resorts typically run in the mid-80s to low-90s. That hasn't changed much in the past few years based on the quarterly reports, even though the minimal "on-site perks" model has been in place since at least the beginning of '22, when ME ended.
There has been some softening in Orlando tourism, and Disney is feeling at least their fair share of it, if not more. But they have shown a willingness to play the long game in the past, riding out the inevitable cycles of decreased demand with marginally more discounting, without changing the fundamental value proposition, and waiting for demand to recover based on macro-economic trends.
That's helped by the fact that the world keeps making more families with school-aged kids, and a Disney trip is viewed as a rite of passage for a wide swath of that age group. Some of those "new to Disney" families have no idea What It Used To Be Like, and don't have that as their comparison point. They still have a great time, and some of them will come back.
I don't see any fundamental reason why they can't keep doing that.
Occupancy rates at the WDW resorts typically run in the mid-80s to low-90s. That hasn't changed much in the past few years based on the quarterly reports, even though the minimal "on-site perks" model has been in place since at least the beginning of '22, when ME ended.
There has been some softening in Orlando tourism, and Disney is feeling at least their fair share of it, if not more. But they have shown a willingness to play the long game in the past, riding out the inevitable cycles of decreased demand with marginally more discounting, without changing the fundamental value proposition, and waiting for demand to recover based on macro-economic trends.
That's helped by the fact that the world keeps making more families with school-aged kids, and a Disney trip is viewed as a rite of passage for a wide swath of that age group. Some of those "new to Disney" families have no idea What It Used To Be Like, and don't have that as their comparison point. They still have a great time, and some of them will come back.
I don't see any fundamental reason why they can't keep doing that.