Disney Destiny - Maiden Voyage premium pricing is just wrong

[Smugpugmug]

These prices are definitely delusional but I feel like this line in your post could be attributed to pretty much any corporation: "They pretend to be your friend and smile, but they are doing everything they can to drain your wallet as best as possible."

Corporations are NOT your friends. They want your money and only your money. They don't care that you personally are happy. Disney is no different.

This post did remind me of a post on Twitter where someone was quoted $62k for a concierge cabin on an Alaskan DCL cruise next year. Can I have whatever Disney is having to think that price is reasonable or...?

 

[Retiredcruiser]

Sure great question that is the most obvious objectionable point and unfortunately the short sighted thinking of someone at Disney pricing. That is how you might run a short term small operation selling a widget with no concern about building brand value or dynamic customer experiences with repeat dedicated customers.

The revenue generated from one maiden voyage, even with a premium charge, will have a negligible impact on Disney’s overall profits. Disney's success comes from repeat business and positive brand image. A strong brand with loyal, satisfied customers leads to a higher company valuation. Avoiding premium charges on special experiences is part of a broader strategy that helps retain a positive brand perception, allows inclusivity so all guest can have an opportunity to experience the special moment, which, in turn, enhances Disney’s overall valuation more than minimal revenue generated from implementing premium pricing on a singular maiden voyage. The focus should be on delivering value over extracting it. This also falls under the strategic concept of “second-order thinking” employed by successful CEOs such as Jeff Bezos which is the ability to think beyond the immediate effects of decisions and consider the longer-term consequences and ripple effects.

Loyalty has a compounding effect. Satisfied customers are more likely to return, recommend the experience to others, and contribute to a lifetime of revenue, which ultimately can be far more valuable than the extra income from a single premium-priced sailing

A supply-demand pricing strategy (charging as high as possible) may maximize revenue in the short term, but it risks alienating a portion of Disney’s loyal customer base, who could perceive the brand as opportunistic. This could lead to customer attrition (I am one of them) and negative brand image which will erode long-term value.

Successful companies focused on long term prosperity will increase their company valuation and have a high brand value by operating with a customer-centric approach that prioritizes long-term brand value and loyalty over short-term profits. Just look at Disney's share price which has performed negatively for 3+ years. Maiden voyage premium pricing is not increasing their company valuation whatsoever instead their company valuation has declined for 3+ years. Their company valuation is down because they are alienating their customers and now have a brand image issue as a result of their decisions treating their customers like this.

I'm not following your logic...a maiden voyage is a unique experience and has nothing to do with your implied stated direction of their only reason for doing so is to increase the value of the company. Guess we all shouldn't pay more to attend a Super Bowl either right?

Cleary we can all understand now with this logic the reason they are building new ships is so they can charge customers exorbitant more money on the maiden voyages...what a brilliant financial plan!

Disney is about to celebrate it's 101st year...doesn't sound like they missed the boat on long term prosperity.

 

[mizzoufinal4]

This post is a joke right? Simple supply and demand. It is not rocket science.

 

[BamaGuy44]

Sure great question that is the most obvious objectionable point. That is how you might run a short term small operation selling a widget with no concern about building brand value or dynamic customer experiences with repeat dedicated customers.

The revenue generated from one maiden voyage, even with a premium charge, will have a negligible impact on Disney’s overall profits. Disney's success comes from repeat business and positive brand image. A strong brand with loyal, satisfied customers leads to a higher company valuation. Avoiding premium charges on special experiences is part of a broader strategy that helps retain a positive brand perception, allows inclusivity so all guest can have an opportunity to experience the special moment, which, in turn, enhances Disney’s overall valuation more than minimal revenue generated from implementing premium pricing on a singular maiden voyage. The focus should be on delivering value over extracting it. This also falls under the strategic concept of “second-order thinking” employed by successful CEOs such as Jeff Bezos which is the ability to think beyond the immediate effects of decisions and consider the longer-term consequences and ripple effects.

Loyalty has a compounding effect. Satisfied customers are more likely to return, recommend the experience to others, and contribute to a lifetime of revenue, which ultimately can be far more valuable than the extra income from a single premium-priced sailing

A supply-demand pricing strategy (charging as high as possible) may maximize revenue in the short term, but it risks alienating a portion of Disney’s loyal customer base, who could perceive the brand as opportunistic. This could lead to customer attrition (I am one of them) and negative brand image which will erode long-term value.

Successful companies focused on long term prosperity will increase their company valuation and have a high brand value by operating with a customer-centric approach that prioritizes long-term brand value and loyalty over short-term profits. Just look at Disney's share price which has performed negatively for 3+ years*. Maiden voyage premium pricing is not increasing their company valuation whatsoever instead their company valuation has declined for 3+ years by over 52%.

*DIS stock price 3 years ago 9/12/2021 was $184.12 (company worth $336 billion).
Today is $88.32 (company worth $161 billion) A -52.03% loss of company value.

That's a lot of nice theory, but apparently none of the CEOs are as smart as you because charging a big premium for maiden voyages has been standard on every cruise line as long as cruising has been popular.

Ever try to get a hotel room during a big event weekend like a super bowl? Those CEOs missed the loyalty lecture in business school too, because prices are triple what they are for the next weekend.

The only thing surprising about it is that anyone is surprised

 

[JWG]

Well, the Treasure’s maiden voyage didn’t sell out, or at least it hadn’t earlier this summer when I looked. The Wish sold out before Gold bookings started or in that window (we tried for the maiden and couldn’t get it), Granted, the Treasure’s maiden voyage is inexplicably over Christmas, so premium on premium. So, each new ship seems to lose more luster for maiden voyages.

Will be interested to see if the Destiny actually sells out quickly.

 

[LambertLion]

Meanwhile, I don't know why people would want the maiden voyage. The people who booked Wish's maidan voyage were severely inconvenienced by the postponed release date. I hope all these demanding people have the alternate/backup plans in place. From what I read the best timeline for sailing a new ship is 4 months past maiden voyage. JMO

Agree. We were on the Wish's second cruise and although it was great, it did feel like the ship wasn't quite ready. And the maiden voyage was delayed. We were supposed to be sailing a month or two after the maiden voyage. We are going on the Treasure and Destiny about 4 months or so after Maiden voyages in the hopes these will feel more completed and CM and performers more used to everything.

As for prices, the Destiny prices seem lower than the Wish's prices, especially the maiden voyage prices. Still Disney high, but not as high as they have been.

 

[Brian Noble]

That's a lot of nice theory, but apparently none of the CEOs are as smart as you

That was my thought too. The Board is currently looking for Iger’s replacement. Maybe the OP should apply.

 

[HokieRaven5]

Just recently checked and it looked like the Maiden Voyage is currently sold out. Or at least the system told me no staterooms were available.

 

[Brian Noble]

More seriously:

The maiden voyage shouldn't be compared to "another off-season sailing" because it is not just another off-season sailing. It is a one-of-a-kind thing, not many people can be part of it, and the few people on it will be able to say they were on it forevermore. That has value for some people.

I would not care, but I'm also not someone who puts DCL Pearl in my DISboards tag. I loved the one cruise I took; the rest of my family sailed a lot more than I did.

But let's entertain the argument, and suppose this is a blatant money-grab that will turn off the most loyal guests. If I was one of those guests, and that's how I saw it, my reaction would not be "complain to the internet." My reaction would be re-evaluating my relationship with DCL, and deciding whether or not I wanted it to continue. Maybe I sail another line to try it out and see if I like it. Maybe I try something other than cruising for my next vacation as a change of pace. And maybe I learn that I like those other options just fine, and I leave Disney in the rear-view mirror.

This is sort of like breaking up--as the song says, it's hard to do. But, it happens and it happens a lot. It's something I write about often: Disney is a company that makes money by selling happiness. That's not the same as "Disney wants me, specifically, to be happy."

https://www.disboards.com/threads/c...advanced-lightning-lane.3933691/post-65144727

 

[Drfate102]

As of this morning, only concierge is available for the Maiden. However, the very next sailing drops down to normal(ish) DCL prices. We booked on the Destiny for January, and prices are a lot more reasonable. Major experience has high demand and higher prices.

 

[DCLMP]

Large premium price for the maiden voyage when sailing during a low season off week that would not be this expensive.

Example pricing for 2 adults 2 children in concierge family ocean view w/ veranda:

Maiden voyage $13,020
Similar non peak week $8,454

I wouldn't say it's wrong, but if enough people agree with you it won't sell .

 

[tvguy]

Cruising has changed. Used to be you would avoid maiden voyages and wait a few months until a ship had all the bugs worked out. You certainly would NOT pay a premium. And Trans-Atlantic and Repo cruises used to be bargains, not premium cruises. I think Disney in particular has excelled at marketing what used to be less desirable cruises into highly desirable cruises.

 

[2010dvcfan]

Maybe they are afraid it won't be ready and they will have to recoup the loss of all the 50% off discounts they tend to offer.

We waited 2 years to get on the Wish, I would rather cruise twice on the Magic for the cost of a MV personally.

 

[lanejudy]

Avoiding premium charges on special experiences is part of a broader strategy that helps retain a positive brand perception, allows inclusivity so all guest can have an opportunity to experience the special moment

I'm not following your logic. The maiden has already "sold out" and today is the first day booking is open to the public. Therefore, it sold out from brand-loyal guests, those who have cruised previously and presumably have a positive perception. A lower fare would not have made the maiden more accessible to "all" because it simply would have sold-out sooner to a more limited audience with higher CC level. Or maybe your complaint is simply that the fare was too high for your budget and as Pearl CC you feel you have "dibs" on the maiden over other CC levels?

Just look at Disney's share price which has performed negatively for 3+ years*. Maiden voyage premium pricing is not increasing their company valuation whatsoever instead their company valuation has declined for 3+ years by over 52%.

Disney Cruise Line is actually a very small portion of The Walt Disney Company. I would venture to guess the maiden voyage premium price isn't even a blip to the company performance or valuation.

 

[jwalk03]

Cruising has changed. Used to be you would avoid maiden voyages and wait a few months until a ship had all the bugs worked out. You certainly would NOT pay a premium. And Trans-Atlantic and Repo cruises used to be bargains, not premium cruises. I think Disney in particular has excelled at marketing what used to be less desirable cruises into highly desirable cruises.

I think with Disney specifically the reason the Repo and TA cruises have become more premium is because all of their other normal cruises are the same tired itineraries over and over and over again. I mean even with the new ships they are really not broadening their offerings much. Just a whole lot of Nassau, Private Islands, and Cozumel.

 

[DCLMP]

They are going to charge whatever people are willing to pay. It looks like there are enough people with deep pockets to fill the ship. I don't get it, but I also can't afford it. My income isn't Disney's problem.

 

[MomOTwins]

The verandah pricing looks almost the same, the maiden is running about 200 dollars more.
View attachment 893774
View attachment 893773

To be fair, Nov 24-28 is over thanksgiving week, and thanksgiving week is always a premium too. But the price gets a lot cheaper for weeks when kids are in school and no holidays.

Now, I actually thought the maiden prices were pretty reasonable this time for Destiny compared to the Treasure. The Treasure maiden pricing was just out of reach for a lot of folks because (1) Christmas; (2) weeklong sailing vs 4 days (3) can't be cancelled or moved, which is scary when you have to book the cruise before flights are available, and know christmas airfare is going to be horrific; and (4) maiden surcharge, all of which made people reluctant to book. I do applaud Disney for learning from their mistakes--it clearly worked out for them, as the destiny maiden is near to sold out already.

However, I ultimately chose not to book because it is a bit hard to pull kids out of school the week before a major US holiday as there are often a lot of school events and assignments due then. I'm guessing it's going to be a lot more adults rather than families with school-age kids. The adult pool is going to be people soup for sure and you can kiss Palo goodbye unless you are concierge or Pearl. I've got my eye on the next couple ships though... one of these days a maiden will work out for us!

 

[CdnDrake]

Large premium price for the maiden voyage when sailing during a low season off week that would not be this expensive.

Example pricing for 2 adults 2 children in concierge family ocean view w/ veranda:

Maiden voyage $13,020
Similar non peak week $8,454

Never been on a Disney Cruise before so I didn’t think I stood a chance at getting on board after waiting through all the early booking days. But got lucky after an hour of refreshing and reserved a Deluxe Family Oceanview Stateroom with Verandah. Came to about $4,900 ($6,600 Canadian) which I don’t mind. Wanted to try a Disney cruise but not interested in the usual ports of calls (been there, done that) and the Europe cruises r too long to be on a Disney themed ship (sorry but without kids it’s a different trip). 4 days with stops at both the Disney private islands and the excitement of a maiden cruise? Perfect. I get the issue when you are travelling with kids though, the prices just keep escalating. Will hope there are no delays but our schedule is flexible anyway. Another thing that’s much different when it is a family travelling.

 

[BamaGuy44]

More seriously:

The maiden voyage shouldn't be compared to "another off-season sailing" because it is not just another off-season sailing. It is a one-of-a-kind thing, not many people can be part of it, and the few people on it will be able to say they were on it forevermore. That has value for some people.

I would not care, but I'm also not someone who puts DCL Pearl in my DISboards tag. I loved the one cruise I took; the rest of my family sailed a lot more than I did.

But let's entertain the argument, and suppose this is a blatant money-grab that will turn off the most loyal guests. If I was one of those guests, and that's how I saw it, my reaction would not be "complain to the internet." My reaction would be re-evaluating my relationship with DCL, and deciding whether or not I wanted it to continue. Maybe I sail another line to try it out and see if I like it. Maybe I try something other than cruising for my next vacation as a change of pace. And maybe I learn that I like those other options just fine, and I leave Disney in the rear-view mirror.

This is sort of like breaking up--as the song says, it's hard to do. But, it happens and it happens a lot. It's something I write about often: Disney is a company that makes money by selling happiness. That's not the same as "Disney wants me, specifically, to be happy."

https://www.disboards.com/threads/c...advanced-lightning-lane.3933691/post-65144727

The "build good will and loyalty" argument is always humorous, because it ignores business reality. You can make people happy and loyal by under pricing your product, sure. But will you make as much overall? Obviously not, since the cruises are filling up at current prices.

"Wrong" is a morality judgment and a separate discussion. But whether charging a big premium for maiden voyages is smart business practice isn't really debatable, IMO. If it sells out quickly with people fighting over it in a cyber Hunger Games, arguably it was priced too low.

 

[SL6827]

So it took how long for this MV on the Destiny to sell out? Do you Disney is regretting their price point now, or was this time frame was the end goal?