Disney discounts to DVC members

[rccomputers]

I was having a discussion with another DVC member and she was upset with the current state of discounts at Disney.

You see commercials and advertisements for weeks at DW at prices of around 1600+- . Sometimes it includes cash, or the DDP. It always includes the room and park passes. I understand her feelings since they always stay in a studio.

I have to pay 1400 in dues this year alone. Pretty close to the above price and I already dropped 25K to buy the points.

Her point was with all the dues we pay, don’t you think they should be giving us park passes or something other than just discounts when we spend MORE money.

Now before everyone starts in about the accommodations, I know that DVC resorts are much better than the value resorts that you would get with a package like they advertise. But still a DVC studio compared to a value resort room is pretty close. Add the maid service that you would get at the value resort and your would be paying more still. I know that the 1 bedroom and 2 bedrooms are far superior to these packages, and for arguments sake, I am sure even though they don’t advertise, there are discounts available on these for comparison also.

So I guess you could basically say that since we pay in advance, we get less in this economy.

Having thought about it some more, I can see that Disney looks at us like residual income. It is guaranteed that we are coming once or more every year. They can put our passes, food, etc in the “sold” column without having to work for it. Goes to the old saying it is easier to keep a customer then find a new one. They have us; they need to find more customers so that goes to the discounts to non-DVC. I must say it is not very "Disney" of them.

The only option we have would be to threaten to “leave” but we all know that is not going to happen. Find some way to influence their bottom line significantly and then they will listen.

 

[CarolAnnC]

Honestly, we knew when we bought that "perks" or "discounts" are never guaranteed and subject to change at any time. I consider any of them to be icing on the cake.

We get what we paid for - timeshare at WDW for our specified allotment of points.

The only option is to "leave"? Well, nobody has to buy in to begin with, and they can certainly sell at any time they want after the fact.

 

[Duckfan-in-Chicago]

I just compared the 4/3 free deal. I can book a week at AKV in a studio in June with a savanna view, get the basic meal plan and buy tix to the parks (if I didn't have an AP and needed them) for 3 adults and cover the maint. fees on those points for about the same price it would cost on Disney's website to book a week at Coronado Springs with the park tix and dining.

And this is during tough economic times when they're throwing bones to people to stay on site.

 

[ChelleinNC]

Current specials now are to get people to come during the worst economic period in this country since the great depression. Disney is cutting back hours, shows & you name it to keep the lights on. So no, they're not gonna offer anything "extra special" for DVC members. Who knows, maybe they'll "pay us back" later when times are good but I wouldn't hold my breath.
As far as the infamous "Free Dining" that's offered in the fall, keep in mind that it was started to encourage people to come to Disney during hurricane season (one of the lowest crowd periods of the year). Also keep in mind that "free dining" sounds a lot better marketing wise than "rack rate room & tickets, meal included"

I would disagree with your assertion that studios are equal to a value resort room. The size of the room may not be much different, but it's like anything else in real estate: Location Location Location. You're staying at a Deluxe resort, with upgraded amenities (larger beds, better pools, sit down restaurants, tennis courts, hot tubs......). Even our guide told us that if we'd be happy at a Value resort that DVC would not be the right choice. Not a problem there, as I'm an admitted resort snob

What we get as DVC members is our lodging for the next 40+ years at a pre-set rate. We used to stay at the BC for $189 per night, that's not happening anymore! That same water view room is now well over $400 (to over $500 at peak times) a night That's one reason why we bought DVC. We also wanted 1 & 2BR villas instead of a regular hotel room.

My last comment would be that if you're paying $1400 in dues a year, than you have enough points to be taking 2 of those weekly package specials (or close to it) I have 250 points and can take a 6nt/7day trip in a 2BR villa during summer and my dues are $840 yearly.

 

[Brian Noble]

I must say it is not very "Disney" of them.

Wrong. It's exceptionally "Disney" of them.

Disney is a business---and this goes back to the Walt days. Walt is always painted as this nice uncle who just wants everyone to have fun. That may have been a part of it, but if you read any reasonable biography of the man, he was also a very shrewd businessman.

The value proposition for the purchaser is that DVC is a hedge against future increases in lodging costs, combined with a lodging discount for committing to years of vacations in advance---and that commitment is the risk. The value proposition for Disney is that DVC is a hedge against future decreases in lodging demand, combined with a sizable up-front payment plus a revenue stream that guarantees at least modest profitability of the resort in question without continued marketing expenses.

Viewed over the long haul, everybody wins in the DVC value proposition---provided that the long-term commitment genuinely fits the purchaser's vacation desires in the future. In the short term, sometimes Disney wins a little more, and sometimes the purchaser wins a little more, depending on the circumstances at hand.

But, discounts are not offered to reward loyalty---they are offered to encourage people who wouldn't otherwise come to the resort to book a trip. DVC Members are among the last people who need such convincing.

 

[helenk]

Now before everyone starts in about the accommodations, I know that DVC resorts are much better than the value resorts that you would get with a package like they advertise. But still a DVC studio compared to a value resort room is pretty close.

I am not sure what you are saying here, the size of a room at the value resort is 260 square feet, there is no fridge, no toaster or microwave in the room. Heck the average size of a moderate resort room is 314. Neither the value resorts or the moderate have a balcony which is a nice perk.
The size of a studio in the AKV is 365 square feet, a value studio is 316 square feet. I've stayed in the Allstar Music a few times and while I was fine with the room once I stayed in a studio at the SSR I knew I would never look back.
For the rest of my life, my accomodations are paid for, except for the cost of my MFs. If I were not a DVC member my vacations, no matter what kind of deal they were offering would not be as good of a value.
With my 210 points I can go to WDW 3 times within my use year, and stay for 5 nights each visit. We get $100 off the AP rates and this works fine for me as I've had an AP for years now.
As far as the free dining goes, you still have to pay rack rate for your room, so unless you stay at a value you are really not seeing big savings.

 

[rccomputers]

I must say I have really started a discussion here. I love it. I have never actually stayed in a studio, opting for a 1 or 2 bedroom for our visits of 7 to 9 nights at a time. And I am a resort snob also. This will be our first stay at AKL savanna view and I am looking forward to that.

In some of my comments, I must have forgotten that Disney is a business and not a "nice uncle" as quoted by Brian.

I don't want it to seem like I am looking for more discounts (as per CarolAnnC)and that is not why I bought in the first place either. They are extras for me too. I also don't want to get into an economic discussion here either.

My final thought is this, at 60K plus memebers. Does anyone see a way to create a large buying block to allow us work from. That's how companies like BJ's, Costco and Sams Club negotiate w/sellers. They have x number of members and agree to take x number of a product at x price. They then pass on the discount to the members.

So could we create a members club and possibly negotiate some discounts on our own?

 

[DebbieB]

I was looking at the codes and rates board last night and was thinking how happy I am to do be a DVC member. There are threads about when are discounts coming out for certain months or who got pin codes sent to them and who didn't. I'm glad I don't have to worry about that. I used to do room only, I am also glad at the end of the trip not to walk away with a big room bill on my credit card.

 

[Buckeye Fan]

I was looking at the codes and rates board last night and was thinking how happy I am to do be a DVC member. There are threads about when are discounts coming out for certain months or who got pin codes sent to them and who didn't. I'm glad I don't have to worry about that. I used to do room only, I am also glad at the end of the trip not to walk away with a big room bill on my credit card.

I just booked a Saturday night stay in July and for one night in a value, the price was $158!!!

Now unlike others, I can stay anywhere from a value to a deluxe and be happy! However, if the prices continue to go up, we're all going to be thanking our lucky stars we have DVC. The incentives (over time), won't match the buy-in price plus MFs, IMHO.

 

[Brian Noble]

So could we create a members club and possibly negotiate some discounts on our own?

To negotiate, you need something to put on the table that you are willing to give up in exchange for what you want. What are the negotiating points for the Membership?

I'm not seeing many.

 

[Brian Noble]

I was going to edit my prior post, but this is probably worth a new one

That's how companies like BJ's, Costco and Sams Club negotiate w/sellers.

What gives them power is scale---they can commit to buying a lot of whatever it is they are buying. The Membership also has scale, but getting leverage out of that scale requires unanimity, and you'll never get it.

For example, the Membership could agree that they'd always buy the Dining Plan for every points stay, and in exchange Disney would further discount the Plan to acknowledge the benefits of scale and the need to forgo marketing expenses. It could even be folded into the Dues that every member pays, and now every points stay just includes "free" (really discounted) dining.

But, this requires that every Member is willing to buy the Dining Plan, or pay for it in some form through dues.

 

[rccomputers]

Brian,

Thanks for clarifying the point I was trying to make. You are right we would need a position to bargin from. As you said, really there are only two items that we would want from Disney anyway. The park passes(LOS) or the DDP. We already have it better then everyone else when it comes to accomidations.

Sooo. I could easily put together a poll about which one members would want more, then somehow put together a committed group.

That would be another whole issue to deal with.

 

[rccomputers]

Just thinking about it a little more, if someone had said to me that for an extra 5K when I purchased DVC, I would get LOS passes for my vacations, I would have jumped on it.

It would have also been an incentive if they offered it when they offered the extension on our contracts.

 

[CarolA]

We pay DUES to DVC. That's a KEY difference. If DVC is going to use our dues to subsidize those discounts then NO I don't want them.

So your position is Disney should give us things why? Because we pay another corporation they own? What's the limit? Do we get free passes to DL too? Do we get "discounts" on cruises? ETC. Disney runs each unit as a profit/loss center. So if DVC wants a "park ticket" discount there has to be a negoitaition. And if DVC has to pay then OUR dues pay for it. And no matter what you want all of us will NOT want it. No I don't want my dues to pay for your free dining for example. I don't like the DP and think it's too much food. Why should I pay for you to eat? Why should YOU pay for me to go to Disney 10 times a year when you go once?

As for your plan, I am pretty sure that using the DIS to run a campaign like that's going to be a "rule breaker" on the DIS. Folks who tried to get some "suit" for some reason got told "No" LOL! The poll is good, but the "committed group" probably crosses the line as I understand it.

 

[hakepb]

Just thinking about it a little more, if someone had said to me that for an extra 5K when I purchased DVC, I would get LOS passes for my vacations, I would have jumped on it.

It would have also been an incentive if they offered it when they offered the extension on our contracts.

in hindsight, you should of bought 5k worth of admission tickets. They were probably all non-expiring and much cheaper. Used to be all Disney passes seemed to be a good investment.
Now that non-expiring is so dang expensive, that rule never applies.

I do not want to get into specifics, but I think 1400 in dues would be a lot more points than needed for a studio week, I thinking closer to 3 in June..

 

[hakepb]

I will say that I personally believe Disney instantly realized that they raised Ticket and Dining plan prices too high in 2009, especially with the economy. thus the extended "free dining" in December and the added 4-3 promotion.

Disney is offering discounts to groups to get them in the parks. Our (DVC) annual pass discount is still as good a deal that they offer.

I do believe if ticket sales to DVC members is poor enough, they will offer discounts. That's all the perks are, incentives to spend more money..

 

[rccomputers]

It seems like I am getting angry replies from those that don't agree with anything I have to say.

First. This was a discussion I had with another DVC member and wanted to see what everyone else thought. I have floated some of my own thoughts and ideas to see what everyone else thought of them.


Second, I am a happy DVC member and think that I get great value for my DVC dollar. I have watched and managed to get my "money back" - Stays$=>paid to DVC.

Ideas that would get us discounts that would be valuable to all of us is all I was discussing. Personally I don't buy the DDP either. Too much food and too expensive for an experienced DVC traveler.

In these days of bailouts, this seems to be a touchy subject.

 

[dburg30]

Wrong. It's exceptionally "Disney" of them.

Disney is a business---and this goes back to the Walt days. Walt is always painted as this nice uncle who just wants everyone to have fun. That may have been a part of it, but if you read any reasonable biography of the man, he was also a very shrewd businessman.

I thought Walt was a pretty crappy business man, and why he went broke 3 or 4 times, Roy on the other hand..

 

[DebbieB]

My final thought is this, at 60K plus memebers. Does anyone see a way to create a large buying block to allow us work from. That's how companies like BJ's, Costco and Sams Club negotiate w/sellers. They have x number of members and agree to take x number of a product at x price. They then pass on the discount to the members.

So could we create a members club and possibly negotiate some discounts on our own?

DVC is supposed to be negotiating for us. That's how we got the $100 AP discount. They negotiated rental car discounts, although I don't think they are that great. Plus the restaurant discounts on Disney's properties. I agree with Carol, I would not want to see discounts subsidized by dues (not sure that would even be legal).

 

[joeytdog]

IMO

As long as Disney has a 4/3 deal, DVC is not worth it. The 4/3 promo will not last forever, while DVC is locked in for 40-50 years so DVC is worth it in the long run

But right now, you are correct the deals (4/3) are so good, it is cheaper to go through Disney Direct. Also, that is why you are seeing points being rented for $10 and less. Even at $10pp it is tough to justify renting when with the 4.3 deal you can pay the same through Disney direct

But with this short term, comes a great buying opprotunity. Market is flooded with resales and Disney cant keep up ROFR

Disclaimer: I am an avid renter but not owner of DVC. Would buy it, but I would have to finance it and I cant make that justification right now in my life