Disney's Price Increases are obscene....

[W.E.D.]

First, let me say that I'm no fan of paying more at WDW. That being said, Disney is a private company who's job is to increase revenues to stockholders. If they can charge more and still keep the parks/hotels/restaurants full, then that's what they should do.

Exactly. As much as we might want to believe otherwise, Disney is not some altruistic organization with our best interests in mind. They are a business with stockholders and their mission is to make money. As long as we keep going (some of us multiple times a year), they will continue to increase prices until their revenue tells them to do otherwise.

 

[WDSearcher]

Sorry but Disney doesn't follow anyone...certainly not their competitors. Their competitors follow what Disney does, especially with pricing.

Except that over the last couple of years, Universal has been the first to raise prices, with Disney following within a week or so. I suppose you could say that Universal figured that Disney was going to raise their prices and wanted to beat them to the punch, but to me it seems more like Universal trying to get the jump on Disney. By raising prices first, Universal is saying that they have a higher perceived worth and that they're charging based on that. And Disney is left to play "catch up" and say, "Oh yeah ... we're worth that too!"

In which case, Universal clearly wants to put itself out front as the competitor to follow.

 

[GadgetRick]

This is certainly true. However, who's going to follow the OP's lead and stop going to WDW? Not me.

More people than you might think.

We've cut way back on Disney stuff. Heck, I'd probably not be going if I didn't move down to Jacksonville.

Besides, at some point, they'd hit your pain point. If it cost you twice as much as today, would you still go? Three times? Four times?

 

[GadgetRick]

Except that over the last couple of years, Universal has been the first to raise prices, with Disney following within a week or so. I suppose you could say that Universal figured that Disney was going to raise their prices and wanted to beat them to the punch, but to me it seems more like Universal trying to get the jump on Disney. By raising prices first, Universal is saying that they have a higher perceived worth and that they're charging based on that. And Disney is left to play "catch up" and say, "Oh yeah ... we're worth that too!"

In which case, Universal clearly wants to put itself out front as the competitor to follow.

I'm sorry but if you think Disney is following Universal then I don't know what to say.

You don't think they know when Disney is going to raise prices? We know about it here and we're not in the business!

I assure you, Disney is the leader...

 

[flicx]

Where do YOU live? I'vr not seen sub-$3 gas in a looooong time.

btw, the average price of gas is currently $3.472.

Source

I live in PA have seen it here as low as 3.20 and my son says in VA 2.99 in certain places,also been told GA has broken the 3.00 barrier too.

 

[WDSearcher]

People on here also love to state how costs of everything else goes up.That just isn't true in whole. Seems to me gas which alot of people on here constantly say is going up has corrected and now is under 3.00 a gallon alot of places. If it stays there some grocery items will follow. Not to mention different crops and other food stuffs go up and down all the time. There is a one way trend at disney world. Prices going up, that is it. Not to mention in recent years the cut backs in sale percentages on rooms and other new regulations which have shortened value seasons and added premiums to stay over weekends.

But again ... a Disney vacation is a luxury. It's a "want", not a "need". So it's going to react to the economy differently.

If gas stays lower, then some grocery items will follow. Then maybe some clothes or school supplies. Maybe you'll see better car prices or better rates on mortgages. But my guess is that high-end items won't dip at all. Luxury items don't depend on the pennies of difference that crops and other food stuffs fluctuate by week to week. It's a different animal.

 

[GadgetRick]

I live in PA have seen it here as low as 3.20 and my son says in VA 2.99 in certain places,also been told GA has broken the 3.00 barrier too.

No offense but I find it hard to believe. I am originally from NJ and NJ (typically) has lower prices than most state on the East coast--certainly cheaper than PA--and my in-laws just drove down and back. They're not paying anything NEAR $3 a gallon.

Here in FL, prices are usually close to the NJ prices (slightly higher) and I'm paying $3.22 at BJ's (cheapest gas in town).

VA also (typically) has higher prices then other states on the East Coast.

I've not seen prices like that in GA (about 30 minutes South of GA)--at least in Southeastern GA.

Sorry to call you on it but I just don't believe it. I can't really question the price in PA if you've seen it but I'd have to actually see that to believe it. PA was always 15-20 cents higher than NJ. Used to joke about it because you've got to pump your own gas there and in NJ you can't.

 

[GadgetRick]

But again ... a Disney vacation is a luxury. It's a "want", not a "need". So it's going to react to the economy differently.

If gas stays lower, then some grocery items will follow. Then maybe some clothes or school supplies. Maybe you'll see better car prices or better rates on mortgages. But my guess is that high-end items won't dip at all. Luxury items don't depend on the pennies of difference that crops and other food stuffs fluctuate by week to week. It's a different animal.

Except a Disney vacation is clearly not marketed at the higher-end customer, rather, the average Joe like most of us...

As usual, you have an excuse for every bad thing Disney does....

 

[3Minnies1Mickey]

No offense but I find it hard to believe. I am originally from NJ and NJ (typically) has lower prices than most state on the East coast--certainly cheaper than PA--and my in-laws just drove down and back. They're not paying anything NEAR $3 a gallon.

Here in FL, prices are usually close to the NJ prices (slightly higher) and I'm paying $3.22 at BJ's (cheapest gas in town).

VA also (typically) has higher prices then other states on the East Coast.

I've not seen prices like that in GA (about 30 minutes South of GA)--at least in Southeastern GA.

Sorry to call you on it but I just don't believe it. I can't really question the price in PA if you've seen it but I'd have to actually see that to believe it. PA was always 15-20 cents higher than NJ. Used to joke about it because you've got to pump your own gas there and in NJ you can't.

come to California.....we are happy we are paying under $4 a gallon. $3.85/gal is a deal around here right now!

 

[WDSearcher]

I'm sorry but if you think Disney is following Universal then I don't know what to say.

You don't think they know when Disney is going to raise prices? We know about it here and we're not in the business!

I assure you, Disney is the leader...

We don't know. We make educated guesses, based on past performance.

 

[vicki_c]

:::sigh:::

Thank you for the lesson in economics...

Yeah, I get that, however, when a company does something people don't like--and they complain or stop spending money with the company--a company (often times) listens. So, if enough people complain and/or (Gasp!) stop spending money on Disney, they will listen...

No doubt that is true, however I think it won't happen in this case.

As to the economics lesson, I was only reacting to your frustrated-sounding comment that they were just raising prices "because they can" - agreeing and saying that's the way it works.

 

[flicx]

No offense but I find it hard to believe. I am originally from NJ and NJ (typically) has lower prices than most state on the East coast--certainly cheaper than PA--and my in-laws just drove down and back. They're not paying anything NEAR $3 a gallon.

Here in FL, prices are usually close to the NJ prices (slightly higher) and I'm paying $3.22 at BJ's (cheapest gas in town).

VA also (typically) has higher prices then other states on the East Coast.

I've not seen prices like that in GA (about 30 minutes South of GA)--at least in Southeastern GA.

Sorry to call you on it but I just don't believe it. I can't really question the price in PA if you've seen it but I'd have to actually see that to believe it. PA was always 15-20 cents higher than NJ. Used to joke about it because you've got to pump your own gas there and in NJ you can't.[/QUOT
I was told by a trucker who recently made a trip to disney he paid under 3.00 a gallon in GA, my son who is a driver assitant saw 3.05 and was told of a staion at 2.99in VA. I saw the 3.20 a gallon in PA with my own eyes. You do realize cude oil is teetering on the 78 dollar a barrel level as we spaek. Check CNBC right now. Less than 3.00 a gallon gas may soon be everywhere except the traditionally high markets.

 

[A_Princess'_Daddy]

As you have already back-tracked with your second sentence, you seem to understand exactly what I'm saying.

A weak economy WILL drive down demand. Let this soak in. The average American is earning LESS money and has LOST 35% of their net worth over the last 5 years.

Add to that, the last few years have seen RECORD foreclosures, RECORD unemployment and RECORD bankruptcies. Those are OBVIOUS signs of a weak economy.

Americans are hurting. As much as I hate to say it.

This economy may not have had an effect on you. But millions have lost their jobs, homes and life savings over the last few years.

Buddy, you're arguing with somebody who holds, amongst other advanced degrees, a PhD in economics and works in the financial services sector, so I understand how the economy works. You are mixing your opinions into facts, and they are bringing you to an understandable but ultimately false and unsustainable conclusion.

Demand is not down (basis points are not particularly relevant at the scale we are talking), supply is steady, there is no comparable competitor to undercut their pricing structure, so their prices have upward capacity if the corporate leadership of Disney Corp. choose to utilize it (and whether they have a fiduciary duty to do so is an argument for another day). The economy is not controlling at the micro-level; certain segments are thriving and seeing increasing demand and so their prices are increasing. This includes the energy sector (increasing demand in China, India and Brazil), certain segments of the technology sector, and, evidently, WDW theme parks. I understand that it doesn't make you happy, but you and I cannot overcome the macro- and micro-economic principles at play, we can only make personal choices to increase or lessen demand for their products and hope the rest of the world follows accordingly.

If we want to get into a conversation about sticky prices, managed supply, deflation, etc., and how those things also come into play in all pricing schemes, I'd be happy to partake, but at the end of the day Disney Corp. has smarter people than us studying all these things and so our collective opinions is not particularly relevant.

 

[WDSearcher]

Except a Disney vacation is clearly not marketed at the higher-end customer, rather, the average Joe like most of us...

As usual, you have an excuse for every bad thing Disney does....

And, as usual, you have a reason why every Disney decision you don't like is bad.

I don't consider a business raising prices in a marketplace where the rest of the competition is doing the same thing to be a "bad thing". I consider that to be a typical business move. And if I don't like it, I don't have to pay for that product. The ultimate choice is mine to make.

Disney is marketed to a broad spectrum, and people of all income levels can and do visit the parks. But a Disney vacation is still a luxury. It's not something that people HAVE to have. It's something people CHOOSE to have. And as long as enough people choose to pay the prices and as long as the parks and resorts are full, then Disney is making the right call.

It's not about having an excuse. It's about understanding that Disney is a business.

 

[GadgetRick]

We don't know. We make educated guesses, based on past performance.

Whatever.

 

[flicx]

But again ... a Disney vacation is a luxury. It's a "want", not a "need". So it's going to react to the economy differently.

If gas stays lower, then some grocery items will follow. Then maybe some clothes or school supplies. Maybe you'll see better car prices or better rates on mortgages. But my guess is that high-end items won't dip at all. Luxury items don't depend on the pennies of difference that crops and other food stuffs fluctuate by week to week. It's a different animal.

You are part right searcher. Disney is in the process of making a disney vacation a luxury item(a high end one). Also the pennies you speak of in commodities sure make a difference in the bottom line at disney. How much less of an operating cost will it be for disney transportation if gas costs 25% less. How about if food corrects down. Massive savings again. I'm sure this is highly important to this luxury corporation!

 

[WDSearcher]

No offense but I find it hard to believe. I am originally from NJ and NJ (typically) has lower prices than most state on the East coast--certainly cheaper than PA--and my in-laws just drove down and back. They're not paying anything NEAR $3 a gallon.

Here in FL, prices are usually close to the NJ prices (slightly higher) and I'm paying $3.22 at BJ's (cheapest gas in town).

I paid $3.18 last night at the Hess across from DTD.

 

[A_Princess'_Daddy]

People on here also love to state how costs of everything else goes up.That just isn't true in whole. Seems to me gas which alot of people on here constantly say is going up has corrected and now is under 3.00 a gallon alot of places. If it stays there some grocery items will follow. Not to mention different crops and other food stuffs go up and down all the time. There is a one way trend at disney world. Prices going up, that is it. Not to mention in recent years the cut backs in sale percentages on rooms and other new regulations which have shortened value seasons and added premiums to stay over weekends.

Hey, here's the debate about sticky pricing, supply management and deflation all rolled into one! Great job!

 

[GadgetRick]

I was told by a trucker who recently made a trip to disney he paid under 3.00 a gallon in GA, my son who is a driver assitant saw 3.05 and was told of a staion at 2.99in VA. I saw the 3.20 a gallon in PA with my own eyes. You do realize cude oil is teetering on the 78 dollar a barrel level as we spaek. Check CNBC right now. Less than 3.00 a gallon gas may soon be everywhere except the traditionally high markets.

So you're repeating what you've heard elsewhere.

BTW, go to that link I posted and look up the average price for each state:

PA - $3.414
NJ - $3.341
VA - $3.256
GA - $3.254

SC is the only state even CLOSE to sub-$3 gallon gas at $3.058 (they have the lowest average price--which makes sense as it was always cheaper there then anywhere else on the way up/down).

So, if you saw $3.20 per gallon in PA that was 21 cents cheaper than the average today (which is lower than yesterday, etc. Possible but I'm guessing that was some sort of special.

No way I'm buying it's less than $3 a gallon anywhere except (maybe) SC. I wish it was but it isn't.

 

[North of Mouse]

No offense but I find it hard to believe. I am originally from NJ and NJ (typically) has lower prices than most state on the East coast--certainly cheaper than PA--and my in-laws just drove down and back. They're not paying anything NEAR $3 a gallon.

Here in FL, prices are usually close to the NJ prices (slightly higher) and I'm paying $3.22 at BJ's (cheapest gas in town).

VA also (typically) has higher prices then other states on the East Coast.

I've not seen prices like that in GA (about 30 minutes South of GA)--at least in Southeastern GA.

Sorry to call you on it but I just don't believe it. I can't really question the price in PA if you've seen it but I'd have to actually see that to believe it. PA was always 15-20 cents higher than NJ. Used to joke about it because you've got to pump your own gas there and in NJ you can't.

Believe it or not GadgetRick, but it's $2.98 in Roanoke, VA now. We usually have higher gas in NC because of taxes, but we get "cheap gas" in SC on our way to see Mickey, and it will be near $3.00 here soon!!! You may be quoting average, but who pays average? We never do! No matter where we travel, we never pay what they consider the "average" price. There's always some places that charge "an arm & leg" for people stupid enough to pay it, and that causes the "average price" to be higher.