Does anyone realize what 80K members means?

[princess&tig]

If we say that the average member put in 15k. Some people more and some people less.

It means 80,000 x 15,000 per member average = 1,200,000,000.

Thats $1.2 Billion for Disney on the property sales alone. Not to mention the fact that we spend money at the parks and eat. Now Disney has annual sales of $30 Billion per year and we gave Disney our $1.2 Billion over the last 15 years. The 30 Billion is for all business units (media, movies). Either way we should be very important to Disney.

 

[lillasmom]

Don't forget, though, about the cost to build, maintain, and furnish all the units. I don't know what the profit margin would be, but I would guess the cost to build and maintain was also a pretty penny.

 

[Mike]

Originally posted by lillasmom
Don't forget, though, about the cost to build, maintain, and furnish all the units. I don't know what the profit margin would be, but I would guess the cost to build and maintain was also a pretty penny.

I'll give you the cost to build but the maintenance costs are covered by the MFs which include replacing the furnishings when needed

 

[adriannabannana]

Originally posted by Mike
I'll give you the cost to build but the maintenance costs are covered by the MFs which include replacing the furnishings when needed

I agree with that, and I'll add that my family goes out of it's way to treat the resort very gently, since we are stake holders and it eventually comes down to our dollars. Therefore, I'd add that DVC resort areas are probably treated a little more gently because members are invested in their well being.

 

[MikeBW]

$1.2B and we can't get a decent ticket discount!

 

[adriannabannana]

Originally posted by MikeBW
$1.2B and we can't get a decent ticket discount!

Buahahahahahhahahah!!!
Boy, you got that right!!!

 

[Desperado]

Originally posted by MikeBW
$1.2B and we can't get a decent ticket discount!

Great point. They must figure, why cut into those profits. Of course, it probably also means the end of pool hopping, that's way to many people going to other pools. Perhaps pool hopping will be limited to DVC resorts except BCV.

 

[adriannabannana]

When we went last year, they had already put the kibosh on pool hopping, but they let us go over on the Q-T twice. Once we finish paying for our BWV interest, we're going to buy some BCV points and then they can't stop us...

MUAHAHAHAHAHAHAHAHAHAHAHAHAAA!!!!!!!

 

[caracarn]

Originally posted by princess&tig
If we say that the average member put in 15k. Some people more and some people less.

It means 80,000 x 15,000 per member average = 1,200,000,000.

Thats $1.2 Billion for Disney on the property sales alone. Not to mention the fact that we spend money at the parks and eat. Now Disney has annual sales of $30 Billion per year and we gave Disney our $1.2 Billion over the last 15 years. The 30 Billion is for all business units (media, movies). Either way we should be very important to Disney.

A little reality on this one too. If we put in 1.2 B in 15 years, even a conservative estimate of sales of $150 B over that same time frame, means we accounted for less than 1% of their revenue. How does that make us important to Disney? Given that the cost to build a property like VWL is most likely in the $50-$150 million dollar range we need to keep in mind that the $1.2 B does not really do a whole lot in actual profit. DVC members are most like cellular subscribers. The cell phone companies don't make money on selling you the phone, they make money on the minutes and the accessories. DVC does not make money on the property. They have a captive audience who will be much less likely to travel elsewhere than the untethered traveler who can get upset at Disney and go to Universal because they do not have money tied up there. So They make money on our park tickets, or souveniers, our food. Why don't they discount them? Why would they? Is it stopping us from going?

 

[Desperado]

Originally posted by caracarn
.... So They make money on our park tickets, or souveniers, our food. Why don't they discount them? Why would they? Is it stopping us from going?

That's the key point, they do not recognize the profit incentive for them to offer discounts to DVC members.

Perhaps this is premature, the recent survey may be the indication a better discount is coming and this is now recognized.

 

[timC]

Question... Does one member = one person or one family or one contract? Do DW and I equate to 1 or 2 members. We have 2 contracts so does that meam we're 4 members???

 

[msdis]

Originally posted by princess&tig
Re: Does anyone realize what 80K members means?


It means we have one of the largest cults on the planet.

We are a cult aren't we? :space:

 

[manning]

Does anyone realize what 80K members means?

A lot of people!!

 

[tjkraz]

For your amusement, here are some fairly "real" numbers from SSR.

Each building represents about 730,000 points to be sold. At an average of $85 per point, each building generates about $62 million in revenue. In less than a year they sold more than four buildings worth of points, or nearly $250 million in revenue.

When the final points at SSR are sold, the resort will have generated in excess of $1.1 billion in revenue--and that's at today's prices.

 

[MikeBW]

Originally posted by msdis

Originally posted by princess&tig

It means we have one of the largest cults on the planet.

:space:

Instead of grape Kool-Aid, I drink the Bass ale from Rose & Crown's!

 

[princess&tig]

When the final points at SSR are sold, the resort will have generated in excess of $1.1 billion in revenue--and that's at today's prices"

For your amusement, here are some fairly "real" numbers from SSR.
Each building represents about 730,000 points to be sold. At an average of $85 per point, each building generates about $62 million in revenue. In less than a year they sold more than four buildings worth of points, or nearly $250 million in revenue.

When the final points at SSR are sold, the resort will have generated in excess of $1.1 billion in revenue--and that's at today's prices"

Holy cows!!! Think of the margins. I think they are closer to 70%. The resort must only cost about 150 Million (give or take 100 Million) to build. The only thing I think that is not in the calculation is that if we did not buy DVC we may very well have stayed at a Disney hotel and given them some our money anyway (I know i would have).

 

[TheRustyScupper]

Originally posted by princess&tig
. . . Holy cows!!! Think of the margins . . .

1) Timeshares have ALWAYS been cash generators.
2) Why do you think there are so many of them?
3) Disney finally figured this out in the 1990's.
4) Now that people like DVC, it is even more important to Disney.

NOTE: This is not an indictment, just an observation. Heck, if I had the money, I would build a timeshare somewhere popular.

 

[SoCalKDG]

NOTE: This is not an indictment, just an observation. Heck, if I had the money, I would build a timeshare somewhere popular.

Thats the key. Building somewhere that people want to visit over and over.

 

[nezy]

It means we have one of the largest cults..

It certainly feels like a cult or more like a secret club w/ shiny happy people!


TimC-where do I get one of those "Bush/Cheney"banners for my posts?

 

[JimC]

SSR will have a little over 927,000 square feet of livable space (only accounting for the square footage of the units, not common areas). What would constuction costs be for this resort -- $250 - $500 per square foot? That would put total cost of the new buildings constructed at approximately $230 - $460 million or about $13 to $26 million per building. Add to that some amount for construction/renovation of the old DI buildings for food service, shopping, check-in, etc plus the extensive landscaping that goes into the property. Would an addition one third be appropriate? So the SSR project would cost $300 - 600 million. I expect that they saved a fair amount with much of the site development already in place (land contours, utilities, roads, and the like).

This is just a guess and I would happily defer to anyone who does this sort of thing for a living.