DVC Annual Pass Discount going away?

[Firepath]

I sure hope this doesn't happen. If a member had the funds to do so, could one purchase multiple AP vouchers now at the current DVC price for future use or are the vouchers only good for a limited time period?

 

[Missyrose]

I sure hope this doesn't happen. If a member had the funds to do so, could one purchase multiple AP vouchers now at the current DVC price for future use or are the vouchers only good for a limited time period?

The vouchers don't expire, so you could buy a bunch and put them away for future years.

 

[WilsonFlyer]

I bet it is so that you can make FP+ reservations at the 60 day mark if you have an onsite stay planned. You would be out of luck if your 60 day FP+ window opened up, but your AP expired before your trip and you could only renew at the 30 day mark. With the 60 day renewal window, you can renew and be ready to make FP+ reservations at the 60 day mark.

I understand your explanation but that's not what I was trying to say. I don't understand why you can't get right back in line and renew right after buying them. Why do a front window at all. That was my point.

 

[CarolMN]

Stitch Kingdom retweeted the rumor that was tweeted by the operator of DVCCentral.com. She also claims that the 4-day/4-park special ticket will be the only admission with a DVC discount. She says it's 90% certain. I'd take it (and any other rumors) with a grain of salt.

https://twitter.com/CentralMorgan/status/532662864679829506

Have never heard of this person or her web site. Does she have any credibility? Mention a source?

Maybe she's dating a bus driver?

 

[WilsonFlyer]

That was a timeshare salesman. You know the joke:



The "home resort only" thing is a bald-faced lie to try to get someone who is saying no to a developer purchase to say yes. This is a completely different beast.

I do expect that someday the AP discount will become less attractive or go away entirely. Based on the way Disney's accounting works, I'm fairly sure that DVD has to "pay" the Parks division something for this discount---probably not the full value, but probably something. That has to come from DVD, not DVCMC, because it's not an operating expense but is a sales incentive. But, over time, the Membership size (and number and value of the AP discounts) grows, while the monthly revenue from sales stays relatively constant. That's not sustainable in the long term.

That's all a guess mind you; I don't have any inside information at all. But, if you follow the money, that's where it takes you. The only real question is whether or not there is a transfer from DVD to Parks. It's possible that there isn't any such transfer, and Parks is doing this on their own because it increases ticket revenue from DVC Members overall---in that case, there is no sustainability problem, and the discount can continue as long as Parks thinks it brings in more business.

DVD/DVCMC probably doesn't care if existing members sell their contracts---someone else will buy them, so the Dues still get paid and that someone else will still stay in the resorts. Resale prices will drop a bit because there is more supply. There might also be a bit of a reduction in demand---some people buy small resale contracts only because of the AP discounts.

The only thing that will make DVD take notice is if direct sales are impacted. I'll wager that we are at a point where a reduction in resale price probably won't make a difference, because the gap is already so large that anyone who is considering resale carefully nearly inevitably goes that route. The absence of an AP discount might very marginally impact direct sales marketing, but probably not in a material way. Most direct purchases are coming from those looking to bottle the magical feeling they have on that trip and keep it for years "at today's prices." The AP discount is a sweetener, but that's all. A good Guide can work without it.

OK. I'm going to be devil's advocate and jump on the other side of the fence.

My bet would be that the Parks division actually gives the discount and pays DVD a premium for the privilege of doing so and making those guests readily available. Parks either wants to lower the discount or lessen their fee and DVD doesn't like either. DVD holds all the leverage here. It's DVD that has the captive audience, not Parks. Unless DVD gives us to them, they have no guarantee of getting us.

My guess is that it's a measuring contest.

Just another perspective.

 

[WilsonFlyer]

Surely not many people would have bought DVC on the basis of a perk being available that is reviewed every year?

Also, I am not sure that removing this perk would benefit Disney. If they do, it is likely that more DVC members would spend less time in Disney Parks and more time either in their DVC resort or in non-Disney Parks, ie spending less Disney dollars.

Due respect but keep believing that. Maybe during the initial purchase but as noted above, many of us did the many, many add-ons we've done over the years betting on the come that the DVC AP was a sure thing. As also noted above by Doug, changing this will change a lot of things for a lot of us. As I said in my initial post in this thread (I think.), most of this only applies to you if you explicitly bought enough points to go multiple times per year, and that applies to a great percentage of us, especially on this board, and while we may be a small percentage overall, we are a pretty strong voice when it comes to total number of points owned (relatively speaking).

 

[Brian Noble]

My bet would be that the Parks division actually gives the discount and pays DVD a premium for the privilege of doing so and making those guests readily available.

It is possible that Parks covers the discount. There is no way on God's green earth that they pay DVD for each AP purchased. That's just flat out fundamental attribution error.

The parks are the reason that DVC can sell the product it sells, for the price it can get. Viewed strictly as timeshares---not as Disney resort hotels, but timeshares---DVC resorts are for the most part expensive and poorly equipped vs. other name-brand alternatives.

 

[DisneyDiana]

I really hope this is not true. It will definitely change the way we vacation. We have always purchased the AP with our discount and taken at least two trips a year. I even pay cash for a few nights. I will be extremely disappointed if this is is true.

 

[disneynutz]

It is possible that Parks covers the discount. There is no way on God's green earth that they pay DVD for each AP purchased. That's just flat out fundamental attribution error.

The parks are the reason that DVC can sell the product it sells, for the price it can get. Viewed strictly as timeshares---not as Disney resort hotels, but timeshares---DVC resorts are for the most part expensive and poorly equipped vs. other name-brand alternatives.

I have been told that all admission media is owned and sold by another Disney unit and that all authorized resellers, parks included set the price. Disney buys the tickets from themselves for some type of tax or accounting break.

For DVC I think that they don't really sell the media, they direct you to the unit that does online or they process the sale using the Disney ticket system.

Bill

 

[drusba]

I understand your explanation but that's not what I was trying to say. I don't understand why you can't get right back in line and renew right after buying them. Why do a front window at all. That was my point.

Because they do not want you to able to avoid annual price increases.

 

[Littlelulu01]

Receiving a discount on an AP was a big factor in my trip planning. I have three trips I'm planning on taking in a years time. I won't have enough points for those trips but my plan was to purchase poly points if offered at an initial discount or if they are too expensive then room only for two of the trips. Two of the three trips planned would just be bonus trips to make the AP have more value. If no AP discount ill be ok cutting out the two extra trips, forgoing a poly add on and the one trip we do take adding on Universal. I had it all planned out and was going to forgo the universal portion because the admission to DW for second two trips was going to be "free"

If DVD decides to no longer offer the AP discount there is no need for me to add on and limit ourselves to stays on property. That's a lot of hotel and dining dollars that are lost just to make up for the little they discount the AP. makes no sense to me.

 

[DebbieB]

Receiving a discount on an AP was a big factor in my trip planning. I have three trips I'm planning on taking in a years time. I won't have enough points for those trips but my plan was to purchase poly points if offered at an initial discount or if they are too expensive then room only for two of the trips. Two of the three trips planned would just be bonus trips to make the AP have more value. If no AP discount ill be ok cutting out the two extra trips, forgoing a poly add on and the one trip we do take adding on Universal. I had it all planned out and was going to forgo the universal portion because the admission to DW for second two trips was going to be "free"

If DVD decides to no longer offer the AP discount there is no need for me to add on and limit ourselves to stays on property. That's a lot of hotel and dining dollars that are lost just to make up for the little they discount the AP. makes no sense to me.

This would likely not be DVC's decision. They have to negotiate with the parks department. If the parks department doesn't want to offer it, DVC's hands might be tied.

 

[robinb]

If this is true, it may be the final nail in Disney's coffin For me. I have been unhappy with the Disney product for a while, especially with FP+ and skyrocketing costs. If they do not offer a reasonable discount on park passes we may sell and move onto other vacations that don't include a 4-fingered mouses hand in my pocket.

 

[DizBub]

If DVD decides to no longer offer the AP discount there is no need for me to add on and limit ourselves to stays on property. That's a lot of hotel and dining dollars that are lost just to make up for the little they discount the AP. makes no sense to me.

I completely agree with this. We were seriously looking to add 150 more points to our existing 470. The parks are so crowded and the planning has gotten out of control but we still go and spend a lot of our time and money at
WDW. While we really enjoy the resorts we still like to pop in and out of the parks. APs and PAPs have been a real asset even though the prices for those increased significantly.

I have 3 trips booked in the next year, the first 2 of them will be covered by the PAPs we activated last June. If the DVC discount goes away I see us just using our RV more often and going other places. Their loss if many others do the same.

 

[Littlelulu01]

This would likely not be DVC's decision. They have to negotiate with the parks department. If the parks department doesn't want to offer it, DVC's hands might be tied.

Which also makes no sense why parks dept would not want to negotiate a deal. Lets say the deal negotiated is 4 day one park per day for $199. Even the person who has enough points for a week may very well just do the $199 deal and then do two or three days at Universal thus losing out on a lot of disney parks revenue.

By offering the DVC owner an AP discount they essentially keep them in the Disney bubble. Big risk to take for both DVC and Disney Parks dept to let those $ go to Universal.

Our trip last year we spent equal $ at Disney and Universal. With the AP discount we were going to skip Universal for the three trips in one year. Without the incentive on the AP's we might as well go stay at Lowes and do Universal with on site perks.

My three trips in one year plan is not till 2016 but if Disney starts discontinuing AP perks, my decision to notpurchase more points or poly points will occur in 2015 because of 11 month booking window.

 

[RachaelA]

Well then we definitely won't be adding on!

I guess only time will tell if this rumor actually pans out.

 

[chateau]

When we have an AP we tend to make cash reservations also, as we run out of points. No AP discount= no extra trips. Where did this rumor start anyway?

 

[Judique]

The parks are the reason that DVC can sell the product it sells, for the price it can get. Viewed strictly as timeshares---not as Disney resort hotels, but timeshares---DVC resorts are for the most part expensive and poorly equipped vs. other name-brand alternatives.

Absolutely correct.

The problem arises when we get the 'been there, done that' syndrome.

After more then 20 years of Disney Parks, I could care less about the Parks for the most part. It comes down sometimes to do I want an AP so I can drop over to Epcot to get some caramel corn in Germany and a pleasant walk around World Showcase. Or I take a morning trip over to AK to see the Gorillas. I'm certainly not willing to pay the going rate for that.

The $500 price point is my limit at this time. I can do 2 trips on the AP for roughly $250 a trip - trip being 2 weeks - and I don't feel bad if I only walk around the parks 4-5 times.

The other part for me is that I do my 2 weeks on about half my points and rent the rest or give them to family. So other then the initial buy in which was very cheap for me, I'm rolling along at a very low cost. Years ago I went 3 to 5 times in a years time. Now - I have other things to do and Disney has only held my interest as a warm and familiar place in winter and the occasional food and wine or flower and garden visit.

So I would easily not buy the higher priced AP and would dig out one of my 10 day no expiry and use very little of it on any trip.

 

[disneynutz]

I believe that early when DVC was first started, free annual passes where included with a membership purchase. That perk ended and we all still bought.

No different now if the AP discount perk were to end. Some might sell their contract to fresh buyers and new owners will still buy.

A perk is a perk and we are reminded of that fact often with DVC for a reason, they can change the perks at anytime.

Bill

 

[jodifla]

I'd be surprised if this perk ended, although I wouldn't be surprised if it was tweaked.

A couple of years ago, the "sure" rumor was that DVC would no longer get parking included and would have to pay the daily fees. There was a long thread about that.