DVC Revenue for July 2019

[mustinjourney]

If anyone ever wonders how much revenue DVC is producing -- here it is in a quick table for July 2019.

Riviera accounts for roughly 50% of direct sales, with CCV still churning out about 29% even though it is "sold out." The values will be a little high for Riviera since the numbers don't account for any developer discounts -- but the overall trends are there. What is interesting is that the sold out resorts still brought in about $7 million for the month of July. When you consider that those properties are likely getting sold over the phone as add-ons to existing members and therefore don't require much effort (no picking up or driving people around on property for a sales tour) -- that has got to be a nice profit center.

	# POINTS	COST PER POINT	Revenue	%
AKV	7338	176	$ 1,291,488.00	3.4%​
BCV	1027	225	$ 231,075.00	0.6%​
BLT	1720	225	$ 387,000.00	1.0%​
BRV	35	176	$ 6,160.00	0.0%​
BWV	2356	190	$ 447,640.00	1.2%​
CCV	52837	210	$ 11,095,770.00	28.8%​
HHI	1380	121	$ 166,980.00	0.4%​
OKW	11648	156	$ 1,817,088.00	4.7%​
PVB	2186	235	$ 513,710.00	1.3%​
RVA	108675	188	$ 20,430,900.00	53.1%​
SSR	7642	160	$ 1,222,720.00	3.2%​
VB	365	110	$ 40,150.00	0.1%​
VGC	0	260	$ -	0.0%​
VGF	3376	245	$ 827,120.00	2.1%​
			$ 38,477,801.00

 

[mustinjourney]

And here's the same chart from July 2018.

Two things jump out -- total revenue went from $25 million in 2018 to $38 million in 2019. Obviously, prices went up across the board (except at VB) -- but the increase is also attributable to a 38% increase in points being sold overall (200,500 in 2019 vs 145,000 in 2018).

Some of that is having CCV and RVA as direct options -- but they also sold more at the sold out resorts in 2019 compared to 2018...despite having one of the largest price increases year over year. In 2018, they sold about 32,000 points direct and in 2019 that number was about 39,000. The largest increases in sold out resorts as a percentage were HHI, AKV, and OKW.

BLT, BRV, PVB, and VB all saw decreases YoY.

	# POINTS	COST PER POINT	Revenue	%
AKV	3811	165	$ 628,815.00	1.6%​
BCV	750	165	$ 123,750.00	0.3%​
BLT	2839	185	$ 525,215.00	1.4%​
BRV	359	165	$ 59,235.00	0.2%​
BWV	1957	165	$ 322,905.00	0.8%​
CCV	113540	176	$ 19,983,040.00	51.9%​
HHI	690	115	$ 79,350.00	0.2%​
OKW	6239	145	$ 904,655.00	2.4%​
PVB	4809	176	$ 846,384.00	2.2%​
SSR	7174	145	$ 1,040,230.00	2.7%​
VB	710	115	$ 81,650.00	0.2%​
VGC	0	185	$ -	0.0%​
VGF	2302	185	$ 425,870.00	1.1%​
			$ 25,021,099.00

 

[karen4546]

We were offered Copper Creek when we bought in April. We only wanted AKV and it just so "happened" that they just got 5000 points back from a member. We only bought a measly 100

 

[mustinjourney]

I have a feeling that the larger numbers of direct sales for the sold out resorts has to do with Disney instituting the change earlier this year that allowed them to alter the UY on contracts. If that is the case, then these numbers "should" settle down to a more consistent level.

 

[mustinjourney]

We were offered Copper Creek when we bought in April. We only wanted AKV and it just so "happened" that they just got 5000 points back from a member. We only bought a measly 100

wow -- and to think it likely didn't take them more than 30 days to flip all 5000 of those points.

 

[karen4546]

wow -- and to think it likely didn't take them more than 30 days to flip all 5000 of those points.

wow -- and to think it likely didn't take them more than 30 days to flip all 5000 of those points.

agree. my next purchase will be resale. Hopefully, 175 points for same use year for $100/point - finger's crossed

 

[rspencer38]

Out of curiosity, where do you find this information?

 

[The Jackal]

I’m a little surprised how much OKW is getting sold and I would have thought BLT would be higher. Since they seem to be taking a lot of those contracts lately. No real surprise that the big 3 resorts lead the sold out resorts. How come no AUL on the lists?

 

[mustinjourney]

Out of curiosity, where do you find this information?

I got # of points from another website -- but you can pull the information from the orange county deed search if you wanted to build the data yourself. The revenue is just # of points multiplied by the current direct pricing.

 

[mort1331]

Biggest shock for me was the direct cost YoY for VGC 185 to 260 but no points sold. I know its a very small resort.

 

[disney junky]

This is fascinating information. When we bought BWV in 2003, we didn't realize it was a sold out resort. We were so naïve. Our guide had to "find" points for us. But she did and we did.

 

[KAT4DISNEY]

Biggest shock for me was the direct cost YoY for VGC 185 to 260 but no points sold. I know its a very small resort.

It's not easy to get that information online from CA so nobody reports on sales there. I'm sure there have been sales but this information is being obtained from county records not DVC. Aulani has also been reported on sporadically over the years because of Hawaii's online records.

 

[_auroraborealis_]

My guess on the Big 3 is that they're also the cheaper direct on-site resorts. I have seen on Purchasing, and on other boards, when people express concern about either price or resale on Riviera, a couple of the guides are pushing SSR, OKW and AKV, which just happen to be the lowest cost on-site resorts right now direct.

Helps that they're big, sure, but my guess is more of it is price-oriented.

As far as VGC, my understanding is that they don't do a lot of ROFR because they would have to deal with California regulatory issues doing so. Futzing around with the OC property search for August 2019, there are 32 filings featuring DVD as Grantor, and only 7 aren't self dealing (ie, the Grantee isn't also Disney).

 

[DisneyisaBLAST]

So no sign the resale restriction is negatively impacting Riviera sales? Is it too early to conclude we should settle in to this as a new normal and expect these restrictions, and possibly more, moving forward?

 

[Bing Showei]

So no sign the resale restriction is negatively impacting Riviera sales? Is it too early to conclude we should settle in to this as a new normal and expect these restrictions, and possibly more, moving forward?

As consumers we are cursed (blessed?) with short term memory, and in five years, as Disney’s coffers fill with the profits from new Riviera owners, the idea of buying a resale contract to stay anywhere you want will be relegated to the past along with free valet parking and free park admissions.

I’m not suggesting that losing perks is on par with the latest ownership restrictions (in terms of scaled impact), but the initial shock and outrage is not dissimilar, and as it has in the past, it will subside, we will continue to consume, and Disney will continue to test membership tolerance to make sure they’re not leaving any money on the table.

While I hope I’m wrong, just this past January, Disney‘s restriction announcement should have affected resale values as that resale SSR contract with 35 years of RTU looks very different suddenly post-2042. Yet resale prices continued to climb to all time highs and Riviera, which is unprecedentedly more restricted, continues to sell at a clip. That doesn’t bode well for seeing a reversal, and in fact, the case could be made that Disney is nowhere near how restrictive they can be before affecting sales.