It really didn't fit the way we were eating last trip either. There were some days where we just weren't hungry enough to eat lunch or dinner, but because we've already paid for them we felt like we HAD to eat them. Whereas if we paid OOP we could skip the meal, have a snack instead, or have something in our room when we got back. That would, I think, save a ton of money, stress, and belly aching of the literal and figurative type.
And when I did the math I had us eating breakfast in the room unless we have a character breakfast (which is what we normally do) and one TS and one CS per day on average. On average because I'd rather eat at two TS restaurants at Epcot and two CS restaurants at MK. So I'd probably save even MORE money that that $1K because I didn't account for meals we'd likely skip due to simply not wanting to eat them!
Glad that you found this out
. It's always best to do what works best for you, rather than trying to fit your trip into one of Disney's plans.
I toiled for awhile over the math before last year's trip, and with what I wanted to do, I did see that I'd be coming out ahead on DxDDP. During the trip, I input the actual amounts into the same spreadsheet, and by day 7 of my 9 day trip, I had broken even and then some (I stopped at that point ><). The difference between what I'd do OOP and on DxDDP was in the range of $250, which I felt was worth it for the enhanced experiences I'd be doing on Deluxe.
The dining plans are way overrated IMO and have diminished the dining experience at WDW since they was introduced. We have never used any of the plans and have never spent as much money on food as we would have to if we had the DDP. Glad you found a better alternative. I'm amazed at how many people swear they are getting a deal with that plan. I personally think it's way too much food, way too many cheap desserts, and just not worth the time.
I say it all the time, the plans work if, and only if, you already plan on dining (at least almost) that way to begin with. If you are booking and eating just to burn up credits, then you're letting the plan take control. In other words, pick the plan that fits your trip, rather than fitting your trip to the plan. They do work well (especially DxDDP) if your trip is already aiming in that direction, not so much if it's not your style (which is absolutely fine!)
As I mentioned above, math is really needed now a days to figure out what is the best deal, and that does include comparing different itineraries. Would you get dessert if it wasn't included? If not, then it's not really a savings. However, there's a point where experience trumps raw numbers. Would you prefer to get a dessert, but you normally wouldn't simply due to cost? If so, add that dessert to the savings.
I think a lot of the real proponents of the different plans really try very hard to get that point out to people as well (ok, not the "official" proponents, but those on boards like this one). I know more than a few of us here try to use the reality ("Are you really going to eat that?") rather than just the potential savings to steer people in the right direction.
For myself, both last trip (that I mentioned above) and this trip, I know that DxDDP is saving me over what I'd do on the same exact schedule. I could get off for quite a bit cheaper (~$350 this year) if I went full OOP, but I'd also be missing out on quite a bit (my OOP itinerary this year was a bit more frugal than last year's). Once again, I believe that the extra $350 is worth it for the upgraded experiences (my DxDDP should be costing me around $1000 total (incl. tips and extras), if I went OOP on that schedule, I'd be paying ~$1,146 incl. tax and tip).
Regarding quality, I believe that the decline in quality and the dining plans are both effects rather than the plans being the cause. The cause of reduced profitability suggested that Disney increase volume, the effect of this was the dining plan. The profitability was still too low (in their eyes), so they cut back on the entitlements (loss of app and tip on DDP) and trimmed the fat off their menus (loss of some of the more "exotic" dishes) and ingredients (general reduced quality all around).
Of course, that's my personal speculation and since I was not around Disney for 17 years, it's simply based on anecdotal evidence ("Pre-DDP I could just walk in anywhere I wanted" suggests low volume), logic ("What would I do if I were faced with low profitability from restaurants?" "Try to get more people in the seats"), and my speculation (combining the two above, as well as treating quality as the "last resort"). I do understand that some restaurants did cut back based solely off the dining plans (I know San Angel was complaining of this and pointing to the reason their quality took a dive a couple years ago), but again, faced with walk-in status 90% of the time, they'd likely be doing the same cutbacks anyway (no increased volume means they'd have to cut elsewhere).
The sad fact is that the end result is the same though, and I think we can both agree on that (it's just the route it took to get there that differs). We now have super-busy restaurants with less than stellar quality (although, from my own experience, I have (almost) no complaints).
At any rate, I'm chatty today, so apologies for the huge block of text there
. I guess it's just my long winded way of saying "Do the math!", "The plans CAN work", and the strange need to get my personal speculative beliefs on the perception of reduced quality, and actual reduced offerings in the restaurants.
, just so I can eat at some restaurants that are not on the DDP. Besides wanting to eat at restaurants that do not accept the DDP, my problem is that neither the DDP nor the DxDDP really fit the way I eat. I'm not much of a snacker so always have snack credits left over to use up on my last day. I like very few CS restaurants, really preferring to relax in a TS, but the DxDDP is too much. I'm not a breakfast eater, but do not want to have to eat at a signature restaraunt every night just to use up the credits plus some meals I'd just rather have two appetizers rather than an appetizer and an entree. 
I'm leaning toward just using my AP discounts where I can and not worrying about the rest of them. I refuse to skimp when I'm dining out on vacation and plan to order whatever I'm in the mood for. I've been using the DDPs so long that I don't even look at the prices. Paying OOP I'm afaid I might be tempted to.
)...that leads me to the DlxDP once again. 
