How much is the lack of AP sales affecting DVC?

[Brian Noble]

Parks, Experiences & Products revenue for quarter ending in December:

2019: $7.4 billion
2022: $8.7 billion

To be fair, $1 in 2019 is worth $1.18 today. So, in constant dollar terms they've actually dropped a smidge from pre-pandemic. At best they are flat.

But flat beats losing in an inflationary market.

 

[BWV Dreamin]

In 1Q 2023 (October - December 2022), revenue was up 21% and profit up 25% over the prior year. The parks made more money in those 3 months of '22 than the same period in 2019 pre-pandemic.

I realize that sounds very clinical and doesn't take into account Disney's "core" customers, good will, etc. But hypothetical losses in business don't really matter until they matter. All we have are anecdotal stories from people who claim they've reached their breaking point. In truth, WDW has weathered decades of individuals reaching their breaking point because there are always others ready to fill the void.

Arguing that this is the one time these things finally matter is...difficult.

Well we will never get the real satisfaction survey results from Disney. Other than DVC’rs, I have yet to have anyone personally Tell me they can’t wait to go back, or are even going back. The customer experience is gone.

 

[Brian Noble]

So all those people are first-timers, I guess.

 

[BWV Dreamin]

Parks, Experiences & Products revenue for quarter ending in December:

2018: $6.8 billion
2019: $7.4 billion
2021: $7.2 billion
2022: $8.7 billion

Compared to what?

 

[HIRyeDVC]

Well we will never get the real satisfaction survey results from Disney. Other than DVC’rs, I have yet to have anyone personally Tell me they can’t wait to go back, or are even going back. The customer experience is gone.

We're going back in August. I for one can't wait to go back. And it's in AUGUST!

 

[BWV Dreamin]

We're going back in August. I for one can't wait to go back. And it's in AUGUST!

You have a lot invested. I would think you would want to go back.

 

[tidefan]

We're going back in August. I for one can't wait to go back. And it's in AUGUST!

Ha! We’ve gone your way! Skipping the parks and visiting Aulani more!

 

[tjkraz]

Compared to what?

Not sure what you are asking. That is an illustration of revenue generated by the Disney theme parks over a span of 5 years (less 2020, which I didn't bother to look up due to the pandemic.)

Bottom line: October - December 2022 the theme parks generated more revenue and more profits than even before the pandemic. Yes higher prices are certainly playing a factor. That's neither here nor there. The parks are making more money than ever before.

 

[HIRyeDVC]

You have a lot invested. I would think you would want to go back.

totally true. but it still costs me a lot to go. airfare from hawaii, tickets for 10 days, and food for 2 weeks. I can easily rent my points and go to Tahiti, probably for half the cost. But Mickey isn't in Papeete'.

 

[BWV Dreamin]

Ha! We’ve gone your way! Skipping the parks and visiting Aulani more!

Yes I have an Aulani trip planned for 2024!

 

[HIRyeDVC]

Ha! We’ve gone your way! Skipping the parks and visiting Aulani more!

Yes! We love Aulani. It's where we go for a "cheap" vacation. But more than that, it's truly a resort like any other. I love owning points here too. BTW, roll tide.

 

[BWV Dreamin]

Not sure what you are asking. That is an illustration of revenue generated by the Disney theme parks over a span of 5 years (less 2020, which I didn't bother to look up due to the pandemic.)

Bottom line: October - December 2022 the theme parks generated more revenue and more profits than even before the pandemic. Yes higher prices are certainly playing a factor. That's neither here nor there. The parks are making more money than ever before.

Travel is up across the board. It doesn’t mean that people are happy with their experience at Disney, it just means more people are traveling. BUT that may end soon if the fed gets their way and gets that recession.

 

[Sammie]

Well we will never get the real satisfaction survey results from Disney. Other than DVC’rs, I have yet to have anyone personally Tell me they can’t wait to go back, or are even going back. The customer experience is gone.

You must not follow any of the resort groups or pages. Lots of people going, lots of return trips. I think those dissatisfied want others to agree with them. Some will, but many aren't. The parks are packed.

 

[HIRyeDVC]

The parks are packed.

This is what I've been saying! The parks are packed! What part of this is telling people that people hate going to Disney? It's as if people want OTHER people to stop going to the park, so they can go to the park themselves with less crowds. It's never gonna happen. The parks will ALWAYS be full. ok. I'll get off my soapbox now.

 

[HIRyeDVC]

BUT that may end soon if the fed gets their way and gets that recession.

Feds only raised a quarter of a percent. Many are predicting the Fed is done raising rates. I for one would like the Fed to just rip off the band-aid already. This "soft landing" is driving me nuts.

 

[BWV Dreamin]

Feds only raised a quarter of a percent. Many are predicting the Fed is done raising rates. I for one would like the Fed to just rip off the band-aid already. This "soft landing" is driving me nuts.

Yes says he will only raise rates one more time this year. There are other factors playing into this. There are some banking issues they need to deal with, and further rate increases may just push that over the top.

 

[BWV Dreamin]

You must not follow any of the resort groups or pages. Lots of people going, lots of return trips. I think those dissatisfied want others to agree with them. Some will, but many aren't. The parks are packed.

TBH no I don’t follow those boards.

 

[Lumpy1106]

APs do not affect us. We bought resale so we weren't eligible anyway.

My theory;
We bought DVC because we were going to WDW about once a year for a week each trip, and felt like we really were getting something special staying on-site. So much so that, why not buy DVC if we were coming that often and always stayed on-property? Now the on-site perks are a fraction of what they were, staying on-property isn't really worth the premium $$$. Not sure how much longer we'll keep our DVC contract, but I do know for a fact that we would not be buying into DVC now, given the current state of staying on property. That fact has a lot more to do with the current dip in DVC than the APs IMHO.

 

[ILoveMyDVC]

I think it is a big factor. I also think this year's large increase in dues for those of us with high point totals (1600+ all at OKW) is contributing to the resale market.

 

[tidefan]

APs do not affect us. We bought resale so we weren't eligible anyway.

My theory;
We bought DVC because we were going to WDW about once a year for a week each trip, and felt like we really were getting something special staying on-site. So much so that, why not buy DVC if we were coming that often and always stayed on-property? Now the on-site perks are a fraction of what they were, staying on-property isn't really worth the premium $$$. Not sure how much longer we'll keep our DVC contract, but I do know for a fact that we would not be buying into DVC now, given the current state of staying on property. That fact has a lot more to do with the current dip in DVC than the APs IMHO.

You were certainly eligible to purchase APs pre-COVID. Now, for the discount, probably not, but anyone could have bought an AP.