Also so if Disney didn't do FD you wouldn't go?
That is correct.
We come all the way from western Canada each December for a winter vacation. We come for 2 weeks, not 3,4,5 days like alot of people on DIS that live closer or can get there with quicker/cheaper flights.
The flights cost around $2k just to start things off and it takes an entire day to get there. So anything short of 10 days isn't worth it.
Much like everyone else on here I feel the current "Rack Rate" for a WDW vacation of that length is too high. The value at full price for onsite room, tickets, food, etc just isn't there. At that price I can go elsewhere. For example you can book a room up the street at UO in a deluxe resort using there "Stay More Save More" promotion which gives 35% discount for stays over 7 nights and by annual passes for around $300 a piece. I also find that for the most part food at the Citywalk TS restaurants is cheaper than WDW. So without FD a trip like this for us would be about $3k-$4k cheaper for two weeks than a Mod resort at WDW. And we'd be staying at a deluxe resort with unlimited Express Pass. Factoring in everything I stated and WDW has priced themelves out of the my market.
Here's how I find the value to go to WDW instead of UO or somewhere else. I'll use our last trip as an example.
14 days (Dec. 12th-26th, 2014)
CSR Business Class room, myself, DW, DS (19 at the time)
10 day tickets with Hoppers and water parks/more
Free dining
Pkg was about $6100.
For those that don't know you get breakfast in the BC lounge at CSR with a Business Class room.
We ate roughly $2500 of food (Disney prices) on that FD plan.
Ordered some bottled water from GG.
Between the refillable mugs, bottled water, snack credits, and drinks available at the BC lounge, I don't recall paying for any drinks above and beyond that.
Arguably there is more to do at WDW than UO. I won't get into the debate of who has better attractions, but with all that WDW has to occupy your time on it's 46 sq mile property it is more. So that is worth something. When I factor in the fact that pretty much all our food for 2 weeks was included in that $6100 than that is good value. If we had to pay for our food on top of the $6100 at WDW prices than it isn't good value anymore. When you factor in the food and drinks from the BC lounge there was probably close to $3,000 of food consumed over 14 days.
Yes you could eat for cheaper, by cutting out some TS and adding QS, pinching the pennies a tighter, etc. But I love not having to worry about that as I spend my food credits on whatever i want. Using the RO discount and paying for our food would not have saved anything and would have decreased our enjoyment by feeling guilty about ordering that steak.
As for fountain drinks going up 20 cents, it just doesn't factor into the equation for us. We've done enough of this trips to predict with $100 how much the grand total will be. We add it up and see if it's worth it for us. I look at the total, doesn't matter about the individual pricing, it's just the total spent for us.
Hope that makes sense.