Looking at this forum...Disney got what they wanted by removing perks

[theyoungs07]

I've been lurking/researching DVC for over a year now and I'm amazed that according to what you see on these boards, Disney got exactly what they wanted by removing the perks from resales.

Before this change, did anyone ever say "I bought/am buying resale and will add on a 25pt contract direct"? Nope, now you see it in almost every thread about buying. They're going to get more of the pie, with a simple and relatively small change.

I personally will probably do the same since at some point I'll be buying 8-11 APs if we try to go yearly, the AP discount may pay for my direct add-on pretty quickly.

 

[disneynutz]

Disney has reasons for everything that they do, even at the expense of their customers and guests.

Bill

 

[Tardisblue]

Just closed on a 200 point resale contract at BWV this week and already thinking about a 25-50 point add on...

 

[Minniesgal]

I can't imagine selling 25 point contracts being a key objective for Disney. It's probably a nice bonus but seems like Poly sales are well behind projections so they will be more interested in big point buyers

 

[ScubaCat]

I can't imagine selling 25 point contracts being a key objective for Disney. It's probably a nice bonus but seems like Poly sales are well behind projections so they will be more interested in big point buyers

I agree completely. Individual 25 point contracts are barely worth their time. The reason is to help sell new properties. THAT is where they make their money.

 

[theyoungs07]

Bah, any company that sells stuff has the same goal...increase profits by selling more...it doesn't matter what.

IT's like saying Ford doesn't want to waste it's time selling parts/services.

They have people who were 100% sold on buying resale seriously thinking about buying at least some direct. Many would have never entertained the thought.

 

[Minniesgal]

To be honest I still question the logic of spending $4000 to save $100 or so on annual passes especially if the 25 are the only points held at a particular resort thus meaning home resort advantage worthless.

I'm not saying disney selling 25 point contracts isn't a nice bonus for them I just can't see it being a primary objective of the change.

They are after that family who is looking to buy 250 or so for their annual week.

 

[Minniesgal]

Bah, any company that sells stuff has the same goal...increase profits by selling more...it doesn't matter what.

IT's like saying Ford doesn't want to waste it's time selling parts/services.

They have people who were 100% sold on buying resale seriously thinking about buying at least some direct. Many would have never entertained the thought.

But it absolutely matters how quickly which is why i think 25 point contracts are probably a distraction and a bit of a nuisance.

 

[ziravan]

FWIW, the last 3 months Poly sales are most likely more than on track. They were selling 75-80 thousand points a month.

Now they're selling 130-140 thousand.

But. They don't seem to be selling direct at the expense of resale. No.

3 months ago they also discounted new points from about $170 to about $155/point. The 25th anniversary discount was so effective they created a similar discount and extended it to Oct.

Poly at this rate is on track to sell out about the time VWL2 opens.

 

[ScubaCat]

To be honest I still question the logic of spending $4000 to save $100 or so on annual passes especially if the 25 are the only points held at a particular resort thus meaning home resort advantage worthless.

To be fair, it's $200 apiece you save with the gold pass. Nevertheless, the most important factor is that any perk, including the annual pass discount, can be removed at any time for everyone no matter how or where you acquired your contract(s).

 

[Dean]

To be honest I still question the logic of spending $4000 to save $100 or so on annual passes especially if the 25 are the only points held at a particular resort thus meaning home resort advantage worthless.

I'm not saying disney selling 25 point contracts isn't a nice bonus for them I just can't see it being a primary objective of the change.

They are after that family who is looking to buy 250 or so for their annual week.

If one is buying a sufficient sized contract and can plan that into the package it's not a big difference. And while in a sense it is $4K for the relatively minor savings (variable from one family to another), the extra points do have value as well. I'd recommend it partly because you never know what's the future will hold for such additional changes.

 

[ziravan]

DVC hasn't gotten what they want out of the perks restrictions and they never will.

What they want is to sell 100k plus points each month for $170, $180, $200/pt.

They're selling that many points now, but they had to discount into the 150s per point to do it.

No. DVC is never going to sell 120k points a month at $200/pt by cannibalizing it's brand.

No.

But.

If they ever decide to capitalize on their footprint and actively market their product to 20 million gate crossers per year, they could reach that goal.

Disney's best kept secret?!? Pffffft. When they decide DVC should be Disney's best promoted product, then these perk restrictions will seem "Mickey Mouse."

 

[ziravan]

For example, every single entrant at EPCOT should know there's a private lounge for DVC members.

There should be a huge sign with a DVC booth underneath at the front gate just past bag check that says

"DVC Members*!!! Your Private Lounge is Open in the Imagination Pavilion!

Come Cool Off!
Get a free Drink!
Recharge your phones!
Let your kids relax in our play zone!

Welcome Home!


*Ask Here How You Can Become a Member, Today!"

 

[Dean]

DVC hasn't gotten what they want out of the perks restrictions and they never will.

What they want is to sell 100k plus points each month for $170, $180, $200/pt.

They're selling that many points now, but they had to discount into the 150s per point to do it.

No. DVC is never going to sell 120k points a month at $200/pt by cannibalizing it's brand.

No.

But.

If they ever decide to capitalize on their footprint and actively market their product to 20 million gate crossers per year, they could reach that goal.

Disney's best kept secret?!? Pffffft. When they decide DVC should be Disney's best promoted product, then these perk restrictions will seem "Mickey Mouse."

But each limitation on resale will potentially move them closer to this goal.

 

[ziravan]

But each limitation on resale will potentially move them closer to this goal.

Maybe. I truly believe that direct and resale are separate markets.

I bought BCV resale because the direct market didn't meet my needs.

I bought Poly direct because the resale market didn't meet my needs.

I don't think it does move them closer to their goal. In fact, I think any gain is offset by the goodwill they've stabbed, shot, and drowned.

In any case, why all the effort to move an inch when they could move a mile?

The restrictions are short-sighted.

 

[Dean]

Maybe. I truly believe that direct and resale are separate markets.

I bought BCV resale because the direct market didn't meet my needs.

I bought Poly direct because the resale market didn't meet my needs.

I don't think it does move them closer to their goal. In fact, I think any gain is offset by the goodwill they've stabbed, shot, and drowned.

In any case, why all the effort to move an inch when they could move a mile?

The restrictions are short-sighted.

I think that's true for an extremely small group of people. Sure resale restrictions, retail prices, etc will drive some away but it will also move a number to retail with an almost certain and significant net gain. If the goal is to increase the number and % that will go retail and profits then it will be effective. There are many other things they can do to further move the needle including more aggressive sales strategies and further restrictions. IMO the good will or integrity issue is more hype and fantasy than reality but a significant portion of any changes can be done within a reasonable definition of integrity and good will. And they will never be able to meet the definition of that issue with the entitlement crowd as we see proven routinely here on DIS. Members and potential members have pretty much proven already they're sheep being led to slaughter. I'd estimate that less than 10% of people who say "I wouldn't have bought if, or I will sell if" will end up a member or remain a member and the more forcefully they proclaim it the more likely they will not be in the 10%.

 

[_auroraborealis_]

I think DVD got greedy.

"Look, DVC at one of the most beloved classic Disney properties! If VGF and BLT sold like they did, people will pay +$$$+ for Poly!"

"Oh, and people love studios, they're always the first booked! Let's make it all studios!"

Because of the combo of price + unit type, we can't isolate which factor is more of an issue, although I would suspect if the price were better it would sell faster even with all studios.

 

[supersnoop]

To be honest I still question the logic of spending $4000 to save $100 or so on annual passes especially if the 25 are the only points held at a particular resort thus meaning home resort advantage worthless.

To be fair, it's $200 apiece you save with the gold pass.

And it's not $4,000. It's must closer to a $1,250 different on a 25 point contract.

For example, every single entrant at EPCOT should know there's a private lounge for DVC members.

I don't think promoting a lounge that's only going to be open for 6 more months is a really good sales tool.

 

[Minniesgal]

Yes, yes it does. It was peaceful until..... Oh the guy opened fire

And it's not $4,000. It's must closer to a $1,250 different on a 25 point contract.

I don't think promoting a lounge that's only going to be open for 6 more months is a really good sales tool.

It's only $1250 if you were actually going to be buying another 25 points anyway. Not if you buy an extra 25 on top of what you would have bought.

 

[ScubaCat]

I don't think it does move them closer to their goal. In fact, I think any gain is offset by the goodwill they've stabbed, shot, and drowned.

In any case, why all the effort to move an inch when they could move a mile?

The restrictions are short-sighted.

I think the "to sell more points direct" is a bit misguided. Yes, it may help direct sales marginally, but the real reason is cost. Incidental benefits are paid for by DVD, not membership dues. Why spend money marketing to resale buyers? What's their incentive? Sure they still make money on gold annual passes, and the miniscule merchandise discount may or may not generate more sales, but things like the lounge and special events at TG, MK, AK, etc. definitely cost money. I can see why they wouldn't want to comp that stuff to resale buyers. Ultimately it's a business calculation and DVD felt that this was the best policy for their business.