New Members Purchase @ BLT 200PT Minimum on Jan 15,2009...

[mj2vacation]

I don't get the 'it's going to be easier at 7 months' view.

Disney has shown with AK and SSR that until they SELL the units they aren't going to put them avaialble to DVC members on points. Which for those of you buying is the way you want it. You do NOT want those in the inventory until they are sold. Otherwise the cost of maintaining them gets spread over fewer owners resulting in higher fees.

!

If a unit is unsold, the developer is responsible for the annual dues.

 

[KAT4DISNEY]

I wonder if they are increasing the BLT minimum in order to provide a better incentive to keep sales going at AKV. Considering they did a 100pt buy in at AKV that seems to be ending on Dec. 1st and that they are increasing AKV to the same price as BLT they may feel they need for a greater differentiator from the monorail resort- ie, the 100 pt add on and 200 pt buy in minimums at BLT.

People that really want BLT will still do it, people who really want AKV will do that but they may be trying to tip the scales more towards AKV for the moment.

Personally though, with the economy, I think they may see a bigger slow down in sales than expected, but of course they can always change the incentives, minimums etc.

 

[5forDiz]

minimum for new member buy-in at BLT what would be behind that "strategy" ?

....maybe

they'll soon raise BLT price per point but then will lower the minimum

number of points to buy into DVC via BLT - - and ultimately end up with

more sales when

those who decide not to buy at 200 decide they had better go for it

even at a higher cost per point if the minimum is lowered back to previous 160 or

perhaps less ?

Don't have a crystal ball, can't be a fly on the wall
but whatever Disney is thinking is intriguing

 

[KAT4DISNEY]

minimum for new member buy-in at BLT what would be behind that "strategy" ?

....maybe

And the other thought behind this is that I doubt they really want a 100 pt buy in again so if they raise AKV to 160 and it's the same price as BLT, and unless they do a huge discount then it's completely up to the individual for resort preference. AKV is larger than BLT so if you even guess it would be a 50/50 split I think it keeps AKV on the market much longer than DVC would like IMO.

Don't have a crystal ball, can't be a fly on the wall
but whatever Disney is thinking is intriguing

 

[spiceycat]

If a unit is unsold, the developer is responsible for the annual dues.

if the unit is unsold it is NOT part of the DVC inventory.

It has to be sold to be declared into the DVC inventory.

so I agree with Carol - why do you think that 7 months will be easier?

 

[BWV Dreamin]

minimum for new member buy-in at BLT what would be behind that "strategy" ?

....maybe

they'll soon raise BLT price per point but then will lower the minimum

number of points to buy into DVC via BLT - - and ultimately end up with

more sales when

those who decide not to buy at 200 decide they had better go for it

even at a higher cost per point if the minimum is lowered back to previous 160 or

perhaps less ?

Don't have a crystal ball, can't be a fly on the wall
but whatever Disney is thinking is intriguing

With this new inital buy in amount, there is a good probablity that folks will need loans for these purchases? Who is gonna finance $20,000 for a timeshare in this economy? And at what rate? Oh, I get it....DISNEY!!

 

[spiceycat]

People that really want BLT will still do it, people who really want AKV will do that but they may be trying to tip the scales more towards AKV for the moment.

you know this definitely makes sense. when talking with my guide before I brought - we talked about sales at AKV and BLT. She has no problem with finishing the sales with BLT. but lots of her clients say that AKV is just too far away.

so she has not been able to make the sales at AKV that she would have liked too.

this could encourage AKV sales. but why raise the price at AKV? - guess it goes back to wanting the same basic price at both places - no - matter how different.

 

[WolfpackFan]

It's possible that folks on the upper rungs of the socio-economic ladder aren't being impacted as badly as others in the current economy, excepting paper losses in their investment accounts.

Well, I don't know about other DVC owners, but I sure don't put myself in the "upper rungs of the socio-economic ladder". I'm retired and live on a fixed income. Maybe DVC is not for me either.

 

[theostwalts]

(has anyone noticed if the 1000 point contract has sold yet?)

Nope, it is still for sale. $80 per point for a grand total of $80,000!!!

 

[WolfpackFan]

I wonder if they are increasing the BLT minimum in order to provide a better incentive to keep sales going at AKV.

IMO this is what is causing the increase of the BLT minimum. I bet once AKV is all sold out the minimum will be reduced back to 160. Plus by announcing the increase now, it kind of forces those that are on the fence about buying to go ahead and take the plunge.

 

[CarolMN]

IMO this move makes absolutely no sense what so ever. Here we are with just about the worst economy since the Great Depression with layoffs everywhere and people cutting back in all kinds of ways and then DVC increases the buy in cost for their new resort. This is going to drastically cut sales IMO along with the bad economy. Maybe they don't want to sell units . I sure am glad of one thing, I'm not in the market to buy any more points. I'm already timeshare poor. In fact, before it's all over, I may have to end up selling one of our contracts if the dues keep going up like there are. The bottom line is DVC is no longer for everyone, it has just become much more exclusive. Evidently this is what Jim Lewis wants.

Another perspective on the pricing -

Maybe they are just thinking ahead to maximize their total profits on BLT - it's going to take a while to sell out BLT and IMHO, the economy will get better before that happens.

It is harder for customers to accept big increases all at once. So maybe the Developer is just increasing in smaller amounts now to get where they think the price should be when the economy improves.

Remember that the "list" price isn't what most usually pay. There are almost always incentives that reduce the final price. It is easier to increase and decrease incentives (and take them away) than it is to make big jumps in price.

 

[Tink-n-Belle]

They need to raise prices to set up the next DVC sales. The DVC resort in Hawaii I'm sure will require a higher point value so they are probably testing the waters with the 200 point min. Don't forget the Hawaiian resort is going to cost a lot more then the BLT as they are starting from scratch.

In addition, those going to Hawaii won't be able to book 4 nights at one resort and move to another resort on cash as easily as you can at DW. (I'm not saying it won't happen, but it won't be as easy). So anyone buying into that resort will need to buy a higher number of points to stay a week or 2.