Possible fallout from Brexit for Disney

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gEar up

Earning My Ears
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Feb 28, 2014
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My initial thought is simply, Disney Vacations will become much more expensive for our British cousins to take since already the pound is down 11% in off hours trading against the dollar with this vote.
Anyone have the gouge on how much of Disney's numbers are driven by UK residents? I know it's substantial, and Florida tourism in general has benefitted from a strong Pound. I wonder how this will trickle down through bookings, DVC ownership, etc?
I have more questions than answers, just curious what others might think. How say you?
 
I have a feeling with the pound down and Central America in a collapse as well that we are going to see an interesting time at the parks. It will be the first time in a while the domestic parks may have to rely just on the domestic bookings to keep it full. It also may mean that UK clients see even better discounts then they currently get.
 
Okay I tried to do some reading up on the subject and honestly I still don't understand it.
The UK has voted to leave the European Union, which has resulted in a sharp downturn in the exchange rate of the British Pound, plummeting to lows not seen in 30 years. Typically, 1 UK Pound was worth $1.50, which means that $3 soda only cost someone from Leeds/Manchester/London/Glasgow/Belfast 2 pounds. They typically could get great deals based on the purchasing power of their own money. As for right now, that power is down almost 40 cents, almost 30%. It could lead to shorter vacations/cancelled vacations/less add-ons, yadda yadda.
 

It will be interesting to see what happens. I remember being surprised at the number of WDW ads we saw on our London trip a few years back.
 
The GBP has rebounded some this morning but it will be interesting to see what happens as the US markets come online.
 
I would expect a fall in UK visitors in 2017 as those who had been considering booking between now and Christmas reconsider their financial situation
 
Well, it seems like the downturn in the Brazilian economy has negatively impacted travel to Disney from there so i expect the same

There is some thought that investments could shift to safer areas, including the US which could cause US treasuries to rise and interest rates and the economy and also inflation - so long of the short, prices could rise here too
 
There will probably be a downturn in guests from the UK over the coming year or 2 just due to the financial uncertainty of it all. And economically, who knows how this whole thing will end up. If it ends up being really good for the UK, other countries may follow suit which would result in the EU basically dissolving. If it ends up being really bad for the UK, the UK may break-up as parts want back into the EU (There has already been a call for a vote for independence for Scotland ...and I've heard rumors of Ireland too? A united Ireland? DId anyone who lived through the 70s or 80s think they'd ever see that?! But maybe that is sensastionalist reporting)
 
Will it have a bigger impact on DCL? They are already high, and I've heard that some of the other lines price in the UK currency directly, so the rate fluctuation doesn't hurt as much.
 
So big shot bob lost $3.30 of his prized stock price today...no shock there as the Brits took a similar sized bite out of everyone almost across the board.

The whole thing is laughable...like the US election cycle...

The blind leading the blind...and then pulling out guns and shooting each other.

And the Scottish First minister of course called for an independence vote this morning...and Northern Ireland now moving towards Irish unification.

Wonder what the welsh will want?

Rule, Britannia!! Act like you control things like you did in 1850...

Anyone thinking they can move away from further integration in the "global" economy shall do so at their peril...we're all in this cheap labor, low quality mess together, baby...

...now back to Disney.
 
In my opinion there is so much going on that everything is impacting disney and you can't really point at one specific thing...

1: prices keep going up
2: SURPRISE! no more osbourne and people came running down not expecting to visit last fall and now not visiting this year
3: Some economies downturning (brazil, AU, NZ and others now including UK).
4: pandora is coming soon so people deciding to save more money and not come right now. This will continue for starwars land and toy story land.
5: universal is starting to become a destination instead of disney. I know die hards that right now, its all about universal and then day trip to MK 1 day.
6: universal's new "water thing", I hate to say it but them advertising it a year early is actually a hurt disney move. People now want to wait for this AND pandora to open before coming back or skipping a fall trip.
7: Rivers of Light didn't open (and not sure it's enough of a draw to get them down for just this when again, pandora is right around the corner and if you delay a few more months you can get a good 3 days at universal at the same time for their new things)

The parks are crowded but not last year crowded right now. It's down.. down to the point that the big try the food and wine food is months before food and wine opens.
 
In my opinion there is so much going on that everything is impacting disney and you can't really point at one specific thing...

1: prices keep going up
2: SURPRISE! no more osbourne and people came running down not expecting to visit last fall and now not visiting this year
3: Some economies downturning (brazil, AU, NZ and others now including UK).
4: pandora is coming soon so people deciding to save more money and not come right now. This will continue for starwars land and toy story land.
5: universal is starting to become a destination instead of disney. I know die hards that right now, its all about universal and then day trip to MK 1 day.
6: universal's new "water thing", I hate to say it but them advertising it a year early is actually a hurt disney move. People now want to wait for this AND pandora to open before coming back or skipping a fall trip.
7: Rivers of Light didn't open (and not sure it's enough of a draw to get them down for just this when again, pandora is right around the corner and if you delay a few more months you can get a good 3 days at universal at the same time for their new things)

The parks are crowded but not last year crowded right now. It's down.. down to the point that the big try the food and wine food is months before food and wine opens.

...all interesting points.

Anyone notice the airline troubles? Depressed fares (relatively speaking) and last minute availability?

Not seen since the 90's
 
This event will trigger more & more. The EU could very likely dissolve. Experts claim that US could experience worse impact than the 2008 debacle, as this is already grossly impacting the big banks.
It 's hard to believe that travel to Disney won't be impacted in some way.
 
This event will trigger more & more. The EU could very likely dissolve. Experts claim that US could experience worse impact than the 2008 debacle, as this is already grossly impacting the big banks.
It 's hard to believe that travel to Disney won't be impacted in some way.

When world economies get a cold...Florida gets the flu (adapted saying for the purpose at hand)

We are again in a trumped up bubble
World...US real estate is overvalued again, debt is climbing again at historic levels, and the "college" bubble is going to wreck the place like a hurricane.

People have just been living it up in this "good" time...the cycle will never be broken...

Not until we stop printing money...nuclear winter type scenario then.
 
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