ROFR questions (Rhyme, Reason and Strategy)

[silmarg]

How the heck would Disney know the travel history of the purchaser????

When I call to make a ressie with Disney... they know I have been there 12 times... they know when and which resort... they know the names and ages of my kids.

They know it all.

I've asked them what they have in the system.. and its pretty much spot on.

 

[carlbarry]

So you're telling me that Disney knew I stayed at Star Island in 2006, Crowne Plaza and HoJo in 2006, Ramada and Extended Stay in 2007, and Orange Lake in 2008--and that's why they waived ROFR for me? That for everybody buying resale, DVC does an extensive computer search for their vacation history? And then considers this for ROFR?

 

[silmarg]

I am not saying Disney IS doing it... I am just saying they could do it.

Now they would have no way of knowing off-site stays - unless they could link in info given during a Dining Reservation (not difficult to do as they use your phone number as an ID# for ADRs when staying offsite) or if you purchase ticket media where your name is linked to it (like an AP).

But if Disney knew you chronically stayed off site, I would think they might view you in better light to waive ROFR - as you have more potential for future revenues for Disney if you were captive (aka on-site), vs continue to visit off-site.

 

[Saratoga_Dan]

This thread is very helpful. Thank you. To everyone.

 

[carlbarry]

I am not saying Disney IS doing it... I am just saying they could do it.

Now they would have no way of knowing off-site stays - unless they could link in info given during a Dining Reservation (not difficult to do as they use your phone number as an ID# for ADRs when staying offsite) or if you purchase ticket media where your name is linked to it (like an AP).

But if Disney knew you chronically stayed off site, I would think they might view you in better light to waive ROFR - as you have more potential for future revenues for Disney if you were captive (aka on-site), vs continue to visit off-site.

That makes sense as far as "dragging in" people who stayed off site as opposed to people who already stayed on site. I just think it is far fetched that they would do such research. As for me, there is no way they could ever trace my stays, as I do not use the dining plan, nor do I see any other way except maybe somehow tracing my admission tickets, also very far fetched.

 

[minniekissedme]

I think Chic is right, I am not so sure that loaded contracts command a commesurate differential in the ROFR process. His contracts seem to point that out (and I am following his lead buying a nearly loaded 160pt SSR contract for $65 - in for ROFR as we speak).

If anyone can figure the process of ROFR out please call me with the powerball numbers tomorrow. Or Saturday. I've analyzed it multiple times and to me it's a monkey throwing darts at a board...

I never thought of it that way. But I could see Disney giving folks who stay in values / mods a lower bar in ROFR land (to make sure they keep coming back year after year) and I could see DVD giving preference to folks who come less frequent (vs more frequent). If this theory holds up, I am good on the first point, but not so good on the second.

I would think that this would be highly unethical...almost discriminatory. Might be a harsh word but in real estate everyone is treated the same. Period.

 

[adminjedi]

they have the ability to reassemble contracts in any size they want.

We waitlisted for BCV pts from Disney. We were told that they couldn't give us the exact pts we wanted as they can't redistribute the pts - the original contract total remains. They had 2 contracts which came close to the number we wanted, but actually less than we wanted. I think they would have redistributed pts if they could in order to sell more pts.

 

[disneyvacalover]

We waitlisted for BCV pts from Disney. We were told that they couldn't give us the exact pts we wanted as they can't redistribute the pts - the original contract total remains. They had 2 contracts which came close to the number we wanted, but actually less than we wanted. I think they would have redistributed pts if they could in order to sell more pts.

I was just told the same thing as well. we were a a DVC tour at the beginning of the month. I was asking questions about resales. Our guide was telling us about a resale contract that was on the market with over 2000 points. She said if Disney bought that contract from the seller they could not change it into smaller contracts. needs to be resold as is.

 

[shonnons]

If anyone can figure the process of ROFR out please call me with the powerball numbers tomorrow. Or Saturday. I've analyzed it multiple times and to me it's a monkey throwing darts at a board...




I agree

 

[Dean]

I was just told the same thing as well. we were a a DVC tour at the beginning of the month. I was asking questions about resales. Our guide was telling us about a resale contract that was on the market with over 2000 points. She said if Disney bought that contract from the seller they could not change it into smaller contracts. needs to be resold as is.

This is incorrect. DVD can break up the points, it's even written into the POS. ONLY DVD can take that liberty though.

One thing that people tend to forget about ROFR, It's not so much a money making tool on the resale side as a tool to drive people to retail instead of resale. They PURPOSEFULLY try to keep you guessing, any profit on the contracts bought back is minor. I'm sure they have some criteria they go by but you'll see one contract get bought under ROFR and another that's the same or cheaper that goes through often within a week or two.

 

[SalandJeff]

I actually asked someone at member services this question earlier today. She said that all resales go before a committee and whether they exercise their ROFR is determined by use year (because disney wants to keep inventory at each DVC resort in each use year), number of points, price, and whether the contract is stripped. So a lot seems to depend on their needs at the time when the contract is submitted for ROFR.

 

[silmarg]

I actually asked someone at member services this question earlier today. She said that all resales go before a committee and whether they exercise their ROFR is determined by use year (because disney wants to keep inventory at each DVC resort in each use year), number of points, price, and whether the contract is stripped. So a lot seems to depend on their needs at the time when the contract is submitted for ROFR.

Sounds plausible. There were some SSR Jun UYs resales that seemed fairly priced but DVD ROFRd them. On the other thread we were speculating that June UYs were in demand for some reason by Disney.

I just hope they have their fill of Aug UY... as my SSR is going "to committee" sometime real soon!

 

[Dean]

I actually asked someone at member services this question earlier today. She said that all resales go before a committee and whether they exercise their ROFR is determined by use year (because disney wants to keep inventory at each DVC resort in each use year), number of points, price, and whether the contract is stripped. So a lot seems to depend on their needs at the time when the contract is submitted for ROFR.

The committee part is correct but the rest is very suspect and likely at best, only part of the story. I'd suggest that MS is not a good source for info on corporate activities.

 

[silmarg]

The committee part is correct but the rest is very suspect and likely at best, only part of the story. I'd suggest that MS is not a good source for info on corporate activities.

I could see the committee meeting go like this...

"Mr and Mrs Joe Blow... buying 100 OKW points June UY. Loaded w 08/09/10 points. $61. The Blow's are not members. They have been to WDW 3 times in the last five years and have stayed at Pop, Carribean Beach and Port Orleans"

 

[Dean]

I could see the committee meeting go like this...

"Mr and Mrs Joe Blow... buying 100 OKW points June UY. Loaded w 08/09/10 points. $61. The Blow's are not members. They have been to WDW 3 times in the last five years and have stayed at Pop, Carribean Beach and Port Orleans"

Doubtful, I've seen no information to suggest that one who is a member is any more likely to pass ROFR than a non member or vice versa. Likewise I've seen no indication that one who is seemingly working with a sales guide is more likely to fail than anyone else. This committee meets once or week, likely for around an hour. That doesn't give them time to dissect each one. It's likely they have a number in mind for each resort and a list of how many points they have in inventory for each UY at each resort. This would not be so much to make a profit by buying the ones easier to sell but rather to keep from being stuck with them for an extended period of time.

There has been some evidence over the years that size matters but not as much as one would think. Again, the main reason they do this is to keep people guessing any profit is minor and incidental though better than a loss.