TSM standby-less test Oct. 6-9

[Suvadoo]

Picture this:
A software company approaches an entertainment giant with a program that will increase theme park revenue by reducing the time people spend in line. Additionally, the software was supposed to automate a lot of systems thereby reducing personnel. The company buys the software.
Once the software is implemented and guests are starting to make their ride reservations 60 days out, it is discovered that the system is full of glitches so the company is required to hire additional IT support for their reservation system. Then once the guests arrive at the theme park there are more problems, so additional IT support is hired to work with guests in the theme parks.
The majority of the guests who visit this theme park are first timers, and the ride reservation system is pretty complicated. So if the company wants to continue using the ride reservation system, they must continue to provide a lot of IT support personnel which is very expensive. So far, this company has spent at least 1 billion dollars on the new system. Overall, theme park attendance is up, but this is because the country’s economy is improving, not because of this new ride reservation system. The company is also experiencing increased attendance at their West Coast theme parks.
Overall the new ride reservation system has cost a lot of money, and it will continue to be a money pit because of the IT support required to help guests with the system. IMO this ride reservation system that is FP+ will be scrapped, because there is no way Disney can make it user friendly enough for their first time guests without the additional IT support. A lot of people say FP+ is here to stay because Disney has invested too much money in the project. But there does come a time when a company has to cut their losses. I would be very surprised if FP+ was still around in 5 years.

 

[AmyB2006]

It's each guests perogative if they want to wait 60/90/120 mins to experience something.

LOL, but IF, and this is a big IF cause I doubt that this will happen but since it's been given as an 'excuse', if Disney said we're trying to test out a system where every guest will only have to wait 15-20 minutes for any ride at any time, would you be like, "Nope, I want to wait 120 minutes".

Of course not! LOL That's just silly.

I see what you're saying, but they have to test this theory of theirs at some point. It just sucks that it impacts peoples' vacations and I think they should be offering some type of compensation.

 

[tecdavidt]

I agree with Suvadoo. What they are doing is a "money pit" for a business. As Walt Disney said himself, everyone needs a good failure. It is in the history film of his life at the studios. This next gen project could become or maybe already is the good failure for Disney corp. I so wished I had the press release that gave the reason for next gen. One item listed was to limit wait in lines so people have more time to shop and sales would increase. Hmm, we were ones who could easily spend $1,500 to $2000 extra each trip. We are not doing that in 2014. We go often to WDW--every 6 to 8 weeks. Kathy

 

[cabanafrau]

LOL, but IF, and this is a big IF cause I doubt that this will happen but since it's been given as an 'excuse', if Disney said we're trying to test out a system where every guest will only have to wait 15-20 minutes for any ride at any time, would you be like, "Nope, I want to wait 120 minutes".

Of course not! LOL That's just silly.

I see what you're saying, but they have to test this theory of theirs at some point. It just sucks that it impacts peoples' vacations and I think they should be offering some type of compensation.

Disney isn't operating WDW as if they're charging top dollar for providing top drawer entertainment and guest satisfaction anymore. They're trying to ride the wave of the reputation of the Disney of old until it crashes into the beach, charging ever more for the nostalgia of what once was all the while. I cannot fathom how they do not understand how quickly the ship will sink once the tide of public opinion has turned completely against them.

 

[JanaDee]

Never mind. Not worth debating one whose meaning changes from post to post. The thread has long outlasted it's usefulness anyway.

I am ~unsubbing.

 

[Jennasis]

LOL, but IF, and this is a big IF cause I doubt that this will happen but since it's been given as an 'excuse', if Disney said we're trying to test out a system where every guest will only have to wait 15-20 minutes for any ride at any time, would you be like, "Nope, I want to wait 120 minutes".

Of course not! LOL That's just silly.

I see what you're saying, but they have to test this theory of theirs at some point. It just sucks that it impacts peoples' vacations and I think they should be offering some type of compensation.

Sure every ride has a 15 minute wait...IF you managed to get a reservation for it. That's my fear with a FP+ only system. I don't want appointments to ride all my rides.

 

[FlipHipster]

Picture this:
A software company approaches an entertainment giant with a program that will increase theme park revenue by reducing the time people spend in line. Additionally, the software was supposed to automate a lot of systems thereby reducing personnel. The company buys the software.
Once the software is implemented and guests are starting to make their ride reservations 60 days out, it is discovered that the system is full of glitches so the company is required to hire additional IT support for their reservation system. Then once the guests arrive at the theme park there are more problems, so additional IT support is hired to work with guests in the theme parks.
The majority of the guests who visit this theme park are first timers, and the ride reservation system is pretty complicated. So if the company wants to continue using the ride reservation system, they must continue to provide a lot of IT support personnel which is very expensive. So far, this company has spent at least 1 billion dollars on the new system. Overall, theme park attendance is up, but this is because the country’s economy is improving, not because of this new ride reservation system. The company is also experiencing increased attendance at their West Coast theme parks.
Overall the new ride reservation system has cost a lot of money, and it will continue to be a money pit because of the IT support required to help guests with the system. IMO this ride reservation system that is FP+ will be scrapped, because there is no way Disney can make it user friendly enough for their first time guests without the additional IT support. A lot of people say FP+ is here to stay because Disney has invested too much money in the project. But there does come a time when a company has to cut their losses. I would be very surprised if FP+ was still around in 5 years.

Some remnant of it will remain. I doubt they get rid of it completely if they can't make it work. "They" are clearly too heavily invested. This could drag out for a while. But I agree, somebody bought the demo. Never buy the demo.

"We are absolutely determined to introduce great product, even if the cost of introducing that product is kind of having your arms around it more than you need to when it's in its steady state. And we've been doing that, we've talked about that on our earnings call, the additional cost we've experienced with the MyMagic+ introduction, whether it was communication about it or the handholding and help that guests get when they're in the park. That will not last forever. Guests will figure it out and we will really start to see the revenue come through. " - Jay Rasulo Goldman Sachs 23rd Annual Communacopia Conference 9-10-2014

http://thewaltdisneycompany.com/con...man-sachs-23rd-annual-communacopia-conference

What I found really interesting about his whole spiel is the lack of a excitement. He knew the question was coming. Borst threw him a slow underhanded pitch right over the plate and he basically whiffed. If he had any good numbers to drop he would have dropped them.

 

[flicx]

"We are absolutely determined to introduce great product, even if the cost of introducing that product is kind of having your arms around it more than you need to when it's in its steady state. And we've been doing that, we've talked about that on our earnings call, the additional cost we've experienced with the MyMagic+ introduction, whether it was communication about it or the handholding and help that guests get when they're in the park. That will not last forever. Guests will figure it out and we will really start to see the revenue come through. " - Jay Rasulo Goldman Sachs 23rd Annual Communacopia Conference 9-10-2014

Hardly a glowing endorsement for how things have gone so far!. I think the guy is dreaming if he thinks first timers are ever gonna have an easier time figuring it out. Maybe veterans, and that is assuming it doesn't glitch. Of course no mention of no standby lines. Still waiting to see if we ever hear what that is actually about. I am with you though I don't see them ever totally deserting it, too much invested at this point.

 

[Suvadoo]

Some remnant of it will remain. I doubt they get rid of it completely if they can't make it work. "They" are clearly too heavily invested. This could drag out for a while. But I agree, somebody bought the demo. Never buy the demo.

"We are absolutely determined to introduce great product, even if the cost of introducing that product is kind of having your arms around it more than you need to when it's in its steady state. And we've been doing that, we've talked about that on our earnings call, the additional cost we've experienced with the MyMagic+ introduction, whether it was communication about it or the handholding and help that guests get when they're in the park. That will not last forever. Guests will figure it out and we will really start to see the revenue come through. " - Jay Rasulo Goldman Sachs 23rd Annual Communacopia Conference 9-10-2014

http://thewaltdisneycompany.com/con...man-sachs-23rd-annual-communacopia-conference

What I found really interesting about his whole spiel is the lack of a excitement. He knew the question was coming. Borst threw him a slow underhanded pitch right over the plate and he basically whiffed. If he had any good numbers to drop he would have dropped them.

Really? Do they really believe guests will figure is out for themselves? Most guests can't figure out what to order at a quick service! So Rasulo admits this is a money pit.
I'm not saying they'll dump all of MDE, I just think they'll dump the FP+ portion. Since that's the part that costs the most to support and really confuses people.

 

[jtowntoflorida]

Some remnant of it will remain. I doubt they get rid of it completely if they can't make it work. "They" are clearly too heavily invested. This could drag out for a while. But I agree, somebody bought the demo. Never buy the demo.

"We are absolutely determined to introduce great product, even if the cost of introducing that product is kind of having your arms around it more than you need to when it's in its steady state. And we've been doing that, we've talked about that on our earnings call, the additional cost we've experienced with the MyMagic+ introduction, whether it was communication about it or the handholding and help that guests get when they're in the park. That will not last forever. Guests will figure it out and we will really start to see the revenue come through. " - Jay Rasulo Goldman Sachs 23rd Annual Communacopia Conference 9-10-2014

http://thewaltdisneycompany.com/con...man-sachs-23rd-annual-communacopia-conference

What I found really interesting about his whole spiel is the lack of a excitement. He knew the question was coming. Borst threw him a slow underhanded pitch right over the plate and he basically whiffed. If he had any good numbers to drop he would have dropped them.

This is interesting. Can't wait to see what their full year results are on November 6th.

 

[TinkSassy]

I was there for a day of the test. One thing I noticed is that no one that was turned away and angry was surveyed. They only interviewed those that got a fast pass - and they did open more day of.

They are getting incorrect information on the reaction at corporate - it is being adjusted in favor of the system.

 

[flicx]

I was there for a day of the test. One thing I noticed is that no one that was turned away and angry was surveyed. They only interviewed those that got a fast pass - and they did open more day of.

They are getting incorrect information on the reaction at corporate - it is being adjusted in favor of the system.

Interesting observation!

 

[lugnut33]

Check out Episode 1408. Mike Scopa talks about exactly what many of us are feeling when we are on vacation at WDW now.

http://wdwtoday.com/

 

[mom2rtk]

I was there for a day of the test. One thing I noticed is that no one that was turned away and angry was surveyed. They only interviewed those that got a fast pass - and they did open more day of.

They are getting incorrect information on the reaction at corporate - it is being adjusted in favor of the system.

I'm sure someone will be along shortly to explain why you didn't see what you saw.

Thanks for sharing your first hand account!

 

[Tarheel girl 1975]

Besides the recent work in the Magic Kingdom there is work underway at Animal Kingdom. This is apparently over and on top of new rides, shows and attractions. I think that they know that all the need is enough attractions for guests to enjoy over a reasonably length vacation and no more than that. They just need to retire old attractions and add new attractions every so often now. And that is what they're doing.

The Animal Kingdom doesn't actually have a capacity problem right now though. That's why it's not currently tiered. So far, they have not announced anything to adress the lack of major attractions at DHS and Epcot. Sure, thy're building a frozen ride, but since that is reaplcing one of the only two rides that were already in WS, that's a net gain. They need to do something with the Imagination pavilion and the old Wonders of Life pavilion.

What I said is that I would prefer Disney offer 100% of the capacity of each attraction as FP+. I prefer that because it would give us the greater opportunity for the most amount of FP+s. I prefer having short waits for attractions made possible by having only a certain number of people entering the line during an hour.


And I feel that it would be more fun and magical to have specific times when we can arrive at an attraction and have very short waits to ride. I understand you wouldn't like it as much as I would.

As a PP pointed out, if you make 100% of the line FP+, then you won't have very short waits to ride anymore.

There's only one problem with that- if they're skewing the results it doesn't actually change what people think. If people are unhappy enough, it will show in the bottom line and then shareholders are NOT happy.

I suppose if they skew the results anyway and profits take a nose dive, shareholders won't notice the loss because they're out snorting pixie dust celebrating the glorious poll numbers.

The only problem is- profits are up. Damn. That doesn't make sense when we all know that despite Disney's best efforts to fool us, the dis knows the truth and most people hate the changes and Disney is going down the tubes!

I think that one of the problems right now is that it's become all about short term gain, not the long term picture. And I don't think it's realistic to continue expect the same percentage of return they have been experiencing. I don't think you can continue to top "record attendance" levels year after year without investing more in your infrastructure and capacity.

Some remnant of it will remain. I doubt they get rid of it completely if they can't make it work. "They" are clearly too heavily invested. This could drag out for a while. But I agree, somebody bought the demo. Never buy the demo.

"We are absolutely determined to introduce great product, even if the cost of introducing that product is kind of having your arms around it more than you need to when it's in its steady state. And we've been doing that, we've talked about that on our earnings call, the additional cost we've experienced with the MyMagic+ introduction, whether it was communication about it or the handholding and help that guests get when they're in the park. That will not last forever. Guests will figure it out and we will really start to see the revenue come through. " - Jay Rasulo Goldman Sachs 23rd Annual Communacopia Conference 9-10-2014

http://thewaltdisneycompany.com/con...man-sachs-23rd-annual-communacopia-conference

What I found really interesting about his whole spiel is the lack of a excitement. He knew the question was coming. Borst threw him a slow underhanded pitch right over the plate and he basically whiffed. If he had any good numbers to drop he would have dropped them.

And this why I think they have aded so many premium experiences. To make MM+ look more profitable.

 

[mom2mickeyfan]

I was there for a day of the test. One thing I noticed is that no one that was turned away and angry was surveyed. They only interviewed those that got a fast pass - and they did open more day of.

They are getting incorrect information on the reaction at corporate - it is being adjusted in favor of the system.

Someone will be along to tell you that it makes no sense for Disney to do this and since you weren't there the whole day you can not assume they continued to do what you say you saw with your own 2 eyes.

 

[lugnut33]

This is interesting. Can't wait to see what their full year results are on November 6th.

Full year results will be fantastic. Not so much due to MM+, but because of all the belt tightening procedures and price increases they have made lately.

 

[lugnut33]

Someone will be along to tell you that it makes no sense for Disney to do this and since you weren't there the whole day you can not assume they continued to do what you say you saw with your own 2 eyes.

I think that certain someone is actually Jay Rasulo.

 

[Suvadoo]

Full year results will be fantastic. Not so much due to MM+, but because of all the belt tightening procedures and price increases they have made lately.

Agreed. I think they'll hide the costs of MM+.

 

[surferdave]

"We are absolutely determined to introduce great product, even if the cost of introducing that product is kind of having your arms around it more than you need to when it's in its steady state. And we've been doing that, we've talked about that on our earnings call, the additional cost we've experienced with the MyMagic+ introduction, whether it was communication about it or the handholding and help that guests get when they're in the park. That will not last forever. Guests will figure it out and we will really start to see the revenue come through. " - Jay Rasulo Goldman Sachs 23rd Annual Communacopia Conference 9-10-2014

That's pretty revealing stuff; thanks for linking it, Hipster. It's interesting to see him link guests figuring it out with the revenue coming through.

I've said for a long time now that customer satisfaction will not be the problem with this system; it really doesn't matter if customers like it or not. The problem is the high operating cost. It's taking way more manpower than they planned, and that's just for the limited use of the features they've implemented. They haven't really tried to use many of the monitoring and trending functions that gives them the data they crave yet. The longer it takes them to turn on 4th Fastpass selection on the app instead of the kiosks, the more it looks to me like they are still trying to get the basic functions down, even with an army of CMs trying to coddle guests through the process.

Rasulo's expectation that guests will figure it out is a futile one. What percentage of guests would you estimate to be annual or more frequent visitors? Because those will be the only people who retain enough savvy with this ponderous system to have it "figured out". So many of the guests are first time visitors or infrequent visitors who only come every few years or so that there will not be a significant learning curve unless they simplify this thing somehow.

Don't fool yourselves into thinking that Disney is too big and smart to make a monumental (as in 8 figure) blunder; bigger blunders have been made by bigger companies with histories of smarter decisions. This is all going to make a great business school case study one day.