What would Disney's answer be to The Wizarding World of Harry Potter?

[schmitty]

Jobs...if there is anyone with a bigger Ego than Eisner its Jobs (Good and Bad).

Jobs has made two of the biggest Tech Blunders ever the Apple Lisa and the fact he wanted to control the hardware end of the PC market. (Thats why there is an IBM PC Clone on 90% of the desk insted of an Apple).Even though the Apple PC has always been reguarded as a better machine and for years had a better Chip.

On the other hand he has hit home runs with iPod, Pixar and now the iPhone. Jobs is a very creative guy...maybe not the best biz sense sometimes...but Walt had the same label.

...but as AV pointed out Disney is in free fall mode right now with all the units going in different directions.

Jobs was kicked out of the Lisa project and he still pretty much controls the hardware that goes with Mac OS's.
Id say Jobs is a very good business man just a horribly unethical business man. All the man cares about is money. He charges double what products cost to make and he uses very cheap components in his products. With the ipod and iphone you can see this. ipods break all the time and now the iphone having to have its battery replaced after 400 charges. And does he replace those for free? No he charges $100 to fix things that are broken because he uses crappy components. He is a scum bag and his only goal in life is to amass a huge fortune and unfortunatly he is accomplishing that. But hey maybe some good will come out of that and he will retire once he feels like he made enough money.

 

[EUROPACL]

Jobs was kicked out of the Lisa project and he still pretty much controls the hardware that goes with Mac OS's.

Yeah but he started it and gets the blame for it. Yes Apple still controls thier own hardware (for the most part) and that is why they have a less than 4% market share in the PC world.

I don't own a iPod, Mac or iPhone...and I can't comment on how well they are built.

As far as charging double for what a product cost to build...heck that is a bargain for some prodcuts these days. Have you been to Disney latley? Have you bought a pizza from a major chain?

 

[schmitty]

As far as charging double for what a product cost to build...heck that is a bargain for some prodcuts these days. Have you been to Disney latley? Have you bought a pizza from a major chain?

Compared to other companies that have similar products apple charging double is really bad. Most companies have it between 10%-30%. Disney charges the same or less for its products compared to other theme parks. While I agree it is alot of markup compared to the other theme parks its normal pricing. Little Ceasears $5 pizzas are some extremely cheap pizzas. Most pizza places in my area that are local usually cost more than the chain places.

 

[EUROPACL]

Compared to other companies that have similar products apple charging double is really bad. Most companies have it between 10%-30%. Disney charges the same or less for its products compared to other theme parks. While I agree it is alot of markup compared to the other theme parks its normal pricing. Little Ceasears $5 pizzas are some extremely cheap pizzas. Most pizza places in my area that are local usually cost more than the chain places.

I had no idea that "most companies" have a 10-30% markup..got any examples?

Disney charges the same or less for its products compared to other theme parks. While I agree it is alot of markup compared to the other theme parks its normal pricing.

This makes no sense.


You'll be sad to find out that a large Pizza with everything on it cost just over a dollar for the major chain companies to make which includes overhead.

...btw you'll be really upset if you saw the profit margin on softdrinks and french fries.

 

[MyGoofy26]

Compared to other companies that have similar products apple charging double is really bad. Most companies have it between 10%-30%. Disney charges the same or less for its products compared to other theme parks. While I agree it is alot of markup compared to the other theme parks its normal pricing. Little Ceasears $5 pizzas are some extremely cheap pizzas. Most pizza places in my area that are local usually cost more than the chain places.

Sorry - gonna have to disagree about Disney's markup. Unless things have changed since I worked there, we were told that a box of popcorn costs Disney 2 cents. That's a lot more than 10-30% markup. Those ponchos were 5 cents I think they told us? Same with bottles of Coke products - 5 cents each. There was a list of examples like this when they were explaining why CMs have the freedom to do things for guests with a manager's approval such as replacing a spilled box of popcorn or a toppled ice cream cone, because it costs the company next to nothing and the guest is likely to recount the tale many many times . . .free advertising.


And while I don't have details on the companies actually producing, I know when I worked at Hallmark in college when we got in shipments of products - when we put them in the system we'd take whatever price was on the invoice and double it.

 

[schmitty]

I had no idea that "most companies" have a 10-30% markup..got any examples?




This makes no sense.


You'll be sad to find out that a large Pizza with everything on it cost just over a dollar for the major chain companies to make which includes overhead.

...btw you'll be really upset if you saw the profit margin on softdrinks and french fries.

Disney charges the same or less for its products compared to other theme parks. While I agree it is alot of markup compared to the other places but for theme parks its normal pricing. Thats what I meant to say.

Sorry - gonna have to disagree about Disney's markup. Unless things have changed since I worked there, we were told that a box of popcorn costs Disney 2 cents. That's a lot more than 10-30% markup. Those ponchos were 5 cents I think they told us? Same with bottles of Coke products - 5 cents each. There was a list of examples like this when they were explaining why CMs have the freedom to do things for guests with a manager's approval such as replacing a spilled box of popcorn or a toppled ice cream cone, because it costs the company next to nothing and the guest is likely to recount the tale many many times . . .free advertising.


And while I don't have details on the companies actually producing, I know when I worked at Hallmark in college when we got in shipments of products - when we put them in the system we'd take whatever price was on the invoice and double it.

Compared to other consumer electronics Apple charges far for than most companies out there.

 

[Disney Padawan]

Many research & development companies charge more than their competitors for their products.(Apple, Sony...etc) They go for many years giving you great products to build up their name, then once they've got your trust, they slowly decline their quality, right under your nose. If you think about it, the same could be said about Disney.

It's sad to read how the Disney corporation was run and is still running. It's true that we seem to be screaming for someone to save us/them. But by what I'm reading, choosing between Iger or Jobs, is like choosing between an anal probe or root canal. It's 100% true that Disney needs an inspiring leader but if such a person is never given a chance, then I weep for the future.

AV, If every hardcore Disney fan (the kind that think everything bearing the Disney name is Heaven sent) thought like you, then imagine how the parks would be? Heck, if all of us expected more from them, then they would have to constantly improve, right? But they know that they could just sit there and collect our money because they're still on top. They have no major competition, and that's another problem. The power of the mouse is extraordinary but it's not infinite & I wonder how long it will last?

AV, I had a question for you. You mentioned that "Expedition Everest" was a major mistake, I wondered if you can give us the long version of why you think this, just curious?

 

[kylewayne]

Disney's answer to Harry Potter= obtain theme park, and/or marketing rights to "The Transformers" from Hasbro.

Imagine a Transformers ride at MGM or actual Transformers on the Streets of America transforming to robots from vehicles. I think that would be a big draw for the little kids and big kids alike.

 

[Budshark]

...He charges double what products cost to make and he uses very cheap components in his products. With the ipod and iphone you can see this. ipods break all the time and now the iphone having to have its battery replaced after 400 charges. And does he replace those for free? No he charges $100 to fix things that are broken because he uses crappy components. He is a scum bag and his only goal in life is to amass a huge fortune and unfortunatly he is accomplishing that. But hey maybe some good will come out of that and he will retire once he feels like he made enough money.

Wow - thats a lot of personal feelings wrapped into something passed as factual statements. Sorry you feel that way about this person you've likely never met or had the privelege of talking to in order to KNOW what he really thinks and what his goals are.

In terms of Disney - Jobs would do them a service to get involved with the Parks. He is a master at brand differentiation and image. That is what Disney needs. Not the hottest brand on the table today - but rather carefully constructed, established, enhanced images and products. Harry Potter likely will not outlast Mickey, Peter Pan, Cinderella and the like.

Anyhow - I think Disney's answer to Harry Potter will be controlled. Update attractions, add some small new ones. You don't want to go chasing every rabbit down a hole. And it remains to be seen whether Harry Potter is a staying force (I know thats not a popular thought - but will Harry and his world last 5, or even 10 years past the constant stream of books and movies).

Chris

 

[Disney Padawan]

Anyhow - I think Disney's answer to Harry Potter will be controlled. Update attractions, add some small new ones. You don't want to go chasing every rabbit down a hole. And it remains to be seen whether Harry Potter is a staying force (I know thats not a popular thought - but will Harry and his world last 5, or even 10 years past the constant stream of books and movies).

Chris

Agreed, this is probably all Disney will do, however I believe the HP books have enough staying power for generations to come.

 

[DisOrBust]

IMHO Disney is just a symptom of a bigger disease. The culture of corporate America. The stories of Iger and Eisner are no more different then I hear from my DH or witness at my own place of employment. Its just at a grander, in your face, scale. Disney won't change until they all are forced to change and that will ony happen when the money dries up.

Universal will probably screw up HP enough on its own being cheap that Disney will not have anything to worry about. I already see the Harry character meal in the great hall coming.

 

[Stevegriswold]

IMHO Disney is just a symptom of a bigger disease. The culture of corporate America. The stories of Iger and Eisner are no more different then I hear from my DH or witness at my own place of employment. Its just at a grander, in your face, scale. Disney won't change until they all are forced to change and that will ony happen when the money dries up.

Universal will probably screw up HP enough on its own being cheap that Disney will not have anything to worry about. I already see the Harry character meal in the great hall coming.

I have to agree I have been to Universal Studios and IOA many times as I use to work for a 3rd party that does business with many theme parks.

Universal's themeing, que lines, pre-show etc are lacking. I remember waiting for Twister for an hour then standing on some ramp watching a fake smoke cloud for a few minutes then going out the exit. Campare that with the que for Splash Mountain which has all kinds of cool stuff around every corner then a 15 min ride.

We heard rumor when Universal open IOA and I was working at Disney World, that Disney was going to open a Villian Thrill Ride park. So that Rumor has been around for at least 7 years and maybe someday that park will happen.

I worked at Disney for about 7 years and my wife did also. We LOVE Disney, but I must say that I was disappointed with many things Disney did as well.

Some of the Disney Rides/Shows seem to miss the mark: Alien Encounter, Laugh Floor. I remember going to a cast preview of Alien Encounter to test the ride. It was aweful. They went back to the drawing board and added a few things then opened it to the public, it was still bad, they closed it again and added a few things, now it has been redone with Stitch. That entire ride seems to have been based on 3D Stereo Technology that use to be a hair cut audio track you could listen to at MGM studio at the sound stage interactive area. It was like Disney wanted to make a ride to use that 3D sound technology. Laugh Floor I have not seen but have heard the reviews and it sounds like that is based on buying Pixar and trying to find a use for this new interactive character video screen like Crush at the living seas.

Also now Disney seems to do a ride rehab, and add a few new characters to it and then promotes it as a New ride. Like Pirates and also the boat ride at Mexico.

Some rides Disney really goes the extra mile on, some are just park fillers, but I guess it's all really about making a dollar in the end like any business.

I also remember when there was just the Magic Kingdom. Everyone was super friendly, park was spotless etc. Then when I started working there the property had grown. They had opened MGM Studios around when I started and AK was open for a year or so right around when I left. It was very difficult to get a job at Disney when I started there. When I left they would basically hire anyone. They had added so many resorts, parks, water parks, etc that they could not get enough people to work for $7.50 an hour. I remember cast members being sent home if their hair was not cut, if they had not shaved that day, if girls ear rings were larger than a dime they had to take them off, only one color of nail polish was allowed, etc. When I left there were people that could barely speak English working there walking out to their cars still in costume with their tie hanging off and shirt half done.

Outsourcing - Disney really did a large amount of outsourcing while I was there and it sounds like this still is the trend.

When I was there you had to get dressed at Disney in a locker room and then change before you left. So you would not see a castmember out at a bar after work in costume, or getting gas, etc. But Disney did away with the laundry service and castmembers that worked in each area making sure you had your costume clean and ready to go. They outsourced the castmember behind the scenes dining areas, they outsourced the laundry facility behind Magic Kingdom, they sold Disney's gas stations to a 3rd party, etc.

It was sad to see a business that use to own and operate everything to a certain level, sell off or outsource everything little by little.

I still have friends that work there after 10+ years making $7.90 an hour with a college degree. I just could not live off of $14k a year anymore when I left and it was nice to not have three roommates to afford an apartment.

But all in all I learned a great deal at Disney, had tons of fun right out of College, and it helped me get a nice job later in life.

 

[Stevegriswold]

IMHO Disney is just a symptom of a bigger disease. The culture of corporate America. The stories of Iger and Eisner are no more different then I hear from my DH or witness at my own place of employment. Its just at a grander, in your face, scale. Disney won't change until they all are forced to change and that will ony happen when the money dries up.

Universal will probably screw up HP enough on its own being cheap that Disney will not have anything to worry about. I already see the Harry character meal in the great hall coming.

I have to agree I have been to Universal Studios and IOA many times as I use to work for a 3rd party that does business with many theme parks.

Universal's themeing, que lines, pre-show etc are lacking. I remember waiting for Twister for an hour then standing on some ramp watching a fake smoke cloud for a few minutes then going out the exit. Campare that with the que for Splash Mountain which has all kinds of cool stuff around every corner then a 15 min ride.

We heard rumor when Universal open IOA and I was working at Disney World, that Disney was going to open a Villian Thrill Ride park. So that Rumor has been around for at least 7 years and maybe someday that park will happen.

I worked at Disney for about 7 years and my wife did also. We LOVE Disney, but I must say that I was disappointed with many things Disney did as well.

Some of the Disney Rides/Shows seem to miss the mark: Alien Encounter, Laugh Floor. I remember going to a cast preview of Alien Encounter to test the ride. It was aweful. They went back to the drawing board and added a few things then opened it to the public, it was still bad, they closed it again and added a few things, now it has been redone with Stitch. That entire ride seems to have been based on 3D Stereo Technology that use to be a hair cut audio track you could listen to at MGM studio at the sound stage interactive area. It was like Disney wanted to make a ride to use that 3D sound technology. Laugh Floor I have not seen but have heard the reviews and it sounds like that is based on buying Pixar and trying to find a use for this new interactive character video screen like Crush at the living seas.

Also now Disney seems to do a ride rehab, and add a few new characters to it and then promotes it as a New ride. Like Pirates and also the boat ride at Mexico.

Some rides Disney really goes the extra mile on, some are just park fillers, but I guess it's all really about making a dollar in the end like any business.

I also remember when there was just the Magic Kingdom. Everyone was super friendly, park was spotless etc. Then when I started working there the property had grown. They had opened MGM Studios around when I started and AK was open for a year or so right around when I left. It was very difficult to get a job at Disney when I started there. When I left they would basically hire anyone. They had added so many resorts, parks, water parks, etc that they could not get enough people to work for $7.50 an hour. I remember cast members being sent home if their hair was not cut, if they had not shaved that day, if girls ear rings were larger than a dime they had to take them off, only one color of nail polish was allowed, etc. When I left there were people that could barely speak English working there walking out to their cars still in costume with their tie hanging off and shirt half done.

Outsourcing - Disney really did a large amount of outsourcing while I was there and it sounds like this still is the trend.

When I was there you had to get dressed at Disney in a locker room and then change before you left. So you would not see a castmember out at a bar after work in costume, or getting gas, etc. But Disney did away with the laundry service and castmembers that worked in each area making sure you had your costume clean and ready to go. They outsourced the castmember behind the scenes dining areas, they outsourced the laundry facility behind Magic Kingdom, they sold Disney's gas stations to a 3rd party, etc.

It was sad to see a business that use to own and operate everything to a certain level, sell off or outsource everything little by little.

I still have friends that work there after 10+ years making $7.90 an hour with a college degree. I just could not live off of $14k a year anymore when I left and it was nice to not have three roommates to afford an apartment.

But all in all I learned a great deal at Disney, had tons of fun right out of College, and it helped me get a nice job later in life.

 

[ChrisFL]

I have to agree I have been to Universal Studios and IOA many times as I use to work for a 3rd party that does business with many theme parks.

Universal's themeing, que lines, pre-show etc are lacking. I remember waiting for Twister for an hour then standing on some ramp watching a fake smoke cloud for a few minutes then going out the exit. Campare that with the que for Splash Mountain which has all kinds of cool stuff around every corner then a 15 min ride.

I disagree with this. You mentioned Twister which came before the big theming spending and push for Universal to be on-par with Disney. Then you talk about a ride that was built before Disney's massive downturn in theming and budgets for attractions.

Compare Universal attractions with Disney attractions that opened in that same time frame until now.

 

[QueenGoblin]

Wow! This has been an interesting thread!

I just have to jump in on Harry Potter. You can never know for sure, but unless something happens in the final book that is a total dealbreaker for a large percentage of HP fans I think HP will take his place among our cultural icons (since he already has, really, who doesn't know the name Harry Potter at this point?) It cracks me up when people refer to HP as a trend or fad. The first book is nearly 10 years old already. And HP is a story that will not become dated, works for girls and boys, kids, teens and adults. I like HP but I am not a fanatic. I do think Disney was a little nuts to let HP slip through their fingers, but I actually think, if it is done right, HP might be a better fit with the Island theme at IOA, since nothing else about HP was Disney branded.

I HOPE IOA and HP make Disney sweat a bit because I think that will mean some improvements to WDW.

I had been so encouraged by what I was hearing our of Lasseter etc about their vision for the animation feature side of things, but I didn't realize the rest of the company was on such rocky ground

 

[ChrisFL]

Wow! This has been an interesting thread!

I just have to jump in on Harry Potter. You can never know for sure, but unless something happens in the final book that is a total dealbreaker for a large percentage of HP fans I think HP will take his place among our cultural icons (since he already has, really, who doesn't know the name Harry Potter at this point?) It cracks me up when people refer to HP as a trend or fad. The first book is nearly 10 years old already. And HP is a story that will not become dated, works for girls and boys, kids, teens and adults. I like HP but I am not a fanatic. I do think Disney was a little nuts to let HP slip through their fingers, but I actually think, if it is done right, HP might be a better fit with the Island theme at IOA, since nothing else about HP was Disney branded.

I HOPE IOA and HP make Disney sweat a bit because I think that will mean some improvements to WDW.

I had been so encouraged by what I was hearing our of Lasseter etc about their vision for the animation feature side of things, but I didn't realize the rest of the company was on such rocky ground

That's basically my view as well, I think Universal is in the stage where it NEEDS a smash hit new section of IOA to continue competing and Disney hopefully will invest a lot more to make sure it stays ahead.

I think Lasseter can do great things for Disney and hopefully get it back to pre-1995 type of imagineering

 

[Metro West]

Universal will probably screw up HP enough on its own being cheap that Disney will not have anything to worry about.

Hmm...why do you think Universal will be cheap about this new area?

 

[mello]

Amazing story. So much information to digest. Thanks you for recommending it AV.

And Stevegriswold, what you said really got me thinking.

I've been thinking about the millions that so many of the top executives have made over the last twenty or so years (including bonuses, stock options, etc.; even though their salaries may be listed at, say $500,000 a year), and I was struck by the fact that part of the reason for buying ABC was that the company was looking for something to spend all it's excess money on. I thought; why not pass some of that along to the shareholders? Or better yet, pay your employees enough to actually live on? Or perhaps even lower the cost of hotel rooms just a bit? But the previous poster who said that it's not just Disney, it's a symptom of corporate operation in general, is right. How sad that these few men who control everything (not just Disney, but many large corporations) are so far removed from the world the rest of us live in that they have no idea how hard it is for their employees (and many of their customers for that matter) just to live, let alone keep buying their overpriced goods and services.

Quick example: DH is on salary but hourly it would equate to about $25-$30 per hour. He applied awhile back for a similar professional job with the Disney company. They wanted to pay him $15 per hour to do virtually the same job. Thanks - it would have been fun, but no thanks - can't live on that.

Anyway, I highly recommend reading the book. I haven't been able to put it down.

 

[Metro West]

Amazing story. So much information to digest. Thanks you for recommending it AV.

And Stevegriswold, what you said really got me thinking.



I've been thinking about the millions that so many of the top executives have made over the last twenty or so years (including bonuses, stock options, etc.; even though their salaries may be listed at, say $500,000 a year), and I was struck by the fact that part of the reason for buying ABC was that the company was looking for something to spend all it's excess money on. I thought; why not pass some of that along to the shareholders? Or better yet, pay your employees enough to actually live on? Or perhaps even lower the cost of hotel rooms just a bit? But the previous poster who said that it's not just Disney, it's a symptom of corporate operation in general, is right. How sad that these few men who control everything (not just Disney, but many large corporations) are so far removed from the world the rest of us live in that they have no idea how hard it is for their employees (and many of their customers for that matter) just to live, let alone keep buying their overpriced goods and services.

Quick example: DH is on salary but hourly it would equate to about $25-$30 per hour. He applied awhile back for a similar professional job with the Disney company. They wanted to pay him $15 per hour to do virtually the same job. Thanks - it would have been fun, but no thanks - can't live on that.

Anyway, I highly recommend reading the book. I haven't been able to put it down.

I agree with you...trouble is...everytime this subject has been brought up in the media down here (i.e. contract negotiations, unions etc.), a Disney spokesperson always says "they are competitive in the market" about pay. I suppose Disney feels their product is far and away superior to anything else out there which is probably why whenever there's an accident or someone gets hurt at the parks, it's a big deal. Like every big corporation, Disney can't see the forest for the trees. Pay the employees who do the front line jobs more so they can be happy. Working for Disney means you must really change the way you live. I wouldn't want to live with three or four other people just to make ends meet...but that's a choice thousands make so I can't feel too sorry for them.

 

[Budshark]

Wow! This has been an interesting thread!

I just have to jump in on Harry Potter. You can never know for sure, but unless something happens in the final book that is a total dealbreaker for a large percentage of HP fans I think HP will take his place among our cultural icons (since he already has, really, who doesn't know the name Harry Potter at this point?) It cracks me up when people refer to HP as a trend or fad. The first book is nearly 10 years old already. And HP is a story that will not become dated, works for girls and boys, kids, teens and adults. I like HP but I am not a fanatic. I do think Disney was a little nuts to let HP slip through their fingers, but I actually think, if it is done right, HP might be a better fit with the Island theme at IOA, since nothing else about HP was Disney branded.

I HOPE IOA and HP make Disney sweat a bit because I think that will mean some improvements to WDW.

I had been so encouraged by what I was hearing our of Lasseter etc about their vision for the animation feature side of things, but I didn't realize the rest of the company was on such rocky ground

I'm one of those people that crack you up apparently...

So - let me pose the question in a different way:

After Rowling stops writing new books, and there are no further movies coming out - what happens to Potter mania?

There is no doubt about 2 things. 1) Harry Potter is well known. 2) Pottermania reaches its peak when a new book or movie, or book&movie come out.

In current pop culture most institutions 'fade' after years. What would you think if Disney announced a brand new dedicated "Star Wars World" today? Crazy? Everyone knows Star Wars and it probably has even more themings and options than Potter-land. But now that it lacks the continual support of movies, dedicating a whole land to it would be questionable. My point is that there are a larger number of "pop-sensations" that seemed like the next best thing - but none of them approach the longevity or multi-generational staying power as the classics (Cinderella, Snow White, Peter Pan) or the Mouse. Thats all I'm saying. Harry Potter and its movies are going to seem "real old" in 15-20 years. Its the opposite of the risk Disney is taking with Pirates. The ride stood alone for years - but now with a movie success behind it - will the ride "age" as well - because the movie won't.

Chris