Why are Disney Hotels so much more expensive than Universal Hotels?

[agame2323]

I've stayed at all 3 US hotels (Portofino, Hard Rock and Royal Pacific). I've also stayed at the Contemporary about 10 yrs ago. I can't understand why it's so expensive to stay onsite at Disney. IMO, the Portofino is the best / nicest hotel on both sites. Admittedly, I've never stayed at any other Disney deluxe resorts, but based on my stay at the Contemporary (which was pleasant) I feel like Disney's Deluxe resorts pale in comparison to Universal's.

This is not to say that Disney's deluxe resorts are bad. In fact, I'm trying to figure out if we should stay at the GF or YC. We stay at the Portofino every year for 10 days and it's always a great stay and feel just right for the amount of money we pay. We also do Club Level. I'm just trying to understand what exactly to you get for roughly $600 a night at the GF? How does this hotel compare to PB?

I've found the Royal Pacific to also be one of the most beautiful hotels on either property. IMO, for the price you pay, both the RP and PB beat out the Contemporary.

 

[OneinThree]

Superior parking lots.

 

[agame2323]

We never drive LOL!!!

 

[OneinThree]

We never drive LOL!!!

. . .then it's no wonder you've never fully felt that "Disney Magic" while staying on-site.

 

[tinkerbellybutton]

Because people are willing to pay it in Disney apparently!

I agree with you, OP, completely! We have only stayed at Hard Rock and Cabana Bay in Universal, but they are far superior to their Disney counterparts!

Hard Rock was far and away better than any of the Disney deluxe resorts we have stayed in, and we have stayed in almost all of them. Plus you have the added bonus of being able to walk to both parks and City Walk! We really love the Poly and WL at Disney, so I am not knocking them, but the quality and amenities at Hard Rock were better for a fraction of the cost! I think the most we have paid at Hard Rock was around $250 a night, military discount, Christmas week. Other stays have been a little lower.

Cabana Bay is basically Universal's value resort. To be completely honest, there is no comparison! It far exceeds each and every Disney value resort, and for the most part Disney's moderate resorts as well. The pools at Cabana Bay are even better than some of the Disney deluxe resorts. We have stayed in a family suite, 6 people, over 4th of July week for just under $150 per night with military discount! I am paying $152 per night at a Disney value with military discount in late May, in a room that only sleeps 4. At CB we were walking distance to the new water park, and never waited more than 5 minutes for a bus to the parks.

Universal's resorts win in every category! Disney simply charges what they do because people continue to pay!

 

[OneinThree]

In all seriousness, Disney has, over time, built the brand equity which makes theirs the primary Central Florida vacation destination (despite feeling as though the Universal ones, park-for-park, are just plain better). In essence, they've created their own market, and there has always been a premium associated with being on site. I agree though, that resort-for-resort, even Disney's deluxe's cannot compare to similarly priced hotels elsewhere.

 

[mom2rtk]

Because all the fees are built into the room rate?

Oh wait........

 

[Lynne M]

You can't really compare hotel rates across properties. Universal charges the rate that suits their business model, Disney charges the rate that fits their business model. The same goes for ticket prices, food prices, souvenir prices, etc.

 

[Minniesgal]

I find u iversal hotels more expensive

 

[Tink-osophy]

Superior parking lots.

 

[agame2323]

You can't really compare hotel rates across properties. Universal charges the rate that suits their business model, Disney charges the rate that fits their business model. The same goes for ticket prices, food prices, souvenir prices, etc.

So what exactly is Disney's business model?

I believe it has more to do with the consumer base. Both Disney and US are targeting high-end customers. What make Disney's business model any different than US's in that respect?

In regards to business LOGIC... I completely understand why. Disney continues to position itself as the leader. And being the leader means being able to set the market value. But to some high end consumer's, the price point is pretty high in comparison to the competition.

Ticket prices I can understand. Its pretty obvious that Disney is simply offer more as it relates to the park experience. I don't even if the food at Disney is more or less expensive than US's. Same goes for souvenirs. That's pretty hard to judge.

 

[ZuuL]

For the one day, I've stayed at the Hard Rock in Universal, I was unimpressed. Maybe if we ever stay on property again it will be better but as of right now: Disney DVC suite >>>Hard rock....

 

[buzznina]

They charge more because people will pay it. You have access to 4 parks vs 2 and at deluxe resorts, multiple transportation options. With that said, we have been going to WDW for over 12 years (30+ trips) and stayed at all 3 levels of WDW resorts and really like them. A couple of years ago, our DDs wanted to go to US for Harry Potter and we stayed at Cabana Bay and I can honestly say we were very surprised how much we liked it, from the rooms, amenities, pool and food court (quality/quantity) and DW and I mentioned that it was on par/better then the Mods for less. We had also stayed at Portofino and were very impressed with the service and felt the rooms were much better then our stay at GF for much less $$.

 

[dansdad]

So what exactly is Disney's business model?

Charge as much as you can yet still keep running at over 85% occupancy.

 

[dansdad]

They charge more because people will pay it.

No matter how long this thread gets, this line completely answers the original question.

 

[Allison]

No matter how long this thread gets, this line completely answers the original question.

It really is true. It is what Disney can command from the market.

 

[sbd78]

Not sure, maybe Disney should keep with "industry standards" and lower their hotel prices to be more in line with Universal?

 

[sbd78]

You have access to 4 parks vs 2

Except Disneyland has only 2 parks and their hotels are just as pricey as their Florida counterparts.

 

[buzznina]

Except Disneyland has only 2 parks and their hotels are just as pricey as their Florida counterparts.

California is a hold different beast, that state is more expensive on just about everything compared to Florida.

 

[cgh]

Demand.