2019 Dues

[The Prophet]

A few points:

• DVD should have added a paragraph explaining the rationale behind the increase. While not a large dollar increase, it will significantly add to the cost of the timeshare for the balance of the contracts over time
• For fiscal year 2018, DIS reported revenue of $59.4 Billion and increased the shareholder dividend by 4.6%. Some of this increase could have been absorbed by them
• Parking Revenue -- That's a new one and is offsetting some of the increase. How that number was conjured up is anyone's guess

 

[Cyberc1978]

Yeah. I did a BJs giftcard thing and amassed a bunch of gift cards that required consolidating first in the Disney Gift Card site
https://www.disneygiftcard.com/Manage/Transfer. After that, I was able to preload the consolidated cards to my account in multiples of $1,000.00 at a time, in anticipation of 2019 dues.

Thanks.

Am I required to merge the cards on beforehand or can I just put in ie 4 x 500 on the membersite?

 

[Bing Showei]

Thanks.

Am I required to merge the cards on beforehand or can I just put in ie 4 x 500 on the membersite?

I’m not sure you even need to consolidate them, come to think of it. I did it because my denominations were 10x smaller than yours.

Maybe others can answer more definitively.

 

[disneynutz]

A few points:

• DVD should have added a paragraph explaining the rationale behind the increase. While not a large dollar increase, it will significantly add to the cost of the timeshare for the balance of the contracts over time
• For fiscal year 2018, DIS reported revenue of $59.4 Billion and increased the shareholder dividend by 4.6%. Some of this increase could have been absorbed by them
• Parking Revenue -- That's a new one and is offsetting some of the increase. How that number was conjured up is anyone's guess

Disney doesn't discuss price increases, removing benefits, anything that is negative PR. We were told yesterday that the Minnie Van pricing was changed to distance pricing, not because they make more money but because guest feed back indicated that it wasn't fair that it was a flat rate for everyone. Disney spin at it's best!

Bill

 

[minorthr]

I don't really have an issue with the increases as we have a low amount of points so it doesn't really hit us as hard as others. I do have questions about how the budget was arrived at for this year for CCV. Some of the expenses are almost 3 times what they were the last year. like dvc reservation component going from $7k to $18k, transportation almost doubling from $1.3 to $2.5 million, member activities increasing $700k and insurance increasing over 55%. I'm guessing this is related to more and more units being declared but I really have no idea.

 

[BcIcemen]

Yeah. I did a BJs giftcard thing and amassed a bunch of gift cards that required consolidating first in the Disney Gift Card site
https://www.disneygiftcard.com/Manage/Transfer. After that, I was able to preload the consolidated cards to my account in multiples of $1,000.00 at a time, in anticipation of 2019 dues.

I did the same thing

 

[KAT4DISNEY]

Thanks.

Am I required to merge the cards on beforehand or can I just put in ie 4 x 500 on the membersite?

I think it may limit you to one card entry at a time. If you have $500 cards then it's probably just as easy to do it one at a time on the DVC payment but when people have $50 cards then it's easier to consolidate and then pay.

 

[BcIcemen]

a quick question about paying dues online with gift cards. I have consolidated my gift cards into 1000.00 cards. What is the procedure when redeeming cards or is it easier to call guest services? TIA

 

[erionm]

a quick question about paying dues online with gift cards. I have consolidated my gift cards into 1000.00 cards. What is the procedure when redeeming cards or is it easier to call guest services? TIA

The dues payment process on the member website accepts Disney Gift Cards.

 

[BcIcemen]

The dues payment process on the member website accepts Disney Gift Cards.

does it accept partial gift cards?

 

[disneynutz]

does it accept partial gift cards?

Yes

Bill

 

[4evryoung]

I'm not sure why everyone seems so worried that the 10% increase is the "new norm". There's a perfectly good explanation for the increase (The minimum wage bases raising from $10 to $13 in 2019.) and it's essentially a one-time thing - at least at that size.

I also don't get the lack of trust that seems to be spinning around. DVC is required by law to provide statements and balances - everyone can go and look at exactly what the expenses are every year - and exactly what the income is. Disney does not make a profit on DVC annual fees - they are legally obligated not to. You can also look at historical increases. Some years they are larger, other years they are smaller.

AKV for instance went up only 2.66% in 2017. Beach Club went up 2.35%. Other went up by 5-7% is true, but it varies from year to year.

In an earlier post, I tried to explain that this might not be a one-year only rise. The wage deal included substantial back-pay for earlier years when wages did not rise and that bak-pay may be being paid from the 2019 dues (hence the reason why CCV's housekeeping rise was much lower than other resorts as CCV did not exist during the back-pay period). The 2019 hike in CM pay (which I do not disagree with) is staged over the year and the full-year effects will not be apparent in costs to members until 2020. The same applies for the 2020/2021 wage increases as they too are staged and full-year effects (although smaller) will only appear in later years.

 

[Cyberc1978]

In an earlier post, I tried to explain that this might not be a one-year only rise. The wage deal included substantial back-pay for earlier years when wages did not rise and that bak-pay may be being paid from the 2019 dues (hence the reason why CCV's housekeeping rise was much lower than other resorts as CCV did not exist during the back-pay period). The 2019 hike in CM pay (which I do not disagree with) is staged over the year and the full-year effects will not be apparent in costs to members until 2020. The same applies for the 2020/2021 wage increases as they too are staged and full-year effects (although smaller) will only appear in later years.

Any thoughts about why the increase at VGF was so low? If your assessment are correct then all should have increased but for some reason VGF didn’t.

 

[skier_pete]

In an earlier post, I tried to explain that this might not be a one-year only rise. The wage deal included substantial back-pay for earlier years when wages did not rise and that bak-pay may be being paid from the 2019 dues (hence the reason why CCV's housekeeping rise was much lower than other resorts as CCV did not exist during the back-pay period). The 2019 hike in CM pay (which I do not disagree with) is staged over the year and the full-year effects will not be apparent in costs to members until 2020. The same applies for the 2020/2021 wage increases as they too are staged and full-year effects (although smaller) will only appear in later years.

I do agree the staging may affect things as well, but I still think the impact will be significantly less in the future. You are moving from a $10 to $13 pay rate - so a 30% increase as well as some back-pay for raises that occurred this year, and this is hitting most of us with an 8-10% increase. If you think the following year go from $13 to $14, this is 7% increase versus a 30% increase. At the same ratio - this is likely to only affect dues by about 2% to maybe 3% at most. Certainly we can't know for sure the full effect over the next few years, but I think this is not the new standard.

Someone would really need to drill down into the documentation to figure out how they are factoring the increases in.

 

[crisi]

A few points:

• DVD should have added a paragraph explaining the rationale behind the increase. While not a large dollar increase, it will significantly add to the cost of the timeshare for the balance of the contracts over time
• For fiscal year 2018, DIS reported revenue of $59.4 Billion and increased the shareholder dividend by 4.6%. Some of this increase could have been absorbed by them
• Parking Revenue -- That's a new one and is offsetting some of the increase. How that number was conjured up is anyone's guess

Once again, why? We are obligated to pay for the maintenance on our property - that was the contract we all signed. Disney is a for profit company. Why should they take money that belongs to their shareholders to offset dues that you are legally obligated to pay by contract? Do you expect your realtor to play for an increase in property taxes three years after you bought the property because she made a lot of money selling other houses this year? Do you expect Toyota to subsidize your gas if the price of gas goes up after you buy your car?

 

[4evryoung]

Any thoughts about why the increase at VGF was so low? If your assessment are correct then all should have increased but for some reason VGF didn’t.

I haven;t checked the detailed VGF figures myself, but I believe a post in a separate thread quotes VGF housekeeping costs rising by 18.839%.

 

[jo-jo]

Disney doesn't discuss price increases, removing benefits, anything that is negative PR. We were told yesterday that the Minnie Van pricing was changed to distance pricing, not because they make more money but because guest feed back indicated that it wasn't fare that it was a flat rate for everyone. Disney spin at it's best!

Bill

Yeah, and those who do 14 hour days should pay more than us old people who only spend 6 hours a day in the park.

Maybe that is disney thinking with all the parties......if you really really want to spend as much time as possible in the parks......

 

[Buzzro]

No one can predict the future but let me add info from the past. We bought our first points, 220 OKW, back in Dec of 99 and added 60 VB a couple years later. We added again in 2012 and 2015, SS 50 and 65. Regrettably I did not keep tabs on Dues all the way back. I have compiled my dues since 2010 though. It would be to much to break everything down with all the different contract so I just added them all together and averaged them out annually. Between 2010 and 2011 I saw an increase of $.23 per pt. The next year was to confusing to break down due to the addition of SS pts but between 2010 and 2013 the end result was an average decrease per pt of $.47. I'm sure a part of that decrease was the lower dues of SS being averaged in. Between 2013 and 2014 was a large increase of $.81 per pt avg. about 15%. 2014 to 2015 saw a decrease of $.37 and 2015 to 2016 saw another decrease of $.28. Again the addition of more SS pts probably had something to do with it. 2016 to 2017 had another big increase, $.94 per pt avg. 2017 to 2018 saw a $.09 increase and now 2018 to 2019 is up $.58. Other than the 2018 to 2019 increase I could be off a little as I was only using what I paid DVC not the actual Statements. I know this isn't reflective of every resort but hopefully it gives some context to pt averages over time. There have been big years and years that saw decreases. From 2010 to 2019, 9 yrs, I've seen an increase of 21.5% in my dues. 2010/280 pts./$6.03 avg. 2019/395 pts./$7.33 avg. That's about 2.2% annually. With all that said, I don't believe the increase over all is that large but it adds up. I would be interested to hear from someone who has been keeping more accurate records over and extended period of time

 

[skier_pete]

OK folks - I got tired of the lack of real data presented in this thread - so here you go.

First Table shows the dues for every resort for every year in existence. Aulani and VB had a "subsidized dues" rate that I couldn't be bothered to figure out, so I ignored it. Note this table is in dollars / point.



Second table below indicates the year-over-year increase as a percentage of the previous year. The TOP row shows the average increase for that resort.
Most interesting is that the averages across the board are pretty consistent between 3.5 and 4.5%, which a few lower, and a one (BLT) higher.



The last bit I tried was graphing the changes to see if you could see an obvious trend of increasing dues over time. Without doing some fairly rigorous statistical analysis, I would say the answer is "maybe". Clearly this last year there is a very unusual anomaly. There was a definite trend in the late nineties of dues staying steady - but since then it seems like MOST resorts stay between 3.5 and 5%, with the occasional outlier each year. (For instance 2011 saw a sharp spike in BLT an AKV dues while most of the other resorts stayed at 4 % or lower. The only comparable year seems to be 2006, where all the resorts spiked in dues and the average increase was 6.9%, whereas this year was 7.6%. Again, typically the year-over-year average increase is about 3.5-4.5%.



Though it probably folly to try and predict the future with the past trends - but the data does show that this year is an extreme anomaly that is outside of anything that has been seen historically. Data says it is unlikely that increases of this magnitude will be the new normal.

 

[CarolynFH]

OK folks - I got tired of the lack of real data presented in this thread - so here you go.

First Table shows the dues for every resort for every year in existence. Aulani and VB had a "subsidized dues" rate that I couldn't be bothered to figure out, so I ignored it. Note this table is in dollars / point.

View attachment 369234

Second table below indicates the year-over-year increase as a percentage of the previous year. The TOP row shows the average increase for that resort.
Most interesting is that the averages across the board are pretty consistent between 3.5 and 4.5%, which a few lower, and a one (BLT) higher.

View attachment 369235

The last bit I tried was graphing the changes to see if you could see an obvious trend of increasing dues over time. Without doing some fairly rigorous statistical analysis, I would say the answer is "maybe". Clearly this last year there is a very unusual anomaly. There was a definite trend in the late nineties of dues staying steady - but since then it seems like MOST resorts stay between 3.5 and 5%, with the occasional outlier each year. (For instance 2011 saw a sharp spike in BLT an AKV dues while most of the other resorts stayed at 4 % or lower. The only comparable year seems to be 2006, where all the resorts spiked in dues and the average increase was 6.9%, whereas this year was 7.6%. Again, typically the year-over-year average increase is about 3.5-4.5%.

View attachment 369238

Though it probably folly to try and predict the future with the past trends - but the data does show that this year is an extreme anomaly that is outside of anything that has been seen historically. Data says it is unlikely that increases of this magnitude will be the new normal.

Thank you so much - very interesting and helpful too!