July direct sales

[maui22]

https://dvcnews.com/dvc-program-men...r-off-as-walt-disney-world-rises-in-july-2023

 

[Hubalorian]

If VGF keeps the 100k+ pace, it could sell out by the end of the year. Very interesting!

 

[Cyberc1978]

Curious to see what the "next" incentives will be for direct sales. Either they keep them as is or lower them.

If VGF is set to sell out for early next year with the current pace, then DVD might lower the incentives to extend the time frame. At least until Poly tower goes on sale.

Guess its better to have 2 options at WDW than 3. 3 options can be one too many and the sales risk to cannibalizing on eachother.

 

[Hubalorian]

Do you think they are trying to sell VGF ASAP, then have monthly “fire sales” of “sold out” properties? We saw one for AKL not too long ago and SSR is currently occurring. Could BLT or CCV be next to fill in the gap between VGF selling out and Cabins/Poly2 coming online?

 

[Cyberc1978]

Do you think they are trying to sell VGF ASAP, then have monthly “fire sales” of “sold out” properties? We saw one for AKL not too long ago and SSR is currently occurring. Could BLT or CCV be next to fill in the gap between VGF selling out and Cabins/Poly2 coming online?

I dont think I would call the current incentives at SSR a firesale. A 200 points purchase would cost you $41,000 before discounts and $34,500 after and only save you $6,500 or $172.5 per point.

You might be able to add in the Magical beginnings but I dont know if it applies to SSR.

But I do think as long as the economy is not the best for DIS there will be more sales than not.

 

[🍀TwinsMom]

There was a CC "sale" last year or so that wasn't much of a sale at all. This year's promotions on VDH opening month and the latest VGH/MB sale are awesome. Keeping prices in the $150-$160 range is much more sane, IMO. I really hope they stop artificially boosting direct prices over $207/$217 for these fake "sales" to have to happen to get it down to the $150 range. Although, maybe I'm being dumb. The "sale" is working great for VGF!

 

[Cyberc1978]

If I could could buy 25-50 points at select resorts at $150-$170 I might do it, just to get some extra cushion should the point chart change again.

 

[mamaofsix]

Interesting. Still feeling bummed that the magical beginnings promotion isn't available to anyone outside of the U.S. Otherwise I'd be very tempted to add on.

 

[Cyberc1978]

Interesting. Still feeling bummed that the magical beginnings promotion isn't available to anyone outside of the U.S. Otherwise I'd be very tempted to add on.

I wonder if its because you are SELLING your points back to Disney. When selling and making a profit you need to pay tax' and for non U.S citizens that would mean getting an ITIN number reporting to IRS and a whole lot of paperwork.

 

[Sandisw]

It looks like the current promotion, especially of MB worked well for sales.

While RIV went up as well, it’s still lower than it was when it was a less expensive option.

It will be interesting to see what happens with the next round of incentives.

If they don’t reduce VGF and raise RIV, it would definitely support they want to to be able to declare it sold out by 2024, when the two other MK area resorts come are for sale.

At least these numbers a start to move in the right directions re:earnings call

 

[Brian Noble]

This was a good month for DVD. It exceeded July 2019 (the last July in the Before Times) in point total, and came close to that month even excluding VDH.

It's the first time in a while I've had that reaction.

 

[mamaofsix]

I wonder if its because you are SELLING your points back to Disney. When selling and making a profit you need to pay tax' and for non U.S citizens that would mean getting an ITIN number reporting to IRS and a whole lot of paperwork.

Yes, I'm sure it's something like that. Although, when we originally purchased I feel like we had extra paper work and had to pay state or federal sales taxes on our deed? It wasn't that big of a deal. Not sure, would have to look.

 

[Stargazer65]

Is Riviera selling out slower than other big resorts historically, or is it pretty much on the same track? It seems like it started forever ago and it's only a little over half sold.

 

[Nursemanit]

Is Riviera selling out slower than other big resorts historically, or is it pretty much on the same track? It seems like it started forever ago and it's only a little over half sold.

Despite popular DIS opinion- VGF was not significantly cheaper to explain the massive difference- Restrictions are hurting sales

 

[BeachClub2014]

Despite popular DIS opinion- VGF was not significantly cheaper to explain the massive difference- Restrictions are hurting sales

This opinion ignores all of the other variables that can impact a purchase decision and is also short on any actual evidence to suggest that it is solely the resale restrictions that are the difference.

 

[maui22]

At least these numbers a start to move in the right directions re:earnings call

Seemed strange that Disney called out DVC in the earnings. After seeing these sales numbers, they already knew there was a significant turnaround for DVC, so they will use it as evidence of improving things in next quarter's earning. Given the sales of MNSSHP and F&W popularity, it seems theme parks will see a good QoQ improvement. Can they improve the rest of the divisions before having to buy remaining 1/3 of Hulu from Comcast?

EDIT: As @Brian Noble pointed out, it was in the earnings, not during the earnings call that I originally wrote

Guess its better to have 2 options at WDW than 3. 3 options can be one too many and the sales risk to cannibalizing on eachother.

Back in 2009-2010 (AKV Kidani, SSR THV, and BLT all opened 2009), guides complained about 3 WDW resorts. Exactly as you wrote, 2 options is their ideal number. One priced higher and one more economical choice. They have limited time to set the hook before the family is tired of talking and wants to go to the parks.

 

[Nursemanit]

This opinion ignores all of the other variables that can impact a purchase decision and is also short on any actual evidence to suggest that it is solely the resale restrictions that are the difference.

I will say the same about your opinion

 

[reddog21]

Is Riviera selling out slower than other big resorts historically, or is it pretty much on the same track? It seems like it started forever ago and it's only a little over half sold.

Historically DVC resorts sell out in 2-2.5 years at least that has been the trend for the newer resorts except Rivera so it's definitely way behind the trend.

 

[Sandisw]

Is Riviera selling out slower than other big resorts historically, or is it pretty much on the same track? It seems like it started forever ago and it's only a little over half sold.

It is probcbly moving a bit slower but there are a lot of factors in play, mainly having two other main active resorts selling..ignore AUL.

I do think that the big difference in sales between VGF and RIV for July has to give pause and I’d say it’s the first month that the price difference alone can’t be used as the only reason.

But, last year, the price difference between RIV and VGF wasn’t that great either and RIV did better for several months… so I believe price drives a lot. But those were more a 2:1 difference…this was a 3:1 difference.

The weird thing is sales for RIV were chugging along decently last year and they reduced incentives. And have continued to keep them reduced. So, it does appear they don’t care how long it takes to sell.

Could restrictions being playing some role? Maybe. Except they added them to VDH so not enough for them to abandon.

But I would bet a lot of money that if VGF has them, it would still have sold similar to what it did.

I can’t wait to see what they do with incndtives next month. If I was someone wanting VGF, I’d buy now!

 

[DanCali]

Is Riviera selling out slower than other big resorts historically, or is it pretty much on the same track? It seems like it started forever ago and it's only a little over half sold.

This opinion ignores all of the other variables that can impact a purchase decision and is also short on any actual evidence to suggest that it is solely the resale restrictions that are the difference.

VGF outsold RIV by almost 3:1. That difference is probably too large to be explained by a minor price difference (which can be also easily justified by a longer contract life of 6 years). It seems that, when given a choice, many buyers who are relatively informed prefer buying direct at a resort with no resale restrictions versus one with severe resale restrictions even when the direct purchase has the same full functionality. Resale restrictions are not the only reason for the difference, but probably matter a lot. We'll see what happens next year when the choice is Restricted Resort A vs Restricted Resort B vs Restricted Resort C...

We're relatively new to DVC and RIV was the first resort we visited. While it was a short stay, and we didn't experience it too much, we really loved what we saw. Rooms were great, facilities were great, and that Skyliner that get you to 2 parks in 10 minutes is super convenient. I can totally see us buying resale at RIV if 7-month booking becomes a challenge. But I won't buy direct unless the price difference vs resale is relatively small and the more restrictions they place, the more they hurt resale prices, the more incentives I would need in order to buy direct. But we already have 300+ direct points so it's a different situation relative to a new buyer who may not have a choice if they want to book the new resorts.