WDW MK Cabanas for Only $649...

Just something interesting; cabanas and water parks go hand in hand. Interesting to see if it works in a theme park. And like it or not, there is obviously still untapped revenue potential in the 1% crowd. I don't blame Disney at all for experimenting with high end up-charge products like these.

http://www.wdwinfo.com/walt-disney-world/cabanas-popping-up-in-magi...nfo.com%29

I've shared one at Castaway Cay with another family, and it was amazing. Depending on the time of year, they're between high $500's and $700. One of the best beach days I've ever had, hands down, and a pretty solid deal when split with another family.

Kennywood has them, I believe, in the park.

I don't get it, pay a large premium to see less of the park?

Why rent a cabana unless you plan to sit in said cabana?

I'm sure they will sell out though, more power to them.

Hanging n' Banging said:

...there is obviously still untapped revenue potential in the 1% crowd. I don't blame Disney at all for experimenting with high end up-charge products like these.

"Quid pro quo, Clarice..." - the revenue of the future is in catering to fewer high-end guests. More than ever...

TheMillenniumRider said:
I don't get it, pay a large premium to see less of the park?

Why rent a cabana unless you plan to sit in said cabana?

Some people are content to spend most of a day in a park not moving much. (My father, for one. He'd spend a day at Cedar Point parked on a bench near Cedar Point Cinema.)

From what I've read, renting a cabana for a day means you have a place to leave sundry items, a place for people to go to during the day to sit for a bit and enjoy a drink, etc.

I've done the Cabana at Aquatica for a fraction of the cost and we enjoyed it. Water parks are a little different though. We did need time for some rest, to get out of the sun, etc. Disney's version that includes offering VIP viewing of fireworks and parades seems overprice to me...unless you can get hot meal service there (which I suspect you can't). If I could have a private place to have a hot meal and not worry about finding seating then...maybe...it starts to become a value I'd consider.

Great Adventure had cabanas in the theme park beginning around 2008 after the Old Country section closed. They were originally $100 and came with a few items like bottled drinks, a discount on merchandise and possibly a 1 or 2 skip the line passes. They eventually lowered them to $25 without any of the extra items and a year or two later they were gone.

Ah. The modern, plain ole' picnic table.

This won't be a surprise to anyone on this board, but it cracks me up to read some of the on-line comments about this new test. It amazes me how passionate some people are about WDW and how some are ready to burn the place to the ground for trying to explore new revenue streams.

It's quite obvious that Disney is trying to capitalize on low volume, high margin revenue possibilities, that cater to folks in the higher income categories. And good for Disney. Sky boxes at stadiums, and first class airline seats exist for a reason. I'm not sure why so many people feel entitled and think that WDW has to cater to the "middle class".

Disney is going to run their business in the best interest of their shareholders and Wall Street rewards quarterly and annual revenue growth. It's business 101.

And while I still truly believe that "a" WDW vacation is within reach to many more than the wealthy will admit, it is interesting to see the direction of some of their new revenue initiatives, and how many seem to be focused on high margin, low volume experiences, at relatively high price points.

Hanging n' Banging said:
Disney is going to run their business in the best interest of their shareholders and Wall Street rewards quarterly and annual revenue growth. It's business 101.

What? A business running a business like a business? That's so unfair! :-)

The low-volume, high-margin product is the only place they can achieve any substantial growth. Well, that, and price hike as they may, they still haven't gotten attendance under control. (Clearly no one is going, right?) For all of the things that we've observed in this industry in terms of ways to bank more, Disney is probably the only one that has introduced these new revenue streams without doing it at the expense of everyone else. Seriously, this stuff (along with dessert parties, tours, etc.) does not detract from John Q. Midwesterner's vacation.

I'm a little disappointed that enough time has passed that we no longer refer to the low volume, high margin approach as Gonch's Business Model™.

If it was your business model, I imagine you would have Bob Chapek's job. :)

If Disney execs read the forums for the past ten years, I might. :)

I believe the first CoasterBuzz reference to Gonch's Business Model™ is near the end of this thread. But a portion of the thread is the argument for making more money from less customers. Needless to say, the enthusiast crowd was typically short sighted.

Funny how so much we said back then has really come to fruition in the industry...and how many enthusiasts insisted it would bankrupt everything.

Anyone that doesn't believe in low volume-high margin/satisfaction needs to go back and read one of those old threads. There's a ton of users that are long gone and you have to put up with a lot of noise to see the meaningful content.

Lord Gonchar said:
If Disney execs read the forums for the past ten years, I might. :)

Oh, they did. And I believe they found your appearance at the time to be non-conformative.

As long as we're handing out self-congrats...

https://coasterbuzz.com/Forums/Topic/hotels-take-design-cues-from-theme-park-properties

hotels need to become more like theme parks (story, amenities, experience) and theme parks need to become more like hotels (more human, relaxing, high-touch).

Here it comes folks.

If theme parks needed to be more like hotels, they would already be more like hotels... or something?

Jetsetter said:

As long as we're handing out self-congrats...

https://coasterbuzz.com/Forums/Topic/hotels-take-design-cues-from-theme-park-properties

hotels need to become more like theme parks (story, amenities, experience) and theme parks need to become more like hotels (more human, relaxing, high-touch).

Here it comes folks.

Pfft. Does saying it two months ago really count? Rookie. ;)

Seriously though, I do those Gonchbacks because it's uncanny how spot on the most knowledgeable users around here were 10 or more years ago. Things that seemed ridiculous to most and got mocked and put down by enthusiasts in general are now happening, being implemented and have become standards. You'd be hard pressed to find a public group online that had their finger more on the pulse of the business side of the industry than the regulars here.

As far as parks being like hotels?

I'll give this one to Jeff because it's the earliest reference I can find, but we've been saying that parks are in the hospitality business for nearly 13 years.

(and I'll just leave this here because I always give myself credit too)

(also a final one for Gator who I most remember as saying this sort of thing)

These forums have been around long enough that it's almost like that "Simpsons Already Did It" episode of South Park.

But yeah, the whole thing ties into the idea of a more exclusive, more personal, more hosipitable experience. I think the easiest way to that is through a low volume, high margin approach. It's interesting in that Disney is big and exceptional enough that they are able to embrace this idea on one end and still Walmart it on the lower end with a more commoditized, cookie cutter experience too...and everything inbetween. I can't think of many places, let alone theme parks, that you can go one such a variety of budgets and have such different experiences.