JHM: DVC is California

[Terry S]

We stayed at the DL hotel when we were there last week and our first room was on the back side of the bonita tower. My husband kept asking what that building below us that had a DVC sign on it so we decided to stop by one day. I beleive it was the DVC headquarters there. I asked them if they had a model room, she said they only had a small scale model at this time. The women I spoke with was the one that told me that "she was not at liberty to say" if they were going to have a DVC there but did mention to me that BCV and VWL were add on to existing resorts and it would be easy enough to find space to add on to the GC.

She also mentioned that they have discovered that Californians like to vacation in California and they do stay overnight so it would be a perfect fit.

 

[barbarabee]

I had a long discussion with one of the DVC cast members at DL last week, and it sounds like interest has been extremely high, he said that they have been selling more DVC memberships than Florida! So, I'd say there is a big interest on the West Coast.

As far as point values, he said that the point values in Florida are very low compared to California values, so that if a DVC resort does open in California, don't expect it to be as low in points. Property prices are just too astronomical to be affordable.

Additionally, according to the DVC rep, they have found that vacation habits of "west coasters" are different, with most people choosing to stay one or two nights, and less people interested in having a "villa." Apparently one of the other timeshare companies has just broken ground on a fancy timeshare that will be about a mile away from the resort, so it will be interesting to see how that goes. The DVC rep thought that it would present some competitition once visitors got a feel for the villa atmosphere.

 

[AFMom]

We would certainly be interested.... We'll be living in FL come August - but we're Californian's at heart and grew up going to DLR. We'll always be going back to DLR to see what's new, and we really do like California Adventure for just how different (and uncrowded!) it is. Depending on the price structuring and how many points were needed per night, etc, we'd certainly be interested in buying in at the get go!
I can see them starting with an addition to the GC to start just to see how fast the points sell and how much interest there really is, and then possibly building out from there. The GC is absolutely gorgeous, and we would love to own a piece of it! I have a feeling it would sell like hotcakes!
East coasters - you have to remember - you've got CA, NV, OR, WA, 1/2 of Canada, AZ, NM, CO.... it cheaper for all of them to make a road trip to DL - or even just to get short plane trips to LA, rather than fly to WDW. That is why NONE of my California relatives (we're talking about 100 people here) have EVER been to WDW. They only go to DLR.

 

[Dean]

The other thing we might consider is that the "tremendous failure" of Vero and HHI was nothing more than a timing issue. There is an interesting marketing book out called "The Tipping Point" which discusses how many products suddenly take off in sales because the use of them or even the "buzz" about them reached a critical mass and then "tipped" them over into huge demand. I'm thinking that possibly the number of us that are DVC owners have reached that critical mass. We own DVC, we love the concept and we trust that DVC built outside of the parks are prime vacation destinations for us. There are folks begging for HHI ressies and I often see Vero sold out on some dates in spite of the hurricane problems.

I don't agree that VB or HH sales problems were timing issues. Both were selling over a long enough period at what would be the pinnacle of DVC sales IMO. And even at the end when sell out was eminent, they were still trying to give the points away, relatively speaking. With BCV and VWL, the word they were near sell out prompted a feeding frenzy.

IMO, while both are great resorts in their own right, their situation is inherently flawed. Neither are in a good location for prime timeshare sales. And DVC has never been aggressive enough to compete in the real world selling timeshares. I know many like this about Disney but it does put them at a significant competitive disadvantage. Plus in HH they were competing with Marriott resorts in FAR better locations, you could buy to own and actually nicer resorts in many ways. Newport would have been the same issue IMO.

 

[erikthewise]

Your assumption is that DVD would build a DVC resort on the West Coast so East Coasters would have another place to use their points, or to add on at DL, which is not the case at all. They would build it get more of the Western US market to buy into DVC. They want to sell to people like my Sister, who makes the 5 hour drive (well, 4 hours with my brother-in-law driving) at least once a year to go to Disneyland, but has never been to WDW. Just because someone in NY isn't going to want to buy at DL doesn't mean the rest of the World isn't going to.

I agree 100%. To paraphrase Dr. Frankenfurter (from Rocky Horror Picture Show): "We didn't build it for YOU!"

California has 35M people. Eastern US has 7 DVC resorts and roughly 200M people. Sounds like California alone, let alone Western US, could use a DVC resort.

 

[gppnj]

I'm an East Coast person who would love a DVC resort in California, especially near Disneyland. I always have fun when I visit California - both at Disneyland and elsewhere.

 

[doccath]

I don't agree that VB or HH sales problems were timing issues. Both were selling over a long enough period at what would be the pinnacle of DVC sales IMO. And even at the end when sell out was eminent, they were still trying to give the points away, relatively speaking. With BCV and VWL, the word they were near sell out prompted a feeding frenzy.

IMO, while both are great resorts in their own right, their situation is inherently flawed. Neither are in a good location for prime timeshare sales. And DVC has never been aggressive enough to compete in the real world selling timeshares. I know many like this about Disney but it does put them at a significant competitive disadvantage. Plus in HH they were competing with Marriott resorts in FAR better locations, you could buy to own and actually nicer resorts in many ways. Newport would have been the same issue IMO.

I disagree!! I think HH and VB biggest problem was that until you actually go there and see the disney difference you are just selling the location. There are a ton of timeshares in HH, but until I went to there I would never have bought. We originally bout at OKW but got to HH when a hurricane hit Myrtle Beach and we had to evacuate. I didn't even think of HH until I got on the phone with member services to head south since the hurricane was heading north and she said what about HH. They were the best, flat out that I have ever met. The resort needs to be experienced to understand it, that why it took longer to sell. We left there with 300 HH points in addition to our BWV and OKW. I think Disney would be wise to look to another offsite location. Think about it all those who bougt in the beginning as their kids get older might want to go to other locations then the parks and still be in Disney.
I know I would.

 

[Dean]

I disagree!! I think HH and VB biggest problem was that until you actually go there and see the disney difference you are just selling the location. There are a ton of timeshares in HH, but until I went to there I would never have bought. We originally bout at OKW but got to HH when a hurricane hit Myrtle Beach and we had to evacuate. I didn't even think of HH until I got on the phone with member services to head south since the hurricane was heading north and she said what about HH. They were the best, flat out that I have ever met. The resort needs to be experienced to understand it, that why it took longer to sell. We left there with 300 HH points in addition to our BWV and OKW. I think Disney would be wise to look to another offsite location. Think about it all those who bougt in the beginning as their kids get older might want to go to other locations then the parks and still be in Disney.
I know I would.

Your choice of course. Same could be said for any timeshare in the world including at WDW. The truth is that even though many people visited those resorts, few wanted to use them consistently enough to want to own there. I've stayed at both. I like VB and think HH is only so so.

DVC simply had unreasonable expectations for HH and VB. They thought that people would beat a path to their door and they didn't. DVC is not geared to compete for timeshare sales, something they'd have to do for new sales at off site locations. In a word, DVC is too NICE to sell timeshares. While this is part of what a lot of people like about DVC, it simply killed off site options including Newport Coast, Colorado and likely NYC as well.

Also both locations are at a competitive disadvantage. HH is on the Marsh mid island. While Marriott is selling ocean front in better locations. And VB is 7 miles out of town in a residential area, great to relax but not great if you want to leave the resort for dining, shopping, etc. The truth is most people, even many owners there, view those 2 resorts as secondary locations. Of course there are exceptions, sounds like you are one. But it's the aggregate opinion of those buying that really speak loudly. Look at the resale prices which mirror the retail demand and prices when they were actively selling.

 

[mamatojon]

We would certainly be interested.... We'll be living in FL come August - but we're Californian's at heart and grew up going to DLR. We'll always be going back to DLR to see what's new, and we really do like California Adventure for just how different (and uncrowded!) it is. Depending on the price structuring and how many points were needed per night, etc, we'd certainly be interested in buying in at the get go!
I can see them starting with an addition to the GC to start just to see how fast the points sell and how much interest there really is, and then possibly building out from there. The GC is absolutely gorgeous, and we would love to own a piece of it! I have a feeling it would sell like hotcakes!
East coasters - you have to remember - you've got CA, NV, OR, WA, 1/2 of Canada, AZ, NM, CO.... it cheaper for all of them to make a road trip to DL - or even just to get short plane trips to LA, rather than fly to WDW. That is why NONE of my California relatives (we're talking about 100 people here) have EVER been to WDW. They only go to DLR.

This sums it up for me exactly, except for the part about living in FL soon.

When we bought points in DVC we realized that it wasn't "worth it" to use them at DL so we bought enough points to go to WDW for a couple of years and then skip a year and go to DL. It is a two day drive for us (just gas and a nights lodging) versus a 7 hr flight (*at least* $1000 if we are lucky). It is where so many memories are for my husband and I, where we honeymooned, our son's first Disney trip. We have family there. We could never stop going to DL, even though I like WDW better in many respects. If they offer a DL DVC my husband is on the first plane out of here to buy, since we are from WA we can't buy on the phone.

I think if you surveyed 30 people in DL you would find that they love it and probably come once or twice a year. Sure, people that live close by won't need accomodations, but there are enough hotels surrounding Disneyland to be pretty well certain that many, many out of towners visit. My only concern is that the minimum point buy in should be lower, you really can't spend 10 nights at DL, unless you visit other parks such as Knott's or Universal - and Disney usually likes to discourage that. My guess is that studios would be more popular, maybe a "mostly studio" DVC with a few 1 and 2 BRs for those that want them. I don't know if it is the right decision for DVC or not but I sure hope it happens, we'd love it.

 

[calypso*a*go-go]

Hello mamatojon -- Great minds must think alike as that's the same strategy we use: alternate between the two. Everytime there is an incentive to add-on, I get all excited and start thinking of all the possibilities and come to the same conclusion...we just can't afford to travel enough to WDW to take advantage of more points. However, we would add-on if there were similar point values to stay a DL.

 

[softballguy]

Surprise Surprise, people are buying DVC like hot cakes at Disneyland. Sales guide of mine said it is out pacing sales on the ship. CA is an untapped market for DVC (and the rest of the west coast). Heard their sales center is relatively small since it was a 'test' to see how it will fly. Probably having capacity issues of getting people in the door.

People can speculate all they want but Disney will do what they want to do. They aren't the #1 entertainment company in the world with a huge following for nothing. To say something was a 'failure' or to take heresay as to future developments from a front line employee is crazy. Until you hear it from the mouse's mouth, it ain't happening....

 

[Dean]

Surprise Surprise, people are buying DVC like hot cakes at Disneyland. Sales guide of mine said it is out pacing sales on the ship. CA is an untapped market for DVC (and the rest of the west coast). Heard their sales center is relatively small since it was a 'test' to see how it will fly. Probably having capacity issues of getting people in the door.

People can speculate all they want but Disney will do what they want to do. They aren't the #1 entertainment company in the world with a huge following for nothing. To say something was a 'failure' or to take heresay as to future developments from a front line employee is crazy. Until you hear it from the mouse's mouth, it ain't happening....

Don't believes everything you hear. Just because a guide says it's selling great doesn't mean it is, esp since they have a vested interest in convincing you things are going well. Just like the car dealer talks up the car he's trying to sell you.