Magic Key Passes

[DLgal]

. And it would really limit the number of people who buy the dream and believe passes if you have to pay in full. I think for a family of 4, dream passes are well over $5000. Not many families can afford to drop that kind of money all at once on passes to a theme park.

It's $5600. I paid for them upfront last year, although this year I'll do the payment plan because my savings account is paying me 1.4% interest and the payment plan is an interest free loan from Disney.

What Disney should do is CHARGE INTEREST on the payment plan.

 

[DizMe]

I think the point isn't that Disney COULD do things to reduce crowding, it's that they don't want to. The only thing that will cause Disney to rethink the way they have come to value money over brand and quality is either a change in leadership or reaching the tipping point where the fans stop coming.

 

[SOCALMouseMommy]

I think the point isn't that Disney COULD do things to reduce crowding, it's that they don't want to. The only thing that will cause Disney to rethink the way they have come to value money over brand and quality is either a change in leadership or reaching the tipping point where the fans stop coming.

 

[StormyCA]

Personally, I think that TPTB would do well to let the current MKs expire and offer NO passes for 12 months to see what actually happens to attendance numbers & 'cash flow' and then use that info to create a(nother) new AP program that actually does was it was originally supposed to do: fill the gaps in 'low' attendance periods.

Many have been saying things like 'there's no more off-season at DL', 'APs keep DL in business', and 'it's tourist dollars that support DL'. Well, give it a year and let's see.

 

[dieumeye]

Personally, I think that TPTB would do well to let the current MKs expire and offer NO passes for 12 months to see what actually happens to attendance numbers & 'cash flow' and then use that info to create a(nother) new AP program that actually does was it was originally supposed to do: fill the gaps in 'low' attendance periods.

Many have been saying things like 'there's no more off-season at DL', 'APs keep DL in business', and 'it's tourist dollars that support DL'. Well, give it a year and let's see.

This is basically what happened when the parks opened after Covid closure. There was no AP program.

As late as July that year there was a lot of talk about a new program starting toward the end of the year with highly customizable options. Instead, they suddenly released the Magic Key program in August which looked nothing like what they’d been talking about up to that point.

Now, this is all speculation, but the theory is that at the time they weren’t selling as many day tickets as they had hoped and needed a fast cash infusion, so they panicked and rushed out the Magic Key program.

So, they’ve pretty much already done this and gotten their answer.

 

[SOCALMouseMommy]

This is basically what happened when the parks opened after Covid closure. There was no AP program.

As late as July that year there was a lot of talk about a new program starting toward the end of the year with highly customizable options. Instead, they suddenly released the Magic Key program in August which looked nothing like what they’d been talking about up to that point.

Now, this is all speculation, but the theory is that at the time they weren’t selling as many day tickets as they had hoped and needed a fast cash infusion, so they panicked and rushed out the Magic Key program.

So, they’ve pretty much already done this and gotten their answer.

I think it’s pretty safe to say that’s exactly what happened. Plus generating urgency to purchase quickly by offering the whole Magic Key box of goodies but *only* if you bought your Magic Key by October whatever the date was, they clearly needed cash and needed it fast.

 

[DLgal]

Personally, I think that TPTB would do well to let the current MKs expire and offer NO passes for 12 months to see what actually happens to attendance numbers & 'cash flow' and then use that info to create a(nother) new AP program that actually does was it was originally supposed to do: fill the gaps in 'low' attendance periods.

Many have been saying things like 'there's no more off-season at DL', 'APs keep DL in business', and 'it's tourist dollars that support DL'. Well, give it a year and let's see.

They have been testing this theory all year with the reservation calendar. Why else do you think they suddenly release a whole slew of new Magic Key availability at the last minute? They do that when they haven't sold enough regular tickets, and the frequency with which this happens is a pretty solid indicator that the Magic Keyholders are a crucial revenue source for the parks.

 

[gelatoni fan]

I think it’s pretty safe to say that’s exactly what happened. Plus generating urgency to purchase quickly by offering the whole Magic Key box of goodies but *only* if you bought your Magic Key by October whatever the date was, they clearly needed cash and needed it fast.

I never even got my box of goodies so I completely lost trust in Disney to actually deliver on their promises. I called, checked with the app check, city hall and the chamber of commerce. None could provide any info other than "they should have been sent out".

 

[StormyCA]

It was only around 4 months between reopening and MKs going on sale. And the dinking around with the calendar was to do with MK access and wouldn't have shown the 'base data' of what attendance would be like over a full year's attendance patterns/seasons with day tickets only. The point of no APs would be to show just how necessary (or not) they are to keep DL where it wants to be, profit wise. And to determine just what kind of AP program best fits the parks attendance patterns. I just think they need a solid year of no APs and just day tickets, to get the minimum data to determine how a new AP program should be designed. Is 'all access all the time' absolutely necessary to keep up profits or would a more 'tailored to low attendance periods' program do?

I get that my opinion isn't going to be popular with AP holders. But I guess that my 2¢ is worth as much as anyone's.

 

[DLgal]

It was only around 4 months between reopening and MKs going on sale. And the dinking around with the calendar was to do with MK access and wouldn't have shown the 'base data' of what attendance would be like over a full year's attendance patterns/seasons with day tickets only. The point of no APs would be to show just how necessary (or not) they are to keep DL where it wants to be, profit wise. And to determine just what kind of AP program best fits the parks attendance patterns. I just think they need a solid year of no APs and just day tickets, to get the minimum data to determine how a new AP program should be designed. Is 'all access all the time' absolutely necessary to keep up profits or would a more 'tailored to low attendance periods' program do?

I get that my opinion isn't going to be popular with AP holders. But I guess that my 2¢ is worth as much as anyone's.

Disney has teams of accountants and statisticians who understand how to use modeling to extrapolate data that inform these kinds of major decisions.

Their little experiment between the April 2021 reopening and the launch of the Magic Key passes on August 25 gave them enough data to KNOW that they NEED passholders. The ticket sales had to have been SO bad that they rushed out this program without any meaningful changes.

In addition, the expansion of the CA resident special offers is quite telling. They are trying this in lieu of continuous MK sales (the halt of new sales was likely another litmus test). The fact that they had to offer this ticket special over the SUMMER is a bad sign. Demand was obviously soft and they had to respond.

Disneyland cannot fill their parks at full price. They just can't. They know this.

 

[dieumeye]

It was only around 4 months between reopening and MKs going on sale. And the dinking around with the calendar was to do with MK access and wouldn't have shown the 'base data' of what attendance would be like over a full year's attendance patterns/seasons with day tickets only. The point of no APs would be to show just how necessary (or not) they are to keep DL where it wants to be, profit wise. And to determine just what kind of AP program best fits the parks attendance patterns. I just think they need a solid year of no APs and just day tickets, to get the minimum data to determine how a new AP program should be designed. Is 'all access all the time' absolutely necessary to keep up profits or would a more 'tailored to low attendance periods' program do?

I get that my opinion isn't going to be popular with AP holders. But I guess that my 2¢ is worth as much as anyone's.

Forget about what the passes offer and just think about the cash flow.

In August of last year passes went on sale and Disney got a big influx of cash to put on the books.

People who spent money on passes last August aren’t going to spend that same money this August if passes aren’t available. So, just on its face, not offering a pass would not “keep up profits“ because there’s nothing to replace the cash from pass sales.

Last year, they sold millions of dollars in passes, there’s no way they would give up that millions of dollars in sales for a year.

It doesn’t have anything to do with what AP holders want. It’s just about a business that wants as much income as possible.

 

[gelatoni fan]

I just checked the company financials and for the quarter from April till the start of July 2021, the domestic parks made only $2M of income which is dwarfed by the $210M loss from international parks. Disneyland reopened in April.

For the quarter ending in October, the domestic parks made $244M which barely covers the $222M loss from international parks. For those of you who think the Magic Keys or the monthly payment plan aren't necessary, the parks division would have been in the red that quarter if not for these two things. Note that income is generally based off revenue, not cash flow, so 100% of the cost of the Annual Passes sold during that quarter count towards income for that quarter. As Disney gets their money, their cash increases but accounts receivable decreases.

 

[DisneylandFan22]

Disney is not going to give up money by not selling passes for a year to “see what happens.”

 

[WebmasterMaryJo]

Hi. Just letting everyone know I moved this to the Community Board.

 

[CO2CA]

Disney has teams of accountants and statisticians who understand how to use modeling to extrapolate data that inform these kinds of major decisions.

Their little experiment between the April 2021 reopening and the launch of the Magic Key passes on August 25 gave them enough data to KNOW that they NEED passholders. The ticket sales had to have been SO bad that they rushed out this program without any meaningful changes.

In addition, the expansion of the CA resident special offers is quite telling. They are trying this in lieu of continuous MK sales (the halt of new sales was likely another litmus test). The fact that they had to offer this ticket special over the SUMMER is a bad sign. Demand was obviously soft and they had to respond.

Disneyland cannot fill their parks at full price. They just can't. They know this.

That was also a different time period. Even December 2021 to now, July 2022, is such a vastly different time with different circumstances. People were not traveling as much in 2021 as they are now in 2022. Children are able to be vaccinated when they were not generally able to be in 2021. Masks were still required. Fear surrounding COVID was still high (I would say it's getting back to that point with the increase in numbers, but I digress). Comparing then to now is like comparing apples to oranges.

I'm not sure if Disney will do it, but I think they could hold off on pushing out a new program. Maybe they NEEDED passholders in 2021, but do they NEED them in 2022 and 2023? Guess we'll see.

 

[dieumeye]

That was also a different time period. Even December 2021 to now, July 2022, is such a vastly different time with different circumstances. People were not traveling as much in 2021 as they are now in 2022. Children are able to be vaccinated when they were not generally able to be in 2021. Masks were still required. Fear surrounding COVID was still high (I would say it's getting back to that point with the increase in numbers, but I digress). Comparing then to now is like comparing apples to oranges.

I'm not sure if Disney will do it, but I think they could hold off on pushing out a new program. Maybe they NEEDED passholders in 2021, but do they NEED them in 2022 and 2023? Guess we'll see.

Well, they needed passholders in 2019 and years prior. So even if it’s true that 2022-2023 will be more “normal” than 2021 was, then they already know that answer.

 

[DizneyMommy]

Sooooo….. ? It’s august 1. Where’s the big announcement?

 

[Wesley815]

Sooooo….. ? It’s august 1. Where’s the big announcement?

I have a gut feeling program is cancelled, but hopefully I’m wrong. I’ll miss going to the park.

 

[DizneyMommy]

I didn’t realize there were two threads
So I was just reading online (so who knows) that the parks are quietly removing MK signage from the stores and they removed MK from the embroidery machines. Not sure if that’s actually true because I won’t even mention that place that I readit

 

[dina444444]

I didn’t realize there were two threads
So I was just reading online (so who knows) that the parks are quietly removing MK signage from the stores and they removed MK from the embroidery machines. Not sure if that’s actually true because I won’t even mention that place that I readit

I don’t think APs are going away it’s likely that they are retiring the MK name.