Good Afternoon everyone,
I just wanted to let everyone know that on the 9th that Disney will be extending the deal until August 15th. I received the information from Disney this morning on travel agent site.
Good Afternoon everyone,
I just read this on another site…How exciting!
I guess in our times it is needed
The 1500 value last year was better. Unless they keep giving the $200 card.
They aren’t planning any gift card this time. But, if anyone was planning a vacation in the summer this is an added bonus for them. With the current state of the economy, I see more discounts coming. The 4/3 deal is great for disney as it gets you there longer and gives them a chance to get some revunue off you on meals compared to the free dining. It will be interesting to see if FREE DINING is offered this year as there is more of a downside for disney doing this offer.
What dates do you have to travel to get the free gift card? We are traveling in April. I thought I read it somewhere, but cant find it again.
Originally, to receive the gift card the date was March 29, but I don’t know what it is now.
This new deal isn’t on the Disney site yet. It won’t be there until 2/9 I am told.
We were considering a trip off site in July using SPG points…it might be a better deal to save the points for another trip and get in on this offer.
I’m wondering if this will be every week or just select weeks through August. I have a feeling they’re not going to include Fourth of July… which is a bummer.
This is the third time they’ve extended this offer. It looks like Disney is hurting for guests… might be a less-crowded time to travel! :laugh:
We were already thinking about going in early-Mid August, so this might just help to convince us! Does anyone know if you have to complete all 7 days/nights by Aug. 15th, or would you just have to check in by then? I was originally thinking more like the 14th-22nd, but I’ll adjust if I need to in order to get this deal!
UPDATED: Disney profits fall, company will extend resort discounts
posted by Jason Garcia on Feb 3, 2009 7:59:24 PM
The Walt Disney Co.’s profit plunged 32 percent during its most recent quarter, the company reported Tuesday, as theme-park attendance, DVD sales and advertising revenue all slumped in what Chief Executive Officer Bob Iger said was probably “the weakest economy in our lifetime.”
The results for the company’s fiscal-year first quarter fell significantly short of analysts’ expectations, as the effects of a worsening recession spread throughout Burbank, Calif.-based Disney’s sprawling media-and-entertainment empire.
Disney said it earned about $845 million during the three months that ended Dec. 27, compared with $1.3 billion during the same period a year ago. Total revenue fell 8 percent to $9.6 billion.
Excluding one-time gains from the sale of investments in two Latin American pay-television services, Disney earned 41 cents a share during the quarter. Analysts polled by Thomson Reuters had expected, on average, 52 cents a share.
“They’re definitely starting to feel the effects of the slowdown, which they really hadn’t up until now,” said Larry Witt, an analyst with the stock-research firm Morningstar Inc.
All of Disney’s major business segments suffered during the final three months of the calendar year, including its theme-parks division, which accounted for more than a quarter of the company’s overall revenue. The parks-and-resorts unit’s revenue dropped 4 percent to $2.7 billion and its operating profit slumped 24 percent to $382 million.
Disney blamed much of the division’s quarterly slide on weakness at its domestic resorts. Attendance fell about 5 percent from a year earlier both at Walt Disney World and at Disneyland in Anaheim, Calif., and guests’ spending was essentially flat.
Occupancy in Disney’s hotels, which are heavily concentrated in Orlando, fell “mid-single digits” to 85 percent, though hotel guests spent slightly more money per room on average. The division also recorded a $40 million loss from fuel-hedging contracts that soured as oil prices dropped.
Looking forward, Disney said hotel-room reservations for its second and third fiscal quarters are running ahead of last year’s pace, thanks largely to the strength of Disney World’s “buy four nights, get three free” promotion, which became available earlier this year.
As a result, Iger said, Disney is extending the travel period covered by the discount from June 27 until Aug. 15.
With the promotion, Disney is sacrificing lower hotel-room revenue to keep tourists moving through its theme-park turnstiles. Iger said the company is willing to accept the lower profit margins because the parks serve as important brand builders, exposing guests to the movies, television shows, merchandise and other products that Disney also sells.
“The experience that people have when they visit our parks is one that is very good for our brand. There’s also a strong word-of-mouth factor, as well; people who go tell other people what their experience was,” Iger said. “Keeping the pump primed, so to speak, is very, very important for this business, even though it has resulted in some reduction in margins for us.”
Hal Vogel, president of Vogel Capital Management and the author of Entertainment Industry Economics, said it is a smart strategy.
“The brand is important for the long run, and I believe that they’re really doing the right thing,” Vogel said. “But they’re going to have to go through this extended period of time when the margins are not anywhere close to what they used to be.”
Disney, which typically commands premium prices for its products, could risk diluting that premium if consumers come to expect deep discounts. But Morningstar’s Witt said that is unlikely, given the depths of the current recession.
“I mean, if you did it every two or three years, maybe. But the recession that we’re going into is not an every-third-year type of event,” Witt said.
Companywide, Disney’s deepest losses came from its film division. Executives said that was in large part because of a weaker slate of DVD releases compared with last year; films such as WALL-E, The Chronicles of Narnia: Prince Caspian and Tinker Bell failed to match prior-year hits such as Pirates of the Caribbean: At World’s End, Ratatouille and High School Musical 2.
Revenue and operating profit also sank at Disney’s media networks, as advertising revenue fell at both ESPN and ABC.
Faced with a bleak economic outlook, Disney executives vowed to press forward with more cost-cutting initiatives. The company earlier this month offered buyouts to more than 600 executives at its U.S. resorts and announced plans to cut 400 jobs in its television division.
Iger declined to reveal a targeted number for cost savings. But he said Disney will be “very aggressive” in slashing costs.
“Some announcements have already been made…Some you’ll see in the months ahead,” Iger said. “The number is going to be very significant.”
I’m glad some people are getting good deals on Disney vacation (which is soooo rare), but the down side is that these cuts really hurt Disney’s bottom line, which hurt it’s ability to expand in the future.
Two sides of every coin…
We’re already booked for July 24st-August 1st. That’s a 9 day stay. Can we use the 4 get 3 free deal and stay longer than the total 7 days offered?
Yes, you can, but you will still pay for the other days, as in, Disney will only pay for three. You have to stay at least 7 to get the deal.
I’ll take 3 FREE any time!!!
The Disney website still hasn’t updated the extension. Is it February 9th that they’re extending it? For some reason, that date is popping up in my head.
I’m really curious as to what weeks the deal will be available.
I am so excited!!! Our only opportunity to go on vacation is in the month of July. I have been away from the site for quite a few months and I was wondering if I had missed any summer news deals. This would be wonderful.