Why? Well here are just a few of the reasons, speculations, facts(?) that are leaving a bad taste in many Disney fanboys’ (and girls’) mouths. I can’t speculate or even substantiate any of these, but here are just a few:
But IMHO this should be an exciting time for any Disney Parks fan, and here’s why.
First, remember that a success in Shanghai means everyone wins. Iger, the Disney Company as a whole, you, me, everyone. The fact of the matter is that anything that contributes to the Parks and Resorts division revenue makes Wall Street happy, and when Wall Street is happy, we get to reap the rewards. The larger the Parks and Resorts division becomes, the more visibility, funding and importance is placed on it. So (in theory), if Shanghai is a success, that means more money for the entire division, which means more new rides, lands and expansions for us. If Shanghai were to fail or miss expectations, more money will be funneled to fix it, which means less for everyone else.
Second, like him or not (I happen to), Shanghai is Bob’s baby. His contract was extended (in part) so he could see Shanghai through to grand opening, now that it is here, I speculate one of two things will happen: either Bob will finally vacate his post (soonest would be 2018, due to the latest extension ask from the board) thus bringing in some new blood which should make a lot of Iger-haters happy, or he will continue on indefinitely as CEO. Now, this next statement won’t win me any new friends, but I happen to think that Bob is more of a parks guy than most people. Yes, we went through a rough time where everything at every park started to stagnate, especially stateside. We watched in horror as the parks went underfunded and Disney began to fail to live up to its own lofty standards. But remember that we are in an unprecedented time of expansion for Disney parks…yes, even stateside. Pandora, Cars Land, DHS re-imagining, Disney Springs, Hong Kong Disneyland expansion, Ratatouille, Shanghai, Disney Cruise ship revamps (and two new ships coming) all came out of the Iger era. So let’s give Bob a little credit, I think he likes parks more than his actions show. Also remember, that under Bob, Parks and Resorts overall operating revenue has reached its highest levels ever, and now accounts for over 30% of total Disney Company business. So say what you will, but I’m with Bob.
Lastly, all of the effort, skill and innovation that has brought Shanghai Disneyland to life is a great asset to Disney and us theme park fans. It’s only a matter of time until we see the learnings from Shanghai brought to stateside parks. Disney has done several things for the first-time ever over in China, and now (or soon), the team over in China will come back, hopefully with some amazing things to implement here in the US. Can you imagine if DHS phase 3 included a ‘Treasure Cove’ or ‘Adventure Isle’ with a clone of the Indiana Jones Adventure ride, Pirates Battle for Sunken Treasure and an updated Indy Stunt Show?! Just sayin.’
So whatever your opinions are, let’s agree that from what we’ve seen, Disney brought it’s A+ game to China. As for Disney, I’m wishing them well in China and looking forward to them bringing that A+ game back to the states. As for me, I’m going to re-watch YouTube on-ride videos of Pirates and Tron Lightcycles…for the hundredth time and smile ear to ear.
More Shanghai Disneyland Coverage:
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Meanwhile, isn't it great that all these amazing new attractions were built halfway around the world, where most of us will never be able to afford to go?? Oh sure, YouTube videos really make me smile. I love knowing that all these great attractions are nowhere near me.
How successful can Shanghai Disney be, considering it cost $6 billion to build? If the Shanghai park is profitable, those profits will be reinvested in new Shanghai attractions and more Disney stock repurchases. American parks will continue to be starved of funds, until Disney fans vote with their feet and vacation at Universal instead.
Wall Street is not your friend. Bob Iger is not your friend. They don't care about losing your business until it hurts their profits. Fire Bob Iger, fire Bob Chapek and spin off the ESPN/ABC networks into a separate business. The next Disney CEO should focused on theme parks and rebuilding customer goodwill.
I didn't see on the quarterly reports where the executives took a pay cut or had their bonuses reduced. Shouldn't they be the first one hit since they make the decisions and not the American park guests...
Also the Indiana Jones reference was more of a personal opinion of an additional attraction that would fit well in a clone of 'Adventure Isle', not a lift/land from Shanghai (sorry, reading that again it is confusing).
Thanks for reading and love the conversation!
Disney fans will benefit when the two Bobs (Iger/Chapek) lose their jobs.
The sooner Shanghai Disney fails, the sooner our long Iger/Chapek nightmare will come to an end.
I think the reason why people get so mad and frustrated at Iger is because they don't really know what it takes to run a theme park. They see some of the amazing stuff that Disney has done overseas like Journey To The Center of the Earth and Mystic Manor, or how Universal came out of nowhere and broke new ground with Wizarding World and decided that that's how every new theme park attraction/land should be. When really, attractions like JTTCE and lands like WWOHP are the exception, not the rule. It's like if you go into every movie expecting quality on the level of Citizen Kane; you're already setting yourself up for disappointment. Those attractions probably took years to plan out and craploads worth of money to construct. If they were failures, they would've probably made huge dents in their respective companies. True Disney fans know that all of the great, classic Disney attractions weren't just planned, designed and built in a year or two. Most of them took almost a decade to make, and most of that time was spent on the drawing board, the Imagineers just throwing around ideas, trying to find out what would work and what wouldn't. And look at the results: POTC, Haunted Mansion, the three Mountains, TOT, Indiana Jones Adventure, all wonderful attractions that all still hold up to this day.
With that said, just because their hasn't been a lot of new stuff at WDW lately doesn't mean there's anything new or different to experience. That's the beauty of WDW being so damn big; even if you've been visiting pretty much your whole life like I have, there's always something new to see or do that you missed the last 1,000,000,000,000,000,000 times you visited. And see, that's why Iger hasn't been investing that much into the American parks: they don't need that much investment. At least compared to the international parks. Disneyland and WDW are literally the most highly attended theme parks in the world. It's the foreign parks-particularly Paris and Hong Kong-who need the most TLC. And quite frankly, I think some of the people on this thread are kinda selfish for only wanting America to have the latest and greatest in terms of Disney theme park attractions. The Disney fanbase isn't exclusive to the States. There's tons of hardcore Disney fans in other countries as well, including Europe and Asia. Unfortunately for those people, a lot of them probably won't ever visit America and as such will never be able to experience Disneyland and WDW. So instead of bringing them to the Disney Magic, why not bring the Disney Magic to them? Iger has kept all of this in mind. Yet at the same time, he has still been investing in the American parks where it was absolutely necessary. During his first years as CEO, DCA was considered one of the most underwhelming parks in the Disney chain, now thanks to him it's considered one of the best. Why? Because Iger is a really smart man who I agree deserves a lot more credit than he gets. We Americans of the Twenty-First Century tend to have a natural skepticism of those who have a lot more money than us. As such, when they do something we dislike, we immediately treat them like they're nothing more than greedy bastards. But I challenge any and all Iger haters to, for just a short period of time, actually be a park executive. Not even for a big park, just a simple regional park, just for about a week or a month. Once they see how difficult it is, and then start to think about what it would be like to run something huge like a Disney park, they would have a newfound respect for Iger. With that said, I think a change in hashtags is in order:
#KeepIger #KeepChapek
The amount of active investment Pandora, STAR WARS Land, Toy Story Land, Disney Springs, FP+, classic ride pluses, traffic mitigation in and out of the park, new hotels, etc. highlights sufficient investment is taking place in the domestic parks.
The plans to expand the half-day parks in FL are in progress. Further attention needs to be given, and is already planned for, to DCA. It remains a half-day park.
Further attention needs to be given to the international parks, beyond the Disneyland Paris recapitalization. With an almost 80% ownership in the holding company, plans are already in action. Hong Kong is a wait and see, the question being asked internally... Will it compliment and flourish or compete and suffer in relation to Shanghai?
The bottom line...
The WD Co. is a global business and should continue to be run in such a manner.
The result? Lots of failures so far, and, as others pointed out, Shanghai costs so damn much that it will take forever for them to make back their investment (if ever). As for Tokyo Disney, it's great and successful because it's NOT owned by Disney.
As for Pandora, Star Wars Land, et. al., now we know what to compare them to. If the quality of those new lands pales compared to Shanghai, we have definitely been short changed.
I'll say one thing: during all the time that they've been building Shanghai DL, no stateside addition comes close to that new Pirates ride. RSR is a solid E Ticket, but it's just not at the same level.
I ask again: why, oh why, couldn't they have just built these great new attractions in the stateside parks, instead?? Any great new addition to already successful parks is SURE to make its money back, many times over. It's a smart INVESTMENT. Shanghai is a gamble.
True, but don't forget the CM's. They also took it in the teeth.
Iger is investing a lot of money, but what is the quality of those investments?
Why did MyMagic+ cost more than $1 billion? Why did Shanghai Disney cost $6 billion? Why did Iger repurchase billions of dollars in Disney stock at a time when cable cord-cutting is accelerating?
How long can Disney continue to raise prices in the American parks, while holding down ticket prices overseas? Why are Shanghai Disney ticket prices roughly half the price of American tickets? Disneyland tickets cost $33.00 in 1995 when Indiana Jones Adventure opened. Today, Disneyland tickets cost $119. Disneyland has not opened a major attraction since Indiana Jones. Where is the added value for American fans? How many Chinese need to visit Shanghai Disney to generate the same revenue as American parks?
Where is the upside to owning Disney stock?
If Shanghai fails, the domestic parks will suffer.
If Shanghai succeeds, the domestic parks will suffer.
Unfortunately, you just might be right.
Q: I didn't see on the quarterly reports where the executives took a pay cut or had their bonuses reduced. Shouldn't they be the first one hit since they make the decisions and not the American park guests..."
A: The American park guest has yet to report they are suffering. Attendance at WDW and Disneyland continues to increase. Significant investment at WDW and Disneyland continues.
COMMENT: True, but don't forget the CM's. They also took it in the teeth.
RESPONSE: Can you provide facts backed up with statistics???
Because the stateside parks are drawing record crowds, record attendance and record spending all without multiple new attractions.
Like or it loathe it makes no difference - Disney is a BUSINESS first and foremost.
They care too much about their bottom line...and their almighty bonuses, of course. Where does all that bottom line money come from? From the guests! Might it not be a good idea to keep your customers happy??
If they just focused on creating the best possible product, the bottom line would take care of itself. No need for cynical, manipulative games and bean counter b.s. Create greatness, and people will beg to give you their money. You won't have to con them.
Business 101?? No, that's just robbing Peter to pay Paul, which is bad business. You undermine strong parts of your conglomerate, to prop up weak, dying ones -- in other words, throwing good money after bad.
The CMs took to social media en masse to protest the draconian cuts to their hours. That's a fact. Since you seem to know it all, why don't you tell them why they shouldn't complain that they can't pay their bills??
"Disney is a BUSINESS first and foremost." This statement makes the naive assumption that they can do no wrong, and every move they make is the best business move -- so how can we possibly criticize anything these brilliant business geniuses do? So wrong, and so unsupported by the company's history of cynical, short-sighted moves.
By the way, I'm speaking from the perspective of fans. You guys sound like you should be writing up press releases on the company payroll.
COUNTER QUESTION: What stats can you use to support your statement?
COMMENT: "You won't have to con them."
COUNTER QUESTION: What stats can you use to support your statement?
Q: Business 101??
A: I was referencing a college level course. Domestic parks would be described as being in the 'everygreen' stage.
COMMENT: CMs took to social media en masse
COUNTER: True and used the #ThanksShanghai to generate publicity. As a HR professional we are ALWAYS tasked with reducing expenses via headcount or hours. FT hours are not cut because they are full-time. However, PT hours are continually in a state of flux because they are hired with the knowledge their hours will fluctuate based on need and budget.
THe WDCo is a global business and needs to be run as such. As DIE HARD DISNEY fans we sometimes find ourselves with tunnel vision. Spend whatever it takes to make the parks superior. New 'e-ticket' rides every year in every park, etc. We make statements with no statistical backing, even when statistics proving us wrong are easily available online. The greatest thing about the www is we can be wrong all day long!
Iger is investing a lot of money, but what is the quality of those investments?
Why did MyMagic+ cost more than $1 billion? Why did Shanghai Disney cost $6 billion? Why did Iger repurchase billions of dollars in Disney stock at a time when cable cord-cutting is accelerating?
How long can Disney continue to raise prices in the American parks, while holding down ticket prices overseas? Why are Shanghai Disney ticket prices roughly half the price of American tickets? Disneyland tickets cost $33.00 in 1995 when Indiana Jones Adventure opened. Today, Disneyland tickets cost $119. Disneyland has not opened a major attraction since Indiana Jones. Where is the added value for American fans? How many Chinese need to visit Shanghai Disney to generate the same revenue as American parks?
Where is the upside to owning Disney stock?
The question is: why haven't they built anything this good in the stateside parks?? Apparently, because they had to overspend on their latest international misadventure! Three billion freakin' dollars over budget!! My God, what a waste of our money (yes, our money -- the money that park guests have shelled out over the years).
If we're going to pay ever-escalating vacation costs, while sharing the parks with ever-growing hordes which impact the quality of our vacations, we'd like to see reinvestment in the parks we visit.
Well, we saw reinvestment, all right -- and you can watch it all on Youtube, since most of us can never afford to travel to Asia.
Once again, with feeling: #ThanksShanghai
P.S: Chapek (an almost perfect anagram for "cheap") is pretty much the worst imaginable parks chairman. All he cares about is slashing budgets, and his only creativity is in finding sneaky ways of doing that without getting fans so pissed off that they stop coming. He's the anti-Walt.
Oh great, we're hearing from a HR guy who makes a living cutting other people's living...
If a company cuts hours or initiates layoffs in order to survive, I can understand that. But Disney is a thriving, multi-billion dollar business, and the parks division is going gang busters. Any cuts have to do with greed, not need. That, and a slavish devotion to keeping Wall Street happy, by covering up the impact of their blunders.
Operating hours at the parks need to be reduced. Prices of APs need to be dramatically increased. More premium/upcharge events need to be added. Best seats for shows and spectaculars need to come with a cost.
The domestic parks are in the 'evergreen' business phase. They will supply the funds to expand internationally. And international expansion must be PRIORITY #1.
The repair of Disneyland Paris has begun [it must with DIS owning 80%] and expansion is planned for. Funding provided by the strength of the domestic parks.
The expansion of Disneyland Hong Kong has begun, but a wait and see may be necessary if Shanghai effects Hong Kong's admissions. If expansion moves forward, funding will be provided by the strength of the domestic parks.
COUNTER COMMENT:
You're right! NONE of the MASSIVE EXPANSIONS currently in the construction phase are "reinvestment"...
Hollywood Studios -- STAR WARS land and Toy Story land [Unannounced: Cars land]
Magic Kingdom -- New Fantasyland [Unannounced: Frontierland expansion]
Animal Kingdom -- Pandora, water show
E.P.C.O.T. -- ???
Disney Springs -- massive expansion [unannounced: expansion via waterfront acreage currently a parking lot]
Disneyland -- Star Wars land [unannounced: Star Wars land expansion pad and Fantasyland expansion]
DCA -- [unannounced Marvel miniland]
Downtown Disney -- [unannounced expansion]
As for the shareholder above, thank goodness you're not in charge. You would gut the domestic parks to throw good money after bad overseas. They've already done too much of that foolishness.
Your beloved international expansion has resulted in one hugely expensive mistake after another.
Buddy, we don't give a crap about your 401K. Go ogle your portfolio and don't bother posting in fan forums. You have zilch to say that could possibly interest us.
http://www.ocregister.com/articles/disney-719712-park-theme.html
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1. With the exception of Tokyo Disneyland, Disney's foreign parks are not successful. Hong Kong and Paris both suffered from declining attendance and revenue deficits.
2. Shanghai Disneyland went overbudget just like Paris. Can it overcome its spending? I heard on Asia broadcasts that daily attendance is a healthy 50K. Only if this can be maintained for a few years will there be relief.
3. While I don't believe Disney is starving American parks especially with new attractions announced and already finished (DCA's Cars Land), the latest technology and projection driven attractions has not reached us here. That's the big disappointment. Let's hope Animal Kingdom's Avatar and Disneyland's Star Wars can bring us some happiness and soon.
4. Stop cutting back on services and the upcharging events are ridiculously exploiting goodwill. Shifting budgets of US parks for foreign parks is not a good sign, which is why I'm not returning until the new attractions are opened. Everyone going now is paying for foreign parks.