RESALE POLICY CHANGE!

[Firepath]

I just tried logging in to my DVC account and got a new notification. Here is part of it:

 

[KAT4DISNEY]

Nothing on mine. Yet.

Never mind - under notifications. Nice 25th Anniversary present from Mr. Potrock. It's finally time to stop calling it a club.

 

[ziravan]

Still not enough to pay retail.

But. Very spiteful.

So. New effective strategy: buy 150 points resale and add a 25 point direct kicker. This new restriction will only work if DVC goes back to not selling small contracts.

 

[KAT4DISNEY]

Very good word. Spiteful is how I referred to the restriction from the Member cruise back in 2011 and this just builds on that. I mentioned elsewhere that these member events are really pretty new and generally not announced far enough in advance for anyone other than local members to take advantage of unless one happens to already be going. So just giving something and then taking it away is rather ridiculous.

The discounts. Pretty much match up with AP provided discounts but I haven't found the details on the restrictions yet.

 

[Firepath]

As of right now the page for DVC Annual Pass ordering doesn't list this restriction, but the Upcoming Events pages do (AK Safari Spectacular, etc).

 

[avidadventurer]

Still not enough to pay retail.

But. Very spiteful.

So. New effective strategy: buy 150 points resale and add a 25 point direct kicker. This new restriction will only work if DVC goes back to not selling small contracts.

That's what I hear, a minimum amount will be set in place.

 

[ziravan]

So. You want 150 SSR points, with current rate resale around 90 and direct 140.

3 options:

1. Buy direct 150 x 140 = $21,000.

2. Forget the extras and buy 150 resale 90 x 150 = $13,500

3. Buy 125 resale at 90 and 25 direct at 150 (125x90) + (25 x 140) = $14,750.

The question now isn't if direct is worth the $7,500 premium. It's not.

No. The question is whether the discounts and events are worth the $1,250 to add a kicker to your purchase. Maybe. Maybe not.

 

[ziravan]

That's what I hear, a minimum amount will be set in place.

We shall see. Do you know how many Poly contracts are 25 and 50 point add ons? Tons.

It wouldn't take very much of a barrier to entry before this cuts into direct sales more than it encourages them.

 

[avidadventurer]

So. You want 150 SSR points, with current rate resale around 90 and direct 140.

3 options:

1. Buy direct 150 x 140 = $21,000.

2. Forget the extras and buy 150 resale 90 x 150 = $13,500

3. Buy 125 resale at 90 and 25 direct at 150 (125x90) + (25 x 140) = $14,750.

The question now isn't if direct is worth the $7,500 premium. It's not.

No. The question is whether the discounts and events are worth the $1,250 to add a kicker to your purchase. Maybe. Maybe not.

The 25 points isn't gonna work, do you honestly think DVC didn't think of that? Lmbo,

 

[avidadventurer]

The 25 points isn't gonna work, do you honestly think DVC didn't think of that? Lmbo,

And that's only saving $197 a year at the $13,500 resale purchase price. So again is it worth it? A lot of people look up to members on here for sound advice, this is a legacy product, don't sell someone short because your math doesn't add up, I had same thing happen to me with a purchase and now that I have a family and own DVC I feel that my experiences should be shared and shared fairly.

 

[avidadventurer]

We shall see. Do you know how many Poly contracts are 25 and 50 point add ons? Tons.

It wouldn't take very much of a barrier to entry before this cuts into direct sales more than it encourages them.

Your wrong, especially with all the expansions that I have read about at Disney, and I looked into that as well with help from my father that is a Real Estate and Buisness attorney, he said avg points pkg is about 130 and its cash only from what I was told for 25-49 points and minimum as new member is 50 at this time, so your info is inaccurate, sorry

 

[ziravan]

The 25 points isn't gonna work, do you honestly think DVC didn't think of that? Lmbo,

Potrock's letter doesn't address raising minimum purchase points which are currently 25 points for most resorts for add ons.

If they raise that minimum, then that will cut into sales, especially at Poly.

If they set a minimum purchase for qualifying (you can buy smaller contracts but you must own X number of direct points to qualify as a direct purchaser), then that's it's own monkey. Good luck telling direct purchasers that they don't count and then completing the sale.

No. $170/point is a model that depends on small add ons. That's the case with Poly, anyway. DVC is at risk of breaking their current model if they try to raise the threshold.

 

[ziravan]

Your wrong, especially with all the expansions that I have read about at Disney, and I looked into that as well with help from my father that is a Real Estate and Buisness attorney, he said avg points pkg is about 130 and its cash only from what I was told for 25-49 points and minimum as new member is 50 at this time, so your info is inaccurate, sorry

Someone buying resale and then adding a kicker wouldn't be a new member.

 

[avidadventurer]

Potrock's letter doesn't address raising minimum purchase points which are currently 25 points for most resorts for add ons.

If they raise that minimum, then that will cut into sales, especially at Poly.

If they set a minimum purchase for qualifying (you can buy smaller contracts but you must own X number of direct points to qualify as a direct purchaser), then that's it's own monkey. Good luck telling direct purchasers that they don't count and then completing the sale.

No. $170/point is a model that depends on small add ons. That's the case with Poly, anyway. DVC is at risk of breaking their current model if they try to raise the threshold.

Like I said very very very few 25-50 point contracts are sold, we researched this trying to determine the best time to buy ( total points vs points left to sell) price increase vs my gains in market daily on my estimated purchase price ) Trust me I do this for a living...

 

[LisaS]

Near the end of the notification it states:

In the coming months we’ll be bringing you even more spectacular Membership Extras as part of the anniversary, from exclusive merchandise and one-of-a-kind events (including exciting plans for the West Coast) to an all-new Member Lounge opening later this spring in the Imagination! Pavilion at Epcot.

So it sounds like the new Member Lounge at Epcot is considered a "Membership Extra". Are they really going to verify how and when a family purchased DVC before admitting them into the new lounge and turn people away if they own only resale contracts purchased after April 4, 2016?

 

[avidadventurer]

Like I said very very very few 25-50 point contracts are sold, we researched this trying to determine the best time to buy ( total points vs points left to sell) price increase vs my gains in market daily on my estimated purchase price ) Trust me I do this for a living...

It's all public record.

 

[avidadventurer]

Near the end of the notification it states:

So it sounds like the new Member Lounge at Epcot is considered a "Membership Extra". Are they really going to verify how and when a family purchased DVC before admitting them into the new lounge and turn people away if they own only resale contracts purchased after April 4, 2016?

No more cards will be issued for members is what I was told

 

[ziravan]

It's all public record.

Yes it is.

About half of Poly contracts sold thus far are add ons of 75 points or less, and the majority of those are 50 or less.

Even if DVC set the bar at 50, then add a 50 point contract to Vero Beach at $110 and immediately rent out 2015, 2016, and 2017 points...

 

[LisaS]

No more cards will be issued for members is what I was told

I assume you mean no member ID cards for resale buyers. So they would be shut out of BLT's TOWL lounge as well, plus not be eligible for any member discounts.

 

[ziravan]

But. This is how I'm going to choose to respond to what I feel is spite from DVC.

I bought a Poly contract with financing (a bridge loan for us but that's neither here nor there). Today, I'm going to begin the process to transfer that loan to Monera.

My personal way to penalize spiteful behavior.