Rumour- Minimum Number of Direct Points For Perks Going To 125

[tigger48]

It seems a counter intuitive move at the moment to me but what do I know?! The current “incentives” on sold out resorts or RIV are pretty derisory imho. The so called benefits are virtually none existent just now and don’t even get me started on the inability to renew an AP. Can’t see what DVC hope to gain given general economic conditions. I’ll stick with resale going forward as I already have the direct benefits- just have to find some in the current climate.

[PoohBears#1fan]

I never really understood why they reduced it in the first place, it was always 150. Seemed like a strange move, I guess it was to tempt people away from buying resale.

[Rapscallion]

Originally Posted by PoohBears#1fan

I never really understood why they reduced it in the first place, it was always 150. Seemed like a strange move, I guess it was to tempt people away from buying resale.

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From my experience attending the sales centre I found that they were usually quite happy to propose small contracts (75 points) to get a sale from us as first timers, even though those small contracts wouldn't really get me what I really wanted in vacation terms. They would focus on the possibility of increasing your share further down the line.

Not everyone can afford to buy 150 points of course and I assume lowering the sticker shock to entry would encourage additional sales. I'm sure they would rather a potential customer purchase 75 points than none at all.

[YorkshireT]

I don’t know if it still happens but if you read Iger’s book he talks of how Disney put everything through a number crunching data analysis unit before making decisions. He scaled it back as it was basically running and controlling everything but it wouldn’t surprise me if they still operate like this given their penchant for surveys etc. Maybe they are cleverer than us all and it is a great move.

The post about short term KPIs and getting a mad rush to ‘top up’ before the minimum buy in goes up though, has a ring of truth...

[skstorm]

I was thinking about doing a direct add on originally at 25 points but my first contract hadn't come through then, considering again this year but honestlyI would struggle to justify it at all now considering the price difference

[skstorm]

I was thinking about doing a direct add on originally at 25 points but my first contract hadn't come through then, considering again this year but honestlyI would struggle to justify it at all now considering the price difference

[YorkshireT]

Originally Posted by skstorm

I was thinking about doing a direct add on originally at 25 points but my first contract hadn't come through then, considering again this year but honestlyI would struggle to justify it at all now considering the price difference

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At 25 it was worth it- those tiny contracts are also snapped up and will hold great value. Free points if bought near use year, small closing. And benefits. It was a bit of a no brainier to get benefits.
Now for benefits? No way!

[Lizzim]

Originally Posted by PoohBears#1fan

I never really understood why they reduced it in the first place, it was always 150. Seemed like a strange move, I guess it was to tempt people away from buying resale.

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We only bought 100 points direct back in 2010, we only wanted enough points for about 1 week every year and we have managed quite happily so far.

We’ve even done a 2 bed, a treehouse and a grand villa (the last one for 1 night)

[JasonErpelding]

Originally Posted by PoohBears#1fan

I never really understood why they reduced it in the first place, it was always 150. Seemed like a strange move, I guess it was to tempt people away from buying resale.

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Anyone remember when they first opened and the minimum was 230. .

Jason Erpelding
Lic. Real Estate Broker
Buy and Sell DVC, Inc.®

[Guest]

Originally Posted by PoohBears#1fan

I never really understood why they reduced it in the first place, it was always 150. Seemed like a strange move, I guess it was to tempt people away from buying resale.

See more...

They put the prices up so much that they needed to drop the minimum buy in to actually get people to buy. Prices have more than doubled yet they still want people to buy their product, therefore they need to offer it in a smaller package. It's a bit like making Mars bars half the size but keeping the price the same .

YorkshireT - I would be very surprised if they didn't have a data science team looking at the projected impacts of these changes both in short and long term. There can be challenges in translating data and detailed numerical analysis into something that can be understood and used in a meaningful way by commercial or marketing teams. It may well be that this lack of understanding is what Iger referred to in the past.

I would be interested to see the thinking behind this one. My gut says that the people visiting right now are a lot more financially stable (because they can afford to go mid pandemic) and won't question a higher minimum buy-in. Also that announcing it ahead of time will get them a rush of cash which will support short term. They can always drop it again with no notice if feedback suggests it is preventing sales.