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View Full Version : Does magic Bands = spending more



waymickey
11-18-2013, 07:02 PM
On my last trip to the World I spent very little after the inital cost of the vacation. My family ate out just once a day and I ordered off the kids menu whenever I could. I did not buy mugs for soda, instead we brought a case of water and nesquick small drinks. I really wanted to buy a new t-shirt or sweatshirt or something but alas we only came home with a keychain from the beach club. I just could not find anything that made me want to part with my hard earned money. In all after 10 days out of pocket was just $300.
No I did not have a magic band and Yes I had twinges of jealousy when I saw them on others wrists.:envy: We did stay on site.
I keep hearing that the magic band is going to increase spending. I just don't see how. I for one do not find it a hassle to reach in my pocket which is just an arms reach away and pull out my KTWK to charge purchases. So how will having mickey on my wrist cause me to want to spend more? Is it more than a rubber band? Does it have some magic powers that makes me lose my ability to make financial decsions? For those of you that have got to use it did you spend more?

DizneyFreak2002
11-18-2013, 07:07 PM
No... the only thing that will cause you to spend more is you having no control... A smart person will not let the band trick them into spending more than they budgeted for... And if they do allow it, then they deserve to be raked over the coals... Of course, this is the kind of guest Disney wants... One who is easily led to do their bidding...

I just returned a few weeks ago.. I had the bands... Never once did I have the urge to spend more... So in the end, it is all on you... Only you can control how much you spend, even though Disney seems to think they can control it... THIS is where this NextGen, MyMagic nonsense will fail...

BTW, I spend not one dollar on merchandise... Not going to buy their cheap garbage!!! :)

vicster
11-18-2013, 09:32 PM
Why do you think magic bands will make you spend more money? :confused:

thejens
11-19-2013, 01:16 AM
On our last trip we had regular cards, but when I saw folks with the bands wearing fancy covers and decorative embellishments to the bands I realized the genius of the bands. Get people to buy a ticket, buy a cover for their ticket, maybe several different covers to go with each of their different colored micky t shirst and then buy special decorations for their ticket...well, that would definitely increase spending. Now if folks can spend less time on rides and more time in the gift shops and also find it convenient to shop using the bands...

Too bad they don't put more energy into creating more unique items to actually purchase.

ibelieveindisneymagic
11-19-2013, 08:15 AM
I think it will increase spending for many. The MB lets you be one more step away from "real money" and it will be easier for some people to spend more without thinking of it.

With a KTTW card, it was similar to charging to a credit card, or using a debit card. There was some realization that it was "real money" that was being spent. With the MB, for some, it won't seem that way, super easy just to flash your band and off you go, especially for small purchases. Disney is counting in people not thinking about how all of those small purchases add up.

PopPhan
11-19-2013, 08:55 AM
Jedi mind trick --- It's just a MagicBand...It's not "real" money!!!

For those easily swayed into making frivolous purchases, this will increase spending. For those who are more budget conscious, nothing will make them spend more than they have budgeted.

As DF2K said, the easily swayed are the type that The Disney Company is targeting.

dnickels
11-19-2013, 08:58 AM
Like the previous poster said, there's a lot of science that shows (on average) the further from having to hand over cold, hard cash, the more people spend. People spend more when using credit cards than they do with cash. Magic Bands are another step away from that and so certainly will add some amount of spending. Americans owe something like $850 billion in credit card debt, so there are clearly plenty of people out there willing to spend more than they actually have the ability to immediately pay back.

With the bands and radio frequency technology Disney can also track nearly everything you do. The more data they can gather on your purchase habits and park habits, the more they can entice you to spend more or book that next vacation even earlier. Just like Facebook and Google send you targeted ads, Disney will be looking to do the same thing.

Whether they can get enough back to make up for the cost of the system remains to be seen.

Ms. Mode
11-19-2013, 09:57 AM
Well, we got our bands in the mail yesterday and I can tell you that DD and I will be purchasing bling for those bands. However, I'm on a budget and all spending comes off my Disney Rewards points/money and if I do charge on the room it is paid off (with cash) before I leave for home. Spending is spending however you look at it. :thumbsup:

Sweetpea29488
11-19-2013, 01:50 PM
Is it still you don't have to attach a credit card to the MB if you don't won't to?

cer
11-19-2013, 02:27 PM
Is it still you don't have to attach a credit card to the MB if you don't won't to?

Yes, as I understand it you are right. You do not have to attach charging priviliges to the bands. (Just like you could opt out of charging privileges with the KTTW cards).

Kenny1113
11-19-2013, 03:07 PM
Well, we got our bands in the mail yesterday and I can tell you that DD and I will be purchasing bling for those bands. However, I'm on a budget and all spending comes off my Disney Rewards points/money and if I do charge on the room it is paid off (with cash) before I leave for home. Spending is spending however you look at it. :thumbsup:

I thought the same thing until I saw how big the jibbet type things are and the $$$$. I wanted the tinkerbell set, but one of them would take up the whole side of my wrist, let alone 3! :(
My son wanted one of the Mickey sliders but it was a 4 pack and $15!!!!

DizneyFreak2002
11-19-2013, 03:45 PM
Jedi mind trick --- It's just a MagicBand...It's not "real" money!!!

For those easily swayed into making frivolous purchases, this will increase spending. For those who are more budget conscious, nothing will make them spend more than they have budgeted.

As DF2K said, the easily swayed are the type that The Disney Company is targeting.

I've said it time and time again... WDW does not want smart guests... They want easily swayed... This is further proof...

Too bad more people are smarter than most... This is not increasing spending despite the poor pathetic spin Rasulo tries to put on it...

BrerGnat
11-19-2013, 06:05 PM
Why do you think magic bands will make you spend more money? :confused:

Disney's initial testing supported this theory. People DID spend more than they anticipated, by close to 20% on average.

It won't work on everyone, obviously. We never spent more when FP started up and that is what drove that as well.

DizneyFreak2002
11-19-2013, 09:01 PM
Disney's initial testing supported this theory. People DID spend more than they anticipated, by close to 20% on average.

It won't work on everyone, obviously. We never spent more when FP started up and that is what drove that as well.

Little secret about that test.... The test subjects were not given a choice... They HAD TO purchase using the band... What kind of results do you think they would have gotten if they were given a choice? Disney swayed and manipulated the results... The tests proved zilch...

BrerGnat
11-19-2013, 09:15 PM
Little secret about that test.... The test subjects were not given a choice... They HAD TO purchase using the band... What kind of results do you think they would have gotten if they were given a choice? Disney swayed and manipulated the results... The tests proved zilch...

That doesn't matter. Once the bands are an option that a person decides to go with, they will likely ONLY have the band. That's kind of the point. The test was to see IF people spent more money when using the band. They did. No one made them spend more. It's basic psychology...using the band is PERCEIVED as "cool, fun, unique." It's a departure from swiping a card, which everyone is used to by now, and people responded to it as though it was not real money they were spending.

Humans are easily fooled much of the time. It is up to an individual to keep his spending in line with his own financial situation.

The tests simply proved the psychology at play and reinforced Disney's decision to invest that much money into the whole system.

Now, I still am highly skeptical that they will ever make this thing work well enough for it to pay off. Disney + End User Reliable Tech has never been a "win win."

DizneyFreak2002
11-19-2013, 09:50 PM
That doesn't matter. Once the bands are an option that a person decides to go with, they will likely ONLY have the band. That's kind of the point. The test was to see IF people spent more money when using the band. They did. No one made them spend more. It's basic psychology...using the band is PERCEIVED as "cool, fun, unique." It's a departure from swiping a card, which everyone is used to by now, and people responded to it as though it was not real money they were spending.

Humans are easily fooled much of the time. It is up to an individual to keep his spending in line with his own financial situation.

The tests simply proved the psychology at play and reinforced Disney's decision to invest that much money into the whole system.

Now, I still am highly skeptical that they will ever make this thing work well enough for it to pay off. Disney + End User Reliable Tech has never been a "win win."

It does matter... The test proved absolutely nothing...

If a guest had budgeted $1000 to spend in Disney on food and merchandise (and why would you???), they would have more than likely spent it with out without the band... Disney forced the participants to use ONLY the band to pay for merchandise and food... Then claimed that family (who budgeted $1000) spent $1000 cause of the band... Now, do that with, say 100 or 500 families, and of course you can then claim spending is up for people using the band... Well duh Disney... That is skewering the results, which is EXACTLY what Disney did here...

The results did not prove guests stupid (guests do that on their own)... The results did not prove people would spend more by using the bands... It only proves Disney had to rig a test in order to try to obtain the result they wanted... The result they needed to sell to investors and to Wall Street because they knew (and know) MyTragic- is a mess and a waste of $2 billion.... Gotta read between the lines... Rasulo, Staggs, and Iger spin nonsense to make it sound better to Wall Street...

Best is, Rasulo has now admitted Disney will NOT make a dime off MyTragic in 2013, 2014.. and Maybe 2015... Seems like such a wasted opportunity to take that $2 billion and invest it, oh I don't know.. INTO AREAS GUESTS MAY ACTUALLY ENJOY IN THE PARKS!!! but that would take common sense thinking.. Something TWDC management does not have...

But, I do see and understand your point about people MAYBE spending more if the purchasing is made easier.. Though, the bands don't make it any easier than using your credit card or cash... And I really don't understand the people who say it was such a hassle to have to go into your pocket and take your card out... Didn't know we got so lazy that reaching into your pocket has now become a chore and tiresome, and a hassle... But anyway, back to the ease, it isn't going to work... And hasn't... People spend their budget... That is it... They have X amount of dollars for Disney, X amount for Universal, X amount for SeaWorld... And that is how they will spend... These mouse arrest bands will not cause smart people to suddenly spend beyond their budgeted money... And if they do, then they deserve to go broke... But again, the suckers are the ones Disney wants.. The easily fooled... The dumb guests...

WiltonJohn
11-19-2013, 11:48 PM
On our last trip we had regular cards, but when I saw folks with the bands wearing fancy covers and decorative embellishments to the bands I realized the genius of the bands. Get people to buy a ticket, buy a cover for their ticket, maybe several different covers to go with each of their different colored micky t shirst and then buy special decorations for their ticket...well, that would definitely increase spending.

Anyone remember "Sneeches with stars"? Peer pressure and keeping up with the Jonses will prevail.

best,

.................john

WiltonJohn
11-19-2013, 11:51 PM
I think it will be more about the long range scanners, targeted marketing going direct to your cell phone, and mainly COST CONTROL for them that makes the additional money.

best,

..................john

JerseyDad
11-20-2013, 12:31 PM
....of course if you have a 'credit card' attached to your wrist ...it may make it easier to 'impulse buy' something.

....I just think that the MB's ....teamed with the FP+ system is what they are counting on as the money maker. With the FP+ you have 3 FP's ...in one park ...within a few hours of one another. You're IN that park ...LOCKED IN if you will ...to use those FP's. There's no incentive to park-hop ...because you'll not be able to use those FP+ appointment elsewhere. In between the times of the FP's 'appointments' ...you are their captive audience to be bombarded with impulse buying stimuli.

....another thing that just dawned on me (I guess that I'm slow?) ...is that if you are park-hopping ...you're not spending money while riding buses / monorails / boats....

....oh ...before I forget ...I saw the "bling" for the MB's while they were testing them on me while at POP in August. I need to say it but: What a completely useless waste of money!!! It's like 'dressing up' one of those "Under House Arrest" type ankle bracelets!!

...oh ...and let me add ...this past trip to WDW in Aug (and part of Sept) ....was one in which we enacted our own personal austerity plan. It was...without a doubt ....the "cheapest" trip we've ever done ...with regards to impulse / unplanned buying. And that was across the board ..in all parks ...and restaurants too (we didn't purchase even ONE dessert for any meal ...and we didn't have a dining plan or free dining ...etc). We did buy some gifts ...but that was planned for ...the usual ...something for the person looking in on the house, taking care of the dog ...etc).

Laughin' place
11-20-2013, 01:24 PM
Too bad more people are smarter than most...

Id like to see your math on that one .....

PopPhan
11-20-2013, 02:45 PM
....oh ...before I forget ...I saw the "bling" for the MB's while they were testing them on me while at POP in August. I need to say it but: What a completely useless waste of money!!! It's like 'dressing up' one of those "Under House Arrest" type ankle bracelets!!

Just remember how much people spent on Jibbitz (I think that is what they were called?) for Crocs when they first came out.....People will spend $$$ to customize/accessorize ANYTHING!!! And the marketing gurus at The Disney Company know it.

TheVBs
11-20-2013, 04:16 PM
I agree with the assessment that there will be people who spend more with the MB. Without a doubt the psychology behind it is sound. The further removed you are from the idea that you're parting with your money, the more you're likely to spend.

Obviously, with the discussion being held among some of the most Disney savvy people, we're more aware of the marketing strategies behind it, and are less likely to fall for it.

On our last two trips, I really wanted to come home with something fun. We had souvenir money ready to burn! But, there wasn't anything that I liked that I felt was worth the price tag. Unfortunately for Disney, a MB won't change that.

As far as blinging them out, sounds kinda fun, but I haven't really looked at the options. Do you reuse them? Or, do they just turn into bracelets after the trip?

DizneyFreak2002
11-20-2013, 06:53 PM
You have to remember: sluggish economy, sluggish job growth, payrolls lowering not rising, higher payroll taxes, less certainty today with economic and financial outlook than previously... Americans do not have that discretionary spending money they once had... Reports in the local paper today say even Best Buy is worried this holiday season cause the extra spending money is just not there...

When I say there are more smarter people than stupid, I mean it... people have woken up since 2008... While they may still be spending, they aren't spending like they once did... That includes vacations... People are not going on as many vacations as they used to... people are traveling for long distance vacations like they once did... People are not spending as much money for vacations as before... That all plays into these bands NOT tricking people into spending more... People will budget and only spend that budgeted money... Most will not be tricked into spending more...

And don't believe the hype that people are buying more merchandise at WDW... They aren't... Spending is only up cause prices have increased... Sales haven't... If you sell 500 tee shirts one year for $20 then the same 500 tee shirts the next year for $40, of course spending went up... Sales, however, didn't... Like I said, got to read between the lines...

Hammer
11-20-2013, 08:47 PM
That doesn't matter. Once the bands are an option that a person decides to go with, they will likely ONLY have the band. That's kind of the point. The test was to see IF people spent more money when using the band. They did. No one made them spend more. It's basic psychology...using the band is PERCEIVED as "cool, fun, unique." It's a departure from swiping a card, which everyone is used to by now, and people responded to it as though it was not real money they were spending.

Humans are easily fooled much of the time. It is up to an individual to keep his spending in line with his own financial situation.

The tests simply proved the psychology at play and reinforced Disney's decision to invest that much money into the whole system.

Now, I still am highly skeptical that they will ever make this thing work well enough for it to pay off. Disney + End User Reliable Tech has never been a "win win."

Agree 100% with Natalie's assessment. The psychology is spot on as well as the assessment of Disney's technical operations.


Too bad more people are smarter than most...

Id like to see your math on that one .....

Absolutely- PT Barnum wasn't wrong when he said there is a sucker born every minute. I know there are plenty of people who are booking WDW vacations and spend thousands of dollars for their trips. Ian has commented on the pod casts the insane amounts of money people have spent booking trips through his wife Trish, who is a travel agent. Disney (or Universal, Busch Gardens, etc.) does not care how profits went up, just that they went up.

Altair
11-20-2013, 09:05 PM
They will make you spend more, they made Disney spend $2 billion. :blush:

Mrs Bus Driver
11-21-2013, 09:35 AM
They will make you spend more, they made Disney spend $2 billion. :blush:

:funny:

JerseyDad
11-21-2013, 10:25 AM
They will make you spend more, they made Disney spend $2 billion. :blush:

....yes ...they did spend $2 billion ...on smoke & mirrors. This whole MB / FP+ / MDE thing is SUPPOSED to make you think everything is all 'special' and "for you ...the guest' ...when all they did was invest in what amounts to be a slight-of-hand system to increase their revenues ...or so they think / hope. All I know is that I usually spend a decent (absurd is a better word) of money at WDW on my trips ...and this past year ...the 'disposable income' just wasn't there ...and I can't imagine that I'm the only one in that position.

....as far as them making things 'better' for the guests ....would an example of that be something like ...oh ...let me see ...having to "ration" FP's for prime attractions at Epcot and DHS because there are too few of said 'headliner" type rides? Oh ...wait ...if there were more of those type attractions ...people would be ON THEM ...and not wandering aimlessly with nothing to do but spend money. Aaaaahh!! Now I get it ...give them NOTHING ...and the bored guest will spend recklessly in order to make up for that big hole in their park visit experience.

....amazing how that 4th cup of morning coffee helps the sarcasm flow!!

JMTStone
11-21-2013, 11:58 AM
I'm with you guys. That band is NOT going to make me spend more.

But the subconscious is funny. There are plenty people I know who will disassociate the money from the colorful bracelet on their wrist. I'm related to some of them...

I'm not one of those people; and looks like people on this board are not these people either. But they are out there. They Are Everywhere

Hammer
11-21-2013, 01:13 PM
I'm with you guys. That band is NOT going to make me spend more.

But the subconscious is funny. There are plenty people I know who will disassociate the money from the colorful bracelet on their wrist. I'm related to some of them...

I'm not one of those people; and looks like people on this board are not these people either. But they are out there. They Are Everywhere
Exactly; and there are more people like you describe than people who aren't.

CaptSmee
11-22-2013, 09:30 AM
Disney's initial testing supported this theory. People DID spend more than they anticipated, by close to 20% on average.

It won't work on everyone, obviously. We never spent more when FP started up and that is what drove that as well.

How is it any different than attaching a credit card to the key card? We always have put a card on it, rarely used it though except for an occasional tip with the dining plan

BrerGnat
11-22-2013, 09:40 AM
How is it any different than attaching a credit card to the key card? We always have put a card on it, rarely used it though except for an occasional tip with the dining plan

It's probably mostly psychological. A wristband is not a card. Swiping a card is our "norm" these days. Holding a wristband up to a Mickey head touchpad and seeing it light up is "fun". The further away you get from feeling like you are using money, the more often people will engage.

Same thing happens to new credit card users. That is why people with issues relating to self control tend to still use cash to pay for things. Keeps them honest with themselves.

WiltonJohn
11-23-2013, 03:43 PM
How is it any different than attaching a credit card to the key card? We always have put a card on it, rarely used it though except for an occasional tip with the dining plan

Same reason that they use chips in a casino, not coins and bills. "Funny money", not "real" money.

Until the mob comes looking for you to pay up. :D

best,

................johnb