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Old 03-11-2010, 04:51 PM   #1 (permalink)
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Premier Annual Pass - Cost/Benefit Analysis

After yesterday's announcement of Disney's new Premier Annual Pass, which is good at both Walt Disney World and Disneyland, it was time to do some number crunching and analysis. Basically, who will benefit, and under what circumstances?

First off, there's no significant benefit to having an annual pass that's good in both Florida and California unless you expect to visit parks on both coasts during the life of that pass. The only goody Disney has added over and above normal Premium Annual Pass benefits is a subscription to Disney Family Fun Magazine (one per household). Well, that, and whatever joy you may derive from flashing and/or talking about your ultra-cool pass.

Disney is automatically issuing this new pass to anyone who already owns both a Walt Disney World and Disneyland annual pass (nearly any variety). While this is cool for now, it makes us wonder what will happen at renewal time. Will a Premier Annual Passport holder be able to downgrade their renewal to a WDW- or Disneyland-only AP (such as the Florida or Southern California resident seasonal passes) and still get the renewal discount? Let's hope so!

There's also the normal risk of having an AP to a distant resort - it may start burning a hole in your pocket. You'll start looking for bargain airfares and lodging for either Anaheim, Orlando, or both, to squeeze one more visit's worth of value out of the pass. You'll keep your eyes peeled for new AP discounts for both WDW and Disneyland hotel stays. In short, you'll spend twice as much time scanning for Disney travel opportunities than you did before. For some, that's a hobby. For others, a curse.

Clearly, a pass like this can be a boon to a certain class of individuals - Disney-focused guidebook authors, bloggers, webmasters, podcasters, and travel agents; DVC and D23 members, Disneyana collectors (including hard-core pin traders)... If they already purchase Premium APs for both resorts, they're saving about $400 adults/$335 children under 10. But just how many of them are there? Of course, they'll now be conflicted over that many more possibilities; more passholder-only special events, more special deals, more, "I've really wanted to be there for Haunted Mansion Holiday (or Star Wars Weekends, Epcot Food and Wine Festival, the opening of World of Color, etc.)." Yes, temptation dances before their eyes, and since some of them will be saving significant amounts of money on admission, the temptation to reallocate the savings to more travel and in all likelihood, to go beyond that budget and spend more than we ever had before, just grows and grows. We can't, after all, credit Disney Parks and Resorts with charitable intent.

But what about the somewhat less frequent traveler, including the locals who live near either WDW or DLR? Will they be able to use this pass every year? Probably not. Before this pass became available, it made more sense to buy an AP at their "home" resort, and buy retail admission for their occasional WDW or DLR visit. Even at this relatively low price, for how many will this make sense? And if it does make sense every couple of years, how many will renew this most expensive pass?

Both Walt Disney World and Disneyland offer a variety of different Annual Pass options. Not surprisingly, only those who already own a Premium pass to one of the two resorts are likely to have an easy upgrade decision.
If someone has a less expensive AP today (especially the Florida resident and Southern California resident passes), there seems little reason to spend so much for relatively short-term access to the "other" park.

Here are the bullet points about the new pass as we know them today:
  • Price: $700 plus applicable CA or FL tax (depends on where you purchase).
  • No children's price, no DVC discount, no D23 discount.
  • Only available for sale at WDW Guest Relations (parks and DTD) and at the DLR Box Office (no online sales).
  • No monthly payment option (for now).
  • Benefits: All benefits offered by WDW and DLR Premium APs.
  • Cards will have "biometrics" for both WDW and DLR (magnetic stripes, bar codes, and photos).
  • Anyone currently holding both a WDW and DLR AP (except for Epcot after 4 and Florida Resident Dream Pass) will be receiving a Premier Passport at no extra charge, dated to expire when the latter of the two passes would have expired (eg. if you have a WDW pass expiring in August and a DLR pass expiring in December, the new pass will expire in December).
So, how do the numbers break down?

WDW Premium AP w/FL tax $659.24
DLR Premium AP w/CA tax $477.41
Premier Passport w/FL tax $722.75 (tax reduced as it includes out-of-state admission)
Premier Passport w/CA tax $730.63
(tax reduced as it includes out-of-state admission)

For WDW Premium AP holders planning to visit DLR, this is a no-brainer. A one day, one-park DLR ticket is $77.94 (tax incl.), while the cost to upgrade to the Premier Passport is $63.51. For children under 10 with a WDW Premium AP, the price difference is $141.26, $10 more than the price of a 2-Day DLR child's Park Hopper. So... maybe just Mom and Dad get the Premier Passport, maybe not, depending on length of stay.

WDW "regular" AP holders have more to think about. At $520.79, adding DLR (and the Premium features for WDW) leaves a $201.96 gap to fill. A regularly-priced DLR 3-Day Park Hopper Bonus Ticket would be needed to break even. For children, the gap is $255. Unless the family is seriously bi-coastal it's probably better if just Mom and/or Dad get the Premier and they paid retail admission at DLR for the kids. If the family pays retail admission for one or two WDW waterpark visits annually ($47.93 adult/$41.54 child, daily), the step-up becomes easier to justify for more family members.

For DLR Premium AP holders, the extra cost is $253.22, less than the price of a 3 day WDW Magic Your Way ticket with park hopping (no plus options, expires 14 days). Still a no-brainer, since who spends just 3 days at WDW?

For DLR Deluxe APs (50 black-out days), the extra cost is $405.48. That's more than a 10-Day WDW Magic Your Way Park Hopper (PH) with the Water Park Fun & More (WPF&M) option (expires 14 days). It seems most likely that just one member of a DLR AP-holding family would upgrade to the Premier Pass (to obtain WDW AP discounts).

When we move into the realm of the "bargain" APs (WDW Florida Resident APs and Southern California resident passports), the cost of an upgrade doesn't seem to justify itself at all. While it's possible that a deep lodging discount coupled with the other savings may justify a step-up, again, it's probably only justified for the one member of the family who will be whipping out the Premier AP to claim the discounts.

Finally, the good news. Since you can only purchase this pass in person at either WDW or DLR, there's less temptation to buy the pass before you know whether it'll work out for you - if you don't know your expected costs (and savings) by the time you arrive at the gate, when will you know? We suspect most WDW passholders will wait until they arrive at DLR to upgrade to the Premier Passport, and vice versa. While it might be nice to upgrade sooner than that for access to both resorts' passholder web sites and newsletter, the only other factor that might be important is advanced access to lodging discounts. So long as Disney continues to be willing to wait until check-in to confirm that the guest has a valid AP, even that is not a consideration.

Now, we haven't tried to estimate the value of the AP discounts available on food, recreation, tours, and (sometimes) lodging. Those can be considerable, but in most cases, as we've already noted, usually only one individual in a family needs to have access to those discounts. Paying anything extra so other family members can have the discount is redundant at best.

So there you are! Maybe it all made sense, maybe not. And of course, your circumstances will be different than others', so it's hard to generalize. In the end, there will be no substitute for crunching the numbers yourself. Good luck!
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Old 03-11-2010, 08:22 PM   #2 (permalink)
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, Dave, for breaking this all down for us!
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Old 03-11-2010, 08:23 PM   #3 (permalink)
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Well put Dave! thanks!
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Old 03-12-2010, 07:53 AM   #4 (permalink)
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Old 03-12-2010, 07:54 AM   #5 (permalink)
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That's an information packed post Dave! Thanks for breaking it down
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Old 03-12-2010, 08:00 AM   #6 (permalink)
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Thanks for the rundown. The new pass doesn't make $ sense to us
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Old 03-12-2010, 09:15 AM   #7 (permalink)
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Okay, I have a question...if I currently hold a WDW AP (std) and want to upgrade to the Premier, how much of a credit would be applied? Is it prorated depending on how much into the use year I am into on my current AP? Does that make sense?

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Old 03-12-2010, 09:20 AM   #8 (permalink)
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Wow - it's a lot to think about! For several years I have had WDW Annual passes ( but have not done Premium in a couple of years ), last April money was tight and I knew that I wanted to go to DL/DCL in October so I bypassed the renewal savings and decided to wait to purchase until I was closer to travel back to WDW. I ended up buying the DL annual pass ( with the blockout days) and had a fabulous trip!! I was frustrated that there were no dual park passports ( WDW & DL ) because it seemed economically foolish to spend out $$ for both. I really wanted to spend certain times of the year at each park ( WDW Christmas, halloween DL or WDW etc ). I was excited when DL started to offer a plan to spread out pass payments over 12 months and hoped that WDW would follow suit- that way it wouldn't hurt so much and I could do both. So this IS great news - I think....!!! People will really have to crunch out the numbers and think not only about days spent in parks but also resort savings etc. I really hope that they make a monthly payment plan. I'm surprised that Disney is not offering to sell the pass online - I figure they would want to get more money in their pocket!


Does anyone know if they will offer any credit towards an upgrade for those of us who are already holding non-premium Annual Passes to either park??
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Old 03-12-2010, 09:24 AM   #9 (permalink)
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Originally Posted by disneydani View Post
Okay, I have a question...if I currently hold a WDW AP (std) and want to upgrade to the Premier, how much of a credit would be applied? Is it prorated depending on how much into the use year I am into on my current AP? Does that make sense?

Danielle
Ive been trying to ask a similar question and WDW has been giving me the run around. I want to know if I can upgrade my basic pass to a premium pass for the rest of its life and pay a prorated amount or do I have to pay the full difference between a basic AP and a premium AP? My pass only has a month left on it so it would seem silly for me to pay for 12 months of premium service and get only 1 month of benefit.
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Old 03-12-2010, 09:44 AM   #10 (permalink)
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Thanks for the info Dave you just made me question a decision I made about buying a premier let me break it down and ask everyones opinion. We have a WDW trip planned for 5/16 to 5/26 this year. The original plan was to purchase a regular AP for myself and the DH and then purchase one Water Park day for the day we will be surfing at Typhoon Lagoon. We have another WDW trip planned for 1/2 to 1/6 the Panama Canal Cruise and 1/21 to 1/24 in DL. When the new pass came out I did then math and it came out about even to upgrade to the premier pass to add the DL days. The plan was to purchase the new pass when we arrived in WDW in May but from reading your breakdown would it be better to just purchase the Premium AP for just WDW and wait until we get to DL to upgrade to the new pass. We will be attending the D23 Expo in 2011. If I understand right it would give me a pass good to WDW and DL that would expire in January 2012 giving me an extra 7 to 8 months at WDW. Is my thinking correct or did I miss something

TIA sorry if I made any brains hurt or if this makes more sense to me than anyone else.
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Old 03-12-2010, 11:36 AM   #11 (permalink)
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Originally Posted by disneydani View Post
Okay, I have a question...if I currently hold a WDW AP (std) and want to upgrade to the Premier, how much of a credit would be applied? Is it prorated depending on how much into the use year I am into on my current AP? Does that make sense?

Danielle
The upgrade policy is to credit the full purchase price of the original pass, and the new pass will expire on the same date as the original pass. (So, no, they're not pro-rating.)

This would apply to aubs42's question, too. You can't extend the life of an existing pass by upgrading at a later date. If you buy an AP for this year's trip in May, that pass will expire in May 2011, no matter what you do to upgrade it at a later date. Since D23 Expo will be in September 2011, you'd need a new pass by then, no less January 2012. In your case, I think we'd have to also find out the renewal price on the Premier Passport, which hasn't been announced yet.

To clarify, the reasons I suggested folks would wait to arrive at DL (or WDW) before upgrading to the Premier were simply to delay the expenditure until you were absolutely sure you'd need it (plans do change, after all), and so you weren't laying out the extra money until you actually needed to spend it.

Hope that helps!
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Old 03-12-2010, 11:43 AM   #12 (permalink)
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So just to be clear the only people who are currently holding an AP for both DL and WDW will get the new pass with the later expiration date between the two AP's. Purchasing a WDW AP and then at a later date purchasing a DL AP you will not get the automatic combine with the later expiration date?
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Old 03-12-2010, 11:50 AM   #13 (permalink)
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Thanks for the info!! That's a lot to think about.
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Old 03-12-2010, 11:50 AM   #14 (permalink)
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Does anyone know if they will offer any credit towards an upgrade for those of us who are already holding non-premium Annual Passes to either park??
Yes, you'll get credit for the original purchase price of the current pass. Similarly, if you're at WDW and hold a valid WDW Magic Your Way ticket, you can apply its value to the price of an upgrade while you're at WDW. DLR does not honor WDW tickets for upgrade/exchange, and vice versa (they never have) - they'll only accept APs from the other resort for an upgrade.

If you happened to hold non-premium APs to both WDW and DLR prior to the announcement of the new pass on March 10th (except for certain Florida resident passes) you'll be getting a free upgrade to the Premium, too.
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Old 03-12-2010, 11:54 AM   #15 (permalink)
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So just to be clear the only people who are currently holding an AP for both DL and WDW will get the new pass with the later expiration date between the two AP's. Purchasing a WDW AP and then at a later date purchasing a DL AP you will not get the automatic combine with the later expiration date?
Correct.

Now, I'm not sure how they're going to handle things if, from now on, someone buys a WDW AP and a DLR AP and then wants to convert them to a Premier Passport. So far, the only information I have is on what happens if you have a WDW or DLR AP and want to take that one pass and upgrade to a Premier Passport.
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