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I would also note that Vail's strategy is not really skiing at this point. It is four season resort development, and the key properties they are acquiring have one of two features: 1) an established real estate base with on resort amenities (e.g. Park City, Whistler) or 2) a destination tourism population base (e.g. Perisher) that will now travel to a Vail resort on the Epic Pass instead of elsewhere.
So we're turning into a thread about instructor pay again.
@Monique - I thought engineers just estimated everything?
No. The thread was about instructor pay, because the entire video in the OP was about instructor pay. I assume Mr Barnes posted it because of the shout-out to Aspen for paying instructors more while charging students less.
FWIW, Breck and Keystone continue to have amazing deals on 10-lesson series. The Breck lesson setup has become more expensive and restrictive, but is still a killer deal. Keystone's is still very cheap, but there are too few advanced students signing up to get a nice high level group going (a friend of mine is working on getting friends to switch over so that that changes). These deals are only helpful if you are local and are at least a level 5 (maybe 6?) skier, but they're still killer.
I wonder if Brighton, Solitude, Alta or Snowbird have a different pay structure for instructors/rate of lesson.
If so, they need to up their game. I don't eat @ N* often, but the food in general is mediocre airport food. Alpine and Sugar Bowl significantly better. Rose is worse, but at least you aren't getting gouged for garbageThere are some belief that Vail is just an expensive burger joint and their main purpose is to sell Epicburgers, thats where the money is made...the skiing is just the hook.
Lesson rates are ridiculously high everywhere, but VR stands out - a half-day lesson cost very nearly what I paid for the EPIC pass. And this was a big reason I went elsewhere for lessons after my first day.
I think it would be interesting to know what keeps most folks from taking lessons - price? don't want to "waste" time during a week trip? other? And have the ski schools done market research on this or are they just setting prices based on other factors?
Don't expect that deal to stay around at Breckenridge, did you hear in the video about increasing margins..every year? The Breck deal, while is a great value for the consumer it does not have the margin Vail expects. Just what I have heard.
Lesson rates are ridiculously high everywhere
Nope. You can get much cheaper lessons at small resorts, like Beaver in Utah.
Somehow, Vail and non-Vail resorts are coming together with some type of agreement that permits coaching at multiple resorts.
I sit corrected - thanks! Based on the places I have skied, I assumed the prices were more or less standard.
Other people are going to weigh a day spent free skiing (perhaps poorly) against a day spent in lessons. You don't have to be good. There's no score. You are only achieving for yourself. So people who are paying are likely willing to keep doing so, and price is relatively inelastic to demand.
Ultimately, the "price"' is for one thing: the right to ride a fast lift up a mountain. If that one thing is relatively price inelastic, which it seems to be, then all of the adjacencies like food or lessons are likely to be inelastic as well. There so simply isn't much reason to accommodate demand for those consumables and services, because it is the chair lift that creates the demand.
It's a good reason to consider smaller resorts that might otherwise be off your radar!
You comments about not having to be good and not being scored are interesting... if you're on the fence about paying for a lesson I can easily see these thoughts tipping you towards not signing up. It also bangs up against something I've wondered about for a while now... if lessons were less costly, would significantly more folks sign up? Sadly, I don't think so and probably for these same reasons.