Vail Resorts Uproar Highlights a Subscription Model Risk


Skift Take

Some skiers say Vail Resorts had an epic fail with its Epic Pass. But the fascinating interplay between the U.S. ski giant's subscription model and its mergers-and-acquisitions strategy means it will maintain its dynamic stance.

Vail Resorts led the travel sector in adopting the subscription model, debuting its Epic Pass in 2008, a product that has helped play a role in acquisitions of other properties. But ahead of this U.S. winter season, the giant resort operator decided to discount its subscriptions. The decision may have created more demand than the company could handle.

Some aggrieved skiers recently launched a petition to shame Vail Resorts for selling the pass and then allegedly not meeting the implied promise. As of Wednesday, more than 44,800 people had signed.

According to the petition, lift lines have been "out of control" either because of a staffing shortage or mismanagement. Parking lots have been often overfull, too, with staff telling unlucky guests they couldn't use a facility if they couldn't park.

Vail failed to run facilities at full capacity, particularly at its Stevens Pass Ski Resort in Washington state, according to the petitioners' complaints. They claimed other Washington state resorts had nearly all of their ski terrain open, unlike Vail's.

"The early months of this ski and ride season were challenging for a variety of reasons, including the nationwide staffing shortages," said Sara Olson, vice president of communications.

Another factor: Vail required employees to be vaccinated. That policy — along with the fast-spreading omicron variant — led to its having about 10 percent of staff out of work during the winter holidays.

"In some departments, that was up to 30 percent," Olson said.

It's unclear if Vail will face any legal jeopardy. Washington State's attorney general Bob Ferguson has been looking at the scores of complaints about the company that his office has received since December, the Denver Post reported.