Hi there, Stephanie! Thanks for relying on us to answer all of your burning 
Disney vacation planning questions.
As a first-time 
Annual Passholder to the 
Walt Disney World Resort, I can tell you that there are a lot of 
great benefits to the program. While of course, the best perk is being able to visit the resort more often, there are usually discounts on merchandise, select experiences, sometimes hotel rooms, and more (offers subject to change). It's just some added pixie dust on top of an already magical experience!
To take advantage of Annual Passholder discounts, you must have an 
active Annual Pass. To activate it after it's been purchased, you must visit the 
Disney Ticket Center at Disney Springs or one of the 
Guest Relations locations outside of the theme parks. Once activated, you will then be eligible for the perks and benefits being offered to 
Annual Passholders. That being said, if you want to book a hotel room or experience using an offered Annual Passholder discount, you can usually 
book it with the discount even if the pass isn't activated. However, your pass 
must be activated before you check in for the hotel stay or experience to keep the discount. Otherwise, you will be charged the non-discounted rate.
Even though I'm a planDisney Panelist, I am relatively new to this 
Annual Pass thing. To show this, I'd like to tell you a quick story. On my first visit since purchasing an Annual Pass, I decided to continue my arrival night tradition of shopping and eating my way through 
Disney Springs. Well, on my way to the Disney Ticket Center to activate my pass, I saw these amazing bookends at the 
Marketplace Co-Op that were eligible for an Annual Passholder discount. So I strolled up confidently with these heavy bookends to the Cast Member at checkout, and excitedly exclaimed, "Yes, I'm a new Passholder!" when she asked if I had any discounts. Even though my excitement was palpable and she was excited for me, she had to inform me that since my pass wasn't activated yet, I couldn't use the discount! So, I asked her to hold them while I activated my pass and then came back. No harm, no foul, but your question made me think of this!
Stephanie, I hope that you create so many wonderful memories as an Annual Passholder. 
Please feel free to reach out with any other questions you may have.
Curiosity keeps leading us down new paths,
Matt