http://www.wsj.com/articles/disney-parks-consider-higher-prices-during-busy-times-1443960001
“We have to look at ways to spread out our attendance throughout the year so we can accommodate demand and avoid bursting at the seams,” said Walt Disney Parks and Resorts Chairman Bob Chapek.
Continuing to raise overall prices, as Disney has done well above the inflation rate for several years, wouldn’t fully solve the problem, said Mr. Chapek, as he is also seeking to raise attendance during slower times of the year. In addition, for Disney’s brand, keeping park vacations within the reach of middle-class families is important.
Maintaining the magic at its theme parks is becoming increasingly challenging for Disney amid crowds drawn by new attractions, an improving economy and the popularity of franchises like “Frozen” and “Star Wars.” Both Walt Disney World in Orlando, Fla., and Disneyland in Anaheim, Calif., have posted record attendance for each of the last three fiscal years, as well as for the spring quarter that ended in June.
Gruelingly long lines and gate closures, which Disney parks sometimes have to implement on the busiest days, lead to unhappy visitors, exactly what the operators of the “Happiest Place on Earth” want to avoid.
Disney has been in the midst of a multibillion-dollar expansion of its domestic parks over the past several years, including the new Cars Land in Anaheim’s California Adventure, a revamp of Fantasy Land at Orlando’s Magic Kingdom, and “Avatar” and “Frozen” attractions under construction in Orlando. Those help to expand the parks’ capacity, Mr. Chapek noted, but spur even greater increases in demand, ultimately making the crowding problem worse.
“It’s a problem that is going to grow over time as we expand the size of our parks,” he said. Next year, Disney breaks ground in Orlando and Anaheim on new “Star Wars”-themed areas.
Another tool Disney has been using to manage crowds at its parks is technology, particularly the new My Magic Plus wristbands that let Disney World visitors reserve times for certain rides and meals before their arrival. That has increased capacity at the Magic Kingdom by 5,000 people, said Disney Parks & Resorts finance chief Spencer Neumann.
“We have to look at ways to spread out our attendance throughout the year so we can accommodate demand and avoid bursting at the seams,” said Walt Disney Parks and Resorts Chairman Bob Chapek.
Continuing to raise overall prices, as Disney has done well above the inflation rate for several years, wouldn’t fully solve the problem, said Mr. Chapek, as he is also seeking to raise attendance during slower times of the year. In addition, for Disney’s brand, keeping park vacations within the reach of middle-class families is important.
Maintaining the magic at its theme parks is becoming increasingly challenging for Disney amid crowds drawn by new attractions, an improving economy and the popularity of franchises like “Frozen” and “Star Wars.” Both Walt Disney World in Orlando, Fla., and Disneyland in Anaheim, Calif., have posted record attendance for each of the last three fiscal years, as well as for the spring quarter that ended in June.
Gruelingly long lines and gate closures, which Disney parks sometimes have to implement on the busiest days, lead to unhappy visitors, exactly what the operators of the “Happiest Place on Earth” want to avoid.
Disney has been in the midst of a multibillion-dollar expansion of its domestic parks over the past several years, including the new Cars Land in Anaheim’s California Adventure, a revamp of Fantasy Land at Orlando’s Magic Kingdom, and “Avatar” and “Frozen” attractions under construction in Orlando. Those help to expand the parks’ capacity, Mr. Chapek noted, but spur even greater increases in demand, ultimately making the crowding problem worse.
“It’s a problem that is going to grow over time as we expand the size of our parks,” he said. Next year, Disney breaks ground in Orlando and Anaheim on new “Star Wars”-themed areas.
Another tool Disney has been using to manage crowds at its parks is technology, particularly the new My Magic Plus wristbands that let Disney World visitors reserve times for certain rides and meals before their arrival. That has increased capacity at the Magic Kingdom by 5,000 people, said Disney Parks & Resorts finance chief Spencer Neumann.
