The Mouse House has rooms for rent… Travel season’s in full swing, but the “Happiest Place on Earth” may be feelin’ a summer slump. Disney's US amusement parks are said to be seeing thinner crowds and shorter ride wait times. Disney World, whose Magic Kingdom puts on a special fireworks show every July Fourth, saw its lightest Independence Day attendance in nearly a decade. Execs have said they’re expecting weaker US earnings this year.
Losin’ the magic… Despite Disney’s fantasy-land park stylings, attendance may be dropping for earthly reasons. Disney has in recent years upped pricing across the board (tickets, merch, food) and nixed some freebies. Last year Disney raised ticket prices twice, with hikes of up to 14% at Florida’s Magic Kingdom. The goal: squeeze more $$ out of fewer customers. Higher prices appear to be giving would-be visitors pause, and not just in Disney parks:
More-lando: Orlando, Florida (home of Disney World and Universal Orlando) is one of the priciest family-vacay destinations. On average, a weeklong trip will cost a family of four $7.3K.
Adding up: Travel costs more broadly are up 16% from prepandemic times.
Experiential spending enters the discount phase… Demand for “revenge travel” shows few signs of slowing, but it may be shifting as experience-seeking vacationers try to spend smarter. In Europe, families are opting for cheaper summer destinations (picture: Costa Brava over the Canaries, Albania over Italy) or delaying trips to shoulder-season September. Cooling attendance suggests Disney’s magic may have a price cap too. In May, Disney said it would close its “Star Wars” hotel. The cost of a two-night stay for a family of four: $6K.