News Disney CFO Hugh Johnston Says Dynamic Pricing Is Coming to the Parks

[Casper Gutman]

Some more notes based on experience with Universal:

What this also means is prices constantly being set and changed by AI - and AI is idiotic, often seemingly random, without the benefit of experience or empathy. You don’t get hotels that are expensive one week and more affordable the next based on familiar considerations like school seasons or high travel periods or special events. You get prices that TRIPLE from day to day, seemingly at random - no slow blocks, just wild fluctuations that make scheduling impossible no matter how far out you plan. The fluctuations aren’t based on anything knowable, either - if they’re based on anything (and with AI, who can tell?) they’re based on conventions or band or cheer events or other factors you can’t plan around in advance.

 

[MrPromey]

Ha, the pricing strategy across food and beverage, merchandise, and paid add-ons is simple.

All will simply go up once or twice a year as always.

At this point, I think Disney coffee mugs and collectable pins might be a more sound investment than their stock.

At least with the merch, you're guaranteed consistent year-over-year gains.

 

[Sirwalterraleigh]

Apparently there are a lot of people.

... and they all work for Disney.

I think that’s more “blink twice if you need help” type of a situation

 

[MrPromey]

@wdwmagic and I have a deal to tell the untold story when the other one retires.

So you're saying we need to start PMing Steve since you're not budging...

 

[MrPromey]

The other side of that;


2. Even more walking. In your example you're about equal distance from everything, but what if I'm in Tomorrowland and Pecos Bills is cheaper than Cosmic Ray's and the only other option for a burger? No one wants to be pushed to walk across the park to save money. This also potentially nullifies the positive of waiting in a shorter line as you're still spending that time not eating.

What if like wait times, other people also see Pecos Bills is cheaper and by the time you get there, due to crowding, it no loger is?

Isn't that how true surge pricing works in real time?

 

[Sirwalterraleigh]

At this point, I think Disney coffee mugs and collectable pins might be a more sound investment than their stock.

At least with the merch, you're guaranteed consistent year-over-year gains.

Lego…has been a more sound investment than the stock market since 2000

I wish I was kidding

It’s a better investment than Disney stock over the last decade

 

[drizgirl]

The other side of that;

1. Cosmic Ray's might have the food you actually want. If I want to eat a burger, Columbia Harbor House being cheaper doesn't help. Similarly, what about stuff like refillable drinks, which are only available at a few quick services?

2. Even more walking. In your example you're about equal distance from everything, but what if I'm in Tomorrowland and Pecos Bills is cheaper than Cosmic Ray's and the only other option for a burger? No one wants to be pushed to walk across the park to save money. This also potentially nullifies the positive of waiting in a shorter line as you're still spending that time not eating.

3. What if one isn't busy for a very good reason; what if Restaurant O'saurus, Pizza-fari, and Satuli Canteen are busy because the other Animal Kingdom places are outdoors and it's raining? Why should a guest need to pay more to avoid the rain?

4. Most of Disney's quick services are hugely thematically different. If someone wants to go to the quick service with the talking alien or the Toy Story one or whatever, price directing them away is just taking away the fun of eating in a unique place.

This only helps if you don't care what you eat, don't care where you eat, and don't care how long it takes to get there.

Clearly devised by people who never visit the parks.

 

[networkpro]

Lego…has been a more sound investment than the stock market since 2000

I wish I was kidding

It’s a better investment than Disney stock over the last decade

Even 5 years, its down 50%

 

[Disone]

They're already doing this with tickets, hotels, and LL. Food feels like this next one to hit, though I can't see how that might go over well. It's really difficult for families to budget when a hot dog is $7 in April and $12 in June.

April vs June is more akin to date base pricing. This is dynamic pricing which I'm guessing will mean $7 hotdog at 10am but $12 by 12:30pm.....

 

[CoastalElite64]

Lego…has been a more sound investment than the stock market since 2000

I wish I was kidding

It’s a better investment than Disney stock over the last decade

Consumers and shareholders don't have the same interests.

 

[Admiral01]

It’s like they are actively trying to dissuade us from actually going to a Disney park.

 

[monothingie]

I love how he prefaces the admission with the "but lets not talk about it in such dirty ways" even though it's exactly what they're doing.



Translation: We have to be sneaky about it so guests don't catch on.

They're French...what do they know.

 

[monothingie]

It’s like they are actively trying to dissuade us from actually going to a Disney park.

They insanely believe that their parks are above the guest's perception of them. Through an echo chamber of gullible shill influencers and sympathetic legacy media, they've become so high on their own pixie dust that they can't see the cliff they just fell off of.

 

[Disone]

What if like wait times, other people also see Pecos Bills is cheaper and by the time you get there, due to crowding, it no loger is?

Isn't that how true surge pricing works in real time?

It will encourage you to mobile order which I am sure is exactly what they want. This is not an endorsement.

It’s like they are actively trying to dissuade us from actually going to a Disney park.

It does feel like that.

 

[Tha Realest]

One question I have is how does this affect the broader travel agent exosphere? Maybe @PREMiERdrum and others can speak to this, but how in the world could they reliably quote a possible series of options with the 60-minute price hold? Unless there’s a special 24-hour for TAs.

 

[dlfan1313]

Disney screws their fans again, and so many line up to bend over and take their medicine like good little sycophants. Rubes charging their way to family happiness because they're too narrow-minded to look for other options, of which there are plenty. This is such a míchneasta way to treat people, and it reeks of desperation to keep growing that per person spending number. Disney fans are like cucks who keep coming back because they have nothing else to cling to.

 

[larryz]

... and AI is idiotic, often seemingly random, without the benefit of experience or empathy...

So you're telling us that Disney management has been supplanted by AI...?

 

[Disstevefan1]

Disney screws their fans again, and so many line up to bend over and take their medicine like good little sycophants. Rubes charging their way to family happiness because they're too narrow-minded to look for other options, of which there are plenty. This is such a míchneasta way to treat people, and it reeks of desperation to keep growing that per person spending number. Disney fans are like cucks who keep coming back because they have nothing else to cling to.

 

[Sirwalterraleigh]

Consumers and shareholders don't have the same interests.

Guess which ones rule the world?

 

[Sirwalterraleigh]

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…winner