To make the dining plans seem like a better deal, Disney jacked up the cost of food.
The restaurants took many good meals off the menus because of the dining plans.
The quality of food at WDW has begun to slide down again because of the dining plans. It had become so good again just before they started these plans.
I'm not sure what is the cause and what is the effect of the relatively recent decline in WDW food and selection.
For decades, WDW was
justifiably criticized for having pretty ordinary food. Then there was a focus on food and, IMHO, both quality and variety improved.
More recently, there seems to have been an attempt to "value engineer" the food like so many other things at WDW. I suspect DDP was introduced as a way to increase food sales but then Disney started tinkering with it, looking to "value engineer" it while raising prices at an astonishing rate.
Since being introduced in 2005, the Disney Dining Plan (DDP) has proven to be popular with many onsite guests. In 2005, DDP cost $35/night and included one Table Service (TS) meal consisting of appetizer, non-alcoholic beverage, main course, dessert, and 18% gratuity, one Quick Service (QS) meal consisting of non-alcoholic beverage, main course, and dessert, and one snack. Disney now offers several DDP options, with the Standard DDP being most similar to the original DDP. The 2012 price of this plan is $51.54/night. However, the TS appetizer and 18% gratuity are no longer included. When these are factored in, the equivalent price is around $60/night. An increase from $35/night in 2005 to $60/night in 2012 represents
an annual increase of 8.0%.
In 2013, the DDP price increased another 12.5%.
Based on these trends, I don't think DDP is the cause of WDW's recent food problem but, instead, is a
symptom of a bigger problem, namely Disney's attempt to "price leverage" its theme parks while simultaneously "value engineer" the entire WDW experience.