Park Attendance goes down, so Prices go up?

[crispy]

Not an Economist, but when your park attendance is decreasing and your net gain is shrinking, is the prudent answer to RAISE prices?

I thought when Demand DECREASED, Price should DECREASE. At least that's what I remember from school.

Can some smart person explain it to me in a way that makes sense?

TIA

It's the Disney way. It's called MAGIC thinking.

 

[John park hopper]

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$600M? Is that all? Disney laughs in the face of $600M because that's nothing to this management. They've poured billions into a park App that made the experience worse, burned more billions creating movie content that continues to flop, and continue lighting billions on fire with Disney+ for content that again, no one wants.

Disney physically lost over $10B during the mismanagement of Covid and while some is expected, the losses were absolutely atrocious. Even if you give them a pass on that completely, the company has continued to be mismanaged to the point of literally never financially recovering.

Something under-reported is that this company used to make $1.8B-$3B in profit every quarter like clockwork. Since Covid and their desire to engage in political nonsense and ruin their movie studios, Disney is barely making $1B in their BEST quarters but have also actually still lost money or barely made anything with incredible volatility. For a company this size, a leadership position, and with this powerful of a brand, this is inexcusable.

Last quarter, they made just $264M in profit, an utter joke for a brand like Disney.

The stock is also down nearly 60% for the highs and refuses to recover, for good reason.ret

Almost $200B in shareholder value has been lost because this management and the board is completely corrupt and inept.

EY is not publicly traded, thus not in the S&P, so we don't know the horrors as well as Disney. I promise you, Disney has been worse if for no other reason than the numbers are bigger and the brand has no excuse.

Let's not forget the Star Wars experience that didn't pan out.

 

[Disstevefan1]

Let's not forget the Star Wars experience that didn't pan out.

And let’s not forget the hundreds of millions of dollars they lose on the movies they release.

 

[KeithVH]

So you’re equating 50-some hard ticket parties with 365 days of attendance?

Not necessarily. However, I can also extrapolate based on limited data.

I can also probably say there there's a chunk of people here who have no idea what low attendance really looks like. I don't mean for one photo from a single day but more like parks that were ghost towns for a week or more. Reference the late '90s - I won't even invoke 2001. THOSE were slow days

I did Orlando in May for 8 days and, while everyone is claiming attendance is down, it was a freakin' crowd nightmare. Maybe everyone just has different ideas of what low attendance means to them.

 

[HauntedPirate]

Not necessarily. However, I can also extrapolate based on limited data.

I can also probably say there there's a chunk of people here who have no idea what low attendance really looks like. I don't mean for one photo from a single day but more like parks that were ghost towns for a week or more. Reference the late '90s - I won't even invoke 2001. THOSE were slow days

I did Orlando in May for 8 days and, while everyone is claiming attendance is down, it was a freakin' crowd nightmare. Maybe everyone just has different ideas of what low attendance means to them.

Honestly, I wouldn't use Halloween and Christmas party attendance as a measuring stick for the parks overall. Or a single week, really.

Most around here probably don't truly know what "low attendance" is. For me, rope dropping Space Mountain in early-to-mid December and riding, getting off, and running back around 18 times in a row, in the morning, is what I would consider "low attendance". It all comes back to capacity, and Bob has been a very poor steward of the parks since his reign of terror began.

 

[Disstevefan1]

Someone correct me if I am wrong, but the first week in December is a historically off peak time.

 

[updownandsideways]

One thing about disney world is there really is nothing else like it that's why they can raise prices and still keep the parks full I firmly believe that.

 

[KeithVH]

Someone correct me if I am wrong, but the first week in December is a historically off peak time.

Sorta. That was also Pop Warner week and, after a while, some Cheer people too. Although we never really had a problem with those groups as far as THAT much extra capacity. But fast forward from the early 00's to 2015 or so and that week is no longer the secret it used to be.

I myself would have said early Jan/Feb but runDisney saw fit to kill that idea.

 

[Disstevefan1]

Sorta. That was also Pop Warner week and, after a while, some Cheer people too. Although we never really had a problem with those groups as far as THAT much extra capacity. But fast forward from the early 00's to 2015 or so and that week is no longer the secret it used to be.

I myself would have said early Jan/Feb but runDisney saw fit to kill that idea.

Yes, sadly, Disney wants to fill any off peak times with these things to make all times on the calendar equally miserable.

 

[HauntedPirate]

Sorta. That was also Pop Warner week and, after a while, some Cheer people too. Although we never really had a problem with those groups as far as THAT much extra capacity. But fast forward from the early 00's to 2015 or so and that week is no longer the secret it used to be.

I myself would have said early Jan/Feb but runDisney saw fit to kill that idea.

Yep. The week after Thanksgiving until a few days before Christmas was a slow time. Then they started hosting the Pop Warner Super Bowl and also a cheerleading competition during the first week or so of December, 2000 or so sounds accurate. It went from a nice time to miserable in a few short years. Nothing like waking up to cheerleading squads practicing in the All-Star and PO green spaces.

 

[IanDLBZF]

Yep. The week after Thanksgiving until a few days before Christmas was a slow time. Then they started hosting the Pop Warner Super Bowl and also a cheerleading competition during the first week or so of December, 2000 or so sounds accurate. It went from a nice time to miserable in a few short years. Nothing like waking up to cheerleading squads practicing in the All-Star and PO green spaces.

Now they’re using camping world stadium in downtown Orlando and everyone can sleep better.

 

[HauntedPirate]

Now they’re using camping world stadium in downtown Orlando and everyone can sleep better.

I'm not the only one who was actually glad when that moved out. I never did hear the reason why, but if I had to guess... it just got too big and they couldn't handle the number of competitors/games anymore. Or Disney just got greedy. Either are equally as likely to have happened.

 

[KeithVH]

I'd say I miss the 90s (even if just to have my hair again) with Eisner and everything we currently about but we can't live in the past, I guess. Thinking of you this season, Lights of Winter . . .

 

[NickMaio]

And let’s not forget the hundreds of millions of dollars they lose on the movies they release.

Marvel is bleeding cash now......
Good thing they made 29 billion to make up for it before

 

[NickMaio]

Yep. The week after Thanksgiving until a few days before Christmas was a slow time. Then they started hosting the Pop Warner Super Bowl and also a cheerleading competition during the first week or so of December, 2000 or so sounds accurate. It went from a nice time to miserable in a few short years. Nothing like waking up to cheerleading squads practicing in the All-Star and PO green spaces.

Ouch......
Not my idea of a vacation

 

[Chef Mickey]

Marvel is bleeding cash now......
Good thing they made 29 billion to make up for it before

I can’t imagine why people aren’t identifying with these new movies.

 

[Lilofan]

Now they’re using camping world stadium in downtown Orlando and everyone can sleep better.

There are tickets ( $120 per person ) still available to the general public to join the 10K plus Pop Warner football / cheer kids and their chaperones party at Sea World December 6th 7pm-12am all u can eat, drink, rides, shows, attractions and fireworks.

 

[Disstevefan1]

Now they’re using camping world stadium in downtown Orlando and everyone can sleep better.

Disney probably raised their prices too high and they went elsewhere.

 

[jloucks]

I can’t imagine why people aren’t identifying with these new movies.

I am not sure who some of them are made for.

Ticket sales would indicate nobody knows.

 

[jloucks]

Disney probably raised their prices too high and they went elsewhere.

I'd bet this is it.