Daily Pass Price Increased by 8%, Parking Fees Raised
"To Offset OTT Losses and Secure Investment Costs"
Although the number of visitors to the world's largest entertainment company Walt Disney's (Disney) theme parks has decreased, the company has decided to raise some admission and parking fees.
From daily tickets to annual passes, all prices rise... up to 1.94 million KRW
According to the Wall Street Journal (WSJ) on the 11th (local time), Disney announced that it will raise the prices of some admission tickets for Disneyland and Disney World, the largest amusement parks in the U.S., starting from that day.
Disneyland is located in Anaheim near Los Angeles (LA), and Disney World is a theme park in Orlando, Florida.
Disney will maintain the lowest one-day admission ticket prices for the two theme parks at $104 (139,000 KRW) and $109 (146,000 KRW), respectively. These prices have been frozen since 2019.
However, the price of the most expensive one-day ticket at Disneyland will increase from $179 (about 240,000 KRW) to $194 (about 260,000 KRW).
This comes one year after some daily tickets were raised by more than 9% last October.
Prices for 2- to 5-day tickets have also been raised by $25 to $65 (33,000 KRW to 87,000 KRW).
The most expensive annual pass for Disney World also increased by $50 to $1,449 (about 1.94 million KRW).
In addition, parking fees at the theme parks were raised by $5 from $25 to $30 (about 40,000 KRW).
Regarding the price increase, Disney explained, "We are constantly adding new and innovative attractions and experiences to the parks," and "The value of visiting the theme parks through various pricing options reflects a unique experience that only Disney can provide."
Interpretation: Offsetting streaming service losses and securing investment funds
A notable point is that this price increase comes amid a significant decline in recent visitor numbers to Disney theme parks.
According to Touring Plans, a company that tracks wait times at major amusement parks, the average wait time at Magic Kingdom Park within Disney World Resort on July 4th, the U.S. Independence Day holiday, was 27 minutes, nearly half of what it was four years ago.
On the 4th, Disneyland temporarily lowered the price of children's daily admission tickets to a minimum of $50 (about 67,000 KRW) due to decreased visitors.
In this situation, Disney's admission fee increase is interpreted as a measure to offset losses from its streaming service business, including Disney+, and to secure funds for future investments.
Disney announced in a report submitted to the U.S. Securities and Exchange Commission (SEC) on the 19th of last month that it plans to invest $60 billion over the next 10 years in businesses such as theme parks and cruises.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
