Can we talk WDW price inflation???

[jpeterson]

$17.95 in 1988 dollars is worth $43 in 2021 after inflation.

But normal inflation != Disney inflation, with prices skyrocketing in recent years in an attempt to curb demand. Disney inflation is mostly a supply/demand problem - the demand to go to Disney parks is outstripping the supply - so they can continue to raise prices, if enough people stop going - and demand goes down - then and only then will we start to see more consumer friendly promotions (doubtful they would just lower prices though).

This is the real trick to the whole thing. Disney has raised prices at a rate far greater than inflation, but what is still one of the most common complaint? Crowds! Theme parks are crowded. Parties are too crowded. Hotels are booked up.

I've been thinking about this a lot lately, how do you balance these 2 factors? Cost and Crowds. Most everyone will agree that Disney is expensive and Disney is crowded. Disney can't just slash prices without increasing demand, and they could raise prices further until demand eases, but that's not great either.

 

[thanxfornoticin]

This is the real trick to the whole thing. Disney has raised prices at a rate far greater than inflation, but what is still one of the most common complaint? Crowds! Theme parks are crowded. Parties are too crowded. Hotels are booked up.

I've been thinking about this a lot lately, how do you balance these 2 factors? Cost and Crowds. Most everyone will agree that Disney is expensive and Disney is crowded. Disney can't just slash prices without increasing demand, and they could raise prices further until demand eases, but that's not great either.

Some great points. It might just be an odd time right now with pent-up demand, the 50th, and probably a lot of unused DVC points. But while many are screaming "it's too expensive, I'm not going" - resorts and parks are sold out or very full. It's hard to say Disney is overcharging when folks are willing to pay what they're currently offering. It might tip back at some time in the future, but for right now, the market is grabbing what Disney is offering and charging.

 

[x93nelson13]

This is the real trick to the whole thing. Disney has raised prices at a rate far greater than inflation, but what is still one of the most common complaint? Crowds! Theme parks are crowded. Parties are too crowded. Hotels are booked up.

I've been thinking about this a lot lately, how do you balance these 2 factors? Cost and Crowds. Most everyone will agree that Disney is expensive and Disney is crowded. Disney can't just slash prices without increasing demand, and they could raise prices further until demand eases, but that's not great either.

I think the only thing they can do is what they are doing. They have to raise the price. I feel like there are two main price complainers:

1. People who can afford the price increases, but perceive a negative change in the value proposition Disney provides, so they complain or do not go.
2. People who cannot afford the prices increases, so the prices increases, for them, are being 100% shut out from a family activity they may have enjoyed for generations.

People in the first group can eventually be placated because at some point the value proposition for them tips, be it a new hotel, a better fast pass system or a host of new rides.

People in the second group? Not as easy. You can't lower prices without making the experience worse for people already willing to pay. This means group 2 are basically locked out. Even if they increase the park sizes with rides and lands? And add back better perks? This group may never be able to afford it, because the folks in group 1, seeing the improved value proposition, will fill up the spaces and the prices will not drop.

This is why I don't see this magical point in time occurring when parks are at low capacity and Disney has to go groveling back to group 2. I am not sure that is EVER going to happen outside of a major financial calamity. And if that calamity comes? I have super bad news for folks in group 2.

Hate away.

 

[jpeterson]

I think the only thing they can do is what they are doing. They have to raise the price. I feel like there are two main price complainers:

1. People who can afford the price increases, but perceive a negative change in the value proposition Disney provides, so they complain or do not go.
2. People who cannot afford the prices increases, so the prices increases, for them, are being 100% shut out from a family activity they may have enjoyed for generations.

People in the first group can eventually be placated because at some point the value proposition for them tips, be it a new hotel, a better fast pass system or a host of new rides.

People in the second group? Not as easy. You can't lower prices without making the experience worse for people already willing to pay. This means group 2 are basically locked out. Even if they increase the park sizes with rides and lands? And add back better perks? This group may never be able to afford it, because the folks in group 1, seeing the improved value proposition, will fill up the spaces and the prices will not drop.

This is why I don't see this magical point in time occurring when parks are at low capacity and Disney has to go groveling back to group 2. I am not sure that is EVER going to happen outside of a major financial calamity. And if that calamity comes? I have super bad news for folks in group 2.

Hate away.

No hate from me. I think you are correct. I'm in camp #1 for now. I don't like the price increases but so far am willing to absorb them. I am aware of the decrease in quality and offerings though. I think that will push the value prop ratio more than pure cost increases for a lot of regulars.

and I agree that prices will never drop. If demand decreases, then you might see specials and promotions but barring a major financial collapse, each price increase becomes the new baseline.

 

[jkh36619]

I personally think that people today are more willing to finance a vacation vs saving up to go on one. Raising the price will not lower the crowd. People will just return home with a larger cc bill.

 

[jpeterson]

I personally think that people today are more willing to finance a vacation vs saving up to go on one. Raising the price will not lower the crowd. People will just return home with a larger cc bill.

Low interest rates and easy credit are certainly part of that. If rates rise that might change that

 

[bsmcneil]

I personally think that people today are more willing to finance a vacation vs saving up to go on one. Raising the price will not lower the crowd. People will just return home with a larger cc bill.

This - so much this!

 

[Br'er Rabbit is the Best]

I did a 6 night stay in December 2018 with park hoppers at All Star Music for $1,625. I priced out the same week for 2022 and it’s $2,650 if you include genie+ to the tickets. Add in new transportation costs since the magical express is going away and it’s at least $2,750. That’s a 70% increase in 4 years before even getting to things like food and merchandise.

 

[Moliphino]

I did a 6 night stay in December 2018 with park hoppers at All Star Music for $1,625. I priced out the same week for 2022 and it’s $2,650 if you include genie+ to the tickets. Add in new transportation costs since the magical express is going away and it’s at least $2,750. That’s a 70% increase in 4 years before even getting to things like food and merchandise.

It's gotten ridiculous. I went to Spain for 15 nights this fall and it only cost about $500 more than my 8 nights in WDW in May (for two people). If you take out the flights (about $600 more expensive per person), Spain was quite a bit cheaper for twice as long.

 

[Goodbye22]

Last time at Disney World was in 2017. As it stands now frankly I just cannot afford it anymore. I sent a response to DW about cutting out a lot of services and raising prices about a year ago. I see that it has gotten even worse than I could ever have thought. At least I have good memories of the trips I have taken there. For the rich now.

 

[DodgerGirl]

When you look at it from a different world Walt Disney World has always believed that to attract their audience to keep the juices flowing is by having lots of new stuff to keep people going there and what's the simple trick? Raising the prices for special events during holidays. Take for example when Walt Disney World had the Boo Bash for Halloween the prices to attend skyrocketed every day until Halloween and it caused the hotels to be booked a lot and the same thing is happening with the Christmas party as well. But back in the 80's and 90's when WDW had these parties the hotels would have special deals with tickets to the parties at a affordable price and what made them so great was the fact that you could do fun things like decorating Christmas cookies drink free hot chocolate take photos with Santa and see the characters in holiday outfits and get photos with them too. But now I can bet they will start referring to anything with characters as Character Experiences and I can see the prices for character breakfasts at Walt Disney World will get pricey as time goes by. Another thing I'm noticing now that may be causing WDW's high prices is you hardly see any Walt Disney World commercials advertising deals on TV anymore and the only park you see is Disneyland with tons of commercials for deals so it tells me that Walt Disney World is now underrated and Disneyland is in for vacations. But once the Avengers Campus opens at WDW along with the Star Wars Galactic Starcruiser Experience Resort in 2022 the prices for WDW will rise even higher

 

[DopeyRN]

One old Dopey opinion.

I understand everything is costly. And I understand the parks lost a lot of money being closed. But Disney is such a huge corporation that they can absorb the hit. Regular people may not be able to. Decades ago, I was a staple here, and we went to WDW every other year. My kids grew up, now I have grandkids. I did a family trip with my middle son 7 years ago. Going in less than 2 weeks with my oldest sons family. The cost of everything is absurd. The genie+ costs for something that used to be free is criminal. $15pp/pd is robbery, but then you have to purchase more? At a potential additional $15pp??

Bottom line, I can afford to do this yearly. But I won’t. We did a family vacation of 17 people this year in a stunning 7bedroom cabin in Gatlinburg. I paid for the cabin and gave all 3 families stipends…and it still cost less than 6 of us at All Star Movies. Could be my last trip.

 

[Lisa_lvspplmvr]

Right now we all just want to escape this terrible pandemic and are willing to pay crazy prices for some joy . When the kids were little in 2011 we went for a week and stayed at Grand Floridian with my parents (2 rooms ) for around 10K . We had the dining plan too . This past summer we stayed at Yacht Club just the four of us and paid 9K with no food included.

 

[jpeterson]

Right now we all just want to escape this terrible pandemic and are willing to pay crazy prices for some joy . When the kids were little in 2011 we went for a week and stayed at Grand Floridian with my parents (2 rooms ) for around 10K . We had the dining plan too . This past summer we stayed at Yacht Club just the four of us and paid 9K with no food included.

You are still seeing the effects of a year+ of cancelled vacations too. People have funds saved up and want to escape.

 

[popy]

Call anything you want,
but it is nothing other than uncontrollable low life’s greed.

 

[chicagodisneyguy]

Call anything you want,
but it is nothing other than uncontrollable low life’s greed.

I understand the disappointment of rising prices. But a huge complaint over the last few years, both pre and post Covid is the ever increasing crowds. If Disney systematically changed all prices back to 2010 or 2015 levels, can you imagine how much worse it would be?

We'd all love lower crowds and lower prices. Unfortunately there's no way to make that formula work in today's economic climate.

 

[AlwaysGoofy]

We reached the tipping point for 2022. Over the 10+ past years, Disney has received about 80% of our vacation money. For 2022, it is only getting about 20%...total reversal for us. Hopefully, it can help someone else out. We've got DVC, but will be doing day trips to the beach and elsewhere and just enjoying the resort. We still enjoy the Florida sunshine during the fall and winter, but the past few trips have cost us significantly more with much less enjoyment. Keeping our DVC for now in the hopes things self-regulate. If not, we may just sell and use that money elsewhere. It would make me sad, but Disney won't get my money if it can't provide the enjoyment anymore.

 

[Illinois76]

Call anything you want,
but it is nothing other than uncontrollable low life’s greed.

This is asinine. Can’t stand this opinion.

No one is entitled to a Disney World trip.

Where do I find the forum that complains that there is a group of people shut out of trips to Paris?

 

[Jrb1979]

I did a 6 night stay in December 2018 with park hoppers at All Star Music for $1,625. I priced out the same week for 2022 and it’s $2,650 if you include genie+ to the tickets. Add in new transportation costs since the magical express is going away and it’s at least $2,750. That’s a 70% increase in 4 years before even getting to things like food and merchandise.

All for an over priced Motel 6. It's unbelievable that would will refinance their house so they can stay in the "bubble".

 

[browneyedgirl1683]

Regarding the entitlement, I get it. Disney is as much as aspiration as a white picket fence. It's something that middle class families are expected to be able to afford.

Right now I think they are changing their model to increase first time visitors but not aim for repeat trips. They have scaled back on those touches that make it feel like a value. It takes you out of the magic mode, and guests who aren't diehards might make this a one and done. Costs reflect that.