3
Credit: DisneyThe suspicions have been confirmed: Disney World is price gouging its Guests, and the rising cost of a trip to the Most Magical Place on Earth has nothing to do with “inflation.”
Fifty-Nine Million in Disney World Debt
Visitors to the Walt Disney World Resort in Orlando have complained for years about the rising prices of tickets, parking passes, food and dining plans, and basically everything else related to the theme park. It is undeniable that the costs involved in a trip are higher than they used to be, but for many Guests, that goes part and parcel with the general rising cost of living in the United States in 2024.
Inside the Magic recently reported on the alarming rise in families taking on significant debt in order to finance Disney World trips. According to a new report from LendingTree, approximately 24% of all visitors to the theme park go into debt in order to visit Magic Kingdom, a rise of 33% from just two years ago.
Even more worryingly, a staggering 45% of Guests with children (arguably the largest and most important demographic of the park) end up with debt because of a Disney trip; on average, a family ends up with nearly $2000 in debt from a single trip, which is likely only a fraction of the entire amount spent.
Many Disney families view debt as a necessary part of the experience, according to LendingTree chief credit analyst Matt Schultz. He says, “For so many parents, taking their kids to Disney is a rite of passage, something they remember fondly from their youth and want to experience with their kids. Because of those feelings, they’re often willing to take on debt to get there.”
Related: Disney World Guest Kicked out for Costume: “Am I Not Allowed To Express Myself?”
Financial analysts estimate that nearly 60 million people in America may be carrying Disney debt, a shocking number by any measure. The OC Register reports that “The cost of tickets to Disneyland has increased 351% from $43 in 2000 to $194 in 2023 — more than quadrupling the cost of admission on the most expensive days in less than a quarter century.”
While many families may be willing to take on debt for the sake of the magical Disney experience and chalk up the price increase to national inflation, the Disney hikes have little, if anything, to do with financial trends.
“Significantly Higher Than the Real-World Inflation”
A new report from Finance Buzz confirms that the skyrocketing price of a trip to Walt Disney World is not justified by trends in inflation but is simple price gouging by the Mouse House.
In this damning report, the rising prices of park tickets and food items were tracked for the last decade, from 2014 to 2024. It turns out that the price markups on items like the beloved Sanaa bread service at Animal Kingdom and the iconic Mickey ice cream bar and churros are hugely above actual inflation rates, meaning that Disney is simply choosing to charge Guests more and not actually trying to maintain a bottom line.
According to Finance Buzz, “The prices for food favorites at Walt Disney World have inflated 61% on average over the last 10 years. The cost of food at Disney World has inflated more than the cost of a single park ticket, which has risen by 56%. Walt Disney World food prices have significantly outpaced the rate of actual inflation (32%).”
That means that the price of both food items and tickets has risen at nearly double the national rate. Per The US Inflation Calculator, the “annual inflation rate for the United States was 3.3% for the 12 months ending May, compared to the previous rate of 3.4%, according to U.S. Labor Department data published on June 12, 2024.” This squares with the report’s decade-long estimate of 32%.
Related: Disney Parks Profit Up 35% Since Last Year Amid Record Inflation, Financial Turmoil Among Americans
Breakdowns of the price hikes at the theme park show them to be consistently above what could be expected from cost of living increases and trends. The Magic Kingdom Casey’s Corner corn dog nuggets are 116% more expensive than they were 10 years ago. The legendary Dole Whip is 58%, and churros are 54%, while the price of a single “high-end” day ticket is 91% more expensive than in 2014.
One can expect ticket prices to rise over time, and it is a statement of fact that The Walt Disney Company is a for-profit business. It is also a statement of fact that Disney Parks is reporting massive profits; in 2023, the theme park arm of the company reported a huge $2.1 billion in profits, up a staggering 35% from 2022.
In a similar vein, Disney CEO Bob Iger received a $31.6 million pay package for the last year, largely through stock options, in compensation for his policy of mass layoffs and price gouging.
The Walt Disney Company has been working overtime to figure out ways to soothe worried shareholders and cut costs up to $5.5 billion. A big part of the solution is relentlessly hiking prices and blaming inflation.
Do you think Disney World can justify its current ticket prices? Tell us how much you spend on an average trip to the Most Magical Place on Earth!