BIGGEST STORM THIS SEASON: DISNEY PRICES
By Mike Patrick, Jr., M.D.
www.pediascribe.org

Disney recently increased ticket prices a second time this calendar year, bringing the price of a single-park single-day ticket to $67. This represents a 12% increase over the price a year ago and a 22% increase in ticket costs since 2004. Disney announced this price hike two days before it went into effect, creating a wave of news reports and a storm of controversy on the DIS.

Disney blames the rate change on "the needs of the travel industry." Are you buying this explanation? I'm not. I suspect one of the real issues is operating expenses, but not the usual fuel and security ones we usually blame. This time I think the increased expense comes from Disney's "included" services, such as Disney's Magical Express and an expanded schedule of Extra Magic Hours. Unfortunately, these are high-overhead programs whose only return is made through increased attendance. And since these programs aren't magical enough to pay for themselves, I have a feeling part of the price increase is an attempt to balance the budget.

Now don't get me wrong. I think Disney's Magical Express and Extra Magic Hours are great ideas, but we have to realize they aren't "included" for free. You and I are paying for them, even if we don't use the service.

There is another likely reason for the price jump: supply and demand. Disney attendance appears to be steady, unblemished from January's price increase. As long as people keep coming, why not increase the price of tickets? You know how research-oriented Disney has become. Once they sense crowds really will suffer from further rate hikes, I think they'll halt further increases until the market can bear them. In this sense, the rate hikes are partially our fault. When we stop going, prices will stop rising.

Can you blame Disney for this behavior? No. It's a publicly-traded company. Mickey has a responsibility to his stockholders. And who knows when the next global crisis will cripple the tourism industry, so in that sense it's a case of "make money while you can!"

Of course, this mentality creates it's own set of problems. Image is everything to The Walt Disney Company, and if it appears to be pricing out the typical American family, the company's image will certainly take a hit. The question is will it be a big enough hit to affect attendance? Disney is banking on "no" for the answer, but ultimately you and I decide.

Now, those of you who read Mouse Matters with any degree of regularity will recognize I try to offer solutions to reported problems. That's an important job for pundits, otherwise we come off looking like whiners.

So in this spirit of helpfulness, let me offer some suggestions for bringing the cost of a Disney vacation down to a more affordable level:

1. A full blown boycott - Since it's the most obvious solution, I had to at least mention it. Of course it's not going to happen, and even if it did, the impact would be minimal. Don't believe me? Ask the Southern Baptists how far a boycott of Disney gets you. And why won't a boycott work? Because while folks may agree with a boycott in practice, it's too easy to break. After all, that darn mouse is so irresistible!

2. Demand a return to an à la carte system of pricing - Disney could resume its old pricing system with a return to a nominal admission charge plus A through E ticket sales for rides and attractions. Only this time, they could fee-for-service everything. They could put quarter slots at the entrance to monorail stations and bathroom stalls. They could expand towel charges from water parks to resort pools and they could redesign fireworks so they are only visible with a special pair of glasses, which guests must rent. Of course, those who don't care to see the fireworks could listen to the soundtrack with rented ear phones. The booms would be free for everyone. Parade spots would fetch a handsome price per visitor, and princesses could work overtime collecting fees for autographs.

3. Ask for scholarships - These should be available to those who show proficiency in the fine art of Disney addiction. DIS-board post counts could be a qualifying factor, with final selection based on personal essays and an interview process. The top tier of selected applicants would have room and board included in the scholarship. Financial need is not considered for this level of support.

4. Seek grants and low-interest loans - Those in the early stages of their Disney addiction who show promise and have a documented need for financial assistance would qualify for grants. The rest of us get low-interest loans, which are renewable each year and include easy consolidation as long as we keep coming back. Wait. Strike that option. It already exists. Disney calls it by a nicer name--DVC!

Now, please don't send hate mail telling me how ridiculous you find these ideas. Allow me to turn to my serious side. There is a solution that doesn't involve boycotts, scholarships, or loans. You could accept the fact that Disney is worth the price they charge and save up for your trip. Sure, you might have to tighten your budget, cut out other recreational opportunities, and decrease your frequency of visits. There's nothing wrong with those strategies. Not only is it sound advice for your pocket book, you'll be teaching your children a valuable lesson to boot.

Mike is a board-certified pediatrician with over 10 years of patient care experience. In addition to his clinical practice, Mike writes two weekly columns - Pediascribe: A Collection of Thoughts From an American Pediatrician and Mouse Matters. He also appears regularly on The DIS Unplugged and hosts Pediacast: A Pediatric Podcast For Parents.

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COPYRIGHT 2006 MIKE PATRICK JR