Niles: Price hikes show that Disneyland needs some changes

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Niles: Price hikes show that Disneyland needs some changes
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Perhaps the solution is for Disneyland to do away with annual passes.

October brings a new fiscal year — and a new round of theme park price increases — for The Walt Disney Company. But Disneyland visitors have every right to question whyand Magic Key annual passes up to 21.5%. Meanwhile, at Walt Disney World, annual pass prices increased up to just 10%, while the Florida resort held the line on daily ticket prices.

One is tempted by these numbers to assume that attendance has been much stronger in California than in Florida. The company has suggested as much in its recent earnings calls, even though Disney does not release specific attendance numbers for its theme parks. While that’s good news for the Anaheim-area economy, Disneyland’s Magic Key holders may be left wondering if they ever will get the freedom fromRemoving Magic Key reservation requirements would create a disaster for Disneyland fans.

Theme parks introduced annual passes to encourage loyal fans to visit more often. Their fixed price means that the cost per visit drops each time a passholder returns to the park. But when Disneyland is raising ticket prices the way that it just did, an annual pass system becomes counter-productive.

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