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He Who Controls Dynamic Pricing Will Control the Theme-Park Industry!

For over 15 years, I’ve repeated a simple maxim: “He who controls dynamic pricing will control the theme-park industry.” That’s not hyperbole—it’s strategic truth. As I’ve written in past columns, the stakes are high: attendance, revenue, guest satisfaction, and long-term EBITDA all hinge on how well parks manage pricing relative to demand. That’s never been truer.

Dynamic pricing isn’t a gimmick; it’s the proven revenue engine behind travel, hospitality, and transportation. Airlines, hotels, and car rental firms have long embraced it, adjusting prices based on demand, inventory, and market conditions. Bringing that model into theme parks opens transformative possibilities that will grow our industry.

I’ve used it and seen the results. At its core, dynamic pricing lets operators fill troughs and monetize peaks. When attendance is light - mid-week in April or shoulder-season weekdays - prices can drop just enough to attract price-sensitive guests. During high-demand periods - Easter, Thanksgiving week, Christmas, major school holidays - prices rise to match willingness to pay. We avoid leaving money on the table on the busiest days and avoid under-serving demand when crowds are low.

This dual lever - demand stimulation and premium monetization - is exactly what I’ve been preaching. In earlier pieces, I argued that dynamic pricing fills low-demand voids and allows increases when traffic surges. This week, Disney CFO Hugh Johnston echoed the same philosophy.

Success relies on understanding your customers. In my research, there are two principal guest types:

1. The Price-Sensitive Guest
They care about cost and are flexible. If they can save by visiting on a slower day, they will. Dynamic pricing makes lower-demand days more attractive and increases incremental attendance.

2. The Time-Sensitive Guest
They don’t have the luxury of choice - school breaks, vacations, once-in-a-lifetime trips. Cost is secondary. They’ll pay more to be there on specific high-demand dates.

By embracing dynamic pricing, a park captures both segments: bargains when volume is needed and premium revenue when willingness to pay is highest.

The traditional Pay-One-Price (P-O-P) model served the industry for decades, but times have changed. Over the past 60+ years, the visitor mix has evolved, especially with the explosion of season passes. These passes altered attendance patterns, booking behaviors, and cash flow. What worked when P-O-P was introduced no longer meets today’s expectations.

My argument has always been: P-O-P served its purpose, but it’s outgrown. In today’s data-rich, competitive market, static pricing creates inefficiency. It fails to align with real-time demand and leaves money and capacity at risk.

None of this is theoretical. Disney’s CFO Hugh Johnston confirmed the company is investing in dynamic ticket pricing. They’ve tested it at Disneyland Paris for over a year, with “a very good start,” according to Johnston.

Disneyland Paris now uses a tiered-color calendar where each date has a price range tied to demand, weather, and other factors. Once a guest selects a date, their price is locked for an hour so they can commit confidently. Early results show it’s working.

Disney stresses the Paris model isn’t volatile “by the hour” like airfare pricing but similar in concept, with careful guardrails. They’ve long succeeded with variable pricing in hotels; now they’re bringing that discipline to the parks.

I speak from experience. I helped implement dynamic pricing in a South American park and a major European park. The result: sustained, significant increases in attendance, revenue, and EBITDA. That’s not luck - it’s the payoff of intelligent yield management.

Seeing those results convinced me dynamic pricing is no longer optional but essential, especially in an industry now seven decades old.

We’re at a pivotal moment. The industry is mature; growth must come from smarter monetization. Guests are more sophisticated and accustomed to variable pricing from airlines and hotels. Data and technology now enable real-time forecasting impossible a decade ago. Pilot results, like Paris, are encouraging - not just for revenue but for guest acceptance. Disney reports no major negative feedback, a typical reaction when dynamic pricing is introduced.

Beyond theme parks, dynamic pricing is expanding into new industries - rideshare, entertainment, and even streaming - where supply is fixed but demand fluctuates.

Some worry dynamic pricing feels unfair, and that’s a valid concern. But recent academic research, including a study by Professors Ady Milman and Asli Tasci at UCF Rosen College, shows that when transparent and well-communicated, dynamic pricing can maintain or even enhance trust and loyalty. I’ve argued this for 15 years. The key isn’t just to do dynamic pricing - it’s to do it correctly, with clear communication, rational tiers, and explainable value.

Bottom line: dynamic pricing isn’t a fad. It’s the revenue engine of the modern theme-park industry. It attracts price-sensitive guests during slow periods and captures premium dollars when demand peaks. The P-O-P model no longer delivers optimal performance. Real-world pilots like Disneyland Paris, plus my successes in South America and Europe, prove it works. Guest trust can be preserved - even enhanced - when implemented transparently. The proof is everywhere across travel and hospitality.

We must embrace dynamic pricing now, in 2026 and beyond - not as optional, but as the strategic revenue foundation for sustainable growth. I’ve said it for years: “Whoever holds the keys to dynamic pricing doesn’t just influence the theme-park industry—they control it.”

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