“Pricing Is Not an Issue” Disney CEO Shares Explanation for Theme Park’s Dwindling Crowds

After being accused of “missing magic,” driving a “woke” agenda, box office blunders, and an ongoing feud with Florida Gov. Ron DeSantis, the once-retired Disney CEO Bob Iger confirmed an extended stay in his role until 2026.

The announcement sent shockwaves through the media, with speculations abound about the Walt Disney Company’s perspective on the countless headlines it’s been starring in. The fans got insights into their burning Disney questions thanks to CNBC’s interview with Iger on “Squawk Box” Thursday morning.

Among Iger’s answers in the interview with CNBC’s David Faber were plans about Disney’s television future, reactions to recent Disney film controversies, and dismissals of claims from DeSantis about Disney “sexualizing children.” Another hot topic was one that The Wall Street Journal recently reported on, and Iger offered a detailed explanation for the dwindling crowds at the Walt Disney World Resort.

Unusually Empty Disney Parks

Fourth of July weekend is typically a bustling time for Walt Disney World. Competition to snag a spot to view the year’s most epic fireworks display translates into elevated wait times for Disney’s Independence Day celebration, but this year was different.

Statistics from Thrill Data demonstrated a 30% decrease in Walt Disney World Park attendance on the holiday weekend, raising eyebrows and pointing fingers at Iger. When prompted by Faber to address the low crowd levels, Iger asserted he wasn’t “worried” about the declining numbers. Iger attributed the decreased number of Guests in 2022 and 2019 to several factors, one being the increased competition for travel destinations that weren’t present when Walt Disney World first reopened. Acknowledging the competition’s lower ticket prices and discount offers, Iger said, “Pricing is not an issue.”

Iger noted the hotel tax revenue in the Orange County area being down by 6-7%, citing an overall Florida tourism decrease as a potential factor in the crowd reports. Specifically pertaining to Jul 4, Iger said, “Measuring attendance at Disney World on July 4 didn’t really factor in temperature, which is about 100 degrees—and 99% humidity on that day.”

In addition to dismissing competitor discounts and Park pricing, Iger denied the DeSantis feud had any contribution to the sparse crowds at Walt Disney World. Further, he stated, “We’re not wringing our hands over it,” affirming that Park attendance is not a concern for the Walt Disney Company.

Future of the Parks

In the CNBC interview, Iger said with assurance that he “really believes in the future” of projects like Star Wars: Galaxy’s Edge and Disney’s newest theme Park, Shanghai Disneyland, citing them as investments that are “really paying off.”

Iger also noted opportunities to “turbo-charge” growth in that department, alluding to additional expansions that have so far been rumored. EPCOT has been a hot topic of conversation regarding Park expansions, with talks of elusive additions like a Mary Poppins attraction coming to the UK Pavilion. However, Guests have been on the edge of their seats while no confirmed progress has been made.

While Iger took an optimistic tone about Disney’s theme Parks, Disney fans will have to wait and see what developments come about in the next three years while Iger continues to helm the company.