He aggressively raised Disneyland prices. Bob Chapek has no regrets

Former Walt Disney Co. Chief Executive Bob Chapek knows his reputation among Disney fans, especially Disneyland loyalists. In his new book “Behind the Castle Walls,” he defends his changes to the Disneyland experience, the vast majority of which are still felt today.

“Contrary to what some people tried to paint me as,” he writes, “I wasn’t just a maniacal, money-optimizing machine.”

When I had the chance to talk to him last week, I wanted to know if having that image bothers him.

“I’m not concerned about it,” he says, speaking via phone from his Florida home. “I don’t give that any thought at this point. But I’m very proud of the performance of the parks segment during my time. The numbers bear that out.”

Chapek, in his role as chairman of the parks division and later CEO of the company, presided over an eight-year period beginning in 2015 in which Disneyland would significantly raise prices, introduce add-on perks, and, in my opinion, create the unsettling sense that you could be having more fun if you just spent more money.

When Chapek took over the parks segment, Disneyland would begin to fully remake its annual passholder program, largely by significantly increasing its price and limiting access. (In 2015, the top priced annual pass was close to $800. Today, it’s $1,899.) Single-day tickets to the parks would also begin a period of aggressive price hikes. Today, a one-day, one-park ticket tops off at $224. It’s widely expected that Disneyland will be raising its prices again this October, as it has done nearly every year in recent history.

Additionally, benefits that Disneyland guests long took for granted as free, such as the line-skipping Fastpass program, would become a paid perk on Chapek’s watch. Access to some attractions would be grouped together as part of a package now known as a Lightning Lane. In-demand rides such as Star Wars: Rise of the Resistance would be sold separately.

Prices on all of the above typically increase yearly. Today, guests who spring for the front-of-the-line Lightning Lane pass as well as individual access to Rise of the Resistance can expect to pay around an extra $65 per person once having their tickets scanned.

Chapek notes he faced significant opposition at Disney in making these changes.

“To all who come to this happy place, welcome,” goes Walt Disney’s original dedication speech, which for decades was used as a guiding light that every guest who entered Main Street, U.S.A., would be treated as an equal. That meant, with limited exceptions, no special access for anyone.

This was seen as an “inviolable virtue” at Disney, but one Chapek was ready to break, as he writes in his book.

“Everyone is equal when they come through the gates no matter what walk of life they come from,” Chapek tells me. “What’s different, though — and this isn’t because we say it’s different, it’s because the guests say it’s different — it’s that guests say they want an experience that’s tailored to what they can afford.”

Maybe. I don’t have access to guest satisfaction surveys, but that sounds like something only people with a certain privilege say. No doubt guests who can afford less don’t want a worse experience.

Chapek in his book describes himself as a “disruptor,” and considers Lightning Lane-like add-ons “bespoke” experiences that appeal to guests who crave a more customizable day. While they are common at nearly every theme or amusement park, I consider them classist, creating a haves-versus-have-nots mindset as soon as guests step through the gates.

Chapek defends the move to me, pointing out that while he presided over the parks, it’s lowest price one-day, one-park ticket stayed steady at $99 (today it’s $104). While true, and while Disneyland has even sought to increase the number of days offered at its introductory price since Chapek was ousted from the company in 2022, these are often midweek tickets, necessitating that working families take a day off and force a child to skip school.

“How about demand?” Chapek says to me when I point out that I have been critical of the moves. “Do people stop coming? That would obviously be a big concern. Even with the increase in prices that were taken on the annual passes, it would temporarily soften demand, but a year later they were subscribed just like they were before. Wall Street has certain expectations that may not be consistent with the expectations of guests of a certain pass type.”

Chapek reveals in his book that there is somewhere around 1.1 million annual passholders to Disneyland, which is today known as a Magic Key. With each price increase, he writes, that number would tumble to around 1 million, but within about 12 months they would be back to a level they were at before the rise in prices.

During Chapek’s reign, the company also introduced a reservation system, which asks guests to plan in advance. The price increase, later coupled with a reservation system, is designed to cut down, in part, on spontaneous trips to the resort, forcing guests to be more intentional about their Disneyland plans. This can aid, of course, in forecasting crowds and park staffing, but is also intended to limit days in which the park can feel overcrowded.

During his five-year tenure as parks chairman, Chapek writes that profits within the segment went up 18%. And that was largely due to an increase in individual guest spending. Over the decades, certain leaders of the Walt Disney Co. have arguably more closely ingratiated themselves with fans than Chapek has, but the fact remains that Chapek fundamentally and forever altered the approachability and the affordability of a Disneyland visit.

“In order to build things like Galaxy’s Edge and Avengers Campus, that takes capital,” Chapek says. “That capital takes revenue.”

My long-term fear, however, is that this has created a slippery slope. Disneyland guests now brace for yearly price hikes each fall, and this is coupled with yearly spikes on food prices each summer. Once the company and its shareholders become accustomed to such a financial boost, an environment where individual guest spending sharply increases even when domestic park attendance is soft or steady, there’s likely no turning back. Disney has created a business that will target the highest-spending consumer year in and year out.

And thus, guest equality, what was once an “inviolable virtue,” is forever a thing of the past, no matter who is in charge.

This week in SoCal theme parks

• X2 has been retired. Six Flags has officially pulled the plug on Magic Mountain’s X2 coaster, which has been the subject of recent controversy after several lawsuits allege people were injured on the ride. Six Flags shut down X2 in July amid a state investigation into the coaster. “While X2 consistently passed a multitude of safety tests, we have decided to close the ride because we believe it’s the right thing to do. Ride safety is a cornerstone of our business, and when we see guest confidence affected, we take it seriously,” Brian Oerding, Six Flags Magic Mountain president, said in a statement. The Times’ Fedor Zarkhin has more on the news.
• Don’t miss Disneyland’s mariachi band. There are a few more opportunities to catch Mariachi Alegría de Disneyland in Rancho Del Zocalo park inside Frontierland. The performances, set for the evenings of Oct. 6, 7, 13 and 14, are part of the resort’s National Hispanic Heritage Month celebrations. Also, beginning Oct. 4 and lasting through Oct. 15, guests can meet the character of Elena of Avalor near Royal Hall next to Sleeping Beauty Castle.
• Heads up for those attending Halloween Horror Nights. If you have a visit planned to Universal Studios Hollywood’s Halloween Horror Nights and you’re interested in the park’s new Fast & Furious: Hollywood Drift coaster, there’s now an opportunity to ride it. For a cost. Universal is selling access to the coaster for $19.95 per person. Previously, the coaster was only available to those who sprung for the fancy R.I.P. Tour, which is now sold out.
• Work out in Disneyland! The Disneyland Resort has announced new fitness classes across its two parks, an early morning perk for guests staying at one of its three hotels. Among the offerings is the ability to do yoga in Star Wars: Galaxy’s Edge, agility and strength exercises in Cars Land, and a mini-boot-camp-style class in Avengers Campus. Classes range in price, but most are under $49.

Tell us your stories. Ask us your questions.

Have a theme park tale to share? Whether it was a good day or less-than-perfect day, I would love to hear about it. Have a question? A tip? A fun photo from the parks to share? Email me at todd.martens@latimes.com. I may feature your note in an upcoming newsletter.

Ride on,

Todd Martens

P.S.

There is one area where the former CEO of the Walt Disney Co. and I are in complete agreement. Chapek and I both miss Star Wars: Galactic Starcruiser, colloquially known as the Star Wars Hotel. The ambitious, but costly, multi-day experience was one of the most creatively inspiring offerings in company history.

In “Behind the Castle Walls,” Chapek writes that he believes it was shuttered too soon. The Starcruiser closed after about a year of operation. “Was it perfect the first time? Absolutely not,” Chapek tells me. “Was it one of the most ambitious lodging experiences we have ever created? Yes.”

A place dedicated to play — and light role-play — the Starcruiser allowed guests to fully inhabit a fictional world. It was an argument that interactivity could have been the future of theme parks. “It seemed to have the plug pulled on it prematurely,” Chapek says, “and I think it was a big opportunity missed.”

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