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Disneyland Profit Extraction Hacks

Disneyland Profit Extraction Hacks

These ethical marketing hacks crush it.

June 24, 2024

_{997 Words | 4 Min 15 Sec Read}

Today we’ll be discussing a variety of marketing strategies and tactics observed at one of the most profit extracting places on Earth: Disneyland.

Let’s dive in.

Earlier today I went on a family trip to Disneyland.

Famous for their innovative sales strategies, the marketer in me couldn't help but notice both the obvious - and subliminal - strategies they use to extract as many dollars from their visitors as possible.

So for today's issue, I thought I'd break down some of what I noticed in hopes you can apply the same strategies to your business.

#1 - Bundle Discount Pricing

As you likely know, tickets for Disneyland are notoriously expensive.

To the tune of $185 for adults plus another $65 if you want the ability to visit both parks (Disneyland + California Adventure).

If, however, you buy a Three Day Bundle, the prices drop to as low as $50 per child and $83 per adult (per day).

Admittedly, this wouldn't be of much use to a tourist who's only in town for a one day visit.

From a business perspective, however, this is a pure money maker.

Sure, their admission revenue drops by discounting the tickets so much. But what they lose there, they gain in repeat purchases of parking, food and drinks, and memorabilia.

It's a common strategy used by ski resorts, which - despite selling single day tickets - have moved almost entirely to the Season Pass model.

So if there's way you can discount your upfront offer to drive repeat purchases of your backend offer, run the numbers and consider doing it.

#2 - Well Placed Upsells

If you've ever gone to Disneyland/Disney World, you know you can't exit a ride without walking through a gift shop.

Rest assured, this is no accident.

Whether it's Toy Story souvenirs after the Buzz Light Year ride, or a near endless supply of Star Wars memorabilia, forcing users to consider your extra offers (in a non-pushy way) is a huge revenue booster.

Which is the precise reason online marketers use upsells, downsells, and cross-sells in their sales funnels. In many cases, they'll lose money or break even on their front-end products.

But by selling more stuff during the checkout process, they can boost their Average Order Value (AOV) or Profit per Order to the point their paid advertising becomes profitable.

So while this isn't anything new or revolutionary, always make sure to present extra offers during your client, customer or patient's checkout process.

#3 - Under Promise, Over Deliver

One thing I was shocked by today was the price of the food.

And not because it was so expensive, but because it was so reasonable.

In fact, if you've attended a major sports event recently (MLB, NBA, NFL, etc.), you might surprised to see just how affordable the food at Disneyland was.

To be specific, here were the prices from today:

$12 Chicken Tenders with Fries
$15 Fish and Chips
$13 Cheeseburger

Sure, the $5 sodas were a bit much.

But if you go to a pro ball game, you're looking at $8 waters and $20+ burgers.

Here's why this matters.

With ticket prices nearing $200 and parking at $35, it's painful enough that a family of four has to drop near $800 to get in.

If Disney were to squeeze people by making their food super expensive, it would lead to guests feeling extorted.

However, by making their food relatively affordable (not much more than McDonalds or Burger King), it creates a a situation where people go from expecting to be ripped off to pleasantly surprised.

And that goes a long way towards people not only feeling good about their investment (because let's be honest, going to a Disney park is an investment into creating memories), but increases the likelihood of the customer returning.

So if you sell your product or service at a premium price, throw your buyers a bone by easing up on the pricing after they make their initial purchase.

Especially if their initial purchase is by far the largest one they'll make with you.

💡 Takeaway: From bundle discounts to profit enhancing upsells, online marketers can learn a lot from how Disney extracts profit from their visitors without being pushy or overly aggressive.

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