Serious Question: Variable Pricing?

[milst1]

Hi TPR Minions. Serious question:

 

We know that lots of parks discount off of the entry price with coupons and soda cans and multi-day tickets and such, but do you know of parks with premium pricing on busier days and/or seasons?

 

I know Efteling and BillyBird Park have seasonal pricing (right now it's only €29 entry for Efteling), and Slagharen has a calendar with three different prices depending on quiet, average, and busy days.

 

Anyone seen such pricing schemes showing up at any USA parks?

 

Thanks for your help guys!

[Moose]

I could have sworn that I have seen coupons that were worth more on certain days effectively causing the differential pricing. Unfortunately, I can't find any of these now.

 

I know area haunts definately have higher prices on busier nights.

[Ed Farmer]

I think it would be a great idea from a park's standpoint to do this. Certainly don't think it would hurt for chain like Six Flags to at least experiment with something like this. Most MLB franchises price games based on opponent/calendar/promotions and it doesn't stop people from attending premium-priced games- if the product is good.

Edited January 26, 2011 by Ed Farmer

[Swimace]

I can't think of any US parks that do this for their normal operating hours, but I've seen it with special ticketed events. For example, as a Florida resident or annual pass holder, some nights are cheaper for Halloween Horror Nights than others.

[milst1]

Awesome comments, thanks guys.

 

Right now, the only park I can identify is Slagharen, here in NL. If you check their ticket buying calendar, the price of admission on that day is based on predictions of how busy it will be.

 

Thanks for reminding me of hard ticket events like MNSSHP and Horror Nights and such.

[robbalvey]

On peak day at Knoebel's, they do not offer the "Pay-One-Price" wristband and it's tickets only. That can increase your cost of the day, depending on how many rides you go on of course.

Edited January 26, 2011 by robbalvey

[larrygator]

Martin - the US based parks are deep into couponing and releasing more coupons or increasing offers when they expect less crowds in the parks.

 

One example is the Six Flags Coke can offers that provide a higher discount on weekdays versus weekends.

Edited January 26, 2011 by larrygator

[milst1]

Thanks Larry and Robb. I haven't picked up a SFGAdv Coke can in years and didn't know that the discount was variable. And I forgot that the POP wristbands aren't always for sale at Knoebel's.

 

It's interesting that the parks all discount off of the "published" entry price, but are loathe to charge a premium when demand is extremely high and the park is expected to approach capacity. I guess the queue products capture some of that demand by visitors who are basically willing to pay more than the entry price to enjoy the park. Of course if you set your prices like the airlines do, you're risking being hated like the airlines are.

 

By offering lower prices mid-week, Slagharen moved some of its weekend overcrowding to the less busy weekdays, and less weekend overcrowding led to shorter queues and more in park spending. Or so it was reported in this article.

[Hilltopper39]

I think in previous years that Holiday World offered discounted admission at various rates depending on if it was a weekday or weekend and also depending on the month of the summer, a larger discount was available on less busy days. Although ever since I have joined Club TPR I don't have to worry about discounts because my Club TPR Cards gets me the best discount possible all of the time! Thanks ROBB!!

[eltoro96]

I've only been to U.S. parks, and they all have been one price all the time unless there are promotions. The parks around here usually give them around the time they open because school is off and the weather is crap. The worst is when you have to pay full admission just to enter

 

VV I'm the only one who rides in my family

[eddie200330]

If I am not mistaken, correct me if I am wrong, doesn't Busch Gardens in Williamsburg have a "capacity" where they will close the gates after so many tickets are processed? I really can't see paying a higher premium for crowded days when you are not going to be able to ride much anyhow. As others have said, I don't believe there is a park in the US that doesn't have some sort of coopun or whatnot off the listed price. I can't recall in the last 20 years ever paying window price for admission.

[DenDen]

Back in the 80's/90's Kennywood used to have a premium price structure when they still had ride tickets. (ie. Fri-Sun and holidays were a higher price.) They no longer do it, but i think they stopped once they got rid of tickets. (Kennywood fought using pay-one-price to the bitter end!)

[YoshiFan]

I'm not sure it it counts or not but in May and September, before Memorial Day and after Labor Day which is the slower time of the season and with the waterpark closed, Dorney charges $29.99 rather than the $44.99 they charge during the summer season. They also used to charge $10 to park during the week and $12 to park on weekends since they usually fill the lot on the weekends but it appears for 2011, they are now charging $12 everyday.

[milst1]

If I am not mistaken, correct me if I am wrong, doesn't Busch Gardens in Williamsburg have a "capacity" where they will close the gates after so many tickets are processed? I really can't see paying a higher premium for crowded days when you are not going to be able to ride much anyhow. As others have said, I don't believe there is a park in the US that doesn't have some sort of coopun or whatnot off the listed price. I can't recall in the last 20 years ever paying window price for admission.

 

You're right, and I think that several Orlando parks closed their gates due to capacity limits during this past holiday season and I've heard of it happening at KD too. But Magic Kingdom is $82 (i think) for a one day one park ticket, whether in February or at peak times in December or during summer. But at the same time, the hotels in Orlando are much more expensive during December and summer than in February. It makes sense to do all of that discounting during slow times (weekdays, early and late season), but it makes no sense at peak times.

 

If you charge a premium price on the days that are expected to be really crowded, some people will stay away, which is not necessarily a bad thing. The perfect price would be the price that maintains or improves revenue levels while simultaneously discouraging enough people to make the park pleasantly busy instead of absurdly packed.

 

Let's say the park is not so enjoyable when 85% capacity is reached and you expect 95% attendance for a particular day. It's worth looking at a price increase if the percentage price increase is equal to or greater than the expected percentage drop in demand. If a 15% price increase leads to a 10% drop in demand, you've lowered the attendance to a reasonable level and increased your take at the gate in the bargain.