Another massive American firm is hiking prices, but this time, inflation isn’t to blame.
Disney is raising the price of its streaming products and signaled that a price hike could also take place in its theme parks. On Wednesday, the company said the price of Disney+ without ads is jumping $3 per month to $10.99 starting Dec. 8. Hulu with ads will increase by $1 per month to $7.99, and Hulu without ads will jump $2 per month to $14.99.
Then on Thursday, Disney Chief Executive Officer Bob Chapek indicated to CNBC’s Julia Boorstin that a price hike will likely be coming at theme parks as long as people keep coming in droves.
“We read demand. We have no plans right now in terms of what we’re going to do, but we operate with a surgical knife here,” Chapek said. “It’s all up to the consumer. If consumer demand keeps up, we’ll act accordingly. If we see a softening, which we don’t think we’re going to see, then we can act accordingly as well.”
Disney strategically limits attendance at its parks, trying to avoid crowding during the pandemic. The move is a way to improve the customer experience. Furthermore, the firm has added Genie+ and Lightning Lane products, which curate guest experience and allow parkgoers to bypass lines for major attractions.
