Disney Facts – family vacation design

Whether the first time or the tenth, a stroll around Disney World leaves us and most visitors in awe of its gigantic size and level of operations. With so much going on, from rides and retail to food and entertainment, one can’t help but wonder how much does Disney make in a day? The simple answer to the question is “a lot.” And that’s after factoring in all the costs associated with running the most popular theme parks in the world. Having visited Disney World many times, I’m always curious about how they sustain themselves in an economically volatile world. Although the company does not disclose everything about its income and profits, they release public earning information, giving us a rough estimate of how much Disney makes in a day, year after year. From Where Does Disney Generate its Income? Disney, as a whole, generates money from various ventures. All of them are divided into four main groups. Disney Entertainment – Consists of global entertainment and media portfolio, including The Walt Disney Studios, Marvel, Star Wars, ABC Entertainment, 20th Century Studios, FX, Hulu, National Geographic, and more. ESPN – Includes ESPN and ESPN+ Disney Parks, Experiences, and Products – A diverse group comprising Walt Disney World, Disneyland Resort, Disney theme parks in Shanghai, Tokyo, Paris, and Hong Kong, Disney Cruise Line, Disney Store, and other Disney-owned businesses. Licensing – Another source of income for Disney is product licensing. They are the leading merchandise licensor in the world. To determine how much Disney makes in a day, we will focus on Disney Parks, Experiences, and Products. How Much Does Disney Make in a Day? Let’s look at some numbers for a better assessment and to understand where the company earns the most moolah. Last year, Disney reported earnings of $7.4 billion during the fourth quarter of the fiscal year. The revenues for the entire year were $28.7 billion, a whopping 73% increase over the previous year. Do keep in mind that during the pandemic, the parks weren’t operational all the time. When we divide the yearly earnings by 365 days, we get a value of $79 million per day. However, this is what Disney makes in a day across all its worldwide operations under Parks, Experiences, and Products. Interestingly, the Quarter 1 results of the 2023 financial year, which includes the months of January, February, and March, are around $7.2 billion. In case you are wondering, this is quite similar to what Disney earned during the same period last year. In particular, earnings change from Q1 to Q2, Q3, and Q4 because Disney profits significantly more during the summer and winter holidays. How Much Profit Does Disney Make? Of course, when we talk about how much Disney makes in a day, we should also consider the expenses that go towards running the parks, advertising, and the like. In 2022, the operational costs for running all Disney parks were nearly $8 billion annually. When you subtract this amount from the $28.71 billion that Disney made in 2022, we get a net profit of approximately $20 billion, as reported by the company. How Much Does Disney World Make in a Day? When we narrow the earning to our region, focusing mainly on Walt Disney World in Florida and all its parks, the earnings amount to over $19.5 million daily! That’s quite a big chunk of the total pie, and that’s because Disney World theme parks are the leading money-makers for the company. After all, Walt Disney World consists of four theme parks and Disney Springs, making it unique and much more prominent in operations than other Disney parks. In case you are interested, of all the Disney World parks, Magic Kingdom tops the chart for bringing in the most money. Where Does Disney Make the Most Profit? Disney also earns plenty from other endeavors. In 2022, its Media and Entertainment wing brought in $55 billion in revenues. This makes the division, which includes Marvel, Star Wars, Lucasfilm, and Pixar, Disney’s main revenue generator. But we shouldn’t confuse revenue with profit. Media and Entertainment also require the maximum investment, as a result of which the total profit is much less. At the same time, Parks, Experiences, and Products bring in relatively less money but do not require high operational costs. Thus, when it comes to where Disney makes the most profit, it’s unquestionably through the Parks! How Does Disney Make Money? Since we know Disney World is responsible for significant profits, let’s try to figure out where the maximum revenue comes from; Ticket Sales Park tickets are among the biggest money generators for Disney World. On average, a ticket costs $100 per person per day, multiplied by tens of thousands of visitors as well as fans like us who typically visit Disney for more than 24 hours. One can thus assume that the parks in Florida alone manage close to $17 million per day from ticket sales. And if you are wondering about the entire setup and how much does Disney make in a day from ticket sales, just know that they get 150 million visitors annually. So, feel free to do that math. Ticket Add-Ons A part of the earnings from ticket sales are the add-ons like Genie+ and Lightening Lane privileges. The former costs $15 per person daily, and almost 40% of visitors opt for it. Skipping the line can cost anywhere from $10-$15 extra. Disney also makes money from special offerings like VIP Tours at around $450. And let’s not forget all the events like the International Food & Wine Festival and the International Flower and Garden Festival at EPCOT, where you inadvertently end up spending money. Parking Parking does not involve continued investment for Disney; thus, the profit is pretty good. While Disney Resorts no longer charge residing guests for parking, you do have to pay when visiting the theme parks. Earnings can go up to $500,000 daily, with per day and premium parking costing anywhere from $25 to $50. Food Eating at Disney is one of our family’s main expenses when visiting the parks. Not only do we love to munch on Disney snacks throughout the day, but we also make it a point to have one proper meal in the park. Understandably, when you spend an entire day running from one ride or show to another, you need all the nourishment to stay active. So, even if we factor in roughly $50 per person for food, you can imagine that Disney World earns quite a ton from its food and beverage sales. Resort Bookings It’s difficult to pinpoint the daily earnings at Disney resorts since rates change based on room type, availability, and season. Still, there has been a marked increase in the number of people staying in Disney resorts over the last year. Additionally, resort guests spend at dining outlets, spas, in-house shops, character meets, and other events, all of which boost the revenue from Disney hotels. Retail A look around our house, and I can proudly say that we are contributing quite a bit towards the profit Disney makes from merchandising. All the thematic shops around every ride and bigger ones near the exits make it so hard to leave the park without indulging in some retail therapy. While it is difficult to get exact figures, it’s safe to assume retail stores at the theme parks bring in millions of dollars daily. Where Does Disney Spend Money? Big earnings also mean huge expenses. Since we now know how much does Disney make in a day, let’s find out where they spend a significant part of that money. Wages Did you know that Disney World, with its 75,000-plus workforce, happens to be the largest single-site employer in not just the country but the entire world? On average, workers at the Florida theme parks get $18.37 an hour, which amounts to Disney paying nearly $3 million in wages at just the one resort. Maintenance Part of Disney’s success is due to the unwavering importance given to safety and security. This includes daily maintenance of the rides. From technicians to cleaners and operators, Disney pays high wages to personnel responsible for ensuring everything runs smoothly day in and day out. Last year, Disney spent nearly $23 million per day on operating costs, including wages, across all its theme parks. Advertising It’s difficult to know Disney’s exact budget for marketing and advertising, but one can assume that it’s pretty significant. Whether placing adverts online, across various media or on-site, everything plays a part in bringing more and more visitors to the parks, especially after the lull during the pandemic years. Across Platforms When you are under the same company umbrella, it is common for profits to get assigned to different sectors. We already discussed how Parks, Experiences, and Products earn a maximum profit for the company, even if they aren’t generating the highest revenue. However, this profit doesn’t necessarily have to return to the parks. Instead, the company can always, and sometimes does, use it for its Linear Networks, Media, and Entertainment divisions. Final Thoughts At the end of the day, one should realize that dreams don’t come cheap. While Disney promises a truly magical experience, it would be naive to overlook the company’s stature as a business that has to make a profit to stay afloat. So, the next time you are at any of their theme parks, don’t ponder too much over how much Disney makes in a day. Instead, enjoy a once-in-a-lifetime experience brimming with endless joy, excitement, happiness, and adventure.