Thursday, November 7, 2013

Bad News From Disneyland Paris as 2013 Annual Results Reveal 1 Million less Visitors in Parks Attendance

Disneyland Paris released today its fiscal year 2013 results which reveal that between fall 2012 and the end of September 2013 the parks attendance has lost 1 million visitors. But, thanks to the new strategy - which seems to have eventually less visitors but more who spend money in hotels and the parks - the results are not as bad as one could expect. Below is the statement of DLP CEO Philippe Gas and you can read the full report on DLP corporate website HERE.

You'll also be interested to know that in an article from Attractions Magazine that you can read HERE DLP COO Joe Schott said that Disneyland Paris will spend in the next five years 440M € ( $606M ) in maintenance and development ( Ndr: he didn't specified, but hopefully this include new attractions ).

The hotels occupancy rate is down from 87.1% in 2011 to 79.3% in 2013 but the average spending per guest increased from 46.44€ to 48.14€ and the average spending per hotel room is also up from 218.80€ to 235.01€. So, even if the theme parks attendance went down from 16.0M in 2012 to 14.9M in 2013 DLP succeeded to reduce its net loss by 22% in 2013, thanks to the 2012 debt refinancing. What all this means is that DLP hotels rooms are slightly more expensive than before as well as food but the good news is that DLP parks entrance ticket remain - for now - at a much lower price than Disney parks in the U.S.

Next year will be the year of the opening of the Ratatouille ride so it should be a better one, or at least we can hope so.

Reports Fiscal Year 2013 Results
  • Despite the continued economic slowdown in France and Southern Europe, revenues only declined by 1% to
    €1.3 billion, as guest spending increases, growth from the United Kingdom and higher real estate activity
    partially offset declines in attendance and hotel occupancy
  • Costs and expenses increased 1% in line with inflation, consistent with the Group's continued focus to limit
    cost growth
  • Net loss was reduced by €22 million to €78 million, reflecting the positive impact of the 2012 debt
  • Higher guest spending reflects the Group's continued investments in the quality of the parks and hotels
  • Launch of the rehabilitation of Disney's Newport Bay Club hotel and debut of a Ratatouille-themed
    attraction at the Walt Disney Studios Park® in 2014 

Commenting on the results, Philippe Gas, Chief Executive Officer of Euro Disney S.A.S., said:

"2013 was a challenging year for Europe’s tourism and leisure industry. We felt this in theme park attendance and hotel occupancy, notably with fewer guests coming from France and Southern Europe. However, despite the economic crisis, our continued enhancement of Resort offerings allowed us to again drive guest satisfaction and guest spending increases, which helped mitigate the impact of lower visitation.
In 2014 we will continue our strategy to invest in the quality of our Resort offerings and our guest experience. This includes our multi-year hotel renovation program with work commencing on our 1,100 room Disney's Newport Bay Club hotel. We will also continue to push the bounds of our imagination with the summer opening of a unique new family attraction based on the hit Disney•Pixar movie Ratatouille, which will make 2014 an exciting year for us.
Disneyland Paris and its entire cast remain mobilized to surpass the current economic difficulties and we are confident that we are laying the foundation for a positive future." 

Picture: copyright Max Fan


Dutchduck said...

Ten years of not investing in new attractions are starting to show. Why revisit the park as long as there is nothing new? The Studios remain a no go area for at least the next ten years as long as they don't completely overhaul this disaster of a park.

Marco Antonio Garcia said...

I agree with you Dutchduck, unfortunately, but I'll be at the studios for the opening of Ratatouille for sure!

The studios, in my opinion, is going to remain a disaster of a park with some very good attractions worth going to, like Ratatouille, Tower of terror and the lights motor action show.

It is not going to be a good and pleasant park to enjoy the whole day as long as they don't completely overhaul it, but it will be a park to go early in the morning, ride Ratatouille and TOT, and go to Disneyland park or to the hotel swimming pool afterwards.

Ministry Minion said...

As someone living roughly 200km from the park with a direct TGV (High-speed train) line available, the main reason why I don't go more often is that the train timetable and prices are terrible.
The last train back is at 7pm. You have to miss the evening show, or spend quite a bit for a hotel room.
(This could, I suppose, be a reason why there aren't any later trains, as there are some 'partnerships'.)

That train trip would cost me, should I decide to visit on a whim, anything from 60 to 150€, depending on the demand.
If booked well in advance, it may only cost 40€.
With the trip costing potentially as much as a Fantasy pass, I don't buy that pass because I can't afford to go.
It's been one year since my last trip.

Anonymous said...

Disney just don't care about the Paris park anymore. I wouldn't be shocked if it closed within the next 20-50 years.

Anonymous said...

Less Visitors are not bad news, they are good news. The park is massivly overcrowded since years - and you see that more and more at every corner ... well, you would see it, if that corner isn't full of people like on a rockconcert.

The whole park need a renovation - from the buildings over the general concept, the stuff you can buy and to - at least - service.