U.S. theme parks are emptier as costs surge and travelers go global

• It's also a sign that theme parks aren't doing the thing most likely to attract visitors: building new rides, Len Testa, the president of the trip planning website Touring Plans, told Axios.

State of play: Disney, Universal and Six Flags have all reported lower second quarter earnings for their theme parks this year.

• Disney's earnings report Wednesday revealed that while revenue at its theme parks had bumped up 2% in the latest quarter compared to the same time last year, overall operating profit had dropped 3%.
• Comcast, which owns Universal Destinations & Experiences, reported in its second quarter results last month that revenue from its theme parks had dropped 10.6% compared to the second quarter of 2023.
• Six Flags, meanwhile, reported Thursday that total revenue had dropped 1% in the second quarter and guest attendance had dropped 2%.

The big picture: Disney and Universal theme parks have both seen drops in visitors over the past year, Testa said.

• Testa cited company data, as well as data collected by Touring Plans, about the amount of time visitors spend waiting in line at the parks.
• If "you ask people how long they're actually standing in line, those numbers are markedly down over the last year," for both Disney and Universal, he said.
• Disney and Universal did not immediately respond to Axios' request for comment.

The intrigue: Both Disney and Comcast executives conceded during recent earnings calls that theme parks are competing with other experiences like international travel when it comes to attracting visitors, the Wall Street Journal reported.

• The average cost of a one-week vacation in the U.S. for one person is roughly $1,991, according to consumer financial services company Bankrate. A family of four looking to take a trip to Disney World should likely be budgeting at least several thousand dollars.
• "At that price point, things like cruises and Europe become affordable options," Testa told Axios.
• Testa said he increasingly hears from clients comparing going "to the real Italy" for about as much it'd cost to visit Disney World's "version of Italy at Epcot," and asking themselves what will be the more memorable experience for their children.

Between the lines: Part of the trouble for theme parks is the broader economic landscape. "When people pay more for mortgages, they have less money for vacations. That's just basic economics," Testa said.

• However, costs associated with the parks have also skyrocketed. According to one study, the base price of an adult ticket will have increased 32% between 2014 and 2025. The most expensive adult tickets have increased 91%.
• The average cost of a Walt Disney World vacation — for a family of four over four days — has gone up nearly $1,000 since 2019, "no matter which hotel you stay at," Testa told Axios.
• Over 70% of this increase comes from costs for things that used to be free — like the shuttle bus ferrying visitors for free from Orlando international airport to their Disney hotel. The service was was discontinued at the end of 2021 and visitors are now expected to pay to make their own way to their hotels.

Zoom in: Despite lower profits, Disney's earning statement noted that attendance remained steady from the previous year and that per capita spending had increased slightly.

• However, the company acknowledged that the "demand moderation" it has seen recently "could impact the next few quarters."

The bottom line: Many travelers could decide that the artificial pleasures of the "happiest place on earth" can't compare to the potentially life-changing experience of traveling the world.

Go deeper: Disney to double investment in theme parks and cruises over next decade