Legoland California to introduce surge pricing for admission

CARLSBAD, Calif. (FOX 5/KUSI) — It may soon cost people a little more to visit Legoland California on certain days as the theme park’s parent company announced plans to bring surge pricing to its ticket sales.

The sales model, also referred to as dynamic pricing, changes prices to meet shifts in demand. For theme parkgoers, this typically means admission is more expensive when more people want to go — like during the summer months or the holidays, if the park has special events.

In a statement to FOX 5/KUSI, a spokesperson for Merlin Entertainments, the parent company of Legoland California, said the change would take its existing practice of reducing certain fees during off-peak periods a step further by incorporating more data to inform prices more quickly.

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The company added this is to optimize their existing pricing structure and deliver “the best value and experience for our guests.”

“This approach clearly works because our guest satisfaction is at an all-time high. This change brings us in line with competitors and the broader holiday industry that have similar pricing structures, which benefit guests who choose to book off-peak,” the statement continued.

Merlin Entertainments CEO Scott O’Neil also discussed the new system in an interview with CNBC on Monday, arguing it would improve the guest experience by cutting down on overcrowding and long wait times inside its parks and other attractions.

“You don’t want to go to Legoland Florida or Legoland New York or Legoland California or Madame Tussauds right down the street here and wait hours in line,” O’Neil said in the interview.

“You take the prices up, it keeps the numbers down to a reasonable number,” he continued, adding that low foot-traffic days may even bring out more guests hunting for a deal.

Legoland California, as well as over a dozen of the other attractions owned by Merlin like Madame Tussauds, will be the latest in a string of properties to fully embrace flex pricing.

The surge model, which has been used by hotels and airlines for decades, has become increasingly ubiquitous across the theme park industry in recent years, with juggernauts like Disneyland Resort and Universal Studios adopting it with the stated goal of addressing crowding.

Certain retailers like Amazon and most gig-based service apps, such as Uber and DoorDash, also have some sort of flex pricing.

However, companies’ widespread embrace of surge pricing has not come without pushback. Last month, Wendy’s came under fire for announcing a plan to test dynamic pricing for its burgers during peak hours as early as 2025.

Merlin Entertainments’ announcement to more widely adopt the fluctuating pricing plan comes on the heels of a year where it brought in record revenues of £2.1 billion, or roughly $2.7 billion — up 8 percent from 2022.

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Merlin Entertainments said its dynamic pricing model could come to 20 of its most popular global attractions like its Legoland parks, Madame Tussauds and Sea Life throughout the year.

Specific details about what the structure would look like for Legoland California have not been released, including what the baseline price would be under the model and how much of a jump costs would be during peak times.

Although the company said to FOX 5/KUSI that it would provide guests booking online the option to receive “discounted prices for select dates and times.” In the CNBC interview, O’Neil suggested that this off-peak discount could be about 10 percent, or even “a bit more.”

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