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The Future. After only 19 months, Disney announced the closing of its hyped Galactic Starcruiser hotel (aka the ultimate Star Wars cosplay experience). The problem was that it commanded blockbuster prices for boutique capacity, meaning the venture was only profitable if demand stayed high. But with excellent reviews and high-satisfaction ratings, expect Disney to experiment again… just with less-demanding margins.
The Death Star of hospitality
Disney’s Galactic Starcruiser hotel didn’t quite jump to lightspeed — getting cut as part of its larger cost-saving mandate.
- The $400 million premium, immersive hotel was too expensive for most people to afford — $5,000 for a couple or $6,000 for a family of four to stay for just two nights.
- That price made it almost impossible for people who did pay for a stay to return a second time — a key part of a hotel’s success is repeat visitors.
- Its scant 100 rooms were sometimes less than half full per “voyage” (weekend stay), which made recouping expenses nearly impossible.
Because of all that sad math, Disney decided to put up the permanent no-vacancy sign and take a $300 million write down.
Maybe the force will be stronger with the next one.
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