Making magic
7 lessons all businesses can learn from Walt Disney World
For young and old alike, Walt Disney World in Florida is where visitors from around the globe go to experience the happiest place on Earth. Yet, from a business perspective, the real magic of Disney World lies in how the most visited tourism destination in the world manages to create a unique experience for each of its 57,000-plus visitors a day.
Staging memorable experiences has long been at the heart of show business and central to the tourism and hospitality industries. As many businesses increasingly find themselves competing with cheaper rivals and inflation pressures, creating outstanding customer experiences is a strategic imperative that helps companies stand out from the crowd.
Having generated $40 billion in annual economic impact in Florida in 2022 and more than a quarter of a million jobs, who better to look to for guidance on creating memorable experiences than globally renowned entertainment icon Disney?
Overall, Disney’s business model is underpinned by creating a feeling of magic for millions of visitors annually at their 12 theme parks worldwide.
UQ Business School tourism and service experts Associate Professor Karen Hughes from UQ’s Business Sustainability Initiative research hub and Professor David Solnet from UQ’s Service Innovation Alliance research hub explain how businesses from a range of industries can learn from Disney’s approach.
Here are 7 things all businesses can learn from Disney to create experiences customers won't forget.
1. Create multi-sensory experiences
“Disney’s theme parks are designed to engage all five senses: sight, sound, smell, touch and taste,” Dr Hughes said.
“No guest to Magic Kingdom will forget the theatrical entrance featuring billboards, music, the smell of popcorn, or the famous vista up Main Street to Cinderella’s castle.
“These elements are deliberately designed and placed to signal that guests are about to be transported into an enchanted land.
“Businesses wanting to create memorable experiences can follow Disney’s lead by ensuring that the physical layout of their site, furnishings, décor, lighting, sounds, smells (‘sensory’ marketing) and staff uniforms promote the company’s key messages or themes.”
Image: Inshots / Adobe Stock
2. Find reasons to make guests feel special
“Disney staff are trained to listen for clues to give out ‘special occasion’ badges to first-time visitors or those celebrating birthdays and anniversaries,” Professor Solnet said.
“The badges prompt cast members throughout the park to provide those guests with special treatment, such as small discounts, preference in queues, special seating or a rousing rendition of ‘Happy birthday’.
“It’s the simple touches that mean so much to guests and prove that adding a little magic doesn’t have to cost a fortune!”
Image: Russell102 / Adobe Stock
3. Use purposeful language
“Disney welcomes thousands of guests – not clients, customers or visitors, but ‘guests’ – into their theme parks every day,” Dr Hughes said.
“Similarly, staff are referred to as cast members and are tasked with creating magical experiences.
“One of the first things cast members learn is the clear distinction between being on stage (in the public eye and therefore being a visible part of the show) and being off stage (behind the scenes).
“These theatre terms aren’t just for fun. They help reinforce the message that magic doesn’t just happen – delivering experiences is a performance that requires everyone to be en pointe and working together.”
While this particular language might not be suitable for all businesses, companies must realise that the language they use projects and shapes the organisation’s ethos and core business to staff and their ‘guests’.
4. If something goes wrong, put it right quickly
“All Disney employees are empowered to fix problems on the spot; for example, giving small treats such as ice creams or fast passes for attractions,” Professor Solnet said.
“Cast members are even trained to actively seek out guests who require assistance and are encouraged to resolve any problems immediately.
“Service recovery is one thing that Disney consistently gets right – it ensures that small issues don’t ruin a guest’s day.”
Tired children, disappointed customers and general misunderstandings are part and parcel of most business operations. However, organisations that prioritise service recovery can significantly improve their guests’ experiences and satisfaction.
From Samsung to Optus, Medibank to Microsoft, the rising number of high-profile data breaches in recent years has provided an interesting case study of how organisations should deal with breaches of customer trust.
According to Business School experts, honesty, empathy and action all go a long way to protecting the organisation-customer relationship and rebuilding trust. While many organisations traditionally have shied away from admitting fault, many modern customers value businesses that provide a genuine, direct apology and a commitment to fix – and not repeat – the problem.
Learn more in ‘A leader’s guide to managing emotions at work’.
Image: Russell102 / Adobe Stock
Image: Russell102 / Adobe Stock
5. Be consistent in all aspects of the business
“Disney promotes itself as the ‘happiest place on Earth’, and cast members have to outwardly embody happiness too,” Dr Hughes said.
“When Disney cast members are on stage, they’re expected to be enthusiastic and energetic whatever the circumstances.
“Disney’s philosophy is that happiness is contagious – if cast members act happy, they’ll feel happy, and the mood will spread to others, including guests.
“It may be the 100th time a cast member has welcomed guests that day, but for each guest, it’s their first time.”
Nurturing and embedding a positive attitude in staff is vital for all organisations with a high level of customer contact. But having a positive mindset is also an important way leaders of any business can influence employee morale at work.
Because emotion is contagious, leaders who effectively manage their emotions tend to feel more confident, perform effectively, and subconsciously encourage the same mindset in their teams.
As customers increasingly dictate how and when they like to interact, it’s also vital businesses deliver a consistent experience across in-person and online interactions. Offering a seamless journey through the organisation at every touchpoint – whether it's face to face, in store or online – will help nurture a relationship that encourages repeat business.
Learn more about this topic in ‘5 crucial ways to build business resilience’.
6. Value every member of the team
“Disney emphasises that every cog in the wheel is critical to their overall success – no job is too small or menial to go unnoticed,” Professor Solnet said.
“Cleaners are called ‘custodians’ to acknowledge the importance of their role. Management picks up litter, talks to park guests and gets to know their cast members personally – they ‘walk the talk’, as every employee is asked to do.”
The key learning from this approach is that organisations that value their team inspire them to give excellent service and engender loyalty to the company.
Other ways businesses can foster loyalty and performance from employees include paying attention to staff wellbeing, walking the talk when it comes to demonstrating organisational values and offering opportunities to upskill, according to Business School research.
7. Manage those queues
Disney recognises that people in queues are not spending money and are probably feeling frustrated, too!
“The company works hard to minimise waiting times through advance booking platforms,” Dr Hughes said.
“These systems allow guests to self-manage their experiences by providing real-time information about the length of lines via apps, websites and on-site signage.
“Sometimes queueing is inevitable – in Disney’s theme parks you’ll find audio-visual presentations or cast members creating impromptu performances and interacting with guests if they need to queue.
“The adage that ‘time flies when you’re having fun’ definitely applies here – believe it or not, queuing can be an integral and even enjoyable part of the guest experience! It’s all about perceived rather than actual wait times.”
Customer queues and delays are often an unavoidable reality in business. However, a company’s continued success demands that firms manage real and perceived wait times as proactively as possible.
One example of this lesson in practice is providing customers with different opportunities to receive support.
According to HubSpot, 81% of customers prefer using self-service options before contacting a customer service representative, while other platforms suggest businesses that offer engaging and high-quality chatbot experiences witness 70% more customer interactions and responses.
Depending on what they need assistance with, many digital-savvy customers are likely to prefer using live chat functions supported by AI chatbots rather than spending hours on hold waiting to speak to a representative. By resolving the bulk of straightforward enquiries through this method, customer service representatives can spend more time addressing more complex enquiries and enhancing the customer experience.
Learn how to build workplace trust in AI.
Image: Inshots / Adobe Stock
It's important to mention that like many service sector industries, Disney is not immune to customer service challenges. Instances of customers treating employees poorly, a concept known as customer incivility, are increasing.
Consequently, customer-focused organisations like Disney often find themselves in the difficult situation of having to prioritise employee wellbeing and retention over customers.
Other challenges include labour and skill shortages, global inflationary pressures, and unionised actions and tensions that are putting pressure on Disney to enact its vision to entertain, inform and inspire people around the world.
Looking for more insights and tips to strengthen your business?
UQ Business School undergraduate tourism students get a chance to discover Walt Disney World’s secrets first hand in a study tour to Florida. Onsite, they immerse themselves to learn more about the 7 core elements underpinning Disney’s success in experience design and management. Learn more about this opportunity.
UQ’s Service Innovation Alliance research hub brings together experts from different disciplines to address key business challenges, help organisations improve productivity, train and manage their workforce, measure and manage customer experience and successfully introduce new technologies. Learn more about their research and connect with our experts.
Professor David Solnet
Professor Solnet is internationally recognised for his research, teaching and consulting on managing and leading service organisations. His research focuses on frontline employees and the relationships between management practices, employee attitudes and firm performance.
Associate Professor Karen Hughes
Associate Professor Hughes’ research interests include interpretation and environmental education, wildlife tourism, heritage tourism, visitor behaviour and sustainable tourism. She is particularly interested in exploring how interpretation can be used across a range of contexts to attract, engage and inspire visitors.
The University of Queensland (UQ) acknowledges the Traditional Owners and their custodianship of the lands on which UQ operates. We pay our respects to their Ancestors and their descendants, who continue cultural and spiritual connections to Country. We recognise their valuable contributions to Australian and global society.
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