Cost of Operating ‘Westworld’ in Real-life Revealed

Year end’s hit television series Westworld is an interesting show on so many levels. We already know that the guests have to pay $40,000 to enjoy each overnight stay in the Wild West–style theme park. One crazy fan has done an extensive calculation to figure out the actual cost to operate Westworld.

Westworld

Ever wondered how much profit Westworld would make in real life? or how much it’ll cost to operate the park?

As per CNBC, the math is simple and goes like this:

Revenue = guest rate x number of guests

$40,000 for an overnight stay is the standard rate. Interested visitor has two more options, Silver ($75,000) and Gold ($200,000), respectively.

For the sake of assumption, consider that all guests are paying the base price, which is $40,000. Let’s also assume that the park is open throughout the year and is always full because the official Westworld website tells us that there’s there a long waiting list. Back in Westworld episode one, Head of Quality Assurance Theresa Cullen (Sidse Babett Knudsen) noted that there were some 1,400 guests at the time. And considering that there’s no refund, we can come up with how much the park earns in one day and subsequently, a year.

1,400 guests per day x $40,000 = $56,000,000 a day in revenue

365 days x  $56,000,000 a day = $20,440,000,000 a year in revenue

So the park’s revenue comes down to $20 billion a year. Based on that, how much does Westworld profit?

Presently, the highest net profit margin in the U.S. is the accounting industry and stands at 19.6 percent. Assuming similar profit margin (say, 20%) for Westworld, the annual profit would be:

$20,440,000,000 x 20% = $4,088,000,000

So today, Westworld could easily bring $4 billion in profit annually which isn’t too far from what Disney generates. Together all 11 of the Disney theme parks generate some $15 billion in revenue and $2.2 billion in profit. Now as for the operating cost of the place: Revenue – Profit = Operating cost.

$20 billion – $4 billion = $16 billion 

After considering a couple of other expenses like maintenance, insurance, et al, CNBC maintains that Westworld likely spends over $24 billion annually on their operating cost.

Westworld fans are very active on Westworld’s subreddit. It’s interesting to note that one fan claims that visitors have to pay $63,143 minimum per day and not $40,000. He has made an interesting observation from the Discover Westworld website in terms of the number of packages visitors can choose from and the add-ons that’s likely the main reason behind the number $63,143. The post is worth checking out.

Leave a Reply