Food, drinks and entertainment is included.
The day we went it was not very crowded and my kids got a huge amount of time interacting with the characters. My wife got to dance with either Chip or Dale (I can never remember which one it was). My kids got pulled out of the crowd and taught to do some rope tricks.
I'm glad we did it, but like Disney Queen said, we haven't rushed to do it again as we all enjoy the Hoop Dee Doo so much more (and it's air conditioned).