what does signature dining mean?

It's a term used to designate which participating restaurants on Disney's dining plan require the use of 2 TS credits. There are 2 dinner shows, Cinderella's Royal Table, and about 8 more upscale restaurants that fit this category.
 
Actually the term is not about the dining plan. There are several on-property restaurants designated "signature" by Disney that don't even accept the dining plan. While it's safe to say all "signature" restaurants that are on the dining plan take 2 credits, it isn't correct that ALL "signature" restaurants take 2 credits, because some of them don't take the plan at all. I've seen persons read that Bluezoo and Fulton's are "signature" on the WDW website and assume that means they take 2 DDP credits. If they arrived at those restaurants and expected to pay with DDP credits they would have been disappointed to say the least.

Disney uses the word "signature" to designate a restaurant experience that may be considered more upscale in price, offerings and/or atmosphere.
 

While not formally described as such, Signature dining tends to be slightly more "upscale" - in that the menus are supposed to be a little more "fancy" than your typical restaurant (this does not include the dinner shows or CRT). The menus does tend to be more expensive, but they include items like lobster, filet mignon, etc. Also, the Signature restaurants (again not including the dinner shows or restaurants in a park) have a dress code (things like no swimwear, etc.).
 











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