School is out and the teenagers head for the beach. All is well until millionaire Harvey Huntington Honeywagon III (Wynn) comes around, convinced that the beachgoers are so senselessly obsessed with sex that their mentality is below that of a primate especially Honeywagon's wunderkind pet chimp Clyde, who can surf, drive, and watusi better than anyone on the beach. With the teenagers demoralized and discredited, Honeywagon plans to turn Bikini Beach into a senior citizens retirement home.
Meanwhile, foppish British rocker and drag racer, The Potato Bug (played by Frankie Avalon in a dual role), has taken up residence on Bikini Beach. Annoyed by Frankie's reluctance to start their relationship towards marriage, Dee Dee becomes receptive to Potato Bug's advances. In a jealous rage, Frankie challenges The Potato Bug to a drag race, in hopes of winning Dee Dee back.