Coronavirus: Impact on Theme Parks

[davidm]

Multiple years, for sure.

This, unfortunately.

After 9/11 there was a global downturn in the tourism market, arguably this lasted a decade and the amusement-industry was struggling all through that decade. Then the financial crisis came and the "business-side" of the industry was not very confident for a number of years. We have seen the industry get much stronger (IMHO) in the last few years, a lot more confidence from the business-side, bigger, better investments, a global market that is maturing and growing. And I think that this momentum is all going to be lost now ; its going to be another decade of trying to survive as an industry* rather than grow.

(* not just amusement-parks, tourism/travel and so on. (more) Airlines will go bust, tour operators will close, hotels will close, parks will close, people will not be travelling / people will not be able to afford to travel. There is no good news.)

 

[Howie]

^Except Energylandia, they'll be fine. Virus or no virus, that mafia money still gonna need launderin'.

 

[CSLKennyNI]

https://twitter.com/i/web/status/1239515202690875395

Walibi Holland have announced their season start on 4th April is postponed to a yet to be determined date.

EDIT:
Bakken in Denmark delay opening until 30th April.

https://www.facebook.com/165617606805804/posts/3080840551950147

 

[CSLKennyNI]

As anticipated after the regional government's ruling Movie Park Germany have announced they are delaying their season opening until 24th April (linked post in German, Dutch and English)

https://www.facebook.com/123039377741325/posts/2986669451378289

Also Bayern Park in Germany has postponed until 1st May.

https://twitter.com/i/web/status/1239579625703038979

EDIT; State of Baden-Wurtemberg in Germany has just declared a lockdown of all non-essential sites so that's undoubtedly now Europa Park done for.

Landesregierung beschließt Maßnahmen gegen die Ausbreitung des Coronavirus

Die Landesregierung hat ihre Rechtsverordnung über infektionsschützende Maßnahmen gegen die Ausbreitung des Coronavirus erneut geändert. Die neuen Regelungen gelten ab Freitag, den 10. April 2020.

stm.baden-wuerttemberg.de

 

[cookie]

Toverland and Efteling have now extended their closures to April 6th in light of a recent ruling in the Netherlands banning basically all outdoor activities until that time.

Edit:

Bakken in Denmark delay opening until 30th April.

https://www.facebook.com/165617606805804/posts/3080840551950147

Tivoli Gardens has also postponed their summer opening to the 16th:

COVID-19

We are delighted to welcome you to a spring visit. Please note that you need to book your time of arrival. Read more about our precautions here.

www.tivoligardens.com

 

[Nitefly]

Yeah, with today’s news I think we all have more to worry about than merely the theme parks.

Jeez, it’s really bad isn’t it.

 

[Ian]

This, unfortunately.

After 9/11 there was a global downturn in the tourism market, arguably this lasted a decade and the amusement-industry was struggling all through that decade. Then the financial crisis came and the "business-side" of the industry was not very confident for a number of years. We have seen the industry get much stronger (IMHO) in the last few years, a lot more confidence from the business-side, bigger, better investments, a global market that is maturing and growing. And I think that this momentum is all going to be lost now ; its going to be another decade of trying to survive as an industry* rather than grow.

(* not just amusement-parks, tourism/travel and so on. (more) Airlines will go bust, tour operators will close, hotels will close, parks will close, people will not be travelling / people will not be able to afford to travel. There is no good news.)

Alongside Poke’s insights - this 100%.

The last three or so years has seen a shift from cheaper refurbs, relocations and adding gimmicks (VR!) to actually investing in “iron” rides (creds!). We could be seeing another cred recession.

On a slightly more positive note, - and it is probably just coincidence with no fact checking whatsoever - but in 2009, after the financial crash, one small ride repair company in the industry did diversify their output. That company was RMC.

The current situation sucks arse and then dribbles down the chest, but the industry will survive. We just need to be there to support it.

 

[Matt N]

I did have a thought; surely if the parks are closed, then they're saving money in other areas, despite the lack of income? They won't have to pay to run rides each day, they won't need as many supplies (e.g. food), and I'm sure there's other savings that can be made during closure. Admittedly, the staff will need paying during self-isolation, but there must surely be a saving of some form made from not operating the park.

Also, I'd imagine that most major theme parks have an insurance policy of some sort that covers this type of event.

 

[Nitefly]

I also think it’s a bit short sighted on the UK parks to be holding out in the manner that they are.

I just emailed Blackpool PB to say “obviously we can’t come this weekend due to today’s guidance, can we shuffle our ticket dates” - their response in short was ‘no’. With that policy, any struggling family is probably going to chance it and go even if they are ill?

Well played, BPB *sarcastic thumbs up*

 

[Ian]

I did have a thought; surely if the parks are closed, then they're saving money in other areas, despite the lack of income? They won't have to pay to run rides each day, they won't need as many supplies (e.g. food), and I'm sure there's other savings that can be made during closure. Admittedly, the staff will need paying during self-isolation, but there must surely be a saving of some form made from not operating the park.

Also, I'd imagine that most major theme parks have an insurance policy of some sort that covers this type of event.

Yep, I thought Merlin would be all over it to reduce their opening hours even more than currently!

A park has to have a certain number of daily punters with an average expected expenditure (entrance, food, photos, tat etc) in order to return a profit. That’s why it’s worth shutting Alton Towers during the school week when it’s going to be quiet. No amount of running cost savings is going to match the money they would take at a weekend or holiday. (Providing the park is financially efficient.)

Its fair to say that we as enthusiasts do not bring in vast amounts of cash. We have annual passes, we might take our own grub and have already bought all the tat. And we certainly don’t bother with the midway games. I bet the money comes from casual attendees who have planned their trips weeks in advance and are willing to burn through dosh to have the theme park experience, which is a novelty for them. What is worrying is casuals are probably not considering theme park trips this year, so when the parks are open, nobody is in them.

 

[Themeparknewbie01]

I did have a thought; surely if the parks are closed, then they're saving money in other areas, despite the lack of income? They won't have to pay to run rides each day, they won't need as many supplies (e.g. food), and I'm sure there's other savings that can be made during closure. Admittedly, the staff will need paying during self-isolation, but there must surely be a saving of some form made from not operating the park.

Also, I'd imagine that most major theme parks have an insurance policy of some sort that covers this type of event.

They will lose money... End of. Not open = no income. However there will still be wages to pay and in some theme parks significant debt interest which wont be going away any time soon.

 

[JoshC.]

I did have a thought; surely if the parks are closed, then they're saving money in other areas, despite the lack of income? They won't have to pay to run rides each day, they won't need as many supplies (e.g. food), and I'm sure there's other savings that can be made during closure. Admittedly, the staff will need paying during self-isolation, but there must surely be a saving of some form made from not operating the park.

Also, I'd imagine that most major theme parks have an insurance policy of some sort that covers this type of event.

They'll save money, but nowhere near enough compared to what they could earn.

When it comes to stock as well, they'll have ordered a lot of merch, already have food supplies in, etc. Not to mention the money spent on advertising campaigns already too. And parks with IPs will still have to pay for the rights to the license, and ate getting nothing out of it. This could be a big issue for Thorpe, for example, who have several IP contracts to pay out for.

 

[.Ac.]

Overheads don't stop, just because the income has. ?.

It going have massive knock on effect on world economy and the theme park section is just a small dot on the bigger picture.

Sadly it takes just seconds to destroy something and absolute years to build it back up.

 

[JammyH]

Just found out one of my friends has been diagnosed with Covid 19. What the hell is 2020.

Unfortunately worrying about the theme parks opening just goes out of the window with everything going on right now.

 

[CrashCoaster]

I hate to say it but I think this year will be the last year some theme parks will be in operation. Lightwater Valley and Oakwood are two that come to mind, in the UK anyway.

I'm fortunate that the virus isn't really near me yet.

 

[JammyH]

I hate to say it but I think this year will be the last year some theme parks will be in operation. Lightwater Valley and Oakwood are two that come to mind, in the UK anyway.

I'm fortunate that the virus isn't really near me yet.

Add Drayton to that list. They have been through so much crap the last few years and I honestly think this will push them over the edge and they might collapse. Such a shame I was planning on visiting opening day to try and support them but will be avoiding now, such a shame I can't support them but unfortunately there is too much going on right now.

 

[JammyH]

Sorry to double post. Baden Wüttemberg government/council have put a ban on all gatherings over 100 people until 15th June, including amusement attractions.

So the estimated date for Europa Park to open for the season would now be 15th June I suppose...

 

[Professor]

Sorry to double post. Baden Wüttemberg government/council have put a ban on all gatherings over 100 people until 15th June, including amusement attractions.

So the estimated date for Europa Park to open for the season would now be 15th June I suppose...

Europa Park and Portaventura have some advantage that they are located in a slightly warmer climate. Hopefully prolonged mid 20s temperatures kills this virus off quickly. June / July could be realistic for them IF that is the case.

The rest of the world will be hoping for a miracle. But it's not just theme parks. Many other businesses within leisure and retail and their suppliers could really struggle or cease to exist.

Really wonder what they will do about airlines. I'm wondering if there comes a point where the virus is so wide spread that they will simply allow flying again but unlikely for a while anyway.

 

[Trax]

The virus is not bothered by temperatures humans would consider bearable. I believe it’s outer shell gets damaged at 60+ C, so that won’t help.

I believe that other Parks in Germany will follow, after yesterday‘s announcement. Mainly talking about Heide Park and Phantasialand.

I am still not sure if Corona gets all hyped up for no reason (140k + people get infected with the flu every year in Germany and there are only 6k cases of Corona), or if it can be indeed a worldwide epidemic. But honestly, I prefer to prepare for the worst and try to slow down the spreading as much as possible instead of just ignoring it.

 

[JammyH]

Europa Park and Portaventura have some advantage that they are located in a slightly warmer climate. Hopefully prolonged mid 20s temperatures kills this virus off quickly. June / July could be realistic for them IF that is the case.

You have to remember it is currently mid 20s in Australia and 30+ in Dubai/UAE, yet the virus is actively spreading there, so there is unfortunately no evidence that heat kills the coronavirus. Hot weather may slow down the spread of the virus and decrease transmission rates, but it is not going to kill the virus altogether