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How do you ensure loyal staff on a seasonal basis?
Vic Nolting, Coney Island (Cincinnati), USA (pictured): Every year we do a number of things to make working at Coney Island unique. During the year we stage a number of employee events, including sports tournaments, employee Olympics, a Monte Carlo night and talent show. We end each year with a family picnic, where each employee and their immediate family receive a free ticket to the park along with free food and drink. Additionally, each employee is given two free guest passes after they have worked four weeks. Plus, we reward solid performances with “Coney Bucks,” good for purchases in our cafeteria or retail locations. For exceptional work we have a “Super Staffer” award given in all departments every pay period. Each year we vary the activities, but our goal is to show our employees that we value their efforts and create a positive work experience.
What is your top earning game?
Jack Boylin, Camden Park, USA (pictured): Our top revenue producing game is balloon darts. Customers have really responded to our theming. The game was already strong but in 2008 but we gave it a pirate theme and that increased revenue further. I think the real reason for its continued popularity is that it is a skill game that is accessible to all levels, there is almost always a winner but if you have some skill you can get a large prize pretty quickly.
How much did your group sales and secondary spend/per caps suffer last season because of the slow economy?
Paul Borchardt, Wonderland Park, USA (pictured): Our group sales from the large groups were down significantly, by about 25%. All of these cancelled about 40 days out. What saved us was one really large government contractor group that turned out very good. We also had more of the smaller groups, so our per caps were up about 8% over all. I cannot tell if this was due to the groups or regular attendance as these are in the daily park totals. Our overall attendance was up a very little, but this was affected due to 28 days out of 116 scheduled days that were lost due to weather and one week of the Swine Flu fiasco in the spring.
How's business been this season?
Alain Trouvé, Compagnie des Alpes (pictured): It was a good season, attendance was up across our parks, and so were per caps. The French stayed in France, the Dutch stayed in Holland, the Belgians in Belgium, and so on. This was good for our local parks. If we look at Disney though, they had problems because their guests have to travel much further. For Compagnie des Alpes as a whole, it was a double success. The ski resorts did well because they got a lot of snow, and then it was good for the leisure parks too. So we can invest!
What's been your best ever attraction in terms of return on investment?
Roy Page, Knights Leisure, UK (pictured): It was actually when I was at First Leisure, and we put a giant Ferris Wheel on Central Pier in Blackpool. It was a big wheel as well; we bought it from Mondial. Geoffrey Thompson, God bless him, said to me ‘I used to have Ferris Wheels at the Pleasure Beach but I chucked them all away, what have you done?’ It wasn’t easy though, because it took some great structural engineering to get that ride on the pier, but it was worth it. What it did for the pier was it made a statement, because you had Blackpool Tower and then right opposite you had the wheel. It’s still an icon, when it’s lit up during the illuminations it looks absolutely marvellous. And it takes a lot of money.
Do you plan to extend your season this winter?
Håkon Lund, Konge Parken, Norway (pictured): We are constantly looking at ways to extend the season. All parks struggle with how to spread big capital expenditure across more operations days. We have a season which is very short, only 110 days. We introduced a successful Christmas market in 1997 which has grown and grown ever since. This year it runs from the end of November until December 20. Since we are located in the northern climate, we have very challenging weather from September to November and have not done Halloween until now. However, earlier this year we bought an indoor FEC, and will start more winter programming here, including Halloween among other things.
What is a better strategy for profit, charging for car parking or encouraging more attendance by not charging?
Will Koch (pictured), Holiday World & Splashin’ Safari, USA: It depends on the park’s business model. Ours is based on delivering an exceptional visit to the guest. Hitting them with lots of add-ons during the day doesn’t make sense for us. We don’t charge for parking, in fact free parking is one item on a long list of things we provide for free.
The London Eye reinvigorated the Ferris Wheel. What other ride or attraction is ready for renewal and why?
Chuck Bingham, Martin & Vleminckx: I’ve always thought certain old rides should be brought back; one of those is the Flying Scooters. Now I see a guy from New York intends to resurrect the Whip. Some of those old rides were really simple but they delivered a great experience. I remember some years ago talking to Jac Houben and asking why we can’t put the coaster train on the other side of the track and, low and behold, Vekoma did the suspended coaster a few years later. Water rides are another area where you wonder what can be done that’s new, because it’s been the same basic idea for years. Actually, we do have new concept but I can’t tell you about it yet. It’s a twist on an old favourite so look out!
What will be the biggest challenge to your business this season?
Anthony Catanoso, Steel Pier (Atlantic City), USA (pictured): The biggest challenge will be the economy and the effects it will leave on guests' discretionary spending. For us specifically, it will be how our business will fare among the struggling casino industry. We are primarily a family attraction in a town built for the gaming industry.
At what point in the future do you expect rides from emerging manufacturers in the East to be sold in the West?
Rich Allen, S&S Worldwide (pictured): Although the Far East has already developed significant manufacturing capability for the mass production of goods, S&S has been fortunate to have maintained strong sales of our products in that region. We believe that this success has relied and will continue to depend on the creativity and originality of our design and engineering team. Even as equalisation of production costs leads to the eventual globalisation of manufacturing, imaginative products and designs will always be in demand.
What, if any, inducements/promotions are you offering to guests this season to beat the economic downturn?
Carin van Berkel, Efteling, Holland (pictured): Of course it is difficult to predict the future, but in the past our park hardly suffered during economic downturns. Efteling offers distraction and that it what people seek in these difficult times. The park opens again at the beginning of April and this year Cinderella is a new inhabitant of the Fairy Tale Forest. Just before the summer period we will introduce an extraordinary marketing campaign, the main purpose of which will be to improve the brand awareness and likeability of Efteling. The visitor numbers during the 2008 season and the Winter Efteling were fine. Therefore we do not expect any negative effects in 2009, and we do not offer visitors any special inducements.
Have you ever considered a different pricing structure at your park?
Linda Hays, Cliff's Amusement Park, USA (pictured): We did actually, but it only lasted one season. It was a huge mistake. We are normally pay-as-you-go and thought going strictly pay-one-price and lowering the price would be a great idea. Because it took away the freedom that our customers had been used to, we had huge resistance. I can’t remember the year we tried this but it must have been at least a decade ago. So, we learned to keep the structure the same. That is what our guests want.
What's been your best working vacation?
Bob Masterson, Ripley Entertainment/IAAPA (pictured): I’m always at a loss when asked to name the “best” of anything. It really comes down to people, places and things. Change one of those and the best can be the worst!
What impressed you at this winter's trade shows?
Paul Borchardt, Wonderland Park, USA (pictured): We saw more plush lines with better design and better grade materials. Overall it's of higher quality, a great improvement over the toys we’ve had the past 20 years. The lighting and types of lighting is also getting much better. It's better flash, using LEDs with lower voltages and higher brightness. I also see an improved quality and resurgence of video games and redemption games. There are better display screens and better flash surrounding them.
How's business been this season?
Rudi Rasschaert, Bobbejaanland, Belgium: 2008 has been a really strong season for Bobbejaanland. Our most recent attraction, the Banana Battle, and our efficient marketing and sales strategy have contributed highly to that success. April was however catastrophic due to extremely bad weather and Easter Holiday came exceptionally early this year, when it was raining and snowing in Belgium. Some of our water attractions even had to remain closed due to frost and ice! May and June brought us back to an acceptable level, but it was the summer months that really did it for us: During July and August, Bobbejaanland welcomed over 316,000 visitors – 7% up on last year.
How have rising fuel prices affected your park this season?
Rio Iman Sendjojo (pictured), Jawa Timur Park, Indonesia: It’s not just petrol prices; it’s the cost of electric and many other things that have risen, so we have had to put our prices up as well. However, we have had some success by encouraging local people to come here rather than drive to Jakarta, where they will also spend more money when they get there. The market is very price sensitive here in Indonesia.
Will "below the line" marketing (blogs, cell phones, etc) ever replace traditional media?
Tom Mehrman (pictured), Ocean Park, Hong Kong: Ocean Park is an experience for everyone. As a result, we use the media channels that are most relevant to the market we are attempting to serve. The media cited above reaches a very niche market, but this can be indispensable for us to promote certain seasonal events, such as our Halloween Bash. As Halloween is a predominantly teen and young adult market, we will go where they get their news and manage their information, which is not through the mass media. I envisage a time in the very near future when we will use the internet and relative channels (interactive website banners, blogs, video streaming, SMS etc) almost exclusively to reach these target markets. However, we will always rely on some above the line mass media to effectively reach out to the wide demographics of our potential audiences, until such a time as the decision makers for all generations are getting their news and information exclusively from below-the-line sources.
Do either smaller "half-day" attractions or larger resort destinations pose a threat to your operation?
Raffi Kaprelyan, Canada's Wonderland: I take all attractions around us seriously as we are competing for the limited entertainment dollar. To do so, we create an environment where safety and guest service is of the utmost importance. We work diligently to ensure our park is maintained to give our guests a very pleasurable day and to ensure that they are happy to have visited Canada’s Wonderland.
How do foreign staff enhance your park?
Jay Gillian, Gillian's Wonderland Pier, USA: They are an asset to our operation because some of the international students arrive early in the pre-season, around May, and there is a large number who will stay into our post-season, through until September/October. Having the international students here allows us to remain open well into the post-season, when our domestic staff return to their colleges and high schools.
Have the large money funds that have been buying amusement parks in recent years overpaid for the properties?
Dennis Speigel, International Theme Park Services: The “roll up” of the industry began officially when Premier Parks bought Six Flags and the subsequent park properties. They severely over paid for many of the parks in their quest to become the largest regional theme park operator. Unfortunately their business plan was flawed and created the problem that the current management is living with today – incredible debt. As soon as Prermier took over Six Flags they began losing money on a company-wide basis and never showed a profit, placing one of the industry icons in a disastrous positions. They paid too much. Today companies such as Parque Reunidos, who have been very active in the acquisition of leisure attractions, are paying reasonable multiples of EBITDA for properties. This is a prudent approach to business and to the industry. Managing the debt is a problem that acquirers have to address. “Biting off too much debt” can be a problem no matter how polished an operator you may be.
What caught your eye at this winter's trade shows?
Curtis Parks, PARC Management, USA: LED lighting really caught my eye. There are some fantastic lighting products that can dramatically change the visual elements in a park. For instance, take an icon like the Ferris Wheel. You can change your lighting package (through a programming script) to match a particular theme for an event or holiday. If the park is celebrating Fourth of July, your Ferris Wheel is red, white and blue with fireworks. If it’s Halloween, your Ferris Wheel is themed with orange pumpkins and spooky bats. LED theming can really add some razzle-dazzle to any park environment.
Are regional amusement parks still viable in an era of escalating land values?
William Henschke, Rehoboth Beach Funland, USA: There are a very small percentage of parks that would be viable. Land values have risen to the point that in some locations the land value exceeds the value of the park itself. You would make more money if you sold the land for condominiums than if you continued to operate as an amusement park. But in our family we want to operate as a park. This is our 45th season and we now have our fourth generation actively in the business. They have the same values we have. They want to continue Funland as it has been without cashing in. In shore areas, such as where we are, land values have escalated out of sight.
How's business been this season?
Linda Hays, Cliff's Amusement Park, USA: We’ve have had a great season. We are up a little over 10% this year. April was not a good month so being able to pull out from that plus an additional 10% is better than expected. We added three new rides this season including two kiddie rides, Baja Buggies by Zamperla and an SBF/Visa Doggie-Go-Round, and one thrill ride, the Sidewinder from Moser.
Are you under any pressure to increase your park's green credentials and how can you achieve this?
Henk Groenen, Efteling, Holland: We are not under pressure, because we accept our responsibilities. The Efteling Nature Foundation is still our one and only shareholder. We are a park as much as a theme park because no more than 10% of our area is built on, the rest is flowers, trees etc. Underneath Vogel Rok, our indoor coaster, there is a water tank that we use in summer for air conditioning in our hotel and in the winter to keep some attractions free of frost. We also buy used domestic water, run it through our natural cleaning systems and use it for our lakes and to water our golf courses. Some years we can even give water back to the system. We also catch rain water and use it to flush toilets. We are doing several other pilots schemes here too, but we don't put signs in the park explaining this, because during the day people just want to have fun.
Does your region's ride regulatory agency provide the right amount of inspection?
Steve Cook, Gold Reef City, South Africa: The Occupational Health and Safety legislation in South Africa does apply to amusement parks and attractions, but is of general application. There is, however, no dedicated or specific legislation governing amusement rides and devices. We therefore comply with our obligations in terms of the health and safety regulations – but as a matter of course we also follow what is considered best practice in the industry globally, as these requirements are more focused and specific. Detailed and rigorous inspection is carried out by appropriately qualified independent experts on a regular basis.
Have you ever considered selling out to a corporate chain?
Rob Norris, Seabreeze, USA: No, we have never seriously considered selling Seabreeze. Our family has been in the business for over 130 years; we started building carousels in 1876. We really hope the legacy continues but that's up to the next generation. We have a philosophy that we are the current caretakers of a great traditional amusement park. As long as we can continue to run a safe and profitable business, we have no desire to sell. But we've had great weather this year – if you ask me after two weeks of rain, you might get another answer!
What addition would make a logical expansion/second gate to your operation?
Bill Muirhead, Movie Park, Germany: Well we actually have been talking about, believe it or not, a waterpark. I’m a big believer in marrying waterparks with theme parks. Every time I’ve added a waterpark to my attractions, and I’ve done it in Massachusetts, I did it in New Jersey, in Hong Kong and Pennsylvania, every time I did it; it was an absolute positive, to operations, to revenue, to EBITDA. But also I’ve got to tell you, this region, the North Rhine area, is up and coming with regards to tourism and we have a deficiency of bed nights, so I don’t know if it’s a second gate, but we could really use accommodation here and make that work. I could also see an indoor totally themed environment that we could open year round working too. And we have the room.
Is the buying power of large multi-park operators helpful to suppliers?
Mike Chance, Chance Morgan: It can be. It has both advantages and disadvantages. It can cut down on our selling expenses, having fewer customers to deal with and relationships to maintain. The disadvantage is that their increased buying power gives them a better negotiating position. More importantly, when a big corporation’s capital budget gets cut, as it occasionally does, it has a more dramatic effect on our business.
Is attracting seasonal employees a problem, how do you retain them?
Jody Sweet, Disney Worldwide Services: We recruit quite a number of seasonal workers, 2,000 to 3,000 per year. We're fortunate because we have a strong Disney brand and our seasons correlate with times when there are employees available for work. It may be a challenge because of the volume of people we need, but we do have a good source of qualified talent for our needs. We actively recruit high school students, colleges, those who migrate south for the winter, senior citizens, and school system employees. We retain them with a good number of benefits and offerings that are unique to Disney. Plus, as we keep in contact with them to keep them connected, many return every year.
What caught your eye at this winter's trade shows?
Cees Kikstra, StarParks, Europe: A few things caught my attention. First, and it's not quite new, interactive computer projection - smoke curtains, water curtains etc that you can walk through. I think these can be manipulated in a lot of ways and offer some very interesting possibilities. Then there's the development of the Mountain Glider. My colleague Bill Muirhead [StarParks CEO] signed up for the first one when he was at Walibi Belgium. This allows you to fly for 60-metres without supports, and that's really new for parks. Finally, the Splash Battle has been a real breakthrough. What visitors want is interactivity and water play, and this has it both. It's now available in a new trackless version I believe.
What is your biggest competition?
Chris Maier, Land of Make Believe, USA:
The weather. Family units with children aged two to 12 plan their leisure time activities well in advance. Forecasted weather has a negative effect on attendance. The Weather Channel is wrong more times than it’s right and families have learned to have back-up plans. The season of 2003 was the only exception in which a park attraction could make up for bad weather.
Studies show that the vast majority of ride incidents are the result of rider behaviour. What, if anything, can be done?
Will Koch, Holiday World & Splashin' Safari, USA:
We feel as if we’ve done much of what we can do to make our rides and operations as safe as possible. What remains is the rider behaviour.
What can parks do to help ensure new rides are delivered and open on time?
Jim Seay, Premier Rides:
Just as the manufacturer has a responsibility to understand and appreciate both the schedule and scope of work that a park operator has, it should be the operator's responsibility to understand and appreciate the process through which a new ride is designed, fabricated and delivered by the manufacturer.
How’s business been this season?
Mats Wedin, Liseberg, Sweden:
Mediocre. The start of the season was ok, June and July too, surprisingly so because I was fearing like a lot of park operators, that with the World Cup and football, it would affect us.
Is IAAPA international enough?
Scott Simpson, Playland’s Castaway Cove, USA:
They do a great job within the United States. They’re very professional and very organised. Everything they do is done exceptionally well. Their international trade shows allow for IAAPA’s tremendous expansion.
