Theme parks are a part of everyday life, but also an enormous generator of money. According to estimates, the global theme parks market is set to reach $44.3 billion by 2020. The market is on a steady growth path. Theme parks will remain one of primary destinations for enthusiasts.
New theme parks are planned to be built across Europe, Asia etc., with new leisure and entertainment opportunities emerging in various parts of the world. Technology is also moving forward in many aspects, such as animatronics, hydraulics and pneumatics. Thus, the theme parks market is under pressure to continuously redefine the rides and attractions to suit the best needs of all generations of people, including families with the smallest children.
Generally said, the United States represents the largest market worldwide. In 2007, 341 million people visited US theme parks, according to the International Association of Amusement Parks and Attractions. This number allowed the parks to generate $12 billion in revenues that year. However, despite America also having the most popular theme park – Magic Kingdom – it is expected to lose its position on top of the theme parks market sooner rather than later.
China to Surpass USA
According to Euromonitor International, China’s theme parks market will overtake the United States by 2020. According to the company’s report, retail sales of China’s theme parks will reach 12 billion yuan. The average number of tourists per day is expected to be higher than 330 million.
China’s amusement parks attracted some 200 million guests in 2016. With these figures the Asian country took second place in terms of visitors just behind the United States. However, the position of China in Asia is already incredibly dominant, as 13 out of Asia’s 20 most popular theme parks are there.
The growth in the region is mainly a result of higher disposable incomes, many new theme parks opened by international players as well as the rising number of middle class park visitors.
Despite overall positivity, however, there are several issues in the Chinese market including financial difficulties, lack of design, or disintegration of Chinese culture.
Brazil with Enormous Theme Park Potential
Another developing country – Brazil – has enormous potential in terms of the theme parks market. The country has the combination of climate, large areas and a friendly culture in order to succeed in this industry.
As of now, Brazil has over ten medium and large theme parks. Yearly, these parks welcome about 17 million guests, generating $2 billion in revenues and 30 thousand jobs. Thus said, compared to the numbers of China and the USA, Brazil’s really are very low, but the potential is there, and work is being done for improvement.
The Brazilian government is looking to improve the overall business environment and wants to attract big investors in the sector. The tax system is being reformed to a certain extent in order to accomplish the improvement and import of equipment for the development of local parks.
According to a study, these new adjustments will generate an investment of 1.9 billion as well as 56 thousand jobs in the next five years. Modernization of the currently operating parks was taken into account by the study, without considering any future international investments.