Business Less Than Thrilling for Nation’s Theme Parks : * Entertainment: Disneyland attendance reportedly is down 10%, a trade magazine reports.
The nation’s 10 most popular theme parks, including five in Southern California, recorded generally weak attendance in 1991 because of the recession and a travel slowdown spawned by the Gulf War, according to a leading trade publication.
Disneyland, the pioneer of American theme parks, saw its attendance fall an estimated 10%, Amusement Business Magazine reported this week, while patronage was virtually unchanged at other Southland parks.
Attendance fell by 7% at the nation’s largest theme park complex--Walt Disney World near Orlando, Fla.--because of a slow domestic tourism market, according to the magazine. But the resort, which still drew an estimated 28 million people, was also hurt by the increased popularity of Universal Studios Florida in Orlando. The new MCA Inc. park recorded a 52% attendance boost during its first full year of operation, which moved it into third place nationally.
According to Amusement Business, attendance was virtually unchanged at Six Flags Magic Mountain in Valencia.
On Thursday, Time Warner Inc. said it and two investment firms, the Blackstone Group and Wertheim Schroder, have infused about $155 million into debt-burdened Six Flags Corp., the owner of Magic Mountain and six other U.S. theme parks. The investment allows Six Flags to repay nearly all the high-interest debt it took on in a $610-million leveraged buyout in 1987. As part of the transaction, Time Warner said its stake in Six Flags will increase to 50% from 19.5%. And in a move that strengthens Time Warner’s management control over the amusement park operator, Robert Pittman, Time Warner Enterprises president and chief executive, has assumed the position of chief executive of Six Flags’ newly created parent company, SFCA Acquisition Corp.
The Gulf War last January brought the travel and tourism market to a virtual standstill as would-be travelers became glued to their TV sets in a condition that travel agents dubbed “the CNN effect.” Theme parks responded by offering a rash of local discounts and promotions to lure tourists and area residents out of the house.
Disneyland in Anaheim led Southern California’s theme park discounters by offering a $20 flat entry price for local residents last winter, but still lost attendance for the year. Though the park has a policy of not divulging its attendance figures, the magazine’s estimate was 11.6 million visitors.
Disneyland is bringing back its locals-only promotion between Jan. 11 and March 15. Anyone showing a California driver’s license or other proof of residency in the Southland is eligible for the $20 reduced entry price.
At Universal Studios Hollywood, which hosted 4.6 million visitors last year to maintain its fourth-place national ranking, the year started slowly. But attendance revived in the fourth quarter, largely due to a resurgence in foreign tourism and new attractions, including the park’s “E.T.” ride, according to Steve Lew, president of the studios tour.
Many parks will be trying to expand their market share with more aggressive promotions and by building elaborate new rides, said Jim Harmon, a partner in Management Resources, a theme-park consulting firm in Tustin.
“I don’t think anybody is going into this year with aggressive optimism,” Harmon said.
Top 10 Theme Parks
It was a generally slow year for the nation’s 10 largest theme parks, half of which are in Southern California. While some theme parks release their attendance, most of the entries in this annual list are estimates.
Attendance Rank Park, Location (millions) Change 1. Walt Disney World,Lake Buena Vista, Fla. 28.0 -7% 2. Disneyland 11.6 -10% 3. Universal Studios Florida, Orlando, Fla. 6.9 +52% 4. Universal Studios Hollywood 4.6 NC 5. Knott’s Berry Farm 4.0 NC 6. Sea World of Florida, Orlando 3.4 -10% 7. Sea World of California,San Diego 3.3 NC 8. Six Flags Magic Mountain,Valencia 3.2 NC 9. Cedar Point,Sandusky, Ohio 3.0 -2% 10. Santa Cruz Boardwalk 3.0 +11%
Source: Amusement Business Magazine Times staff writer Patrice Apodaca contributed to this story.
