Double post, whip me.
Merlin isn't in the theme park, or leisure, industry in the UK really. It's in the membership subscription industry. I pay more for my PureGym membership than I do a MAP, spread throughout the year.
For those unaware of the PureGym model, they run hundreds of sites throughout the country. They're essentially unstaffed, with the trainers who are there being self-employed but still expected to contribute a bit to the general tidiness of the place. Access is granted by a barcode. The facilities are pretty bare bones, being nice and polished to begin with but quickly falling into disrepair within about a year of opening. The showers are functional, but usually surrounded by black mould. The cardio machines and weights machines are a plenty, but in various states of disrepair. They mostly work, but when something goes wrong it's out of action for quite some time. They do occasionally run classes, but they're not of a great standard, not frequent and not varied. I have access to a pretty substandard product, 24/7, 365.
£22.99 a month isn't absolutely loads, it's enough for me to not miss it. It's enough for me to see coming up in my transaction list every month and go "well I may as well keep it there, I do get some use out of it". There are some months when I go to the gym 4-5 times a week, there are months that life gets in the way and I just forget. Whenever I do go, I don't have a great time. I enjoy the workout, but I'm aware of how peeling everything is at the edges, but then I remember I'm ONLY paying £22.99 a month for it and think "well, it's not that bad".
Merlin, in the UK, operate in the same way. The offering is enough, against the subscription rate, for it to be just about worthwhile and more hassle to cancel it. Bad visits happen, the next one might be better. I can always visit another attraction.
There are other gyms near me, of course. There's the local council owned leisure centre, operated by a third party private entity. For £55.99 I get worse access than I do to PureGym. Sure there's a swimming pool, which I'll occasionally have a splash about in, but I can't justify more than double the price for what may be a more enjoyable environment and experience, for worse access and roughly the same offering.
For the purpose of this analogy, the local leisure centre is your Drayton Manor, Blackpool Pleasure Beach, or Paulton's Park, or other UK theme park operator. They have annual passes, which roughly fall in line with Merlin's pricing (or are wildly out), but I don't feel as though they offer the same level of value compared to the price. I get multiple venues with my MAP, of roughly acceptable quality. The environments of the other parks may be better, the variety may be fresher for me, but it's not quite enough to get me to switch. They're the swimming pools of the analogy. I'll go and pay for access to the pool / park occasionally, for a splash about, but that's it.
Universal. Universal! UNIVERSAL! UNIVERSAL WILL SOLVE ALL! - Universal, if it ever happens, would be comparable to a David Lloyd. World class spas, tennis and racquet courts, restaurants and bars, one of the most premium offerings you could hope for a leisure facility going. At £194.00 a month it is outside of my affordability zone. The offering is unparalleled, yes. Maybe one day. If I save up, I could possibly afford it. If I have a friend who's a member, I could probably afford to pay for a day pass. In reality though, I'm priced out. David Lloyd isn't competing with PureGym. David Lloyd hasn't killed PureGym. David Lloyd hasn't forced PureGym to up its game. The two exist in entirely different worlds. The only thing which connects them is that they have similar equipment for me to use, but that's where the parallels end.
Towers will toddle along. Occasionally Merlin will purchase some new trendy weight/cardio machine for the gym coaster / ride for the park. Once in a while the park's local budget will allow them to get the contractors in and remove that black mould in the showers, but it'll come back. It'll get a paint over, maybe a small refresh. There'll be a special event and price promotion to get people back and through the door, and when they've realised that it's not THAT bad and actually, for £14 a month (the price of my gold MAP spread across a year), they could see themselves making multiple visits throughout the year. A day out is a day out, even a poor or bad one, you're bound to have a better one. It's not that much, you can afford it, you won't miss it. It's not that bad. It's cheaper than a gym membership after all.