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What changes to operations should we expect post Covid-19?
- Thread starter Croftybaby
- Start date
Islander
TS Member
Come on Rob, now you’re the one making outlandish claims. I expected better of you...
Seriously though, I’m surprised they’ve mentioned hot water at all - meaning that they’ll have to do something about it - as I’m sure it’s been said that washing your hands with cold water is just as effective against coronavirus.
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Matt N
TS Member
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- Mako (SeaWorld Orlando)
I know that I can only estimate Towers’ 2019 guest figures (speaking of which, the TEA report should be out soon!), but I know for a fact that Shanghai Disneyland sold out on a number of days after it reopened (I think it may still be selling out now).
Craig
TS Administrator
But parks are selling out based on probably less than a fifth of usual capacity. Usually a lower capacity day would allow for fewer staff, but with needs for cleaning and marshalling of guests, you still require a high number of staff. Roland Mack mentioned in a recent interview that such a low number of guests is completely unsustainable. 'Selling out' tickets at present doesn't equal automatic profit.
Days such as fireworks, school trips and particularly Scarefest also usually subsidise those lower capacity days. And since one of three of those periods definitely aren't going to happen, and the remainder likely hanging in the balance - they're already likely to struggle.
Days such as fireworks, school trips and particularly Scarefest also usually subsidise those lower capacity days. And since one of three of those periods definitely aren't going to happen, and the remainder likely hanging in the balance - they're already likely to struggle.
Having read the document I get the impression is it aimed at Merlin's US market. Specifically the reference to "local laws and works councils" in the bit about temperature checking. Also the reference to "elevators" which is more an American term for what us Brits call lifts.
Skyscraper
TS Member
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- Nemesis
Won't be going back to any theme parks til the social distancing rules are removed. Just not going to be worth it.
Craig
TS Administrator
It is a global document (else they wouldn't talk about the country of operation or posted it on the group site), they just use the terms to suit the majority of countries in which they're operating.
Skyscraper
TS Member
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- Nemesis
If Gulliver's training starts before that I'll go there obvs,
but I won't be going to any parks as a guest til it's over
but I won't be going to any parks as a guest til it's over
We are shielding at the moment, so can't really see us leaving our home until we get a vaccine, if we did decide to venture out, we will probably start with attractions closer to home like our local beach or Zoo's,
Our first day out probably just be a coastal drive.
the Way I see it no matter how many guests they are limited to it still feels like a rush situation to open the parks. Obviously that’s not completely a bad thing and it’s understandable they are going to lose 2 big events in scarefest and fireworks so they might aswell try and cash in on the summer season and show they are doing something. Problem is tho the high over costs this isn’t like a normal year think how much extra staff they will need to manage the social distancing. They will run the park at reduced capacity but will still be paying out for a park that runs at full capacity. If they break even or make profit then fair enough. Not all parks have that luxury so only time will tell how they pulled it off.
Matt N
TS Member
- Favourite Ride
- Mako (SeaWorld Orlando)
Even if the park doesn’t make a profit when it reopens (although I feel it could), it might still be essential in order to reduce their losses, as I’d imagine that any income they receive would offset the costs that pile up while the park is shut and thus mean that they lose less money, whereas a closed theme park would have no income while still having overhead costs to pay.
imanautie
TS Member
But the costs also go up in terms of maintenance, staffing and supplies....
I wouldn't be surprised if we don't see the entire portfolio open but just enough to keep merlin afloat.
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the entire portfolio will not able to open as of yet. I’d say about half of it will open at most. The problem now is how much of loss will this make after summer season. 2 months is all they have far as
I’m concerned. The costs will still be going up but they no choice but to open. Any company that is losing £50 mil a month with no income has no choice but to open something to ease the loses. We could all speculate how much they have lost so far or how much they could lose just doing this. We won’t have a clear indication till the figures come out next year.
BarryZola
TS Member
If they do open at around 30 percent capacity, it's also not going to help that a decent chunk of those guests will be passholders therefore not even paying an admission fee. How many people will be taking their own food as they won't yet be fully trusting of other people preparing their food? Doesn't seem too good really.
Croftybaby
TS Member
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- Nemesis
Shanghai didn't open with 30% they opened with much lower than that. They may be doing 30% now but not in the first week.
I wonder if Merlin have struck a deal with the land owners to get free rent for this period. If I recall rent is probably one of the biggest outlays after staff so if they can get that wiped out for a bit then that will help. I can't see the land owners really wanting them to go under.
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AT86
TS Member
One thing that is confusing me about this will they/won’t they make a profit discussion. Merlin (or any other business for that matter) aren’t going to trade if they don’t think it will be financially worthwhile.
They will have calculated this.
So that mere fact they are planing to open suggests they expect to be able to at least break even. Otherwise what’s the point.
They will have calculated this.
So that mere fact they are planing to open suggests they expect to be able to at least break even. Otherwise what’s the point.
No one really knows how much money they will make from this till next year. I’m still in the firm belief that they are opening just to plug the gap and I said earlier any company losing up to £50 mil a month without income will do anything to stop the loss. I think opening will help show they are trying to help recoup the loss but in the long run no one knows really how much this will have an affect. They will just want to recoup as much money as possible that’s why I think in my own personal opinion they are rushing to open for the summer season.
Craig
TS Administrator
To an extent yes, although I don't think it's a case of open and make an instant profit. I suspect there will be a number of initial weeks built in (as with say Shanghai) where they'll open with a lower capacity and slowly build up to a profitable number. They're likely acutely aware that this needs to be done sooner rather than later to allow them to get to that point as quickly as possible. Having attractions operating will also greatly assist in obtaining funding from financial institutions should they (very likely) require it.
They'll also want to ensure that they can get the public back for as long as possible this year. The sooner they can show guests that visiting a theme park is possible, the more likely it is that they'll be able to get decent numbers through the gates both later in the season and especially over the course of 2021.
As others have mentioned, there'll still be a lot of people not paying for entry, be that pass holders or those who have deferred their entry ticket until the parks have opened. Obviously we should expect pre booked entry so a little extra revenue from a booking fee as per fireworks, but I'd also expect incentives to purchase season passes, return tickets or food and beverage to push up average revenue per guests once things are open.
BarryZola
TS Member
Don't wanna be funny but if Merlin think I'm gonna pay a booking fee on top of what I paid for my Merlin Pass just for entry on a regular day (non-fireworks etc) then they will definitely be getting a letter requesting a full refund for my pass. I probably wouldn't be the only one either. They've made a lot of money as a company over the years and have probably awarded themselves crazy bonuses whilst the going was good. I'm afraid they're gonna have to suck it up with regards to the Coronavirus as I'm not a charity. Just my cheery thought for the evening.