Amusement Park Marketers Try To Ride Out Rough Economy
Six Flags mascot Mr. Six may be a dancing fool, but you can bet Six Flags investors aren't so happy. The company had a rough 2009 - attendance fell 6% and revenue overall dropped a staggering 11%.
Six Flags isn't alone. Theme park attendance overall fell about 1% in North America last season according to a report from the Themed Entertainment Association. The economy's been enough of a wild ride, so consumers aren't as interested in spending a lot of money to hit up roller coasters and water slides.
This week's Marketing News Exclusives e-newsletter includes a story exploring how Six Flags and Palace Entertainment, parent to such parks as Kennywood in Pennsylvania, are rethinking price promotions to get more people through their gates. Six Flags for instance is offering the lowest season pass prices in 18 years at its park near Chicago and introducing variations of season passes at some parks that come with less benefits but also cost less money, available for a limited time to better ensure sales. Palace is trying to refrain from discounting, instead opting for better value packages, such as buy a ticket, get in free the rest of the summer deals. People typically only come once a year anyway, Brett Petit, senior vice president of marketing for Palace, told me, but such deals might inspire people to come back and spend more inside the parks during repeat visits.
Amusement park companies are also giving social media a spin. Palace hired two social media consultants this spring, and various park social media sites are reaching out to fans and hosting contests online, Petit says. Six Flags had an NCAA-style Tournament of Thrills social media contest last year pitting the parks' megacoasters against each other, but this year the fans themselves will be more prominenently featured in a Tournament of Thrills-style contest, where one person with the most accurate bracket will win a prize, says Jackie Gagne, director of digital and direct marketing.
The companies are also working to attract groups and companies to host events at their parks this season. Palace is promoting more affordable menu packages as well as special rates for special dates deals, amongst other promotions, Petit says. Six Flags is conducting B-to-B marketing through radio promotions, such as contests to win a company picnic, and the company's head of group sales has written an editorial for a human resources magazine in an effort to reach out to key event decision makers at companies, says Jessica Sokolowski, Six Flags' senior director of advertising.
If these efforts and others help to reverse sales declines, you can bet amusement park investors will be sharing in Mr. Six's merriment. But if consumers ignore the deals and steer clear of costly days out, these companies are going to be in for a long and bumpy ride.
Read more about the price promotion strategy in Marketing News Exclusives May 20th edition. Find the issue and others by clicking here.
