Outdoor attractions have become forgotten elements in much of the current Industry press, virtual trade shows and industry seminars pre-pandemic. Many people seem to have forgotten the ongoing long term success of outdoor attractions. For many smaller markets, they have proven to be the only viable concepts. The reasons for their success can be attributed to first of all being a mix of largely or completely participatory attractions, less costly to construct when considering building and real estate costs and longevity of physical plants. Space requirements vary depending on the attraction. Miniature golf courses, bumper boat ponds, bumper car arenas, flat rides and ropes courses can be constructed on sites less than ½ acre in size and go-kart tracks on 1 acre sites.
The major emphasis in many of the trade shows, publications and more recently virtual trade shows in the family entertainment industry over the past decade has centered on indoor FECs, Virtual Reality, bowling and food and beverage. Taking a close look at the past year we can find countless examples of both successful and failed operations that opened up during that period. For high priced urban real estate markets, indoor operations were the only way to go. Some of the more successful ones have added go-karts and other typical outdoor attractions to their mix to expand their target markets.
The appeal of large market base populations has fueled the decisions of many, as has the glamour and appeal of modern innovations in bowling and the emergence of virtual reality (VR). The resulting success stories out shadowed the unsuccessful ones. In some cases, failure to sufficiently evaluate demographics, existing and proposed competition and poor site selection proved to be obstacles to success for many even before they opened the doors.
Outdoor Attractions are Excellent Revenue Generators:
Metropolitan markets with exorbitant real estate pricing are not realistic locations for developing outdoor attractions. Where land costs are more realistic, outdoor attractions have proven to be outstanding revenue generators year after year.
For many smaller markets concentration on indoor facilities and attractions proved to less than optimum decisions. Even before the drastic curtailment of family entertainment opportunities during the past two years, many indoor facilities saw lower attendance during the spring, summer and fall periods when the overall public broke the shackles of winter cabin fever. This built up feeling of restricted activity during winter months has resulted in a widespread expansion of people seeking outdoor activities of all types. Go-karts, miniature golf, bumper boats, thrill rides, zip lines and numerous other attractions that have been proven performers for years are even more popular than before.
The “Real Reality of Virtual Reality:”
At this point in time “Real Reality” (RR) trumps “Virtual Reality” (VR) in most instances. Cost vs. through-put is one measure to look at carefully, as this is the ultimate reality for many operators. The ongoing evolutionary and uneven flow of cost effective attractions in the VR arena serves to be unsettling for many. The many failures in the VR industry continue, with some FECs and other location based attractions being left high and dry..
At the present time it is this writer’s opinion that the relatively high equipment cost and low through-put of most VR systems has made them poor risks for the vast majority of current FEC operations. This will not change in the foreseeable future as the VR industry continues to be in a volatile state of change spanning complete manufacturer closures, bankruptcies equipment changes, and closure of retail facilities. Game rooms can generate far better revenues utilizing proven current industry style individual and multiple use equipment wit far lower space and cost demands.
It currently appears that it will be quite some time before consumer confidence will be widespread among the small to midsized FECs. It will take time for the VR world to resolve technical, conceptual, financial and market realities. We suggest that operators let others assume the risks of becoming “Beta Testers,” for the developers of the industry.
Some Basic Benefits of Outdoor Attractions:
For many with space available, the addition of outdoor attractions will provide ultimate success for both the immediate and long term future.
For more than 100 years miniature golf has proven to be a very popular entertainment option for a very broad age and economic demographic. Go-karts have proven exceptionally popular for more than 60 years over a wide age and economic demographic as well. Both attractions have demonstrated an ongoing appeal resulting in both being magnet attractions by themselves and even more successful when combined.
While most of the other outdoor attractions listed above might not survive as stand-alone attractions, they have proven to gain considerable followings when combined with the two leading magnet attractions. Well planned attraction mixes increase the overall attendance by increasing time of stay and increasing per capita spending. Increased times of stay can have a positive impact on both the effective target market area and the overall number of repeat visits during a given season.
The ability to be outdoors, enjoying fresh air and sunlight is not a new phenomenon but rather one that has gained even greater momentum as a result of the lock downs and enforced closures of most attractions, including public facilities. It is very likely that the ability to enjoy the outdoors and associated entertainment facilities will be long term. Unfortunately there are pandemic related issues that still defy ultimate solution and involve currently unresolved public health, socioeconomic and political resolutions.
Combining Outdoor Attractions with Indoor Attractions:
The combination of indoor and outdoor attractions (where physically possible) will expand the overall year-around attendance and revenues, maximizing exposure and appeal over the total market area.
When comparing outdoor and indoor operations, it is important to stay focused on the cost of investment, annual operating costs and potential revenues over the projected life of the attractions and fixed facility. For most, having an indoor component expands the operating season to year-around and being able to operate during rainy days and cold weather.
Game Rooms and Outdoor Attractions:
A great success story for many years has been the combination of outdoor attractions with game rooms. The inclusion of redemption and video games as a part of the entertainment package of outdoor FECs, go-kart tracks and miniature golf courses has proven to be a profitable impulse sales winner for many years at a large number of existing outdoor attraction oriented facilities. When positioned properly within the point of sales building, they attract attention the attention of guests attracted to the outdoor attractions as well as members of family or social groups not as strongly inclined toward go-karts or miniature guests.
Moving ahead Responsibly:
We all have the option of standing pat with our current operations. For many, seeking to expand the attraction mix and target market offers a brighter and more profitable future.
For some, maintain status quo will result in slow stagnation and ultimate closure. For others that will result in permanent closure, For others it may result in survival but not revival, falling behind competitors that have a more positive outlook.
There is no question the “risk vs. reward” question is one each of us faces in making any decisions concerning the course of action (or lack thereof) we take at this time. Fiscal reality will govern many. This applies to status quo as well as moving ahead.
For many, the decision to move ahead may only involve conservative modifications to the physical plant and attractions in order to become successful. For others it may also include beginning serious planning for revamping current attraction mixes, developing plans for new attractions and amenities and possibly beginning construction.
Be Proactive Responsibly:
Many people prepared for the “new normal” by taking a close look at existing attractions and amenities and at least proceeded with development of plans and specifications, with many moving ahead with construction. As a result a sizable number of facilities around the country proceeded to expand their operations by developing plans for new attractions and amenities and constructed new or expanded facilities.
It is important that any determination concerning your own course of action be based on a careful evaluation of your commitment, space available, target market and that your selected attractions be relevant, safe and entertaining.
May your future always be successful.
Peter is a registered Professional Engineer in the States of Illinois and Michigan and is President of Entertainment Concepts, Inc. (formerly Peter F. Olesen and Associates, Inc.). He founded the firm in 1984 and expanded its range of consulting services over the years to now provide a wide range of consulting services. Services range from preliminary site evaluations, feasibility studies, business plan assistance, concept development, master planning, design and construction engineering services that apply to new facilities as well as renovation or expansion of existing facilities. Projects include the design of both outdoor and indoor, family entertainment centers, amusement parks, theme parks, stand alone go-kart tracks and miniature golf courses, bumper boat ponds and related attractions. The firm has been and continues to be at the forefront of go-kart, miniature golf course and bumper boat pond design, introducing many innovations in safety, geometrics, design and construction methods now widely emulated throughout the industry.
To date the firm has completed more than 670 projects spanning 46 states, Angola, Brunei, Canada (Alberta, British Columbia, Ontario, Quebec and Saskatchewan), Cuba (Guantanamo Bay), Kazakhstan, Mexico, Puerto Rico, Saudi Arabia and Vietnam. Since 1987 Mr. Olesen has exhibited at more than 100 industry trade shows. He is a member of the faculty of Foundations Entertainment University (49 seminar presentations over 17 years), presented more than 100 seminar presentations at the International Association of Amusement Parks and Attractions, FunExpo, Kart Expo and Leisure Expo, as well presenting go-kart safety seminars for the State of Ohio. He has, and continues to author articles for industry magazines and internet newsletters. For additional information on projects and services offered please refer to our web page www.fecdesigners.com or contact us at 847-561-7013 or www.peteolesen @yahoo.com.
Copyright: Entertainment Concepts, Inc. 2024