New Mintel research reveals that the Chinese theme park market is estimated to reach value sales of RMB 39,545 million in 2017, growing 27% from 2016. Mintel also forecasts the market will maintain growth momentum in the next five years, increasing at a CAGR (Compound Annual Growth Rate) of 17.7% and reaching value sales of an estimated RMB 89,239 million in 2022.
As indicated by their current popularity, theme parks are no longer a stranger to Chinese consumers, as 42% of urban Chinese consumers aged 20-49 have visited a theme park more than once in the last 12 months (ending August 2017). Meanwhile, 85% of parents took their children to theme parks in the last year and 71% of consumers visited with a lover or spouse.
Mintel research shows that urban Chinese consumers tend to plan a single-day trip for a theme park visit as just around a third have spent on multi-day tickets (34%) and themed hotels (33%), respectively. However, they are not ready to splurge on theme parks extra services such as express pass tickets (19%) and shuttle services (12%).
For in-park spending, 81% of urban Chinese consumers aged 20-49 have made food and drink purchases when visiting a theme park, while 76% have purchased tickets and 59% bought themed merchandise/souvenirs. From a demographic perspective, females are more likely to purchase food at a stand than males (60% vs 56%), and older males (64%) aged at 30-39 are significantly more likely to buy themed merchandise than males in their 20s (54%). Meanwhile, it is the exact opposite for young females aged at 20-29 (62%) who are most interested in buying themed merchandise.
“Our research shows that the majority of consumers are willing to spend on food and drink at theme parks, but it is important for parks to provide better dining experiences. As restaurants usually generate more revenue, local theme parks need to improve their restaurant dining experience,” Alice continued.
Looking into another side, there are some barriers for consumers to visit theme parks. Mintel research shows that urban Chinese consumers think expensive admission (35%), long lines (27%) and overcrowding (26%) are the most significant deterrents that keep non-visitors away.
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