Theme parks are just one location where amusements can be operated but there appears to be a bit of a trend forming when it comes to the type of machines that are successful, as Helen Fletcher finds out

In the grand scheme of things, from a theme park manager’s point of view the operation of amusement machines within a park are not the be all and end all and are not vital to the overall success of a park and it has been guessed that they probably only account for a small percentage of the revenue generated by the park.

However, what they provide for the amusement operator and the customer is a totally different story. Theme parks, in Neal Rosenberg’s opinion, can be a very profitable operation in which, if run correctly and with the proper revenue share with the park itself, could actually support a small business from one site.

Rosenberg works for amusement operator Monduce based in the US and in his opinion one of the most important aspects of operating within an amusement park, as in anything, is the location. “The closer you can get to the most popular rides or where the current attraction of the season is located you will find that an arcade’s revenue stream will also be better,” he said.

Blackpool Pleasure Beach is one theme park operator that feels amusement machines and arcades are definitely an important part of the overall mix of attractions and do provide additional revenue and secondary spend. Blackpool Pleasure Beach currently has approximately 1,200 machines located around the site either in one of the five arcades or as standalone units, all operated by HB Leisure.

And, as Colin Mallery of UK distributor and manufacturer Harry Levy points out, in the UK particularly, theme parks are becoming essential to the amusement industry as the government continues to “try and kill off our seaside arcades and FECs.”

“Sports Minister Gerry Sutcliffe and the Labour Government are not helping us at all,” said Mallery. “The British seaside industry has provided traditional family entertainment to generations of Britons and the Minister needs to throw hundreds of businesses and thousands of threatened jobs a life-line before it’s too late.”

Redemption is key

So, what type of amusement machines work well in a theme park location? It would appear the only word an operator needs to remember is redemption.

It would also seem that theme parks have the advantage as a location for amusements just down to the sheer number of visitors they attract each day. “Typically when the park is visited by the family they come to have a good time, enjoy the day and spend money for the family to enjoy,” said Baytek Games’ Holly Meidl.

According to Meidl, redemption games are successful in theme parks because they bring another level of entertainment to the customers, they typically have a lower price per play than the rides and other attractions and the reward factor brings the challenge and fun to the players when they know they are playing for a prize.

“Redemption games are not present on the home market so the fun centre in the theme park offers an experience that cannot be found everywhere,” Meidl said. “This adds another area to the theme park, which helps increase the income by giving an alternative experience to the customer. At the same time this redemption area gives entertainment along with a prize reward for that experience.

“In addition to this,” continued Meidl, “they provide the ability to secure an area of the theme park that adds income and is a safe haven from weather on those bad days of the season.”

“Redemption is going to be one of the most important features in any theme park or seaside amusement arcade,” added Electrocoin’s Kevin Weir. “It provides great entertainment for all the family and allows them to leave with a gift to remember their day.”

According to Weir, Electrocoin feels that large operators such as theme parks are taking a serious look at the reward and redemption business and with this in mind is hopeful that the Galileo ticket management system from Elmac, which the distributor has just introduced, will stand in line with the theme park operators’ long-term thinking.

“At Electrocoin we have always played a part in ticket payout machines and Elmac’s Galileo management system, which counts and destroys the tickets and with a bar coded receipt allows the customer to either purchase a prize or save on their own membership card. They can store their tickets while they save for that really big prize.

“Each receipt is unique with its own bar code and serial number stopping fraud and allowing each arcade to manage their own customers.”
The amusement business is changing very quickly and, according to Rosenberg, people can either accept it and get on board or get knocked out of the industry. “About five years ago the majority of revenue came from video games, at least in the arcade end of the industry,” he said.

“Today we find that redemption and instant win games have completely dominated the revenue stream and I believe this is in reaction to so much video being available in the consumer market meaning that when people visit a theme park they are looking for something else. They want to get back something over and above the enjoyment of just playing the game, they want the chance to take home the big prize.”

Video still has its place

So, we have established that redemption games will perform well in the theme park environment as they give the visitor that extra experience, but for some there is still a place in the parks for video games, as Konami’s James Anderson points out. “The majority of products we produce are available for operation in theme parks and in particular the Dancing Stage range,” he said. “The game has been successful in all amusement locations but some theme parks, due to having more space, have been able to make more of a centrepiece of the machine using a stage unit and additional lighting.”

According to Anderson, the new DDR X game, which is due for release later this year in the new deluxe flat screen cabinet, should also perform well in these locations. Other notable products include Silent Hill The Arcade, which in its deluxe format with 5.1 surround sound, a 50ins projection monitor and themed cabinet offers a gaming experience that players cannot replicate easily at home.

Justin Burke of Sega reinforced Anderson’s comments when he told InterGame: “Theme parks attract a very transient type of customer. Of an eight hour day at a park, the time devoted to non-main ride features such as amusements will be limited to one per year, so there is no player loyalty or repeat value, etc.

“However, theme parks also provide an opportunity for players of all ages to be exposed to amusements who otherwise would not be in their normal day to day lives. Therefore Sega is continuing to produce medium sized attractions such as OutRun 2 Special and Let’s Go Jungle Special that feature well in the theme park environment. This along with traditional amusement machines will continue to entertain the millions that visit parks annually.”

Small is sometimes better

But it is not just video games and redemption machines that can have a presence in theme parks and succeed. The children’s ride - a staple of the coin-op industry, also has a small but profitable presence in these locations, as Marshall Ashdown of Jolly Roger explains: “We have rides in parks worldwide including Busch Gardens and Disneyland Paris. Most parks don’t view coin-operated children’s rides as core business and so they come low on their list of priorities but they do provide a supplementary revenue and their small size makes them ideal for areas in the park where customers are sitting or waiting such as in restaurant areas or near queue lines.

“Rides can also be located inside retail shops within the park and fitted with a voucher vending option allowing cross-promotion on other merchandise in the shop,” continued Ashdown.

As well as this theme park locations, also provide benefits to the children’s ride manufacturers in that they help promote the business. Most children’s rides are located in retail outlets and if a child has a great time on one of the rides at a theme park then they are more likely to want to ride on a similar ride in a more mundane supermarket location.

“Having rides in high profile parks provides us with an excellent reference when negotiating with other customers,” said Ashdown.
So, as other types of locations continue to suffer from reduced visitor numbers, will the theme park be the saviour location for the amusement sector? It would seem the general consensus is yes.

“Redemption will continue to grow for the next several years as the games are better than ever and players are getting their fill of video games at home,” said Meidl. “As many theme parks have realised the benefits of redemption games in the atmosphere of a theme park is simply another area of profit. As marketplace knowledge increases about the benefits of redemption to theme parks it will become common place to have a redemption area in all theme parks.”

And for the operator? “I’ve always been a traditionalist when it comes to the park industry and so I feel that this type of equipment – redemption and instant win – will be around in one form or another for a long time,” said Rosenberg. “To take a line from a movie title which really sums it up – ‘It’s Back To The Future’.”