The scope and growth of the Amusement Park industry in India | The Financial Express

The scope and growth of the Amusement Park industry in India

The Indian amusement park industry is still in its infancy, and given the country’s scarcity of high-quality amusement parks, this industry has enormous growth potential. Demographics, as well as the ever-changing social and economic environment, are important drivers of amusement park demand.

The scope and growth of the Amusement Park industry in India
Amusement parks have a significant impact on the tourism industry by increasing travel demand and revenue. (Image – Unsplash)

By Arun K Chittilapilly,

When the pandemic first struck, it affected all sectors, but the hospitality and tourism industries were the hardest hit. The theme park industry has seen a revival in footfalls in recent years, with amusement parks all over the world beginning to open in a limited capacity, contributing to the amusement park market’s steady growth. According to the RBI’s Annual Report, global economic activity is gradually returning to pre-COVID levels, and businesses are resuming operations after adjusting to COVID-19-era restrictions.

The Future Market Insights (FMI) research estimates the growth of the Theme Park Tourism Market from its current projected value of US$ 49.1 billion in 2022 to US$ 166.67 billion by 2032, at a CAGR of 13% from 2022 to 2032.

The Indian amusement park industry is still in its infancy, and given the country’s scarcity of high-quality amusement parks, this industry has enormous growth potential. Demographics, as well as the ever-changing social and economic environment, are important drivers of amusement park demand. They influence consumer behaviour, and to ensure consumer satisfaction it is necessary to identify the right set of audiences for any organization to turn a satisfied consumer into a loyal one and gradually into a product or service. India’s population growth rate has peaked while the number of births has decreased. For many years, the 36-50 age group has been the primary market for amusement parks. This is because they bring their children with them to entertain them. As a result, the theme park operator is emphasising higher quality balanced family entertainment. To spend their leisure time, consumers are investing more in experiencing rather than purchasing. Changing lifestyles, cultural shifts, and an increasing emphasis on living a holistic life with a balance of work and leisure are all contributing to the growth and demand of amusement park market revenue.

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Factors contributing to the growth of the Amusement Park industry:

  1. Brand Associations- The rise of popular culture around the world has been the most significant reason for the theme park tourism market’s increasing growth and earnings. Theme parks around the world have seen major themes like multi-movie franchises, cinematic worlds, globally successful shows, and animation series, drawing millions of visitors each year. The merchandise market also greatly benefits from the popularity of pop culture, as customers are willing to spend a lot of money on accessories, apparel, toys, and other items. Due to this, theme park companies now prioritize working together with pop franchises and content creators to attract as many customers as possible.
    This is an area that India’s nascent amusement park industry has yet to explore. In India, an organization in the amusement park business can collaborate with organizations/brands that create original content. The goal is not to create new content, but to capitalize on existing original content to generate non-ticketing revenue through merchandise.

  2. Technological Advancements- The Amusement Parks Market is constantly embracing technological breakthroughs, which is an increasingly important role in the rise of demand for Amusement Park experiences. Theme parks frequently revamp themselves and add new attractions and activities to keep their offerings fresh. The businesses have made large capital investments to keep the rides and other activities up to date; they now use newer technology, processes, and improved safety standards. In recent years, for example, there has been a lot of interest and investment in the fields of augmented reality (AR) and virtual reality (VR) (VR). When visitors ride a VR-installed ride, they are immersed in a completely immersive and exciting experience.

To make sure that the experience of an amusement park doesn’t end when a visitor leaves the park, each park should think about adding augmented reality activities to its line-up. While not particularly challenging to implement, augmented reality experiences in theme parks can go a long way toward keeping visitors entertained and eager to return.
High-tech Animatronics, Hydraulics, and Pneumatics have improved safety while making the attractions more entertaining and exciting. These technological advancements should assist the market in rapidly expanding and remaining operational.

  1. Experiential Travel: Another significant contributor to this nascent industry is the rise of experiential travel among people. Consumers nowadays prefer to spend their money on experiences rather than things to occupy their free time. They contribute to the experience economy by spending their disposable income on one-of-a-kind, personalized experiences. The use of social media platforms is critical in persuading people to seek out such experiences. People of all ages, particularly corporate professionals, are eager to spend time in a healthy, family-friendly setting by visiting amusement parks in the modern world. The growing popularity of living a balanced life that combines work and pleasure has resulted in an increase in revenue for the amusement park industry.

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Amusement parks have a significant impact on the tourism industry by increasing travel demand and revenue. The provision of high-quality services to visitors is a critical performance aspect for the amusement park industry. Competition in theme and amusement parks is increasing as parks expand and the variety of recreational opportunities offered within each park grows. With a constantly changing market and consumer behaviour trends, optimization is always required to remain competitive.

Arun K Chittilapilly, Managing Director, Wonderla Holidays Ltd

(The author is Managing Director, Wonderla Holidays Ltd. Views expressed are personal and do not reflect the official position or policy of the FinancialExpress.com.)

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