Owner of UK’s biggest theme parks announces huge changes to pricing

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People visiting some of the UK’s biggest international points of interest might anticipate to pay extra throughout peak seasons and fewer in quieter months, below a brand new pricing mannequin.

Merlin Entertainments, which is one of the one of the world’s biggest operators of theme parks and points of interest, has been introducing “dynamic” pricing since final 12 months. The system is comparable to that utilized by sectors similar to airways and motels.

The firm owns vacationer points of interest together with Legoland, Thorpe Park and Madame Tussauds

The group’s chief government, Scott O’Neil, stated the transfer means its points of interest can adapt costs primarily based on the time of 12 months and management the quantity of guests.

“We had it in 2023 and we had the highest guest satisfaction scores in the history of the company, and seven million additional guests,” Mr O’Neil stated.

“So we’re definitely getting the signal that our processes are moving in the right direction.”

He stated “dynamic” pricing helps “protect the guest experience” throughout busier occasions of the 12 months by managing queues, the place wait-times could be greater than an hour for prime points of interest.

The alternative to purchase tickets at discounted costs throughout off-peak occasions, which might be a wet weekend in March, makes the experiences “available and accessible to all”, Mr O’Neil defined.

He likened it to “happy hours” utilized in bars, in addition to motels and airways which generally hike costs for journey throughout peak occasions however supply cheaper costs low season.

“It is not a new concept, but our focus is on two things that matter most; the guest experience and making sure that we are accessible and value-based for families,” he stated.

Merlin revealed its gross sales soared to a report excessive final 12 months as extra guests flocked to city-centre points of interest.

Total revenues jumped by 8% to £2.1 billion in 2023, in contrast with the earlier 12 months, and it had 62 million complete guests throughout the globe.

About 1 / 4 of all vacationers to London visited one of its points of interest final 12 months, and 40% of these visited a couple of, in accordance to the corporate.

However, Merlin revealed it swung to a pre-tax loss of £214 million final 12 months, from a revenue of £106 million the earlier 12 months, which the corporate stated was due to one-off prices together with refinancing some of its money owed.

The group stated on Monday it had agreed to purchase Orlando Wheel at Icon Park, the tallest ferris wheel on the US east coast, which is able to strengthen its presence in a prime international vacationer hub.

Mr O’Neil additionally stated it was anticipating a lift from a brand new rollercoaster opening in May at Thorpe Park, named Hyperia, which will probably be its tallest and quickest experience.

Mr O’Neil added: “Coming out of Covid, we learned that we need each other, we need experiences, and we value memories over things.”

Consumers have been “gravitating toward quality” experiences, he stated, with branded points of interest like Legoland and Pepper Pig theme parks remaining fashionable.

He additionally stated shopper demand has been “off the charts” for the Nemesis Reborn experience which just lately launched at Alton Towers Resort.