Every reporter Bi Yuanyuan Tang Hui Ding Zhouyang Every editor Dong Xingsheng Song Hong
After 20 years of preparation, the “Chinese Dream” of Universal Studios has finally come true.
Although the opening time has been delayed, Beijing Universal Resort (including “Beijing Universal Studios”, City Avenue, and hotels; hereinafter collectively referred to as Beijing Universal Studios) tickets for the opening of the park on September 20 were still sold out. The system crashed, the payment failed, and the ticket was forcibly refunded after the ticket was grabbed… On the first day the reservation system was opened, the official of Universal Beijing Resort had to come forward and apologize.
Photo by reporter Li Shaoting every time
In fact, one month before the official opening, nearly 250,000 people had played in advance. The reporter of “Daily Business News” learned that, whether it is closed beta or trial operation, the ticket price of Universal Studios is more than 2,000 yuan, and the hottest time is 5,000 yuan. Celebrities and KOLs have clocked in one after another, and various marketing noises have made Beijing Universal Studios’ opening enthusiasm overwhelming the grand opening of Shanghai Disneyland.
During the trial operation, every time the reporter visited Universal Studios Beijing twice, I fully realized that when you step into this door, you must be prepared to pay. After the official opening of the park, the per capita consumption per day will start at 1,000 yuan only for tickets and food and drink. If you want to put together Harry Potter’s outfit again, a wizard’s robe is 849 yuan, an interactive wand is 349 yuan, and a tie is 229 yuan…
Behind such a high consumption, this movie theme park is burdened with a high economic account. “Theme park is a super heavy investment. The investment of domestic large-scale theme parks is more than 1 billion yuan, and the overall payback cycle is generally at least 10 years.” According to the reporter, “The annual number of tourists must be continuously guaranteed and the unit price per customer can be achieved. This account can only be calculated.”
Spoiler: “I played Beijing Universal Studios at Station B”
Extending the film business beyond the cinema, Universal Studios is a global pioneer.
One hundred years ago, the predecessor of Universal Studios, the “Universal Studios” was established. The company continued to buy land in Hollywood, set up studios and locations, and invited tourists to visit film production.
For nearly half a century, relying on movie scenes and large-scale amusement facilities, Universal Studios has gradually developed into the world’s largest movie theme park. In 2001, Universal Studios set its sights on China and signed a development contract for Beijing Universal Studios with Beijing. At that time, Universal Studios Osaka, Japan had just opened, and it was the first overseas project of Universal Studios out of the United States.
As the first Universal Studios in China and the fifth in the world, Universal Studios Beijing can be said to be born with a golden spoon, and every move arouses the attention of the outside world.
“During the trial operation period, the daily flow of people will increase sequentially, reaching 35,000 people on September 15th. Because the park will have to stress test the flow of people and make adjustments for the official opening of the park.” An insider close to Universal Studios told the newspaper. reporter.
“Enter the park from 9:00 to 9:59”, when binding the tickets, the reporter chooses the earliest time to enter the park every time. Before 9 o’clock, the security checkpoint was already lined up. However, entering the park in time periods was not enforced during the trial operation period.
During the trial operation period, the flow of people in Universal Studios is very intensive, which is directly reflected in the queue time of popular projects. Universal Studios has two of the most difficult projects, namely the Decepticon roller coaster in the Transformers area and the Harry Potter and Taboo Tour in the Harry Potter area.
It is worth mentioning that before entering the Decepticon queue, for safety reasons, you need to put all your personal belongings (including mobile phones) in the safe and go through the security check before entering the Decepticon. If a mobile phone is found, it will be prompted to put it back. But this did not deter tourists from smuggling camera equipment. As early as the closed beta period, the entire video of the Decepticon roller coaster has been circulated on the Internet. At station B, the number of video viewings of “Universal Studios Beijing Decepticon Roller Coaster First View” exceeded 355,000.
In addition to the Decepticon roller coaster, other popular projects in Universal Studios no longer need to store mobile phones, such as Harry Potter and Taboo Journey, Kung Fu Panda: Dragon Hero Journey, Despicable Milky Dad, Little Yellow Man, and Jura The whole journey of “first perspective” videos are everywhere in Station B and Xiaohongshu, etc., and the number of viewers is not low.
“The staff saw me take out my mobile phone to record, but they didn’t stop it. The theme parks rarely allow this behavior. This is similar to the “screen shot” behavior. Both are spoilers. Leaking key information in advance will affect the experience of other people who have not visited. “A tourist introduced to every reporter. Especially when Universal Studios has not yet officially opened, the highlights and plots of several major projects have been made public early, and some netizens even ridiculed, “I finished Beijing Universal Studios at Station B.”
Contrast: highly similar to the Harry Potter scenic spot in Osaka
“This is exactly the same as Osaka, Japan!” Some netizens commented after watching the Harry Potter and Taboo Journey “First View” video.
Every reporter who has actually visited Universal Studios Osaka and Universal Studios Singapore has compared the three theme parks and found that from the moment they step into the gates of the Harry Potter area of Universal Studios Beijing, there is a sense of familiarity that blows over them. , Whether it’s setting or play items, the similarity to Universal Studios Osaka is as high as 85% or more.
If you are an experienced “circle fan”, you can even find “copy and paste” easter eggs at Universal Studios Beijing. Beijing Universal’s future water world is exactly the same as Singapore’s future water world; Beijing Universal’s “Transformers:” The plot similarity between “Fire Seed Source Battle” and Singapore Universal’s “Transformers 3D Ultimate Showdown”, Beijing Universal’s “Draft Daddy Minions Outbreak” and Osaka Universal’s “Minions Hippie Farce Ride” are similar in plot. Around 90%.
In fact, every Universal Studios has its own main features. The Beijing Universal Studios feature is full of Chinese elements in the parks, hotels and commercial centers. For example, the Kung Fu Panda IP representing Chinese elements is unique to Beijing Universal Studios. According to Tom Mehrmann, President and General Manager of Beijing International Resorts Co., Ltd. Theme Park and Resort Management Branch, Universal Studios Beijing is not a copy of other Universal Studios. “We took full advantage of the essence of this park now and took it to another level. So we can really say that in China, this is a world-class experience (movie tour) that you have never seen before. “
Beijing Universal Studios has been in preparation for 20 years, and its geographical location is unique, and its attractiveness cannot be underestimated. Becoming a brand partner of Universal Studios, the exposure rate you can get is beyond doubt.
It is understood that Alibaba and Beijing Universal Studios have reached cooperation in data equipment, face recognition and other aspects. Brands such as Yum China, Coca-Cola and Mengniu are mainly food and beverage suppliers. The net celebrity little yellow guy ice cream, priced at 40 yuan, is Mengniu’s exclusive customized version.
It is not surprising that Universal Studios has a wealth of partners, but the all-pervasive “implantation” makes tourists who have been there feel a little “jumping”. For example, “China Life” is printed on the Decepticon roller coaster. In the long queue, you can also hear the slogan of China Life: I wish you happiness.
The placement of brand owners includes both image advertisements and voice formats. For example, in the Kung Fu Panda World, you can see hidden ape tutoring advertisements while queuing; in “Transformers: Battle for Fire Sources”, Mengniu titled and implanted, an ad slogan read: Never speak lightly Give up, enhance your combat power, and nourish you better.
In addition, “the long queue corridor is just like a maze, and it’s spent on the road.” It also caused tourists to complain. Every time the reporter noticed, even during the trial operation period, when there are not many people in line, each project still has to go around the corridor before it can be played.
Significance: The “spillover effect” of the paradise stimulates the regional economy
Throughout the world, there are five theme parks named after Universal Studios. There are three operating modes. Universal Studios Hollywood, Universal Studios Orlando, and Universal Studios Osaka, Japan are all wholly-owned by NBC Universal. Universal Studios Singapore is wholly-owned by Genting Singapore Ltd., a subsidiary of Genting Group. NBC Universal authorizes the use of Universal Studios’ name and other intellectual property rights for rides, attractions and tourist products.
Beijing Universal Studios is a joint venture between NBC Universal and the Chinese party. The actual controller is Beijing Shouhuan Cultural Tourism Investment Co., Ltd. of the Beijing Municipal Government holding 70% of the shares, and NBC Universal holding 30% of the shares. “The Chinese side is responsible for land acquisition, construction, etc., while the asset-light part of brand licensing and operation is controlled by NBC Universal, which is similar to the model of Shanghai Disneyland.” An industry insider told a reporter.
According to the Pacific Securities Research Report, Beijing Universal Studios consists of three phases. The first phase has an investment of 50 billion yuan. The total investment of the third phase is planned to be between 70 billion and 100 billion yuan. It will consist of two theme parks and one water park. The total scale will exceed the Orlando theme park and become the world’s largest universal theme park.
With such a large investment, the return cycle of tickets alone is too long. The local government departments in Beijing obviously value the “spillover effect” other than tickets. Miao Lewen believes that Beijing Universal Studios will bring regional economic benefits of 10-15 times its annual turnover, thereby boosting the economy of the entire region.
However, whether the vision of boosting the regional economy can be realized depends mainly on whether the passenger flow of this theme park is large enough. If the theme park business is deserted, the driving effect on the surrounding economy will be impossible to talk about. So what is the passenger flow KPI of Universal Studios Beijing?
According to a person close to Universal Studios Beijing, it was previously revealed to reporters that after the official opening of the park, there will be a daily limit of 50,000 people. However, there is also news that the trial operation of Universal Studios is to adjust the reception plan after the official opening of the park. According to the daily traffic of 50,000 people, from September 20th to October 1st, Universal Studios’ one-day ticket revenue will be close to 32 million yuan. From October 2nd to October 6th, the daily ticket revenue will be as high as 37.4 million yuan. According to the calculation of 600 yuan per ticket, Universal Studios’ monthly ticket revenue can be close to 1 billion yuan.
Chinese consumers will naturally compare their experiences in Beijing Universal Studios with Shanghai Disneyland. “For a family, in a long holiday travel plan, the two parks can only choose one of the two, which means the competition between Beijing Universal Studios and Shanghai Disneyland.” An industry insider said that North and South Park is in There must be a battle for grabbing customers.
In fact, Shanghai Disneyland once caused a diversion to Hong Kong Disneyland.
In 2020, Shanghai Disneyland will receive 5.5 million visitors, making it the world’s best large-scale theme park to recover since the epidemic. According to financial data released by Hong Kong Disney in May 2021, Hong Kong Disney received 1.7 million visitors in fiscal 2020, and its annual revenue fell 76% to HK$1.4 billion and a net loss of HK$2.7 billion.
Every reporter’s inquiry found that since its opening in 2016, Shanghai Disneyland has received 83 million people, with tourism revenue of more than 40 billion yuan, and a small profit in the first year. For Hong Kong Disney, the profitable year is from 2012 to 2014. Since 2015, Hong Kong Disney has suffered years of losses. From fiscal year 2017 to fiscal year 2019, Hong Kong Disney is also in a loss state.
Hong Kong Disney has been in business for so many years, why has it changed from profit to loss in one year? According to China Business News, “Mainland tourists are the largest source of tourists for Hong Kong Disneyland. Once the number of Mainland tourists declines, it will directly affect Hong Kong Disney’s business.” According to the Hong Kong Tourism Board, a total of 5.307,000 tourists visited Hong Kong in 2015. The number of passengers dropped by 2.5% year-on-year, while the number of visitors from the Mainland dropped by 3% to 45.842 million.
Impact: Domestic theme parks will face another “shuffle”
The birth of Beijing Universal Studios will also reshuffle the local brand theme parks.
The aforementioned theme park project person Li Xin said with emotion that the investment in theme parks is very large and the operating costs are high, and only a little hard money can be made. Generally, the return cycle of domestic theme parks is more than 10 years. “There are not many capitals that dare to touch this. Cultural tourism is an object that is rejected by capital.”
Li Xin introduced that the investment in domestic large-scale theme parks is generally between 1 billion and 2 billion yuan. The theme park is mainly divided into two phases: preliminary construction and opening and operation. In the pre-build, the construction investment is usually the largest. “Take the ground under your feet as an example. It used to be mostly farmland, and it was sunk as soon as you stepped on it. The topography needs to be arranged first, and then the water and electricity pipeline network infrastructure and buildings and landscapes are built. It is normal to spend several hundred million.”
In addition, the main equipment of large theme parks is generally imported, and imported equipment is much more expensive than domestically produced equipment. If you use a non-own IP, you also need to pay an IP usage fee, and the pre-opening period also requires a large investment.
After a theme park is built, it cannot be left alone. Product adjustments and iterations require continuous investment. The operator will continue to renovate and upgrade the facilities in the park based on the feedback from tourists, and this action became more obvious in the first five years of opening. “Amusement equipment generally has a service life of 10 years and faces replacement. In addition, the maintenance cost during the service period is very high, which is equivalent to buying a new set.” Li Xin said, “For large theme parks, advertising, marketing and various types of Activities also cost millions of dollars a year.
According to statistics from reporters, there are two typical models for domestic theme parks in order to make money and hematopoiesis: parks + surrounding real estate sales, or parks + government subsidies. The most representative of the former is Overseas Chinese Town, Sunac, Evergrande, etc., while the latter is Huaqiang Fangte.
“Many operators follow the theme park + real estate strategy, and they mainly rely on real estate to make money. If they are simply a theme park, the risk is high and the payback cycle will be quite long.” Li Xin said bluntly, as the real estate management policy tightens. , The theme park + real estate strategy has become increasingly difficult to get through in first-tier cities.
From the financial report of Huaqiang Fangte, it is not difficult to see that its theme parks have sunk to third- and fourth-tier cities such as Wuhu, Shantou, Anyang, and Ningbo. From 2016 to 2018, Huaqiang Fangte enjoyed government subsidies of approximately 352 million yuan, 330 million yuan and 326 million yuan, accounting for 38.91%, 36.68% and 36.45% of the total profits for the current period. Among them, special support funds for theme parks are the main source of subsidies. In addition, tax incentives accounted for more than 16% of net profits, and more than half of the profits came from industrial policies.
Huaqiang Fangte’s financial report for the first half of 2021 showed that government subsidies were 164 million yuan, and the company’s net profit was about 89 million yuan. But if the non-recurring gains and losses of government subsidies are deducted, Huaqiang Fangte’s net profit becomes negative.
“Currently, the domestic domestic theme parks themselves are operating at a meager profit. Compared with the investment of 1 billion yuan, the income of 10 million yuan a year is not enough to cover the interest of funds.” An industry source who asked not to be named said.
Many industry insiders believe that compared with top foreign counterparts such as Disney and Universal Studios, domestic theme parks have two main gaps: one is that the product is not good enough, there is no strong IP, and there is not enough product innovation capability; the other is Insufficient operational capacity. Li Xin analyzed: “The core of a cultural tourism project is not to be richer or better than someone to build the project. Operation is the core, and China has not yet seen a top operating team.”
Expert interview with Lin Huanjie, Dean of China Theme Park Research Institute: Lego, Merlin and more international giants are on the way
From Beijing Universal Studios’ own profitability to the big prospects of the theme park industry, they are all topics of concern in the current capital market. To this end, a reporter from “Daily Business News” (hereinafter referred to as NBD) interviewed Lin Huanjie, the dean of China Theme Park Research Institute.
NBD: Why is the preparation time for Universal Studios Beijing so long? What is the level of its total investment in the industry?
Lin Huanjie: This project has been 20 years since China and the United States began to brew and negotiate intentional cooperation. Since the project was approved in 2013, progress has been relatively smooth. The investment in the first phase of the project is more than 6 billion U.S. dollars. This is a theme park of world-class standards. The equipment and facilities are all imported. Without such a large investment, it is really impossible to make it.
NBD: Some analysts say that Beijing Universal Studios can reach 15 million to 30 million visitors each year, and the annual income is estimated to be 15 billion to 30 billion yuan. What is your estimate?
Lin Huanjie: I feel too optimistic. I think the annual passenger flow of Beijing Universal Studios can reach 10 million, and the annual revenue will be around 8 billion yuan. In the later period, the passenger flow will not remain as hot as it was when it opened. The theme park will have a “honeymoon period”. Domestic parks will last for six months to one year, and international parks may last for six months to one and a half years, and then stabilize. If new projects are added in one or two years, there will be a small upsurge in passenger flow, which is generally a curve-like fluctuation.
NBD: After Disneyland and Universal Studios settle in China, what impact will it have on China’s theme park industry?
Lin Huanjie: After the introduction of world-class theme parks, some domestic theme parks with poor location, poor design, no IP, and poor management will soon be eliminated. In addition, international theme parks will have an impact on surrounding theme parks, such as the Happy Valley in Shanghai and Beijing, and the number of visitors will gradually decrease.
But in the long run, it will promote the entire industry. After Disneyland settled in Shanghai, the quality of newly built theme parks across the country has since improved. As far as I know, international giants such as Paramount, Lego, Merlin Entertainment Group are also planning to enter China, so we must face the reality. In the future, everyone will compete on the same stage with world-class theme parks.
