Characteristics
Water park is a type of theme park, with most entertainment facilities related to water. Common facilities include water slide equipment, wave making equipment, interactive water houses, artificial drifting rivers, water play skits, skateboarding and surfing, etc. Supporting facilities include hot spring design, foot massage parlors, etc.
With the development of China's economy, people's income and consumption levels have significantly increased, promoting the continuous development and maturity of the tertiary industry and tourism industry. As a type of theme park, water parks have become the hottest stars in current urban tourism products with their unique cultural connotations, technological content, and powerful entertainment functions. Almost every city with a population of over 1 million is planning, launching, or already operating, showing an extremely hot trend overall.
In China, the development of water parks has gone through three periods: from the 1990s to the early 21st century, from 2005 to 2009, and from 2010 to 2018.
From the 1990s to the early 21st century, the few water parks were mainly concentrated in first tier cities such as Beijing, Guangzhou, and Shanghai, experiencing a period of prosperity. However, due to their inability to meet market demand, most of them no longer exist today.
From 2005 to 2009, the land occupation scale of water parks showed an upward trend, and the development was relatively optimistic.
Since 2010, amusement parks have blossomed throughout the country, with most provinces and cities having their own water parks. The development characteristics of water parks during this period were large-scale, novel, and exciting. From a financial perspective, water parks that have been launched into the market in recent years, no matter how they operate or where they are located, will not have a operating profit margin lower than 40%. Profit is certain, but the problem is how to achieve higher investment efficiency.
The current water parks generally present a scene of "crowds of people" during their operation period. The construction period of water parks is usually only 0.5-1 year. Under normal operation, costs can be recovered in the first one or two years, and the third year enters a profitable period. Some water parks with very ideal operating conditions start to achieve cost recovery and profitability in the first year. The water park that has been in a state of no return on investment is directly related to its investment planning. As an emerging theme park, the integration of water parks with other tourism resources can greatly promote the development of a region's tourism industry, and therefore receive attention and support from government departments. As an emerging industry, in the current situation of insufficient supply, many developers are willing to invest in the water park industry based on the huge benefits they see.