Investors should not blindly follow the trend and invest in water parks; these few suggestions are worth collecting
In recent years, due to fierce competition, water parks in many regions are facing the embarrassing situation of not being profitable. In many cases, there are objective reasons for being unable to make a profit. What needs to be tested is the insight and thorough analysis of the investor market. How to make scientific investments? Here are a few suggestions to make investment funded by deliberate.
The first point: Analyze the characteristics of the region.
It is essential to analyse the climate characteristics of the investment region and whether it can achieve the profit target that investors expect. Some investors have observed that areas like Shanghai and the Jiang region, located south of certain latitudes, only have a two-month operational period. If you venture further north, the operational time may be even shorter, while to the south, the operating period will be longer. This is a question that must be considered in the preliminary investment estimation. Additionally, it is crucial to assess the market capacity of the population in the region and determine if there is sufficient demand to support a water park investment.
The second point: Focus on positioning and avoid misunderstandings.
Investors should not overlook the importance of heavy equipment and water quality. A water park, with water as its core attraction, relies on the quality of its water for recreational activities. If investors focus solely on water rides without recognising the significance of water treatment, they may face issues with off-season water standards. If the water treatment does not meet the required standards and is exposed by the media or penalised by relevant authorities, it could have a detrimental effect on the water park, potentially leading to bankruptcy.
The third point: The supporting facilities of the park should be improved.
Driven by current market demand, water park equipment is evolving at a rapid pace, becoming more exciting and diverse. However, merely stacking equipment will not satisfy the varied and higher-level needs of tourists. Water parks should prioritise the experience of tourists, ensuring they feel both excited and safe. Therefore, it is vital to consider service packages carefully. In terms of funding allocation, entertainment equipment, restaurants, shopping malls, and other entities often consume the majority of the budget. However, if facilities such as showers, sunshades, and rest areas are neglected, leading to budget cuts and unimplemented design plans, the overall experience for tourists will be significantly diminished, impacting the success of any water park investment.
Fourth point: Park management.
Large-scale water parks require a substantial one-time investment, making the construction period crucial. It is a misconception that once construction is completed, the focus should solely be on publicity. The water park investment encompasses water equipment, swimming facilities, life-saving measures, and water quality management. The government has numerous corresponding management departments, and the operational management requirements are quite stringent. Additionally, water parks are influenced by factors such as temperature, holidays, and peak summer operations, leading to high operational pressure. Therefore, the operation of professional teams and scientific, standardised management is particularly essential.