UAE theme parks poised for revenue growth ahead of Expo2020

Theme parks in the UAE are banking on the increase in tourist numbers ahead of Expo 2020 to drive revenue growth at their destinations.

The country’s theme park revenue is expected to increase by 78 per cent to US$837 million in 2019 from $470m this year, according to Euromonitor International in a report for The Leisure Show Dubai 2015.

The country’s open theme parks include Yas Waterworld and Ferrari World in Abu Dhabi, Dreamland Aqua Park in Umm Al Qaiwain, Wild Wadi Waterpark and Wonder Land Amusement Park in Dubai and Aquaventure Waterpark at Atlantis The Palm in Dubai.

None of these ranked in the top 25 theme parks of the world in terms of attendance last year, according to the engineering firm Aecom and the Themed Entertainment Association’s Theme Park Index. The busiest theme park was Magic Kingdom at Walt Disney World in Orlando, Florida at 19.3 million visitors. Others in the list included those in the Japan, Hong Kong, South Korea, China, Germany, the Netherlands, Denmark and France.

Larger theme parks are under construction in the UAE. Dubai Parks and Resorts is developing Motiongate Dubai, Bollywood Parks Dubai and Legoland, which are expected to open next year along with IMG Worlds of Adventure in Dubailand. A Warner Bros theme park in Abu Dhabi is expected to open in 2018 on Yas Island.

Dubai Parks and Resorts expects to attract 5.5 million guests in 2017.

“Theme parks in the UAE have the potential for more than 18 million visits by 2021, versus Hong Kong’s 15 million,” said Philip Shepherd, the Middle East hospitality and leisure leader at PWC. “With its central global location, and excellent hospitality facilities, we predict the UAE has the potential to become a serious rival to the theme park world leader Orlando by 2021.”

The theme park success in the UAE would depend on the collaboration between the emirates, hotels and attractions, PWC said.

Other major attractions in the UAE under development include Louvre and Guggenheim museums in Abu Dhabi and Dubai Safari in Al Warqa’a expected next year along with the Meydan One project, which would include the world’s longest indoor ski slope.

Based on an estimated UAE resident and international visitor catchment market of 22.5 million people last year after excluding domestic tourists, the potential demand for theme parks would equate to more than 5.6 million visits from the existing market, said Phil Taylor, the managing director of the Dubai-based consultancy Team Leisure.

“The major advantage [of adding more] theme parks to Dubai is that it will significantly expand the international visitor market to include new family and leisure markets, and will help drive significant growth in the international visitor market,” he said.

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