Effects of Coronavirus (COVID-19) On Entertainment & Tourism Industry

[Nick]

Mod Edit:

As the situation becomes more serious in the USA we're going to adjust some of the threads we have on here and lay down some rules.

This thread will be used to discuss the business effects of the coronavirus (COVID-19) on the theme park industry at large including but not limited to Disney Parks & Resorts, Universal Parks & Resorts, other amusement parks, cruise lines, and the tourist industry at large. Please do not post unsourced information or post conspiracy theories; none of these things will help.

For a general discussion of the virus visit the General Discussion thread in Chit-Chat.

----original post----

So there's talks of potential delays on current projects due to the Coronavirus forcing Shanghai Disneyland and Hong Kong Disneyland to shut down for the time being. This felt like something that deserved it's own thread so it wasn't spilling over into others.

 

[Cup_Of_Coffee]

Good call. Sorry for derailing the other thread a bit. Not trying to be too coy as I don’t wanna act like the true insiders here but I am aware of projects for WDW past 2021, so I do have to wonder if those have been put in hold as well and to what extent. I know they only discussed Disneyland but I can’t help but feel this is going to the affect all the parks in some capacity worldwide.

Obviously the rides are expensive, but The Avengers and Mickey & Minnie, like, ARE there brands at the moment. If those have been put on halt I can’t imagine other projects haven’t either. Just pure speculation though.

 

[Andysol]

I can’t help but feel this is going to the affect all the parks in some capacity worldwide.

Of course it will. History tells us so in every case.

Poor performing international or domestic parks have impacted well performing domestic and international parks since the first poor performing park, Euro Disney.

 

[Mad Dog]

Good call. Sorry for derailing the other thread a bit. Not trying to be too coy as I don’t wanna act like the true insiders here but I am aware of projects for WDW past 2021, so I do have to wonder if those have been put in hold as well and to what extent. I know they only discussed Disneyland but I can’t help but feel this is going to the affect all the parks in some capacity worldwide.

Obviously the rides are expensive, but The Avengers and Mickey & Minnie, like, ARE there brands at the moment. If those have been put on halt I can’t imagine other projects haven’t either. Just pure speculation though.

The Magic Insider that broke the info (if true) said that "WDW cutbacks will be determined on Tuesday". So, it appears decisions haven't been made yet.

 

[Cup_Of_Coffee]

The Magic Insider that broke the info (if true) said that "WDW cutbacks will be determined on Tuesday". So, it appears decisions haven't been made yet.

Ah I see, got it. Safe to say I’m worried lol. I know it will eventually happen but it sucks to see that Avengers ride pushed back even more. Hopefully things get settled soon.

 

[frank_1991_]

Let’s see what happens.

 

[Freak]

It really sucks that when our prices become aggressively increased, the parks seem to be doing okay attendance-wise, that we get punished by getting our new rides put on hold because two of their international parks are having to close.

By the time the Avengers ride opens, people are going to be over it. They waited way, way, WAY too long on this ride. I can’t stand the thought of MMRR getting delayed until 23 or Avengers until 25/26.

 

[Nick]

It really sucks that when our prices become aggressively increased, the parks seem to be doing okay attendance-wise, that we get punished by getting our new rides put on hold because two of their international parks are having to close.

By the time the Avengers ride opens, people are going to be over it. They waited way, way, WAY too long on this ride. I can’t stand the thought of MMRR getting delayed until 23 or Avengers until 25/26.

At this point, the Avengers ride will probably be pushed back enough to actually have some syngery oportunity and to open alongside Avengers 5 which is rumored for 2024/25.

 

[Mad Dog]

Thank You Shanghai.....all over again...........Hong Kong as a park has a very bleak future..............The situation in China is quite bad at this moment. Even the public places they reopened are relatively empty. People are afraid, and there's even been many reports of discriminatory behavior among the Chinese people to those from the first affected areas of the country. Hopefully this either evolves and abates or an insulin is found that is effective. The longer it drags on, the more severe the financial ramifications will be.

 

[Parkscope Joe]

It's best to pause and wait for more information at this point. It's likely lots of false information will be going around from people who have ulterior motives (promoting their own departments, throwing shade at others, etc) so keep that in mind.

 

[Mad Dog]

It's best to pause and wait for more information at this point. It's likely lots of false information will be going around from people who have ulterior motives (promoting their own departments, throwing shade at others, etc) so keep that in mind.

Oh yes, there will be backstabbing, false rumors spread within and without, all those backdoor office politics that happen when cuts are required. Of course, all this is determined if the info is correct. But it does make sense. Disney has a history of cutting/delaying US theme park stuff when there's problems with the foreign parks........I actually wish Disney would stay out of International park full ownership, or close to half ownership. Seems there's always something negative popping up that ends up affecting US parks. Better to have a Japan like deal, where they don't have an ownership stake, thus there's little downside potential.

 

[Andysol]

Better to have a Japan like deal, where they don't have an ownership stake, thus there's little downside potential.

To be fair, they’d kill to have full ownership of Japan. They only did it due to the failure or Euro Disney and didn’t want to repeat.

 

[Jamie Simms]

I know that Walt Disney World cuts will be revealed this week, according to a source.

 

[Mad Dog]

To be fair, they’d kill to have full ownership of Japan. They only did it due to the failure or Euro Disney and didn’t want to repeat.

Under Disney, though, it may not have turned out as successful. It's still a cash cow for Disney, without the risks. Imagineer fees and licensing fees are probably high margins.

 

[GAcoaster]

Imagineer fees and licensing fees are probably high margins.

Those fees are ridiculous just between business units within Disney, I can only imagine what they charge their licensees.

 

[Mad Dog]

Those fees are ridiculous just between business units within Disney, I can only imagine what they charge their licensees.

Yep. I've seen some of the articles interviewing ex Imagineers on Mice Chat, and the fees and prices they charge their own parks are in the outrageous category.

 

[Parkscope Joe]

To be fair, they’d kill to have full ownership of Japan. They only did it due to the failure or Euro Disney and didn’t want to repeat.

Huh? Japan opened a decade before Paris.

 

[Mad Dog]

Marni just posted this on Magic, "Some cuts begin in a week or so. Reduced cast member presence and some curtailed attraction hours"..........................and WDW Pro had posted this some days ago concerning expansions/changes at GESWL : "Per a reliable source, I'm informed that an upcoming meeting .....to determine potential changes/expansions for Galaxy's Edge has been put on hold.....the cancellation of the meeting is directly due to the closure of parks in Asia, which is placing a hold on all potential future expansion expenditures for domestic parks"

 

[AlexanderMBush]

Intently curious to see what happens to Paris, especially WDS.

 

[Andysol]

Intently curious to see what happens to Paris, especially WDS.

Same.

That park has actually taken a positive turn and Disney has increased their stake in ownership. The investment to the hotels along with the WDS expansion can really make that park incredibly desirable. Cheapening out there would be a huge long term mistake IMO. It will definitely be interesting.