EU Funding Guide for Amusement Parks and Attractions 2

IAAPA EMEA MANIFESTO 2019

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ForewordWELCOME TO THE IAAPA MANIFESTO. The job of the International Association of

Amusement Parks and Attractions (IAAPA) is to

give a voice to the more than 1,600 amusement

parks, attractions, museums, aquariums, zoos,

family entertainment centres and their associ-

ated suppliers that constitute our membership.

IAAPA’s membership is a mix of individual parks

and national associations that provide a single

unifying voice for the entire industry, in Europe

and beyond.

In the following pages, we give you the perspec-

tive of our members on the issues that shape

our business environment.

A KEY PART OF EUROPE’S TOURISM OFFER

According to the World Tourism Organiza-

tion (UNWTO), the EU is still one of the most

competitive destinations globally, holding 40%

of international tourist arrivals, and followed

by the Asia-Pacific region with 25%. However,

competition is fierce with new destinations rais-

ing the bar in terms of traveller experience and

ease of access.

There are policy changes that will help Europe

to compete: simplified and modernised tourism

visa application processes; competitive taxa-

tion policies; mainstreaming of tourism across

different policy areas supported by high-quality

data gathering. These issues and many more are

explored in this document.

If I look at our industry in Europe, it is exciting.

Amusement parks and attractions are innova-

tive and turning into genuine destinations rather

than simply a stop-off on a wider itinerary. We

are proud to be a fun industry, which provides

people with escapism and happy memories.

However, this identity means that the serious

side of our work is often overlooked.

OUR ECONOMIC CONTRIBUTION

Amusement parks and attractions have a

substantial economic impact in the regions

where they operate and form an active part of

the local tourism offer. The sector is particu-

larly capital intensive. In order to stay rele-

vant for our guests, we need to consistently

invest in the design and construction of new

rides and attractions that excite and inspire in

a way that will keep people coming back. This

investment often stays within Europe in our

industry’s specialist engineering supply chain.

In fact, Europe is a global leader in the design

and manufacture of amusement park rides,

and needs a strong intellectual property (IP)

protection regime and certification processes

that support safety without imposing barriers.

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Moreover, our members are large employers in

their area of operation, providing high-quality

permanent and seasonal employment, which

is often just the first step for young jobseek-

ers at the beginning of their careers. Overall,

our industry improves the quality of life for

people, particularly around the areas where

they operate.

AN INDUSTRY WITH DEEP EUROPEAN ROOTS

Amusement parks and attractions are by

nature immobile; their roots in local commu-

nities are often deep and they play an integral

part in an area’s identity. For example, Tivoli

Gardens in Copenhagen opened its doors in

1843, while Europa-Park in Germany is owned

and managed by a family that has been in the

business since the 18th century. Attractions

such as Tiergarten Schönbrunn is one of the

oldest zoos in the world (founded in 1752), while

Warwick Castle, which currently belongs to the

Merlin Entertainment Group, was first built in

1068. Similar examples exist in almost all Euro-

pean countries, where parks have operated for

centuries and generations.

WELCOME TO THE WORLD OF ATTRACTIONS!

Our industry is currently growing outside the

traditional notion of an amusement park and

attraction. The retail sector (e.g. shopping

centres) are increasingly adopting attractions

such as skills games and redemption machines,

as well as mini rides (e.g. carousels), creating a

new growth area for the sector.

Although we are a global industry, we neverthe-

less have deep roots in Europe. Firmly anchored

in European tradition, we are at the same time

focused on the future and all the possibilities

this holds.

Mr. Miikka Seppälä

Chairman, EMEA Advisory Committee 2019 CEO Tampereen Sarkanniemi Oy Tampere, Finland

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Industry facts and figures

Total revenue generated:

€29.6 billion

Guest attendance:

274.6 million

Direct jobs:

85,115

Total jobs:

170,382

Total employee compensation:

€5.6 billion

Tax contribution:

€3.43 billion

Source: IAAPA EMEA Economic Impact Study 2018

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The industry at a glance

01 SAFETY

a. Standards and regulations must be developed with industry participation.

b. Standards must be reviewed regularly to ensure they keep pace with technological developments.

05 SUSTAINABILITY

a. Better collaboration with local authorities to identify bottlenecks and target investment.

b. Targeted infrastructure investment to mitigate over-tourism effects.

c. Implement stricter control of third country waste recycling facilities in order to ensure effective tracea-bility and checks of waste treatment.

d. Foster a sustainability culture via workplace and education system initiatives.

03 TOURISM POLICY

a. EU tourism policy to be ‘mainstreamed’ across differ-ent policy areas.

b. Simpler visa rules and digitally enabled application processes.

c. Fund a robust data collection exercise on the tour-ism industry to ensure policy decisions are made based on sound evidence.

07 DIGITAL TRANSFORMATION

a. Facilitate public and private sector investment in broadband connectivity.

b. Set up an appropriate regulatory regime for big data analytics and emerging technologies in this field.

09 VAT

a. Apply reduced VAT rates to the widest extent possi-ble in the hospitality and accommodation industries.

02 SECURITY

a. Continue supporting the EU Operators’ Forum for the Protection of Public Spaces.

b. Support the development of sectoral security guide-lines.

c. Facilitate cooperation with local authorities to clarify areas of responsibility.

06 ACCESSIBILITY

a. Frame accessibility rules with the industry in mind.

b. Recognise the value of business culture change, which can be as valuable as physical adaptations.

04 SKILLS AND EMPLOYEMENT

a. Recognise soft skills in policy formulation and con-sider ways to foster them.

b. Consider flexible labour solutions to accommodate seasonal and part-time work and the increased flexi-bility demands of a younger workforce.

08 INNOVATION AND HI-TECH ENGINEERING

a. A harmonized certification process for ride equip-ment, preferably through a formalized process based on the existing CEN standard.

b. Strong emphasis on IP protection in trade agree-ments.

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Our priorities for the new Commission

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1. SAFETY: OUR NUMBER ONE PRIORITY

IAAPA members employ the highest standards in

safety. Guest and employee safety is paramount to our

industry, for operators and suppliers alike. An amuse-

ment park visit is one of the safest forms of recreation

available to the public. Indeed, IAAPA’s safety perfor-

mance monitoring tool, which collects ride incident

data, shows that the risk of injury at a park is less than

one per million rides.

The amusement park industry played a leading role

in developing the first ever European standard on

amusement park safety (EN 13814 Fairground and

Amusement Park Machinery and Structures). As

IAAPA is deeply involved in the harmonisation of the

different global standards, it has supported the recent

major update of the EN standards with staff, volun-

teers, and financial resources.

Standards, both European and international, will

continue to play a role in keeping best practice high.

Legislation, where it is developed, should help main-

tain the highest standards of safety while incenti-

vising continuous improvement. With that in mind,

IAAPA has developed a set of principles that national

governments should bear in mind when legislating.

These principles aim to encourage regulation, which

is dynamic and adaptable to new developments.

• Standards and regulations must be devel-oped with industry participation.

• Standards must be reviewed regularly to ensure they keep pace with technological developments.

What we want from policymakers

Safety is our first priority and relevant standards should be developed in dialogue with industry, Europa-Park, Germany (credit: © Europa-Park).

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• Continue supporting the EU Operators’ Forum for the Protection of Public Spaces.

• Support the development of sectoral secu-rity guidelines.

• Facilitate cooperation with local authorities to clarify areas of responsibility.

2. SECURITY: KEEPING PARKS A SECURE LEISURE SPACE

Amusement parks and attractions have always sought

to invest in technology, staff and procedures to make

their facilities a safe and secure environment. The

current security situation in Europe means that there

is a growing need for parks and attractions to work

closely with public authorities to ensure our response

is effective. We welcomed the Commission’s Action

Plan to Support the Protection of Public Spaces and

have also valued the opportunity to be part of the

EU Operators Forum as this provides the type of

public/private platform necessary to help strengthen

Europe’s response to increased security risks.

Moreover, our French association member, SNELAC

has worked with the French government to develop

the “Sécuri-site” national label. This demonstrates that

a park has worked with security forces and official

authorities to achieve a maximum level of prepared-

ness for security incidents.

What we want from policymakers

CASE STUDY

High security requires public-pri-vate cooperation: Tomorrowland and Tomorrowland Winter, Belgium and France

Music festival Tomorrowland hosted 400,000

people over two weekends in its latest edition

in Belgium, while Tomorrowland Winter, hosted

in the French Alps for the first time this year

had 20,000 visitors over the course of a week.

Providing a secure, care-free experience for such

a number of people understandably comes with

challenges.

Tomorrowland’s experience has shown that

public-private cooperation is key in achieving the

maximum level of security with a more efficient

allocation of budgets. For the festival, everything

starts with building a relationship with local secu-

rity and emergency services.

In Belgium, this cooperation was nurtured over

the course of 10 years, with a relationship of

trust now in place. This serves as the blueprint

for how to organize mass events in Belgium, with

the same approach applied to the French edition,

where Tomorrowland Winter gave full access to

local authorities, resulting in joint control of the

operation.

“The success of the first TML Win-ter comes from these three key facts: 1) a good advance prepa-ration by knowing the actors and the needs of each partner, 2) act with perfect trust during the event, especially in a crisis, 3) re-visit the experience afterward to be pro-active and better next year.”

Colonel MARZIN Yves Chief of the gen-darmerie in Isère.

“The collaboration between the organization, private security and the security services at the music festival Tomorrowland is excellent and based on great mutual trust. The Belgian slogan ‘L’union fait la

force’ certainly applies here.”

Chief Commissioner Jean-Claude Gunst, Director-coordinator of the Antwerp Federal Police.

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Why is this building of trust so important? First

of all, without involvement from government

services, you cannot make a mass event a success.

Involving local authorities as trusted partners

helps address a potential crisis. In addition, the

public services need the expertise of the event

organisers, as they have the best detailed knowl-

edge of the event. They can thus better inform

authorities on where a problem has occurred, how

to access the area more quickly and suggest a

solution. Mutual cooperation is the key to maxi-

mum security.

K3

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• EU tourism policy to be ‘mainstreamed’ across different policy areas.

• Simpler visa rules and digitally enabled application processes.

• Fund a robust data collection exercise on the tourism industry to ensure policy deci-sions are made based on sound evidence.

3. EUROPEAN TOURISM POLICY THAT SUPPORTS COMPETITIVENESS

Tourism has been a dynamic, fast-growing sector

of the European economy, contributing 3.9% of EU

GDP and accounting for 5.1% of the total labour force

(some 11.9 million jobs). When its close links with other

economic sectors are taken into account, the tourism

sector’s figures increase significantly at 10.3% of GDP

and 11.7% of total employment, or 27.3 million work-

ers (European Parliament figures). Amusement parks

and attractions have played their role in the success

of European tourism, acting as destinations in their

own right, helping to drive visits that otherwise might

not have happened.

In addition, many parks and attractions are located

in rural areas that are not traditionally considered as

tourism destinations. Boosting the attractiveness of

these areas, our industry supports their economic

development, but also helps spreading tourism

flows more evenly, helping alleviate the effects of

over-tourism.

However, global competition places increased pres-

sure on European destinations. Although a lot of work

has been done to promote Europe as an attractive

destination, there is still a number of steps to take

to further improve Europe’s competitive position,

including:

• Mainstreaming tourism: In many Member

States, tourism is now mainstreamed across

government departments, showing its all-en-

compassing nature. Our sector is affected by

developments in transport, consumer policy,

fiscal and skills policies, to name but a few.

• Simplified visa rules and accessible visa systems: The complexity of visa rules can be

a deterrent for potential international visitors

to a destination. To take just one example,

the UNWTO forecasts that outbound tourism

from Africa will increase 157% from 35 million

visitors in 2015 to 90 million in 2030. A simpli-

fication of the process, including investing in

technology to make the application process

What we want from policymakers

CASE STUDY

The evolution of parks into gate-ways to tourism: Europa-Park, Germany

Amusement parks used to be seen as destina-

tions for day trips. However, since the mid-1990s,

this has changed and many parks are now resem-

bling resorts, having turned into destinations in

themselves. Europa-Park in Germany currently

has six hotels of its own and is a motor for tour-

ism in the wider Black Forest region. For exam-

ple, the nearby village of Rust currently has over

1 million room nights annually, largely due to

Europa-Park visitors.

Figures show that 40% of the Park’s guests

are visiting other places in the region. At the

digitally accessible and reduce depend-

ence on local consulates can boost Europe’s

attractiveness as a destination, maximising

the region’s share of this increase in tourism

activity.

• Improved data gathering: We live in an era

of data and yet the publicly available data

on tourism is not of sufficient quality to help

drive tourism innovation. Both industry and

policymakers stand to benefit from improved

data collection and analysis.

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same time, about 50% of Europa-Park’s guests

come from abroad, meaning that the Park acts

as regional, national and international tourism

promoter. The theme park’s marketing activi-

ties support regions with low tourism promotion

budgets, who benefit from the former’s commu-

nications and marketing activities. In addition,

amusement parks can be very innovative and

easily adaptable to new trends in tourism, as they

are able to modify their product quickly.

Moreover, Europa-Park has created a booking

platform at the local level, with 17 towns and

villages participating and using it to help develop

and sell accommodation in the region. Their goal

is first to develop the quality of local accommo-

dation and then drive people in the area; activi-

ties supporting that goal have been ongoing for

the past 20 years. Park representatives are also

members of the regional and national tourism

boards. Finally, Europa-Park has expanded into

corporate events and conferences.

Overall, what started as a short-trip destination,

has now blossomed into a fully-fledged tourism

offer in itself, attracting visitors for longer periods

of time and funneling them into the local area, to

the benefit of all tourism actors.

Parks are an integral part of a destination’s tourism offer (Europa-Park, Germany Credit: © Europa-Park)

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• Recognise soft skills in policy formulation and consider ways to foster them.

• Consider flexible labour solutions to accom-modate seasonal and part-time work and the increased flexibility demands of a younger workforce.

4. SKILLS AND EMPLOYMENT POLICY INCENTIVISING JOB CREATION

The amusement parks and attractions sector, together

with the wider tourism industry, is faced with signifi-

cant challenges in attracting properly qualified staff.

This includes both “soft” skills, but also a variety of

technical roles.

Soft skills are necessary in the hospitality industry.

Amusement parks and attractions are essentially

working to provide visitors with happy memories; our

sector is largely people-facing and, for all the benefits

brought by digitalisation, we are and largely remain in

need of the human touch. Staff with the proper people

skills, ensuring a pleasant experience are crucial and

not always easy to find.

Our industry is, to the extent possible, doing its part

in fostering this skillset, which is highly transferable

to other business sectors. Many of our members are

subject to seasonal demand, with the majority of

staff recruited in the summer. Our employees, often

young and low skilled, gain valuable experience

during the working season, strengthening their value

in the labour market. However, this creates a need for

access to a pool of flexible labour, which can enable

our sector to better respond to fluctuating demand.

The demand for flexibility is two-way. In parallel with

the seasonal nature of our work, the younger gener-

ation of workers often seek working hours that allow

for maximum flexibility. Not satisfied with the tradi-

tional 9-5 or similarly rigid arrangements, younger

workers want the opportunity to have more tailored

working hours, to account for family demands and

other obligations. A policy that satisfies this demand

would boost job satisfaction and, as a result, staff

retention.

In addition, our industry also faces challenges in

recruiting skilled staff like mechanics, electricians,

plumbers and chefs.

Finally, recruitment is made more challenging over-

all by the fact that many parks and attractions do

What we want from policymakers

CASE STUDY

Parks as an entry point to the la-bour market: Liseberg, Sweden

Liseberg Park in Sweden operates both as a

commercial company, but also as an inclusive

employer. With a staff of 2,800 people (400 year-

round and 2,400 seasonal), the park functions as

many people’s entry point into the labour market,

while also helping provide basic work experience

to harder-to-reach employee groups.

First and foremost, as a service company, Lise-

berg often hires people who are in their first job.

The high number of seasonal employees, with

an average age of 20, are usually students, and

working at the park offers them the skills neces-

sary for their professional future. In addition, the

park can often reach groups that are further from

the labour market, such as immigrants and people

with disabilities, offering them a stepping stone

to employment. Especially for people with disa-

bilities, work comes with a training component,

enabling them to easily transition elsewhere.

Finally, a flexible employment opportunity at Lise-

berg is often attractive to older workers, such as

retired people who want to continue contributing.

This leads to a diverse and inclusive workforce.

Both seasonal and permanent employment comes

with a training component: the former is more

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skills-focussed (general training on customer rela-

tions and more specific training, e.g. for restau-

rant positions), while the latter covers personal

development, work-life balance, health and safety,

environmental education etc. This can include

specialist on-the-job training, for example for

engineering posts.

Amusement parks are diverse businesses, whose

types of jobs often resemble those of a small city:

from arts and culture, to food and drink, to accom-

modation and engineering. In that regard, they are

particularly well placed to detect changes in the

labour market, including structural ones

not enjoy effective public transport links. This makes

attracting prospective employees, especially young

and with previously low incomes, more difficult, as

they are faced with the challenge of physically getting

to work.

Our sector employs a wide range of professionals, with a variable skill set. (Gröna Lund, Sweden) (Credit Frans Hällquist/Gröna Lund)

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• Better collaboration with local authorities to identify bottlenecks and target investment.

• Targeted infrastructure investment to miti-gate over-tourism effects.

• Implement stricter control of third country waste recycling facilities in order to ensure effective traceability and checks of waste treatment.

• Foster a sustainability culture via workplace and education system initiatives.

5. SUSTAINABILITY: A BUSINESS OPPORTUNITY, NOT A THREAT

Sustainability has become a significant business prior-

ity for the amusement park sector. This has been

driven by:

• Customer expectations which are increas-

ingly demanding regarding sustainability.

• Maximising resource efficiency to reduce

costs.

• A strong sense of community obligation.

Many parks are closely linked to their local

communities and, as such, feel it is impera-

tive that they pursue a business model which

makes a positive contribution.

While parks and attractions have done much to

improve the sustainability of their own operations,

there are some challenges which they cannot address

alone. For example, ensuring that the environmental

impact of visitors travelling to a park or attraction is

minimal requires close cooperation with local and

regional authorities. Improving connectivity requires

strategic and long-term thinking, particularly as

improved transport links can also help mitigate the

impact of over-tourism.

Many IAAPA members are investing in their own

renewable energy sources to power all or part of their

businesses (e.g. solar panels in parking lots) or using

electric vehicles. Demonstrating their close links to

the community, a lot of work is undertaken in the local

sourcing of food to limit carbon footprint and reduc-

ing food waste, while supporting local businesses. Our

members are working proactively on environmental

protection and preservation.

In addition, waste management is increasingly becom-

ing a concern for our industry. In cases where waste

needs to be treated outside of the EU, there need to

be rules mandating the traceability of and treatment

standards for waste in third countries.

Finally, it is necessary to emphasise the importance

education and a cultural shift in the sustainability

What we want from policymakers

CASE STUDY

Sustainability is a continuous pro-cess: Le PAL, France

Featuring a combination of rides and a zoo with

700 animals, Le PAL is continuously working to

implement sustainability initiatives in the way

it operates, as well as communicate those to

its visitors to raise awareness of environmental

protection and biodiversity. The process began by

running an environmental audit. The results were

compared against certification schemes, which

kick-started the park’s journey into being more

efficient and respectful of the necessary criteria.

Le PAL is today one of the only leisure parks in

France to be certified (international certification

Green globe for sustainable tourism since 2010).

Today, sustainability permeates every aspect of

operations, from the products they buy through

their supply chain to the use of biodegradable

materials. Le PAL boasts solar panels in its park-

ing lots and has in-house compost facilities, with

waste composted and used for the park’s plants.

They also have a water treatment installation

using natural methods. New buildings are being

designed and built with environmental consider-

ations in mind. Moreover, every couple of years

the park undertakes an environmental audit, to

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determine how it uses water, electricity and other

resources and see where improvements can be

made. Le PAL is also moving towards an electric

car fleet.

There is a dedicated team in charge of these

activities at the park and the committee over-

seeing the work features members cutting

across various teams. Funding for these activi-

ties is part of the park’s investment budget and

is continuous.

Finally, Le PAL has taken its sustainability initia-

tives beyond its own borders. Through its foun-

dation “Le PAL Nature”, founded in 2008, the

park is using five-year funding cycles of about

€600,000 to fund biodiversity efforts worldwide.

More recently, they supported the procurement

and installation of solar pumps in Zimbabwe to

help bring water to various lakes in the Hwange

National Park, supporting a large number of

endangered animal species.

discussion. Initiatives not accompanied by consumer

awareness and the creation of the necessary culture

have far less potential for success. This can be done

both in the context of the workplace, but also via the

education system.

Solar panels at the Symbolica ride, Efteling, Netherlands (Credit Efteling)

Le PAL, France

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• Frame accessibility rules with the industry in mind.

• Recognise the value of business culture change, which can be as valuable as physical adaptations.

6. ACCESSIBILITY: ONE OF THE PREREQUISITES FOR BUSINESS SUCCESS

Amusement parks and attractions consider them-

selves as places for everyone to visit, enjoy and make

nice memories in. We are thus constantly working

to further improve accessibility. This is driven by a

strong business case, as people with disabilities make

up an important part of the population. We see this

as a win-win situation, since improving accessibility

for disabled guests essentially improves accessibility

for all guests.

However, we believe that improving accessibility

should be an industry-led process, rather than one

driven by legislation and standards. Industry partic-

ipation is absolutely necessary for finding long-last-

ing solutions.

Moreover, there has to be a recognition that amuse-

ment parks represent a challenging environment in

terms of accessibility, as they need to cater to a high

volume of guests. At the same time, accessibility

needs to be balanced with safety, which can never

be compromised.

Finally we believe that accessibility needs to be looked

at in the widest possible sense. Although changes to

the built environment are important, IAAPA believes

that this is not a panacea. Greater accessibility can

also be created via education and training, informa-

tion and securing an organisational culture prioritis-

ing accessibility both in the park environment as well

as backstage.

What we want from policymakers

CASE STUDY

Accessibility starts at staff level: Sandcastle waterpark, UK

Being passionate about inclusive tourism, Sand-

castle Waterpark in Blackpool, England, has

taken steps to ensure its facilities are accessible

to as many people as possible. Its approach goes

beyond mobility requirements to include autism,

hearing and visual impairments, and other specific

needs, such as burkini wearers and those with

dietary restrictions (e.g. coeliacs).

The park always tries to make reasonable adjust-

ments to its physical environment, but main-

tains that everything starts with the team and an

accessibility audit. They believe in hiring people

with the right attitude and then provide disabil-

ity and inclusivity training. Accessibility is also a

key component of their business plan. The park

features “water ambassadors” on a daily basis,

providing support for visitors in the water. Ambas-

sadors in the water increase to 10–15 at Sandcas-

tle’s monthly family accessible evenings.

Physical adjustments include a daily quiet hour

for people with autism who might find an over-

loaded sensory environment challenging, as well

as a special changing room with hoist equipment,

adjustable sinks and much more. A calm space

can be found in their quiet/sensory room to help

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prevent meltdowns when the hustle and bustle of

a busy Waterpark can get a little too much. In addi-

tion, Sandcastle provide a number of free tickets to

encourage people to familiarize themselves with the

park and offer flexibility in terms of queueing and

wearing wristbands.

Support for visitors with a disability begins at the

planning stage. Sandcastle tries to help visitors

get an idea of what to expect during their visit by

offering a full sensorial experience on their website,

while also featuring a range of planning tools to

allow guests to book in advance, such as an easily

accessible FAQ document with top tips on how

to manage the day for people with autism. These

tools allow visitors to do a self-assessment before

coming, while being supported by staff on-site upon

arrival. During the visit, the requirements of each

individual slide and visitor circumstances are taken

into account.

Sandcastle hosts 350,000 visitors annually. They

estimate that seven years ago 1-1.5% of visitors had

a disability, with the percentage now rising to 5-6%.

They believe a lot has been done to turn the park

visit into “a home away from home”, and plan more

initiatives to make the park even more inclusive.

They have built a strong relation with the local

community, something they also see as the start-

ing point for success.

We should beyond just physical adaptations and into business culture to meet the needs of people with disability, Changing place wet room, Sandcastle Autism Friendly Quiet Room(Credit: Sandcastle WaterPark)

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• Facilitate public and private sector invest-ment in broadband connectivity, enabling our sector to benefit from the digital transformation.

• Set up an appropriate regulatory regime for big data analytics and emerging technolo-gies in this field.

7. MAKE THE MOST OUT OF THE DIGITAL TRANSFORMATION

The attractions industry, like most sectors, has been

transformed by the advent of social media, on-line

advertising and dynamic pricing technology. Amuse-

ment parks are heavily investing in technologies

enhancing visitor experience, from mobile apps to

augmented reality, such as virtual reality rollercoast-

ers. However, the deployment of these technologies

needs the necessary infrastructure, namely fibre-

based broadband projects. The importance of infra-

structure is further accentuated by the fact that many

parks are located in rural areas.

In addition, our industry is using big data and analyt-

ics technologies to further improve visitor experience

and become better hosts for their guests. We use data

to improve all aspects of our business, boosting effi-

ciency and delivering a more competitive, attractive

service. Rapid changes in data analytics are already

here, as are technologies enabling the analysis of

visitor reactions to park attractions. The EU and our

sector need to be ahead of this trend by setting up the

appropriate regulatory regime to maximise benefits,

while minimising risks for consumers.

What we want from policymakers

CASE STUDY

Using digitalisation to enhance visitor experience: Sommerland Sjælland, Denmark

An early adopter of digital technology, Sommer-

land Sjælland started using mobile phones to

interact with the various parks, attractions and

rides about 10 years ago. Using SMS, visitors could

operate some rides and various functionalities

around the park.

Since then, technology has of course advanced

and the park is offering an app that turns your

phone into a remote control. Via the app, visi-

tors can feed the animals in the park, use vending

machines, set off the geysers and “shoot” at each

other in specific rides. The park’s go-kart ride has

been turned into a video game-like experience.

Guests can push buttons to affect the speed of

their opponents and are able to unlock detours

and influence their own journey. Some of these

features are accessible globally, with users able

to interact with the park via video from anywhere

in the world.

Digitalisation is a continuous investment for the

park, which is currently working to introduce

augmented reality features. In the future, it hopes

to be a “2 in 1” park, putting in place a variable fee

system, giving access to different parts of the

park. This could also lead to variation in the rides,

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with guests unlocking alternative journeys after

riding for a specific number of times. In addition,

Sommerland Sjælland is considering the addition of

prizes, similar to a loyalty card system, which could

provide discounts, free ice-cream etc.

Infrastructure used to be a significant difficulty in

introducing these innovations, but the park invested

in fiber broadband access to tackle this.

Digital technologies enhance user experience and make the amusement park offer more attractive (Europa-Park, Germany Credit: © Europa-Park)

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• A harmonized certification process for ride equipment, preferably through a formalized process based on the existing CEN standard.

• Place strong emphasis on IP protection in trade agreements.

8. PROTECTING INNOVATION AND SUPPORTING HI-TECH ENGINEERING

The parks and attractions sector is supplied by a large

network of Europe-based, medium-sized, hi-tech

engineering companies specialised in the design and

manufacture of amusement park rides.

The complexity and technological innovation of rides

has seen a dramatic increase in recent years and there

are currently over 2.500 ride suppliers operating in

Europe, with about 60% of their revenue coming

from third countries. European companies maintain

a leading position in innovation and technology in that

sector, making it a particularly strong export oppor-

tunity for the EU industry. Despite this success, these

businesses face challenges when trading within and

outside the EU.

Within the EU, ride suppliers face substantial techni-

cal barriers to the certification of rides. It is often the

case that certification needs to be obtained many

times over with different requirements, resulting in a

substantial cost and barrier to trade.

In markets outside the EU, there have been some

successes. However, the nature of the business

is characterised by low volume, high value sales,

meaning that suppliers need to be reassured that

the investments they make to remain innovative are

protected via an adequate IP regime. IP protection is

a major challenge, particularly in emerging markets.

In addition, technical certification bodies in emerg-

ing markets often employ discriminatory behavior to

favour local suppliers.

What we want from policymakers

CASE STUDY

Certification: common stand-ards in place, but interpretation varies significantly: Vekoma, the Netherlands

A designer and manufacturer of rides with a

global presence, Vekoma observes that, despite

a common standard adopted at the EU level, chal-

lenges persist in its interpretation. To certify a

ride, a supplier has to navigate the differences in

standard interpretation among countries, certi-

fication companies, and even among different

employees in the same certification company. The

certification process covers three phases: design

review; manufacturing inspection (whether the

ride is made according to the standard); and

site approval (site testing, where performance is

examined). In some cases certification is required

on all three phases, but in other cases not. Adopt-

ing a common interpretation of standards would

be all around beneficial, by providing improved

safety overall.

In addition, given the nature of the rides manu-

facturing industry, it is necessary to file a number

of patents to help keep intellectual property

protected and ensure a ride is built in the future

according to one’s own idea or design before

others patent it. Dealing with copies in third coun-

tries and, to a lesser extent, in the EU, is another

cause for concern.European ride design and manufacturing is world class and is a lucrative export market for European companies (Legendia Park, Poland)

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• Apply reduced VAT rates to the widest extent possible in the hospitality and accom-modation industries.

9. FAIR AND EQUITABLE VALUE ADDED TAX

A number of Member States currently apply a reduced

VAT regime for parks and attractions. We believe it is

crucial to maintain these reduced rates for a number

of reasons.

• Parks are labour intensive, so an increase in visi-

tors will quickly lead to an increase in employment

opportunities. However, an increased VAT rate

will hurt these employment opportunities for a

number of reasons:

• The increased cost will either be passed to

price-conscious consumers, with higher prices

threatening the number of visitors, and thus

employment prospects.

If the cost is absorbed by parks themselves, it will put

pressure on cash flows and investment in staff. There

are case studies where cost absorption had indeed a

negative effect on job creation.

By contrast, lower rates stimulate investment and job

creation; provide gains in income and corporate tax

receipts; increase turnover and, subsequently VAT;

deliver savings in unemployment benefit payments.

What we want from policymakers

CASE STUDY

The negative impact of a VAT rise: PortAventura, Spain

In September 2012, Spain abolished its reduced

rate of 8% VAT for amusement parks. As a result

parks were subject to the standard rate of 21%, an

increase of 13%.

Faced with a highly price sensitive market,

PortAventura had very little choice but to absorb

the cost of the VAT increase leading to a decline

in admissions income.

Based on the full year budget for 2012, the park

estimated that the increase in VAT equated to

a substantial decline in revenues (down 5%

compared to budget) with admissions the hard-

est hit. An increase in VAT also hit income from

the hotel and the convention centre at the park.

Increased VAT and no ticket price increase

resulted in less investment and ultimately lost jobs

at PortAventura.

The labour intensive nature of our industry means that a high VAT rate will hurt employment opportunities (PortAventura, Spain) (Credit PortAventura)

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TOP 20 PARKS IN EUROPE

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SUPPORTING ASSOCIATIONS

FORENINGEN AF FORLYSTELSESPARKER I DANMARK

EU Funding Guide for Amusement Parks and Attractions 2