Cedar Fair Quarter Two Results

[bkroz]

Cedar Point just added another bring-a-friend-cheap day.

Tomorrow. Up to six $19.99 tickets per passholder. Both regular and platinum.

Yet they squeeze season pass holders mid season when their kids grow...

"Subject to change without notice."

True of admission prices, season pass benefits, operation hours, and children's heights since 1972*...

* Some earlier, some later. Subject to change without notice.

[The Interpreter]

Opening up the park to others at $19.99, like Fast Lane, doubtlessly in no way degrades from season passholders and full price paying guests enjoying a "best day ever."

Of course not.

Terp, whose height has not changed since 1972.

[bkroz]

A $59.99 admission ticket used to guarantee you priority access to attractions in a very logical order: first-come, first-served.

A $19.99 admission ticket used to guarantee that you'd been scammed by a scalper.

One thing is true: the fella behind me in line who's having exactly the same opportunities and experiences that I'm having, but paid one-third as much for it is having a better best day than I am! And it is a park of tiers now, isn't it?

[The Interpreter]

See also the food line. One pays $12-$15 for A meal. Another little more than four times that and eats all summer.

$4 for a soft drink. Or about ten and carry around a nasty souvenir cup all summer. Still others get fresh new no-charge refills in a new paper cup on an all day deal--if the clerk decided to offer the option or they bought that an option as a part of a group.

[KI Guy]

Pay-to-cut systems can really tick off paying guests especially those who come once or twice a year. Yes, pay-to-cut was designed to appeal to this demographic, but I think that it is a very small percentage of the total who is willing or able to fork out the additional cash. These type of guests are the spenders, and pretty much all that existed before season passes. The question is "Does the additional revenue from pay-to-cut users override the loss of revenue and goodwill from once or twice yearly visitors?". I think that question has not been answered yet. Am I off-base?

[bkroz]

The question is "Does the additional revenue from pay-to-cut users override the loss of revenue and goodwill from once or twice yearly visitors?". I think that question had not been answered yet years. Am I off-base?

That's the question from a business stand-point. Measuring losses and goodwill and revenue and profit.

There are MANY more questions than that, and most of them are – from a guest's point of view – more important than profit and losses.

Most absurd was the initial promise that Fast Lane would not impact the wait times of guests choosing not to use it. Pretend there were no separate queue - that guests with special wristbands were simply allowed to shuffle through the regular queue "excuse me, excuse me," to get to the front. That's really what this is, just dressed up more nicely. And that's fine. I don't think it's amoral or that it's ruining Kings Island or that Kings Island / Cedar Fair is the only one doing it. All I'm saying is that it does impact a typical guest's experience and devalue "general admission." Any promise to the contrary is just silly.

[The Interpreter]

No one else is doing this like Cedar Fair. Lo-Q is much more managed. At Six Flags, it is far more expensive, and nowhere near as intrusive or in-your-face to standby lines.

[KI Guy]

Yes, by goodwill I was trying to say guest experience and value, not goodwill as in intangibles on a balance sheet although those certainly matter. That promise was absurd, and I couldn't believe it when many people on here blindly swallowed the hook. I'm skeptical of the whole system, but only time will tell. I just only see this appealing to a VERY small demographic. My season pass was cheaper than a ticket + pay-to-cut. Very few would opt for the later.

[bkroz]

The most comparable systems are SeaWorld Parks' QuickQueue and Universal's Express / Gate A pass, which are both MUCH less intrusive, obvious, and transparent.

I think it's equally important that both of those chains have tiered line-cutting passes.

I would imagine that MOST guests who use QuickQueue at Busch Gardens Tampa opt for the once-per-ride option. I'm one of their desired demographic. I visit Busch Gardens Tampa infrequently. When I visit, I do want a hassle-free experience. I want a "best day" of the year. I want to make sure I can ride all the coasters, and I don't want to have to worry in the week leading up if I'll face two-hour lines for each. QuickQueue at Busch Gardens Tampa starts at $19.99 (valid on 8 rides, not Kings Island's "all of them"), and I'll pay that to get priority boarding once-per-ride.

Because it's once-per-ride, it's also metered much more than an unlimited option - folks waiting for Kumba may see me pass by once, but they know I won't be by again. I certainly don't know all the math behind it, but in that sense it sort of IS like Disney's FastPass where a certain amount of hourly capacity is set aside for QuickQueue and the wait time is adjusted to match. The difference is that Disney knows exactly how many will be back per hour, whereas Busch Gardens doesn't except based on past patterns. Still, they can know how many passes they've sold and have an idea of how people move through the park, knowing most will ride only once-per-ride.

For 250% the cost, Busch Gardens also offers QuickQueue Unlimited. It's a premium version of a premium product, so the guests like me (who just want a hassle-free day and to make sure to get to experience each ride) say, "Well, I don't need unlimited. I just want to make sure to get on everything, so the lower tier is fine for me." And really, even though they make less money off of it, I think that's probably a nice balance for Busch Gardens to have MOST QuickQueue users opt for the lower-tier, once-per-ride version.

The catch (for the park) is that once-per-ride options require a way to make sure you only ride once-per-ride. That's a level of investment (in personel, scanners, etc.) that an unlimited ride wristband flashed to an employee who would be there anyway doesn't need.

[The Interpreter]

I honestly believe much of the grief directed at Diamondback and its ride operators this year can be attributed to Fast Lane and its implementation at Kings Island.

Cedar Point does not run Fast Lane like Kings Island.

[Oldiesmann]

I'm also a bit skeptical at the whole "limiting how many FL passes are sold" thing they mentioned doing. One recent Saturday (I think it was last weekend), I heard that there was an hour's wait for MF at CP with Fast Lane (compared to 3 hours in the regular line). Considering that a regular FL gets you skip-the-main-line access on 23 rides at CP, something just doesn't add up here.

[The Interpreter]

Meanwhile, at Six Flags Great America, a season pass AND a $105 The Flash Pass--Platinum, gets you TWO skip the line rides on Goliath. The two lower tiers don't even include Goliath.

[bkroz]

I'm also a bit skeptical at the whole "limiting how many FL passes are sold" thing they mentioned doing. One recent Saturday (I think it was last weekend), I heard that there was an hour's wait for MF at CP with Fast Lane (compared to 3 hours in the regular line). Considering that a regular FL gets you skip-the-main-line access on 23 rides at CP, something just doesn't add up here.

One reason for that is that the merge point for Millennium Force at Cedar Point is at the base of the ramp up to the station. So if you're the only person in the Fast Lane queue, you'll start at the bottom of the ramp, which is probably a 20 - 30 minute wait alone. Then, if Fast Lane backs up...

[Oldiesmann]

That makes more sense. I still haven't made it up to CP yet, so I assumed it was like KI where the merge point is actually in the station.

[bkroz]

They even have a separate wait time sign for Millennium's Fast Lane. Every time I've been there, it's 45 minutes.

[thedevariouseffect]

Then another 45 or so for those who wait for front row for some reason

[The Interpreter]

Meanwhile, the splendid, far superior Magnum XL-200 beckons...

[thegajone]

Yeah but you still gotta ride MF at least once.

Count me in with the others who have said they'd prefer more tiers for Fast Lane, including a single use option.

[KevKenny]

I hope CF keeps Fast Lane as it is. From what you guys describe how other parks operate their skip-the-line systems is a nightmare. I favor KI's operations of it more than CP's.

[thedevariouseffect]

I'll take the CP variant..that system works quite well.

For starters they don't fill whole stations with FL up there..whoever taught these kids to do that is beyond me.

Best Day ever

[bkroz]

There, the system is set up almost as if to discourage 'marathon' use. Takes the fun out of "marathoning" Millennium Force when you have to wait 30 - 60 minutes between uses. It's still a premium service that lessens your wait, but it is NOT for immediate and unrestricted boarding. At least, not on the park's most popular and major attractions.

EDIT: By comparison, at Kings Island, You can ride Diamondback a dozen times an hour if you want. Not to say that people do that often, but the immediate gratification is there. Not so at many of Cedar Point's rides.

[dragsterguy21]

When ever i have used Fastlane at CP or gone to CP the lines have been the minimal for Fastlane. The easiest ride to marathon there is Maverick because of how the merge system works. I can only take 3 rides in a row on that before i need a pain pill for my legs because i hate the new Intamin restraints. I never go to CP on a saturday though because that is just begging for disaster. Friday nights are the shortest waits for some reason. I walked into a empty Raptor station in the middle of july around 3:30. Same with Wicked Twister. Gatekeeper was 5 min

[jdf21972]

Fake Theme Park @FakeThemePark · Aug 6

Big news from the park CEO! "We are significantly expanding our synergistic leverage of property acquisitions to drive quarterly metrics."

[The Interpreter]

Sounds like Gary Story.

[gad198]

I honestly believe much of the grief directed at Diamondback and its ride operators this year can be attributed to Fast Lane and its implementation at Kings Island.

Cedar Point does not run Fast Lane like Kings Island.

Great post, and I agree with everything here. All you need to do is take a look at how Cedar Point's version of Fast Lane has changed with time to see how quickly their philosophy has changed.

I remember the first day when Cedar Point introduced Fast Lane you could team up with five other people and get access to Fast Lane - with access to all of the major coasters - for $30 per person. $30!!!! That also granted you right into the station access on all of the major coasters (TTD, Maverick, Millennium Force, Raptor). Still seems amazing in retrospect.

Since that initial rollout, we've seen the Cedar Point Fast Lane program include:

• Multiple price increases
• Access points moved on several coasters (most notably on Millennium Force, where the access point has been moved from the station all the way down to the bottom of the ramp)
• The addition of Fast Lane Plus, where quick access is further limited for certain coasters
• Cedar Fair representatives publicly stating that the Fast Lane bracelets available-for-sale daily quota is up to 20% of the forecasted attendance

In my opinion, Cedar Fair is really trying to have its cake and eat it too with the Fast Lane system as currently constructed. It seems the focus right now is selling as many Fast Lane wristbands as possible with little regard for anything else. The fact that there are significant Fast Lane waits at the popular Cedar Point coasters simply tells me that they are still leaving TONS of money on the table. The price point right now for Fast Lane - particularly at Cedar Point - is still WAY TOO LOW. A significant price increase would help alleviate many of the problems we're currently seeing with Fast Lane there.

[malem]

The fact that there are significant Fast Lane waits at the popular Cedar Point coasters simply tells me that they are still leaving TONS of money on the table. The price point right now for Fast Lane - particularly at Cedar Point - is still WAY TOO LOW.

Not necessarily. Long Fast Lane waits simply mean that many customers are willing to pay for access to special queues. The parks would be looking for the pricing sweet spot to maximize revenue while also keeping the impact on regular guests from becoming intolerable.

I do wonder how Fast Lane is affecting average customer satisfaction as currently implemented. Regardless, guests spending more of their day in lines have less time to spend money.

[kblanken]

guests spending more of their day in lines have less time to spend money.

But how few of those guests are actually increasing their spending with that extra time? Who goes to an amusement park these days with the intent of buying things beyond the necessary?

[malem]

^ Enthusiasts might not always spend a lot when visiting, but in-park spending is a significant component of revenue for parks. More than gate revenue in some cases.

Cedar Fair under Ouimet is increasingly data driven. It will be interesting to see how Fast Lane evolves as its impact across the board is analyzed.

[The Interpreter]

Guests who spend more of their time in lines also have less incentive to visit as often, both this season and in years to come:

"Myrtle, let's not get Kings Island passes this year--remember all the lines! Wanna go to Universal instead?

Myrtle: "Yes, please."

Signs of this would include lower attendance, lower overall per caps and not making EBITDA targets.

[gad198]

Not necessarily. Long Fast Lane waits simply mean that many customers are willing to pay for access to special queues. The parks would be looking for the pricing sweet spot to maximize revenue while also keeping the impact on regular guests from becoming intolerable.

I was going to cover this in my initial response, so thank you for bringing this out.

Long Fast Lane waits do mean that many customers are willing to pay for access to special queues. We both agree that the demand for Fast Lane is high even with the price increases we've seen in the last couple of years. The parks control all of the supply. Cedar Fair has decided that their supply strategy is to sell lots of Fast Lane bracelets at a lower price point. I believe that this strategy is actually hurting their cause over the long run.

Kings Island representatives stated that when Fast Lane was initially introduced that they were targeting families coming on once a year visits, and that they wouldn't be riding much more than the guests in standby lines. The reality is that the vast majority of Fast Lane users are between 13 and 30 years of age, are looking to ride a lot, AND - perhaps more importantly - are looking to ride only the most popular coasters.

To the Interpreter's point earlier, part of the reason that Diamondback's standby lines are much longer this season is because you're getting a lot more Fast Lane guests running through the queue this year. The ride ops are frequently letting in a LOT of Fast Laners in at a time. Those two things in tandem are artificially depressing the Fast Lane wait time to close to zero most days. The result - Fast Lane guests are STRONGLY encouraged to rinse, lather, and repeat at other popular rides because there is literally almost no incentive NOT to do it! What that's doing is artificially increasing the demand for the popular coasters. Let's take a look at our old capacity formula, shall we:

Total Capacity = # of Fast Lane riders + # of Standby riders

Total capacity is a fixed number. If more Fast Lane guests are running through a ride line that means that the number of seats for standby guests MUST fall, which by extension means that the standby wait times must increase. Diamondback standby lines have fallen victim to this simple equation and the wait times have increased there. Short Fast Lane wait times on popular coasters = bad news for standby riders.

At Cedar Point you have a different problem. The reality there is that - particularly on the popular coasters - you have two sets of lines moving slowly. I've been told by several Cedar Point ride ops that they are to employ a 50/50 split at the Fast Lane merge points. Due to the high volume of Fast Lane guests moving through the popular coasters there (TTD, Maverick, Millennium Force), those Fast Lane lines frequently back up. The 50/50 split means that not only are you not clearing out the Fast Lane queue, but you're also not really clearing out the standby queue either.

This is the real-life version of trying to straddle the line or staying on the fence. Cedar Point is trying to please both Fast Laners are standby guests, but the end result is that neither really get what they want. To top it off, they're giving away the gate which makes the problem worse! Cedar Fair has done a lot right in the last few years, but this is one area that they've gotten almost entirely wrong.