Enchanted Kingdom

Case Analysis

Enchanted Kingdom

"The Magic is here"

Submitted by:

Niño Jabonero

MBA – Marketing Management

Executive Summary:

This study deals about the Enchanted Kingdom (EK), a theme park which was established way back year 1995 in Sta. Rosa, Laguna. It was designed to cater AB social class on first launching, but had been patronized by the general public despite of high-end price of tickets.

One of EK's main problems was to level out the demand throughout the year. Marketing strategy was formulated and implemented during lean months to address the issue, but another challenges rose during those months. Another thing also was the insufficiency of their major attractions and rides. And last, unclear mission and vision statement.

Recommendations in this study include the development of the following areas:

1. Addition of some fun sites, food establishments, and events.

2. Improvement of more aggressive marketing team.

3. Revision of their mission and vision statements.

Background:

Brief History:

Enchanted Kingdom was the first and only Philippines' world-class theme park, was conceptualized by Los Angeles Knots Berry Farm in 1990. It was an idea of two best friends, Bernie and Ivan, both avid travellers. Groundbreaking took place in 1991 and Enchanted Kingdom was finally launched in October 1995 in Laguna. Aside from its 21 rides and attractions, there was a wide variety of food outlets, specialty shops, and video game centers.

There were two customer segments of enchanted kingdom: those who come to park as walk-ins and those who pre-book their visits through the sales office as a group. The walk-ins could purchase tickets from three categories: adults / general public, children (35-42 inches tall), and senior citizens. Prices for walk-in customers and for groups varied according to the number of customer going to the park. Corporate packages were available for a minimum of 50 persons.

Enchanted Kingdom was fully committed in providing their customers excellence in the standard and quality of service and facilities. The employees were trained to please their guest and look after their safety and protection within the theme park premises. To monitor customer satisfaction, the company conducted a regular survey among customers making prior ticket purchases. The survey had items on the quality of service of employees, food and beverages, mascots, rides and attractions, courtesy and friendliness of the staff, and overall customer satisfaction.

Initially, the park was open year-round from Mondays to Sundays except Maundy Thursday and Good Friday during Holy Week. It opened at 10am except during the summer peak season when it opened at 2pm. Closing time varied at 5pm, 9pm, 10pm, or midnight. Since the visitors could enjoy unlimited use of all rides and attractions within the park. Initial admission / entrance fee was priced at high end. Despite the high admission price and with barely two years from its public launching, Enchanted Kingdom enjoyed very healthy park attendance.

One of the challenging problems faced by the management during those early robust years was how to even out demand throughout the year. During peak months (January, April, May, and December), it usually took about 30 to 40 minutes for the visitor to wait for a major ride. This was often big turn off for many first time visitors. However, during lean months, the park had to continue incurring fixed overhead costs to serve a very thin crowd.

How the management would address these challenges?

Areas of Consideration:

Internal Factors:

Strengths:

1. Advance technology and world class rides and attractions.