Six Flags in the red but expects to be over the hump next year

Posted | Contributed by Jeff

Six Flags hasn't posted a profit since 1998, but says that next year will be the turning point. The company's CFO says that the debt acquisition was necessary to build the property portfolio and this will lead to significant growth.

Read more from The Star-Telegram.

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Jeff, but I'm not sure that Six Flags -- or any chain for that matter -- can dictate the ultimate pass prices. The public does. It's the laws of supply and demand colliding at a point where the park operates at a cozy capacity.

You don't think a park would love to charge more for its season passes? But it would mean less guests in the park and that could ding morale and grow the perception that the park is a failure.

You mention Michigan Adventure and that's a perfect example. I have never been there but the park is a ghost town in Robb and Elissa's tape and I've never read a trip report that claimed the park was crowded. The high season pass price probably plays a part in that, but it has to remain high or folks will cheat Cedar Point by grabbing substantially cheaper passes (like the $59.99 passes that Knott's was forced to sell earlier this year) that would make more sense for MA.

Holiday World charges $120 but that includes free parking (which would be another $20-30 for Six Flags parking passes) and, of course, free drinks.

It may not seem right to see Six Flags charging less than a 2 day tickets for a season pass like the chain does in many of its parks but what if it was $100 for a season pass. They wouldn't sell because most guests wouldn't be sure that they would be back to the park another 2-3 days during the season, and having made that decision they would then make it a point NOT TO GO because they blew the shot at getting the pass the first time. Charging less than the second day is ideal because it really does create the value thought process. Someone's in the park and they figure they can upgrade to the pass then and there because a repeat visit later in the summer seems likely -- and by buying the pass it's almost assured. Folks like to get their money's worth.

Jeff's avatar
Of course they can set their prices. In the Cleveland market, I feel the Six Flags price is arbitrary. Why? Because it essentially hasn't changed in five years. If your compeition is charging a hundred or more, why would you charge half that?

I don't follow your logic one bit. If you apply the same logic to Holiday World, Cedar Point, etc., no one would ever go a second time, and therefore wouldn't buy passes. Clearly they are.

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Jeff - Webmaster/Admin - CoasterBuzz.com - Luau II Cam 7/19
DELETED! What time does the water show start?

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