In a bid to get a competitive edge, hotel companies are going beyond their traditional role to include entertainment and amusement parks as well. Leading new age hotel companies like Unitech, DLF, Emaar Properties, Ansal Properties, Nirmal Lifestyles and international hotel companies such as Shangri-La are planning to set up mini-amusement parks at some of the key hotel projects in India.

Industry reports indicate that the hotel sector is expected to spend over Rs 2,000 crore. Excited about this development, VGP Ravidas, vice president of Indian Association of Amusement Parks & Industries (IAAPI), says, "There has been a sudden surge of inquiries and buying, especially from the resort sector. Those who have land adjacent to their property are investing in mini amusement parks, water parks and theme parks. They want to have an edge over their neighbouring competitor."

Rajen Shah, managing director of Arihant Industrial Corporation Limited, explained the logistics. "The amusement park industry has been growing steadily at the rate of 25 per cent a year from the last three years. Our sales to the hospitality sector have also increased simultaneously. We expect the same rate of growth in the coming years too." Buyers are mostly resorts from the outskirts of Bangalore, Hyderabad, Noida, Pune and Mumbai. Arjit Sengupta, director and CEO of Nicco Park, declares, "Soon water parks are taking over swimming pools, spacious lawns are replaced with bumper cars, carousels and merry-go-rounds. Mini amusements parks are going to be a stay in the resort industry."

Resorts with amusement parks are a western trend which has tasted success in Europe and the US. J Clark Robinson, executive director (Global Alliances) of International Association of Amusement Parks & Attraction, says, "I see potential not only for amusement parks in resorts of India but also other attractions like mini zoos and aquariums. It would be a great learning for children even on a vacation. This model has been successful in Europe and USA and I am sure it will be successful in India as well."

The investment in these facilities does not come cheap. According to Shah, "A resort might have to invest about Rs 1 to Rs 2 crore in a basic park that has water slides, bumper cars, a few rides, etc. On an average, the returns on investment will take about three years, depending on the service, facilities and rooms."