China’s first Legoland opens near Shanghai amid sluggish consumer mood

Despite China’s position as the world’s second-largest theme park market after the United States, analysts say Legoland Shanghai is launching into a challenging landscape. Domestic consumer sentiment remains weak, and many existing parks across China are seeing sluggish revenue.

“In first-tier cities, people do have the spending power,” said Beth Chang, an economist at infrastructure consultancy Aecom. “But Legoland will be a very big test,” she added, pointing to the park’s premium pricing and relatively distant location as potential obstacles.

An annual pass for the park costs around Rmb1,399 ($195), which may deter middle-class families outside major urban centres. Still, die-hard fans and younger adults nostalgic for Lego toys appear to be showing early enthusiasm.

“I still have that childhood yearning for it,” said 20-something Luo Yiting, who travelled from nearby Changzhou and holds annual passes for both Legoland and Disneyland Shanghai.

Foreign IP bets grow despite headwinds

The Legoland launch comes amid a wave of new investments by global entertainment brands banking on the power of nostalgia and well-loved characters to draw Chinese audiences. Disneyland Shanghai recently began constructing a new Spider-Man section, while Warner Bros Discovery is planning a Harry Potter Studio Tour for 2027. Hasbro is building what it says will be the world’s largest Peppa Pig-themed park, also near Shanghai, set to open the same year.

These moves reflect a belief that quality, brand-driven experiences can still perform even as broader consumption cools. Disney’s CFO Hugh Johnston acknowledged in May that Chinese consumers are “tightening their belts,” but said attendance at Disney parks remains “quite good.”

Analysts say foreign IP-based parks also benefit from policy support and appeal to young consumers increasingly focused on “emotional and experience-driven consumption.” However, they must also contend with domestic theme parks that incorporate Chinese cultural elements and compete aggressively on price.

To localize the experience, Legoland Shanghai features elements tailored to Chinese visitors, including go-karts branded with electric carmaker BYD’s logo and figures of the legendary Monkey King.

More to come as Merlin eyes expansion

With a second Legoland already under construction in Shenzhen, Merlin appears confident in the long-term potential of the Chinese market. The parks are aimed at families with children between ages 2 and 12, though adult fans of Lego are also seen as a key demographic.

Still, the real test may come after the initial wave of enthusiasm. “After school starts… that will definitely put Shanghai Legoland to test,” said Aecom’s Chang, referring to seasonal declines in attendance that often challenge family-focused parks.

As the park opens its gates amid an uncertain economic backdrop, success may hinge on whether Legoland can offer not just play, but a compelling escape—and whether it can do so at a price families are willing to pay.