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SeaWorld To Phase Out Shamu Shows, Replace With Exhibit

SeaWorld To Phase Out Shamu Shows, Replace With Exhibit
SeaWorld To Phase Out Shamu Shows, Replace With Exhibit
GUESTS:Jared Goodman, director of animal law, PETA FoundationBernhard Schroeder, director, Lavin Entrepreneurship Center at San Diego State University

Deaths grip is a good choice of terms. I can think of a few companies what held onto their old business models like Blockbuster or Kodak or boater -- borders. You need to evolve your business model in order to survive and move on and keep the market share. Was happening here is that Seaworld is realizing that they have the opportunity and if they adjust their business model to become this entertainment and interactive kind of environmental company that the could become, it is possible. So what you're saying is that blackfish was just a symptom of what had already happened to the attendance at Seaworld it was just an uneasiness that people were having with these animal shows? Is not even just that if you look at the millennial population that's coming which will be the largest population in the United States pipe 2025. They are not leading into these type of venues they are picking up on environmental and social causes of so when they react to something like this Seaworld loses them forever. So they need to decide. They need to change their business model because this is the customer of the future and this is what they are saying. There weren't many specifics in the presentation yesterday but Seaworld Park CEO said they formed a partnership with the Evans hotel to develop a Seaworld hotel. Do we need another resort in San Diego? I think they do. From a job's perspective, people come here from around the world. I call this the trifecta. They come here for Seaworld, the zoo, the animal Park. Is the major draw and the tourism Council can show you that. They have the opportunity to turn this more from it or Cashel into a true destination. They have a hotel on property and other themed destinations that would address is millennial crowd. Turn it into a Legoland or smaller Disneyland, but in a good way. It showcases how much we need to understand about the sea and become an authority while entertaining us in the same way. Do you envision Seaworld being able to do that all the while satisfying its critics that is not keeping these large marine mammals in the kind of captivity that has been so hardly criticize. I think it's a great question because when I read through what Jules said, the CEO of the entertainment group, I do not think that they know. That's why there wasn't very much detail put out a think they need to figure it out. Say for example there is a strong backlash against organized. City to find out if they could put sharks in that water and have some sort of interactive ride. I do not think that they truly understand all of the elements of the new business model that they need to craft. But then out on the deadline to do it and they can no longer sit back. Will call it the elephant of the circus that's now there elephant in the circus of 2015. So they need to decide how they're going to make it do, even without organs in the future. You're talking about this new idea of a hotel and resort style for Seaworld. Billing a hotel in that particular area of that area of San Diego is going to be a long and complicated process. To think that Seaworld would exist -- choose to buy an existing hotel? I think they want to do it all on property a commingled experience. I don't know if they can pull it off I don't know that land-use requirements to pull it off. I will be know that I think I understand what they're trying to do. They are trying to make it a single destination if someone comes here and goes to a show, because Seaworld for half a day. I think they like the idea have potentially having guests come stay with them for more than 4 hours or 6 hours. During this announcement yesterday CEO Joel Manby said he wants to change the perception of Seaworld's mission as an entertainment venue . People of companies that have a purpose including for-profit companies. I don't have to tell you what whole foods stands for. I don't have to tell you what toms shoes stands for. They all have a very specific purpose. Is very specific goal of what they are trying to accomplish. I don't see any reason that Seaworld cannot be one of those brands. Were not there today and I understand we are not there today. Do think that they can get there? I just love the fact that it CEO will publicly state that they are not there yet. Most refrain from staying that. I don't know if they can do that. They need to bring people in with a fresh perspective on how to become that authentic brand. I think you used an important word there especially when you're talking about this generational shift with the millennial's and how they view Seaworld. Authentic. Because as you heard from Jared, a lot of this suspicion is that this is just another PR campaign that Seaworld wants to go back to business as usual and that they are not really being authentic when they say they want to fundamentally change. If they move forward as they move through their business model, if they do and or call lagoon, they are doomed to fail. They need to rebrand and think this will marine experience completely differently. Exactly. Think about the fact that schools are bringing their children here. That visiting researchers are coming from around the world. Seaworld becomes a destination that understand and educate people. Some of the other listeners will understand Jock Cousteau, but in a way where we become more knowledgeable about the fee and how we interact with it as opposed to it being just a show. We heard a lot about the kind of business laws that Seaworld has been hit with in the past five years. People have been saying since blackfish came out that the attendance and revenue is down. Do think now that there is a deadline. That these orca shows that people know and still love, are going away. Do think they will see a boom in business while the shows are still being performed connect I do not think so. I think they will continue to see a decline. Why is that Max because all of the news that have come out about Seaworld in the last 2 years has been negative. I don't care what they say. Anybody within earshot has been listening and say even I don't believe it's going on, I don't want to help promote it. That message for the younger audience, be they 28 or 25, they are listening. I think they are choosing not to go and not to bring their kids. That is a bigger problem for Seaworld it's like McDonald's, not to bring them into the conversation. But millennial are not bringing their children to the current version of Seaworld just like they're not bringing him to the existing version of McDonald's. Interesting. This is Bernhard Schroeder , Sandy the state University, thank you so much. Thank you for having me.

SeaWorld To Phase Out Shamu Shows, Replace With Exhibit
SeaWorld Entertainment CEO Joel Manby said the shows will be replaced with a conservation-oriented orca exhibit beginning in 2017.

Faced with mounting public and regulatory pressure over its treatment of killer whales, SeaWorld officials announced Monday they plan to phase out the popular Shamu shows at its San Diego park.

SeaWorld Entertainment CEO Joel Manby made the announcement during a webcast for investors, saying the shows will be replaced with a conservation-oriented orca exhibit beginning in 2017. The new exhibit will be built partially with funds that had been earmarked for a $100 million "Blue World" expansion of the park's orca tanks.

According to a presentation prepared for investors, the theatrical whale show in San Diego will be phased out next year, and the new "orca experience" will have a "conservation message inspiring people to act."

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"In 2017, we will launch an all-new orca experience," Manby said. "It's going to be focused more on the natural setting, natural environment and also the natural behaviors of the whale. It'll have a strong conservation message. And that means that 2016 will be the last year of our theatrical killer whale experience called One Ocean."

Manby emphasized that the company's parks are home to 800 different species.

"We are not limited to any one animal, any one show," he said.

The park is also partnering with Evans Hotels to explore the concept of putting a hotel in SeaWorld's parking lot or surrounding property. The company is considering a resort-type model, similar to Disney, a company official said.

The announcement to change the Shamu shows was part of a plan to stabilize and grow the company.

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"Clearly we've had challenges the last couple of years," Manby said.

SeaWorld has suffered dipping attendance since the 2013 release of the documentary film "Blackfish," which focused on the treatment of orcas at the park.

Manby wants SeaWorld to be a purpose-driven company. He mentioned Whole Foods and TOMS Shoes as companies with a strong purpose. He said that SeaWorld is not there today but is "perfectly positioned for that."

He said the company's purpose is "to inspire people to protect animals and the wild wonders of our world."

The San Diego theme park took another hit last month when the California Coastal Commission approved the "Blue World" expansion of its killer whale exhibit but ordered an end to the breeding of captive orcas at the park. That ban would also eventually phase out the Shamu exhibit.

SeaWorld officials said they plan to challenge the commission's ruling.

This slide from SeaWorld's Investor Relations presentation shows possible locations for a hotel near the park.
SeaWorld Entertainment
This slide from SeaWorld's Investor Relations presentation shows possible locations for a hotel near the park.

Assemblywoman Lorena Gonzalez, who has been vocal about banning orcas at SeaWorld, said Monday's announcement by SeaWorld officials contradicts their earlier contention that the company could not be profitable without the Shamu shows.

"The public pressure on SeaWorld to stop the Shamu shows became the exact reason why the company's profitability was at risk," she said. "Clearly, SeaWorld can move away from being a giant circus that harms animal life and still have a viable business model."

On Friday, Rep. Adam Schiff, D-Burbank, announced plans to introduce legislation that would ban the captivity of orcas.

Jill Kermes, senior corporate affairs officers for SeaWorld Entertainment, said the proposed legislation is misguided, saying SeaWorld and other science-based groups "are part of the solution, not the problem."

"Killer whales at SeaWorld are healthy and thriving and through conservation and rescue efforts as well as significant work to advance the scientific understanding of orcas and other marine mammals, SeaWorld is a leader in protecting and preserving these species," Kermes said.

"We have not captured a whale in the wild in 35 years — and we will not do so," Kermes said. "Through our work with scientists, conservation leaders and the government, SeaWorld is ensuring that all animals in human care are treated with the dignity and respect they require and deserve."

Schiff said SeaWorld's announcement Monday is a "welcome step."

"Much more needs to be done, however, and I would urge the company to curtail the breeding of their orcas and partner in the creation of ocean sanctuaries," Schiff said. "The fact still remains that as long as SeaWorld holds orcas in captivity, the physical and psychological problems associated with their captivity will persist."

Jared Goodman, director of animal law for People for the Ethical Treatment of Animals, said stopping the shows is a necessary step, but ending captivity is ultimate goal.

"This move is like no longer whipping lions in a circus but keeping them locked inside cages for life or no longer beating dogs but never letting them out of crates," Goodman said. " ... That's why PETA is calling on SeaWorld to stop breeding orcas and start building sea sanctuaries where they can experience an actual natural setting and finally thrive."

Corrected: November 10, 2024 at 11:29 AM PST
KPBS reporter Megan Burks and multimedia producer Brooke Ruth contributed to this report.