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The family entertainment center market size is expected to increase to USD 19.65 billion at a CAGR of 11.64% between 2024 and 2028. The Amusement Equipment Industry (AEI) is experiencing significant growth, driven by innovative offerings that merge technology and physical activity. One such trend is the expansion of arcade gaming, which now includes virtual reality and motion-sensor games that engage players in active play. This shift is particularly popular in emerging countries where disposable income is surging. According to a recent market report, the global arcade gaming market is projected to reach USD 24.4 billion by 2025, growing at a CAGR of 7.2% from 2019. The fusion of technology and physical activity in arcade gaming is not only attracting a new generation of gamers but also providing an affordable and accessible form of entertainment for a broader audience.
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When planning a day out, options for food and beverage play a crucial role alongside gaming and entertainment choices. Whether visiting an indoor amusement park, family amusement center, fun center, or a small amusement park, families seek diverse experiences. These venues offer a variety of food and beverage options to cater to different tastes and preferences, from quick snacks to full meals. For entertainment, gaming and entertainment options provide interactive experiences for all ages, ensuring everyone can find activities they enjoy. Family fun centers and amusement parks often combine thrilling rides with relaxed dining areas, creating a well-rounded experience for visitors. As the demand for inclusive family outings grows, venues are innovating to offer a blend of food and beverage diversity and engaging gaming and entertainment options, ensuring memorable experiences for all.
The expansion of AEI is notably driving market growth. The Family Entertainment Center (FEC) market encompasses a variety of leisure options, including physical play activities, skill/competition games, bowling alleys, miniature golf courses, museums, water parks, and zoos. Critical development in technological innovations, such as virtual reality games, bonuses, gift cards, birthday discounts, loyalty programs, and reward points, have significantly enhanced the FEC experience. Indoor entertainment venues offer visit points, 3D technology, and ticket sales for attractions like ticket prices, entry fees, food and beverages, merchandising, advertisement, and virtual reality gaming.
Moreover, the AEI, the premier conference and trade show for the amusement entertainment industry, showcases vendors, developers, and businesses specializing in coin-activated amusements. With 70% of AEI attendees holding buying power in their organizations, this annual event provides valuable opportunities for businesses to learn about the latest technological advancements and trends in the industry, ultimately driving growth and success in the FEC market. Thus, such factors are driving the growth of the market during the forecast period.
Rising integration of VR in games is the key trend in the market. The Family Entertainment Center Market encompasses a variety of leisure options, including physical play activities, skill/competition games, bowling alleys, miniature golf courses, museums, water parks, zoos, and more. A critical development in technological innovations, such as virtual reality (VR) gaming, is revolutionizing the industry. VR solutions provide a realistic virtual environment, stimulating a user's physical presence. VR-based arcade games, like the 3D dinosaur attack car game and Sega Corporation's VR agent, have emerged in recent years.
Moreover, these games offer bonuses, gift cards, birthday discounts, loyalty programs, and reward points to attract and retain customers. Ticket prices, entry fees, ticket sales, food and beverage services, merchandising, advertisement, and food services contribute significantly to the market's growth. VR gaming, with its immersive and interactive nature, is becoming increasingly popular in indoor entertainment. Thus, such trends will shape the growth of the market during the forecast period
High maintenance cost is the major challenge that affects the growth of the market. Family entertainment centers offer a variety of physical play activities and skill/competition games, including bowling alleys, miniature golf courses, and arcade gaming areas. These attractions cater to critical development in children and provide leisure options for individuals of all ages. Technological innovations, such as virtual reality games, have become increasingly popular, offering bonuses, gift cards, birthday discounts, and loyalty programs with visit points and reward points. Water parks, museums, zoos, and other educational attractions add diversity to the offerings. Maintaining family entertainment centers involves significant investment and high operational costs, particularly in the upkeep of gaming equipment, such as bowling alleys and arcade machines. Virtual reality gaming and motion simulation, in particular, require regular maintenance to ensure synchronous functioning of components like haptic sensors and the legs of simulators.
However, these legs generate movement based on feedback from the sensors, and their proper alignment is crucial for an immersive experience. The family entertainment center market includes ticket prices, entry fees, ticket sales, food and beverage services, and merchandising as significant revenue streams. Advertisement and virtual reality gaming are essential components of the business model, attracting a large customer base. Indoor entertainment centers provide a respite from the elements, making them a popular choice for families and groups. The market is continuously evolving, with ongoing technological advancements and the integration of 3D technology, further enhancing the overall experience. Hence, the above factors will impede the growth of the market during the forecast period
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Bowlero Corp.:- The company provides family entertainment center solutions. It also offers an engaging experience for customers through the offering of Bowlero, which incorporates the excitement of blacklight bowling, a diverse array of arcade games, and signature cocktails.
The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The arcade studios segment is one of the fastest adopters of technological innovations. The innovations have changed gaming from 2D gameplay on a screen, which only requires gamers to use their hands, to VR, in which the gamer can experience the virtual world of gaming. Various innovations to make the gaming experience interactive and real-life include head-mounted displays, motion controllers, tracking devices, and gaming gloves.
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The arcade studios segment accounted for USD 11.34 billion in 2018 and showed a gradual increase during the forecast period. To enhance the customer experience, the vendors have developed games where gamers can stand up and move around naturally instead of playing games on a screen using gaming peripherals. For instance, in March 2022, the Amusement Expo International (AEI) convention in Las Vegas introduced a VR laser tech arcade game that has one platform, and players can move around and play. VR can take gaming to the next level by including the natural physical activity of the gamer. In 2020, Virtuix, a VR startup, announced a new home version of the Omni virtual reality treadmill called the Omni One, where users can walk and run 360 degrees inside video games and other virtual worlds. Omni One is integrated with a head-mounted display and is expected to provide the most real-life gaming simulation experience during the forecast years. Thus, the arcade studios segment is expected to witness growth in the global family entertainment center market during the forecast period.
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North America is estimated to contribute 41% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. Family Entertainment Centers (FECs) encompass a variety of attractions, including arcade games, mini-golf, laser tag, trampoline parks, bowling, virtual reality experiences, and more. These facilities cater to diverse visitor demographics, from birthday parties and corporate events to social outings for teenagers and children. Unique experiences, such as augmented reality and virtual reality gaming zones, add to the allure of FECs. Facility size varies, from small amusement parks and family fun centers to larger metropolitan area attractions and even full-scale indoor amusement parks. CEC Entertainment Concepts, Cinergy Entertainment Group, Funriders, KidZania, Smaaash, Timezone Global, and other chains and franchises dominate the market. Non-profit organizations and edutainment experiences, such as arcade studios and AR gaming zones, also contribute to the area customer base. FECs are often located in malls and tourist attractions, providing a significant revenue source for their hosts.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion " for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.
Entertainment and Amusement Market: Entertainment and Amusement Market by Type, Age Group, and Geography - Forecast and Analysis
Bowling Centers Market: Bowling Centers Market by Material, Service, and Geography - Forecast and Analysis
Children Day Care Services Market: Children Day Care Services Market Analysis APAC, Europe, North America, South America, Middle East and Africa - US, China, India, UK, Germany - Size and Forecast
In the dynamic and evolving market, Virtual Reality (VR) and Augmented Reality (AR) experiences have emerged as key trends. These immersive technologies offer unique and innovative ways for families to engage and interact. Food and Beverage options are a crucial aspect, catering to diverse palates and dietary needs. Corporate events and Social Outings are popular revenue sources, providing opportunities for team building and networking. Facility size varies, from small Amusement Parks to large Family Fun Centers and Mall-based Entertainment Centers. The Revenue Source can be diverse, including admission fees, food sales, merchandise, and event rentals. Visitor Demographics range from Youth to Families, with Nonprofit Organizations and Chains and Franchises also utilizing these facilities for Edutainment Experiences.
Moreover, the market (FEC) is thriving with a variety of attractions such as mini-golf, laser tag, and trampoline parks, which are popular for birthday parties. Offering diverse gaming and entertainment options, these centers appeal to teenagers and children. Whether it's an indoor amusement park, family amusement center, or family fun center, FECs provide fun for all ages. Found in larger metropolitan areas, these fun centers range from small amusement parks to expansive complexes. Key strategies for success include merchandising, effective advertisement, and incorporating virtual reality gaming to stay ahead of trends. The combination of traditional and modern attractions ensures FECs remain a top choice for family outings.
Market Scope |
|
Report Coverage |
Details |
Page number |
137 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 11.64% |
Market growth 2024-2028 |
USD 19.65 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
10.12 |
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
Performing market contribution |
North America at 41% |
Key countries |
US, China, UK, Japan, and Canada |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
American Dream, Bowlero Corp., CEC Entertainment Concepts L.P., Cinergy Entertainment Group Inc., Citymax Hotels Pvt. Ltd., Dave and Busters Entertainment Inc., KidZania S.A.P.I. de C.V., Lucky Strike Entertainment LLC, Main Event Entertainment Inc., Motion JVco Ltd., MOA Entertainment Company LLC, Mr. Gattis Pizza LLC, Scene 75 Entertainment Centers, SeaWorld Parks and Entertainment Inc., Smaaash Entertainment Pvt. Ltd., The Walt Disney Co., and Timezone Entertainment Pvt. Ltd. |
Market dynamics |
Parent market analysis, Market forecasting growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period |
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Opportunity/Restraints
10 Competitive Landscape
11 Competitive Analysis
12 Appendix
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