View Full Version : Running an arcade...
downfall
04-15-2004, 12:05 PM
I have always wanted to own and run an arcade. Do what I love, not worrying as much about getting up and going to work every day as I would actually enjoy it. Be able to interact with other gamers, and provide an environment that gamers could actually enjoy.
Do you think that starting an arcade in today's society.. in the times that we live in now.. is an actual possibility? I realize that it would take quite a few dollars to get up and running, but do you think it's worth it today? Do you think that an upstart arcade could survive and do well for itself in the economy we are in today? I personally am not interested in making a killing off of doing something like this, as I'd really just love to do something great and something new for people to enjoy, but you obviously have to have money and support to operate. I guess what I'm trying to say is that I wouldn't want to open your traditional arcade with games where you win tickets and get craptastic dollar store prizes and can play a few actual video games. I would rather open an arcade geared towards people (gamers) that want to come in and play video games. Play Pac-Man, or DDR, or whatever, just hanging out and being gamers.
It seems to me that the arcade scene is starting to pick back up, with more games like DDR, and more communities online that are causing people to return to the way arcades used to be; lots of social interaction, people just hanging out and having a good time doing what they like to do. It also seems as if this current "retro" boom is also bringing people back into the arcades as well. I see just as many people these days pumping quarters into games like Ms. PacMan or Galaga as I do the latest Time Crisis or whatever.
This is something I've been pouring over in my head for a long time now, and I think that my ideas as far as what I would want to accomplish in an arcade go are sound and intelligent ideas. I just want to know what other people think about it, or if anyone else is in the same boat as me on this one. I think the arcades that we have today are really bad overall.. perhaps it's just because I'm a gamer at heart, but all the arcades I've been to in the past few years are all about trying to bring in *everybody*, and they tend to alienate the actual gamer.. those people who I think helped to basically build arcades in the first place.
chadtower
04-15-2004, 12:31 PM
Nowadays arcades don't work. The major flaw is inherent in the product, really. The big one is that it attracts lots of kids with disposable cash, which attracts people trying to get that cash inevitably by selling them drugs. Most adults still don't take arcade gaming seriously and never will when they can get a better experience at home with their Xbox or PS2. A retro arcade would work a little better but then you're veering from your true target (kids) and you can't pull in $1/game the way you can with modern games.
Basically, you end up a target for drug dealers, a haven for truant teens, or a babysitting service for poor (as in bad, not economically so) parents. Most likely you'll end up all three until someone accuses one of your employees of molesting a kid and you get shut down by the city within two weeks. The only real arcades that still work are just side attractions for some larger business like a restaurant, mall, driving range, or amusement park.
AB Positive
04-15-2004, 12:51 PM
i'ne mulled this over a lot, and i always thought that a combination of independant game store/arcade would to brilliantly. Think about it, some kids would trade in thier N64 game to get 4 bucks in tokens to use on DDR... then save up money to buy it on the PS2!
I think it could work in the right location.
That being said there's 3 full year round arcades that have been in operation for years still going strong. They're all a good 45 min. from me, but they all see good action.
-AG
Phosphor Dot Fossils
04-15-2004, 12:58 PM
i'ne mulled this over a lot, and i always thought that a combination of independant game store/arcade would to brilliantly. Think about it, some kids would trade in thier N64 game to get 4 bucks in tokens to use on DDR... then save up money to buy it on the PS2!
Bro, I've had this exact same thought. I think it'd be cool to do something like this. At the same time, I can see where Chad's coming from too - you'd have to hire people you absolutely trust and practically police the place to keep it family-friendly.
Me, I'd probably pull a Jeff Bridges and be out there playing the games anyway, so I'd be able to keep an eye on things from the floor. LOL
Pantechnicon
04-15-2004, 01:02 PM
The only real arcades that still work are just side attractions for some larger business like a restaurant, mall, driving range, or amusement park.
Bingo. The games are incidental to some other premium being offered. I just drove through Phoenix and saw a modern amusement center (I can't quite bring myself tocall it an "arcade") called Gameworks located in a huge mall. It was a two-story facility with a restaurant/bar on the top and numerous high priced coin-op machines (DDR, turret games, VR etc. Nothing pre-2000) on the lower floor. Maybe it was just the time of day and week that I visited, but I happened to notice that while the restaurant seemed moderately packed the lower floor was virtually deserted. I didn't see anybody playing any games down there anyway. Makes me wonder how long until this place changes their name, drops the games and simply expands the seating capacity.
I toyed with the idea of becoming an operator myself when I got a hold of my first two cabs (Pac-Man and Shinobi). In the painstaking course of removing the grafitti, replacing the cigarette-burned control panels and otherwise trying to restore these machines to their factory-released glory it occurred to me that becoming an operator would make these labors of love a never-ending exercise in frustration. So I dropped that idea in a heartbeat.
OldSchool
04-15-2004, 01:37 PM
I hope you make your dream come true.
A couple of thoughts. As with any business location is going to be the biggest factor in your success or failure. We have the only stand alone arcade in our mall for about 70 miles in any direction. That thing has been there for years. They have no drug/crime problem because they don't have a public bathroom inside the arcade. The place has an open floor that is easy to watch and police.
Some might take offense at this comment but if I were going to do it, I would move to a town with a population under 80,000 that was away from any nearby major urban/metro areas. First, you'll be less likely to deal with Metro area problems. Second, you will be in a area that has fewer things to do for kids other than hanging out at the local mall (where your arcade would hopefully be located) or going to the community center.
I like the idea of having the arcade/vg sales combo in one operation. Nice concept.
Good luck and happy gaming!
Garry Silljo
04-15-2004, 01:52 PM
I've thought about this SO many times.
I always thought it would be nice to have everything for everybody in gaming though. Not for everybody as in every human, just every gamer.
1.A wall of old cabinets, the classics, pacman, galaga ...
2.A wall of Pinball cabs
3.A wall of late 80's to mid 90s, Turtles, Simpsons, Ninja Gaiden (that one's just for me :D ) Street Fighters and ....
4. Then in the middle I'd through in the current/ interactive stuff. DDR, Time Crisis, ... maybe a sit down AfterBurner. I would do it in a second if I was sure it would survive.
Phosphor Dot Fossils
04-15-2004, 02:07 PM
Some might take offense at this comment but if I were going to do it, I would move to a town with a population under 80,000 that was away from any nearby major urban/metro areas. First, you'll be less likely to deal with Metro area problems. Second, you will be in a area that has fewer things to do for kids other than hanging out at the local mall (where your arcade would hopefully be located) or going to the community center.
Just so happens that I live just outside of such a place - so small, in fact, that there's not a mall within half an hour of here. Now, there's a pretty good restaurant district, and on the other side of the interstate overpass there's a Wal-Mart and a grocery store or two, and that's really it.
But the thought occurs, in looking at this picture, that there may also be such a thing as setting up shop somewhere that's too small to keep the doors open with sustained business.
I think how you advertise it would be a huge, huge factor too.
Daniel Thomas
04-15-2004, 02:14 PM
I'd think owning a videogame arcade would be fun, especially for the nostalgia, but I hope you realize that it would almost certainly never make any money. You probably couldn't even pay the rent for the building, to say nothing of putting food on your family.
Arcades are really an '80s-'90s thing, back in the olden days when Pac-Man machines were pulling in $400 a week. The whole idea of puting money into a machine to play one game is pretty obsolete, really. Any continuing arcades should charge by the hour, really; but again, I have no idea if that would ever make any money for anyone.
Again, an arcade would be fun, but it's definitely a labor of love.
chadtower
04-15-2004, 02:21 PM
You probably couldn't even pay the rent for the building, to say nothing of putting food on your family.
I hate it when people put food on my family. I have to get them all cleaned up and get them a change of clothes and that's a PIA.
downfall
04-15-2004, 02:42 PM
Adam_G hit it right on the head. That's something I'd love to do. Not only have the arcade portion, but have like the actual console displays that you'd find in Gamestop and such. I don't exactly know how you'd pull it off, but it's still another thought.
I personally was speaking of an Arcade in a mall type environment myself. A stand-alone arcade wouldn't be anywhere near as popular nor accessible. Like someone else said, an open floor, no smoking or anything, and no worries about drugs or any of that stuff, because it's an open area that's easy to take care of.
I live in West Virginia myself, and while it's not exactly the most prosperous state out there, it's exactly like OldSchool said. There's nothing else much to do here for teens and youth. No real sports teams, no nightclubs for teens or whatever they're called, no amusement parks, nothing. There's just kinda the mall. And that's why I think it could work if it were done properly.
Advertising would be huge as well. I've *never* seen an arcade advertise anything. They're just kinda there. I'd love to advertise the heck out of it, and not only that, I'd make it a point to do things that would need advertising. Set up tournaments with prizes, all that fun stuff to try and bring more people in. I have a background in graphic design/advertising, so I've dreamed up all kinds of things already.
As Daniel T said.. it would definitely be a labor of love. That's exactly why I'd want to do it in the first place. :D
YoshiM
04-15-2004, 02:58 PM
My wife came up with an interesting idea if we should ever win the lottery or something. The building would be split two ways: on one side is the arcade and video game shop and on the other side would be a spa. Kind of a "his and hers" type thing. The arcade would have the classics, maybe some more modern games and LAN style gaming rooms along with a mini museum and then the game store that would carry retro and modern games. The spa would have, well, spa things. Also thought of attaching a retro 80's diner (also with some games in it) to the building.
I don't think an arcade in and of itself can keep itself running these days. You almost have to combine it with somthing else to draw interest.
Arcade Antics
04-15-2004, 03:24 PM
Do you think that starting an arcade in today's society.. in the times that we live in now.. is an actual possibility?
Is it possible? Yes.
Is it possible to do it and earn a living from it? No.
Your operating costs would never come close to the few bucks you'd take in. Machines are too expensive now, only the big places like GameWorks can afford to buy new machines (DDR, HOTD3, Brave Firefighters, et al) and even those humongous places lose money on the games.
Phosphor Dot Fossils
04-15-2004, 03:33 PM
I don't think an arcade in and of itself can keep itself running these days. You almost have to combine it with somthing else to draw interest.
Now something like Sean Kelly's store in Chicago? Add some space to that and drop in some classic coin-ops, and I bet you'd have something. You'd have to add some staff though - it'd be too much to ask people to do retail, keep an eye on "the inventory" and make sure nobody just punched their hand through the bezel glass on Defender.
rbudrick
04-15-2004, 03:42 PM
I was going to say basicallly what AdamG said...a combo game store/arcade.
Maybe have the sotr in the fron and a bunch of arcade games in the back.
The problem is that the arcade section may take up precious floor space thatcould be dedicated to selling more games.
About the drug dealers, etc., remember, that any good businessman will always tell an upstarter, "Location, location, location!"
I don't think I've ever seen an arcade by a beach fail.
You'll definitely get more business in the city.
You will operate at an extreme loss if you are ONLY an arcade. Maybe if you served food and sold games you cpould make a decent living.
Hey, beer helps too (CARD DEM KIDDIES, lol). Adults will come for beer and to play old games if you have the store closed to kids after 9:00 or smething. We all know that adulta play just about as much games as kids now. You'd need a liquor license, but it could be a very lucrative hangout. Shit, I'd go there daily.
A combo bar/arcade/game store. Damn. That would be heaven.
-Rob
Kroogah
04-15-2004, 05:27 PM
i'ne mulled this over a lot, and i always thought that a combination of independant game store/arcade would to brilliantly.
Working on it.
No, seriously. This is my goal in life. Along with a very good friend of mine, we are working at it. Sadly, I still need to get a job (Rockford is horrid for the unemployed right now) but he has one, and he already has done tons of research. He's taking care of the arcade part, and he already has a list of games to get. Now comes the years of working hard and saving cash.
Edit: We'd be happy if we made enough just to stay afloat. It'd be great to hang out in your very own arcade or video game store for a living.
ubersaurus
04-15-2004, 06:57 PM
An arcade can make it nowadays, but you have to remember a few things.
First off, you have to bill the social atmosphere. Dave & Busters does that with their foodstuffs, for example. Wizzards in Detroit is a hole in the ground arcade that pretty much thrives only because they've got regulars, they've catered to the regular's taste for fighting games, and they keep comin back as a result.
You have to make it an experience that can't really be reproduced at home. Look at what DDR does for arcades that have it-people play it to death. That's the kind of thing that keeps arcades thriving in Japan. Problem is those types of machines tend to be pricey, so you may just end up leasing them, rather then buying.
LOCATION is pivotal. Put it somewhere that you'd have a fanbase. An area with alot of older folks is bad. A place with alot of younger folks, like a college town, thats good.
Finally, pricing. For fancier machines, people will be willing out shell out more money. But on older style machines, even if it's a newer title, people will generally be more apt to pay less. Remember, a quarter is just a coin-1 coin, someone is more willing to part with. Machines have a set limit as to how much they can bring in at any given price, so you have to figure out what to set what.
It's a pricey endeavor to get into, but if you know your shit, then yes, an arcade can still make it.
ubersaurus
04-15-2004, 07:04 PM
I also want to point out you don't need expensive games to making a unique gaming experience...if you're in the right area. Take the Stargate arcade in Texas, it's a small business arcade. It makes its money from the Texas fighting game scene. It panders to them, keeps the machines in great order, has tournaments, and the people come back to play there, because as any fighting game player can tell you, nothing is quite like playing other people in the arcade.
tyranthraxus
04-15-2004, 11:51 PM
I've thought of this too but I am on a different career path and unless I win
the lotto or completly destroy my career :roll: it will never happen. But I
can share you my thoughts most of which agree with whats been said.
Regarding the drug scene. That was pretty common in the 80s, less so
towards the 90s. Arcades were seedy areas, the pool halls of the late 20th
century. This changed as arcades changed towards being 'amusment centers'. Whether you tolerate this in and around your business is up to you.
Your location will decide this a lot for you. Personally I kind of miss that darker
element of arcades but then again I'm a shifty character :evil: If you're a
puritan then it will drive you nuts, ironically, drug dealing will lilkey attract
the teens and young adults you want in your store!!
Location: movie theatres seem pretty essential if you are going for the
family style arcade. In Vancouver the biggest arcade is in a huge mall next
to a silver city theatre. We also have some decent arcades downtown on
a street with a few theaters but lots of bars & nightlife. These arcades
aim for an adult audience. One of these has a stupid owner and has a
bunch of peep shows in the back that don't seem to get much business
and succeed only in keeping the under 18s out! Stupid!!! The other has
a large networked computer area which does awesome business.
I think for success you need to create a hang out atomposhere. Have it
in a bar with pool tables for example. Or have a small pizza & coke area
that sells 99 cent slices. Or you could have an arcade combined with say
a record store, a video game store, etc. But the above mentioned
computer network I think is great.
If you are going for the retro arcade I think an hourly charge and games on
free play. Or you could have a cover charge with a bunch of older games on
free play and a selection of pinballs and modern games that are pay to play.
Regardless of what style you want to set up and if you want a side business
there is one thing that most arcades and rpg geek shops overlook.
And thats vending machines. Gamers love their junkfood. Price it better
that your typical vending machine/corner store and you can make some
good money on coke & chips. Yeah you will have to deal with the mess
but I think it would pay for itself. Set up a recycle bin and you can collect
money on the can deposits!
Once you're set up & running. Encourage a community, be friendly and let
kids hang out. Have regular tournaments and prizes to foster a rivalry with
your regulars. And don't forget to spend some money a cycle in new games.
Its hard to do that nowadays since its a smaller scene but that was one of
the cool things for me back in high school. Every month there was some
new machines and we'd line up to play. Lineups aren't reality today but
different machines (new or old) keep it interesting and encourage come
backs.
My last advice is stock up on games that can't be done well at home. DDR
is the best example. Multiplayer games are more profitable and home
consoles are often a bit lacking in that. Fighters & racers are expected but
you could get some old gems for cheap - Rampart anyone? :D Air hockey and foosball are always great too.
Good luck! And let us know down the line what you decide.
chadtower
04-16-2004, 09:49 AM
If you are going for the retro arcade I think an hourly charge and games on
free play. Or you could have a cover charge with a bunch of older games on
free play and a selection of pinballs and modern games that are pay to play.
While this is a nice idea, explain to us how you would physically implement this. You can't exactly have someone going around asking someone what time they paid for their hour so they can be kicked out after 60 minutes...
downfall
04-16-2004, 10:22 AM
I was thinking about it some more last night, and I think I came up with another idea that could work very well if done correctly.
Pick like one day every month or two and run a special.. a $10 cover charge or something like that to get in all day (do the old hand-stamp thing or whatever), and just set everything up on free play. You pay the $10, you can come in and hang out and play games all day.
Again, like I said, you'd have to work out the kinks in that one, but that would be another cool thing to do to bring people in.
chadtower
04-16-2004, 10:28 AM
I was thinking about it some more last night, and I think I came up with another idea that could work very well if done correctly.
Pick like one day every month or two and run a special.. a $10 cover charge or something like that to get in all day (do the old hand-stamp thing or whatever), and just set everything up on free play. You pay the $10, you can come in and hang out and play games all day.
Again, like I said, you'd have to work out the kinks in that one, but that would be another cool thing to do to bring people in.
There are arcades that do this... I don't know how successful it is, though. I know there's a local arcade that offers certain times you can pay for unlimited DDR play. It's mostly nonpeak hours like wednesday afternoon and such.
AB Positive
04-16-2004, 10:41 AM
Oh man...
if you do the combo arcade store/Arcade... have one of those prize booths for tickets... but let the prizes be used/new video games! People don't like math, and will pay more than the price of a new game to play skeeball enough to get tickets for that "2500" ticket game behind the counter. Have cheaper used games right down to the 100 ticket level (genny/n64 loose sports games) and then under 100 get different types of penny candies...
This. must. be. done.
-AG
downfall
04-16-2004, 11:03 AM
This. must. be. done.
Let's all just pitch in and buy a big apartment complex, all move in, and put the arcade on the bottom! ;)
Seriously though, that's a great idea too. My thought was to do away with the ticket system since prizes are usually really crappy, but I believe that would work amazingly well!
Sanriostar
04-16-2004, 12:21 PM
Let's all just pitch in and buy a big apartment complex, all move in, and put the arcade on the bottom! ;)
I remember we thinking of building a 'Classic Gaming' Rest Home at one point.. but that might be Atari Age, or RGVC talk some years back...
tyranthraxus
04-16-2004, 07:53 PM
While this is a nice idea, explain to us how you would physically implement this. You can't exactly have someone going around asking someone what time they paid for their hour so they can be kicked out after 60 minutes...
People shuffle in and get an invoice/reciept. They pay on their way out.
This would really only work in the family-arcade idea. Have group rates, etc.
There is/was a retro arcade around here that operated that way but its been
years since I've been there since its out in the boonies. They seemed to cater to kids birthday parties and also hosted an RC race car course and
tournament. It sounds like a good idea but you're right I don't think its
really a great thing to actually try.
But I think a flat cover charge to get in would be easyto implement and
more profitable. $10 to get it. And you can squeeze more money with the
pay to play new games, pop & pizza.
You could also milk your costomers by having them buy non refundable
tokens. Of course you'd have to spend money getting your machines
swithced to tokens. I've also been in arcades that use debit card style swipes, also convientently non refundable O_O
Jasoco
04-16-2004, 08:27 PM
I've also been in arcades that use debit card style swipes, also convientently non refundable O_OOkay, I've heard of Token machines, but this is a new one to me. Arcade machines that take Debit Cards? Does it take Credit too? And does it require pin numbers or signatures? I would hope so, or else you'd have a lot of kids stealing their parents cards to play games.
I think I've been in an Arcade only a few times in my 24 years alive. All at amusement parks. I rarely played them. The only places that really got my coinage were the "Game Room" at the Roller Rink or the machine in the local restaurants. But not in a real Arcade..
How I missed out.
I saw Wrecking Crew for the first time in an amusement park arcade. I was like "Wow.. I have never seen this game before. Look! Mario!" I saw Bubble Bobble at a camp ground. I saw Rampage in the CN Tower.
tyranthraxus
04-17-2004, 05:11 PM
I didn't explain that enough. The cards are "debit card style". You buy a card worth X dollars and swipe the card at the arcade you want to play.
Jasoco
04-17-2004, 05:12 PM
I didn't explain that enough. The cards are "debit card style". You buy a card worth X dollars and swipe the card at the arcade you want to play.Ok. Now it all makes sense. Neat idea. Easier to carry than tokens.