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2 Arcade 101 The Fundamentals of Success Tools for Setting up your Arcade: How to make decisions on what to buy?, What's in, what's out Room Arrangement, Redemption Ordering, Prize Values Presented By Joe Ingui Tricorp Amusements Inc.
3 How to make informed decisions on Enhancing your Game Room? Arcade Game Equipment Redemption Merchandise Crane Merchandise
4 Evaluation of Arcade Game Room Equipment Game Category Mix Ticket Games, Merchandisers, Interactive Games, Video (50% Ticket, 20% Merch., 20% Video, 10% Other) Top (3) Games in each Category Best ROI Revenue report trends (Look to add to the top!) : Look to test games Bottom (3) Games in each Category (Lowest ROI based on revenue report trends) Check Pricing and Payouts Inspect Service Functionality Game Room Placement Consider Anchor Games that have both longevity and play value ( For Adults, Teens and Children)
5 What s In What s Out Ticket Games (Should be 50% of your game stations) Debit Card Systems provide for E-Points Find a Large Ticket Centerpiece for your Game Room Quick Coin Games? Consider Ticket Bundles in Cranes or Merchandisers Merchandiser/Cranes (Should be around 20%) Perceived Prize value will dictate Price Per Play Play til You Win Cranes Video 20% Motion Theater, Deluxe Cabinets Jurassic Park DLX, Dead Storm Pirate s, etc. Interactive Other 10% Basketball Games, Air Hockey, Boxer, etc.. Review your Game Mix every 3-6 months Move Games around within your space Review your Crane Merchandise every 2-3 months Review Redemption Counter Prizes EVERY Month!
6 Room Arrangements Draw patrons in with Eye Catching Games and Merchandise Prize Redemption Counter Make it 1st thing your patrons see on the way in and Last thing on the way out! Visibility is Vital! Important to keep sightlines throughout your room - Keep lower sized games out front Have Good Signage People don t want to feel uncomfortable asking silly questions. Cluster your categories of games Ticket games together Video - Cranes, etc Mix it up every year Rotate Games & Shampoo the carpets!
7 Redemption Prize Ordering Best Practices Use a Redemption Specialist from our industry Check the current market trends New Movies, Hot New Games, Must have Electronics, Licensed Merchandise, etc. Ask your suppliers for their Best Selling Top 10 Products Shop for Closeouts Last years Ipad s, Kindle Fire, TV s, Bikes Use Online Sites like Amazon, Ebay, Walmart.com, etc Visit your Competition and/or peers
8 Catering To Player Types
9 Demographics & Your Ideal Customer Cookie cutter assortment plans aren t for everyone (or anyone)!
10 Make your space useful
11 Inventory Tracking & DPL Control cost of sales
12 Inventory Tracking & Barcoding
13 Prize Values & Payouts Redemption Counter Mark up of 2.5x for low end goods and 1.25x for higher end goods Ticket Games Long Play Value Skill Games : 10-20% Short Play Value Skill Games: 35-40% Overall Average 25% Merchandisers & Cranes 20-30% Remember Winners Make Players! Enhance Your Customer Experience = Increase Customer Visits By Increasing Visitation you increase your Per Cap Spending!
14 Seek and You shall Find! Get Educated Annual Trade Shows IAAPA, Amusement Expo Attend FEC or Industry Conferences Visit with Industry Professionals Manufacturers, Distributors, Consultants, Competitors and Peers Read Industry Magazines and Journals Look to test games and evaluate both revenue and service performance Increase your Customer s Experience in order to Increase your Bottom Line!
15 Arcade 101 The fundamentals of success Tools for Managing Arcades Successfully: Game Card Systems, Reporting, Game Pricing and Managing Game Techs Presented By Jeff Ernst ACS Amusments
16 Game Card System Can you afford NOT to use a Game Card System? Tokens Unfriendly Token Machines Frustrating token jams Accounting Theft Vulnerability Operating Costs Play Card Ease of purchase and spend- no clunky tokens to carry Pricing flexibility Kids love new technology- just like Mom and Dad s credit card! Instant game reporting- identify service issues in real time Historical Data and marketing opportunities
17 Game Card System Increased Profitability Better Control Monitor Staff activity Self-Serve Kiosk- cards have no value Customer history tracking- reduce refunds E-tickets- manage payout Better Margins Lower redemption merchandise usage -Increase savings accounts Eliminate ticket cost Reduce labor cost Lower maintenance cost
18 Game Card System Increased Sales Increase Per Visit Spending Self-serve kiosk -Credit card purchases increase 20% Per game spend -One swipe vs inserting tokens Up sell purchase with bonus play POS mobile app
19 Game Card System Increase Value Package Products Time Play- unlimited play on selected games Attractions- add number of laser tag games Create combos- game play, attractions, and time play all on one card Example Party Package: 2 Go Kart Rides, 1 Laser Tag game, 1 rock wall climb and $20 Game Play
20 Game Card System Frequency Customer Loyalty Register Play Cards - Offer incentives - marketing VIP Club Memberships - Evaluate customer spending habits Set up Program - Award VIP card over $100 accumulative spend - 20% discount on all games - 2 free game plays per visit
21 Reporting Operations Game plays Game Activity Game payout
22 Reporting Evaluation Six week trend Game Performance
23 Game Pricing Value vs Point Based Perceived value Play value must be achieved Value based pricing Displays the currency format Easy to understand for the customer Less ability to disconnect customer from actual game price More appropriate in a value driven market Point pricing Displays a point or increment system- ex; $5=15 points, $10=30 points etc Creates a disconnect from pricing Caters to older age group
24 Managing Game Techs Techs Play a Vital Role! Hold Accountable Run the daily game reports Prioritize projects Preventative maintenance log book Tech solutions log book Set expense budgets Measure success Games out of service Game revenue performance Overall game appearance Parts and repair expenses Incentives Award bonus on benchmarks
25
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