Family Entertainment Centers Market

Global Family Entertainment Centers Market Size (2024 to 2029)

The global family entertainment centers market is projected to grow at a CAGR of 10.2% from 2024 to 2029 and the global market size is expected to be worth USD 56.24 billion by 2029 from USD 34.60 billion in 2024.

Current Scenario of the Global Family Entertainment Centers Market

Family entertainment centers (FECs) are small amusement parks or entertainment zones that mainly serve local communities in small and large cities. FECs are designed to keep the entire family engaged, usually at a much lower per-person price than a regular amusement park. It provides different options like arcades, gaming consoles, video games, soft play areas, indoor playground systems, redemption machines, children's rides, skill-based machine games, and games based on virtual and augmented reality. According to the report 'An Ericsson ConsumerLab Insight,’' published by Telefonaktiebolaget LM Ericsson, most of the surveyed gamers anticipate growth in the gaming industry mainly due to the utilization of AR. AR technology is also estimated to rise by 67% in the next five years. FECs also offer private celebrations like birthday parties and corporate events, and they are attractively located in areas like malls, where consumers generally visit. Various facilities provided by the entertainment centers are gaining traction among youth and children, contributing to significant market growth in the past years.

MARKET DRIVERS

The growing disposable income, availability of diversified gaming and entertainment options, and favorable youth demographics are some of the major factors propelling the global family entertainment centers market growth.

Moreover, the continuous introduction of the latest FECs supporting family activities, F&B integration, participatory play, substantial rising investments by malls, and a combination of new technologies like virtual reality gaming, 3D technology, and others offer opportunities to expand the market. As per the report, IT Industry Outlook published by CompTIA Properties – virtual and augmented reality are among the top 20 emerging technologies. The increasing advancements in the latest technologies used in the entertainment and gaming industry will bolster the global market revenue in the coming years. The primary target audiences of the family entertainment centers are children between 8 and 14 years of age and their parents. The growing population pool in the Asian regions, the rising disposable incomes of the people, and the growing trend of unique experiences among youth are majorly driving market value growth worldwide. 

The escalation in the significant changes in customer preference for special event celebrations is raising the standards for the family entertainment centers, leading to growth opportunities. The availability of various entertainment and celebration facilities at these centers is gaining people's attention for parties, birthdays, events, and celebratory gatherings, which promote market growth opportunities during the forecast period. The market players ' implementation of various market strategies, like the introduction of overall packages for families, friends, and colleagues and various loyalty schemes to offer ads and special discounts, are propelling the global market share due to increased visits by people.  

MARKET RESTRAINTS

The high costs associated with the initial establishment and maintenance are the major factors restraining the family entertainment centers market. As the family entertainment centers provide various facilities like games, food, and arcade studios, the costs for the machinery and the need to maintain advanced technologies are all estimated to be challenging for the market players. Companies need help to continuously meet customers' demands when seeking new and updated entertainment options. The continuous increase in ticket prices is expected to hamper the market growth as it is tough for middle-income families to afford. Various strict regulations regarding food and entertainment activities concerning safety and effectiveness are expected to limit the introduction of new strategies that hinder market expansion. Another primary factor impedes market revenue is repeatedly attracting customers, as the entertainment centers cannot make instant and continuous changes. 

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Family Entertainment Centers Market Analysis By Demographics

The families with children (9-12) and teenagers segments are the most revenue-contributing segments to the global market, and the same trend is likely to continue over the forecast period. The families with children (9-12) segment dominates with a significant share because 60% of the visitors are school-aged kids who are more enthusiastic and coordinated, which drives the segment growth. 

The teenagers segment is estimated to grow fastest during the forecast period. The growing trend of arcade games and amusement parks is enhancing teenagers' interest, leading to global market growth. 

Global Family Entertainment Centers Market Analysis By Revenue Source

The entry fees and ticket sales sector led the overall family entertainment center market, and this trend is estimated to continue throughout the period. The ticket prices for entry are high and mandatory, which enhances the market revenue. The presence of specific packages for families and friends with different price ranges is the most widely adopted type, contributing to the expansion of the market revenue.  

The food and beverage sector is expected to expand the most, owing to the rise in the availability of various food options for kids and adults. Furthermore, individuals also prefer family/indoor entertainment centers as a location of choice for corporate parties and birthday parties for children and adults. This trend escalates revenue generation from the food and beverage segment in family entertainment centers. The market players focus on introducing premium food to gain people's attention and accelerate market growth opportunities. 

Global Family Entertainment Centers Market Analysis By Facility Size

The 20,000 to 40,000 sq. ft segment dominated the global market. Most small and medium family entertainment centers are established in a minimum 20,000 sq. ft area, which drives the segment growth. Most of the major market players are establishing their facility in 1 to 2 acres, which is expected to accelerate the 1 to 10 acres segment growth in the coming years as the market players plan to incorporate dining and entertainment facilities, which require more land space. 

Global Family Entertainment Centers Market Analysis By Application

The arcade studios segment held a significant revenue proportion in the family entertainment centers market. The increased adoption of technology and the growing popularity of animation and 3D graphics are gaining more attention among children, leading to segment growth. The growing interest of people in creativity and films is enhancing the rise of arcade studios' revenue, leading to market growth.

The AR and VR Gaming zones segment is projected to grow at the fastest rate in the coming years due to game technological advancements. 

Global Family Entertainment Centers Market Analysis By Type

The children's entertainment centers segment dominated the global market revenue with a prominent growth rate. Most schoolchildren visit entertainment centers, which are incorporated with various recreational facilities and games. These engaging activities are expected to develop the children's social skills, ensuring active learning. 

Adult entertainment centers are gaining traction due to the growing technological facilities they provide, attracting youth for socialization and entertainment purposes.   

REGIONAL ANALYSIS

The North American region dominated the global market revenue as it recorded the highest revenue from the United States. The presence of various key market players in the U.S., higher adoption of technological advancements, and favorable infrastructure are boosting the expansion of the family entertainment centers market in the North American region. According to the Ease of Doing Business report published by the World Bank, the United States is second in doing Business. The growing urbanization and the number of teenagers seeking interest in gaming are driving the growth of the regional market size. The escalating establishments of the many malls in the U.S. and Canada, where the presence of entertainment centers is attracting people, positively impact the expansion of the market revenue across the region. 

The Asia Pacific region is projected to have a significant growth rate during the forecast period due to rising technological advancements and the adoption of urbanization in countries like Japan, China, and India. The region is becoming another hub for various Businesses due to the growing economic standards of various countries, which is approximately the impact of the regional market expansion. The growing population and rising disposable incomes allow them to spend on entertainment, fueling the market growth opportunities.   

KEY PLAYERS IN THE FAMILY ENTERTAINMENT CENTERS MARKET

Companies playing a significant role in the global family/indoor entertainment centers market are Dave & Buster's, CEC Entertainment, Inc., Cinergy Entertainment, KidZania, Scene 75 Entertainment Centers, The Walt Disney Company, Lucky Strike Entertainment, FunCity, Smash Entertainment Pvt. Ltd., and LegoLand Discovery Centre.

RECENT HAPPENINGS IN THE GLOBAL FAMILY ENTERTAINMENT CENTERS MARKET

• In April 2024, Dave & Buster's, the ultimate entertainment, restaurant, and sports-watching destination for families and friends, leveled up its food offerings by launching a new dine-in menu with 20 premium food and drink items. 

• In December 2023, Cinergy Entertainment announced a Movie & Games membership program called Cinergy Elite Plus. 

• In June 2023, TVS Racing announced the launch of its first virtual championship at KidZania Experience Zone. The two-month-long championship will be based on the young riders on racing simulators, assembly zones, and design challenges at TVS Racing experience centers. 

• In September 2023, Spectrum Metro, an India-based commercial project, launched a 70,000 sq. ft. family entertainment center. Spectrum Metro is a hub for family entertainment and recreational activities, combining an amusement park and sports activities.  

• In April 2022, Dave & Buster's, a family entertainment firm headquartered in the United States, acquired Main Event. Main Event is a family entertainment firm based in the U.S. This acquisition is to expand the company portfolio across the region. 

• Mattel introduced the launch of multi-branded family entertainment centers for the Barbie, Mega Construx, and Hot Wheels brands. The centers aim to offer children ages 4-10 immersive, hands-on play and entertainment experiences that leverage classic Mattel imagery. They combine physical and digital play experiences to provide a hybrid experience.  

• Cirque du Soleil Entertainment Group confirmed the addition of family entertainment centers to its existing list of creative projects. The company implemented an innovative indoor family entertainment experience mainly designed for local neighborhoods. The recreational centers will provide a new immersive, creative, and participative family experience, where people can stretch their imagination, flex their muscles, explore newfound circus skills, and bow on the virtual Cirque du Soleil stage.

DETAILED SEGMENTATION OF THE GLOBAL FAMILY ENTERTAINMENT CENTERS MARKET INCLUDED IN THIS REPORT

This research report on the global family entertainment centers market has been segmented and sub-segmented based on demographics, facility size, revenue source, application, type and region.

By Demographics

• Families with Children (0-8)

• Families with Children (9-12)

• Teenagers (13-19)

• Young Adults (20-25)

• Adults (Ages 25+)

By Facility Size

• 5,000 sq. ft.

• 5,001 to 10,000 sq. ft.

• 10,001 to 20,000 sq. ft.

• 20,001 to 40,000 sq. ft.

• 1 to 10 acres

• 11 to 30 acres

• over 30 acres

By Revenue Source

• Entry Fees & Ticket Sales

• Food & Beverages

• Merchandising

• Advertisement

• Others

By Application

• Arcade Studios

• AR and VR Gaming Zones

• Physical Play Activities

• Skill/Competition Games

• Others

By Type

• Children’s Entertainment Centers (CECs)

• Children’s Edutainment Centers (CEDCs)

• Adult Entertainment Centers (AECs)

• Location-based VR Entertainment Centers (LBECs)

By Region

• North America

• Europe

• Asia Pacific

• Latin America

• Middle East and Africa