How in the world does a modern U.S. arcade make money?

heh. Just looking back at the good ol’ days actually. We would play videogames in the same building where adults were drinking and playing pool and nobody ever said nothing because we KNEW what would happen if we tried to sneak in a brew. Asian hookers? Dammit. Now you’ve reminded me of Japan. A “Happy Ending” is if the bitch doesn’t have an adam’s apple and a schlong.

-Starhammer-

I guess that’s true, although the price still seems somewhat outrageous.

yeah, but using Acerbic’s PPV logic, that’s the same as them charging bars 10,000 dollars to show the event. Nobody would be able to make a profit off that.

I get that the components and cabinet and screen cost money, but no way can you tell me you need to charge 20,000 to make a profit as the developers. Lower the price, and more people would be able to find an arcade profitable, and thus more cabinets would sell.

I have the same problem with video games costing so damn much these days

Beat me to it.

the food thing is legit. people WILL BUY food.

honestly there is a game shop that does trading card games in my town (along with tournaments for them and tabletops and sell games, plsu they let us do sf tournaments…) they do TONS of business, TONS.
I would think combining that with a small arcade would work quite well.
There’s a startup arcade in my town, which is why I’m asking this, and I want to help them so badly. There used to be a bunch of good ones in town (these are arcades that had like multiple jp sit down tekken cabs, an svc cabs, new tekken, pool, and even hokuto no ken O_O) and there still is one- jungle rapids- though they don’t update much for obvious cost reasons, though they updated their tekken 5 dr machine to a japanese layout for some reason. they also couple it with a successful water park in the back and a “kids jungle” full of gimmick (money making) games, and food.
Wish they’d at least update the tekken cab. Heck in the nienties I even played power stone there… Arcade power stone. Who the heck else has even played the arcade version of that? Of course the nienties/early 2000s were when our arcades were really legit and updated their stuff constantly.

jr has potential to be good again (not like they don’t have the money), and im hoping this new one in Wilmington can be helped by me and my gamer pals, even if it’s just contributing money per play on games in an era that it is basically deemed unnecessary outside of newer titles that are not released yet, and even then some of those are leaked.

Selling crack? Sell beer and food They’re legal.

Also oddly enough the chuck e cheeses has a legit arcade though i will not step in there just for that lol. it had kof 11 when it was new actually. of course, as with most kof games, i was beaten by a random beastly hispanic dude who was there.

You combine the arcade with something else recreational like a bowling alley or mini golf. That’s how it’s done in Nor Cal.

If the game is new and popular it’s very easy to make your money back. ALL Nor Cal sf4 machine locations have made over the initial $20k back and have recorded profits.

Add a bar and redemption games like everyone else and you got something.

TL;DR - make cheap food and sell it higher, it will be your primary income. Have variety, not everyone there is going to play just fighting games. Find a cheap place to make an arcade, because you’re gonna need to invest money in games and not property tax.

Can’t speak for many arcades, but 80tB makes a good amount of money off of the infamous “break steak.” For $5 you get a Cheese steak, small drink and fries, which probably cost them about $0.75 to a dollar max. Then they have Deep fried waffle ice cream sandwiches, which costs them about a $0.50 to make and they sell it to you at $2.75.

Rhythm machines do very well on 8otb, they have tecknica, pump it up, ddr, a dj machine, a piano game, and a few others with names I can’t think of. They have a super-cade style machine which always gets hit from garou motw fans. They have initial D and a few other racing games so variety helps. Also there are pool tables in the back.

Also the tourneys (mvc3/ae) bring in people to buy food and play other games.

They have other events too, I think they had half price tuesdays, the games were already cheap like 50 cents for mvc2/3s and 75 cents for bbcs when it first came out, then they lowered it on tuesdays.

People can play games from the comfort of their own home whenever they wish or they can go out and wait in line for pay per play.

Which do you think they will choose?

Arcades are simply not viable anymore. They’re a stupid investment. As much as you may like them, things simply die off when they’re obsolete. There’s a reason no one makes eight-tracks.

the idea of a company raising the cost because your making money off it is nothing new, however they have priced themselves out of arcades. Instead of keeping prices inline with demand, they ust continue to raise them. It’s like how alot of gas guzzlers have marched off the car market since prices went up (how many hummers do you see these days, or excurssions?). You have to adjust. Instead they (coin-op) turned there heads on arcades…plain and simple. How much business do you have to have to make a SF4 machine profitable? Marinate on it - between he cost of maintenance, electricity, and management - how long will it take for you to just break ‘even’ on a SF4 machine. The prices are STILL out of wack. And with the emerging home markets, production and advertisement cost are covered on console sales.

  • :bluu:

which would you guys prefer, an arcade or a 24hr internet cafe with consoles that can be rented out for $6 an hour and shared amongst friends?

as far as i could tell, when i was in thailand that’s how every arcade machine was set up. games like burnout and sfIV were jsut the psn version modded to work as an arcade machine.

I’m a huge fan of Ground Kontrol here in Portland. It’s a “Barcade” with an emphasis on 40% Bar, and 60% arcade~ with an attempt at making that blend even more subjective. Racks are on the site of all the machines to hold your drink and maintenance of the machines and authenticity is completely guaranteed. None of the cabinets are knockoffs and it’s a totally retro style. Games from Dr Mario, to Super Turbo can be found. A six man Xmen arcade machine can be found in front of the bar. Tables and live music with cheap drinks and cheap food.

http://www.portlandmercury.com/imager/ground-kontrol/b/slideshow/3546292/942a/DSC_0154-570.jpg

http://www.portlandmercury.com/imager/ground-kontrol/b/original/3546312/ea3d/DSC_0258-570.jpg

http://www.lincolnbarbour.com/wp-content/uploads/2011/04/LincolnBarbour-GroundKontrol-01.jpg

It’s my belief that arcades can still exist in this world in a competitive market. As long as there is the love of the arcade intact, you find a good location with good youth walking traffic (Ground Kontrol is in Chinatown besides multiple universities) and you don’t price gouge your public. All of these games are pretty much a quarter. The priciest game being DDR at 50 cents for five songs. The entire second floor is also pinball machines, which always have dozens of people up there. The big draw being a chill place to hang out, beers from 1-2 bucks every night, and music on the weekends (they close like at 2-3am on the weekend) ranging from electronic, to retro game remixes and even metal on Sundays. Portland is a special city for this kind of place, I do have to take into consideration. People bike a lot in Portland~ it’s very green and hip to this kind of thing. I still think it can work elsewhere with the proper love and research. <3

This is lazy ass logic. Arcades have failed due a combination of things. Console gaming is only a small part (if a part at all). Peeps can drink Bud at home with their dog or they can go “wait in line for pay (much more) to drink” at a bar.

Arcades are failing because the arcade industry has a really shitty business model of selling an arcade machine for a million bucks instead of selling it at a small price with contracts to get a % of income off the game. If anything Capcom et. al. should basically franchise their games out. The lazy ass attitude of not promoting your games/'cade and/or crappy location/facility and not keeping shit current/in good working order hasn’t done the industry any favors either. Although combining games with other places peeps seem to go naturally seems to be working for some places. I’ve heard radio ads for local bars my entire life, never heard a single one for a local arcade unless Dave and Busters or Chuck E Cheese counts.

Basically arcades lamenting the home console is like Detroit lamenting Japanese cars. Japan didn’t force Detroit to be lazy and incompetent. Home console gaming and XBL etc. certainly don’t help but it’s stupid to blame it all or even a large % of blame on PS or XB.