Family Entertainment Centers

There are many types of family entertainment centers, varying from very low cost facilities with inflatable toys for small kids to play all the way to multi-acre amusement parks and everything in between. Ultimately, an FEC is a facility that a family would visit, outside of their own, for entertainment purposes. Other terms you’ll hear when talking about FECs include:

Traditional FECs are built with a variety of attractions geared towards children. These attractions include: miniature golf, laser tag, soft play structures, arcade, and small rides. The food and beverage options consist of a very basic snack bar or nothing at all. These facilities cost $2 million dollars and more to open and can be very profitable.

Inflatable parks consist of warehouse style space with very inexpensive inflatable slides, bounce rooms, and other inflatable structures for smaller children to play on. These facilities will sometimes have an arcade or other attraction like Laser Tag. These types of facilities can be opened for as low as $200,000, but may not be as profitable.

Trampoline Parks have proliferated over the last 10 years primarily through franchise concepts such as: Skyzone, Urban Air, Launch and many others. The relatively low cost to open, as low as $1 million and high profitability in the early days, made this a concept that grew quickly.

The bowling business has been transformed in large part by the creation of bowling entertainment centers. Traditional bowling alleys have removed lanes or expanded to add arcades, laser tag, mini golf and/or other entertainment options. In addition to adding entertainment, these facilities improve their food and beverage options, furniture and add technology/ Bowling Entertainment Centers are often very profitable, though costs can range from $2 million to over $15 million to start one. Learn More.

The movie theater business has struggled more than other entertainment options. Many theaters are hedging their reliance on studios to drive movie business by adding bar, restaurant and entertainment to their theaters. The most popular model has been to add bowling and arcade, to keep theater guests there longer, drive additional visits to the building, and improve group and event business. Movie theaters are very expensive to remodel and build, these projects typically cost over $15 million dollars with some nearing $50 million.

Families traveling for vacation have always been a prime target for family entertainment facilities. In recent years, resort hotels have increasingly built properties designed to keep families on property for most or all of their visit. Great Wolf Lodge, Kalahari, and Camelback Lodge are all examples of resort hotels that have added water parks, arcades, laser tag, and other attractions to keep their guests on property spending money. These types of facilities are very profitable and continue to add locations.

No matter which type of FEC you choose to create, all of them have relatively high upfront costs. These businesses need larger spaces and have large expensive equipment in most cases. This means you will have significant upfront costs for equipment, significant real estate costs, and often financing costs to cover. 

However, these businesses also have high profit margins. Once you have paid for your real estate, equipment, and financing, your additional revenues are mostly profit. There is very little to no cost of goods sold and your labor costs don’t increase as fast as your revenue. 

There are two primary keys to driving this incremental revenue and high profits:

Learn about our extensive history in managing and developing entertainment spaces ranging from 3,000 to 150,000+ square feet, including single locations, small chains, and the largest chains in the country. Our projects span across various domains including bowling centers, restaurants, tourist attractions, and cutting-edge game rooms, showcasing our capability to handle a wide array of entertainment needs.

Pinnacle stands out as a leader in FEC consulting thanks to our unique perspective as both owners and operators. We bring several decades of high level operating experience which can only come from years of operating. Our experience operating as corporate executives, entrepreneurs and on behalf of our clients enriches our consultancy services, allowing us to provide practical, tested solutions that drive success and customer satisfaction. We are committed to pushing the boundaries of what FECs can offer, ensuring they deliver not only entertainment but also substantial business growth and community engagement.

Discover how we seamlessly integrate state-of-the-art Family Entertainment Centers into various venues such as movie theaters, bowling centers, and hotels. Our expertise also extends to designing standout standalone FECs that become beloved community landmarks, enhancing their appeal and functionality.