Film-Tech Forum ARCHIVE: Video Games In Lobby

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Posted by Gary Davidson (Member # 2198) on 02-05-2004, 12:18 AM:

What is the consensus on video games in theaters? Considering the real estate they take up in the lobby, are they profitable? And what about the violence quotient, do patrons ever complain?

Posted by Ken Layton (Member # 133) on 02-05-2004, 01:23 AM:

In some locations they are very profitable.

Posted by Richard Cieplechowicz (Member # 1275) on 02-05-2004, 02:09 AM:

Our arcade does well; however the real money maker seems to be our new Dance Dance Revolution game. I am having to do crowd control on it. My staff is also crazy about it and I am making the money spent on payroll back as they play.

Posted by Aaron Sisemore (Member # 145) on 02-05-2004, 02:31 AM:

Most of our locations have dedicated game rooms rather than games hogging the lobby. Our games are handled by a former company employee who went from theatre co-ownership to running an amusements company.
The games can, as others have mantioned above be very profitable: I would rather have a lobby full of games for extra income than run rolling stock or have slide projector ads...

There have been only two complaints I can remember regarding games in one of our locations: The first was lodged in a letter to the editor to one of the local 'progressive' rags that they like to dump off at each location- The game that was complained about was 'Carn Evil', a twin-gun shoot-em-up where you shoot up zombies and other monsters- The complainant described: 'I saw children as young as maybe 8 or 10 shooting at 'human beings' [the zombies- to my recollection you cannot shoot any of the 'human' characters in this game] with an automatic weapon, I believe it was an Uzi [it is a pump shotgun] and as the body count racked up the child had a glazed look in his eyes as he continued on his rampage...' He went on about how all video games with guns should be outlawed and such... Granted this was shortly after Columbine, but still this guy was way over the top (and incorrect on many points in his description of the game).

The other was for the 'South Park' pinball machine: It was installed in the same week that 'South Park: Bigger, Longer, & Uncut' opened, and the game was set with the 'adult' language option. The game was there (played by adults kids and ven entire families!) for almost three weeks before someone finally complained, the language option was set to the G-rated version and the volume turned down.

-Aaron

Posted by Gary Davidson (Member # 2198) on 02-05-2004, 10:03 AM:

Thanks for that, guys. One other question: How do the video game companies charge for their machines? Do theaters pay a percentage on what they make? How much does a typical video game make for a theater?

Posted by Dino Panagiotopoulos (Member # 1579) on 02-05-2004, 10:45 AM:

Richard,

We've had the Dance Dance game since the day we opened 3 years ago and it has been the hottest game ever since. We get kids that will spend hours on it and I believe there was even a tournament hosted there (there is a DDR League in Windsor). Another game that will bring in large revenue (if you can put up with the noise) is Air Hockey because it doesnt require much skill at all and is fun. If you have a large ethnic community (Greeks, Italians and such) a wise investment would be a foosball table. Here in Windsor Foosball is the most popular game to play and also brings in a very large revenue to the theater.

Gary, in most places like here, the video game companies charge a 50/50 percentage of all video game revenue. Not bad considering you really dont have to do much to run them. They come in every so often and empty everything out, fix anything, and give you your cut and they are out. I wouldnt assume everyone as like this as some might charge differently. I would go and talk to as many amusement companies and see if you can try to bargain a little.

Posted by Gary Davidson (Member # 2198) on 02-05-2004, 10:52 AM:

Dino,

I'll take your advice and check out a few amusement companies. How much can you make a month on a machine, a couple of hundred bucks? Less than that?

Posted by Chris Markiewicz (Member # 1415) on 02-05-2004, 11:20 AM:

Video games can make a ton of money. If you have the space, I think the lobby is a better location than an isolated game room with no security camera [Mad]

At least in the lobby staff can keep an eye on the games so they don't get trashed as quickly...

Posted by Gary Davidson (Member # 2198) on 02-05-2004, 11:47 AM:

Chris, what dou you mean by a "ton of money?" We talkin' six figures here?

Posted by Dino Panagiotopoulos (Member # 1579) on 02-05-2004, 12:01 PM:

We are in a mall so we get tons of kids that are just hanging out that want to come in and drop some coin. As far as revenue goes, I just work in the booth so I wouldnt know any amount that comes in. Ive been there when they do come for a pick up and I see the amount of traffic the games get so I could imagine a few thousand dollars a month but this is just my location.

Posted by Gary Davidson (Member # 2198) on 02-05-2004, 12:16 PM:

Mmmm... interesting. Thanks, Dino.

Posted by Aaron Sisemore (Member # 145) on 02-05-2004, 12:51 PM:

Gary: The take per machine will of course vary depending on the age and size (a sit-down version of a driving game vs. the 'upright' version of the same game) of the machine and the clientele of the location is a factor as well, you aren't gonna see much profit from video games if they are in an arthouse (matter of fact many arthouse patrons hate having them in any location) compared to having them in a first run plex...

-Aaron

Posted by Travis Hubrig (Member # 1745) on 02-05-2004, 01:17 PM:

At our Seven plex, about $300. month average...
we have better months than others. We are also located in a mall. Our 3 machines are in the lobby.

We recently got a picture machine... piece of crap.
More trouble than the standard video games.

Posted by Mark Hajducki (Member # 1732) on 02-05-2004, 01:36 PM:

Whilst they make money they can also be trouble since non-patrons turn up to use them and it is harder to control who is in the foyer. In addition you get lots of people claiming that the machines 'swallowed' their money and wanting a 'refund'.

Posted by Gary Davidson (Member # 2198) on 02-05-2004, 02:08 PM:

How much do video machines typically charge the customer per game. Is it fifty cents?

Posted by Claude S. Ayakawa (Member # 1401) on 02-05-2004, 02:14 PM:

While video machines might be profitable for the theatres, I never liked them when they were placed in the now defunct Pacific Waikiki Twins in Honolulu. The Twins had a very beautiful lobby and looked classy until the machines went in. The chain's new Ward 16 that contributed to the demise of the Waikiki theatres also has a very beautiful and spacious lobby but there are no machines there. The machines are all in a separate gaming room where they belong and the kids using them appears to be having a lot of fun.

-Claude

Posted by Chris Hipp (Member # 1788) on 02-05-2004, 02:19 PM:

Most theatres charge at least $1 per game.

Im not sure about any legal issues with this idea, but you can build you own arcades froa bout $5-600 using a PC or console (Xbox, ps2 etc) and you could keep the profits and save money on the games. But it might be against the rules, jsut an idea.

Also, if your theatre is a trouble spot for kids to just hang around then a lot fo video games would be a bad idea. If you do have a problem then make sure the games are passed the point where you need a ticket. You do not want your customers to think that are going to an arcade or kid hangout that jsut shows movies on the side.

Posted by Daryl C. W. O'Shea (Member # 1303) on 02-05-2004, 04:12 PM:

One word: contactor

If you have to do some wiring to add receptacles for all of the machines, get a contactor (and separate panel) installed so that you can turn everything off with one switch / key. It makes shutting down at the end of the night so much easier (if the machines are left on after the last show the kids will never leave). It's especially handy if the circuit breakers aren't close by or aren't switch rated breakers.

As for people wanting a refund for a machine eating their money... using the amusement company's (or your own) tokens makes this a non issue since you just give them more tokens, which doesn't really cost anything unless your staff is stupid and gives them out like candy at a parade.

Posted by Robert E. Allen (Member # 1351) on 02-06-2004, 02:18 PM:

In our area I have given up the idea of putting a coin operated game room in a theatre I'm planning because when I was talking to the local distributor of those games last week he said the bottom had dropped out of the business for two reasons: home video games and the fact that our rural community charges a tax of $50 per machine per year. You might want to check with your community as those fees could sure eat into your profits.

Posted by Dennis Udovich (Member # 1066) on 02-06-2004, 11:42 PM:

We have six video games in the lobby in two different areas. Our cut is 50% and the vendor brings in the games, services them, counts the money, and gives us our share every two weeks. It's easy to make $800 and more per month. It is very important to get a report from the vendor showing what each game takes in. Switching to different games on a regular basis is important too. Some games get old after awhile, others keep bring in the money. My vendor gives me "refund" money if a problem occurs with a game. This doesn't happen often.

Posted by Nate Lehrke (Member # 1460) on 02-07-2004, 01:47 AM:

Not sure if his is more of a vending machine but in addition to the video games, the 50 cent merchandise machines are very popular. Theses machines offer variety of crap like: tattoo’s, stickers, necklaces, rings, glow sticks ECT for 50 cents. Just tonight I watched a young girl put 8 dollars in to try and get a certain ring!
Can’t remember what the contract on those are but I think it’s about 50/50 like the arcade games.

Posted by Jason Black (Member # 684) on 02-07-2004, 06:43 AM:

Nate,

SO called "impulse machines/toy dispensers are normally on a 60/40 split in the vendors favor. They do, after all, buy the merchandise inside the machines. Our setup is 66/34. We also get refund monies for failed games. If we did not, I wouldn't issue refunds at all. My stance is, it's not my machine but if you call the #800 on the game they will take care of you accordingly.

I know, I can hear it now... "but it's in your theatre lobby". to which my reply is this... I have ZERO direct control over the machines. No access, no knowledge of them, etc. Why should my company lose money due to the 1) improper operation of a sub'd out vending/game machine, 2)some kid not reading the fact that the game they're about to play takes $1.00 not .50?

Our old game company left keys with managers so that we coudl issue refunds from the coin boxes or fix bad coin drops. This was a very efficient system. I didn't mind fixing a down game, where I could, of course. After all, in reality, more money in the coin box means more money to me personally! Our past vendor was a great outfit to work with.. this new one.. well, let's just say they are there. [Eek!]

[ 02-07-2004, 04:06 PM: Message edited by: Jason Black ]

Posted by Chad Lindsey (Member # 2212) on 02-11-2004, 09:47 AM:

Regarding this Dance Dance Revolution game... does it create a noise problem? We have a rather small lobby, the space might be worth the money, but what about the disturbance?

Posted by Richard Cieplechowicz (Member # 1275) on 02-11-2004, 12:09 PM:

The volume controls on DDR can be adjusted to whatever volume you desire; however our game room shares a wall with the managers office and no matter how low the volume is you can hear the music and kids dancing on it. But it is well worth the headache. The money we make on the unit makes up for the money spent on asprin.

Posted by Thomas Procyk (Member # 1170) on 02-11-2004, 03:21 PM:

That "Dance Dance Revolution" has to be the absolute dumbest game I've seen. It's a disgrace to videogames, dancing, AND music. I can't even concentrate on my Ms. Pac Man game at the local arcade because that damn thing is blasting out repetitive beat after beat when no one is even near it. It's also huge and obnoxious with all of its lights and giant blinking speakers. I'd imagine this thing would be very annoying at a theater.

Another bad idea is air hockey tables. Our theater has two of them and they are the biggest moneymakers, but the slamming of the puck can be heard in the auditoriums. Even when we got the rubber "silent" pucks, you still hear the thumps...

Be careful who you get to "manage" your arcade games, and also make sure there's a contract or something that lets you choose the games or how often they change. The person who does our games is a nice guy, but a bad businessman. He'll come in, empty the games, rip off any "out of order" signs we put up (some games are ALWAYS out of order) and then leaves. We've had the same games for over 6 months. There are games no one plays that are still there. There are games where he took the front panels off to fix them, and left them that way for weeks.

Make sure you indicate where you want the games placed, too. "Wherever they fit" or "wherever there are plugs" will get them placed in the dumbest places in your lobby. (If the customers have to walk around a machine to get to the auditorium, it's a bad place!)

We have signs on all our games-- "NO REFUNDS, play at your own risk!" and every day, people complain that the machine took their money. That's the oldest trick in the book to get a free game, but they'll bitch until you give them their $0.25 weekly income back. The worst is when they say, "I put about two dollars in there and it still did nothing." I said to them, "Oh, the first two quarters weren't indication enough that it wasn't working?" They swore at me and left.

IMHO, theaters should only equip lobbies with "quick" games that people can play before a movie. A pac-man, galaga, some type of shoot 'em up, maybe a fighting game... but none of that crap that costs you dollar after dollar to proceed to the next level or those stupid driving games that take up so much room you might as well sell cars in the lobby instead of have videogames for extra profit.

=TMP=