The term FEC has survived to this day. Unfortunately it perpetuates what is proving to be a dated legacy concept that still, for the most part, continues to define the industry \u2013 designing a center with a little bit of something for everyone in the belief that this strategy maximizes attendance and revenues. However, this now often results in a mediocre performing center that is not special to anyone, and particularly not appealing to adults.<\/p>\n
One variable that as changed over the years since the original indoor FECs first opened their doors is the decline in the proportion of the American population that are households with children. Between 1990 and 2014, the percentage of households with children has declined by one-sixth (17%). Furthermore, the choice family market, married-couples with children, has declined from over 3\/4s of all households with children to only 2\/3s. These demographic changes impact the old school formula\u2019s success since the family market is now smaller, while the adult-only market has grown (remember, the adult market includes adults who are part of the family market, but who come without their children).<\/p>\n
Today for sure, the adult market is a far larger market than the family market.<\/p>\n
This doesn\u2019t mean that old school family entertainment centers that primarily cater to families with children or only children centers still aren\u2019t viable. But it does mean the opportunities for those concepts are far more limited than in the past and basically restricted to dense and more upscale family with children markets.<\/p>\n Over those past almost three decades, as the result of demographic and cultural changes, we have seen an evolution in the industry based on the marketing Law of Division \u2013 that a category will divide into multiple categories over time. Today we have many new categories of centers targeting different niche markets.<\/p>\n What is trending today as the most successful formula with the highest revenues per square foot are centers designed for young and middle-age adults that include some combination of boutique bowling, gamerooms, laser tag and other social games along with destination dining and bars. Surprisingly, this is not really a new formula, as we\u2019ve had the Dave & Buster\u2019s<\/em> chain around since 1982, now at 83 units and growing. We\u2019re now seeing the rapid expansion of adult-oriented concepts including chains such as Pinstripes<\/em>, Punch Bowl Social<\/em>, Splitsville<\/em>, Lucky Strike<\/em> and Kings<\/em>, to name just a few, plus many independent centers.<\/p>\n What makes these centers far different than the family entertainment centers from back in the 1990s, besides targeting a narrower age group, is that the food and bar are no longer treated as concessions, but in most cases are anchor attractions generating around half the revenues. And although designed and operated as the centers for adults, a considerable amount a business still comes from families with children, at least school age and older, as a secondary market. That is a lot different than the family entertainment center model that targeted the family, so really didn\u2019t appeal to adults.<\/p>\n So what does the future hold? It holds success for centers designed for the adult market that include a combination of social games and destination food and beverage, as well as other specialized concepts targeting niche markets of sufficient size in their trade areas.<\/p>\n","protected":false},"excerpt":{"rendered":" Looking back through the history of the family entertainment center industry and predictions of what the future holds for its success. Continue reading ![\"Family](\"https:\/\/www.whitehutchinson.com\/blog\/wp-content\/uploads\/2015\/12\/Family-vs-adult-venues-infographic-copy.jpg\")
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