The Purchasing Guide for Starting an Arcade (2024)

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Required Equipment and Materials

Most arcade owners will need the following equipment and materials to get started:

  • Arcade games ($20,000 - $100,000)
  • POS System ($300 - $2000)
  • Arcade tickets in bulk($30 - $64)
  • Arcade tokens($500 - $2000)
  • Various prizes for tickets($500 - $1000)
  • Ticket count machine($50 - $100)

You should plan to budget around $50,000 to $100,000 for initial purchasing costs, depending on the size of your arcade.Acquiring different arcade games will constitute the majority of your expenses.If you want to add an additional theme to your arcade, such as a barcade concept, you will need to budget for alcohol costs as well as the licensing fees for selling alcohol.

Sample List of Purchases

A typical person looking to purchase equipment for a arcade might make the following purchases:

Grand Total Estimate: ~$87,559.00

Picking the right game machines is arguably the most important buying decision you’ll make when starting an arcade. We outline the key considerations youwill need to keep in mind when making this purchase and provide some popular options.

Considerations When Purchasing Arcade Games

Develop a Theme That Fits Your Target Market

When thinking about the kinds of games you want to purchase for your arcade, it is important to think about your ideal customer.Are you trying to attract older audiences who like the nostalgia of playing classic arcadegames? Are you trying to attract families who may like more multi-player, family-friendly games? Or perhaps you are trying to attract youngsters who just want to have a hip spot to hang out.

Regardless of who you want to attract to your arcade, keep a theme in mind so you can focus your purchases and make the most of your startup budget.

New or Pre-Owned Games

Many used arcade games exist on the market. These can not only save you money, but also add a vintage feel to your arcade, if that is the atmosphere you aim to create.

Newer game machines can be more costly, but are sometimes more cost-effective in terms of maintenance fees. Both options have a wide range of variety as well.

Plan Your Space Wisely

You must keep your space limitations in mind when purchasing arcade game machines. There are a wide range of monitor sizes available, and when setting up the floor plan of your arcade games, keep in mind how your monitors will look and what the centerpiece of your arcade will be.

There are many types of game machine sizes, such as standup, upright machine or larger, sit-down type, or even a co*cktail table type. Plan to have around 50 sq. ft. per game, and leave at least 2 feet of space in front of each machine so that each player can have ample space.

Types of Video Games

Video Arcade Machines

These machines are the staples to any type of arcade business; the traditional video arcade experience include a range of classics. Examples include populargames such as Street Fighter and Pac-Man.

Pinball Machines

Another iconic staple of arcade gaming, pinball machinesare still a customer favorite, even when more technologically advanced games are around. You can get pinball machines that function mechanically, digitally or bysome combination of the two.

Redemption Games

Redemption games give customers incentives to keepwinning tickets in order toexchange them fora reward. A popular example of this type of game is Whac-A-Mole. This is a great component of arcade games and pushes customers to keep playing to win enough tickets for the prizes they want.

Interactive Games

One of the most popular interactive game is Dance Dance Revolution; this gets customers to play games that involve other body parts than their hands, and is a great option for more family friendly arcades. Other popular examples include Billiards and Air Hockey.

Merchandise Games

Merchandise games give immediate gratification for players upon completion.This includes the familiar crane and claw machine to obtain various plushies.These games areanother great arcade option for family audiences or young couples.

Best Places to Buy

Most arcade game owners will have to go make their purchases through a middleman distributor. Given the size of most arcade games, if there are no physical store in your area,then online distributors may be the way to go. Another option is to look up different arcade game brands and investigate their distributors nationwide. It is always helpful to be able to see machines in person first to ensure quality before making a purchase.

Primetime Amusem*nts

Thiswebsite offers comprehensive options for arcade games, from redemption games to classic video arcade games, and also has great resources for arcade owners. They offer mostly new games, and include a 90-day warranty with a no-return policy. The company also offers great shipping service options, as well as consultation.For new business owners, this may be a great option to start planning for your arcade.

Monkey Arcades

One of the biggest sources for used arcade games, Monkey Arcades offers a wide range of games at lower, more affordable prices. Monkey Arcades’ selection also allows owners to find discontinued classics, or create a more vintage feel to their arcade environment. However, as with all used items,machine quality can be questionable.Be sure tosee photos of machines and verify functionality before making a purchase.

BMI Gaming

Hailed as the world’s largest gaming superstore, BMI gaming offers an incredible selection of gaming options. Itsells some of the newest game machines on the market, and is a great option for owners who want to keep up with current trends.

Next Steps

Find out more about what goes into starting and running an arcade

Protect your personal assets from unexpected legal claims. Consider structuring your business as an LLC.

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The Purchasing Guide for Starting an Arcade (2024)

FAQs

How much does the average arcade profit? ›

PROFITABILITY OF ARCADES

On average, an arcade can rake in between $1,100 and $2,000 per week in profits. However, the exact figures depend on factors like location, operational costs, and the ability to attract repeat customers.

How much space do you need for an arcade? ›

Square Footage & Cost

Firstly, consider the size of your space and how many games you want to include. A moderate game room of 1,500 to 2,000 square feet can typically fit 20 to 30 games, costing the proprietor or supplier $250,000 to $350,000.

How much money do you need to start an arcade? ›

A new arcade game can cost between $3,000 and $8,000, while used machines might range from $1,000 to $5,000. For a diverse and engaging arcade, you may need at least 10-20 machines to start, leading to an initial game investment of $20,000 to $100,000 or more.

Do small arcades make money? ›

It can be very profitable and lucrative, with ROIs for games ranging from a couple of weeks to a couple of years.

Is an arcade a good investment? ›

Absolutely, the arcade is a wise and good investment! Gaming is more than a recreational pursuit that builds your social circle; it is also an economically rewarding venture. Arcades have experienced a revival as gamers seek entertainment options beyond the digital realm.

Do arcades make money? ›

Like anything, owning and operating arcades and arcade games can be highly profitable if you know what you are doing. Like any investment, you want to engage experts in the subject as there is a real science behind it.

How much do arcades make a week? ›

Average arcade game revenues range between $200 to $485 per game per week on an annualized basis. However, these numbers really depend on the type of facility you operate and how you present or market your attraction-mix to your target demographic.

How much does it cost to run an arcade business? ›

On average, you may need anywhere between $50,000 to $150,000 to get started, including lease expenses, game purchases, interior design, licensing, and marketing.

How much can your arcade make a day? ›

By the time you have all the machines, you'll be making roughly $5000 per in-game day, ten times as much as you did before. GTA Online also tells you every time you make a new day's worth of money, so you know when it's time to go back and collect the cash.

How to layout an arcade? ›

Think about the flow of traffic within your arcade. Place popular or larger machines in high-visibility areas to draw attention right from the moment patrons walk in. And there should be a logical, easy-to-follow path for customers to navigate around the arcade. For a cohesive experience, group similar games together.

How many cars can you store in arcade? ›

Arcade - 10 vehicles. Auto Shop - 10 vehicles. Casino Penthouse - 10 vehicles.

How much does it cost to build an arcade room? ›

Deluxe arcade room with additional amenities

Expect to spend anywhere between $25,000 - $55,000. This cost includes materials such as high-quality arcade systems and cabinets as well as added amenities like pool tables or sound systems. Keep in mind that this price can vary depending on location and desired features.

Can you make money running an arcade? ›

Starting an arcade is great for an entrepreneur looking for something new and exciting, and it could become very profitable if it is a success. However, running an arcade differs daily with all the experiences and attractions you can add to a location.

How much do arcade owners make? ›

Average arcade game room owner

You also incorporate additional revenue streams, like a snack bar or hosting birthday parties, and your total revenue climbs to $25,000 per month.

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