Introduction: Is Starting an Arcade Business Still Profitable?
Yes—when done correctly, starting an arcade business in 2025 can be highly profitable.
Modern arcades are no longer just rows of coin-operated machines. Today’s successful arcade businesses combine:
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Arcade machines & claw machines
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Racing and shooting game machines
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VR and interactive attractions
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Cashless payment systems
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Smart arcade management systems
With the right planning and a turnkey arcade solution, even beginners can launch a scalable and profitable arcade or Family Entertainment Center (FEC).
This guide explains exactly how to start an arcade business step by step, even if you have no prior experience.
Step 1: Choose the Right Arcade Business Model
Before buying machines, you must define what type of arcade business you want to run.
Popular Arcade Business Models
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Classic Arcade – racing games, shooting games, redemption games
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Claw Machine Store – high ROI, low labor, small space
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Family Entertainment Center (FEC) – arcade + kids + prizes
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VR Arcade – premium experience, higher ticket price
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Mall or Tourist Arcade – high foot traffic, fast ROI
💡 Beginners are often advised to start with:
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A small arcade (50–150㎡)
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A claw machine + arcade hybrid
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Or a modular FEC setup
Step 2: Market Research & Location Selection
Location is one of the most critical success factors.
Best Locations to Start an Arcade Business
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Shopping malls
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Commercial streets
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Resorts & hotels
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Tourist attractions
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Cinema complexes
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Residential communities
Key Location Factors
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High foot traffic
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Target audience (families, teens, tourists)
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Reasonable rent-to-revenue ratio
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Power supply & ceiling height
📊 A good arcade location can increase revenue by 30–50% compared to a poor one.
Step 3: Plan Your Budget & Startup Costs
Typical Arcade Startup Cost Ranges
| Arcade Size | Budget Range |
|---|---|
| Small Arcade | $8,000 – $30,000 |
| Medium Arcade | $30,000 – $50,000 |
| FEC Project | $50,000 – $300,000+ |
Main Cost Components
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Arcade machines
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Claw machines
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Arcade management system
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Payment system (card / QR / hybrid)
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Interior layout & branding
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Installation & logistics
💡 Using an arcade turnkey solution helps control costs and avoid mistakes.
Step 4: Select the Right Arcade Machines
Choosing the correct machine mix determines your ROI and customer retention.
Best Machines for Beginners
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Claw machines – stable income, easy operation
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Racing game machines – high attraction, multiplayer appeal
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Shooting game machines – strong engagement
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Redemption games – ideal for families
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Kids arcade games – steady daily revenue
A balanced machine mix improves:
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Play frequency
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Dwell time
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Average spending per customer
Step 5: Install an Arcade Management System (Critical Step)
A modern arcade cannot operate efficiently without a system.
What Is an Arcade Management System?
Also known as:
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arcade management software
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FEC management system
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arcade POS system
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smart arcade system
It allows you to:
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Manage all machines centrally
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Enable cashless payments
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Track real-time revenue
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Adjust pricing remotely
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Analyze machine performance
📈 Arcades using a management system typically see 15–30% higher revenue.
Step 6: Design Layout & Customer Flow
Good layout = higher revenue per square meter.
Layout Best Practices
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High-earning machines near entrance
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Claw machines in visible clusters
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Racing & shooting games as visual anchors
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Clear walking paths
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Prize area placed strategically
Professional suppliers provide:
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Floor plan design
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Zoning strategy
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Machine placement optimization
This is part of a game center total solution.
Step 7: Installation, Testing & Staff Training
A proper opening requires:
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Machine installation & calibration
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Management system setup
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Payment system testing
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Staff training (daily operation & maintenance)
Choosing an arcade complete solution supplier reduces downtime and technical risks.
Step 8: Legal, Licensing & Compliance
Requirements vary by country, but usually include:
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Business registration
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Amusement operation license
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Electrical & safety compliance
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Payment system approval
A local partner or turnkey supplier can guide compliance.
Step 9: Marketing & Grand Opening Strategy
Effective Arcade Marketing Ideas
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Free credits on opening day
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Membership bonuses
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Social media check-in rewards
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Birthday & party packages
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School & family promotions
💡 Loyalty programs integrated into the arcade POS system boost repeat visits.
Step 10: Monitor Performance & Scale Your Arcade
With a smart arcade backend system, you can:
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Identify top-performing machines
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Replace low-ROI games
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Expand machine quantity
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Open additional locations
Many successful arcade owners start with 5–10 machines and scale into full FEC projects.
Why Choose a Turnkey Arcade Solution as a Beginner?
A turnkey arcade solution includes:
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Arcade machines
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Arcade management system
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Payment system
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Layout design
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Installation & training
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After-sales support
Also known as:
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arcade one-stop solution
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arcade full setup solution
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FEC turnkey project
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amusement center turnkey solution
This approach saves time, money, and costly beginner mistakes.
FAQ
Is starting an arcade business profitable for beginners?
Yes. With the right location, machines, and management system, many arcades reach break-even within 6–12 months.
How many machines do I need to start an arcade?
You can start with as few as 5–10 machines and expand gradually.
Do I need staff to run an arcade?
With a cashless arcade management system, staffing requirements are minimal.
What machines generate the highest ROI?
Claw machines, racing game machines, and shooting game machines are among the highest ROI options.
Should I buy machines separately or choose a turnkey solution?
Beginners are strongly advised to choose a turnkey arcade solution for faster setup and lower risk.
Conclusion: Your First Arcade Starts with the Right Partner
Starting an arcade business is no longer just about buying machines—it’s about systems, strategy, and scalability.
With:
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The right business model
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A smart arcade management system
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A professional turnkey solution supplier
Even beginners can build a profitable and sustainable arcade business.
📩 Contact BLEE to get a customized arcade business plan, machine selection, and complete arcade setup solution for your market.
