Laser tag is a fantastic attraction and a lucrative business. Whether you are building a standalone center or adding laser tag to an existing facility, there are six key success factors that will determine how well your investment performs: Location, Diversification, Arena Design, Equipment, Game Play, and People and Process. Getting any one of these wrong can significantly impact your bottom line. This white paper covers each of these areas in detail so you can avoid the most common mistakes.
1. Location
One of the most important decisions you will make is where to build your center. A good rule of thumb is to have a population of 80,000 - 100,000 people within a 10 - 15 mile radius. This gives you a solid base of potential customers to draw from on a regular basis.
Before committing to a location, take the time to identify and rate your competition. Visit their centers, evaluate their arenas, assess their equipment and service levels. Understanding what already exists in the market will help you position your center for success.
Shopping Malls
Shopping malls offer built-in foot traffic, which is a major advantage. However, there are trade-offs to consider:
- Rent - Mall rent is typically higher than other location types. Multi-level arena designs can help you maximize playable space in a smaller footprint.
- Opening Hours - Malls often dictate operating hours. Try to negotiate exemptions so you can run private events and corporate bookings outside standard mall hours.
- Foot Traffic - The bigger and busier the mall, the more walk-in customers you will attract. Impulse visits are a significant revenue driver in mall locations.
Industrial Areas
Industrial areas typically offer cheaper rent, making them attractive if you want a larger arena without paying premium prices. Look for clusters of entertainment businesses nearby - bowling alleys, skating rinks, or go-kart tracks - as these draw customers who are already looking for fun activities.
Residential Suburbs
Suburban locations put you close to your core audience - families with children. Laser tag is a destination business, so customers will travel to you if the experience is worth it. Class B real estate works well for this type of location, keeping overhead manageable while remaining accessible.
Entertainment Hotspots
Setting up near other non-competitive entertainment services is a proven strategy. These areas have already been market-tested, and the local population already associates them with leisure and fun. You benefit from the traffic that surrounding businesses generate.
Tourist Destinations
Tourist areas can provide a steady stream of new customers, but they come with higher rent and seasonal income fluctuations. Plan your financials carefully around peak and off-peak periods. Multi-level arena designs help you get more playable space from a smaller, more expensive footprint.
City Centers
City center locations share many of the same challenges as tourist destinations - primarily high rent. Locate near other entertainment venues to benefit from shared foot traffic and the established reputation of the area.
Parking
Do not overlook parking. Your parking needs to be close, sufficient, and safe. Families with young children will not want to walk long distances, especially at night. Check your local authority requirements for parking ratios and accessibility standards.
2. Spreading Your Risk - Diversification
Family Entertainment Centers (FECs) that combine multiple attractions consistently outperform single-attraction venues. Common combinations include laser tag with bowling, skating, go-karts, climbing walls, soft-play areas, trampoline parks, mini-golf, and skating rinks.
There are three key reasons why diversification works:
- More to do - Customers have a wider range of activities to choose from, increasing the chance they visit in the first place.
- Longer visits and wider catchment - When there is more to do, customers stay longer and are willing to travel further to reach you.
- Shared facilities - Multiple attractions can share reception areas, party rooms, and common spaces, reducing your per-attraction overhead.
Birthday Party Rooms
In North America, over 50% of customers come through birthday party bookings. Having dedicated, well-equipped party rooms is essential. Make sure they are bright, clean, and easy to manage for your staff.
Arcade Machines
Arcade machines are a low-risk addition to your center. Many suppliers offer revenue-share arrangements, meaning you do not need to purchase the machines outright. They keep customers entertained between games and generate additional revenue with minimal effort from your team.
3. Designing a Great Experience
Your arena is the core of the customer experience. It is critical to involve people who are passionate about laser tag in the design process. Work with both an architect and a laser tag expert to make sure the space is functional, safe, and exciting.
Arena Interactivity
Electronic devices built into the arena walls - such as base stations, targets, and interactive panels - add depth and excitement to the game. They give players objectives beyond simply tagging other players and keep the experience fresh across multiple visits.
Arena Theming
Theming transforms your arena from a dark room with barriers into an immersive environment. Options range from specialist theming suppliers and professional artists to creative DIY approaches. The level of investment depends on your budget, but even basic theming makes a significant difference to the customer experience.
Lighting
Lighting is a critical element of arena design. Consider the following:
- Emergency lighting - Required by fire codes in most jurisdictions.
- Black lights (UV) - The foundation of most laser tag arena lighting, making fluorescent paints and equipment glow.
- Special effects lighting - Strobes, spotlights, and colored LEDs add atmosphere and excitement.
- DMX control - Allows you to program and synchronize lighting effects with game events for a more dynamic experience.
Sound Systems
A good sound system enhances the atmosphere and can be used to deliver in-game audio cues, background music, and announcements. Invest in a system that can fill the arena with clear, powerful sound without distortion.
Multi-Level Arenas
Multi-level arenas are more exciting for players and allow you to maximize your playable area within a given footprint. They are especially valuable in locations where floor space is expensive, such as shopping malls and city centers.
The Lobby
Your lobby is the first thing customers see. Make it modern, bright, and welcoming. Many operators make the mistake of designing a lobby that only appeals to children. Remember that the 20-plus age group is a significant and growing segment of the laser tag market. Your lobby should appeal to adults as much as it does to kids.
4. Bulletproof Equipment
Your equipment is what customers interact with directly. Reliability is paramount - nothing kills repeat business faster than equipment that breaks down during a game.
Look and Feel
Your phasers and vests should not look or feel like cheap toys. Today's customers are video gamers who expect a certain level of quality and sophistication. Equipment that incorporates video game elements - such as LED displays, sound effects, and responsive feedback - will resonate with this audience.
Ease of Use and Weight
Keep in mind that younger children are a major part of your customer base. Equipment needs to be lightweight enough for smaller players to handle comfortably and intuitive enough that staff do not need to spend excessive time explaining how it works.
Arena Components
Beyond phasers and vests, your arena equipment includes several key components:
- Base stations - Stationary targets that teams must attack or defend.
- Wall targets - Interactive targets mounted throughout the arena to add variety to gameplay.
- Laser shooters - Fixed or moving devices that shoot at players, adding an unpredictable element.
- Gateways - Used to control player flow and add tactical elements to the arena layout.
- Video base stations - Screens integrated into the arena that display objectives, scores, or visual effects during gameplay.
Ease of Repair
When equipment does need servicing, the process should be fast and simple. Look for systems that offer:
- Plug and play components - Swap out a faulty part in minutes rather than hours.
- Labeled sockets and connectors - So staff can identify and replace components without specialist knowledge.
- Comprehensive manuals - Clear documentation for troubleshooting and maintenance.
- Wireless upgrades - The ability to update firmware and software without physical access to each device.
- Web portal - Remote diagnostics and management tools that let you monitor equipment health from anywhere.
5. Game Play
Game depth and variety are essential. Your customers are video gamers - they expect a range of game modes, not the same experience every visit. Offering multiple game types keeps the experience fresh and gives customers a reason to come back.
Games Per Hour
How many games you run per hour has a direct impact on revenue and customer satisfaction:
- 1 game per hour - Not recommended. Customers feel they are not getting enough value, and your revenue per hour is limited.
- 6 games per hour - Achievable with multi-game pricing models. This maximizes throughput but requires efficient turnaround between games.
- 3 - 5 games per hour - The most common range. This balances customer experience with operational efficiency.
Membership Software
Membership software allows you to track repeat customers, offer loyalty rewards, and build a long-term relationship with your player base. It also provides valuable data on customer behavior and preferences that you can use to optimize your game offerings and marketing.
6. Repackaging Games
Packaging laser tag games is not a new concept. The basic premise is that the more games that are purchased, the cheaper the price. Delta Strike examines different packaging formats from the perspective of increasing catchment area and maintaining or increasing income.
Discounted Combo Packages
Example A (4 games per hour, 10 min game, 5 min changeover):
- 1 game - $7 / 15 min total visit
- 2 games - $12 / 30 min total visit
- 3 games - $15 / 45 min total visit
This model provides customers with 15 minutes of game time but they are encouraged to buy more than one game by the discounted pricing. By purchasing a package, they will increase the duration of their visit to 30 or 45 minutes, thereby doubling or tripling your current catchment area.
Example B (5+ games per hour, 9 min game, 3 min changeover):
- 1 game - $6 / 12 min total visit
- 2 games - $10 / 24 min total visit
- 3 games - $13 / 36 min total visit
Introducing Breaks Between Games
Including breaks between games is a powerful strategy. A two game purchase plus a 15 minute break means that entertainment time increases from 30 to 45 minutes. This is a 50% increase in duration and will result in a corresponding increase in catchment area of over 100%. The three game package increases entertainment time by 66%, which equates to a 175% increase in catchment area.
The break between games is an excellent opportunity to earn extra income from arcade and redemption games. Your center will also look a lot busier since your customers stay longer. A rule of thumb for entertainment businesses is that if a center looks popular, it becomes popular.
Good People and Good Process
Imagine a laser tag center that is fun, dynamic, clean, tidy and the games are always on time. Your customers will leave with some great memories. Customer satisfaction is all about the day to day operations within your center. Choosing the right staff and utilizing superior business systems will ensure your business exceeds your customers' expectations.
Employing Staff
Choose employees for their attitude first and skills second. Up-skilling is far easier than trying to improve someone's work attitude later on. Laser tag is very much a customer based business and it is important to select front line staff that have a respectful and friendly disposition. Throw in honesty and initiative, and you now have a crew that will make a huge difference to the life and success of your business.
Your most important employee is your Center Manager. If you get it wrong your business will suffer. A bad attitude at the top will filter all the way down to unhappy customers and lost profits.
Business Systems
Once you have an excellent team, you can close the loop with fantastic business systems. Research franchise management, follow their lead and ensure that your laser tag business is well systemized. Everything is done correctly and on time resulting in your customers having nothing but great things to say about your business.