Opening your first arcade or family entertainment center (FEC) can feel thrilling — flashing lights, happy customers, and the dream of a profitable, fun-filled business.

However, behind that excitement lies a challenge: many new arcade owners lose money or fail within the first two years, not because the concept doesn’t work, but because of avoidable mistakes in planning, budgeting, and operations.

As one of China’s top arcade machine manufacturers and FEC solution providers, EPARK has worked with hundreds of new arcade owners worldwide. Based on those experiences, this guide reveals the 10 most common mistakes and, more importantly, how to avoid them.

1. Skipping Market Research

Many new owners jump straight into buying machines and signing leases without analyzing their target audience, local competition, and market potential.

The Problem:

Without understanding who your customers are — families, teenagers, or young adults — you might invest in the wrong type of games or location.

How to Avoid It:

• Visit nearby arcades or indoor parks to observe traffic and pricing.

• Research demographics (income, age, habits).

• Conduct small surveys or online polls.

• Use EPARK’s consulting service for feasibility and game selection advice.

A well-researched plan means your investment is guided by real data, not gut feelings.

2. Choosing the Wrong Location

Even the best arcade fails if hidden in the wrong place. Location = traffic + visibility + accessibility.

The Problem:

Some owners pick cheap rents far from foot traffic, while others overspend on premium malls where rent eats all profits.

How to Avoid It:

• Balance rent cost vs. expected daily visitors.

• Choose visible areas — malls, tourist spots, or mixed-use developments.

• Check parking, public transport, and lighting.

• EPARK can help assess space requirements (from 100 m² to 2000 m²) based on your goals.

A well-placed 500 m² arcade in a medium mall can outperform a huge venue with poor visibility.

3. Over- or Under-Investing in Machines

The Problem:

Many new owners either:

• Buy too many expensive simulators and run out of capital, or

• Buy only low-cost machines that fail to attract customers.

How to Avoid It:

• Plan a balanced machine mix: redemption (40%), sports (20%), kiddie (20%), VR/interactive (20%).

• Start with 70–80 machines for 1000 m² space.

• Use reliable, CE-certified manufacturers like EPARK to ensure quality and technical support.

EPARK also provides custom game lists and 3D layouts so you can visualize your venue before buying.

4. Ignoring Cashless Payment Systems

Coins and tokens used to rule arcades, but they create long queues, high labor, and accounting errors.

The Problem:

Relying solely on coins makes operations slower and harder to track.

How to Avoid It:

• Switch to a card-based or QR cashless system.

• EPARK’s cashless arcade solution integrates payment, data tracking, and loyalty rewards.

• Offer both options initially (coins + card) to transition customers smoothly.

Cashless systems simplify management and boost average spending by 15–25%.

5. Poor Space Planning and Layout

The Problem:

Without professional layout design, you may end up with dead zones, overcrowded areas, or machines blocking visibility.

How to Avoid It:

• Divide zones: racing, redemption, kids, prize area, rest area, snack zone.

• Maintain at least 1.2 m between machines for comfortable flow.

• EPARK offers free 2D and 3D layout designs with each project.

A good layout increases playtime, reduces maintenance headaches, and improves the visitor experience.

6. Neglecting Machine Maintenance

The Problem:

Machines that break down frequently lead to customer frustration and lost revenue.

How to Avoid It:

• Train staff for basic maintenance.

• Keep spare parts on site (EPARK supplies them with every order).

• Schedule weekly inspection and monthly deep check.

• Label “Under Maintenance” properly — don’t just unplug.

Proactive maintenance keeps uptime > 95%, directly impacting your revenue.

7. No Marketing Strategy

“Build it and they will come” doesn’t work anymore.

The Problem:

New arcade owners often ignore marketing until revenue drops.

How to Avoid It:

• Create pre-launch buzz via Facebook, TikTok, and Google Maps.

• Offer membership cards, birthday discounts, or group deals.

• Use local influencers to attract young crowds.

• EPARK can supply branded visuals for promotions and soft openings.

Digital presence = foot traffic = profit.

8. Underestimating Staff Training

The Problem:

Friendly, well-trained staff turn casual players into loyal customers. Yet many owners hire without proper onboarding.

How to Avoid It:

• Provide machine operation and safety training.

• Teach customer interaction and problem-solving.

• Set performance goals (sales upsell, guest retention).

• Use EPARK’s training materials or request demo videos.

Remember: your staff is part of your brand.

9. Lack of Financial Control

The Problem:

Some owners fail to track income per machine, daily cashflow, or ROI. They discover losses too late.

How to Avoid It:

• Implement arcade management software to monitor revenue in real time.

• Record daily sales, maintenance, and expenses.

• Review machine performance monthly — replace underperforming games.

• EPARK’s systems integrate revenue tracking directly with card payment data.

Financial visibility = sustainability.

10. Not Thinking Long-Term

The Problem:

Some new arcades start strong but fade fast because they never refresh games or reinvest profits.

How to Avoid It:

• Allocate 10–15% of profits yearly for new machines or decor.

• Introduce new attractions every 6–12 months.

• Stay updated with EPARK’s newest machines and trends (VR, AI, sports games).

Consistency keeps your arcade exciting and ensures repeat visits.

Bonus Tip: Ignoring Safety and Compliance

Safety is non-negotiable. Use CE, UL, or ISO-certified machines only.
EPARK provides documentation for every product to ensure you meet local regulations.

How EPARK Can Help You Succeed

EPARK isn’t just a machine factory — it’s a global amusement solution provider with 15 years of experience in:

• Game machine manufacturing (CE/ROHS certified)

• 2D/3D layout design & project planning

• Turnkey FEC solutions for 100–2000 m² venues

• After-sales training and technical support

• Custom branding and OEM/ODM service

From initial consultation to installation and long-term maintenance, EPARK ensures your arcade avoids these ten pitfalls and becomes a profitable entertainment hub.

Conclusion

Launching an arcade is both exciting and challenging. The difference between success and failure often lies in avoiding simple, preventable mistakes.

By researching your market, choosing the right location, investing wisely, and partnering with a trusted manufacturer like EPARK, you can build a thriving business that delights customers and grows steadily year after year.

Ready to take the next step?
Contact EPARK today for a free layout plan, customized machine list, and professional consultation to build your arcade successfully from day one.