27
de Gener
de
2017
Act.
27
de Gener
de
2017
It seemed as if arcade video game cabinets had become a thing of the past, that only a few had managed to survive in the odd local bar or restaurant, but that couldn't be further from the truth. If the manufacturers of consoles should worry about the spread of mobile gaming, they now have to also be concerned about arcade machines making a comeback. And for an average price of 1,200 euros, a figure lower than most would expect.
Moreover, they are making their own that empty space in the living room or study, at work as a way of relaxing for a while after lunch, and in the café, which is not only about having a coffee but also new experiences. "The key is that they are no longer just money-making machines," says the CEO of Rex Arcade, José Luis Moreno. For just over three years he has been creating and distributing arcade cabinets, more than enough time to see that it is a niche opening up in the market.
"Consoles knocked the machines off top spot at one time, people stopped going to arcades and began playing at home and saving themselves money," he points out, but over time it has come to be seen that the latest from Sony, Microsoft and Nintendo have not managed to supplant the role of the arcade. The reason? "Playing them is more addictive. Today's consoles have great graphics, but they do not grip you in the same way. Playing arcade machines is an occasional experience, you can play for half an hour and move on, but with today's video games you have to play a minimum of four hours. And they include the deception that if you want more, you have to end up playing online and paying," says Daniel Ramírez, owner of Bricogame.
Moreno and Ramírez head two of the three leading firms in Catalonia that sell arcade machines. Both are in Sabadell and, along with Terrassa's Factory Arcade, form a Vallès triangle. "We are also the three strongest companies in the domestic market," adds Ramírez, "in Madrid there must be a couple more companies, but we are the ones that sell the most."
An arcade machine for 400 euros
Most sales are to private individuals. They are usually men between 30 and 50 who remember arcade machines from when they were kids and teenagers, the typical image of someone who is "nostalgic for when they knew them in the 1980's and wants to go back to them," says Moreno. At the same time, he points out that the range of customers is increasingly wide and that they often find young fathers who want their children to learn about the machines: "They buy the machines for their kids, who can be between 5 and 10, to play with them and show them what these games are like."
The prices of the arcade machines go from 360 euros – with 600 games, portable and without a screen- to 600-odd euros for the smallest and simplest cabinets, up to more than 1,800 euros for an authentic video game cabinet, which are large and come with personalised decoration, and with more than 20,000 games.
The trend is for ever more people to choose the large models, according to Ramírez, "because they think of them as another item of furniture for the living room." "It is another decorative element, they want it to fit in with the whole aesthetic of the room and to leave it there without moving it," he adds. For this reason, Bricogame chooses to make the devices 100% themselves, with wooden cabinets, their own controllers and even with their own stickers on the outside of the machines.
When it is not all about money
In the case of Rex Arcade, companies are another important sales channel. "They all have rest areas and they install the machines in the same way they would a pool table or a dart board," says Moreno, "they are organisations of all types, some in design, others are producers... but the common element is that they help their employees to rest without having to go outside."
It is true that there are still shopping centres and public spaces with arcades, but he says that in general the trend is for them not to be used as money-making machines: "There is now a new trend in not using the product to make money, but rather as an attraction and to provide a benefit that is more experiential."
In fact, it is a logical progression if you take into account that the machines no longer make financial sense for the commercial sector. "You cannot just put a PlayStation 4 in any bar for the customers to play, you need a licence or special games for commercial use," says the owner of Bricogames, and it is the same with arcade machines: "When we install one for public use, you can only have games that are more than 20 years old and not for commercial consoles." If you want one of the latest novelties on the market, to try to incentivise gambling and make a profit, you have to pay for a licence that reduces your return.
A growing market
When Ramírez set up Bricogames, almost seven years ago, the market was not as active as it is now. Not even three years ago, when Moreno went down the same path with Rex Arcade. Both have been visionary entrepreneurs, who have more followed their passion than any business figures.
And, little-by-little, they have managed to win over the Catalan and Spanish markets, and distribute their machines all over Europe. "There are different producers on the continent, the market is similar in all countries, but each client looks for the company that most interests them for the price, design or other characteristics of the machine," says Ramírez, who adds that in countries like Sweden they work with clients who at the same time act as sales people for them.
Despite being aware of the growth that the sector will continue to experience, right now there is little concern about competition. Nor do they think that the large companies, like Sony or Nintendo, will become direct competitors, "it would be impossible to make machines like these because they are devices that have games from all brands and for them it would be unthinkable to sell anything from their rivals," he says. That is why he argues that, in the same way that mobile gaming is winning over a certain public, arcade machines will have their own segment of the market.
Moreover, they are making their own that empty space in the living room or study, at work as a way of relaxing for a while after lunch, and in the café, which is not only about having a coffee but also new experiences. "The key is that they are no longer just money-making machines," says the CEO of Rex Arcade, José Luis Moreno. For just over three years he has been creating and distributing arcade cabinets, more than enough time to see that it is a niche opening up in the market.
"Consoles knocked the machines off top spot at one time, people stopped going to arcades and began playing at home and saving themselves money," he points out, but over time it has come to be seen that the latest from Sony, Microsoft and Nintendo have not managed to supplant the role of the arcade. The reason? "Playing them is more addictive. Today's consoles have great graphics, but they do not grip you in the same way. Playing arcade machines is an occasional experience, you can play for half an hour and move on, but with today's video games you have to play a minimum of four hours. And they include the deception that if you want more, you have to end up playing online and paying," says Daniel Ramírez, owner of Bricogame.
Moreno and Ramírez head two of the three leading firms in Catalonia that sell arcade machines. Both are in Sabadell and, along with Terrassa's Factory Arcade, form a Vallès triangle. "We are also the three strongest companies in the domestic market," adds Ramírez, "in Madrid there must be a couple more companies, but we are the ones that sell the most."
An arcade machine for 400 euros
Most sales are to private individuals. They are usually men between 30 and 50 who remember arcade machines from when they were kids and teenagers, the typical image of someone who is "nostalgic for when they knew them in the 1980's and wants to go back to them," says Moreno. At the same time, he points out that the range of customers is increasingly wide and that they often find young fathers who want their children to learn about the machines: "They buy the machines for their kids, who can be between 5 and 10, to play with them and show them what these games are like."
 |
| Each machine is adapted to the place it will go. Rex Arcade |
The prices of the arcade machines go from 360 euros – with 600 games, portable and without a screen- to 600-odd euros for the smallest and simplest cabinets, up to more than 1,800 euros for an authentic video game cabinet, which are large and come with personalised decoration, and with more than 20,000 games.
The trend is for ever more people to choose the large models, according to Ramírez, "because they think of them as another item of furniture for the living room." "It is another decorative element, they want it to fit in with the whole aesthetic of the room and to leave it there without moving it," he adds. For this reason, Bricogame chooses to make the devices 100% themselves, with wooden cabinets, their own controllers and even with their own stickers on the outside of the machines.
When it is not all about money
In the case of Rex Arcade, companies are another important sales channel. "They all have rest areas and they install the machines in the same way they would a pool table or a dart board," says Moreno, "they are organisations of all types, some in design, others are producers... but the common element is that they help their employees to rest without having to go outside."
It is true that there are still shopping centres and public spaces with arcades, but he says that in general the trend is for them not to be used as money-making machines: "There is now a new trend in not using the product to make money, but rather as an attraction and to provide a benefit that is more experiential."
 |
| The machines help employees relax in their rest periods. Bricogame |
In fact, it is a logical progression if you take into account that the machines no longer make financial sense for the commercial sector. "You cannot just put a PlayStation 4 in any bar for the customers to play, you need a licence or special games for commercial use," says the owner of Bricogames, and it is the same with arcade machines: "When we install one for public use, you can only have games that are more than 20 years old and not for commercial consoles." If you want one of the latest novelties on the market, to try to incentivise gambling and make a profit, you have to pay for a licence that reduces your return.
A growing market
When Ramírez set up Bricogames, almost seven years ago, the market was not as active as it is now. Not even three years ago, when Moreno went down the same path with Rex Arcade. Both have been visionary entrepreneurs, who have more followed their passion than any business figures.
And, little-by-little, they have managed to win over the Catalan and Spanish markets, and distribute their machines all over Europe. "There are different producers on the continent, the market is similar in all countries, but each client looks for the company that most interests them for the price, design or other characteristics of the machine," says Ramírez, who adds that in countries like Sweden they work with clients who at the same time act as sales people for them.
Despite being aware of the growth that the sector will continue to experience, right now there is little concern about competition. Nor do they think that the large companies, like Sony or Nintendo, will become direct competitors, "it would be impossible to make machines like these because they are devices that have games from all brands and for them it would be unthinkable to sell anything from their rivals," he says. That is why he argues that, in the same way that mobile gaming is winning over a certain public, arcade machines will have their own segment of the market.