How to Build a Profitable Kids Arcade Zone in a Shopping Mall？

Introduction

Family entertainment has become one of the most profitable sectors in modern malls. As retail traffic declines, shopping centers are transforming into experiential destinations — where kids and families spend time, not just money.

Among all attractions, kids arcade zones stand out for their ability to blend fun, technology, and consistent income. They not only boost foot traffic but also encourage longer stays and higher spending across the mall.

At Joyfuncade, we specialize in helping mall investors and entertainment operators design and launch successful kids arcade businesses with our wide range of indoor playground machines, commercial arcade systems, and custom layout services.

This guide walks you through every step — from planning your arcade to choosing machines, designing layouts, estimating ROI, and scaling your business sustainably.

Why a Kids Arcade Business Works in Shopping Malls?

High Foot Traffic and Family Audience

Malls already have what you need: built-in customers. Parents love safe, supervised entertainment zones where kids can play while they shop or dine.

Adding a kids arcade area increases dwell time by up to 30–40%, as proven by Joyfuncade clients in Asia and Europe.

Year-Round Revenue Stream

Unlike seasonal attractions, an indoor arcade operates 365 days a year. With low maintenance costs and automated systems, it can deliver steady passive income.

(For startup budgeting tips, read How Much Does a Kids Arcade Business Cost to Start?)

Step 1 – Research Your Market and Target Audience

Before buying machines, analyze your market:

• Local demographics (age, family income)

• Competitors and nearby attractions

• Mall foot traffic flow

• Preferred entertainment themes

Joyfuncade offers free market consultation to help you match your product mix with audience preferences — whether that’s soft indoor playgrounds, ticket redemption machines, or VR motion rides.

Step 2 – Plan Your Space and Layout

Recommended Area Guidelines

Key layout tips:

• Use bright, kid-friendly machines near entrances.

• Leave wide walkways for parents and strollers.

• Combine arcade machines + indoor playground machines for variety.

• Integrate prize counters and redemption walls in clear sight lines.

(Need layout ideas? Check our guide on Designing the Perfect Indoor Playground with Arcade Machines)

Step 3 – Choose the Right Arcade Machines

Selecting the right mix of games determines your profitability.

Joyfuncade’s top-performing categories include:

• Redemption & Prize Games: Ball toss, crane claw, capsule toy vendors

• Racing & Motion Games: Kid-safe simulators, vr driving rides

• Interactive Music Games: Dance or rhythm-based for engagement

• Educational Arcade Systems: Touchscreens, puzzles, light walls

• VR and AR Machines: Premium attractions that raise your arcade’s appeal

(You can explore Joyfuncade’s full catalog of commercial arcade machines here.)

(Also read: Top 10 Arcade Machines That Kids Love Most in 2025)

Step 4 – Estimate Your ROI and Budget

A well-planned arcade can pay for itself quickly. Here’s a realistic projection for a 150 m² setup:

Expected Monthly Revenue:

• $1.5 per play × 9,000 plays = $13,500

• Profit margin ≈ 60% → $8,000/month

Typical ROI: 6-12 months for stable mall venues.

(To calculate your exact profit rate, see How to Calculate ROI for a Shopping Mall Arcade Business).

Step 5 – Legal, Safety & Compliance

When serving children, safety comes first:

• Use CE/ISO-certified machines only

• Add rubber flooring and safety corners

• Provide visible supervision areas

• Check local mall electrical and insurance rules

All Joyfuncade machines comply with international safety standards, making approval by mall management easy and fast.

Step 6 – Visual Design & Customer Flow

Your arcade’s layout should be as visually engaging as it is functional.

Design guidelines:

• Use themes (ocean, jungle, space) for immersion

• Combine soft colors with vibrant LED signage

• Place seating near the play area for parents

• Add photo zones to encourage social sharing

(Learn more in Designing the Perfect Indoor Playground with Arcade Machines).

Step 7 – Staffing, Operations, and Maintenance

A small arcade may only require 2–3 staff members:

• 1 manager for oversight

• 1–2 attendants for customer service & machine upkeep

Use Joyfuncade’s Smart Management System to track:

• Revenue in real time

• Machine status and errors

• Popular game rankings

Maintenance checklist:

• Daily cleaning and test runs

• Weekly ticket box checks

• Monthly deep clean and system updates

(Explore Smart Features to Look for in Modern Kids Arcade Machines for more operation tech.)

Step 8 – Marketing & Engagement Strategies

Pre-Launch Promotion

Start your marketing before opening day:

• Partner with the mall for cross-promotion

• Offer soft-opening free plays

• Invite influencers or parenting bloggers

After Opening

Maintain excitement through:

• Membership cards and loyalty bonuses

• Seasonal events (Halloween, Christmas, Summer Fest)

• School tie-ins and family packages

(For a bigger perspective on mall family traffic, read Why Family Entertainment Centers Are the Future of Malls).

Step 9 – Expanding Your Arcade Network

Once your first mall location performs well, scale strategically:

• Add a VR section or birthday party room

• Replicate your layout in other malls

• Franchise your brand identity

Joyfuncade supports multi-site operators with standardized designs and equipment bundles that ensure consistent user experience and simplified management.

Case Study: Joyfuncade Success in Indonesia

A Joyfuncade client in Jakarta opened a 120 m² family arcade zone in 2024.
Within 6 months:

• Daily visitors grew to 350+

• Monthly revenue averaged $10,000+

• ROI reached in just 13 months

Their mix included claw machines, interactive walls, vr machine and  playground rides, creating a safe, high-energy atmosphere that parents trusted.

Conclusion: Build Your Mall’s Most Profitable Family Zone

Building a profitable kids arcade business doesn’t require massive investment — just smart planning, reliable machines, and a trusted partner.

With Joyfuncade, you get turnkey solutions:

• Custom indoor playground machines and layouts

• Reliable commercial arcade systems

• ROI-driven consulting and technical support

Ready to bring families back to your mall?
Contact Joyfuncade today to receive a free design proposal and profit forecast.

Your next successful shopping mall arcade starts here.