In a transformative shift within India's retail landscape, the Indoor Amusement Centres (IACs) emerge as key drivers of foot traffic and consumer appeal. This trend reflects a broader evolution in consumer preferences, with shoppers increasingly seeking immersive experiences beyond traditional retail offerings, according to JLL India’s report "Game on! Entertainment as the new frontier in Indian retail," launched recently.
The report deep dives into why and how the IACs are becoming increasingly important in the Indian retail landscape. These centres offer a variety of entertainment options for individuals or groups. They feature a combination of games and attractions to provide recreational and leisure experiences. They are located either in standalone properties or located inside a retail development/commercial complex. In some formats they also offer a variety of attractions as well as F&B options.
The Indian market currently boasts approximately 6.6 million square feet of operational IAC space spread across more than 500 centres nationwide. These entertainment hubs have become integral to retail developments, attracting visitors of all age groups and enhancing the overall appeal of shopping destinations. By 2028, IAC stock could reach 11 million sq. ft.
“Larger retail developments and malls are expected to accommodate more expansive and innovative centres. Further, standalone IACs that offer a variety of entertainment concepts under one roof, are expected to become increasingly popular in the coming years. Interestingly, these centres are also seeing a shift towards premiumization, evidenced by the fact that one-fifth of IACs now occupy spaces larger than 50,000 square feet, showcasing the growing demand for premium, expansive entertainment avenues,” said the Chief Economist and Head of Research and REIS, India, JLL, Dr Samantak Das.
“Concepts like Eatertainment that provide an integrated dining and entertainment experience, hosting multiple games and attractions under one roof, have been become widely popular amongst the teens and the office-goers. So is the concept of competitive socializing, which combines the elements of entertainment and competition to create a unique social experience. Typically, it focuses on a single game and generally includes an elevated bar, microbrewery and food options,” said Head - Retail Services & Office Leasing Advisory, Senior Managing Director (Karnataka, Kerala) India, JLL, Rahul Arora.
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As the lines between retail, entertainment, and dining continue to blur, in the coming years, it is anticipated that larger retail developments and malls will allocate more space to accommodate expansive and innovative IACs. This shift is expected to redefine the retail landscape, transforming shopping centres into holistic lifestyle destinations that offer far more than just retail therapy.
