Game On! IACs Redefine Indian Retail Landscape

Indoor Amusement Centers (IACs) are substantially altering the Indian retail scene by drawing significant foot traffic and enhancing consumer experiences. A report by JLL highlights the evolution of these centers, their expanding footprint, and the trend towards premium entertainment options that integrate various recreational activities under one roof.

A transformative shift is occurring in the domestic retail landscape as Indoor Amusement Centers (IACs) become key drivers of foot traffic and consumer appeal, according to a report by commercial real estate and investment management firm JLL.

The report, unveiled at the two-day MAPIC India event on Wednesday, highlights a broader evolution in consumer preferences, with a notable tilt towards immersive experiences that transcend traditional retail offerings. The study, titled 'Game on! Entertainment as the new frontier in Indian retail,' explores the growing significance of IACs in India's retail sector.

Currently, the Indian market hosts approximately 6.6 million sq ft of operational IAC space across over 500 centers nationwide, the report notes. These entertainment hubs have effectively become integral to retail developments, attracting visitors of all ages while enhancing the allure of shopping destinations.

Projections indicate that IAC stock could reach around 11 million sq ft by 2028. Offering an assortment of entertainment options, these centers cater to individuals and groups alike, combining games, attractions, and F&B services either in standalone properties or within larger retail complexes. JLL's report also highlights the anticipated rise in popularity of expansive, innovative standalone IACs.

Samantak Das, Chief Economist and Head of Research and REIS, India, JLL, remarked on the growing premiumisation trend, noting that one-fifth of these centers now span spaces larger than 50,000 sq ft, reflecting the surge in demand for premium entertainment venues.

Rahul Arora, Head of Retail Services & Office Leasing Advisory, Senior Managing Director (Karnataka, Kerala) India, JLL, emphasized the emerging popularity of 'eatertainment' and 'competitive socializing' concepts, which combine dining, entertainment, and social interaction under one roof.

(With inputs from agencies.)