The report, titled “Ready, Set, Play: India’s Indoor Amusement Industry at a Turning Point,” highlights how indoor amusement centres (IACs) are evolving from children-focused entertainment zones into a key pillar of India’s emerging experience economy.

India Still Holds Just 2% of the Global Market

Globally, the indoor amusement centre industry was valued at USD 51.29 billion in 2024 and is expected to grow to USD 84.03 billion by 2030, at a compound annual growth rate (CAGR) of 9%.

Despite this momentum, India accounts for only about 2% of the global market, indicating substantial room for expansion as urbanisation, rising disposable incomes, and experiential spending continue to accelerate.

Strong Growth in Consumer Spending

Consumer behaviour in India has changed significantly since the pandemic, with more people prioritising leisure experiences and family entertainment.

The report notes that:

• Consumer spending at indoor amusement centres has increased by 30–40% compared to pre-COVID levels
• Tier I cities record 10–15% higher per-customer spend than Tier II markets
• Industry suppliers have observed a 15–20% rise in consumer spending over the past few years

Higher participation levels, longer dwell times, and immersive entertainment formats are key factors behind the surge in spending.

Monthly Visits Becoming Common

The ANAROCK market pulse survey shows strong engagement with indoor entertainment venues:

• 52.4% of respondents visit indoor amusement centres once a month or more
• 22.9% visit once every two to three months
• 15.3% visit once or twice a year
• Only 9.4% reported visiting rarely

The survey respondents were largely 25-44 years old, with about 65% based in metro cities, reflecting the growing urban demand for organized recreational experiences.

Mid-Market Pricing Dominates

One of the notable findings of the report is the industry’s strong mid-market positioning.

Nearly 73.6% of operators price their offerings between ₹500 and ₹1,499, suggesting that the industry is structurally aligned toward accessible premium entertainment rather than mass-discount or luxury-exclusive formats.

At the same time, non-ticket spending plays a crucial role in revenue generation. Gaming add-ons, food and beverage purchases, and merchandise sales contribute significantly to overall revenues.

More than half of visitors spend over ₹1,000 per visit beyond ticket prices, highlighting the importance of integrated entertainment experiences.

Arcades Lead the Format Landscape

The indoor amusement ecosystem in India includes a wide range of formats, catering to different age groups and entertainment preferences.

Major formats include:

• Kids Zones: Soft play areas and edutainment centres
• Arcades: Video gaming and redemption arcades
• Sports Formats: Bowling alleys and trampoline parks
• Adventure Zones: Go-karting and obstacle parks
• Tech-Based Formats: Virtual reality and esports gaming zones
• Experiential Attractions: Themed entertainment formats and indoor parks

Among these, arcade gaming formats remain the most popular across generations, while kids’ play areas attract family-driven footfall.

Investment Economics Attractive for Operators

From an operator perspective, indoor amusement centres offer relatively attractive investment cycles.

According to the report:

• 47.4% of projects recover capital within 3–5 years
• 31.6% achieve payback within three years

Most new projects are being developed inside shopping malls and mixed-use developments, where footfall and accessibility help sustain visitor volumes.

Standalone and hybrid setups are also emerging in high-density urban locations.

Regulatory and Tax Challenges Remain

Despite the strong growth outlook, the industry continues to face regulatory and cost pressures.

Key concerns highlighted in the report include:

• 18% GST on tickets and rides, which affects pricing in cost-sensitive markets
• Complex licensing requirements across states, slowing project rollouts
• Lack of a national safety framework for indoor amusement operations

Industry players have called for standardized safety norms, simplified licensing processes, and mandatory training programs to ensure sustainable growth.

Experience Economy Driving the Next Phase

Experts believe that indoor amusement centres will increasingly become key anchors in malls and urban retail developments.

According to Anuj Kejriwal, CEO – Retail, Leasing & Industrial Logistics, ANAROCK Group, the industry is undergoing a structural transformation.

He noted that indoor amusement centres are no longer limited to children’s recreation but are becoming integral to India’s experience-led consumption economy.

Outlook: Rapid Expansion Expected by 2030

The report estimates that India’s indoor amusement industry could grow from ₹8,400 crore in 2024 to about ₹15,600 crore by 2030, expanding at a CAGR of 11.3%, faster than the global average growth rate.

With supportive policy reforms, improved safety regulations, and expanding urban retail infrastructure, the sector is expected to become a significant generator of employment, urban leisure infrastructure, and experiential retail growth across India.

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