The Future of Location-Based Entertainment: Trends and Forecasts

Location-based entertainment (LBE) has been around for decades, but recent advancements in technology have transformed the industry. LBE refers to any form of entertainment that requires a physical location, such as amusement parks, arcades, and virtual reality (VR) experiences. With the rise of VR and augmented reality (AR), LBE has become more immersive and interactive than ever before. In this article, we will explore the trends and forecasts for the future of LBE.

Overview

The LBE market is expected to grow significantly in the coming years. According to a report by MarketsandMarkets, the global LBE market is projected to reach $4.5 billion by 2023, growing at a compound annual growth rate (CAGR) of 32.2% from 2018 to 2023. The growth of the market can be attributed to the increasing demand for immersive and interactive entertainment experiences.

Key Players in the Future of Location-Based Entertainment

Some of the key players in the LBE market include:

• Disney
• Universal Studios
• Merlin Entertainments
• VRstudios
• The VOID
• Zero Latency
• Hologate
• Exit Reality

These companies are investing heavily in LBE experiences, with a focus on VR and AR. For example, Disney has launched a VR experience called Star Wars: Secrets of the Empire, which allows users to explore the Star Wars universe in a fully immersive environment. Universal Studios has also launched a VR experience based on the Jurassic World franchise, which takes users on a virtual tour of the park.

Market Challenges

Despite the growth potential of the LBE market, there are several challenges that need to be addressed. One of the biggest challenges is the high cost of entry. LBE experiences require a significant investment in hardware and software, which can be a barrier to entry for smaller companies. Additionally, the cost of admission for consumers can be high, which may limit the audience for LBE experiences.

Another challenge is the need for constant innovation. LBE experiences need to be updated regularly to keep up with changing consumer preferences and advancements in technology. This can be a costly and time-consuming process, and failure to innovate can lead to a decline in interest from consumers.

Market Opportunities

Despite the challenges, there are several opportunities for growth in the LBE market. One of the biggest opportunities is the increasing demand for immersive and interactive experiences. Consumers are looking for experiences that go beyond traditional entertainment, and LBE experiences offer a unique and engaging way to do so.

Another opportunity is the potential for partnerships and collaborations. LBE experiences can be used as a marketing tool for movies, TV shows, and other forms of entertainment. For example, the VR experience based on the Jurassic World franchise was launched in conjunction with the release of the movie Jurassic World: Fallen Kingdom.

Future of Location-Based Entertainment

The future of LBE is bright, with continued growth expected in the coming years. One of the biggest trends in the industry is the integration of VR and AR. These technologies allow for even more immersive and interactive experiences, and are expected to become more prevalent in LBE experiences in the future.

Another trend is the use of location-based data to personalize experiences for consumers. By using data such as location and past behavior, LBE experiences can be tailored to individual preferences, creating a more engaging and memorable experience.

Conclusion

The LBE market is poised for significant growth in the coming years, driven by the increasing demand for immersive and interactive entertainment experiences. While there are challenges to be addressed, such as the high cost of entry and the need for constant innovation, there are also opportunities for growth through partnerships and collaborations. The future of LBE looks bright, with continued advancements in technology and a focus on personalized experiences for consumers.