by Jack Guarnieri, PinballSales.com & ShuffleAlley.com

Don't Believe Everything You Read

It seems people love to hear predictions. Many so-called experts make their living predicting everything from stock market moves to the weather. Sometimes they are right, and often they are wrong. Remember, even a blind squirrel finds a nut once in a while.

The website Entrepreneur.com recently published an article entitled "10 Businesses Facing Extinction in 10 Years," and they listed the amusement machine industry right up there, saying:

"For those of you who thought arcades were already dead, they still exist - at movie theaters, miniature golf courses and other touristy spots - but it seems only a matter of time before they vanish from the landscape. Ten years ago, there were 10,000 arcades in the nation, and now the number is close to 3,000, according to the American Amusement Machine Association. Revenue from arcade game units brought in $866 million last year, which sounds good until you consider that in 1994, the industry was pocketing $2.3 billion and that the profits are only still high because it costs so much to play a game."

The piece goes on to predict the following: "Odds of survival in 10 years: Game over."

Well it's good to know we have 10 years left. Rodney Dangerfield used to say, "My doctor gave me six months to live. I told him I could not pay him now so he gave me another 6 months." Reports of this industry's death abound. As operators we know what equipment has been dead and what is on life support. We know what type of locations are dead or slowly dying as well. So the big question is, will this business go away altogether? I don't think so.

That traditional arcade as we knew it in the early 1980's is probably all but gone. If that is what the article is talking about, I would have to agree. However, amusement centers in theme parks and event-based venues will be around as long as our industry continues to produce viable equipment and as long as the playing and paying public enjoys those attractions.

If you take a look at your business today, most of you would say that it's not the same business it was 10 years ago. My own business changes every year with the market and products it sells. If you did not change and adapt to market conditions by doing more of what works and less of what does not, you would not be reading this article right now. So congratulations because you're still here!

Our industry provides true value to customers include affordable fun for our players, a brief relief from the stress of a hectic pace of life and a place to smile and sing "Happy Birthday." The laughter that emanates from patrons redeeming a string of paper tickets for prizes is priceless.

As an industry, our fate is in our own hands. It's up to us, whether we want to continue to adapt or suffer the fate of extinction.

Mark Twain was famous for saying of his own published obituary, "The reports of my death are greatly exaggerated." If we continue to change and meet our customers' evolving needs, we can likewise look back in ten years and laugh at such predictions.

Jack Guarnieri started fixing electro-mechanical pinball machines in 1975 and has been involved in every phase of the coin-op game business since then. He operated a substantial game route in Brooklyn, N.Y., developed amusement centers and was called in as a consultant to manage Mondial Distributing and State Sales in New Jersey. In 1999, he founded PinballSales.com to sell coin-op to the home market. In 2002, he founded ShuffleAlley.com and released the Parker Bohn III Pro Bowler game, reviving the shuffle alley. His positive attitude, honest insights and opinions have made him a popular figure in the trade. While managing and growing his businesses, he still consults inside and outside the industry, and his marketing, promotional and business management expertise are widely sought. He's very active in his church, community and charitable causes as well. You can learn more at his websites (www.PinballSales.com and www.ShuffleAlley.com) or by phoning him at 866/323-JACK. Email is Jack@Pinballsales.com.