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Jun 25, 2017  

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The Struggles Of Pachislot, Slot Machine, And Arcade Game Markets | One Angry Gamer

But it isn’t just in Southeast Asia that gambling continues to blossom. In Japan, Capcom saw increased revenues from the pachinko and pachislot machines up until 2014, when increased regulation from the bureau of Security Electronics and Communications Technology slowed net sales drastically. However, despite these regulations new pachislot machines still managed to see a net sales increase of 77 percent during the fiscal year of their launch, according Capcom’s fiscal report[2]. The market outlook also reveals that following a decline in traditional arcade cabinet revenue due to Entertainment and Amusement Trades Rationalizing Act, the act was recently revised, which allowed companies like Capcom to regain market boosts from arcade cabinets since young people could play arcades longer without being accompanied by a guardian. From an article on the Financial Times[3] we learn that Japan’s arcade parks have continued to survive, adapting to the times and offering enthusiasts new experiences and evolving challenges. However, even Japan’s arcade floors aren’t immune to the digital age, and the Financial Times reveals that arcade cabinet revenue in recent times have “retreated” despite surviving decades. Notwithstanding Capcom’s moderate success in the arcade and pachislot market, other companies haven’t been faring as well. Companies like Sega Sammy have seen a steady decline in pachinko and pachislot machine revenue after peaking in 1995. The market size has steadily shrunk, with Sega’s market report[4] revealing that men under their 20s playing pachislot and pachinko machines has shrunk from 11.4 percent over the course of six years down to 1.7 percent. Men in their 20s playing pachislot and pachinko machines, over the same period, saw a decline from 24.5 percent to 6.8 percent.

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