Play Meter

Issue: 1975 May - Vol 1 Num 6

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The arcade genie makes a wish,
creates amusement games palaces
When Jules Millman approached hopping mall
dpv loper sevp n ear ago with hi new approach to
[hp old and WOrtl id a oj a coin -opera[ d amuse ment
cen ter Jor adlll[s alld children, th e d v lop r Ii ten d
bll[ loolwd a kance . Mo st developers remembered th
[yp oj pla ce arcades w r in th '40's and '50 's .
Bu[ Willman was per isten[ . " I [old develope rs with
whom 1 [alk ed that 1 would hav a fir [ quali[y store,
elegan[ly decorat d, carp [ d, that no Jood, drink s or
smoking would be allowed and that it would b
co mpl tely up Tvised and all nd d at all time s. "
Finally, Millman cOllvillced a mall owner to give him a
lease and h deliv red on his promi e, d spit e the Jact
[hal Jor a while h was virtually a one-man
op ration --bookkeeper, cent r attendant, gam mecha -
nic. Today! Millman 's company, Aladdin 's Ca tie
Illc. _ ha 0 e r 200 employ s and i pr ad 0 r 70 citie .
In 1973, th company, then known as Am rican
All/U S m nt In c., did
12 million in volum . Quit a
Jea t Jor a man only in his 30 ' .
And [0 top his ucc s as an independent
bl/sines mall , Millman team d up last year with Bally
ManuJa cluring, a move both companies are apparently
happy aboul .Aladdin 's Ca tle centers op rate in the
and Canada and th e company has held di cussions on
possibl op rations in Joreign companie .
Wit II i[ s c I/[ral oJJices in Chicago, Millman 's Jirm is in
clo e cO lltac[ with mo [ oj the indu try 's major
manliJarturers and l/. ually t t mo t oj th new gam e
prololyp Jor Ih m .
/11 th eir mall location ,
Laddin ' Ca tLes provid a
" clean , whol ome environme nt in which to njoy
leisure lime and shop/Jing tim e, " Millman says--an
impOrlan[Ja [or;l1 [oda ' high volume malls which ee
[he bulk oj [h eir patrons in [h e under-thirty ag
bracket .
Millman says he has always bee n Ja dnated by
(llllusemen[ machin and wh 11 he graduat edJTom th
lIiversity of Miami in oral Cabl s, Fla ., he went to
wo rk as a salesm anJor World I ide Distributors and it
was while he worked Jor th e m that he got the idea to
chal/g e [h e way p eo pl e thought about arcad s .
PLAY METER: Wh a t gave ou the idea for your
stores?
MlLLMAN: While I wa v.ith orld
id , one thing
aboullhe induslry caught m ' eye and th at wa that a lot
of operator w re making m ne only b cau e the
machines made mone for th e m . In oth r words , the
weren ' t putting what I would ca ll good bu ine
pr tices to u e and made mon
in spit of
them e lve .
an attended area , to put
o I gOl lh idea to ha
enough game in to afford a fulltime attendant and fix it
up r a l nice and g t away from th
outh tate Street
type ar I . But in order to afford a fulltime all ndam ,
you limit ourse lf by needing a plac in which ou put
enough machin s to warrant the fulltime man . nd
there aren ' t too man place tha t big.
Th fir t thing that ca me into my mind , of course ,
w r th e major airport in major cities. But I never even
tried any of them , for one rea on : becau e I felt they
were alread
ought after b
ver operator every -
where . The same thing went for all the e a
and
Arm y bases _
Fir t of all , I want d to do thi lhrough World Wide .
PLAY METER: In other words , with th m having
ownership? _
MILLMA
But
didn ' t go for the idea _
'" just went completel overboard in what I did to fix up the
fir I slore ... They loved it, the rea on being becau e we ran a
really lighl ship. We jLXed it up beautifully, We carpeted it. We
('fI/orced 110 sm okillg and no food inside, which everybody said
IN' rouldn '( do, but WI' did it_ ,-
PLAY METER: How did yo u arrive at the con ept of
mall famil fun centers?
MILLMA : My un Ie owned a big discount tore in
Chicago and he le t me put in like fi e game at the
en tran e _ The machines in this store were very
profitable : they probabl did ov r 100 each a week _
I began to think that if th se ma hines did thi much in
13
a high · olume dIS ount store, wouldn ' t a omparable
location In an enclo d mall , which would have a much
higher volume, ertainl support 30 ma hine . That ' s
what ga e me the co urage to t o u t m
id a ,
PLA Y M ET E R : How old w re ou wh n ou fir t did
thi ?
MILLMA : bou t 29 or 30 ,
PLAY M TER: What problem did yo u en ounter
elling this idea ?
MILLMA:
h n I w nt to the mall , th y all turned
me down , and I tried a lot of them . E er ingle on of
them .
PLAY M ETER : hat marked th turning pint ? What
did
u sa to thi mall wner that ou didn ' t sa to the
oth r ?
MILLMA
othing . Finall y, I rea hed on mall that
wa ha ing troubl I asing spa e and the were willing
to tak · the chanc , Th n I just went completel
overboard in what I did to fix it up and ever thing .
so n a I ign d m fir t leas , th oth r taned falling
into pla ce . nd I en d th comp tition coming, 0 I
grabbed e r I a e I ould .
PLAY METER : How man citi
do ou op rat In
now ?
MILLMAN: Oh , lose to 60 -70 diff r nt itie .
PLAY M ET E R: What was th rea tion to th first one
ou op n ed in
hi ago from the mall
wn r ?
MILLMA : Th
all 10 d it.
PLAY METE R: Even th on s that yo u went to in th
e
b ginning and aid, .. h , no . It '
razy ?"
MILLMA : Th
all 10 ed it , the rea on being
b cau
w ran a reall tight hip . We fix d it up
b autifull . W carpeted it. W
nforced no moking
and no f od insid , whi h
r bod
aid w
ouldn ' t
do , but w did it. nd th kids know th
can go in and
ha e a go d tim whil , knowing it ' s no · non en e or
th ' II be b arred from e
r oming in
gain ,
PLAY M E T E R : What 's th a erag iz of one of our
ar ade ?
MILLMA : Th
range in siz from 1,000 -7,000
quar f et.
PLA Y M ETER : H w do ou pa ,o n th -quar footage
basi ?
MILLMAN : It all d e p nd on what kind of d al we
make , either a quare footage ba
r a footag and
per ntage ba is ,
m time it ju t a p r ntag
ba i .
PLAY M ETE R: Would it b
afe to a that each
arran m nt ou ha
b tl r than a 50 -50 plit ?
MILLMA : W II. no ,
that
good malls but the picture isn ' t compl t i r o
PLAY M E T E R: What ca n ou do about tho e?
MILLM A : Well , ther
ur p ration
for th mo t pan i
ery
tore are
marginall profitable , W
an wh re w ' re
10 ing mon . The ani reaso n I' m bringing this out to
au is I w uldn't want ev r op rat r who read au t
think , " W e ll , we 're going to make a lot of mane if we
just ign this Ie e," In other word , au ha e to
x r i e a ut ion .
PLAY M ET E R: It 's a vcr
tou h y bu ine ss.
14
M ILLMA : au ne er know until au op n our
doors.
P LA Y M T E R : v h a t arc some of th e prime thing au
10 k for in sizing up a prospective mall?
M ILLMA:
e ll. if a u go into a larg c nter in a
major ci t y th a t has thre major d partm nt stores and
ge t a good 10 a tion -- in o th r words , on the m ain
mall -- 'ou ' re a lmos t assure d of a g ad bargain ,
as. uming , a
o ur , th a t the y don ' t c h a rge
au
ridi ulo u s rent.
f course , if a sma ll gu without a tra k r cord
approac h es a mall , he is like l to be quat d double the
rent we ' re paying and his
hance!> of makin g
mane\' a rc a lmo t imp sible . au know , th people
\\'h a'w n the m a ll will tr I to get ever dollar the can .
'" e do 1101 rolall' equipmenl from localion 10 localion. III
olher word, if a 1I('1t' game ('ome oul , we'll order, ay , -5 of
Ihrlll alld grllhl'lII a qui('k a WI' ('all ... WI' II ually relll Iht'm . If
Ilh illl. (/ g(//1/,. i rl'a/ly IrOllg and we mighl h ,l'p il 111'0 ear,
Ih/' Il 1'/1 bu y il . .. ..
P LA Y M T E R : Il ow mu c h hould a gu exp ct to pa
in th wa ' of rent on a quar footag ba
lOp -not h m a ll. In o ther w rd . how d e a gu
he ' s being ripped off or not ?
MILLM
e ll , the r nt s var b the cit , b the
size of the mall , b h w good it i . Th ere are a lot of
variables , But I'd sa th rent we pa rang
t-oquare foot a ll th e wa ' up to 12 a square foot.
earlier o nes we sig ned , the one we got everal yea r
ago , arc a lot le!os than the ones we h a e now b ca u e of
innation .
PLA Y M ET E R : Ilow do au handle the ervi ing of
'our machine ? b our att ndant a skill\d mechanic or
do yo u h ave t have an ut side me h a ni re p a ir a
machine if it breaks down ?
MILLM A : 0 , th e attendant isn ' t a mec h a ni . W do

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