Commentary

What is the ‘digital takeaway’ for tomorrow’s LBE guest?

Capturing memories and offering incentives to the guest to return and share in their enjoyment on property will extend far beyond our current understanding of the 'takeaway.'

Image provided by iStock.

February 14, 2022 by Kevin Williams

When talking about guest takeaways in the location based entertainment sector, the growth in "digital commodity" has started to redraft the map regarding available options. Moving from photographs to stickers, and then to digital images sent to the user's smartphone or their social media account and email.

The picture has migrated to the gif and now full video capture of the experience. As we have seen in Asia with the Karaoke Kiosks.

The Chinese and Korean self-service KTV karaoke booths have generated a level of engagement that allows for individuals and groups to be entertained, and also come away with their own personal recording.

The popularity of this approach has seen Chinese start-up, Xingtang miniKTV, which operates and develops a range of the self-service karaoke booths, to have successfully raised some $15 million in investment to grow what was seen as a lucrative market within the Chinese entertainment scene.

These experiences offer a QR code after the session so the recorded performances can be sampled on their smartphones and shared with friends.

Recent generations of the kiosk systems captured not just the music, but also video performances by the guests, and new investment will drive innovation. This technology has crossed over into a new level of engagement with the audience.

Holography emerges

Moving away from digital images, animations and movies, we have also seen the growth in holographic takeaways. Various technologies have attempted to achieve the promise of a "holography" recording, and it seems this technology will soon have its time to shine.

The technology is being used in the live performance sector, and as far back as 2016, we saw the first ever KPOP holographic concert with K-live.

The ability to offer a means to replace the conventional photo and video capture booths with a holographic alternative is a concept being considered by many parties, although what the actual digital "takeaway" from this session would be is another question.

Non-fungible tokens

The ability to generate worth out of digital commodities has been fueled by the growth in the blockchain and virtual currencies. One of the most publicized of these is the concept of non-fungible tokens, known as NFTs — value items for customers to collect and trade which can increase in value and are personalized to the owner.

The transference and sale of NFTs have also emerged in the e-sports betting sector. More recently, the value of virtual items was promoted in the emergence of the metaverse and how virtual items will be a valuable commodity in dressing avatars and the spaces they inhabit.

The value of the blockchain in offering digital commodities is only growing. Companies are looking at unique, customizable digital tokens that allow the customer to tailor their interaction with experiences within the facility or via the online portal.

'Frictionless' prize and redemption

The opportunity of moving the whole aspect of prize and redemption gaming to a "frictionless" model has been experimented, with a "virtual (online) prize center" using touchscreens.

The ability to have everything moved to a storeroom-less process (the prize items being delivered to the guest's door) offers an attractive opportunity for customization and engagement to generate repeat visitation.

In the age of multiplayer online gaming, the consumer players are more than familiar with virtual items — be they gifts and bonuses from "loot boxes" or the purchase of unique "skins" for characters and their weapons.

The value of these virtual items has become considerable, with virtual skins and weapons auctioned. Most recently, one of the most expensive virtual items sold at auction was the "Entropia Universe: Planet Calypso," for an eye watering $6 million, gaining an entry in the Guinness Book of Records.

The e-sports factor

While the leading consumer online games now include highly profitable collectables, the ability to add these to e-sports teams to give them additional advantages sees a strong trade in these digital commodities.

The future for the location based entertainment venue of the future will be in a mixture of physical and digital commodities on offer. Such as specialist kiosks dealing in blockchain tokens and currencies towards purchasing games, virtual items and tokens.

At the same time, the guests to these venues will be able to capture and share coverage of their time within the venue. They will be able to capture, process and distribute the favorite images, video and holograms through their social media presence.

These captured experiences will be collected, edited and distributed to the guest through a highly automated app platform that will generate secondary revenue for the operation and could also be linked to marketing and advertising opportunities.

The future of capturing memories and offering incentives to the guest to return and share in their fun and enjoyment on property will soon be seeing a major revolution that will extend far beyond our current understanding of the "takeaway."

(Editor's note: Extracts from this blog are from recent coverage in The Stinger Report, published by KWP and its director, Kevin Williams, the leading interactive out-of-home entertainment news service covering the immersive frontier and beyond.)

Music & Games

About Kevin Williams

Along with advisory positions with other entrants into the market he is founder and publisher of the Stinger Report, “a-must-read” e-zine for those working or investing in the amusement, attractions and entertainment industry. He is a prolific writer and provides regular news columns for main trade publications. He also travels the globe as a keynote speaker, moderator and panelist at numerous industry conferences and events. Author of “The Out-of-Home Immersive Entertainment Frontier: Expanding Interactive Boundaries in Leisure Facilities,” the only book on this aspect of the market, with the second edition scheduled for a 2023 release.

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