People want to have fun again. And that can lead to big dollars in the retail entertainment space.
That’s the theme of JLL’s Retail Entertainment 2023 report, released earlier this month. According to JLL, people are spending an increasing amount of their time and money on entertainment.
Examples? In the fourth quarter of 2022, spending on dining out in the United States grew by 13.7% on a year-over-year basis. In an even bigger increase, spending at amusement parks and arcades grew by 20.6% in the fourth quarter of 2022 when compared to the same period a year earlier.
Companies see this. JLL reported that entertainment concepts — everything from pickleball-themed eateries and high-end bowling alleys to Tokyo-inspired arcades and indoor miniature golf targeted to adults — plan to open 9.1 million square feet of new entertainment space in the United States and Canada during the next two years.
JLL reported that Americans spent 32.8% more on the performing arts in the fourth quarter of 2022 when compared to the same three months in 2021, 12.9% more on spectator sports and 2.5% more on movies.
And in more good news for entertainment-based retailers, JLL’s report predicts that U.S. residents will spend 10.2% more in recreation spending in 2023 than they did last year.
