Malls across the U.S. have seen a steady decline in foot traffic over the past decade, largely driven by the rise of e-commerce and changing consumer behavior. Between 2017 and 2022, the number of malls in the United States declined by nearly 17% annually.
The Decline of Traditional Retail
This shift has left property owners and developers searching for sustainable, innovative solutions to breathe new life into underutilized retail spaces.
Entertainment Attractions: A Proven Path to Revitalization
As traditional retail anchors struggle, entertainment attractions are stepping in to fill the void. Family Entertainment Centers (FECs)—which include attractions such as arcade games, virtual reality, mini-golf, climbing structures, and soft play—have seen explosive growth. According to industry forecasts, the global FEC market is expected to grow from $30.8 billion in 2022 to $108.4 billion by 2033, representing a compound annual growth rate (CAGR) of 12.1%.
Entertainment-based tenants not only attract new visitors but also extend guest dwell time, increase per-capita spend, and create vibrant community destinations.
Mall of America: A Case Study in Diversification
One of the most compelling examples of this trend is the Mall of America in Minnesota. By integrating large-scale attractions like Nickelodeon Universe and SEA LIFE aquarium, the mall has rebranded itself as an entertainment-first destination. The result? A notable shift in visitor behavior—weekday visits rose from 56% in 2019 to nearly 70% by 2022, demonstrating how entertainment draws consistent, diversified traffic.
Key Benefits of Integrating Entertainment Attractions
Increased Foot Traffic
Malls that introduce interactive attractions—such as ropes courses, climbing walls, or themed play zones—see measurable spikes in visitation. Between Q2 2020 and Q3 2022, shopping centers that embraced experiential elements consistently outperformed those that did not.
Diversified Revenue Streams
Beyond boosting footfall, entertainment attractions offer new income channels. From ticketed experiences to food & beverage sales and branded merchandise, these venues help malls reduce their reliance on retail-only revenues.
Enhanced Customer Experience
Today’s consumers are looking for more than just products—they’re looking for experiences. By offering immersive environments and interactive attractions, malls can create emotional connections that foster repeat visitation and increase dwell time.
Challenges to Consider
While the benefits are clear, entertainment development requires careful planning. Malls must evaluate:
- Initial capital investment for build-outs and theming
- Ongoing maintenance and staffing requirements
- Alignment with local demographics to ensure sustained interest and long-term profitability
Working with an experienced design and fabrication partner can help reduce risk and improve execution across these variables.
The Future of Retail Is Experiential
The transformation of malls into entertainment destinations isn’t a passing trend—it’s a necessary evolution. As consumer expectations shift and traditional retail continues to contract, malls that embrace attractions tailored to their audience will lead the next generation of retail success.
By investing in entertainment architecture and immersive design, mall owners can turn empty anchor stores and unused common areas into high-performing, family-friendly spaces. The result? Stronger foot traffic, diversified revenue, and long-term resilience.
Looking to Reimagine Your Mall with Custom Attractions?
Lothian Industries specializes in the design, engineering, and installation of high-impact entertainment environments for malls, FECs, and mixed-use developments.
