LAI:
Coming to America
LAI Games is known around the world. The Australian company
that made its mark in coin-op with a string of hit games
has introduced four brand-new products since opening its
U.S. offices in Texas. LAI Games has streamlined
its product mix and developed prize vending games, ticket
redemption games, and kiddie games. Roots in operating
have given LAI Games a true appreciation of what's needed
and what works in the field. |
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LAI
Games is not a new name in the coin-op amusement industry but
it has strengthened its global presence by opening its first
office in the United States.
LAI Games has never hesitated to view opportunities with an
open mind. It was with this attitude that LAI Games took a gigantic
step in increasing and solidifying its growing global presence
by recently opening its first office in the United States, located
in Carrollton, Texas, just outside of Dallas.
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The
Beginning
It was about 50 years ago that a motivated teenager named
Malcolm Steinberg started Leisure and Allied Industries
with 50 pinball machines. Little did he know that his
initial investment would grow into a global operation
with an international sales division that now operates
in 26 countries around the world.
LAI Games, the sales and manufacturing arm of Leisure
and Allied Industries (LAI Group), got its start initially
by developing games for the LAI Group's more than 200
Timezone family entertainment centers (FECs) in Australia,
New Zealand, and Asia. |
"When
we started to receive positive feedback about our games from
Timezone patrons we realized that our games could generate
revenue for other operators around the world," said General
Manager Alan Freimuth. "We also recognized that we could
utilize Timezone locations as a testing ground for the games
that we develop. We truly believed that our unique industry
background and experience in operations would allow us to
create the kinds of games that are both fun to play and profitable
for operators. In a way we are operators developing and manufacturing
games for other operators."
In 1998 the sales operations division became
a reality as LAI Games' first products, Stop the Clock and
Ripper Ribbet, rolled off the assembly line. The company quickly
began to establish quality distribution channels around the
world, but in the United States development was slow. "Most
countries have only one distributor for prize vending games,
ticket redemption games, and kiddie rides so developing relationships
was fairly easy in those countries," stated Freimuth.
"In the United States there are over 20 national distributors
due in part to the large population and the high demand for
games. We understood that we had to find a unique way to penetrate
the U.S. market."
LAI
Games originally chose to address these challenges by
granting licensing rights for their products to other
manufacturers already established in the United States.
In 2003, with growth still slow, the company gained some
momentum by granting exclusive distribution rights to
a prominent game manufacturer, yet LAI Games still did
not experience the kind of growth it had hoped for.
In November 2006, LAI Games made the decision to open
its first office in the United States and market its own
games instead of licensing them through others. "The
decision was tough," explained Freimuth, "but
the timing was right. The United States is the biggest
market in the world and we are starting to develop a good
assortment of high-quality, innovative games that will
be very profitable for our operators. We want to be here
to help and support our U.S. distributors and operators
in any way we can. The move has also strengthened our
brand awareness in the marketplace and helped improve
our presence not only in the United States, but also around
the world." |
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The
games
LAI Games has streamlined its product mix developing prize
vending games, ticket redemption games, and kiddie rides.
Why these games? The company once again looked to its
operational organization, Timezone, and observed the enthusiasm
and excitement players experienced when they won prizes
from the games. It didn't matter if the player won instant
merchandise or a large number of tickets, the emotions
were the same.
LAI Games comprehended that the key to keeping players
playing was to reward them for their efforts, something
players can't achieve by playing video games at home.
The company also noticed that the lifespan of prize dispensing
and redemption games appeared to be longer. "The
reason," Freimuth observed, "is that people
don't get tired of winning prizes because the prizes are
always different." |
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In
2000 LAI Games introduced its first prize vending game,
Time Buster, which was an enormous success in Europe but
surprisingly received little exposure in the U.S. market.
But two years later the company introduced Lighthouse,
which was the first hit in the United States. The prize
vending game promoted the ability for the player to win
the high value merchandise displayed in the game cabinet.
Not only was it a bona fide hit, many of the merchandise
suppliers offered specific Lighthouse mixes to operators.
In 2003 on the heels of the tremendous
success of Lighthouse, LAI Games hit another home run
with Stacker, one of the most profitable games to date
for U.S. operators. Both Lighthouse and Stacker still
dominate the top of the list in Play Meter's Prize Vendor
Redemption Equipment Poll.
Since opening it offices in Texas, LAI Games has introduced
four brand-new products to the coin machine market. In
November you saw two new ball toss games, Squid Spies
and Feeding Time; in March, Match Maker, the relationship
compatibility and romance advice game; and Super Strike,
a bowling game. Attendees at the trade shows agreed that
LAI is on a roll. |
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The People
After working for seven years in LAI Games' Singapore office,
Freimuth made the move to Texas. "I've enjoyed the move
and am very excited about this opportunity. One of the most
important aspects of my job is building a staff that is enthusiastic
about the industry and is ready to tackle all opportunities
that they face. I think we have gotten off to a terrific start."
One of the first moves Freimuth made was to bring Debbie Gonzalez
on board as LAI Games' U.S. Sales Manager. What a brilliant
choice. There are few distributors that don't know her from
her days at OK Mfg. and Five Star Redemption. She has taken
the bull by the horns, so to speak, and insists that she wouldn't
have accepted the position if she wasn't so confident in the
games and the company. Debbie is well respected and has experience
to spare.
To make sure that momentum continues to build and the word gets
out about all of the new and thrilling products and offerings
LAI Games is bringing to market, the company hired Chris Kinney
as the new Marketing Manager. His name might not be familiar
in coin-op circles but his 10-plus years of marketing experience
makes up for it.
Carl McKinney was added to the team to keep the game technicians
happy. He has exceptional customer service skills and has been
able to quickly get up to speed on all of LAI Games' support
and technical needs.
While its big news that LAI has committed to office space, products,
and personnel in the Dallas area, the surprising news is that
it's about to grow out of the current office space!
What does Steinberg have to say about all that's happened?
"We have established a lot of momentum in the United States
in a very short timeframe and we aren't about to let up."
If LAI Games can continue to manufacture products that produce
profits for operators that are comparable to what Lighthouse
and Stacker have produced, then the company's future in the
United States is extremely bright. |
