Fantasy Claw Arcade Seeks Major Metro Growth After Launching Franchise System
- Brad Howard
- Jul 25
- 3 min read
Nearly a century after the first patented claw machine was invented, Fantasy Claw Arcade believes its wizard-themed arcade concept is the next big thing in entertainment.
Managing Partner Brad Howard and general manager Elliot Cole think this is possible with the brand now offering franchise opportunities.
Each arcade houses anywhere from 50 to 100 prize redemption machines, with about 90 percent claw-operated. Guests use tokens to operate the machines for a more tactical, immersive experience and can receive wizard-themed coin pouches and clear backpacks to carry their prizes, ranging from retro merchandise and trading cards to plush toys and candy. The brand offers package deals for group visits.
Howard, a lifelong arcade aficionado, believes the brand has a promising future in the United States with its array of family-friendly offerings.
“I was always fascinated with coin-operated gadgets. I had a pinball machine when I was younger and have an arcade in my current house,” he said. “I travel Asia … for different business projects and for pleasure, and I noticed the abundance of claw machine and prize redemption arcades thriving. With my love for coin-operated gadgets and me seeing a huge trend in Asia over the last decade, I thought the timing was right to bring it to the U.S.”
The concept is still young; its first location opened last year at the Fashion Show Mall on the Las Vegas Strip and its second launched two months ago at Planet Hollywood in Las Vegas. A third location is slated to open this October in Honolulu.
The company’s flagship location is around 4,500 square feet—the largest claw arcade in Nevada, Howard said—and generated $666,457 in sales from May through December 2024, according to the company’s franchise disclosure document. New units will range from 1,500 square feet up to 4,500, with most falling around the 2,500-mark.
Success in high-traffic areas like Las Vegas has the team targeting similar markets in the site selection process, gravitating toward major metro markets with existing family entertainment centers like Dave & Buster’s and Chuck E. Cheese.
“We believe that for every family entertainment center that’s in a market, there should be at least one claw arcade,” Howard said.
Malls, in particular, are promising sites for the brand.
“We're finding that mall and retail property owners are struggling to bring in fresh concepts that drive new traffic and lengthen the time in which people stay at malls … and they’re struggling to find these new concepts throughout most of the country,” Howard said. “Malls are extremely flexible and want to attract a trendy concept like a Fantasy Claw Arcade because it brings in new, fresh traffic. It fills these big spaces and really provides value to the mall and the other tenants there.”
Diving into markets among direct competition could be daunting, but Cole and Howard believe their concept can grow to hundreds of locations and embody a new chapter in entertainment offerings.
“We think we’re the next evolution of this entertainment wave, which maybe started with escape rooms and moved to axe throwing and VR,” Howard said. “We’re a segment in this entertainment category, and we think the segment that we fall into is viral in nature. It’s for all ages, the price point can cover a wide demographic, and it brings back a nostalgia for old folks and young folks.”
Fantasy Claw Arcade anticipates opening at least 30 units by the end of 2027 and reaching triple digits over the next five years. The company hopes to have at least two franchise deals signed by the end of this quarter, Howard said.
The total investment needed to operate a Fantasy Claw Arcade ranges from $245,300 to $442,000, according to its FDD.
“This industry is very much in its infancy, and we’re seeing trends going up and gaining momentum,” Cole said. “We want to be that dominant name in the space, so our goal with this brand is when you think of a claw arcade, you think Fantasy Claw Arcade.”
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