Dave & Buster's Partners with Lucra to Launch Social Wagering on Arcade Games

Dave & Buster's, the popular entertainment and dining chain, has announced a partnership with gamification software company Lucra to launch social wagering on its arcade games. The new feature, expected to roll out in the coming months, will permit patrons aged 18 and older to place friendly $5 bets on games like Hot Shots basketball and Skee-Ball through the company's mobile app.

The integration of Lucra's proprietary gamification software into Dave & Buster's gaming platforms aims to increase customer engagement and monetization by enabling customers to compete against each other and wager on the outcomes of their arcade game sessions. "This partnership aims to increase customer engagement and monetization by providing 'real-time, unparalleled gaming experiences' and reinforcing the company's commitment to inventive and state-of-the-art technology," said Simon Murray, the senior vice president of entertainment at Dave & Buster's.

Lucra, founded in 2019 by former Goldman Sachs employees, provides a platform for users to compete for real money on skill-based games, which are not subject to the same regulations as games of chance. The company has raised $14 million from investors and sees the potential for a new form of digital experience to get customers to engage more and spend more time and money. Lucra is careful to avoid using the terms 'bet' or 'wager,' instead referring to the competitions as 'real-money contests or challenges.'

Why this matters: The partnership between Dave & Buster's and Lucra reflects the growing trend of incorporating gaming and wagering elements into various entertainment experiences. With the global gaming industry valued at $184.4 billion and the social betting category estimated at $6 billion, this move could significantly boost customer engagement and revenue for Dave & Buster's.

Dave & Buster's currently has over 222 venues in North America and 5 million loyalty members, with 30 million unique visitors annually. The company's stock has risen over 50% in the past year as the boom in betting has increased engagement among sports fans. The new social wagering feature, set to launch in the next few months, is expected to have a similar effect on Dave & Buster's patron base, driving more time and spending from customers while providing an enhanced entertainment experience.

Key Takeaways

• Dave & Buster's partners with Lucra to enable social wagering on arcade games.
• Customers aged 18+ can place $5 bets on games like Hot Shots and Skee-Ball.
• Aims to increase customer engagement and monetization through competitive gaming.
• Lucra provides a platform for skill-based real-money contests, avoiding 'bet' or 'wager'.
• Partnership reflects growing trend of gaming and wagering in entertainment experiences.