Industry

Funworld June 2010

Tell It Like It Is!

New IAAPA FEC Committee member Rick Iceberg speaks his mind
by Mike Bederka

Rick Iceberg prefaced his FUNWORLD interview with one request: “No dumb, boring, loser questions. Nobody cares.” (We tried our best.)

The 57-year-old family entertainment center (FEC) owner prides himself on his honesty, a trait he’s carried throughout his entire career. C.J. Barrymore’s in Clinton Township, Michigan, opened 35 years ago as a nightclub. Throughout the 1980s and ’90s, Iceberg’s facility drifted away from that scene and slowly added attractions like miniature golf, batting cages, and go-karts until it completely transformed into an FEC.

Iceberg, one of the newest members of the IAAPA FEC Committee, candidly discusses the state of the industry.

What is the outlook for the FEC industry?

Now is a great time. People are looking for value on their dollar. It makes us a great business to be in. They can come to C.J. Barrymore’s and spend $50 or $100. Cheap entertainment is always going to be here.

But is now a good time to come into the industry?

Entering today would probably be extremely difficult. You’re not going to get [anything] for financing. How are you going to get a bank to cough up a couple million bucks in this economy? They’re not going to do it. Taking over a place that went bankrupt may be a better way to go. There are a bunch of guys who over the past five, six, seven years overbuilt and jumped into it and really didn’t pay attention. They thought they could reinvent the wheel, but the FEC industry doesn’t work like that.

What’s the key to running a successful FEC?

If you start tucking tail, your sales are going to go down. The smartest thing we did is add new things to keep our sales up. Your profit margins [will be terrible], but you have to keep going forward, even in this economy. If you don’t, you’re just going to get lost in the dust. In the last 60 days, I spent a quarter million dollars on stuff for our place. We feel in five to 10 years we can double the size of our joint.

What should FECs be capitalizing on right now?

There’s no way I would run an FEC anywhere in the U.S. without beer. It’s like running a restaurant without beer. I have a full sports bar/pub in my place. We also sell beer in the golf dome. In the wintertime, that’s probably one of the busiest things: guys hitting golf balls and drinking beer.
Also, FECs don’t capitalize on adult groups. They’re so focused on kids that they forget there’s a whole other part of the family there.

Do you have any other advice for FEC owners?

Go out and see other parks. I don’t think they do enough homework. They just think they’ll come up with one idea and fill the park. You have to go out and study this industry. It’s constantly changing, growing, and improving. If you don’t go out there and see what’s going on and what changes are happening, then you’re going to make too many mistakes.

Why did you want to get involved in the IAAPA FEC Committee?

I’ve been going to IAAPA shows since 1982. I don’t think I’ve missed one meeting. I love the organization. With the merger of IALEI and IAAPA, (former IAAPA FEC Committee President) Tim Sorge called me and asked if I wanted to join. I thought it be would be fun. It was time for me to get involved.

What do you bring to the committee?

I bring a different view. I go in different direction. There’s a lot of [garbage] out there, and I just cut through the [garbage] and tell you how it is.

What do you like most about your job?

I deal with a bunch of guys at IAAPA, and we always talk to each other: What are you doing? What’s on the agenda? What are you making money on? Family entertainment is a fun industry to be in as long as you’re working to move forward. Also, I’m lucky because my managers do all the work; I just take credit for it. I have a great staff.

What do you do in your spare time?

Nobody cares!

Contact Contributing Editor Mike Bederka at mbederka@IAAPA.org.