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Young guests often shed tears at Jungle Jaks, but it’s not what you think.
“They’ve been playing for hours and they don’t want to leave,” says Olivier Cohen, owner/operator of the family entertainment center (FEC) in El Paso, Texas. “That’s really rewarding for us.”
Jungle Jaks (www.junglejaksfun.com) is actually a second career for the proud father of two young girls. “It’s a product of the financial crisis,” explains the 38-year-old.
Cohen, who holds a master’s degree in business law, worked for 15 years in the international transportation industry. He traveled the world and called Indonesia, Singapore, Mexico, and the U.S. home; however, like many in the corporate world, he felt the full force of the great recession. In mid-2008, Cohen lost his job.
Determined not to stay unemployed for long, he began to explore new career paths, with opening an FEC becoming an early favorite. His wife and her family worked in the restaurant industry as well as owned a group of private schools, so he didn’t need to look far for the building blocks of a second act. Cohen absorbed more knowledge by attending IAAPA Attractions Expo, and after a year of research, focus groups, and planning, he opened the 12,000-square-foot FEC in March 2010, with a twist.
Jungle Jaks, geared for children ages 1 to 12, features no redemption or video games. Instead, Jungle Jaks relies on some novel interactive play.
He received a heap of criticism from his colleagues for the choice, but the unconventional move paid off. A second location will open in early 2012, with more facilities on the horizon.
You lost your job during the recession. Were you nervous about opening a new business with the economy still suffering?
We thought it was a good opportunity. The price of property was still affordable. My wife and I decided to relocate from Miami, Florida, to El Paso because of better demographics: 27 percent of the population is between 0 and 12 years old. The national average is 20 percent. In addition, our facility is located in one of the fastest growing ZIP codes in the nation, mainly due to the Fort Bliss Army Base expansion. Plus, with the recession, we could reach the families that cannot afford to go on vacation anymore. So, we thought “Let’s do it.” It’s a long-term investment. I had to sell some properties in Europe, put in a lot of cash, and take some high risks. But we just believed in it. We wanted to live the American dream.
Why was it important for you to focus on other forms of entertainment besides redemption and video games?
My wife is Mexican, and I’m French. We thought, “Let’s bring something new to the market—an FEC with a Latin touch in the United States.” With a Latin touch, you promote interactive play, kids playing together, or parents bonding with their children. The arcade is passive play. We have targeted a niche market successfully.
 What sort of interactive play do you offer?
One is our modeling studio where girls get to dress up and walk the runway with live video. Our game attendant provides makeup, hairdo, 3-D nails, and glitter tattoo services. Some girls are shy, but this pretend play activity gives them confidence. Another popular one is the arts and crafts studio. Kids can paint and draw, use stickers, do wood and ceramic projects, and beading. It’s very simple, but to have kids create art in front of their parents is something fantastic.
What was the reaction to those in the industry when you said you weren’t having video or redemption games?
A lot of people thought we were completely crazy. “Don’t do it,” they said. “You’re not going to be profitable. The money is coming from redemption and arcade.”
How has business been?
In July, we had 15,000 to 16,000 visitors, our best sales numbers since we opened. We forecast 2011 revenue slightly higher than the national FEC chains with similar square footage.
Beyond the interactive play model, to what do you attribute to your success?
I think it’s a combination of a few factors. First, we have allocated an average of 3 percent of Jungle Jaks revenue to a wise mix of advertising: TV, radio, and magazine. Advertising our brand-new concept with the right mix of indoor games, such as indoor bumper boat and car rides, a state-of-the-art soft play unit, and our activity stations, is a continuous objective. Second, we offer a great value. We have made a lot of sacrifices on the pricing. In this economy, it’s important that our guests get a lot for their money. We start at $5.99 for general admission, and we have a $15 VIP pass for unlimited rides. And third, we feature a highquality fast-dining casual restaurant. We believe the next generation of FEC has to focus on food. You can’t have just snacks or fast food anymore. If you don’t have good food, you’re killing your business.
What are your plans for the future?
Investors approached us through Morgan Stanley, and we hope to open a new facility in Texas during the first quarter of 2012. A mall is also interested to have Jungle Jaks as its tenant, and we are currently putting the numbers together. Our business plan is to have 10 stores by 2018, which I know is very aggressive. We’re looking for partnerships and in the future probably franchises. For the time being, we want to control the quality of the investment and the operation. We are now confident that we have the knowledge to open new facilities with the same success and, most important, sustain our excellent return on investment.
Contact Contributing Editor Mike Bederka at mbederka@IAAPA.org.
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