For centuries, consumer capitalism has evolved from the commodification of goods to services and, more recently, to experiences. Alongside this, the Location-Based Entertainment (LBE) industry has been a constant companion, from the pleasure gardens of the 18th century to today’s immersive worlds, LBEs have long provided a respite from the grind of industrial and post-industrial life. But as we face an existential crisis born from overconsumption, social disconnection, and a search for meaning, the industry stands at a crossroads.
The question is: Can LBEs evolve beyond mere distraction to meet the higher needs of today’s consumers?
A widely discussed theory of human fulfilment is Maslow’s hierarchy of needs. Published in 1954 Maslow's theory considers people are motivated by unsatisfied needs, comprising a five‐tier model, often depicted as hierarchical levels within a pyramid. From the bottom of the hierarchy upwards, the needs are: physiological, safety, belonging, esteem, and self‐actualisation. Consumer capitalism and the LBE industry have historically catered to the first few stages—providing comfort, safety, and diversion. But as modern society grapples with the consequences of overconsumption, people are looking for more than just comfort and entertainment. They are searching for connection, meaning, and personal growth.
This shift is perfectly captured in Pine and Gilmore’s book "The Experience Economy", which highlights that today’s consumers seek memorable experiences over material goods. However, Pine and Gilmore take it further with the idea of the transformation economy, where businesses not only provide experiences but help change people in meaningful ways. This idea aligns directly with the upper tiers of Maslow’s hierarchy—specifically, the need for esteem and self-actualization.
The LBE industry has the opportunity to embrace this shift, providing experiences that don’t just entertain but help individuals grow, connect, and find purpose.
One of the clearest examples of this evolution within the LBE industry is the rise of competitive socializing—venues like Flight Club (social darts) and Swingers (crazy golf) have exploded in popularity. These spaces offer more than just an activity; they create an environment where people can connect through friendly competition. This taps directly into Maslow’s third and fourth tiers—love and belonging, and esteem. These venues foster meaningful social interactions while giving participants a sense of achievement, making them more than just places to have fun. They are spaces where people can connect, compete, and build confidence in a relaxed, playful environment.
At the higher end of Maslow’s hierarchy is the need for self-actualization—the desire to achieve one’s full potential, to engage creatively, and to grow personally. The LBE industry has begun to cater to this need with the rise of immersive experiences like Immersive Van Gogh, TeamLab, and Meow Wolf. These venues are more than just spectacles; they invite visitors to become part of the experience, engaging them on intellectual, emotional, and creative levels.
Above: TeamLab Tokyo. Image Credit Shota James
These immersive experiences address the higher-level needs for creativity, self-expression, and personal growth—moving beyond distraction and into transformation.
Historically, the LBE industry has offered escape. But today, consumers want more than just a break from reality—they want experiences that help them understand themselves better, that foster connections with others, and that align with their values. This evolution reflects a broader societal shift: as people question the long-term effects of consumer capitalism, they seek meaning and purpose in the experiences they invest in.
"Business has helped us be warm, safe and distracted;
it has been markedly indifferent to our flourishing"
Alain de Botton
This presents a profound opportunity for LBEs. By moving beyond escapism to address the upper levels of Maslow’s hierarchy, the industry can not only evolve but also play a crucial role in helping people grow, connect, and thrive.
The future of LBE lies in purpose-driven experiences that cater to both the need for personal growth and the desire for social connection. As Pine and Gilmore’s Transformation Economy suggests, the next phase of business is to offer experiences that leave a lasting impact on people’s lives. By aligning with the upper tiers of Maslow’s hierarchy—esteem and self-actualization—LBEs can meet the growing demand for experiences that foster personal transformation.
Above: "Becoming Human" 30-foot sculpture by Christian Ristow. Meow Wolf, Santa Fe.
Image credit Parker Higgins under Creative Commons
As the LBE industry continues to evolve, the most successful venues will be those that go beyond entertainment to deliver transformation. By addressing the higher human needs for connection, self-esteem, and personal growth, LBEs can redefine what it means to provide a meaningful experience. The future of location-based entertainment isn’t just about creating bigger thrills or more immersive environments—it’s about offering experiences that help people flourish.
The next chapter of consumer capitalism will be written by industries that recognize this shift. And for the LBE sector, the opportunity is clear: to move beyond distraction and escapism, and instead offer experiences that nurture connection, esteem, and self-actualization—helping visitors not only escape from reality but thrive within it.
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