For millennia, entertainment was inherently location-based—whether through fireside storytelling, ancient theatres, or public performances. With the invention of the printing press, followed by the gramophone and radio, entertainment shifted toward anywhere, anytime consumption. As digital media, smartphones, and social media blurred these boundaries further, the need for the term Location-Based Entertainment (LBE) emerged to differentiate physical, on-site experiences from those enjoyed remotely. LBE spans traditional venues like zoos, aquariums, theme parks, and cinemas to new concepts such as immersive art and competitive socialising.
Image credit Tim Ayers / Alamy
LBE is closely tied to the Experience Economy, an economic concept where businesses focus on creating memorable experiences for customers rather than just selling products or services. In this model, the value comes from the unique and personal experience a customer has, which can lead to emotional connections, loyalty, and a willingness to pay more.
For example, instead of just selling coffee, a café might focus on the ambiance, interaction, and atmosphere, turning the simple act of buying coffee into a meaningful experience.
This concept was popularized by Pine and Gilmore in their seminal book "The Experience Economy", where they argued that businesses must evolve from selling commodities, goods, and services to offering experiences to stay competitive.
Beyond experiences, Pine and Gilmore introduced the Transformation Economy, where the experience changes the customer in a meaningful way. LBEs that inspire behavioural change, such as modern zoos educating visitors on conservation and promoting actions like reducing palm oil consumption, fall into this category. This transformation reflects LBE’s highest potential—moving beyond entertainment and education to inspire long-term, beneficial personal change.
LBE offers rich opportunities in the growing experience economy. Through engagement of multiple senses, they can drive deeper engagement and higher visitor spending by encourage repeat visits, and supporting a range of revenue streams.
From traditional venues like zoos and theme parks to escape rooms and competitive socializing, LBE is evolving into transformative experiences that not only entertain but also change how people interact with the world. Understanding this shift toward immersive, transformational experiences provides a unique opportunity to capitalize on the future of entertainment.
Contact us today to discover how we can help you stay ahead in the evolving entertainment landscape.