Timezone Eyes Expansion Amid Growing Demand for Experiential Retail in the Philippines

Timezone, a leading entertainment chain owned by The Entertainment and Education Group (TEEG), is gearing up to expand its footprint in the Philippines as consumer demand shifts from products to experiential offerings. This trend is bolstered by local developers transforming malls into dynamic lifestyle hubs.

"There is a global shift that’s so profound in the Philippines where there’s more demand for experiences than products," said Sonaal Chopra, CEO of TEEG, headquartered in Australia. "As malls such as those developed by Ayala, SM, and Robinsons evolve into experience-centered destinations, Timezone is positioned right at the forefront."

Since launching its inaugural Philippine outlet in 1998, Timezone has grown from a simple arcade to a comprehensive entertainment network with 51 full-scale venues and over 50 smaller locations nationwide. Notably, more than two-thirds of these venues now offer multiple attractions.

Chopra highlighted, "Following our transition to multi-attraction formats, visitation rates have increased by 23% this year in the Philippines."

The surge in experience-focused retail aligns with a broader expansion in the country’s shopping infrastructure. Retail space completion tripled to 265,000 square meters this year from 86,900 square meters previously, with expectations of an additional 111,000 square meters by 2028, according to market analysts.

Timezone’s growth strategy hinges on continual innovation, network expansion, and deepening guest engagement. Approximately 25% to 30% of the game offerings are refreshed each year to maintain excitement and variety.

Karaoke rooms, immensely popular among Filipino consumers, are a key focus; plans include enlarging the number of rooms and regularly updating song libraries. Other favored attractions include Street Fighter, basketball zones, virtual reality, photo booths, and social bowling. The chain also caters to corporate clients with party room bookings, especially during peak holiday seasons.

Chopra emphasized the company’s strategy to broaden its reach beyond Metro Manila into regional centers, responding to lifestyle developments in provincial areas. "Next year, we’re launching new venues in Bacolod and Solenad in Laguna, with Baguio and Pampanga also in our expansion pipeline," he said.

Additionally, Timezone leverages digital solutions such as the Timezone Fun App, which boasts over one million downloads from Philippine users. The app enables seamless card reloads, offers exclusive promotions, and tracks rewards, enhancing customer interaction.

Despite the rise of digital gaming, Chopra noted the pandemic increased the appetite for shared, in-person entertainment. "Shopping centers are investing heavily to reinvent themselves, driven by consumers placing greater value on time and social connections post-COVID," he explained.

Timezone Philippines operates via a joint venture between TEEG and Ayala Land, Inc. The company plans to open between 30 and 40 new venues annually across the Asia-Pacific region, including the Philippines, Indonesia, Singapore, Vietnam, India, Australia, and New Zealand.

"We have a striking opportunity to double our network size in existing markets over the next five years," Chopra added.

When asked about his personal favorite Timezone feature, Chopra noted his affinity for social bowling and the innovative ColourGrid attraction. "When I’m in the Philippines, I try the karaoke booths, though I must admit... Filipinos sing so well, I can’t compete," he remarked with a smile.