Cantaloupe, Inc. Introduces Engage Pulse for the Arcade and Amusement Industry

Rhea-AI Summary

Cantaloupe (NASDAQ: CTLP) has launched Engage Pulse, a new card reader designed for the arcade and amusement industry. The device features a ladder pricing interface allowing players to purchase multiple plays in a single transaction, modernizing the payment experience.

According to Cantaloupe's 2024 Micropayment Trends Report, consumers spent over $100 million at amusement machines in 2023, with 63% coming from cashless transactions. The average cashless purchase value was $6.13 compared to $0.81 for cash purchases.

Early adopters have reported significant results, with one customer seeing crane game sales increase by 85% year-over-year in two months. The Engage Pulse features a 3.5-inch color touchscreen, cashless payment acceptance, and seamless integration with Cantaloupe's Seed Live platform.

Positive

• Early adoption shows 85% YoY sales increase in crane games
• Mall locations reporting up to 53% YoY sales increases
• Customers spending $2-3 more than default $1 price on games
• Cashless transactions average $6.13 vs $0.81 for cash purchases
• 63% of total sales volume comes from cashless transactions

Negative

• None.

Insights

Payment Technology Analyst

The launch of Engage Pulse represents a strategic pivot into the high-growth amusement payments sector. The $100 million spent at amusement machines in 2023, with 63% being cashless, signals substantial market opportunity. The 7.5x higher average transaction value for cashless ($6.13) versus cash ($0.81) purchases demonstrates strong monetization potential.

The ladder pricing feature is particularly noteworthy, as demonstrated by Lieberman Companies' 85% year-over-year sales increase in crane games. This suggests the technology effectively reduces payment friction while encouraging higher per-session spending. For context, a typical arcade operator managing 100 machines could potentially see annual revenue increase from $500,000 to $925,000 based on similar adoption patterns.

The integration with Cantaloupe's Seed Live platform creates a comprehensive data analytics ecosystem, enabling operators to optimize pricing strategies and machine placement. This positions Cantaloupe to capture a significant share of the modernizing arcade payment infrastructure market.

Market Research Analyst

The amusement industry is undergoing a digital transformation and Cantaloupe's timing is optimal. The 63% cashless transaction volume indicates market readiness for advanced payment solutions. Current market dynamics suggest a potential addressable market of $2.5 billion in North America alone for arcade payment solutions.

Early adoption metrics are compelling - the reported 53% to 85% year-over-year sales increases at various locations suggest strong product-market fit. The $2-3 increase in average transaction value above the base $1 price point demonstrates successful behavioral economics implementation through the ladder pricing model.

For investors, this represents a significant growth vector for Cantaloupe, potentially expanding their total addressable market by 15-20%. The technology's ability to drive higher transaction values while reducing operational costs positions it favorably against traditional cash-based systems.

New Point-of-Sale Technology Modernizes Amusement Payments with Ladder Pricing Feature to Drive Multiple Plays and Increase Revenue

MALVERN, Pa.--(BUSINESS WIRE)-- Cantaloupe, Inc. (Nasdaq: CTLP), a global leading provider of end-to-end technology solutions for self-service commerce, announces the launch of its new Engage Pulse card reader. This innovative payment solution is designed to maximize revenue potential through a ladder pricing interface that allows players to pay once and then enjoy multiple plays. This feature enables the Engage Pulse to deliver a seamless consumer payment experience while increasing revenue for arcade and amusement operators.

Cantaloupe introduces Engage Pulse for the arcade and entertainment industry, which enables maximize revenue potential through a ladder pricing interface, and allows players to pay once and then enjoy multiple plays. Early adopters of the Engage Pulse are already seeing remarkable results with one customer seeing crane game sales up 85% year over year in just two months. (Photo: Business Wire)

This launch comes as the amusement industry experiences significant growth in cashless payments. According to the Cantaloupe 2024 Micropayment Trends Report, consumers spent more than $100 million at amusement machines alone in 2023, with 63% of total sales volume coming from cashless transactions. The average cashless purchase value reached $6.13, compared to only $0.81 for cash purchases, demonstrating strong consumer adoption of digital payment methods and an opportunity for even more industry growth with cashless payment systems.

"The amusement and gaming industry has long struggled with the limitations of cash-only payments, which often result in missed opportunities and frustrated customers," said Gaurav Singal, chief technology officer of Cantaloupe, Inc. "Our Engage Pulse device transforms this experience by allowing customers to purchase multiple plays upfront in a single transaction."

Early adopters of the Engage Pulse are already seeing remarkable results. “We installed crane games with the Engage Pulse units at one of our trampoline park locations, and in November and December, sales were up 85% year over year. In our mall locations, we’re seeing up to 53% year-over-year sales increases,” said Tim Zahn, vice president of operations at Lieberman Companies, a large amusement and arcade operator in the Minneapolis/St. Paul metro area. “With the Pulse, we’re seeing customers spending $2–3 more than the default $1 price on these games. It makes payment quick and easy.” Lieberman Companies’ success has demonstrated the immediate impact of Cantaloupe’s technology on operator revenue.

The Engage Pulse represents a significant advancement in arcade and amusement payment technology, offering operators a comprehensive solution to modernize their businesses. Key features include:

• Innovative Ladder Pricing Interface: Enabling customers to select multiple plays or extended time periods in a single transaction.
• A 3.5-inch Color Touchscreen: Providing an intuitive, user-friendly interface for customer interaction.
• Cashless Payment Acceptance: Expanding customer base and increasing transaction volume.
• Seamless Integration: Cantaloupe Engage Pulse works with existing arcade and amusement machines, and device transaction data is transmitted into Cantaloupe’s Seed Live platform.

"The Engage Pulse is more than just a payment device – it's a complete solution for operators looking to maximize their revenue while providing an exceptional customer experience," added Singal. "By eliminating the friction of multiple card presentations and cash handling, we're helping operators increase their sales, while making it easier for consumers to enjoy their favorite games and attractions."

About Cantaloupe Inc.

Cantaloupe, Inc. (Nasdaq: CTLP), is a global technology leader powering self-service commerce. Cantaloupe offers a comprehensive suite of solutions including micro-payment processing, self-checkout kiosks, mobile ordering, connected point of sale systems, and enterprise cloud software. Handling more than a billion transactions annually, Cantaloupe’s solutions enhance operational efficiency and consumer engagement across sectors like food & beverage markets, smart automated retail, hospitality, entertainment venues and more. Committed to innovation, Cantaloupe drives advancements in digital payments and business optimization, serving over 30,000 customers in the U.S., U.K., EU countries, Australia, and Mexico. For more information, visit cantaloupe.com or follow us on LinkedIn, Twitter (X), Facebook, Instagram or YouTube.

Cashtag $CTLP
G-CTLP

View source version on businesswire.com: https://www.businesswire.com/news/home/20250121462982/en/

Jenifer Howard | 202-273-4246

jhoward@jhowardpr.com

media@cantaloupe.com

Source: Cantaloupe, Inc.

FAQ

What is the average cashless transaction value for Cantaloupe (CTLP) amusement machines in 2023?

According to Cantaloupe's 2024 Micropayment Trends Report, the average cashless transaction value was $6.13, compared to $0.81 for cash purchases.

How much did consumers spend on Cantaloupe (CTLP) amusement machines in 2023?

Consumers spent more than $100 million at amusement machines in 2023, with 63% of total sales volume coming from cashless transactions.

What sales increase did early adopters of CTLP's Engage Pulse report?

Early adopters reported crane game sales increases of 85% year-over-year in just two months, with mall locations seeing up to 53% year-over-year sales increases.

What are the key features of Cantaloupe's (CTLP) new Engage Pulse card reader?

The Engage Pulse features a ladder pricing interface for multiple plays, a 3.5-inch color touchscreen, cashless payment acceptance, and integration with Cantaloupe's Seed Live platform.