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The ROI of Story: Why Narrative Drives Commercial Success in LBE
- Katapult Team
- Oct 1
- 3 min read
For IP owners, the Location-Based Entertainment (LBE) market represents a golden opportunity. The global LBE market is projected to surge to over $15 billion by 2029, driven by consumer demand for immersive, real-world experiences. Yet, for many licensing managers, the biggest hurdle isn't a lack of opportunity, but the challenge of proving an attraction's commercial viability to stakeholders and securing operator buy-in. The key pain point is clear: how do you de-risk the significant investment required and ensure your IP launch is a commercial success?
The answer is surprisingly simple, yet frequently overlooked: story. While a big-name IP can generate initial footfall, it's the narrative that creates a compelling, repeatable experience and drives the long-term ROI. A 2023 industry report highlighted that an "emotional connection" is key to turning guests into long-term fans and customers. This connection isn't forged by character cut-outs; it's built through immersive storytelling.
Story as a Commercial Driver: The Data
It's not just a creative philosophy; the commercial impact of a strong narrative is clear. The 2023 TEA/AECOM Theme Index noted that parks making significant capital investments in new, engaging experiences—often story-driven—tended to perform better in attendance. This points to a crucial trend: guests are willing to spend more for higher-quality, memorable experiences.
Research shows that over 62% of families are more likely to spend money on food, souvenirs, and merchandise if it's integrated with characters and story from a popular brand. Furthermore, 72% stated they would visit an attraction more often if it were based on a popular IP. The commercial model is clear: a compelling story doesn't just enhance the ride—it fuels higher per-capita spending across the entire venue, from retail to dining, creating multiple revenue streams that are all underpinned by a single, powerful narrative.
An engaging story transforms a one-off visit into a lasting memory, which is the cornerstone of commercial success in the LBE sector.
The Digital-to-Physical Pitfall
The challenge intensifies when adapting IPs from digital-first media, like video games or streaming series. The user experience in these formats is often personal and non-linear. A direct translation into a physical space is impossible, and attempting one often leads to failure. The industry is littered with examples of attractions that failed to resonate because they fell into the trap of "brand-slapping"—the haphazard application of an IP onto a generic experience. This approach can quickly backfire.
When the guest experience isn't holistically considered, the result is an attraction that feels inauthentic. It breaks the immersive bubble and fails to deliver the wish-fulfilment that fans crave, damaging both the attraction's commercial potential and the IP's brand integrity.
The Investor Pack
Understanding the power of story is one thing; translating it into a convincing business case is another. This is where the pain point for IP licensing managers becomes acute. You need to present a vision that is not only creatively exciting but also commercially sound and operationally viable.
At Katapult, we solve this problem with our bespoke Investor Pack. We recognise that to get a project off the ground, you need more than just a good idea. You need a strategic roadmap that speaks the language of investors and operators. Our team are experts in translating a narrative vision into a tangible, de-risked business opportunity.
We start by crafting a unique story for your IP within the LBE space. Then, we bring it to life with stunning, realistic concept visuals and detailed attraction layouts. This isn't just artwork; it's an operational blueprint. We provide market analysis, visitor flow projections, and commercial strategies that demonstrate the project's ROI. The Investor Pack provides the clarity and confidence needed to gain stakeholder support and attract the right operator partners, dramatically accelerating your speed to market.
Don't let a brilliant IP fail to launch due to a lack of commercial clarity. A powerful story is your greatest asset. Let us help you craft it into a compelling investment case that guarantees your next LBE venture is a resounding success.
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