Taiwan's claw game outlets top 7,000: MOF

財政部：台灣娃娃機數量高達7,000個

Claw machine parlors grew exponentially in merely one year to a total of 7,743 by Sept. 2018


TAIPEI (Taiwan News) - As more major retailers are closing stores, reportedly due to an inability to afford rising rents, the number of claw machine parlors has skyrocketed to a historic high of 7,743 across Taiwan.

Claw game stores began sprouting up last year, with outlets growing exponentially in merely one year to a total of 7,743 by September of this year, according to a report released by the Ministry of Finance (MOF) on Oct. 30.

The figure below illustrates the number of claw game parlors which have been subject to an amusement tax over the past decade:



The claw game business has thus become the biggest revenue source of the amusement tax in September, outshining karaoke bars, video game arcades, internet cafes, theater box offices, and golf (golf courses and golf practice ranges).

The report reveals the stunning fact that the number of karaoke bars, video game arcades, and internet cafes dropped by 1,437, 1,195, and 971, respectively, while claw machine parlors grew by 230% or 2,920 from 2010 to 2017.

More and more people have hopped on the bandwagon to invest in claw machines, which are believed to make money quickly and relatively easily in comparison to traditional retail stores.

Experts blame high rental and housing prices as the main culprit behind the takeover by claw machine parlors of the popular business districts formerly comprised of traditional retailers. Brick-and-mortar retailers have found it more difficult to break even given the high rental prices and competition from their online rivals.

More major retailers have reportedly opted to withdraw from high streets and open stores within shopping malls, as landlords continue to propose rent hikes, leaving an opportunity for claw machine parlors to fill the void.

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