Jinan Carrefour Supermarket Introduces Pachinko Entertainment Zone, Can "Supermarket + Arcade" Pilot Transformation Achieve Win-Win Results? | DaYu Finance

Can AI · Supermarket Entertainment Long-Term Activate the Value of the Third Space?

Amid years of declining performance, traditional chain supermarkets are learning from the “Pang Donglai” model and proactively undergoing comprehensive reforms. Once known as the “retail king,” RT-Mart has finally “let go” and begun experimenting with “cross-industry format integration” for self-rescue. On March 13, during an interview at RT-Mart on Dikou Road, Jinan, I observed prominently placed pachinko machines at the entrance. According to staff, since the launch of the game interaction zone, operational results have exceeded expectations. The main customer groups are parents and children, with weekends often seeing full queues.

It is reported that starting from the beginning of this year, several RT-Mart stores in Jinan have launched attempts to transform into “supermarket + arcade” formats. Zhangqiu RT-Mart even built a “Marble Entertainment House” with 30 to 40 machines, where parent-child interaction has significantly boosted offline consumption.

Industry insiders say that this wave of supermarket entertainment upgrades by RT-Mart essentially aims to activate the “Third Space” value through scene reconstruction. When the gross profit margin of traditional retail hovers around 20%, innovative models integrating entertainment elements are generating over 35% in comprehensive revenue. They have also become a “weapon” for supermarkets to attract family customers. However, from a long-term operational perspective, whether this approach can sustainably create profit points for large supermarkets remains to be seen over time.

Pachinko Machines Become RT-Mart’s “Weapon” to Attract Family Customers; Initial Effects of Parent-Child Interaction Trials Are Evident

“Started operating earlier this year, business is pretty good,” said a person in charge of the pachinko entertainment zone at Dikou Road RT-Mart. The minimum spend is 9.9 yuan to buy 80 marbles. Winners can exchange marbles or redeem exclusive prizes at designated counters. “Most customers buy several hundred marbles at once. The winning probability is quite high. Both adults and children enjoy playing.”

How exactly do you play with the pachinko machines? She explained that players first purchase ceramic marbles as “game currency.” Investing 10 marbles allows them to shoot a large steel ball, which is randomly multiplied by 2-10 times. When the steel ball lands on a lit track, players win small marbles corresponding to the multiplier. The higher the multiplier, the fewer lit tracks remain. At 2x, about 30-40% of the track is lit; at 10x, only one track remains, making winning significantly more difficult.

If players hit a high multiplier track of 6x or above, they can also receive a “gift card.” Collecting 20 cards can redeem a 10-yuan product from the ornamental fish counter. The more points accumulated, the more gifts can be exchanged. “Our machines also feature games like flying knife spinning and apple-eating contests, which are easy to operate and beginner-friendly,” she added. Remaining marbles can be stored in the store for future use.

During a search on Xiaohongshu, I found that many RT-Mart stores in Jinan have set up pachinko zones. Official videos show that Zhangqiu RT-Mart has reconfigured its existing area into a larger “Marble Entertainment House,” introducing 30 to 40 machines. Winners can exchange prizes like plush toys, attracting many players, including women, especially during holidays when the scene is lively.

The origin of pachinko entertainment dates back long ago. In Japan, this activity is called “Pachinko” and has a history of nearly a century, evolving from a children’s game into a mass entertainment industry.

In Japan, players buy or rent steel balls at pachinko parlors, then shoot them into the machine, aiming at specific targets. Experienced players control the strength and direction of the shot. The steel balls bounce inside the machine, hitting obstacles. Based on where they land and collisions, players can earn different scores and rewards, such as more steel balls, special items, or cash-exchangeable prizes.

The above-mentioned person said that introducing pachinko machines has brought many positive changes to supermarkets. On one hand, it enriches RT-Mart’s formats, transforming the supermarket from merely a shopping place into a comprehensive space for shopping, leisure, and entertainment. On the other hand, pachinko machines have become a tool to attract family customers. “Parents can shop while kids play at the machines, solving parental worries and enhancing parent-child interaction and fun.”

Additionally, gaming machines create new profit points for supermarkets. Besides direct game revenue, supermarkets can collaborate with game manufacturers to hold competitions, promote new games, and further expand profit margins. Moreover, gaming machines serve as an important window for supermarkets to promote their brands and increase visibility.

Performance Under Pressure Drives RT-Mart to Seek Change, Hope to Activate the “Third Space” and Create New Growth Points

In fact, under the continuous industry pressure and fierce competition, how to actively reform and seek change has become a necessary question for major traditional supermarkets. After several unsuccessful transformation attempts, RT-Mart’s current experiment with “supermarket + arcade” is not surprising.

In China’s retail landscape, GSH Retail once held a significant position with RT-Mart and Auchan. In 1999, RT-Mart achieved a revenue of 24 billion yuan; by 2009, it reached 40.4 billion yuan, becoming the retail leader in mainland China; in 2011, GSH Retail successfully listed on the Hong Kong Stock Exchange, with a market cap reaching 127.8 billion HKD, earning the reputation as China’s “most profitable supermarket.”

After its peak, the decline was rapid. Despite surpassing 100 billion yuan in revenue in 2017, the market performance afterward was disappointing. In October 2016, RT-Mart closed its store in Weifang, breaking a 19-year record of never closing a store in mainland China.

Since then, RT-Mart’s decline has continued. Financial reports show that from FY2022 to FY2024, GSH Retail’s store count decreased from 602 to 582 to 507, closing nearly 100 stores in three years. Revenue has continued to decline, with a significant loss of 1.6 billion yuan in FY2024.

To reverse the trend, RT-Mart launched a multi-format strategy starting in 2020, including “large hypermarkets (RT-Mart), medium-sized supermarkets (RT-Mart Super), and small supermarkets (Xiao RT-Fa).” In 2023, GSH Retail also began deploying M-member stores, but results remain underwhelming. As of September 30, 2025, GSH Retail operates 462 hypermarkets, 32 medium-sized supermarkets, and 7 M-member stores.

Notably, in last year’s mid-year financial report, GSH Retail outlined a “three-year strategic plan” based on “healthy products + joyful experiences + thoughtful service,” aiming to build a new retail model emphasizing both experience and efficiency. The layout includes strengthening one-stop shopping in hypermarkets, deepening community needs in neighborhood supermarkets, and focusing on “curated + experiential” offerings in membership stores to form a differentiated matrix.

After various transformation attempts, RT-Mart’s current move to emulate large integrated complexes by integrating pachinko entertainment into traditional supermarket formats can be seen as a concrete implementation of the “joyful experience” concept advocated by the operational team.

Experts believe that young people are the main target group for offline entertainment facilities. For traditional supermarkets, it is urgent to introduce entertainment elements that attract young consumers. “They have a strong interest in video games, enjoy challenging themselves, and pursue high scores. Introducing arcade gaming areas can offer various game options, meet young people’s entertainment needs, and attract them to experience the supermarket, effectively expanding the potential customer base.”

Furthermore, this wave of supermarket entertainment upgrades fundamentally aims to activate the “Third Space” value through scene reconstruction. When the gross profit margin of traditional retail hovers around 20%, innovative models that incorporate entertainment elements are generating over 35% in comprehensive revenue. For sharp entrepreneurs, this is not only a business model innovation but also a key to unlocking the blue ocean of community economy.

Reporter: Su Ran Photography: Su Ran Editing: Chen Tongtong Proofreading: Gao Xin