Discovery Zone (known as “DZ” for short) is a chain of American family entertainment facilities.
History[]
The facility opened in October 1989 in Kansas City, Missouri. The chain was founded by Ronald Matsch, Jim Jorgensen, and Dr. David Schoenstadt. The chain grew quickly, opening 15 stores in 18 months. [1] The concept is a family fun entertainment center, featuring arcade games and indoor play mazes for young children, including roller slides, climbing structures, and ball pits. The franchise also housed a cafe known as the DZ Diner, complete with a colorful seating area and large TV’s. In the company’s later years, lazer tag attractions were added. The franchise’s mascot was named Z-Bop, who was a talking robot.
In 1993, Blockbuster Video purchased 21% ($10.3 million) of the company and it grew even more when Discovery Zone raised $55 million more when it was on NASDAQ. By 1995, Blockbuster took total control of the company.
However, on March 26, 1996, the company filed for Chapter 11 bankruptcy with debts of up to $366.8 million. On June 30, 1999, half of the Discovery Zone stores closed and the majority were closed by the end of the year. Many of the former Discovery Zone locations were bought out by its competitor, Chuck E. Cheese's. [2] The other remaining few locations closed in December 2001.
The company was revived on February 7, 2020, with a single location in Cincinnati, Ohio at the Eastgate Mall. Another location was added in Florence, Kentucky at the Florence Mall on July 23, 2021.
Mergers[]
In addition to Blockbuster purchasing 21% of Discovery Zone in 1993, the company also went through a successful IPO, raising over $50 million. Eventually, this led to the company merging with Blockbuster.
Arcades and currency[]
Just like its competitor, Chuck E. Cheese's, Discovery Zone used their brass tokens and paper tickets for currency and winnings.