‘Excited by the concept’: Activate adds Nordic sites to franchise expansion map

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This article was published 28/10/2024 (339 days ago), so information in it may no longer be current.

Scandinavia is the latest target in a rapidly growing Winnipeg company’s expansion.

Within the last 12 months, Activate (which began as Activate Games) has announced locations for the Middle East, North Africa, the United Kingdom, Ireland and United States.

It’s adding Norway, Sweden, Denmark and Finland to its roster.

“I think it’s going to do very well,” James Cordero-Barnett, Activate’s vice-president of corporate development, said of the Scandinavian expansion.

Norway-based company Realinvest found Activate on TikTok — or rather, a manager’s son did. Videos showcasing Activate’s floor-is-lava-style game room have garnered tens of millions of views online.

Activate’s internet virality has led to demand worldwide. Scandinavian countries are no exception, Cordero-Barnett said. So when Realinvest reached out, Scandinavia seemed like an “obvious” next step.

The Nordic corporation owns seven hotels and is developing another three. Its portfolio holds 38 properties, including shopping malls and commercial spaces.

Outside of Canada, Activate uses a franchise model. Realinvest will spearhead Activate’s operations in Scandinavia and pay the Manitoba company royalties.

Norway should see its first Activate next year, with Sweden following closely behind. A minimum of nine sites are slated to open over the next three years, according to Cordero-Barnett.

Realinvest was not available by print deadline Monday. The firm is diving into experience-based attractions, Hans Hoff, the company’s president, said in a news release.

“We didn’t want options that tend to feel the same as trampoline parks, climbing, bouldering and soft-play centres,” he said in the release, adding Activate felt “truly unique.”

“We were immediately excited by the concept.”

Activate has also inked a deal with Sounds Fun Entertainment, an American company, to open 50 locations throughout the United States.

“We’re nowhere near satisfying the demand yet in the U.S. market,” Cordero-Barnett stated.

Activate currently advertises 16 sites in Canada and 30 in the U.S. on its website.

The southern expansion includes a new flagship inside the Mall of America and openings in major cities like Los Angeles, New York, San Francisco and Austin, Texas.

Sounds Fun Entertainment saw a Facebook post about Activate and wanted in, according to CEO Jeremiah Sizemore. Sounds Fun offers escape rooms and restaurants under its umbrella.

Like Realinvest, Sizemore called Activate “truly unique” in a news release. Activate has patented its name and all of its rooms, its founder said last year.

The business reports growing 1,105 per cent over the last three years. It was named to the Globe and Mail’s 2024 list of Canada’s top-growing companies.

In November 2023, Activate counted 21 locations — 12 in Canada and nine in the U.S. At the time, it announced a deal with Majid Al Futtaim, a Dubai-based corporation, to open between 60 and 90 locations in the Middle East and Africa.

The first one launched in Dubai last month. The reception has been “phenomenal,” according to Cordero-Barnett.

Activate plans to open its first United Kingdom location in London in December. We Do Play, a prominent firm in the U.K.’s leisure and hospitality sector, signed for a 30-location deal with Activate; the partners announced the transaction last May.

As of Monday, Activate had 15 locations under construction worldwide and another 200 sites in the works.

“We’re really focused on finding the best locations for Activate rather than trying to add numbers for the sake of numbers,” Cordero-Barnett emphasized.

Activate is still headquartered in Winnipeg. It first opened five years ago in the Westwood area.

The global expansion has caused Activate to double its Winnipeg production team and add staff in several departments, said communications director Tanya Williams. It’s acquired space in two more warehouses and has launched a training program called Activate University.

People from around the world come to Winnipeg to be trained at Activate.

Adam Schmidt and wife Megan are the minds behind Activate. Schmidt “really makes a point of showing (franchisees) the best of Winnipeg,” Cordero-Barnett said.

gabrielle.piche@winnipegfreepress.com