Showbiz Pizza Ads: Chuck E. Cheese's Early Days

Chuck E. Cheese was in Showbiz Pizza ads because the two companies merged in 1984. Chuck E. Cheese's Pizza Time Theatre and ShowBiz Pizza Place joined forces under the new name ShowBiz Pizza Time, Inc. after the former filed for bankruptcy. The merger was the result of a court settlement mandate, as Showbiz Pizza had previously sued Chuck E. Cheese's Pizza Time Theatre for breach of contract and won.

ShowBiz Pizza Place was founded by Robert L. Brock and Creative Engineering in 1980

ShowBiz Pizza Place, or simply ShowBiz Pizza, was founded by Robert L. Brock and Creative Engineering in 1980. The American family entertainment centre and restaurant pizza chain emerged following a separation between Brock and the owners of the Chuck E. Cheese franchise, Pizza Time Theatre.

Robert L. Brock was an American businessman. He founded ShowBiz Pizza Place in 1980 in Topeka, Kansas, after becoming a Pizza Time Theatre franchisee. Brock was already successful, being the chairman of TIM (later renamed Brock Hotel Corporation), the first and, at the time, largest franchisee of Holiday Inns.

Creative Engineering, Inc. (CEI) was responsible for producing the animatronics show used by ShowBiz Pizza Place, called The Rock-afire Explosion. The first ShowBiz Pizza Place location opened to the public in Kansas City, Missouri, on March 3, 1980. By September 1981, there were 48 company-owned outlets and 42 franchises. The company's headquarters moved to Irving, Texas, the following year.

ShowBiz Pizza Place and Pizza Time Theatre rapidly expanded and became competitors. Both companies found early success, partly due to the rise in popularity of arcade games in the late 1970s and early 1980s. The two companies' offerings were very similar, but the type of animatronics used in the ShowBiz Pizza chain distinguished it from its rival.

ShowBiz Pizza Place and Chuck E. Cheese's Pizza Time Theatre merged in 1984

ShowBiz Pizza Place and Chuck E. Cheese's Pizza Time Theatre were direct competitors in the 1980s, both offering a combination of pizza, arcade games, and animatronic shows. However, their animatronics were distinct, with ShowBiz Pizza Place's being produced by Creative Engineering, Inc.

In 1984, Chuck E. Cheese's Pizza Time Theatre filed for bankruptcy, and the following year, its assets were purchased by Brock Hotel Corporation, the parent company of ShowBiz Pizza Place. The merger formed a new parent company, ShowBiz Pizza Time, Inc., which began unifying the two brands in 1990, renaming every location Chuck E. Cheese's Pizza.

The merger came about as a result of a court settlement mandate stemming from a previous lawsuit between the two companies. In 1979, Robert Brock, who would go on to found ShowBiz Pizza Place, had signed a multi-million-dollar franchising agreement with Pizza Time Theatre Inc. However, Brock later became concerned that competitors would emerge with better animatronic technology and decided to void the agreement with Pizza Time and partner with Creative Engineering, Inc. to form ShowBiz Pizza Place, Inc. This led to a breach of contract lawsuit from Pizza Time, which Brock counter-sued, citing misrepresentation. The court ruled in favor of Pizza Time, forcing Brock to pay a percentage of annual revenues from the first 160 locations he opened.

Following the 1984 merger, both restaurant chains continued to operate as separate entities for several years. The rebranding of ShowBiz Pizza locations to Chuck E. Cheese's began in 1990 and was completed by 1994. The parent company, ShowBiz Pizza Time, also became CEC Entertainment in 1998.

The two brands unified under the name Chuck E. Cheese's Pizza from 1989-1993

In 1984, Chuck E. Cheese's Pizza Time Theatre and ShowBiz Pizza Place merged, bringing both concepts under the wing of a new parent company, ShowBiz Pizza Time, Inc. From 1989 to 1993, ShowBiz Pizza Time, Inc. unified the two brands under the name Chuck E. Cheeses Pizza. This process was known as Concept Unification.

ShowBiz Pizza Time, Inc. began unifying the two brands in 1990, renaming every location Chuck E. Cheeses Pizza. The unification process involved retrofitting all ShowBiz animatronics into Chuck E. Cheese characters and renaming nearly all locations. The company also broke ties with Creative Engineering, the company that had produced the animatronics for ShowBiz.

By 1994, all ShowBiz restaurants had been rebranded into Chuck E. Cheese's restaurants, and the name was shortened to Chuck E. Cheese's. In 1998, the parent company, ShowBiz Pizza Time, became CEC Entertainment.

The ShowBiz Pizza brand ended in 1994

In 1979, Bushnell signed a multi-million-dollar franchising agreement with hotelier Robert L. Brock, planning to open around 280 Chuck E. Cheese locations across 16 states. However, Brock soon became aware of more advanced animatronics being developed by companies like Creative Engineering, Inc. (CEI). Concerned that competitors would emerge with better technology, Brock decided to void his agreement with Bushnell and, in December 1979, formed a new company, ShowBiz Pizza Place, Inc., with CEI. The first ShowBiz Pizza Place location opened in Kansas City, Missouri, on March 3, 1980.

The two companies became direct competitors, both finding early success due to the rising popularity of arcade games. The key difference between them was the type of robotics and mascots each used: Chuck E. Cheese's mascot was a rat named Chuck E. Cheese, while ShowBiz Pizza's was Billy Bob, an overall-clad hillbilly bear.

In 1984, facing financial troubles, Pizza Time Theatre filed for bankruptcy. ShowBiz Pizza purchased its assets, merging the two companies into ShowBiz Pizza Time, Inc. Despite the merger, the restaurant chains continued to operate as separate entities. In 1989, ShowBiz Pizza Time became a public company, and in 1990, it severed ties with CEI, beginning the process of rebranding its locations as Chuck E. Cheese's. This effort, known as "Concept Unification", involved retrofitting ShowBiz animatronics into Chuck E. Cheese characters and lasted several years, finally ending the ShowBiz Pizza brand in 1994.

The decision to rebrand was partly due to ShowBiz not owning the rights to their animatronics and the refusal of CEI to hand over the IP. Additionally, the decline in the popularity of arcades in the US during the early 1980s had hurt Chuck E. Cheese's revenues, and the video game market crash of 1983 further exacerbated these issues, contributing to Pizza Time Theatre's bankruptcy.

While the ShowBiz Pizza brand ended in 1994, the company itself continued to operate as Chuck E. Cheese's, and it still exists today, offering pizza, arcade games, and entertainment to families across the world.

The company was renamed CEC Entertainment, Inc. in 1998

In 1998, ShowBiz Pizza Time Inc. changed its name to CEC Entertainment, Inc. to reflect the remaining chain brand, alongside moving their stock from the NASDAQ to the New York Stock Exchange. The company's ticker symbol also changed from SHBZ to CEC. This move came about a decade after the merger of Chuck E. Cheese's Pizza Time Theatre and ShowBiz Pizza Place, which formed ShowBiz Pizza Time, Inc. in 1985.

The renaming of the company to CEC Entertainment was part of a strategy to focus on the growth of the Chuck E. Cheese brand, which had become the unified brand across all locations since 1994. The new name reflected this remaining chain brand, with CEC standing for "Chuck E. Cheese".

CEC Entertainment continued to pursue growth through acquisitions, licensing deals, and new store openings. The company also implemented a lottery-like incentive program for employees and expanded its marketing program by underwriting children's television shows.

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