I keep hearing that if you update your arcade daily you will get a lot more traffic after a while. I am not sure what I am supposed to update. Add a new game every day, write news every day. I really need the traffic. Also I was thinking of starting a weekly or monthly newsletter stating the latest news and the newest games for each of my 3 arcades. Do you think that would help at all.
It might be best to consider different ways of updating your site. add new games perhaps have a games related rss feed have a game feedback page I am sure there are many other ways to update and also give your members a reason to keep coming back to your site on a daily basis.
The best thing for you to do is sit back and ask your self some simple questions. Arcade sites are easy. Now you have bought a games console and have had 2 games that came with it and also bought one. After 1 month you had completed all of them games. Now what are you going to do, are you going to play them games time and time again and keep completing them or purchase more games to play. That's just like an arcade site, you need to keep adding new games. Even 1 game a week is better than no new games at all. If you don't then people will get bored of keep playing the same games on your site and will move onto another site that has different games that they have not played.
Your not making any money because you have hardly any adverts... I make your monthly income in a day or 2 with my arcade site, MostPlays.com
I have a ton of ads on my sites. On one of them I have 5 text ads at the top of every page, 2 ads at the top of every game and 6 below, 2 ads blended with the games listed in the browse games/category pages, 2 sections of 4 ads on the home page blended as categories, and some ads in the left column of every page. Those are all the ads for the 'Woochoo Arcade' link in my sig.