If you are looking at the check in desk, look to the left and there is the gift shop...to the right of the gift shop is a DVC desk and then BEHIND the DVC desk is the restrooms. Go through that doorway headed to the bathrooms off the lobby and the arcade is on the left in that hallway.
We were there 10 days and saw the arcade on our last day as we were leaving. Of course we weren't looking for it!