What is the ROI on a Surf Machine?
Whether it is the click of the cash register or the swipe of a credit card, the stationary surfing venues are built on revenue generation. The concept was born out of the idea that four is better than three, which is certainly better than one. The stand alone surfing venues are a combination of four major revenue generators: Food and Beverage, Retail, Events and Ride Ticket sales… but more about that later.
These four money makers all feed into the same pool. In many instances these elements can stand on their own, but they really are cohesive and complimentary. When combined, they feed from each other to increase guests’ dwell time and generate more revenue, while the shared elements of staffing, building space and facilities all keeps overhead down.
With multiple stand alone venues operating successfully and many more either under construction or in planning stages, these venues are set to be the next big thing.
The synergistic blend of revenue generators are stronger together than they are on their own. The “surfing” provides entertainment that keeps people eating and drinking longer. The spectators drive the riders to show off and the two groups feed off each other. The retail provides the clothing for both groups to do this in. All in all, like a team, they work together. Those team members are:
• FOOD AND BEVERAGE
• SURF MACHINE TICKET SALES
FOOD AND BEVERAGE
Revenue from hospitality is at the heart of the culinary concept, making it the perfect place for friends, family, groups and partygoers to enjoy great food and drinks in an action-packed setting complete with our never-ending waves.
Stationary wave riding is a captivating sport not only for riders, but for spectators as well. It is an entertainment hook that truly mesmerizes audiences and creates a totally unique environment and a peek into the surf culture. Wave enthusiasts enjoy food and drinks while watching their new favorite sport. Food-and-beverage sales are driven by the entertainment.
The hype from surfing a man-made wave filters into opportunities for retail sales. From branded merchandise to all the latest surf brands, retail sales are just another sensical avenue for a stand venue to generate more revenue.
From the sunglasses perched on your head, to the sandals on the soles of your feet, and everything in between — sun dresses, surf trunks, t-shirts, sun protection, towels and beach chairs — surf shops provide top to bottom coverage for those who want to dress for sun access. Soft goods galore, but also hard goods to put underfoot. This is the place to find cutting-edge surfboards, skateboards, wakeboards and the latest designs for the ever-evolving hybrid sport of flowboarding.
If you could host events on one of the picturesque islands in the South Pacific you would, but that’s a little out of reach for most of the population, right? These venues are the next best thing. The unique environment creates the ideal board sport lifestyle experience and can accommodate a variety of group sizes. From a birthday party on the surf machine, to a group of banking associates spending time out of the office, this is the place to make the occasion a more memorable one. Special events generate a vital revenue stream and are an essential inclusion to the business model.
Part of the stand alone venue DNA centers on nightlife; as calm and tame as it is during the day, the exact opposite can occur at night. It is forgiving during the day, when family fun is the focal point, but when the sun goes down, it takes shape as a social spot of the highest order.
SURF MACHINE TICKET SALES
Surfing, snowboarding, skateboarding, wakeboarding and flowboarding are skill-based activities that challenge riders to develop their skills and perfect new tricks.
Accomplishment is the reward that drives athletes to continue to strive to higher levels of sport. Surf machines deliver both the challenge and the reward which, translates to a solid base of repeat riders and ongoing revenue. This is an expansive lifestyle sport catering to all walks of life, from youngsters to adults. With frequent leagues, local tournaments, seasonal tours and worldwide competitions, dull simply doesn’t exist in our “wave” of life.
Return on Investment is such a key part of this industry. It is critical that you do your planning and research. Whether it is a sample business plan or feasibility study, a venue design or operations, focus on the planning so you are well prepared.
Do your research, go and ride the machines that are out there, fall and experience the impacts. When you are looking at companies to work with make sure you find one that has the requisite experience in this field and has ready built models to work from – a company that will be there with you every step of the way.