Written By：Michael Browning Jr.

Michael Browning Jr. (born 1984) is an American entrepreneur, speaker, and business leader best known as the founder and CEO of Unleashed Brands, the parent company of several leading youth enrichment franchises including Urban Air Adventure Park, Snapology, The Little Gym, Premier Martial Arts, Class 101, XP League, and Water Wings Swim School. Today, Unleashed Brands supports over 1,400 locations, impacting more than 20 million families annually through experiences rooted in fun, growth, and purpose.

This article will not only be the 1 theoretical business plan guide, but also the 1 one that condenses my practical experience in site selection, design, operation, marketing and other aspects. We’ll delve into how to 1 a practical Indoor Playground Business Plan to help you avoid common pitfalls and achieve your profitability goals.

This article will share how I started from scratch and eventually created an indoor playground brand loved by the community, using my professional knowledge and personal experience to provide you with reliable advice, so that you have a more comprehensive understanding of the indoor playground industry.

what is an indoor playground:

In simple terms, the indoor playground is for children to provide a safe, interesting, educational indoor space. There are usually a variety of well-designed rides, different themed areas and, of course, some value-added services. The most basic thing we do in this business is to ensure that the children have fun, play safely, and at the same time gain something from it.

Are indoor playgrounds profitable?

The answer is yes, according to a report Intelligence by P&S Intelligence, the global children’s entertainment and amusement market will reach US $39.2 billion in 2023 and is expected to grow to US $80.1 billion by 2030, with a compound annual growth rate (CAGR) of 10.8 per cent. 1 this set of figures, you should understand that we are in a rapidly expanding market, the demand for indoor playground is rising.

how to conduct a business survey:

To open an indoor playground, the first step is not to consider how cool the equipment is, but to do a solid business survey.

market research key steps:

Target Market Analysis:

This is the foundation of the foundation. I usually have a deep understanding of the surrounding demographics, such as how many preschoolers and how many primary school children there are? What are the age groups of their parents? What are the spending habits and income levels of these families? Don’t forget, the concept of education is also super important, and many parents are now willing to pay for their children’s experience and early education. This data can help you draw a clear picture of your potential customers.

Competitor Analysis:

I will personally check out the competitors and see how they are doing. What are their advantages? Is it new equipment or good service? What are their disadvantages? For example, there is not enough manpower during peak hours, or the activity update is slow? Pricing strategy should also be studied. Is it to take the high-end route or mass consumption? Service characteristics and customer evaluation are valuable references, which can make you avoid many detours.

Potential customer demand research:

It is not enough to look at the data alone, you have to ask directly. My usual methods include questionnaires, one -1 interviews, and even organizing focus groups. There is only one purpose: to understand what parents expect from indoor playgrounds? What are their pain points? Do they want more puzzle games or care more about safety and hygiene? Most importantly, how much are they willing to pay for such an experience? This information will directly affect your product design and pricing.

the importance of site selection and evaluation criteria:

Location directly determines your traffic and future operating costs.

Geographical location:

I value the convenience of transportation most, driving, bus, subway, how convenient and how to come. Parking is also a big problem, especially in big cities. The surrounding environment is the decisive factor: Is there a school nearby? Is there a dense residential area? Is there a large shopping mall or a children’s training institution? These are all natural passenger entrances.

Building conditions:

Of course, the size of the area should be considered, but the height of the floor is also critical, and some large amusement equipment has requirements for the height of the floor. Load-bearing capacity, fire-fighting facilities, power loads and ventilation systems are all hard indicators and should not be sloppy.

Rent and lease term:

Rental costs are the bulk of fixed expenses and directly affect your profitability. Within the budget, try to strive for a longer lease period, which can ensure the stability of the operation, but also conducive to long-term investment and brand building.

What are the themes of the indoor playground?

In my opinion, theme selection is the top priority before opening, and it is directly related to your future passenger flow and revenue.

Jungle Adventure/Sea World:

This is one of the most classic and popular themes. When we first opened our first store, we chose “mysterious rainforest” as the theme. Like the slide is designed like a vine, with models of whales and dolphins placed in the ocean ball pool, coupled with murals of tropical plants or marine creatures, children can instantly enter the role as soon as they enter.

The advantage of this theme is its universality, whether it is preschool children or older children, can find fun. Moreover, bright colors, easy to set up the scene, is a very safe choice.

Career Experience/Role Play:

This theme has been very popular in recent years, especially by parents. Such as “small police station”, “mini hospital”, “future city” and so on. Children can wear uniforms here and play doctors, firefighters, cooks, and even astronauts.

The value of this theme is that it’s not just fun, it’s more 1 a kind of edutainment. I found that in the process of playing, children can not only experience different professional fun, but also learn social rules in interaction and improve their problem-solving ability. Although the upfront investment may be higher, its educational attributes tend to attract more stable customers.

Tech Interactive/AR/VR:

The times are progressing, and the playground must of course keep up with the trend. Combining AR (augmented reality) and VR (virtual reality) technologies can bring unprecedented novel experiences.

I recently visited a new amusement park. They integrated VR skiing and AR beach treasure digging into it. Children put on the equipment and felt as if they were really in the ice and snow world or treasure hunt. The advantage of this theme is that it can provide a stronger sense of immersion and freshness, which is particularly attractive to the younger generation of parents and children. However, the technology is updated quickly, and the cost of equipment maintenance is also a factor to be considered.

Artistic creativity/early education combined:

 This theme is more oriented towards younger children and often collaborates with early childhood education institutions. For example, a painting area, a handicraft workshop, a music corner, etc. are set up.

 We’ve tried to introduce “creative graffiti walls” before, too, for kids to create freely. This theme focuses on developing the child’s aesthetic and hands-on abilities, while also providing a platform for parent-child interaction. It may not be as stimulating as large play equipment, but it meets the needs of a subset of parents for their children’s early education.

Considerations for theme selection:

I generally consider the following aspects:

• Target customer group preferences: This is the most critical point. Which age group is your playground mainly for? What expectations do their parents have for the playground? Do they want their children to release their nature to their heart’s content, or do they pay more attention to intelligence and learning? All these need to do market research in advance. For example, if your target group is preschoolers, programs that are too stimulating may not be appropriate.
• Site area and structure: Different themes have very different requirements for site space. Interactive themes like large-scale jungle adventures or tech may require larger floors and more open areas. The professional experience area may need to be divided into multiple independent “small scenes”. At the beginning of the design, it is necessary to fully evaluate the conditions of the existing site, and avoid weaknesses.
• Target customer group preferences: This is the most critical point. Which age group is your playground mainly for? What expectations do their parents have for the playground? Do they want their children to release their nature to their heart’s content, or do they pay more attention to intelligence and learning? All these need to do market research in advance. For example, if your target group is preschoolers, programs that are too stimulating may not be appropriate.
• Site area and structure: Different themes have very different requirements for site space. Interactive themes like large-scale jungle adventures or tech may require larger floors and more open areas. The professional experience area may need to be divided into multiple independent “small scenes”. At the beginning of the design, it is necessary to fully evaluate the conditions of the existing site, and avoid weaknesses.

how to start a indoor playground:

Want to open an indoor playground? It’s a fun but challenging business. My suggestion is: planning first, details are king.

Writing a business plan

This part is the “facade” of the whole plan “. I usually put the most attractive points here, such as the unique selling points of our playground, the expected market share, and the advantages of our team. Remember, be concise and powerful, so that others can grasp the point at a glance.

Our vision is simple: to be the children’s favorite “secret base”, so that parents can rest assured. The mission is to provide a safe, fun, and educational play experience. As for the legal structure, I suggest that you choose according to your actual situation, such as sole proprietorship, partnership or limited liability company. I chose a limited liability company at that time and felt more flexible in risk and management.

This is the core competitiveness. In addition to the regular slide, ocean ball, we also introduced some puzzle interactive equipment and theme activities. In terms of catering, I found simple snacks and drinks to be sufficient.

You need to know who your target customers are, where they are and what their needs are. At that time, we did a lot of questionnaire survey and competition analysis to understand the family structure and consumption capacity of the surrounding communities. The more detailed this part is done, the more likely you are to succeed.

Brand positioning is important. We are positioning “high quality, safety, interactive” playground. Promotion channels, online and offline combination. We will do social media operations online and cooperate with kindergartens and early childhood education institutions offline. Pricing strategies should also be flexible, such as the introduction of membership cards, birthday party packages, etc.

Staff recruitment and training is what I value most. I always emphasize safety first, so after new employees enter the job, safety regulations training is a compulsory course. In terms of daily management, we have strict hygiene standards and equipment maintenance plans.

This section needs to introduce your core team members, including their background, experience and main responsibilities. I personally think that the complementarity of the team is very important.

This part is for investors to see and reassure themselves. Start-up capital, estimated profit and loss statement, cash flow statement and balance sheet should be as detailed as possible. When I did this part, I took all the expenses into account, including some unexpected “hidden expenses”.

You can put some supporting documents here, such as licenses, contracts, market research reports, etc.

Fund Raising

Money is the “blood” of the startup project “. In addition to my own funds, I also considered bank loans at that time. If your project has characteristics, you can also try to find angel investors or crowdfunding. But either way, we must ensure that the capital chain is healthy.

Laws, Regulations and Permits

Business license is the foundation, fire permit, health permit, children’s amusement facilities safety permit, insurance and so on, one can not be less. I suggest consulting a professional lawyer to ensure that all procedures are legal and compliant.

Equipment procurement and installation

When selecting suppliers, we must pay attention to the quality and safety certification of equipment. After all, the safety of the child is a top priority. During installation and acceptance, I usually personally supervise and ensure that every detail meets the standards. Don’t buy cheap inferior equipment!

Decoration design and construction

Decoration is not only for good-looking, but also to consider safety and practicality. The plane layout should be reasonable and the moving line should be smooth. Color matching should be bright and lively, and material selection should be environmentally friendly and non-toxic. I remember that we broke our legs in order to choose the 1 kind of wear-resistant and safe ground material.

Team building and training

A good team is the key to the success of the playground. When recruiting, I not only look at experience, but also pay more attention to the applicant’s love and sense of responsibility for his children. In terms of training, in addition to basic safety training and customer service training, I also pay special attention to first aid training. After all, in the playground, accidents can happen. A well-trained team that can play a role at a critical moment.

Note the opening of the indoor playground:

After so many years of indoor amusement park, I think some lessons are worth sharing. If you also plan to enter the business or are already in business, these points may give you some inspiration.

Security:

• Equipment safety: I arrange people to check all equipment every week, ranging from trampoline structure to loose screws. Every quarter to find a professional company to do a depth of maintenance and testing. Some equipment has been used for a long time. Even if there is no problem, what should be changed should still be changed. Don’t save that money. Ensuring that all equipment meets the latest international safety standards is the bottom line.
• Site safety: non-slip mats must be standard, and regularly check the wear and tear. All places that may be bumped, such as pillars and corners, must be protected by soft bags. The monitoring system should be fully covered, no dead ends, and the video should be kept long enough for a rainy day.
• Staff safety training: new employees on the first aid training, including cardiopulmonary resuscitation, simple dressing and so on. The process of dealing with emergencies, such as a lost child, minor bruises, or even more serious accidents, must be rehearsed over and over again.
• Emergency plan: Fire fighting is the top priority. Fire extinguishers, fire exits, and emergency lighting must all comply with the specifications. In terms of medical treatment, in addition to the first aid kit, we also established contact with nearby hospitals. Although natural disasters are not common, they also need to be prepared, such as emergency evacuation routes.

Continuous innovation and differentiation:

The market changes quickly, and children are quick to like the new and dislike the old. It’s definitely not going to work the same way.

I visit the market every six months to see new rides and popular themed events. For example, the recent popular VR interactive games, or some immersive amusement projects that combine story lines, I keep an eye on them. In addition, we will launch some novel themed activities during holidays, such as the “Haunted House Adventure” on Halloween and the “Treasure Hunt” on Christmas, which can bring a lot of popularity to the venue. Special party service is also a good growth point. Birthday parties and customized theme parties can increase customer stickiness. To be honest, sometimes inspiration is not so easy to have, but I find that if you go to other people’s shops, you will have a lot of ideas.

Excellent Customer Service:

Whether the service is good or not is directly related to whether the customer will come again.

My requirement is that employees must be friendly and enthusiastic, and actively observe the needs of customers. For example, when parents are looking for children or children need help, they must come forward in the first place. Customer feedback, whether online or offline, must be handled in a timely manner. Even if it is only a simple complaint, it should be taken seriously and a solution should be given. Remember, a satisfied customer will bring many new customers, and an dissatisfied customer will let many people know your shortcomings.

Community relations and marketing:

 I often work with surrounding schools, kindergartens, community centers, for example, to offer group ticket deals, or to sponsor their activities. Sometimes charity activities are held, such as free and open to some special children’s groups, which not only builds a good social image, but also brings word-of-mouth. When it comes to online marketing, social media is essential, posting regular event information, great moments. Local SEO is also important, making sure people find us when searching “nearby children’s playgrounds”. Don’t fall behind in offline promotion either, hand out leaflets in places with a lot of traffic, or hold some small promotion events.

 Financial Management & Risk Control:

 A strict budget is a must, every overhead is documented, and cost-control analyses are performed regularly. Do regular financial analysis to understand capital flows and profitability, and adjust business strategies in a timely manner. Finally, and very important, take out comprehensive insurance. Including property, public liability, employee accident, and so on. In the event of an accident, insurance minimizes business risks. After all, no one can say for sure about the accident.

Starting a business is never easy, especially in the dynamic market of children’s entertainment. You will encounter difficulties in location, equipment procurement, personnel management challenges, and even sudden market changes. But believe me, it’s all part of growing up. I often tell my team that every challenge is an opportunity for us to become stronger.

As long as you are passionate about this industry-the kind of enthusiasm that you want to create happiness for children from the bottom of your heart, and put enough effort into the preparation stage, in-depth study of the market, carefully design your amusement facilities, and establish a sound operation process, then, Your playground is not just a commercial project, it will become a dream place in the hearts of children. When children run, explore and laugh in your paradise, the sense of achievement is unparalleled. This business plan is your blueprint for turning this passion into reality.