1. Site cost: the “foundation” of the playground is also the biggest expense

This money is definitely the big head and one of the keys to the success or failure of your project. You think, site selection is like playing chess, one mistake may lose step by step. In the city center and popular business circles, the rent will definitely rise. Although the bottom merchants in the community are cheaper, there is a question mark over the flow of people and spending power. The size of the area also directly determines the level of rent, which I don’t say much about? I was looking for a venue that was called “running with a broken leg”, just to find a point that could not only guarantee the passenger flow, but also relatively reasonable rent. When signing the lease contract, don’t just look at the monthly rent, deposit, property management fee and water and electricity fee. All these have to be asked clearly in advance and written clearly in black and white, so as to save wrangling in the future.

2. Decoration and infrastructure: double consideration of safety and aesthetics

Don’t think that decoration is as simple as painting the wall and paving the floor, especially for children’s playgrounds. Safety is the bottom line and beauty is a bonus. The design must be professional. Color matching, spatial layout and dynamic line planning must all revolve around the child’s experience. Moreover, fire protection, water and electricity transformation of these infrastructures are all rigid regulations, and no money can be saved! I had a friend before, because the fire did not pass, resulting in a two-month postponement of the opening, the loss is not small. The choice of materials must also be environmentally friendly and non-toxic. Children can’t have problems with it all day long. This part of the investment is not only to enhance the image, but also to pay for the safety of children, value!

3. Equipment procurement: the “soul” of the playground, where the core competitiveness

Equipment, that’s the “gold sucking weapon” of our amusement park! Slide, ocean ball, trampoline, climbing wall, these are the basic configuration. There are many kinds of equipment on the market now, and just picking equipment can make you picky. My experience is that don’t just look at the price, brand, quality, safety, playability, all of which have to be considered comprehensively. The expensive ones may not be all good, but you really have to be careful if they are too cheap. At that time, in order to choose a set of ocean balls that are durable and popular with children, I almost traveled half of China to find manufacturers. In addition to large-scale equipment, auxiliary facilities such as cash register system, monitoring equipment and safety mat must also be included in the purchase list, none of which can be less.

Staffing and Training: Service is Soft Power

No matter how good the venue is, no matter how dazzling the equipment is, no one will operate and maintain it. Management personnel, amusement instructors, cleaning personnel, one can not be less. How to determine the salary structure and how to pay social security benefits must be planned in advance to ensure the enthusiasm of employees. Pre-recruitment and pre-job training also have to pay attention to, the professional quality of employees and service attitude, directly determines the customer satisfaction. I have always felt that only by being good to employees can they pass on this good to customers and form a virtuous circle.

4. Licenses and legal affairs: compliance is the “lifeline”

Open the door to do business, legal compliance is a prerequisite, but also a guarantee. Industrial and commercial registration, fire safety, health permits, these documents can not be less. The handling process may be a bit cumbersome. If you don’t have time or are not familiar with it, it is better to find a professional agency or consult a lawyer and spend some money to buy a worry-free one than to have problems in the future. In addition, legal advice fees have to be set aside, just in case. It’s always right to plan ahead.

5. Initial operating reserve: to give you peace of mind through the “new period”

The importance of this money cannot be overemphasized! Many entrepreneurs often ignore this, resulting in a tight capital chain in the later period. Marketing promotion before opening, you have to let the people around you know that your playground has opened, right? Do some activities, hand out flyers, these are indispensable. Daily consumables, such as cleaning supplies and small gifts, are a long stream of expenses. The most important thing is that you must leave an emergency fund. There will always be various emergencies on the way to start a business. With this money in hand, you can feel at ease.

Budget estimates of different sizes (for reference only):

Small (100-300 square meters): For this scale, if the equipment is not particularly luxurious and the decoration is relatively simple, it should be 300000 to about 800000. Suitable for communities or small commercial areas, the initial investment pressure is small, the risk is relatively controllable.

Medium (300-800 square meters): This is a relatively common scale at present, the types of equipment will be rich, and the decoration will be more advanced. The budget is around 800000 to 2 million. Such playgrounds tend to provide a more diverse experience and are more competitive.

Large (more than 800 square meters): This is more professional, with many equipment and all kinds, usually in large shopping malls or special children’s parks. Investment, 2 million up, no ceiling, later operation and management are more complex, but the income potential is also greater.

Profit model and return on investment analysis: I’ll teach you how to calculate this account clearly!

Start a business, don’t just talk about feelings, and finally return to the essence of business-how to make money? And, how long can I roll back the real money I invested? To put it bluntly, I have figured out the two things of profit model and return on investment (ROI).

My profit model: not only more flowering, but also more intensive cultivation.

I know, a lot of people open amusement parks and stare at tickets. That’s the basic dish, that’s right. But if you want to really become bigger and stronger, diversification is inevitable, but what is more important is fine operation, so that every “flower” is valuable.

Core Revenue: Smart Design of Ticket System

Single ticket, time slot ticket is the basis. But don’t forget, holidays and weekends, demand elasticity, appropriate floating pricing is the law of the market, but also our opportunity to obtain excess returns. The key lies in how to accurately grasp this “degree”, not to dissuade customers, but also to maximize revenue.

Customer lock-in: the value bundle of membership system

This is not a simple discount promotion, it is the core strategy of binding customers and increasing the repurchase rate. Monthly cards, seasonal cards, annual cards, and even parent-child annual cards are essentially presale, locking cash flow in advance and cultivating customers’ spending habits. Let them feel, “if you do the card, you will lose!”

Value-added services: premium capacity for event planning

Space leasing alone is too inefficient. Birthday parties, theme activities (such as the “Little Explorer” theme week I held back then, which was really popular, with both word of mouth and passenger flow), and parent-child courses are all high value-added and high-profit revenue points. They not only contribute directly to revenue, but also serve as a marketing tipping point to attract new customers and even enhance brand influence.

Auxiliary Consumption: A Natural Extension of Catering Retail

When parents wait for their children outside, they have to drink water and eat snacks, right? Simple coffee, tea and snacks, the gross profit margin is considerable. If space permits, providing some simple meals is an effective means to extend the stay time of customers and increase the unit price of customers. This part looks inconspicuous, but the accumulation is much, very considerable.

Brand Derivation: Potential Mining of Peripheral Product Sales

Children’s toys, stationery, picture books… If your brand has a certain influence, or can get a good supply channels, this can be done. It is not only to increase revenue, but also an extension of brand culture and experience.

Return on Investment (ROI): I’ll give you a real version of this account!

The formula for ROI (annual net profit/total investment x 100%) will be memorized by everyone. But what entrepreneurs want to see is what we can do behind this number?

Suppose you have a total investment of 1 million, a net profit of 300000 a year, and an ROI of 30%. This means that you will probably have more than 3 years to return to your money. But remember, this is just a baseline. My experience is to pay more attention to each link that makes up the net profit:

Is the revenue maximized? Is our diversification strategy done enough?

Is the cost under control? Rent, manpower, utilities, every expense has to be carefully calculated.

Is the efficiency high enough? Can the same manpower and equipment serve more customers and create greater value?

Don’t be frightened by complicated numbers. ROI gives us a clear sense of direction and efficiency assessment tool. It tells you: whether your money is worth it or not, and when can you see the money back.

Key factors affecting profitability: the key to success or failure often lies in these points!

Passenger flow: the lifeline of the playground. Does this need to be explained? No one comes, and even the best facilities are furnishings. Therefore, site selection and marketing are always the “front subjects” with the largest investment “.

Pricing strategy: the art of balancing profit and passenger flow. Pricing is not determined by pat your head. It requires you to study the market in depth, understand competitors, and accurately calculate costs. I was compared to several competitors, combined with our own characteristics and input, repeated calculations to finalize.

Operational efficiency: Details determine success or failure. Is the staffing reasonable? Is the service process smooth? Is the equipment maintained in a timely manner? To be honest, a dissatisfied parent may directly “persuade” a group of potential customers on social media. Good experience is the best word of mouth.

Market competition: differentiation is your moat. It’s normal to have competitors around. The key lies in whether you have a unique selling point? Your service, your theme, your operation, can let customers choose you instead of others? Differentiation is the foundation of your foothold in the market.

Site selection and market research: the first step in starting a business, please be careful!

To be honest, the importance of site selection cannot be overemphasized. It is not only about passenger flow, but also directly affects your operating costs and brand positioning. The right choice is a good start. Wrong choice, it is really a bottomless pit of “burning money.

Location considerations: Don’t rely on intuition, rely on data and logic!

People flow: flow is money. Shopping malls, shopping centers with large passenger flow, of course, is the first choice. But don’t forget that high traffic often means high rents. Therefore, you need to do a calculation of the input-output ratio to see if it is cost-effective.

Target customer group: Where is your “gold master”? Is your playground aimed at preschool children or school-age children? Is it focused on parent-child interaction or simply having fun? Close to residential areas, schools, kindergartens, and even some high-end communities, it is a good choice. At that time, when I chose the site, I took a fancy to several newly-built residential areas around me. There were many young parents and strong spending power. Precise positioning, in order to precise location.

Convenience of transportation: a “door-to-door kick” that determines whether customers will come or not “. Is the parking lot convenient? Can public transportation be direct? If it takes time and effort for customers to come to the 1, even the best amusement park may be abandoned. Convenience is the first part of improving customer experience.

Surrounding facilities: ecological circle effect, don’t underestimate! Are there restaurants, supermarkets and cinemas nearby? These facilities can form a consumption ecosystem. Parents take their children to play, and may have a meal and stroll around the street. Your playground is just one link in this chain of consumption.

Market research methods: know your enemy and know yourself to win at the starting line!

Market research sounds very high, but my understanding is to “see” and “ask” with purpose, and then come back to “analyze” and “make decisions”.

Analyze competitors: learn, learn, and surpass!

You have to walk 1 circles around similar amusement parks in person. What star projects do they have? What is the pricing strategy? What are the highlights and slots in the service process? You can even secretly take a few photos (be careful not to be too obvious ha, ha), and come back to do a detailed SWOT analysis: their strengths, weaknesses, opportunities and threats. Knowing them, you can find your own breakthrough.

Understanding local consumption levels and demand: What exactly do your customers want?

That’s not something you can decide by sitting in an office patting your head. You can judge through online community forums, offline questionnaires (talk to the parents of some target customers, they are the most direct demand side), and even refer to the local per capita consumption level data. For example, do local families prefer themed experience parks or traditional climbing slides? How sensitive are they to prices? Only by understanding these can you really impress them with your products and pricing.

Operation and management: building a sustainable growth engine for children’s parks

To be honest, opening the park is only the first step. What really determines whether it can stand firm or even flourish is the refined operation and management system. This is not only a daily chore, but also an art, about the vitality of our brand.

Team Building and Talent Development: Forging Core Assets

We know that a person’s strength is limited after all, and an efficient and professional team is the cornerstone to support the high-speed operation of the park. In terms of talent management, my strategy has always been “high standards, strict requirements and emphasis on training”. Starting from the recruitment process, we not only look at the resume, but also pay more attention to the applicant’s love, sense of responsibility and problem-solving ability for the child. After all, our employees interact directly with the children and represent the image and service quality of the park.

Professional training after employment is the most important, which covers many aspects, such as safety operation standard, basic child psychology, service etiquette and emergency handling. We will conduct regular assessments and skills upgrades to ensure that every employee can become the “spokesperson” of the park “. The performance appraisal system is by no means a decoration. It can encourage excellence and help us find and solve problems. Frankly speaking, I didn’t spend less time and energy to form this dream team in the early days, but it turns out that this investment is the most worthwhile.

Market Penetration and Brand Building: Making Paradise “Seen”

In this era of information explosion, simply waiting for customers to come to their homes is tantamount to waiting for death. We entrepreneurs know the truth that “the smell of wine is also afraid of deep alleys. Our marketing strategy is to keep pace with online and offline to form a joint force.

On the online front, we actively embrace digital marketing. Social media platforms such as WeChat Public Number, Shake Voice Short Video and Little Red Riding Book are bridges to communicate with young parents. The content output should be interesting and warm, showing the unique charm of the park and the happy moments of children. At the same time, local life service platforms such as Dianping and Meituan are sharp weapons for drainage. high quality user evaluation and accurate preferential activities can effectively transform passenger flow.

Offline we pay more attention to scene linkage and in-depth cooperation. Establishing long-term cooperative relations with high-quality kindergartens and early education institutions and holding regular parent-child activities can not only expand the influence, but also cultivate potential loyal customers. Community activities are also a window for us to get close to residents and understand their needs. But I always firmly believe that, regardless of online or offline, what can eventually retain customers must be excellent reputation. Therefore, the ultimate goal of all our marketing activities is to make customers have a better experience, and then willingly “call” for us “.

Security System: The Lifeline of No Compromise

This point, I want to emphasize a hundred times is not too much: safety is the bottom line of children’s paradise, no one! As operators, we shoulder the heaviest responsibility for the safety and healthy growth of children. At all times and under all circumstances, safety must come first.

Our safety management system is comprehensive: equipment maintenance adopts a three-level system of “daily inspection, weekly maintenance, and monthly inspection”, and all facilities must meet national safety standards. Safety rules are clearly posted in a prominent position so that every 1 parent and child can see them at a glance. More importantly, our employees must be proficient in all kinds of emergency plans, from fire escape to child loss, from minor bruises to emergency medical treatment, can be handled quickly and professionally.

I personally have an almost paranoid strictness about security. Every time I see the paradise in the news where accidents occur because of potential safety hazards, I feel scared. Therefore, our investment in this area, whether it is human, material or financial resources, is regardless of the cost, because I know that a small negligence may bring irreparable consequences.

Customer Service Excellence: Enhancing Core Competence

In today’s increasingly fierce homogenization competition, excellent customer service is the key to our stand out and win loyalty. What we seek is not only “satisfaction”, but also “surprise”.

This means that we need to create a clean, comfortable and imaginative play environment for children, so that every play becomes a journey of exploration. Our staff should make parents feel respected and cared for with heartfelt enthusiasm and thoughtful and meticulous service. For example, the design of the membership system not only provides discounts, but also provides exclusive value-added services, such as birthday party customization, parenting lectures, etc., to enhance the sense of belonging and stickiness of customers.

I know very well that when children have a good time and parents have a good experience, they will not only patronize again, but also become our best “living advertisement”. This is a value that no marketing investment can match.

Legal compliance: the cornerstone of sound operations

Don’t think you can ignore laws and regulations just by doing a little business. All licenses must be complete, and fire safety, health and epidemic prevention must meet the highest standards. Regular inspection by relevant departments, active learning and compliance with the latest industry regulations are the necessary prerequisites for our sound operation and avoiding unnecessary risks. Compliance operation is not only to avoid trouble, but also to establish a responsible and trustworthy brand image.