In recent years rock climbing has moved from being a fringe sport to becoming a mainstream activity. This sport is becoming increasingly popular and adventurous every year. Igneous Rock Gym intends to profit from this rapid growth by becoming the first and most prominent climbing gym in Igneous.
Census.gov says that greater Igneous has a population exceeding 350,000. People of all ages can and do climb. It’s therefore realistic to use this number as a starting point in determining the potential climbing customers market. Indoor climbing should appeal to the widest possible population. This is key to Igneous Rock Gym’s success. Here are some ways to do this:
- Creating an ultra-safe environment with properly trained staff.
- Facilitating the fitness group.
- Assisting the novice climber with guidance and encouragement.
- For strong word of mouth marketing to be successful, it is important that the “fun factor” is high.
Americans are choosing to buy experiences over products more often. Igneous Rock Gym wants to give each customer an experience that will inspire them to keep coming back.
Igneous Rock Gym will be a Limited Liability Company, with start-up funding provided in its entirety by the owners, Micah Quartz and Cole Granite. Quartz and Granite bring unique skills to the company with expertise in building design and construction, and over ten years in the climbing gym industry.
Although climbing gyms are expensive to start, once they’re built, the cost of selling them is very low. These high margins will allow Igneous Rock Gym to generate strong profits during its first 12 months of operation. The first year’s sales will reach just over $250,000 and there will be a solid net income to sales ratio. Profits are expected to rise in the following two fiscal years. A modest yearly growth in sales is used for these projections. If the fitness gym industry’s growth rate of 10% were used, the profits would be even higher.
Igneous Rock Gym aims to provide a safe, enjoyable environment for all ages to exercise, socialize and learn new climbing skills. Because they are focused on these basic qualities, friendly and knowledgeable staff can create an environment that welcomes both the novice climber as well as the more experienced climber.
Igneous Rock Gym is aiming to achieve three objectives
- Sales in the first 12 months of over $250,000.
- At least 8% sales growth in the second and third year of operation.
- To become the principal indoor climbing site in the greater Igneous metropolitan region.
Success Keys 1.3
Success in any climbing gym is dependent on these four key factors
- A happy, friendly staff who create an inclusive environment.
- Skilled route setters that take pride in their creations.
- Positive word of the mouth.
- Ability to draw in groups.