Maximising Profits From Golf Simulation

With good quality golf simulators costing the best part of £20,000 or more, it can be a daunting prospect to enter into the golf simulator market.  With typical hourly play prices of between £20per hour inclusive of VAT, it is easy to see that with an average of 5 hours play per day, the business will struggle break even after a full twelve months.
In fact, with a pre-tax play price of £16.66, 5 hours play per day, 365 days a year, revenue would be approximately £30,000.  In basic terms, forgetting overheads for a moment, profit would be approximately  £10,000 on a £20,000 investment, in other words about 50% return on investment.

This might appear a good return to you, but at Cowlens, we don’t think it is!

So what do we think is a good return on investment?
60%?  70%
No.

Ideally, a business would want to generate a return of 100% or more on their initial capital investment, starting in year 1.
To overcome this, some simulator companies may promote their systems with an illustration of much higher game play.  Some will have illustrations of up to 14 hours play per day.  This amount of play would show income levels in excess of £85,000 per year.  Whilst this is not impossible, it is clearly impractical and unrealistic for a start up company.  With many new businesses folding in the first year of trading, it is clear that businesses need the best possible start in order to survive, not unrealistic targets.
So is a 100% return on investment actually possible?  At Cowlens we believe that with the right set up, it is.
Cowlens have devised a new approach.  We call it our low cost simulator package.  With a low start up cost of just £8,495 (and enrolment onto our 3 year pricing plan) businesses already have a head start.

Taking the earlier example of 5 hours game play per day and income of £30,000 it is easy to see how the low entry price of £8,495 can generate an attractive return on investment.  There are other monthly charges to consider with the 3 year plan, however with these included, returns of over 100% can be achieved in the first year with just 5 hours play per day at £16.66 per hour.
Of course, not all businesses will be the same, thats why Cowlens also assist with developing pricing structures to increase returns. Examples are shown on our previous blog: Golf Simulator Profits - Buying Time. With a definitive pricing structure and our low entry cost combined, we believe that with the risks of failure are significantly reduced and the opportunities of success are enhanced.
If you would like to know more about our low cost simulator package visit Cowlens.co.uk.