5 Steps To Start Money Printing Video Game Business [GUEST POST]

I vividly remember the discussion or let say an argument over why video game centers might be the wrong move

Where was this coming from? It’s coming from my uncle and his friend attempting to invest in this scary business idea

The idea was from my uncle but the fuss in disguise was literally their mindset and zero knowledge properly breakdown for them in a blueprint

·         What is video game business in a nutshell?

·         How did they get off the ground?

·         What were their challenges?

·         How profitable is this business?

·         Is there any shortcut?

Each line is well equipped with how they took off from nothing to roughly #250,000 per month within 16 months

What is video games business?

As it suggests: it’s a business that simply creates an avenue for people to play varieties of video games

Various video games? I already know what’s running through your minds, things like below

Can’t I just stick to soccer?

How can I deal with multiple game upgrades?

The distraction? More about these in the guide

How profitable is the video game business?

While the answer to this rest heavily on few factors:

·         Number of consoles

·         Amount of leg traffic

·         Upsell

·         Comfortability

 Number of consoles

When my uncle was starting out in 2019, we charged as little as #50 per soccer game session, which was 10 minutes [single] and #100 for 2 [double player]

Fast forward to this very time and tide, charging below #100 per single player and #200 off double remote controllers, it’s a lot of disservice to your business, unless it’s a special day or reward to very active patrons

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Let’s get down to math, shall we?

I assume you’re just getting your head in the game with little capital, leaving you with a console

Single player charges

1 gaming session per player = #100

Game duration = 10 minutes

For every 10 minutes, you should earn #100, and #600 for every 1 hour [60 minutes]

Note: this business of ours isn’t one-off, when patrons step in, they come fully prepared, and often drop the controller not until 3-4 sessions or more thus enriching your wallet

Double player charges

1 gaming session per double player = #200

Game duration = 10 minutes

For every 10 minutes you should earn, #200 and #1,200 for every 60 minutes [1 hour]

Now imagine having multiple consoles, let’s say 3

Single player X 60 minutes X 3 consoles = #1,800

Double player X 60 minutes X 3 consoles = #3,600

Upsell

Did I mention my uncle and his friend were already doing #200,000 monthly in revenue after expenses with just 3 consoles [2 PS3, 1 PS4]

What literally skyrocketed their figures was the faithful day he discovered few patrons using few shops away to get refreshment and drinks, his initiative conflicts leaving the extra tips on the table

They started, or let me say we started, I was part of the movement before I chose different path recently, with small deep freezer stocked with assorted drinks to give our patron more resources to spend their money on

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Amount of leg traffic

Now, your turnover highly rest on each client/customer that walks through the door

Does your desired environ has the potential? More on this later

Comfortability

Video game business is just like football viewing centre business, it thrives more with word of mouth marketing, people are definitely coming with their friends and family

Now, how comfortable is your game shop settings, if it’s below average, people might be better off enjoying the company of their family or relative with their popular cable [gotv, dstv]

What you need to set up your video games business

Game type

By now you should know android game developers haven’t stopped fighting for user’s attention

So, forget getting expensive software or filling up your space with bulky game files

Mention the adventure [assassin creed, god of war, grand theft, call of duty] the android imitated version of these games are exceptional to focus solely on cracking your console and cram it with updated version of what your customers want most [soccer]

Game Console

Remember, you’re just starting out, I’d not recommend starting out with PS 5 or latest xbox

You’re not only okay with play station 4 but also have relevant console for years to come even till [2030]

Get a fairly used playstation 4 with [500gb] space, it’s around #60,000-#80,000 while a brand new could follow a north path of #150,000

Television

You can’t sideline the need for attractive display for your gaming business, either as a unique selling point or for better view, 27 and 32 inches flat screen TV are good enough so long they offer 4k resolution

Used one, should set you back on #60,000-#80,000

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Air conditioner

Here’s another hint, some visitors could step into the door without patronization intent for the first time

As soon as you give them a reasonable cause to keep coming back for free perks they barely get in their abode, you end up converting them to a paying customers

TV sets and consoles generate enough heat talk more of human body, and you won’t realize how strange it might be to see people showing up with AC intent but end up paying for a round or more

When you position your business [product/services] in such a way that makes people perceive, they’re cheating you, your sales report is already up on another level

I’d recommend saving for an AC, get a budget friendly unit for #200,000-#300,000, it depends on the size of the shop though

Getting a befitting one for your shop it’s like listing your video game business for more exposure on business directories which will definitely save you a lot of stress, worry, advert, unnecessary discounts in the long run

Generator set

Unless, you don’t plan to scale up this business within shortest period of time, you should go for small power generator set

3.5kva brand now sells for about #85,000-#150,000, sorry the inflation is climbing up so fast

Get one in place for your gaming business or go for a used prototype to cut some cost

Chairs & Bench

An ergonomic and upholstered chairs for each players won’t hurt your pocket but make them feel too relaxed to stop going more rounds

Also, don’t forget to put spectators in their place, you don’t want them dragging those chairs with currently paying customers

Foam theirs, when they conveniently spectate long enough, they may end up using that transport fare for a round, haha

Remember, you made the investment upfront, it’s business and still win/win for both party

Factors to consider before setting up a video games business

You won’t embark on any business journey without proper market research, right?

Location

Just look around, if your environ or your intended spot do not answer these few questions or falls outside the below spectrum, don’t bother to secure your business around, unless you’ve got more lucrative ideas up your sleeves

Is 12-30 age groups around here?

To avoid downturn sales report before you start the business, ensure 12-30 age groups are swarming your spot

Is it a busy path?

From 6:00 am to 2:00 pm business/working days, it’s normal to have little to no patron, as most will probably be at work or school, a second after this period should gradually fill your chairs

What is the proximity of institution [primary school–tertiary institution]?

The first telltale sign of any successful video game center is closeness to institution, get this right and watch your revenue soar right off the bat

Is it not a well off neighborhood?

Don’t bother to secure a spot in remote area, G.R.A or opulent neighborhood

Aside the folks in this designated are overprotective, they have disposable fund to acquire the gears for their kids

Just avoid these areas at once and instead opt for average neighborhood

Business registration

As at when cooking up this article, corporate affairs commission [CAC} registration is around #18,000-#20,000

Tie one to your business for the fraction to avoid constant invasion of law enforcement agency

It’ll save you more in the long run as you have no skeleton in your shelve

Power supply

Power is a crucial factor in this line of business but we can’t fight fate with how it all turns out to be in this part of ecosphere

However, you shouldn’t let this deter other viable factors, take the spot if you have at least 6 hours constant power supply during business hours and your generator set should take it from there

Adornment

Adorn and embellish the shop, let it feel cozy like a bedroom, only without a bed

Automatic voltage regulator

From your plasma tv to your console, these appliances are highly sensitive to interrupted or voltage spike and surge

A repair may not only cost a ticket but may never restore it to their original condition thus costing you more on the long run

I don’t know if your budget fit into this extra protective measure, you just have to find a means, prevention is much more better than rehabilitation as far as these gadgets are concerned

Cable TV

Remember, I mentioned upselling product like refreshment like drinks and snacks

You just have to deal with it, that some people don’t have flair for video game, premium satellite Tv package [dstv, gotv] could work wonders

I’d recommend gotv for its affordability across board [decoder price & subscription package]

Tie it to this business to completely hold them down until they drip slowly into the experience

POS

I wish to stop earlier but there are endless possibilities in diversifying or tethering other businesses to video game business, just to enhance your turnover

If you can’t see  active ATM or point of sale machine around, start issuing payment & withdrawal as your customer base has more people in the 18-30 age range with debit cards to their name

These simple steps I have put together will set you on the way to starting making a kill with your video game business