GAMING BAR
Submitted By – Rahul, Vanshika, Ankita, Navpreet
Submitted To – Cyri Jones
Agenda
- Executive Summary
- Business Overview
- Market Research
- Market Plan
- Business Model
- SWOT Analysis
- Operations Plan
- Spreadsheet Assumptions
- References
Executive Summary
Gaming Bar is determined to become a wish for local gaming lovers especially people of age between (15-30) . A place to dream of, as you try to escape the daily stress of life or just find a comfortable place to hang out with your friends or to play games, all in one. With the growing demand for games and entertainment, Gaming bar will offer its customers the best and popular games in the area that will be complemented with snacks and beverages, as well as good music that its patrons can listen to and enjoy their visit.
Gaming bar will be in an area of 2,400 square foot within a walking distance from the Granville station. We have secured this location through a three-year lease with an option of extending. We will also provide $100000 of the required $400000 start-up funds. The remaining capital will be obtained through Bank of Canada commercial loans.The business is expected to grow its popularity and profits from a loss of around $17000 in First Year 2020 to a profit of $63000 in year three.
Business Overview
Key company info:
- Store design that will be visually attractive to customers, and designed for fast and fun operations.
- Best and popular gaming machines, snacks and beverages.
- Marketing strategies aimed to build a solid base of loyal customers by giving them discounts, loyalty cards and holding a monthly free event for everyone, which will increase our popularity among youngsters.
Mission:
Gaming Bar will make its best effort to create a unique place where customers can socialize with each other in a comfortable and relaxing environment while enjoying the games like Billiards pool, Bowling, PS4, Dart, Virtual reality games and on the side our Gaming Bar will offer their customers Snacks & Beverages like soft drinks, energy drinks, coffee, popcorn, and sandwiches. We will be in the business of helping our customers to relieve their daily stress by providing a peace of mind through great ambience, convenient location (i.e. Vancouver downtown), friendly customer services and fun games of consistently high quality. Gaming Bar will invest its profits to increase customer satisfaction while providing a stable return to its key partners.
Vision:
In the upcoming five years, Gaming Bar will be popular for its best services and innovative ideas related to entertainment, games and fun and how to get rid of this stressful life. Gaming Bar is dedicated to become the most loving place among every age group. Besides this, we are looking forward to add more games and other fun and relaxing elements in our business.
Goals and Objectives:
Gaming Bar’s objectives for the first year of operations are:
- To be selected as the “Best visiting place in the area” by the local tourist guide for the people who are looking for fun.
- Turn in profits from the first month of operations.
- Maintain a 65% gross margin.
- To provide best service and to be loved by our customers.
- To be updated with latest games.
Market Research
Gaming Bar will be primarily targeting the people of 15-30 age group in Vancouver. The main characteristics of our target market are:
Large population
Around 23% of people over the age of 15 report that their days are extremely stressful and this number rises to 30% among the 35 above age group (Statistics Canada 2018).
Game lovers
According to new research from Mintel’s Attitudes Toward Gaming, Canada, February 2019, 65% Canadians play video games, including 96%of young men aged 18-34 and 80% of young women in the same age category.
Marketing Plan
Market strategy
It is undeniable that marketing has changed from past few years because of all the digitalization in the world. According to a research firm, 91% of kids between 2 and 17 or about 64 million people are playing video games. So our marketing plan is focused on targeting the young people as it has been seen that there is a great demand of games among them.
There would be a pre-launch of games in the Gaming Bar to release date for our latest games. Gaming Bar introduces loyalty card for a fee of $50 and our customers can play with the help of that card to earn points. Moreover, they can redeem their points and get further discounts in our store. There would be a website of a Gaming Bar where customers can visit.
Secondly, social media is a useful marketing tool to connect directly with potential users. Different social media channels would work best for us like facebook, Instagram, Snapchats etc. which will give updates about our gaming bar and its games.
We are also planning to organize various events in the schools or colleges where we can promote our business. An interesting blog is also the best way to grab people’s attention and share our information. A blog will be hosted that will include our best work and interesting articles about Gaming Bar. It would have all the recent updates and every little detail of how we work.
Some Statistics
Marketing Mix(4p’s)
Product
Gaming bar offers a unique and compelling multiplayer experience, as it provides different types of games like bowling, pool, VR games, PS4, video games and arcade games. There would be instant instructions and game demo for our new customers which would help them to play games. On the other hand, Gaming bar would also provide snacks and beverages to the customers, which they can have while enjoying and playing. Our video games would include different genres like action, adventure, arcade, racing, shooting etc.
Price
Games nowadays are quite expensive in the market but Gaming bar would offer their customers to pay an average price of $5 – $20 on every game. There will also be a loyalty card which they can load and play as many times they want. If customers break the record of the game and win, they will get discounts of 20% on the snacks and beverages. Other costs benefits features include reduced rates for our regular customers and special days .
Place
The location of gaming bar will be Downtown in Vancouver only a 4 min car ride from Waterfront . Different buses and expo lines are also available for downtown. Our customers can also book their table from our site. There is official website of the gaming bar where people can download games for a nominal charge. CD would also be offered to our customers at our place and they can also take away some games on rent at their homes for night.
Promotion
As previously stated, Gaming bar is planning for a huge marketing campaign
- There will be a website of Gaming Bar where people can visit.
- Social media would be the best platform to connect with our customers directly by posting ads on Instagram,Facebook etc.
- Various events will be organized in schools and colleges for promotion.
- A blog will be host by Gaming bar which have all the articles, updates and details of the bar will be at https://gamingbar.wixsite.com/website
Marketing Cost
Our marketing budget will be $15000 in first year and $12000 in second and third year.The majority part will be spend on the installation of games and other will be distributed between other areas of our marketing and promotional plan.
Business Model
| Stakeholder | Responsibility and Duties |
| Investors | Gaming Bar’s investors are the backbone of our business and we will make sure to provide our best fiscal outcome to them. |
| Customers | Gaming Bar will provide excellent customer service and will provide them with various offers to keep them connected with us. We desire to keep in mind our customers benefit and will welcome all types of feedback. |
| Employees | Our first customers will be our employees and we will provide them with various kind of benefits to make them feel as a valuable asset of our company. Furthermore, they will be trained well to achieve the goals of our company effectively and efficiently. |
| Suppliers | It’s always good to keep a healthy relation with our suppliers because they are the ones who would play a key role in making your business run and so does Gaming Bar will do. We would also love to arrange meetings in every month or couple of months with our suppliers to welcome their suggestion, changes or any improvement for the betterment of both the parties. |
| Government | Gaming Bar will always follow rules and regulations passed by the law to make sure our all activities are legal. Moreover, we believe in moral and ethics which must be executed in all areas of our business. |
| Competitors | As such we have Microsoft, Nintendo, 5fifty games as our competitor but we will make sure to give a good competition to them. |
| Community and Public | Gaming Bar will not do any activity which may harm the society because ultimately, they are the ones who will help us to make our business run by using our service. Secondly, we will love to hear from them any suggestion via mail, social media or walk in to make them feel valuable. |
SWOT Analysis
Strength
- Excellent services at cheaper price
- Provide games on rent
- Events and Socializing
- Online Booking
- Keeping up with new technology
Weakness
- Games available online which can be played on phones or computers
- No adequate parking
- Expensive installation and maintenance
Opportunities
- Growing demand for games
- Virtual Reality’s era
Threats
- Good competition from 5fifty Games Internet Café (Downtown), Nintendo
- Local games studio like Thinking ape, Airg, Bluebat Games
- Technical errors
OPERATIONS PLAN
operations strategy
WORKING HOURS
The gaming bar will be opened on monday to thursday from 9am to 10pm and for friday to sunday it will remain open till 12 midnight. The day manager would come 1 hour before to open the center and do the preparations.
MANAGEMENT TEAM
This bar would be co-owned and co-managed by its 4 partners each having different roles and position:
- Mr. Rahul Vij, would be the CEO and would take all the major decisions in the business. Moreover, he will manage all the resources and will act as the face of the Gaming bar. Having knowledge about different games and technology he would make the make the Gaming bar up-to-date with the new trends and technology in the beginning and later on an expert would be hired.
- Ms Ankita Sharma, having a commerce background would be the CFO of the company and would thus handle all the matters related to finance and would try to manage inflows and outflows, doing the data analysis besides convincing investors and handling all the work related to bank and loans.
- Ms. Vanshika Sharma, with great management and organizational skills would be the COO of the company and would manage the daily operations of the company.. She will act as a link between the CEO and the employees, communicating the operations strategies and policies. She would also try to align the personnel goal with the company goals.
- Ms. Navpreet Kaur, having a great knowledge about the market and people would be the Vice President of marketing and thus would see all the promotional campaigns and would continuously do brainstorming to find new creative ways to grasp a wide market segment and thus would provide effective strategies to compete in this competitive world.
Every month the CEO would make decisions and strategies to be achieved and the COO CFO and vice president of marketing will make a report about the previous months accomplishments and will make a budget every quarter and see if any changes are required in the strategies and policies.
Besides them, there would be 2 cooks, 5 servers, 4 game tenders and 1 front desk person. Once employed they would be given all the benefits and would be covered under insurance. Moreover, they would be given some discounts and rewards for their exceptional service.
We would also a hire a repair person on a contract basis who would do the regular repair and maintenance of the equipments and would do the upgradation if and when needed.
Even though we expect that most of the employees would be youngsters, we would give each and everyone equal opportunity. Since most of the employees would be part-time there would be less employment benefits required. They would also be motivated as they will get to play games as compensation and would also be provided with a family-type work environment.
OFFICE REQUIREMENTS AND ASSETS ACQUISITION
THE GAMING BAR would lease a 2400 square foot place near granville station for 3 years for time being and would extend after that. This will accommodate all the gaming equipments with a bar and dining space. The estimated costs for these investments would be-
Office supplies – $1000
Gaming equipment- $150,000
Renovation – $50,000
OPERATIONAL WORKFLOW
When the customers would come they would be headed towards the front desk to get their loyalty cards or to upload them. When uploaded they can go to the game zone and play the games they want to. There would be different sections for each game and also sitting arrangements for groups as well as individuals. There would be game tenders that would assist them throughout and would answer their queries. Moreover, while playing they can order snacks and beverages and enjoy their time.
The kitchen would have enough space for 2 cooks that would make light dishes and beverages. Besides this, there will be a bar for drinks having licensed workers.
ASSUMPTIONS DOCUMENTED
- It has been assumed that our revenue will increase significantly in the upcoming years.
- Also we have assumed that our business will get loans with a minimum interest .
- Besides this, it has been assumed that machinery and equipment would be purchased on EMI for 1 year.
- We think that our business would be opened for 28 days though there maybe some statutory holidays.
References:
https://www.slideshare.net/mobile/wcafferkey/titanfall-4-ps-of-marketing
http://archive.gamedev.net/archive/reference/business/features/marketing101_1/index.html
https://www.bartleby.com/essay/The-Video-Gaming-Industry-Microsoft-Sony-And-F37NJTQ5G3DX
https://newzoo.com/insights/rankings/top-20-core-pc-games/
https://gamejobhunter.com/local-video-game-companies-vancouver/
https://medium.com/@GameMarketingG/how-seriously-competitive-is-the-gaming-industry-346a7048e121
https://www.cnet.com/news/91-percent-of-kids-are-gamers-research-says/