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Opening an indoor golf facility

IceyShanks

IceyShanks

NiceyThanks
Albatross 2024 Club
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So after hearing other people talk about their indoor facilities I'm super intrigued to investigate opening one around here.

I know there's a lot that would go into it, but I'm super curious about pursuing it.

So my questions are:
  • Do you think it would be a good idea or bad idea?
  • What kind of population would need to be there to support it?
  • Large building with indoor flight or simulator? Maybe combo?
  • Other services?
  • Pro shop?

I was wondering if maybe I could approach a local golfshop to attach this type of facility as an add on service to help bring in customers.

I'm really just brainstorming but it's been on my mind for a long time. Any info, help or advice is welcome.
 
I did a case study on this for my MBA class a few years ago, I'll see if I can dig it up.

All I remember is the initial startup costs were more than most people think, and the location and demographics were the key driver
 
Depends on the person, but in this economy, my opinion is bad idea. The upfront costs are staggering.
 
It'll be a big start-up cost for sure. I think going the sim route would be cool, but you'd need a source of income other than the sims - i.e. beer. They can come in around $50k per sim from what I've heard and it would be hard to make money just on that when you'd be charging $30-40 per hour.

A local place here has expanded the scope of their business by offering a lot of different activities - pool, ping pong tourneys, etc. Hell, they are hosting the Discovery Channel for a new Arm Wrestling show for the next couple weeks. Anything to bring people in and buy beer.

Indoor domes are ridiculously expensive to heat. Not to mention the large amount of real estate needed.
 
I've thought about it. A lot actually. The place I go to is a real good facility. It's called Tark's Indoor Golf. I think the reason his place works though is because he is a PGA Professional. He gives all sorts of fittings and lessons inside and when the season opens he gives them outside at a top area course. He also has a bar/restaurant, does custom club work and fitness training.
 
If you did (which would be a huge start up cost) I would do just sims. The place that just opened here has 5 sims and a bar and serves food. Going tonight, will have a better opinion on it but for reference, it is the only one in a 100K+ populated area. Don't think you could start one in a much smaller town IMO.
 
There's one in my area. Their main focus is lessons, but they also sell memberships for practice time. They have three hitting bays with video for swing analysis plus one hitting bay with a simulator. I would think they'd have a hard time making a profit on practice time alone - I think it's the lessons that keep them in business. Remember that people are only going to practice there if they can't practice outdoors, but you're paying rent year round.
 
ddec said:
I've thought about it. A lot actually. The place I go to is a real good facility. It's called Tark's Indoor Golf. I think the reason his place works though is because he is a PGA Professional. He gives all sorts of fittings and lessons inside and when the season opens he gives them outside at a top area course. He also has a bar/restaurant, does custom club work and fitness training.
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This is another thing our local place does. Lessons, fittings, club repair, etc. He splits time between inside and outside as well.
 
Hawk said:
This is another thing our local place does. Lessons, fittings, club repair, etc. He splits time between inside and outside as well.
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I think it's a big reason why the guy succeeds. Plus him and the staff there are excellent. He runs different leagues, which I do from Jan-March. 6 simulators, 24 guys. It's a fun night. Maybe next time I go in I will take some pictures. It's almost set up like a sports bar with simulators.
 
ddec said:
I think it's a big reason why the guy succeeds. Plus him and the staff there are excellent. He runs different leagues, which I do from Jan-March. 6 simulators, 24 guys. It's a fun night. Maybe next time I go in I will take some pictures. It's almost set up like a sports bar with simulators.
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Same here and that is why they're still open. It's become almost like a Dave and Busters - drinks and a lot of different activities.
 
in my area around 50thou population , with no outdoor golf for min 4 months -winter. we had a dome with no sims , and then a sim only facility . neither was able to survive . food , bevs, leagues , lessons . I actually miss it being that I could keep my swing up somewhat during the winter .
 
I think if you already had the land then it would be cost effective. If you dont, then I dont think its a good idea.
 
I don't know for sure Icey, it sounds like a great idea but when you start getting into the nuts and bolts of it I just don't know. Like others have said, if you can diversify the offerings so that you're not solely dependant on people coming to play in the sim (which would be the route I'd go) then you might be able to have a better shot at it. But think about it this way, the place will only be a 4 or 5 month a year establishment, not that you wouldn't be open year round but who's going to go play Sim golf in the spring, summer and fall when they can play real golf?

I'll be checking out a brand new place called Golf Addiction tonight http://www.golfaddiction.biz/index.htm I don't know if this place is going to make it or not, but they seem to be off to a good start. I hope they make it because it's literally like 3 minutes from my office.
 
jake that places sound similar to my place. Esp with those aboutGolf sims.
 
There are a lot of good thoughts in this thread, but I'll add one more: you have to rely on making most of your income over a few months of the year, say November-April. You're not going to get a bunch of people coming into the facility when the weather is nice and they can play golf outside. I think that would change if there was a good professional that gave lessons there all the time, but even in that scenario, I think that most people want to be outside when the weather allows for it.

I've heard the owner of the facility that I use talk about how he's pretty much breaking even every year, and it's always a year-to-year thing for him. He's pretty much the only good indoor facility in downtown Boston, which has a big population base. It seems like it would be a tough business.
 
We have one here in Belfast called Citigolf. They use 3 sims and charge by the hour but you can also book it for big screen Wii or Xbox. Think a good portion of any money they do make comes from the bar and food!
 
I agree with others that it's a big risk. However, if there are a lot of golfers living within a reasonable distance (30 min?), and there are no other similar businesses in the area, it might work if you did a good job (partnering with a pro might be an idea). Full flight might not be reasonable, but maybe a couple of simulators (at least one of which needs to have 4 person full round capability), a putting green, and maybe a bunker to hit out of into a net with targets. Maybe have a mini pro shop with different wedges and putters to use (to bring in non-golfers also have a few full sets for the sims). A bar with food would be a good idea too. Then if enough demand you could always expand to a full pro shop.

If serious, you could try doing some market research at nearby courses next year.

P.S. you might be able to keep it open year round for evening parties and teenagers, but I'd think it'd be a long shot.
 
ddec said:
jake that places sound similar to my place. Esp with those aboutGolf sims.
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I think I am really going to like it. The other place in town that has a Sim (other than the golf shop) only has 1 and I don't know how accurate it is. Matter of fact I know it's way effin off in fact. I hit every drive dead straight and actually hit one 325 yards on that thing. Great for the ego....horrible for testing equipment!
 
Puttin4Bird said:
I think I am really going to like it. The other place in town that has a Sim (other than the golf shop) only has 1 and I don't know how accurate it is. Matter of fact I know it's way effin off in fact. I hit every drive dead straight and actually hit one 325 yards on that thing. Great for the ego....horrible for testing equipment!
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The aboutGolf sims are fantastic, Jake. High speed camera based and can be very accurate for testing launch conditions. You're going to be a very happy camper.
 
Depends on a lot of factors that are unknown to us about your location. I think it could be good, however, you have to have something to sustain the business in the nice months when everyone is out on the course playing. We were going to do something here that was similar that also included indoor tennis courts. We have the opposite here, in summer a lot of people don't play as it is too hot outside for both golf and tennis. In our area we have the highest vacancy rates for commercial properties in the nation and can get a really good deal on a building, lease, and TI money. They are throwing tons of TI money at potential leasees here to get anyone in a space. Depends on the location you are in, in my case it would be the only one like it in a city of 2 million people.
 
Puttin4Bird said:
I think I am really going to like it. The other place in town that has a Sim (other than the golf shop) only has 1 and I don't know how accurate it is. Matter of fact I know it's way effin off in fact. I hit every drive dead straight and actually hit one 325 yards on that thing. Great for the ego....horrible for testing equipment!
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Dude I am freaking pumped to give it a go tonight. The GF was not too excited when she found out any plans for a FRI night were K.O.'ed when I told her 4 freaking hours. Boom!
 
I've thought about this ALOT lately as well!! We have had 2 places near me go under though and the third place is very expensive but also has black light mini golf and hosts kids birthday parties year round to offset the cost of the 3 simulators they have.

There are a ton of vacant mill buildings around me ad I would love to rehab one and work for myself but the capital needed and cost of doing business (insurance, medical, taxes, etc.) here are ridiculous!!)


On my iPhone T.. T.. Tapatalking away!
 
Jjmorris said:
Dude I am freaking pumped to give it a go tonight. The GF was not too excited when she found out any plans for a FRI night were K.O.'ed when I told her 4 freaking hours. Boom!
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Tell her she can have all the Jjmorris Afterdark she wants! Just gotta wait til after 10pm! Haha.

I'll be there at about 5:30.
 
Puttin4Bird said:
Tell her she can have all the Jjmorris Afterdark she wants! Just gotta wait til after 10pm! Haha.

I'll be there at about 5:30.
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I will be pushing 5:50-6
 
The dome where I live charges $30/hour in the winter and an annual membership is $600. They have a range, 6 sims, food and drinks, and mini golf. It seems to be very busy in the winter and has been around for a long time so I assume it's a sustainable operation. The startup cost for something like that must be approaching a million dollars.
There is another outdoor range here with heated bays. That might be a cheaper option as for as startup costs.
 
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