Modern life is tied to the Internet and the cyber industry. People need powerful computers for both working and playing. Although most people have 1 or more computers at home, a cyber cafe (or gaming cafe) provides much more opportunities to remain a proficient business niche.
Cyber Cafe Relevance
In 2021, gaming cafes have not lost their popularity. This industry continues to grow but in a slightly different sense than ten years ago. Previously, cyber cafes were mainly used to access the Internet, find necessary educational/work sources, or print documents.
Interest in video games and e-sports has grown significantly over the past decade. Now, cyber cafes are focusing on purchasing the latest video games, consoles, and attracting e-sports players. In 2020, the global video game market was nearly $160 billion. This figure continues to grow every year.
The peculiarity of cybercafes is the availability of the latest computer equipment for games and work. Thus, even professional e-sports players can practice in a relaxed environment on the latest computers. This attracts customers and makes the cyber cafe business profitable.
Make a Business Plan
Starting an Internet cafe business can seem like a daunting task. To correctly calculate all costs, possible risks, as well as the payback period of a club, it is necessary to draw up a cyber café business plan.
There are two options for opening a cybercafe: to organize your own business or join the franchise of existing companies. The second option may be much cheaper and easier. Install esports center management software to control your business remotely. Thus, you can combine the management of several businesses or run another business in parallel.
One gaming seat will cost an average of $1,500. It depends on the gaming café software and hardware. Most of the sum will go to the video card, which has now grown in price due to the demand for cyber currencies. For example, to collect a gaming PC of 2020, you’ll need:
- Processor AMD Ryzen 7 $170-$200
- Video card GeForce RTX 2060 Super $420-$600
- RAM DDR4 3200MHz 16GB $80-$90
- Motherboard $35-$50
- SSD M.2 256 GB $30-$40
- HDD 1 TB SATA $35-$45
- Power supply 600W $40-$50
- Case ATX $30-$40
Thus, depending on the area of the premises, starting a cyber cafe business can cost $60,000. With proper planning, the full payback will be within 9-12 months of work. After that, the cybercafe will make a net profit.
Choice of a Place
Location is one of the most important factors in starting a business. The correct location will contribute to development and success, and the wrong one, on the contrary, can end even a successful business.
When choosing a location, you should pay attention to the following factors:
- Security of the area (since cyber cafes work around the clock, it is important to ensure your safety and the safety of visitors)
- The popularity of the location among your target audience
- The attractiveness of the place for the target audience located nearby
- Competitors and facilities related to your business (copy centers, cafes, etc.) located nearby. The advantages and disadvantages of competitors, their remoteness from your business, features that you can offer the client to stay ahead
Thus, the premises should be safe, located at the epicenter of your target audience. Such target audience locations as shopping malls, schools, universities, and cafes will be an advantage. The place should be visible and walkable.
Having no competitors nearby will be a big plus. You will have a better chance of growing your business in the first months.
The room itself is also important. It should be spacious, easily accessible, and well-ventilated. Divide the room into themed locations: e-sports, console games, food, and printing. As usual, co-working spaces, which are so popular nowadays, are perfectly suitable for gaming cafe premises.
Define Your Feature
Among all Internet cafe business ideas, choose the priority one for you. Make one activity of your gaming cafe the main feature that will be definitely attractive to customers. Among other aspects, make sure to focus on:
- high-speed Internet
- high-tech equipment
- consoles and console games
Additional services are needed to increase profits and stand out from the competition. Such services can be
- copying and scanning of documents
- rent of workplaces
- sale of snacks and drinks
- board games
Also, take care of your comfort in running a business. You should install Internet café management software. Thus, you’ll be able to remotely monitor the number of clients and revenue of the business in real-time.