Would a gaming cafe be a lucrative investment?

[Wolf Ticket]

My buddy wants to open up a gaming cafe, that's pretty much like the ones we used to go to back in the early 2000s. He already has a prime location in mind, and is looking into the logistics. Is it worth it in this genre?

[Wolf Ticket]

Publicado originalmente por Auckes:

If a new Pandemics like covid comes, it is so going to end his career (and bank account balance). Same applies for Gyms. And any old-fashioned enterprise, in which gatherings of people perform activities.

I think people are of the won't get fooled again if a new scamdemic is introduced.

[Abaddon the Despoiler]

Publicado originalmente por Pierce Dalton:

Publicado originalmente por Abaddon the Despoiler:

Gaming cafe if I had no PC. Why would I want to play some crappy free game on a tiny screen?

I don't know, you would have to ask the thousands of people choosing that option.

People just get more and more weird.

[craigsters]

Tim Hortons donuts has free wifi and I only see people in there twice a week with tablets and laptops and two people at best, this is at 8 am every day that I go and get coffee

[MoonC A T]

I go to the local library a lot and I've noticed that most of the PCs are occupied by gamers.

[Mauserich]

I don't think so. Today, everyone has their PC at home and the tendency is more and more towards cocooning. You can see it in the home office trend and so on. Sad but true.

[talemore]

These people are too poor to buy me a coffee

[Pierce Dalton]

Publicado originalmente por MoonC A T:

I go to the local library a lot and I've noticed that most of the PCs are occupied by gamers.

LOL the librarians don't care?

[Auckes]

Publicado originalmente por Wolf Ticket:

I think people are of the won't get fooled again if a new scamdemic is introduced.

I'd like to share your positive approach, but there are many sheeple among us, some of them particularly aggressive even.

Didn't you see the savages who got the shot, demanding those who didn't to pay up the consequences and getting all happy, whenever perfectly healthy people lost their jobs, their lives, their credibility, just because they had the self-respect and decency to say; "No"?

Never underestimate the Fools. They come in numbers, drag you down to their level and beat you with experience. No, you have to do what they did; their brain and their heart are *that*, tiny! Just because they are witless, spineless tools for their political shepherds, they take it personal to have you go through exactly the same things, just because!

[MoonC A T]

Publicado originalmente por Pierce Dalton:

Publicado originalmente por MoonC A T:

I go to the local library a lot and I've noticed that most of the PCs are occupied by gamers.

LOL the librarians don't care?

The libraries are bound to the freedom of expression act or whatever. There was a big controversy about 12 years back because parents were outraged that some people watched porn and the staff didn't do anything about it.

From an article about it

"The library may ask a patron to use a privacy screen that prevents accidental viewing of content that could be deemed offensive by other library patrons. Otherwise, the libraries support patrons’ right to access any content they wish. Libraries serve as a bastion for intellectual freedom, Brand said, and any restrictions on legal materials would compromise that foundation.

“If somebody’s viewing something that’s objectionable to someone else, we do our best as libraries to protect the rights to view what they want to view,” Brand said. “Libraries are a manifestation of what democracy is about. One of our democratic rights is intellectual freedom.”



This isn't a small library system that serves 50 people. It's huge with over 1 million patrons.

[craigsters]

the library here put a time limit use on there computers, I think it was 1 hour or less per person, owe no seats counter top height PC's

[Pierce Dalton]

Publicado originalmente por MoonC A T:

Publicado originalmente por Pierce Dalton:

LOL the librarians don't care?

The libraries are bound to the freedom of expression act or whatever. There was a big controversy about 12 years back because parents were outraged that some people watched porn and the staff didn't do anything about it.

From an article about it

"The library may ask a patron to use a privacy screen that prevents accidental viewing of content that could be deemed offensive by other library patrons. Otherwise, the libraries support patrons’ right to access any content they wish. Libraries serve as a bastion for intellectual freedom, Brand said, and any restrictions on legal materials would compromise that foundation.

“If somebody’s viewing something that’s objectionable to someone else, we do our best as libraries to protect the rights to view what they want to view,” Brand said. “Libraries are a manifestation of what democracy is about. One of our democratic rights is intellectual freedom.”



This isn't a small library system that serves 50 people. It's huge with over 1 million patrons.

Welp, if people have the right to play games at libraries, I guess that's another con. Tell your friend to sell beer, op.

[Supersquid]

Publicado originalmente por MoonC A T:

IMO People pretty much have the hardware they need at home.

Taken from a 2023 article, so relevant...


Pros Of A Gaming Cafe

Rewarding work

Starting a gaming cafe can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.

Meaningful business connections

You never know who you will meet as a gaming cafe. This could be the start of an incredible business opportunity!

Daily physical activity

Gaming Cafe's typically involve a much greater degree of movement than other lines of work. Most days, you will spend your day walking, running errands for your business, and performing a multitude of tasks. This can have a positive impact on energy levels and your overall health.

Amazing perks and discounts

Working in the gaming cafe comes with its perks! As a seller for these products/services, you typically also get to enjoy industry perks and discounts.

You are your own boss!

With starting a gaming cafe, you are the one to make decisions for almost all of the operations. Calling the shots can be empowering and liberating!

Local Community

One of the best parts of starting a gaming cafe is that you can develop a local following by selling your products at craft shows, farmers' markets, or even local storefront businesses! This gives you access to additional revenue streams and loyal customers.

Higher likelihood of getting referrals

This business is all about referrals, which can be a a very impactful way to attract and retain customers. It's critical that you have a great referral program in place that incentivizes your customers to tell their friends about your product.

Location is everything!

When operating a physical storefront, the location often speaks for itself and serves as it's very own marketing tool! It's important to choose a location in a high traffic area so you can spark curiosity and get people through your door!

Face to face interaction

If you are the type of individual that thrives on human interaction, then this is the business for you! With a gaming cafe, you will be hands-on with customers and or employees every day.

Simple business model

A gaming cafe has the advantage of a simple business model, which makes launching and building the business more seamless.

You get to do something you truly love

With starting a gaming cafe, you get to put your energy into something you are truly passionate about! You'll find yourself devoting as much time and energy as possible into the business to make it successful.

Easy to Learn The Business

When starting your gaming cafe, there is a ton of information readily available to you online (Facebook groups, Youtube videos, Starter Story etc). This will help you get the business started and answer any questions, doubts or concerns you may have.

Never a dull moment

With starting a gaming cafe, there is truly never a dull moment. Your job offers a lot of variety and allows you to meet interesting people from all walks of life.

CONS

Competition is high when it comes to your gaming cafe, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.

Finding The Right Supplier

Most businesses in this space go the supplier/manufacturer route, which isn't a bad thing! However, finding the right supplier can take a lot of time, energy and trial/error. If done properly, this process can save you months (if not years) of time and energy. More on this below in the "finding a supplier" section.

Motivation of employees

If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.

Low margins

The gross margins for your gaming cafe are typically around 43%, which can make it more challenging to incur new expenses and maintain profitability.

High employee turnover

In the gaming cafe, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.

Taxes

As a gaming cafe, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.

High overhead expenses

With starting a gaming cafe, there are overhead expenses that come with selling a physical product. You will want to make sure you strategically budget for these overhead costs. We discuss this more in the startup costs section below.

You may need to charge sales tax

If you are selling your products in various states, you may be required to charge sales tax. Although this may not impact your financials specifically, it can be a headache to create a process and procedure for this. To learn more about sales tax, check out this article

Time commitment

With starting a gaming cafe, all responsibilities and decisions are in your hands. Although this is not necessarily a negative thing, work life can take over at times. This can place a strain on friends and family and add to the pressure of launching a new business.

You might struggle financially (at first)!

If you bootstrap your business or choose not to pay yourself (or pay yourself less than you were making at your corporate job), this can be financially taxing. It's important to adjust your lifestyle and set a plan for yourself so you don't find yourself in a stressful situation.

More of a challenge to run your business from home!

Running your business from the comfort of your own home is a big appeal for many entrepreneurs. With a gaming cafe, you are more likely to run your business out of your office or storefront space.

ok bro

[Weimu]

i think they are more popular in asia, especially in korea and china but outside of there i don't think it would be very lucrative, no

[Hammer Of Evil]

Publicado originalmente por Wolf Ticket:

My buddy wants to open up a gaming cafe, that's pretty much like the ones we used to go to back in the early 2000s. He already has a prime location in mind, and is looking into the logistics. Is it worth it in this genre?

it requires very adept usage of pc infrastructure, and ensuring someone can't compromise your network and take control, while still getting the permission you give them.

i think its pretty risky. one would need a lot of connections in gaming community.

I think it still has a place though - most ppl have a poor connection / poor hardware set up for framerate, so you can invite them to use your equipment and avoid the hassle of figuring out how to build on their own. there's also a sense of fun when doing large scale in-house lan tournament, 20v20 kinda thing or ranked ladder, etc.

a side income would be running commercial grade servers for various games with leftover space /power circuit availability.

[SMIFFY]

Opening a normal cafe seems like a better bet. I don't remember cyber cafes even being that popular back in their supposed heyday, at least where I live. Maybe if it's an old school arcade rather than PC setup it has a chance but even then it seems like a bit of a short term fad.