Indoor Golf Simulator Revenue Calculator
Are golf simulator profitable? Enter a few simple assumptions about the indoor golf simulator bar you are considering to get a very high level and rough estimate of potential golf simulator revenue. Your actual revenue may vary depending on the accuracy of your estimates of a few key aspects of your golf center. The result will update once you've entered an initial value in all the fields. You can adjust your assumptions an unlimited number of times to see how they might impact your business. Think of this as a mini-version of our startup model without the data from our research.
See how your assumptions compare to how real golf simulator bars are performing according to the data we collected for our indoor golf study.
See how your assumptions compare to how real golf simulator bars are performing according to the data we collected for our indoor golf study.
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Turn this estimate into a real financial plan that includes 3 years of monthly cash flows, expenses, revenue and more based on research into real golf simulator businesses via our startup plan.
Indoor Golf Revenue Key Drivers
You are probably here as you are looking to figure out how to start a golf simulator business. You may be looking to start a franchise or just see how much it costs to start an indoor golf business. Across our entire website we are trying to give you information on how to start an indoor golf business. This page focuses on golf simulator revenue. Indoor golf revenue is influenced by a number of factors:
The revenue forecast is most heavily influenced by the number of rounds played and the rates you charge. The hours you plan to be open and the number of simulators you install sets your earning capacity or supply. For example with 6 simulators, a business open ~10 hours a day has a total of 420 simulator hours per week capacity. Fully rented at $40/hour for the entire year would equate to annualized indoor golf revenue of over $870,000. That said, you will have seasonality and periods where you are not fully rented. Peak season will be November – March as they are colder months with shorter daylight hours.
Research indicates two pricing models for golf simulator use. One is hourly and the other is per round. Hourly is more predictable for both the business and the player and is much more common. Charging per player per round is more like a real golf course so some indoor golf facilities go that route. Charging $30 per player assuming an average of 2.5 players per round at 1.5 hours for 18 holes yields an hourly rate of $50. The typical simulator rate is in the $35-$40 an hour range.
Depending on what you offer, food and beverage income for an indoor golf center can be substantial. The food and beverage forecast will be based on an average tab per patron. Research finds an average sports bar tab between $12 and $20 per person. Assuming $12 per customer, maybe more with recent inflation, food and beverage revenue can add up quickly.
The size of your market - golfers within 30 minutes of your indoor golf business, and the size of your facility in terms of number of simulators will have a big impact on both revenue and profitability. The more golfers within 30 minutes, the better. They generally won't drive more than 30 minutes to play on a golf simulator. They also wont want to wait for a golf simulator when they arrive - so have a tee time system and have enough hitting bays for the golfer volume you expect.
Maximizing golf simulator business profitability means focusing on entertainment. While indoor golf can be seen as a golf replacement, positioning yourself as an entertainment option instead will provide more opportunities for revenue and drive a greater profit for your business. Regardless of how you position yourself, a key driver of getting golfers to visit your business is to get on Google Local. Being set up there will help you show up in search results and is essentially free advertising for your golf simulator business.
Having invested in getting golfers to your simulator business, getting them to return is an important part of your overall revenue and profitability picture. Customer retention is key to your financial success. Make sure your golfers have a good time, the simulator is in good shape and is easy to use, provide good service, and give them a reason to come back. Doing this will maximize your revenue and profits.
There are other revenue sources like lessons, merchandise, memberships, leagues, etc. Be sure to evaluate all the ways you can add value (and thereby charge fees) via your indoor golf business. There are even virtual golf lessons from a remote pro given via video that you can offer to help bring folks to your facility. Our indoor golf model allows you to forecast these based on research into real facilities.
The model will also help you answer questions around how much it costs to start a golf simulator business, whether indoor golf is profitable, how much a golf simulator costs and more. Explore the site and learn.
Good luck in your venture.
- The number of indoor golf customers visiting your facility
- The number of golf simulators you have at your business
- The pricing model you use for charging customer to play indoor golf
- The rates you charge for golf simulator rental
- Your food and beverage offerings
- What sort of golf equipment and merchandise you sell
- Whether you provide golf lessons
- Any sort of golf membership or group programs
The revenue forecast is most heavily influenced by the number of rounds played and the rates you charge. The hours you plan to be open and the number of simulators you install sets your earning capacity or supply. For example with 6 simulators, a business open ~10 hours a day has a total of 420 simulator hours per week capacity. Fully rented at $40/hour for the entire year would equate to annualized indoor golf revenue of over $870,000. That said, you will have seasonality and periods where you are not fully rented. Peak season will be November – March as they are colder months with shorter daylight hours.
Research indicates two pricing models for golf simulator use. One is hourly and the other is per round. Hourly is more predictable for both the business and the player and is much more common. Charging per player per round is more like a real golf course so some indoor golf facilities go that route. Charging $30 per player assuming an average of 2.5 players per round at 1.5 hours for 18 holes yields an hourly rate of $50. The typical simulator rate is in the $35-$40 an hour range.
Depending on what you offer, food and beverage income for an indoor golf center can be substantial. The food and beverage forecast will be based on an average tab per patron. Research finds an average sports bar tab between $12 and $20 per person. Assuming $12 per customer, maybe more with recent inflation, food and beverage revenue can add up quickly.
The size of your market - golfers within 30 minutes of your indoor golf business, and the size of your facility in terms of number of simulators will have a big impact on both revenue and profitability. The more golfers within 30 minutes, the better. They generally won't drive more than 30 minutes to play on a golf simulator. They also wont want to wait for a golf simulator when they arrive - so have a tee time system and have enough hitting bays for the golfer volume you expect.
Maximizing golf simulator business profitability means focusing on entertainment. While indoor golf can be seen as a golf replacement, positioning yourself as an entertainment option instead will provide more opportunities for revenue and drive a greater profit for your business. Regardless of how you position yourself, a key driver of getting golfers to visit your business is to get on Google Local. Being set up there will help you show up in search results and is essentially free advertising for your golf simulator business.
Having invested in getting golfers to your simulator business, getting them to return is an important part of your overall revenue and profitability picture. Customer retention is key to your financial success. Make sure your golfers have a good time, the simulator is in good shape and is easy to use, provide good service, and give them a reason to come back. Doing this will maximize your revenue and profits.
There are other revenue sources like lessons, merchandise, memberships, leagues, etc. Be sure to evaluate all the ways you can add value (and thereby charge fees) via your indoor golf business. There are even virtual golf lessons from a remote pro given via video that you can offer to help bring folks to your facility. Our indoor golf model allows you to forecast these based on research into real facilities.
The model will also help you answer questions around how much it costs to start a golf simulator business, whether indoor golf is profitable, how much a golf simulator costs and more. Explore the site and learn.
Good luck in your venture.