Night clubs
While anyone can afford a decent
bottle of beer at a regular parlour or bar, most night clubs target a much
richer and luxurious market. Drinks in clubs (depending on their location and
sophistication) can sell for up to 10 times their regular price in bars.
In the upscale parts of Lagos
(Nigeria) for example, night clubs make a killing from major wine and champagne
brands like Cristal, Dom Pérignon, Moet et Chandon, Veuve Clicquot etc. Prices
at these clubs can vary widely, with a standard bottle of Moet & Chandon
sold at N 38400, while bottles of Cristal go for as high as N 320,000 or more.
And many bottles of
these expensive bubbly are sold on most club nights.
While clubs can make an entrepreneur
a lot of money in a short time if managed properly, it usually requires a lot
of money to start up and promote.
A lot of investment will be needed
to get a prime location in a part of the city that attracts the kind of
customers you’re looking for.
Other capital intensive areas
include putting the interior design and architecture together, quality sound
systems, a great DJ and well trained staff.
How
to get started in the business of bars and night clubs in Nigeria – Some
important things you need to consider…
During our research for this
article, we found some key elements of a bar and nightclub every entrepreneur
needs to consider before diving into this business.
Here they are…
(a) Location
Location is extremely crucial to the success of a nightclub; and can mean
the difference between success and failure.
Your preferred location should be in an area with huge potential for customer
traffic – such as densely populated middle- to high-income communities.
A nightclub or bar located beside a church may attract a smaller clientele
than one located beside a shopping mall or residential area. This should be
pretty obvious, I guess.
Also check out the presence of competition in the area, and whether the
location may be able to absorb more bars or nightclubs who may want to come in
after you’ve started. Never underestimate the power of new competition to
easily put you out of this business!
(b) Entertainment and Fun
Most people who visit bars and night clubs want to have fun, relax and be
entertained. What’s your plan to keep them satisfied and loyal to your bar?
Depending on the environment and the tastes of your market, popular forms of
providing entertainment include live bands and performances, DJs,
Emcees,
Comedians, sports and games on TV, theme-based parties (like masks and
costumes), and gaming facilities such as pool tables, darts, video games or
pinball machines.
Some nightclubs, particularly in Asian countries, even provide special rooms
for karaoke singing. Find out what works (or will work) in your location and
use it to your advantage!
(c) Layout of the bar/club
A growing number of bars and nightclubs are targeting various audiences,
which requires different rooms and layout in the club.
A nightclub can have an elaborate dance floor in the center with a DJ booth.
Spectator seating can be provided to accommodate anywhere from 30 to 500 guests
depending on the size of the club. Many clubs also offer private party seating
such as cordoned-off VIP areas or private rooms intended for special events.
Some nightclubs also have bars and dining room areas for those who prefer a
more relaxing atmosphere.
(d)
Distinctive design features
The right decor can often spell the difference between a filled-to-the-brim
nightspot and an empty one.
The decor embodies the concept of the nightclub. It will set the tone for
the type of the club you are and the kind of customers you want to attract.
A mahogany and leather designed club may be targeted at upper class patrons,
while a mirror-and-smoke designed club will attract the young, hip and dance
aficionados. Many clubs are also going for the high-tech look with video
screens, as well as state-of-the-art lighting and lasers.
(e) Exceptional service
Quality of service is a critical success ingredient of every bar and
nightclub. Customers demand attention and friendly service, while feeling safe
and protected inside your premises.
If you want your bar or nightclub to be known for the quality of its
service, you need to have an adequate-to-high ratio of service personnel to
customers (one service personnel to every 15 customers, or even better). You
must also provide continuous training to your staff with regards to customer
management and relationships.
(f) Quality food and drinks
Quality is also essential to the success of a bar/nightclub that serves
food. You can offer a simple menu with traditional bar appetizers while
customers drink, dance and enjoy themselves. Some nightclubs even go as far as
offering food similar to that found in conventional dining
restaurants.
Bars and Night clubs in Africa remain an interesting business opportunity
As you look forward to running an exciting bar or night club business, you
will have to consider the huge commitment and long hours of work that come with
this venture. You many never be able to spend your own holidays or weekends
with friends and family due to the high volume of business during these
periods.
While this may be no problem to some people, entrepreneurs who have a family
(or are planning to have one) need to consider the impact of operating this
kind of business which often involves very late night activity (night clubs)
and sexual temptations. This can often take its toll on relationships with your
family and friends.
Unless you can hire experienced and professional management from the outset,
it’s often good sense to be involved in the early stages of running the
bar/night club so you can become familiar with the business. When things start
to settle, you could gradually allow trained staff and management to take over
the day-to-day running of the bar/club.
If you believe this type of business could cause problems for you or your
family, it’s wise to pass up this idea and choose from many other amazing
business ideas in the Business ideas section of this website.
Recommended reading…
In the course of our research for this article, we came across a number of
interesting resources that will provide you with further detailed information
about starting your own bar or restaurant.
How
to Start a Nightclub Business sheds more light on the subject and
things you need to look out for.
Nightclub Business Plan is a full sample business
plan for setting up a nightclub, just in case you plan to pitch to investors.
We would love to hear from you about your successes, challenges, advice and
questions. Do not forget to leave a comment in the section below and share this
opportunity with your friends using the Facebook, Twitter and
Google+ buttons below.
To your success!
yugoboss
Research credits: www.smallstarter.com
