It is important to note that businesses in this industry operate adult entertainment venues in which striptease or other erotic or exotic dance is regularly performed for males, females or mixed audiences. Most of them may also serve food and beverages or give their patrons the chance to bring their own beverages. It has been analysed that the Gentlemen’s club/Strip Clubs industry is in a mature stage of its economic life cycle.

It is believed that over the 5 years to 2022, industry value added (IVA), which measures the industry’s contribution to the US economy, is expected to grow at an annualized rate of 0.5% per year. Experts believe that the US GDP will rise at an annualized rate 2.2% during the same period.

1. Target Audience

The target market for Gentlemen’s club facilities are men that are in and around the city where you have your club. They include:

  • Military men
  • Tourists (men)
  • Corporate executives (men)
  • Businessmen
  • Sportsmen
  • Bachelors
  • Married men
i. Age range

Our target market falls within 18years to 45 years.

ii. Level of Educational

The basic educational qualification for those we are targeting is a minimum of Highschool certificate. But they should be upwardly mobile in their thinking and approach to life.

iii. Income Level

The income level of our target market will be people that earn $25,000 annually and above.

iv. Ethnicity

There is no restriction when it comes to the ethnicity of the people we are looking forward to welcoming to our strip club.

v. Language

There is no restriction when it comes to the language spoken by the people we are looking forward to welcoming to our strip club.

vi. Geographical Location

Anybody from any geographical location will be welcomed in our strip club.

vii. Lifestyle

Crystal Adult® Entertainment Center, Inc. will not restrict any patron based on their lifestyle, culture, or race.

2. Advertising Strategies

  • Host Themed Events That Catch Attention.
  • Tap Into Text Marketing.
  • Use FOMO to Run Photo Promotions.
  • Share Your Events in Local Groups and Pages.
  • Turn Your Social Media Channels Into a Resource
  • Develop Your Business Directory Profiles
  • Build Relationships With Other Businesses in Your Area
i. Traditional Marketing Strategies
  • Marketing through Direct Mail.
  • Print Media Marketing – Newspapers & Magazines.
  • Broadcast Marketing -Television & Radio Channels.
  • OOH Marketing – Public Transits like Buses and Trains, Billboards, Street Furniture, and Cabs.
  • Direct sales, direct mail (postcards, brochures, letters, fliers), tradeshows, print advertising (magazines, newspapers, coupon books, billboards), referral (also known as word-of-mouth marketing), radio, and television.

3. Digital Marketing Strategies

  • Social Media Marketing Platforms.
  • Influencer Marketing.
  • Email Marketing.
  • Content Marketing.
  • Search Engine Optimization (SEO) Marketing.
  • Pay-per-click (PPC).
  • Affiliate Marketing
  • Mobile Marketing.
Social Media Marketing Plan
  • Start using chatbots.
  • Create a personalized experience for our customers.
  • Create an efficient content marketing strategy
  • Create a community for our audience.
  • Gear up our profiles with a diverse content strategy.
  • Use brand advocates.
  • Create profiles on the relevant social media channels.
  • Run cross-channel campaigns.

4. Pricing Strategy

When working out our pricing strategy, Crystal Adult® Entertainment Center, Inc. will make sure it covers premium, skimming, economy or value, and penetration. Our pricing strategy will reflect;

  • Cost-Based Pricing
  • Value-Based Pricing
  • Competition-Based Pricing.

5. Sales and Distribution Plan

a. Sales Channels

Our channel sales strategy will involve using partners and third parties—such as referral partners, affiliate partners, wholesalers, distributors, managed service providers, marketplaces, or value-added resellers—to sell products or services.

Crystal Adult® Entertainment Center, Inc. will also leverage the 4 Ps of marketing which are place, price, product, and promotion. By carefully integrating all these marketing strategies into a marketing mix, so we can have a visible, in-demand product or service that is competitively priced and promoted to our customers.

b. Inventory Strategy

Crystal Adult® Entertainment Center, Inc. will operate an inventory strategy that is based on a day-to-day methodology for ordering, maintaining, and processing items in our warehouse. We will develop our strategy with the same thoroughness and attention to detail as we would if we were creating an overall strategy for the business.

Crystal Adult® Entertainment Center, Inc. will make sure we work with “Just-in-time (JIT) inventory” – (JIT involves holding as little stock as possible, negating the costs and risks involved with keeping a large amount of stock on hand.)

c. Payment Options for Customers

Here are the payment options that Crystal Adult® Entertainment Center, Inc. will make available to her clients;

  • Payment via bank transfer
  • Payment with cash
  • Payment via credit cards
  • Payment via online bank transfer
  • Payment via check
  • Payment via mobile money transfer
  • Payment via bank draft
d. Return Policy, Incentives, and Guarantees

Crystal Adult® Entertainment Center, Inc. will operate a no refund policy hence we will not provide compensation for purchased products or services (membership fees inclusive) that customers paid for in our strip club.

e. Customer Support Strategy

Our customer support strategy will involve seeking customers’ feedback. This will help us provide excellent customer service to all our patrons, it will help us to first understand their needs, experiences, and pain points. We will make use of effective CRM software to be able to achieve this.

We will work towards strengthening our Customer Service Team and also Leverage Multi-Channel Servicing as part of our customer support strategy.

f. Sales Forecast?
  • First Fiscal Year (FY1): $350,000
  • Second Fiscal Year (FY2): $750,000
  • Third Fiscal Year (FY3): $1.2 million

6. SWOT Analysis

a. Strength
  • Ideal Location for Adult Entertainment
  • Highly Experienced and Qualified Employees and Management
  • Access to Pool of Strippers
  • Highly Secured and Clean Facility
  • Easy Access to Alcoholic and Non-Alcoholic Beverages and other Supplies
b. Weakness
  • Budget Limitations
  • Lack of Customized Software
  • Inability to Attract and Retain the Hottest Strippers in Our City
  • Inability to Properly Manage Off-Peak Season
  • Lack of Control for Pouring Drinks to Customers (Overpouring may culminate in loss if not properly handled).
c. Opportunities
  • Food sales
  • Specialty drink sales
  • More local or organic products
  • Importing liquor for boosted sales of higher-priced wines and liquors.
  • Availability of Mobile apps to help in tracking data
i. How Big is the Industry?

The strip clubs industry is worth over $7 billion in the United States and there are about 3,821 strip clubs with a workforce of 33,655 scattered all across the United States.

ii. Is the Industry Growing or Declining?

Revenue in the Strip Clubs industry is forecast to have decreased 17.4 percent in 2020 and is anticipated to decrease 1.5 percent in 2023. In a non-COVID-19 (coronavirus) environment, the industry would have been forecast to grow.

iii. What are the Future Trends in the Industry

The strip clubs industry is changing, and players in the industry are improvising. No doubt, technology, and social media will change the landscape of the strip club’s industry going forward.

iv. Are There Existing Niches in the Industry? If YES, List them

Yes, there are niche ideas in the strip clubs industry, and here are some of them;

  • Online Strip Club
  • Drive-Thru Strip Club
  • Gentlemen’s Clubs (GC)
  • Titty Bars
  • Lap Dance Factories
  • Sex Emporia
  • Women Only Strip Clubs
  • LGBT Only Club
d. Threats
  • Competition from other entertainment hubs such as nightclubs and bars, restaurants, and hotel lounges.
  • Community resistance
  • Government regulations
  • Liability problems
  • Funding
  • Consumer Perception of Risk
  • Continuously Changing Consumer Demands
i. Who are the Major Competitors?
  • Deja Vu Consulting Inc.
  • RCI Hospitality Holdings Inc.
  • Spearmint Rhino
  • MAL Entertainment
ii. Is There a Franchise for Strip Club Business? If YES, List at least them and their cost
  • Deja Vu Consulting Inc.
  • RCI Hospitality Holdings Inc.
  • Spearmint Rhino
  • MAL Entertainment
iii. Are There Policies, Regulations, or Zoning Laws Affecting Stripper Club Business?

Yes, and zoning laws require strip club operators to follow specific rules regulations, including some that apply only to players in the strip clubs industry. Please note that in many communities, zoning laws require strip clubs providers to apply for a permit from the city.

This application process allows the city’s zoning department to determine whether the stripper’s club meets the zoning rules for the community. Permits also ensure that all stripper’s clubs are properly licensed with county or state agencies.

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