Rock Climbing Gym Business Plan

Across the country, indoor climbing gyms have become a popular location for adults and children to exercise and socialize. One of the key attributes of a climbing gym is that a person does not need to have previous climbing experience in order to be a customer. This allows climbing gyms to draw customers from nearly every demographic.

Igneous Rock Gym recognizes the need for a climbing gym in the greater Igneous, Oregon area. A climbing gym is a destination business, therefore it is realistic to include the greater metropolitan area when looking at potential customers. According to the U.S. Census report found on www.census.gov the greater Igneous area has a population of 354,669. 

When looking at the potential market for a climbing gym in Igneous, it is important to analyze the number of children in the total population. Climbing gyms make a large portion of their profits from running children’s programs and hosting birthday parties. 27% of the town’s population is under the age of 18, which compares favorably to other current climbing gym locations.

4.1 Market Segmentation

Igneous Rock Gym will service the recreation and climbing needs for individuals and families in the greater Igneous area.  Customers will be broken into three focused segments consisting of children, college students, and adults 18-44.  It is important to note that experienced outdoor climbers will not be the focus of marketing for Igneous Rock Gym.  This is for two primary reasons.  First, as the only indoor climbing gym in the area, any outdoor climbers wanting to climb inside will naturally gravitate to Igneous Rock Gym. The second reason is that the total population of outdoor climbers is quite small compared to the total population of the area.

Children between the ages of five and 18 represent the greatest potential for revenue. The Igneous area has approximately 70,000 children in this age range. This compares favorably to the nearby metropolitan areas which are currently able to maintain a successful rock climbing gym. The metro area has a total of 52,000 children between the ages of five and 18.

College students are another focus group for Igneous Rock Gym. This is because they tend to do activities in social groups. By drawing in one college student, he or she will often return with one or more friends on the next visit.  Igneous has two colleges. Combined, the college population is at least 15,000.

college segment, in that they are all adults between the ages of 18-44. These are the main patrons of any climbing gym. In Igneous, there are 134,774 people that fit within this age group. This compares very favorably to the metro area, which has an 18-44 population of 119,550.

4.2 Target Market Segment Strategy

Capital Climbing will focus on providing a fun, safe environment for both new and experienced climbers to improve their climbing skills. All ages will be welcome to climb at the gym; however, children will be the major focus of the business.

In a traditional climbing gym the majority of members are between the ages of 18-44. Many of these members pay a monthly or annual membership. These memberships allow them to have unlimited visits to the climbing gym.  This lowers the price down to five dollars or less per visit.  In contrast, children’s programs typically bring in a minimum of $12 per child per two hour visit.  

Igneous Rock Gym will offer several different children’s programs. These will include a group for climbers ages 7-10 who are new to climbing. Another group will be for those 9-13 who are more mature and are able to learn advanced climbing skills. A competitive climbing team will be offered for children 10-18. In addition, Igneous Rock Gym will offer summer climbing camps for children age seven and up. Most importantly, children will be encouraged to host their birthday parties at Igneous Rock Gym. 

By focusing on bringing children into the gym, Capital Climbing, will not only increase current income streams, but will also establish a strong future customer base.  Climbing is often a life-long sport, and the earlier Igneous Rock Gym can bring in a potential climber, the longer they will have him or her as a customer.

4.2.1 Market Trends

Climbing has gone from something done by only a select few to an activity enjoyed by tens of thousands across the country.  Climbing walls are finding their way into public schools and universities, parks, and even on cruise ships.  Advertisements featuring climbers have become more and more prevalent. All of this has led to climbing becoming more of a mainstream activity. Igneous Rock Gym will be uniquely positioned to take advantage of this recent increase in climbing awareness among the general population. 

Igneous Rock Gym plans to take advantage of this increase in climbing awareness by offering introductory classes to all ages of climbers. In particular, Igneous Rock Gym will offer the gym as a place for groups to host both team-building activities and social gatherings. Igneous Rock Gym will position itself as a viable alternative to recreational activities such as bowling and miniature golf, while at the same time, taking people away from traditional fitness gyms.

The climbing industry continues to mature. This maturing has tended to be along the lines of making the sport more accessible to the general population. For example, equipment has improved over the decades to allow a much greater degree of climbing safety. The appeal of climbing is that it is considered an ‘extreme sport;’ however, most people want to limit the extreme part as much as possible. Sport climbing became popular in the 1990s because its pre placed bolts afforded the climber more protection. The climbing gym is the next logical step in this progression.  With padded floors, closely-spaced bolts, and a trained staff responsible for everyone’s safety, patrons have little to fear from their climbing experience.  

The number of climbing gyms in the United States will continue to grow as more and more people seek the thrill of climbing in a safe environment. The popularity of indoor climbing has far from peaked. This can be seen in part by the increase in both the number and organization of climbing competitions. There is even an international movement to make climbing an Olympic sport. 

4.2.2 Market Needs

The Igneous area is in desperate need of a business that can provide a solution to three primary needs. The first is the need for adult recreation and socializing, the second is the need to increase climbing fitness, and the third is the need of parents to find interesting activities for their children. Igneous Rock Gym is set up to fill all three of these needs.