An all too acceptable practice of many birthday party businesses is their willingness to undercharge for the party services and play attractions they provide. Why are they selling themselves short? Maybe they're afraid that no one will choose their high priced, quality party place or feel their parties should be affordable for everyone, in all income brackets. It could be they're trying to offer just a little bit more and charge just a little bit less than their competitors, in an attempt to be the top choice. Still others feel that if they are "Booked Solid" they are successful and must have a great party program. Unfortunately, undercharging for a full service birthday party presentation, is a strategy for slow or no growth and maybe even a failure to survive.
The double edged sword
Ninety percent of all birthday parties are booked on Friday evening, Saturday and Sunday. This is the same time most family leisure and entertainment businesses are in the greatest demand for general admission. When centers are so busy with party crowds, the noise, chaos and other party stress factors, deter families from coming more often. When kids have been to entertainment facilities for three or four parties, parents feel there's no sense in going again with the family and may choose alternative recreation options. Most party concepts have limited availability and only a small window of demand, it's imperative that you charge correctly for your party services. If you are booked solid with non profitable parties and at the same time creating reasons for general admission guests to stay away, you could be shooting your business in the foot.
DZ and others like them – learned too late!
Discovery Zone and many others like them, are a good example of how the double edged sword cut deep into their foundation, contributing to their eventual demise. These Mono-cultured play centers attracted many party guests in their early years. The novelty effect of these huge indoor play environments created a new birthday party opportunity, where parents could get the party out of their homes and in most cases do very little work. It didn't take long for these party options to be booked solid throughout the weekend, during the same time that families desired to visit as an entertainment or recreational outing. It wasn't long before frustrated "walk-in" parents stopped coming on weekends, and soon forgot to come at all.
No More Copy Cat Concepts … The Key Is Becoming Unique.
Unfortunately 95% of birthday concepts have been formulated, modeled or copied from others, just like them. It works something like this. Observe a successful birthday concept or hire someone that has worked in the business, then do what they do. The drawback is this. When you copy another concept, no matter how well you present it, studies show the consumer will see only a 15% differentiation. When there's not a unique difference, parents choose what's new or what they haven't done before. Eventually their party choice is made by two factors, price and location. This is why so many party businesses package and price their parties according to what the competitors are doing. "I'll add a few more game tokens, an extra prize for the birthday child, a few other spiffs and then charge a little less than everyone else. Unfortunately becoming booked without meeting their financial requirements, including desired return on investment, means they to may soon become extinct like other concepts before them.
Now more than ever, you must develop, focus and plan a sound strategy to differentiate yourself and radiate above and beyond your competition. Your goal, create an unforgettable birthday experience, that personally overwhelms parents and creates special memories for the children. Children's birthdays have a tremendous emotional attachment. A child's birthday is a special once-a-year event, that has a lot of pressure and emotional feeling attached. Next to Christmas, it is the most anticipated day of the year for both children and adults alike.
The foundation for developing your own "Unique" birthday party concept starts by uncovering a single, clear cut compelling reason for people to choose your birthday party facility over everyone else's. By discovering a way of providing a personalized birthday experience that stands far above and is profoundly better than anyone else's and becoming known for "Oh yeah, that's the place where they ….".
There are many ways to begin creating your own unique concept. Eliminating as many frustrations of the of guests and your employee party team is a great starting strategy. Go outside your immediate industry and search for really unique ideas. Take their best then recreate it in a way that might work for you. Go back in history and research what has worked well back then. The simplistic ideas of the past, with new twists continue to evolve into today's newest and most innovative ideas. Mike Vance creative genius and past Dean of Disney University states that "Creativity is the making of the new or the rearranging of the old, in a new way." Sure birthday parties have evolved from pin the tale on the donkey, musical chairs and cloths pin in the milk bottle. Now they are pull string piñatas, Dance, Dance Revolution video games and "Who's Line Is It Anyways" improv games.
The Human Touch … A Unique Difference Strategy?
The difference between the best of the best is not the physical environment, play attractions or even the quality of your birthday offering. It's the interaction and relationships developed between your party team and your guests. Your friendly team of party "Heroes", can make any environment come alive with energy, meaning and emotional attachment. It's the human interaction between these individuals that makes each experience uniquely different and special each and every time. Continual improvement, updating of facilities and play attractions is a definite plus. But the relationships developed between your party team and your guests keeps them returning for more.
When you add value and save time, you can charge more...So Raise Your Price!!!
The economics of birthday parties are similar to that of all other businesses. As each enhanced offering moves up the economic ladder, the value and it's price increases. Just as the manufacturing of goods is to tangible and delivering service is to intangible, a personalized experience is to memorable.
All inclusive birthday party offers have increased their appeal to parents seeking to save time, energy and solve their inability to entertain children with expected, modern day birthday fun. Birthday parties are such a special time for families, it's only natural to create special, long lasting memories.
You Must Build Value, then raise the price!
As the value of your birthday offering increases, it generally saves the consumer time and energy, while eliminating more and more of their typical party frustration. Today's time starved families are willing to pay top dollar for personalized positive experiences, especially when it comes to their child's happiness. Yet if "their" value perception of your offering, doesn't match what they paid, your business will suffer. They may tell others of their feeling or simply won't come back!
The common denominator for success remains the same, outstanding, consistent presentation of each and every party. Build positive, ongoing relationships and create emotional attachments by showing you care. Failing to progress and remain status quo, will eventually mean competing against these concepts. So become the market trend setter. Always remain ahead of the pack and let others catch up to your lead. Keep growing and looking for ways to improve and you'll always be one step ahead.
Design or enhance your birthday party concept to include a unique offering that eliminates guest and party team frustration. Personalize with the human touch and add memorable value, as the main ingredients to elevating your birthday party concept, price and profit.
