How a few key changes doubled the result for one venue in six months

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Increase-your-potentialWe have the privilege of working with all sorts of venues; clubs, pubs, cafes and restaurants, but the best outcomes are when we work closely with operators to achieve fantastic results. It’s not always about the expansive multi-million dollar investments, but also about being smart with your money. Here’s what happened with one not-so-small regional club venue.

Back in October last year we were invited to have a look at this venue and make some recommendations for improvement. The venue was once a dominant local presence but had lost its way and a lot of its money over the past few years. We suggested to the financier that below the rough exterior of this club lay a great business and that it was worth advancing some money. The financier loaned the money to pay some creditors and improve the business.  This was not a venue that needed considerable refurbishment and the changes made to this business are not relevant to just this venue, but are vital to the successful operation of any gaming venue. Here are a few of the areas that were addressed during the project;

Gaming Room:  This area was suffering from a lack of atmosphere. Some gaming machines were not fully lit, while unfriendly warning signs and notifications were scattered across the machines.  To create a pleasant environment, our gaming consultants created  a new gaming room layout, complete with new bases, screening and updated the old, worn chairs with plush comfortable seating.

Gaming Machines:  Over the past three months the club has installed 12 new machines and completed 12 conversions (almost half of its machines have been changed).  Combined with the improvements in the gaming room, the venue increased its average daily turnover from less than $700 per machine to $1,320.

Catering and Promotions:  A refreshed menu with consistent food and beverage promotions and new pricing was installed, as well as a more appealing gaming promotional program with consistent and achievable incentives.

Customer Service:  To help complete the venue’s new look, customer service standards were improved, as well as small layout changes throughout the venue to give it a tidier appearance with an emphasis on clarity for customers without compromising on a warm and welcoming environment.

And the results?…

When we completed our review in late 2012, the venue was making month on month losses and creditors weren’t happy. Average daily turnover (ADT) was less than $700 per machine.  With some initial improvements, ADT lifted marginally to around $750 per day. However, the real hit came after the machines were re-laid, new bases installed, privacy screens and stools were introduced and new service standards rolled out. ADT since these initiatives were introduced has increased to $1,320. That improvement alone will add more than $400,000 to the venue’s bottom line.

I urge you to assess your own venue and consider whether you can increase your total profit by providing some attention to the areas that are a little rough around the edges.

Gaming venues seeking to better understand the benefits from a strategic new layout of machines should contact Danny Nixon-Smith on 3878 9355 or email

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