Campground Amenities vs lower prices
Spin off from price thread. Which do you prefer? Lower cg rates with just basic FHU and clean bath houses? Or are you willing to pay higher rates for amenities (and the accompanying insurance...
Forum Discussion
While it might be nice to dream that there will someday be parks EXACTLY like you want, it is unrealistic. Each and every amenity a park has is there to attract a few more customers. True, not everyone needs cable TV, Wifi, Sewer connections at the site, a laundry facility, campground restrooms, electricity, playground, pool etc. But there are 256 different combinations of just those 8 amenities.
Adding amenities has a minimal impact on actual costs when spread over the life span of that amenity. Same with insurance, operating costs (with the exception of a pool) and the like. Amenities are most closely related to advertising, it is what is needed to get rigs into the site. Prices of RV sites, like almost all things, are directly related to supply and demand. If you can increase the demand by adding a mini golf course, you can increase price, not just on those who want mini golf, but across the board as long as you gain more people by having mini golf than you lose by increasing the price.
The park's I have were run down, had few amenities and low prices. I renovate them, increase the amenities and raise rates. I lose a lot of customers that chose the parks because the price was low, but gain many more who want what I offer. The margins go up and I make more money, which is the goal of owning a park.
Adding amenities has a minimal impact on actual costs when spread over the life span of that amenity. Same with insurance, operating costs (with the exception of a pool) and the like. Amenities are most closely related to advertising, it is what is needed to get rigs into the site. Prices of RV sites, like almost all things, are directly related to supply and demand. If you can increase the demand by adding a mini golf course, you can increase price, not just on those who want mini golf, but across the board as long as you gain more people by having mini golf than you lose by increasing the price.
The park's I have were run down, had few amenities and low prices. I renovate them, increase the amenities and raise rates. I lose a lot of customers that chose the parks because the price was low, but gain many more who want what I offer. The margins go up and I make more money, which is the goal of owning a park.
