Running a dive shop?

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From what I've seen, a degree in business and/or marketing would be a huge plus. I think a lot of dive shops suffer because the people running them are divers and not businessmen.

I also think one of the big challenges is adequate capitalization. Many shops I've been in have very little inventory, because of the investment required to collect same. I think adequate inventory is key to doing retail sales in the internet age -- If I have to order it from the shop at full retail, or I can order it from somebody else at a big discount, which am I going to do?

And finally, almost all the shops I've ever been in are mainly run by the owner. In other words, he's the guy behind the counter making sales and answering the phone. That makes it difficult for him to run classes as well (and difficult for him to dive sometimes, too).

Well on the other hand I know some Dive Shops which are run by businessmen. Surely professional, but you have the feeling is about money. Professional perfectly clean and steril, perfect dive tours which are suitable for everyone..... Always a DM close to you nursing you. But no fun anymore.....
 
You might want to try working at a LDS to get a good feel for it. You could learn alot about what, and what not to do. An owner should have an Instructor rating but sales staff only need be OW certified. DM certified if they want to asst with classes.
 
yes, no, yes, yes, no, yes, maybe, perhaps, ask me tomorrow, and yes.

Oh, maybe I forgot to answer one question?

Selling a little drug on the side wouldn't hurt either.
 
So hey guys, here's a business-oriented question for you. If you were going to run a dive shop, where would you open up shop? Why? Would you want a degree in business/economics or in marine biology? Both? Neither? Lastly, what kind of certification would you want beforehand? Would you hire OWIs and DMs as employees and delegate to them or would you want to be a DM or OWI yourself so you can teach classes yourself and save on overhead?

Thoughts/advice/opinions/etc. welcome. :)

Where? Somewhere very warm, or somewhere very cold. Marketing survey done first to see if any competitors exist, and how long of a drive a customer need to get to dive class. Population size per dive shop. Per capita income has to be very very high. The more stupid and rich they are, the more likely you can talk them into buying $5000 worth of gear before OW class is completed.

Business vs. marine biology? Business of course! Who gives a hoot about the polyps and the fishes, when you got to put food on the table. Be real, man! You can b.s. your way through marine biology anyday.

Would I hire OWI or DM? Cute, big boobed, and curvey is the first requirement. They can get DM later. Most divers are man. Most man will buy anything that a nice pair of double dees will sell them.

Teach classes myself? Lets see. Make less than minimum wage? Heck no, I am PADI all the way!! Push all your students into DM and OWSI class. Create an overabudant supply of these folks in your area. The DM's will volunteer for peanuts and air. The SI will work for discount on gears. Why waste time in the pool.
 
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In my opinion, she will sell more gears than any DM or OWSI can! Even without any certifications.

"Ummm, I think I need those fins, and ummm them BC's you are wearing...."
 
I think the balance is somewhere in the middle in terms of business versus knowledge about diving.

The LDS that got me into diving was essentially a one man operation run by a diver in his off time on weekends and full time over the summer. He was a diver, but also had personality and business skills and he made a shop successful in an area where he literally had to create a market mostly through the force of his personality. He had the brains to use used equipment and discounted close out items to compete with, depending on the era, mail order or internet competetion but the primary attraction was his knowledge of and committment to diving.

I also know another LDS owner who is an exceptional business man who combines his scuba business with a hobby store that he started in a garage when I was a kid. I was a regular for a year or so but now don't get there any more often than once every couple of years. Yet every time I walk in he knows me by name. So does his sister (maybe sister in law?) who is also by the way very attractive and very nice. He has in the past however sold items above MSRP so obviously when I do business there it is not for the good deals but rather for the in stock items and his expertise. He is also committed to diving and is a technical and rebreather diver.

So in short, what I think what a shop needs to attract customers is a combination of genuine enthusiasm for diving and genuine knowledge and diving experience. Business skills come into play only in terms of managing the business well enough to keep the doors open. Some areas (customer service, market development, etc) overlap somewhat but they are both distinct areas that have to be successfully mastered.
 
Don't start a business for the wrong reason. If you have the cash, and you will need a bunch of it, your motivation should be profitability. People who start business' that are their hobby, not only fail in the business but are unable to enjoy their hobby because of constantly working. If you have the money to start a business, find one that is profitable, self sustaining and one that allows you to take 8 weeks a year off... I will assume those 8 weeks will be spent diving. One last thing, you will be much better off buying and existing business that has a customer base, a yellow pages add, a website etc. Those start up costs and growth curve will kill ya.

BTW, I own an autoglass company in Podunk Colorado. I spent a week in the Bahamas in January and will be leaving for Roatan in two weeks and will be in Florida in July. I'm just saying...

Bruce
 
Government savings bonds would probably be a better investment than a dive shop.
 
Don't let anyone tell you that you can start a successful dive operation with $100,000 and operate it as a profitable business beyond three years. The investment TODAY to open a competitive dive retail center is gigantic. Also, the monthly expenses will be MUCH higher than you are able to estimate.

This can be a good business. Remember, you are considering entering a business where EVERYTHING is changing and changing big time! NOBODY knows where dive retailing is heading. The impression would be the internet, but that might not necessarily be true over the long term. How training will be delivered, how equipment will be delivered, how travel will be done in the future in this industry is all changing. You must have a very flexible and agile business plan, and a reserve of resources to change directions on demand. Oh well.

Phil Ellis
Discount Scuba Gear at DiveSports.com - Buy Scuba Diving Equipment & Snorkeling Equipment
 

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