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How to Start a Video Game Business in Kenya

Daisy Neema
Daisy Neema Business Ideas

Video games have become a great way to unwind from busy schedules in Kenya. Starting a video game business is a lucrative idea, especially if you can find a busy business location. This article will guide you on how to start a video game business in Kenya.

Also Read: How to start a movie shop in Kenya.

Choose a Strategic Location

Choosing a location for your video game business will determine your success or failure. An area with a high population of young people can be ideal for setting up your business. It is best to look for a location where there is heavy foot traffic. Excellent locations include busy estates, around colleges and universities, and in areas with adequate security.

Conduct a Market Survey

A market survey will help you know who your target customers are and how best you can cater to their needs. Ask the larger population what kind of video games they prefer. It is essential to ask other people already in the business about what you should expect and how to tackle problems in video games business. 

Get Business Premises

Video game premises are usually busy and packed with people. As such, you will need to rent out a larger room to accommodate several television sets, benches, chairs, and leave room for a small group of people to sit and wait for their turn to play. You will need to rent out an affordable and secure place.

Decide on the Equipment to Use in Your Gaming Center

You will need gaming equipment to start a business. You will require at least one 32-inch colored screen television. It can be new or second-hand. You will also need to purchase gaming units such as pads and consoles. It is essential to know that there are two categories of gaming units; chipped and unchipped. Find out which category will be ideal for your business and be sure to ask which one they are selling before making a purchase.

Also read: How to tart a car wash business in Kenya

Cost of Starting a Video Game Business in Kenya

Every business requires capital to start. The capital you will need to start a video gaming business will depend on the type of equipment and the number of customers you intend to serve. The popular games that you might want to buy include Xboxes and Play Stations. Currently, a PlayStation 4 with a storage capacity of 500GB costs around Ksh 40,000, while a PlayStation 2 costs around Ksh 10,000.

Gaming equipment

You will also need to purchase the actual games for your gaming center. A single game can cost between Ksh 2,000 and Ksh 5,000. Alternatively, you can decide to buy used games from the Kenya Gaming Network site at a lower price. Online stores such as Jumia Kenya and OLX also sell video games. Purchase a 32-inch T.v screen for an excellent gaming experience. That should cost you between Ksh 15,000 and Ksh 35,000.

To start a medium video game business that will serve five customers at the same time will require you to invest at least Ksh 200,000. 

Acquire Business Insurance, Licenses and Permits

Business licenses and permits are essential for running a legal business. The same applies to video game businesses. You will need to apply for a single business permit from your county government offices and a music copyright license so you can play music in your gaming store. Getting business insurance is essential as it will cover losses in case of accidents.

Read more: Business permits you need to start a business in Kenya

Market Your Business

People need to know about the existence of your business. If they do, they will keep on coming back and this way, you can make more profits. Proper marketing strategies will help you attract and retain customers.

You can market your business by distributing pamphlets, brochures use of word of mouth, and through social media. Retaining customers will depend on how best you offer services. You can also retain customers by organizing in-house tournaments, giving discounts, and even offering drinks as your customers enjoy their games.

Conclusion

The video gaming business is a lucrative idea, but your success will depend on how best you manage the business and the strategies you will use to market your business. Talking to people who have been in the business will help you make informed decisions on various business aspects. Success is never overnight. You will need to have a passion for your business and keep improving your services based on customer feedback.

Also Read: How to start a soap making business in Kenya