Business Plan
   
Las Vegas is not just for gamblers anymore. The casinos have spawned nightclubs, ultralounges, elaborate production shows, and world class restaurants on and off the Strip. From the legions of young singles who seek thrills to the countless couples in search of romance, Las Vegas promises something for everyone.

    Dice offers much more than the typical dance floors and candlelit tables of other clubs. On the roof of a new parking garage (and next to a hotel) will be a massive 30 feet tall by 50 feet wide LED screen with thousands and thousands of pixels that resemble a giant pair of dice. On the top two floors of the parking garage will be a nightclub similar to Disco Fabulous. At night, lit up in the desert sky, Dice commands the attention of every person on the Strip.

    Next, imagine the view. A live snapshot of Las Vegas from around 100 feet in the air is a worthy tourist destination in and of itself. Patrons arrive to behold the likes of Excalibur, Luxor, City Center, Cosmopolitan - virtually the entire city - without spending a dime in any of those places. Rather, Dice gives them the skyline, and in return they give Dice their business. People remember landmarks, and Las Vegas has needed such an institution for years.

    Finally, Dice will be the hippest and coolest nightclub near the Strip. The mere altitude differentiates it from any other venue in Las Vegas. Add music, dancing, and a world-class series of events, it becomes unlike anything in the world.

    Seeing is believing.

Concept/Business Description

        Disco Fabulous references the decade of glitter with glamorous, updated authenticity. Like the great clubs of the seventies, bright lights and mirror dice flash and spin to the rhythm of a customized audio system. A multi-level version of the dance floor from Saturday Night Fever fills one third of the room, next to the superior vista of Las Vegas. A long, narrow bar borders the opposite wall. Glass tables and plush chairs fill the middle area. The DJ booth hangs over the dance floor. The DJ spins disco and 70’s rock - Donna Summer, Blondie, Funkadelic, KC and the Sunshine Band, The Jackson Five - mixed with a dose of Prince, Beastie Boys, RUN- DMC, Duran Duran and the like. Original 70’s artifacts, neon signs, concert and movie posters subtly decorate the room.

    Brands carried and promoted by Dice reflect the club’s commitment to define and celebrate classic and emerging culture. Co-equity event marketing happens only for time-tested, proven brands. Although virtually every type of shot and specialty drink can be prepared by the bartenders, house specialties include only one recipe: the Martini, available in either Gin or Vodka.

Market Analysis

    In 2019 42.5 million tourists visited Las Vegas. In 2019 $36 billion dollars was the amount of money spent in Las Vegas; $10.2 billion dollars of it went to gambling. Shows, hotels rooms, restaurants, nightclubs and shops accounted for the rest.1 Studies appearing in the Las Vegas Business Press attest that a large number of visitors see Las Vegas as an entertainment destination rather than a gaming venue . This trend is reflected in the words of Rob Powers of the Las Vegas Convention and Visitors Authority. "We’re more of a complete resort destination," he says, adding, "we are able to go after every prospective leisure traveler."

    These leisure travelers have impacted the city’s nightclub scene dramatically. It has been referred to as one of the most important scenes in the world so large and important to the tourist industry that Vegas clubs are starting to create the trends rather than working off of what works in other parts of the world. The world, in turn, pays attention. Las Vegas is the scene with the most exposure that is visited by more people from so many walks of life.

    The statistics below show how people spend their money (and time) while visiting Las Vegas:


EXPENDITURES PER VISITOR




  201420152016201720182019
Food and Drink $282$292 $318$377 $315$360
Gambling Budget $530$578$619$541 $527 $591
Daily Hours Gambled 2.62.91.91.6 2.22.3

Based on an average stay of 3.4 nights
Source: Las Vegas Convention and Visitors Authority


    Since 2005 around 18,000 hotel rooms have been added to Las Vegas at a cost of $23.6 billion dollars.2

Industry Trends

    Las Vegas nightclubs are incubators of massive popular culture. They nourish trends in fashion, music, and entertainment before millions on national television. The amount of media attention through television that Las Vegas is getting has a positive impact on visitation.

    There is no subtlety in boasting Vegas style. Venues mix movie star sensationalism with dance floor sensuality to generate and maintain national exposure. Sexy guests in hop couture writhe and slither to pulsating rhythms of exotic dance mixes. Club goers expect to hear, see, and wear superior status with intense pleasure.

    In Las Vegas every major resort wants to have a super club attached to its property. The kind of money being spent to develop these nightclubs is off the charts. The expectation when people come to Las Vegas is you gotta be larger than life. Casinos and management groups have seemingly limitless funds to develop the hottest new concept club, especially compared what is spent opening a night club in New York, Los Angeles, or Miami. Nightclub operators had stumbled onto the secret of success for Las Vegas clubs: don't be ordinary. It's a mantra top venues have mastered and struggling ones have yet to grasp.

    The nightclubs on the Las Vegas Strip are about catering to the masses, and Vegas' economy is built on that. Clubs are generally crowded and playlists are conservative, designed for the two main classes of people who come to the clubs: VIP's with money to burn, and customers who want to have drink, dance and have fun.

    The nightclub Hakkasan opened at the MGM Grand Hotel and Casino in April of 2013. The buzz surrounding the 80,000-square-foot, $100 million dollar entertainment complex has been almost biblical. Ask its operators and they will tell you there's really nothing like it in Las Vegas. 3

Some nightclubs have a track record of drawing outrageous return on investment so hotel-casinos are going to find a place for them. The Cromwell Hotel and Casino opened in May of 2014 at the corner of Flamingo Avenue and the Strip and Drai’s Nightclub is on the roof of the Cromwell. 4

    Clubs must consistently prove that they are the place to be, that they are purveyors of the latest and greatest in sensory fulfillment. This is nothing new. In Las Vegas, however, that proof is broadcast worldwide and backed by recognizable events and personalities.

Marketing Strategy

    "The most valuable commodity in the gaming and entertainment industry will always be the human imagination. It's all about entertainment that engages the customer in a profound way." These words were uttered by Alex Yemenidjian, formerly the CEO of the Tropicana Hotel and Casino in Las Vegas, and they provide the cornerstone for Dice's marketing strategy. Dice must create highly visible specters of popular culture, attracting all that is sexy and popular.

    Getting noticed requires major events, celebrity endorsement and maximum exposure. This can be accomplished through any number of industry players and entertainment reps, all readily available in Las Vegas. To increase exposure without sliding into cheesy ubiquity, Dice will turn to the internet, where the most popular destinations generally fall into one of three categories: beauty, music, or popular culture. Dice has all three, all the time. The site will feature up to ten video clips, each three minutes in length, that highlight the weekly happenings, personalities and glamour of the club. An e-mail newsletter - delivered to an extremely selective clientele, perhaps 500 people- will summarize and drive consumers to the site. It will be created and maintained by designers and filmmakers of rock star quality. As word of the site spreads, so does the success of Dice.

    Below the massive Dice LED screen Disco Fabulous will be on the top two floors of the parking garage and will be around 20,000 square feet. Customers in Dice will have views of the Strip while they drink and dance the night away and cater to it's "entrepreneurial niche" which is the 40 to 60 year old demographic by playing disco and dance music from the 70's and 80's. According to the Las Vegas Profile Study in 2019 Las Vegas had 42.5 million visitors and 38% were between the ages of 40 to 60 years old: 22% were 40 to 49 years old and 16% were 50 to 59 years old.

   A newspaper article in the Wall Street Journal from October of 2017 entitled "Fortysomethings Are The New Club Kids" says this: Amid slowing growth in the $24 billion dollar industry, club owners are looking to capture 45 to 54 year olds, who spend more on entertainment than other age groups and make up the biggest share of nightlife consumers at bars, lounges, nightclubs and other venues with limited food services, according to IBIS World. 5

1. Las Vegas Convention and Visitors Authority, www.lvcva.com, Press and Research.

2. Wynn Las Vegas, April 2005, 2700 rooms at a cost of $2.7 billion dollars, Palazzo, January 2008, 3000 rooms at a cost of $3.9 billion dollars, Encore, December 2008, 2000 rooms at a cost of $2.3 billion dollars, City Center, December 2009, 4000 rooms and 2000 condominiums at a cost of $8.5 billion dollars, Cosmopolitan, December 2010, 3000 rooms at a cost of $3.9 billion dollars, Resorts World, summer 2021, 3500 rooms at a cost of $4.3 billion dollars.

3. Las Vegas Sun, www.lasvegassun.com, Five-story, $100 million Hakkasan 'sets a precedent' for Las Vegas nightlife, April 18, 2013.

4. Vegas Seven, www.vegasseven.com, The Nightclub with a Casino attached, May 19, 2014.

5. The Wall Street Journal, www.wsj.com, Fortysomethings Are The New Club Kids, October 11, 2017.

 Financial Report 
INCOME      
     Sales - Beverage $17,680,000   85% 
     Sales - Admission/Other $3,120,000 15% 
Gross Sales   $20,800,000 100% 
     Cost of Goods Sold - Beverage $2,080,000   10% 
Gross Margin   $18,720,000 90% 
 
SALES PER NIGHT

Cover Charge for Admission: $10 for women, $20 for men
Attendance: 50% women, 50% men
1000 customers a night and each customer spends $85.

500 x $10 =
$5,000
  
500 x $20 =
$10,000
  
1000 x $85 =
$85,000
  
$100,000
 a day
4
 days in a week
$400,000
 a week
52
 weeks in a year
Total:
$20,800,000
 gross sales a year

Design Patents: Design Patents US D476, 424 S and US D476, 425 S.

If you are interested please contact Paul Shanahan.

cell phone: 773-704-2616
home email: Jrmh44@outlook.com
work email: paul@vailsys.com