How to turn karaoke rooms into a profit-making machine

It's called many names: Karaoke box, KTV, videoke, singing room, karaoke room, karaoke club or simply K. This insanely popular singing phenomenon originates from Asia and is about to spread all across the western world.

Enjoying the company of friends and a few drinks while singing the night away is one of the most fun activities you can have. Also, karaoke rooms create a lucrative business opportunity for venue owners.

If you're looking for a new entertainment offering for your bar or trying to find a way to boost your revenues, making your venue sing might be just what you need.

Let's take a deeper look inside the karaoke box.

Karaoke Rooms = Money Making Machine for Your Venue

Karaoke Room at SING SING in Gothenburg.

While creating unforgettable experiences for your customers, karaoke rooms make a lot of sense business-wise. Karaoke business is not what it used to be. You don't need expensive and heavy equipment anymore. Fully digital service like Singa Business is modern and easy-to-use and can be set up in any venue from big nightclubs to traditional pubs.

After the first month in operation, your fixed starting cost of a karaoke room is covered - even though the use of the room is far from full capacity.

The initial starting cost of a karaoke room for an existing event venue or a restaurant would be around £1000-2000. You need microphones, speakers, screens and a mixer. Maybe some new furniture or paint, in case you decide to place the karaoke to an old smoking cabinet or a storage space (which is by the way not a bad idea at all.)

In addition to this, you'll have the recurring (monthly or yearly) cost of a karaoke system. For more info about the prices contact our sales team at Singa Business or sales@singabusiness.com.

Ok - that's it from the cost side. Let's look at the revenues.

In Central London, a typical karaoke room rents from £30 to £100 per hour depending on how many people can fit in and the day of the week. Just as an example, let’s say that the rent is £40 per hour and your karaoke room is booked every Friday and Saturday evening for 3 hours, and you’ll have one 3 hour booking each week for a weekday evening. So 9 hours per week, far from full capacity. This would mean More than £1400 a month and that’s excluding the beverages and food you sell.

So within the first month in operation you will cover the fixed starting cost of a karaoke room and the monthly Singa Business fee, even though the use of the room is far from full capacity. For the months to come, you'll be making a sweet profit.

Singa Business - The Karaoke Solution for Your Karaoke room

Singa Business is the first fully digital karaoke experience to drive more revenue and customers to your business. It's a modern streaming-based karaoke solution for commercial use at restaurants, nightclubs, libraries, schools. It works on an easy-to-use iPad, that you can plug in to your existing audio system and screen.

When your customers are used to having all the music in the world in their pocket with Spotify, they are expecting to have everything from old classics to new list climbers available when they go out for karaoke. Singa Business has more than 80 000 fully licensed karaoke songs - and constantly adding more.

What makes Singa Business a bulletproof solution to private karaoke rooms, is that the user interface is extremely easy to use. When your customers book a karaoke room, they are there to have fun - spend time with friends, have a few drinks, and have a spectacular singing party - so your karaoke solution should be extremely user-friendly.

With Singa Business, your customers can also browse songs directly from their phones with Singa consumer app that works seamlessly together with the Singa Business in your venue.

There's over 1 million singers in the Singa consumer app. When your karaoke rooms are found in Singa, you'll be exposed to thousands of people looking to sing karaoke.

What do our Singa Business powered venue partners say about Singa Business?

We have currently more than 800 Singa powered venues in Europe. Here's some experiences from venues who operate karaoke boxes using Singa Business.

Hogarth's Stafford, Amber Taverns UK

"Since reopening our venue after the Coronavirus pandemic, we have created a 'Bubble-oke' concept. In line with current guidance, we have social bubbles of people (a maximum of 6, from no more than 2 households) booking out the karaoke room for private use. The karaoke room works on a pre-book basis, we take a £10 per person deposit which is converted into a bar tab. We have increased our session times from one hour to three hours to replicate the feeling of a special event or occasion, something we have all missed out on over the lockdown period.

The Bubble-oke has been a roaring success, in fact, I didn't think we would be considering any form of entertainment at the moment but with reduced capacity in the venue, the karaoke room is what is driving our revenue. We have trebled our hourly income from £100 pre lockdown to £300 now. We have a three week waiting list to manage and my only regret is not building two karaoke rooms."

Steve Tinsley, Hogarths, Amber Taverns UK

Bloomsbury Lanes, London UK

“At Bloomsbury Lanes we have three main focuses one of which is our Karaoke experience. Being in the heart of London we are at the apex of experience and activity days and so any activities we offer within the venue will have to compete with the best in the city. Which is why we have chosen Singa as our host for all of our 6 Karaoke rooms.

In our experience, Singa does everything we need it to and works very well with our customers. Its hosted on an iPad so it's easy to use and has a great selection of songs meaning everyone gets to sing to their favorite track. If a song isn’t listed Singa are happy for us to contact them and request it. We will work with Singa for years to come!"

The team at Bloomsbury Lanes

SING SING, Gothenburg, Sweden

“We, at Sing Sing, are very satisfied to be using Singa in all our seven karaoke rooms! Our staff and customers alike find it easy to use Singa! Even after a beer or two they quickly find the way to their favourite tunes. As if this were not enough, they got thousands of thousands songs to choose from!”

Frida Lernstål, Sing Sing

Amber Taverns, UK

Karaoke room at Northern Way, Bolton UK

"During the development of a new trading concept we explored the options of having a karaoke system that we could utilise for themed nights - whilst also giving our customers the option to use it anytime throughout the day. Singa was the perfect piece of kit with the software preloaded on an iPad, simple to use for the customers and backed up with a superb App. "

"During key trading periods the booth is fully utilised and our research shows the customers that come to the venue for Singa account for 16% of trade at weekends and 6% midweek."

"We believe without Singa this particular customer base probably wouldn’t even come to the venue because karaoke is the attraction for them."

Gary Roberts, Operations Director, Amber Taverns

Other Singa Pro powered venues with karaoke room are for example:

We are happy to get you started straight away. Send us an email sales@singabusiness.com or book a free demo at Singa Business, and we'll help you get your business to the next level.