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Thread ID: 86229 2008-01-09 03:07:00 Internet Cafes pctek (84) PC World Chat
Post ID Timestamp Content User
628616 2008-01-09 11:49:00 I run one internet computer for the public and it's always been $2 a half hour. When i started it (6 yrs ago) local council people said it was too cheap. I still don't think it's too cheap. Gotta be cheap or the system simply won't float, people will text instead. :2cents:

i've always wondered how all the auckland places keep afloat at 2 or 3 bucks an hour

how do they do it? even with 100% use 12hours a day and 24hours on fri/sat i just don't see maintenance and power and internet and rent and wages being covered

i know, i'll actually do the maths lol

30*$3*(12*5+24*2)= $9720 a week

hrmmm....

(and if you think my 108 hour week is unrealisitic, it is, but i've seen a gaming/internet place about 5 years ago in new lynn manage it at $2 per hour (i remember having to book!), and then they set up an xbox place which had a queue to get in)
motorbyclist (188)
628617 2008-01-09 17:50:00 Mostly a question of what the market will stand.! Cicero (40)
628618 2008-01-10 05:10:00 $9720 is the total revanue per week for the cafe.
The overheads would not be that high.

You will have
- rent
-wages - which wouldn't even be that high given that most of them are run by one or two guys.
- Power/internet
- Computer upgrades - perhaps once a year - $20000pa or so.

Apart from the initial cost, it shouldnt imo be to expensive to actually run.
noone (22)
628619 2008-01-10 05:16:00 LMAO. Metla (12)
628620 2008-01-10 08:07:00 Once again I have to explain. Anything is worth what you pay for it.

More important is what you can afford.

If I happend to be in Gore and really needed an Email then I would pay the going rate. If I can not afford the going rate then I would have to wait.

There were two Internet Cafes in the town I live in. Both have closed down.
I have no idea what they charged as I never used either.
Sweep (90)
628621 2008-01-10 09:42:00 Once again I have to explain. Anything is worth what you pay for it.

More important is what you can afford.

If I happend to be in Gore and really needed an Email then I would pay the going rate. If I can not afford the going rate then I would have to wait.

There were two Internet Cafes in the town I live in. Both have closed down.
I have no idea what they charged as I never used either.

I think the price has nothing to do with the cost of broadband. The real costs are the venue, manpower, and then the cost of computer and keeping it going, then the price of electricity, and then the price of the internet connection. AT $5 an hour, I don't know how any make money. It would need to be closer to $10 for them to make a profit. My local library charges $1 per 15 minutes, but that is subsidised by my rates so it probably hardly covers their costs.
robbyp (2751)
628622 2008-01-10 18:04:00 I think the price has nothing to do with the cost of broadband. The real costs are the venue, manpower, and then the cost of computer and keeping it going, then the price of electricity, and then the price of the internet connection. AT $5 an hour, I don't know how any make money. It would need to be closer to $10 for them to make a profit. My local library charges $1 per 15 minutes, but that is subsidised by my rates so it probably hardly covers their costs.

You forgot the staff required to keep up with collecting PAYE, GST and other compliance costs. :eek:
Sweep (90)
628623 2008-01-11 08:53:00 $9720 is the total revanue per week for the cafe.
The overheads would not be that high.

You will have
- rent
-wages - which wouldn't even be that high given that most of them are run by one or two guys.
- Power/internet
- Computer upgrades - perhaps once a year - $20000pa or so.

Apart from the initial cost, it shouldnt imo be to expensive to actually run.You assume they have more than one machine, and they get a lot of traffic on the machines.

I assume they don't, which is why it's typically $2/hour in CHCH and more in smaller towns. Still say $9 is a bit steep tho...
personthingy (1670)
628624 2008-01-11 10:12:00 An Internet Cafe - the way to lose money fast, some people that I knew lost much money trying this enterprise in ChCh 6 years ago. There are many factors to take into account not the least - positioning - location, location, location. zqwerty (97)
628625 2008-01-11 12:15:00 You assume they have more than one machine, and they get a lot of traffic on the machines .

I assume they don't

yeah my numbers were using an ideal situation

i think in reality it would be close to 6 or 7 grand a week, at best .
motorbyclist (188)
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