Smart DJ Tips: Add Options to Add Profits!

December 4, 2019 by Jason Alexander

When it comes to the DJ business, it seems as though every year, clients want more and more options for their weddings or events. Many DJs and DJ companies are choosing to offer more options. More options mean more money, of course! In my experience, it can certainly help increase your profits; however, there are a few risks and things to be aware of when providing more for your clients. Let’s discuss these, now.

 

  • Cost – The first thing to consider when deciding what options to include is the investment needed. How much will these options cost you? How much money will you need to buy these upgrades or options? Perhaps you’re considering uplighting. The price certainly varies on how much each light will cost. If you’re considering other options, you’ll certainly need to do your research to find out the cost of your upgrades.
  • What to Offer – Next, and arguably equally as important, is to find out what you want to offer. What are your clients asking you for that you don’t already offer? How often are you getting requests for these things? If you’re not sure, do your research and find out the best product that is in demand in your market. For our business, we decided in late 2014, that we were going to starting offering photo booth rentals in the Austin, Texas area. We noticed that more and more, we were seeing these at weddings and events. We began to research the cost, demand, and profitability of operating a photo booth. We did so well with it, that we even incorporated it into our business name (Austin’s Best DJs & Photo Booths). 🙂
  • ROI (return on investment) This is very important and you must absolutely do this before making any purchases. Find out what the market rates are for your new product. How long will it take you to start making a profit from the initial investment? If the demand is high, it should not take you long!
  • Research Competition – The next important thing you must do is research your possible competition. How many other companies offer what you do? If you’re offering the same product or service, what will you do differently? How will you stand out over the competition? If it’s simply by offering a lower price, this may not be the best way to stand out.
  • Enjoy Your Profits – Once you’ve done all of the above and decided to take the leap of faith, remember, it will all be worth it over time! More options will mean more profits!

There are some downsides involved in adding more options. The first is reliability. You absolutely have to add a reliable service or product! Not having a reliable service, product, (or staff member) can really hurt your business! The last thing you want is an angry client who is not happy with your business!

Next, you also have to remember the time commitment. How long will it take you to master your new service? Sometimes, it doesn’t’ take too long, and other times, there can be a learning curve. Don’t forget that you’ll also now need more time to set up. If you’re offering lighting, a photo booth, or any other options, this will add to your set up time. Be sure to consider this when pricing your options!

Overall, the upsides certainly outweigh the downsides. We have been very successful in adding many new options to our business and have managed to increase our profits. I hope you can do the same!

Filed Under: DJing Weddings, Event DJ Tips, Mobile DJ Performance Tips, Mobile DJ Sales & Marketing, Photo Booth Tips