Why PlayStation (PS) Business is no Longer a Profitable Venture

Back in the days running a PlayStation (PS) business was a business opportunity that fetched high returns.
The business was booming and and  PlayStation owners were taking home tens of thousands of shillings in profit each day. However, the PlayStation market and business has since changes and starting a PlayStation business should be least on your lost of businesses you should think of.
Back in 2005 my friend started a PS business in Eldoret town and the business picked up really first. Just two years in business, my friend was generating an average of Ksh. 10,000 each day. That’s after deducting daily expenses.
His business and profits skyrocketed thanks to the high demand and less competition in the industry.
After years of being away, I recently paid a visit to my friend at his work place and for sure I was taken a back.
The shop that used to attract more than 20 gamers at a time was  nearly empty with a few  clients.
On inquiring to find out what had happened, my friend admitted that things had completely turned south and the business was no longer profitable.
He informed me that his daily collections currently averages between Ksh. 2000 or less. Not forgetting its from the same amount he has to foot business expenses.
He informed me that he was planning to close the shop and think of a different venture.
So, what happened?

Entry of virtual gambling games

The number one killer of the PlayStation business was the emerging of gambling and betting business, more especially the virtual gambling gaming shops
With the entry of these unique  virtual sports betting businesses, my friend started seeing a steady decline in the number of  PlayStation customers.
Customers started preferring virtual betting gaming platforms that gave them  opportunities to win money rather than PlayStation games that only offered entertainment.
Most sports betting companies such as Betin introduced virtual betting shops across the country that attracted many young people.
This concept meant that PlayStation businesses had to share clients with this Virtual betting shops but the virtual betting business seemed to be taking the Loin’s share.

Competition from within

Being a new venture that was attracting a lot of clients and with high returns, many people got interested. All over a sudden, PlayStation started to mushroom allover market centres and estates as well.
Those who commanded the market had to share clients with competitors who set up PlayStation shops next to them.
This brought down the amount charged from gamers with each business trying to outdo the other.
With reduced customers and reduced revenue, daily collections started to dwindle each day.
My friend tells me that these two factors have brought the PlayStation business to the knees.
To remain competitive, PlayStation business people still have to spend heavily each year on upgrading their gadgets with new and updated games.
The high initial costs that are associated with purchasing PlayStations and big screens leaves many new business people who venture in the business counting losses when they realize that they may never recover their initial investment costs.
With PS5 already available in the market, business people with the old PS4 are already facing a challange to upgrade or risk loosing customers.
The hundreds of thousands that business people must spend to upgrade to more advanced gadgets means this type of business is not for the faint hearted.

Should you or should you not start a PlayStation business?

On whether to start or not start a PlayStation business will work for you, one needs to evaluate the market and count the costs.
Factors such as competition from such related business ventures and demand should guide you.
While the PlayStation business might be a hot cake in some places, most towns and estates are already flooded with this type bus business.
READ:How watermelon has turned into gold for farmers and fruit venture

Alternative Business Opportunities

Both entertainment and gaming industries have a number of opportunities that one can tap and invest in. Apart from the PlayStation business, movie business, Virtual Reality, Virtual betting and many more might just provide you with the best business idea.
It is also important to keep an eye on emerging technologies and opportunities within the industry to be able to identity the best option for you.
As witnessed from the history of the industry, any new and emerging opportunity presents the best change for any business oriented person to make the best out of it while it lasts.