Adrenaline Air Sports
The greatest percentage of first time customers Is college students, Just Like he town of Blackburn, with a population of 40,000 people plus about 25,000 enrolled college students. Greensboro, North Carolina Is about 80 miles South of Janesville and most of the students don’t return for a second dive because of the cost. Only 3 percent of the skydivers return to stay In the sport. Since first time divers have the highest margin, ;RSI important to get these divers to stay In the sport.
There are two main competitors for AS in the same area about 120 miles Northeast of Janesville that must compete for the population in Ranked. These two companies are more advantaged because they offer more availability, larger and aster planes, and charger more in fees. They are both open year round on the weekends and are open at least 4 days during the high season. AS only has two competitors to beat, which is a plus, considering their strengths. But the scenery that AS has to offer is more beautiful than the scenery of the other two companies.
Internal factors that affect AS is employee schedules. Most of the employees for AS are part-time workers, including the owner, Bill Cockerel. Bill and is employees are only available to work the weekends they are scheduled to work during the open season. Bill works another Job and the earliest he can be at AS is at pm on Fridays. There is only one cameraman, which means only one person, per film, per flight. Videos are given only on Sundays, and with new student reservations on Mondays, those videos arena received until the following Sunday.
There are currently two Cessna 182 planes, which take longer to reach higher altitudes. The maximum height for AS is 10,000 feet. The Cessna planes hold up to four parachutists at one time. During the high season, this becomes a problem because AS only has four parachutes in its possession; two tandems and two accelerate free-fall parachutes. By analyzing this case, I found It necessary for AS to do two things. First they can keep the Cessna planes they already have and extend their work days to Fridays and Mondays to make more available times to customers.
Since this Is a second Job for most of the employees, Including the owner, more employees will be needed or longer shift hours for the employees that are already there. A new, larger plane wouldn’t be necessary In this action because there will be more time available to work the flights. The second option for AS would be to purchase a larger plan that revives a faster turnaround time, reach higher altitudes, and hold more passengers. In doing this, AS will need to be a full-time company, with extended weekends In the high season.
The profit margin and hourly rates will increase if this is implemented. IT one AT ten Cessna are solo , ten money can De uses to lighten ten cost AT ten new plane. AS will need to raise their prices and do heavy advertisement to fill passenger slots on the planes. Although the first option allows the company to grow at a slower pace, I think the second option is sounder for the company. AS should become full-time and add mom of the serious skydivers as employees.
With more employees and an extended weekend, an increase for fees is necessary. The demand for skydiving with the company is at good standing. AS needs to make it available to accommodate those potential customers. Adding at least one more camera would be a great step because the video helps with advertising the company’s services. Finding more first time jumpers and creating a program which allows them to return is the key to generating the income that is needed. Once they’ve Jumped two or three times, the chances of them returning are high.
