Driving ranges generate profit by charging for balls and tee area rental. Buckets cost around $20. Additional revenue from food, club rentals and lessons can significantly increase overall profits.
Location Impact and Customer Base
Location impacts business volume. Rural locations have lower property costs. Urban settings draw more customers. An average range sees 20 golfers daily, yielding $120 in revenue. For a 6 month season that is $21,600 annually. Golfers use ranges to practice and warm up before playing on courses.
Revenue Factors and Facility Size
More amenities mean higher costs. But they also attract more customers who pay higher fees. Larger ranges with more practice areas cost more but bring in more revenue. An urban indoor range with restaurant and event space can net $2.9 million annually. A basic rural range can earn as little as $40,000.
Most ranges are 300 yards long to accommodate amateurs whose average drive is 250 yards. Rental bay width is 3 to 4 yards for ample swing room.
Revenue varies depending on location, amenities and services. Basic ranges earn far less than high end, tech focused concepts like TopGolf whose franchises gross over $500 million annually with 1,300+ employees.