Building a karaoke-based business: the why and how

Are you a KJ for private or public events, a bar hosting karaoke nights, a family-fun center? Or perhaps you are debating opening a karaoke establishment with private rooms? Whatever your case, a karaoke-based business is a solid way to earn revenue (and have fun doing it!).

If you're new to the karaoke (or business) scene, taking the steps to launch may seem daunting. Not so, with a few simple factors to keep in mind, you can be up and running in no time.

Here’s what we’ve learned based on our 15 years as leaders in the industry….

The karaoke trend is growing

Since its inception in the late 70s, karaoke has been a preferred form of recreation for Asians and it is rapidly catching on in Europe and North America with karaoke bars and venues increasingly popping up.
Forget the image of drunken bar ballads, Westerners are heeding the allure of singing in public thanks to an increase in apps and TV shows dedicated to the activity.

Private karaoke boxes are fast becoming an alternative to the movies and other common entertainment forms. Entertainment seekers are recognizing the benefits of singing in a private box with friends and family, be it for fun or for a special occasion (bachelor(ette) party, birthdays,...). Companies around the world are finding appeal in the private karaoke boxes as a substitute to the more traditional team-building sessions.

Cash Karaoke

The ROI (that’s business talk for Return on Investment) on a karaoke business is high. A one-time hardware investment and low monthly subscription fees, keep costs down and allow you to profit thanks to bookings, reservations and F&B sales.
Let’s take a closer look...

Minimal investment

Starting a karaoke business can require nominal, not to mention one-time, investment. A smartphone, a tablet or the family computer and a steady internet connection is enough to get you up and running.
All necessities (mic, speaker, tv, cables) are likely things you already have on hand or can be bought at a local electronics store and adapted to your budget.
If you’re opening a karaoke box, you’ll need to consider additional costs of setting up the room for sound-proofing, but the material required remains the same if you have a box that hosts four, eight or 12 people.

Minimal setup and maintenance

Download an app and hit the ground singing in minutes. For the full experience connect to any TV, add mics and speakers and voila, time to sing! Chromecast / Apple TV are an instantaneous and easy option!
For karaoke boxes, get in touch with us at business@karafun.com and we’ll be happy to walk you through the setup process. With the right materials, setup is a cinch and rapidly duplicated in all boxes.

Beyond making sure that your operating system and karaoke application are up to date, a quick check every now and again to verify that all is connected and properly functioning, there is little that you will have to do for upkeep.

The right features make the difference

When you’re operating on the pro karaoke scene, not only does the experience count for your singers, but for you as well. Minimal effort and maximum output is essential.

What if the connection fails? Can I promote my business with my own logo and advertising? Can I give singers the opportunity to request songs without needing to take direct requests? Is there a support team to walk me through? For karaoke boxes, can the box run by itself with little interaction on my end?
All of these questions are valid, worthwhile and important to ask when choosing the right karaoke application.

Using the KaraFun, app not only is a yes to all of these questions, but an assurance to continued development for easier process and maintained stability.

A catalog of legal and updated songs is vital

Depending on the country you live in, you may need specific authorizations to play karaoke in public. It’s important to check with your local performance rights organisation in order to ensure that you are following proper procedure on our 38.000 songs and those updated automatically to our catalog (see what's new on our blog).

At KaraFun, all of our tracks have been produced internally and we’ve obtained the necessary requirements to do so. Based on your country, this in itself may be enough, but as previously mentioned, checking with the local performance rights organization is a must!

Got questions related specifically to your business?

Don’t hesitate to reach out to us on our contact page. If you are setting up a karaoke box, shoot us an email at business@karafun.com.

And in the meantime, here are some articles you may find helpful:

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