If you're thinking of building a business but you're intimidated of the business preparations you need to familiarize of, Pisonet is perfect for you. Not only it has a huge demand among Filipinos, the business plan is simpler and less complicated than other business if you get one thing right- location. For the sake of non-Filipino readers, what is a Pisonet?
Think of it like a telephone coin box or a payphone. If payphone is for telephone conversation, Pisonet is for surfing the net. A Pisonet computer set consists of monitor, speakers, headset, mouse pad, and keypad and Pisonet system known as tabletop.
Each unit is embedded with a coin box where users insert their payment in form of coins and a lock to keep your profits safe.
Advantages of Pisonet over the traditional internet cafe
Cheaper for customers
In the Philippines, 1 peso equals 5 more minutes of surfing the net, making it 12 pesos per hour. Compared to the traditional internet cafes who charge 15 pesos or more per hour, this is a pretty neat idea.
Most Filipinos like it cheap, this much I can say. That's why your Pisonet business has a better chance of thriving once you meet the basic requirements which we'll talk about later in this post.
Easier and cheaper to manage for owners
Traditional internet cafe business requires you to hire at least one person to oversee the operation to log in and out users. On the other hand, PisoNet, requires very little to no attention as the logging in and logging out is done automatically by the customers.
If there are job to be done, it would be 1.) occasionally changing the customer's money in 1 peso coins (as it only accept 1 peso coins) and 2.) maintenance which you can do once a month.
Very little effort. If you're a parent who wants to stay home with your children, get enough PisoNet machine, and you're in business, earning money from home without half the work.
What you need to setup a Pisonet business
Pisonet is perfect for those who want to earn money without putting too much effort. Here are things to consider before putting up your first Pisonet business.
More customers, more money. Your where matters a lot. It goes without saying that you need to put it where lots of customers could access it. The very soul of this business is to offer convenience to both customers and the owner. The more convenient it is for your customer, the money you make.
Electricity and internet bill
Electricity bill varies throughout the Philippines so I can't give a computation. At the start of your business, you need to set up an experiment period where you record your electricity consumption and profit then compare them.
The good thing is if there are no customers, you won't have to consume electricity. And since I've seen lots of Pisonet owners thrive and make their full time income from it, there certainly is a big chance for you to succeed. There are risks, as always, but you are more likely to win than lose.
CCTV Camera (Optional)
You can buy this once your business starts booming but if you're just starting out, this is completely optional
Now let's talk about your capital
An entire machine will cost you about 15,000 – 25,000 pesos approximately. This machine is capable of performing basic computer functions, online research and games etc.
Your profit (an estimation)
Let's assume that your PisoNet café operates 24 hours. But lets make it 20 hours per unit for times when there are no customers. With this, your computation can be calculated as under:
20 hours = 900 minutes
1200 minutes/ (5 minutes/1 peso) = PHP240 per unit a day
Assuming that you have 10 units in your café, your earning will be:
PHP 240 * 10 = PHP 2400 per day
PHP 2400 * 30 = PHP 72000
So, this means your monthly income computed with this assumption will be PHP 72000. Now one of the most important things to take into consideration here is calculating monthly expenses.
For instance, your monthly bill is 12,000 pesos which includes both of your electricity bill and internet bill. After deducting monthly bill, your profit will become:
PHP 72000 – 12000 = PHP 60000
That's a pretty huge sum here in the Philippines. And the more units you have, the more profit you gain. It's just a matter of building the foundation and basics. Note that this computation is just an estimation and it will vary according to your situation.
By the way, if you're into selling online stuffs to, you might wanna check this out: How to Sell in Shopee: Everything You Need to Know
Build your Pisonet business plan or roadmap
First thing to develop a business plan. Your business plan shoud cover all the factors like return of investment, profits prediction, and location and incurred expenses etc. Here's an example:
1. Before the business
Evaluate the most important factor: location. Is your location easy to spot and could potentially attract lots of customers? If there are competitions nearby, how do you think will it affect your business? Will customers still come and could you still profit from it?
2. First 2 months: experiment period
This is when you keep a record of your expenses and profit. You might wanna buy a fewer unit at this time while you're still exploring. If your computation says it's profitable especially if you buy more units, and if the number demands is greater than your number of units, it's time you expand.
3. After you find out it's profitable
After you find out it's profitable, it's time to think about buying new units using the profits you earn from the first batch of machine.
4. Once you're sure your Pisonet is booming
The amount of time to know whether your business succeeds or fail will vary but you'll know it once you have it. Once you're in this stage, consider building promotions and setting your business apart from your competitors. This might mean providing better accommodation for the customers, more comfortable seats, better air conditioning, and those small ways that seem small but hugely affect the customers' decision.
At this stage, you should feel pretty confident. There are still risks for sure. But gaining the experience will equip you with the knowledge of the common pitfalls (which isn't a lot) of this business. There's nothing more satisfying than making a plan, taking action from it, and succeed.
Hope this helps.
You might also like:
- How to Sell on Shopee and Earn Big Time: Everything You Need to Know
- How to Build a Boarding House Business in the Philippines
- Make Money by Leasing Coconut Farms Without Breaking a Sweat
- How to Earn Extra Money in the Philippines Online: 20 Side Hustles
- 5 Important Money Lessons Every Working Millennial Should Know