Explore Park Business Plan | FINAL DRAFT
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Explor e Park Business Plan June 2016 Explore Park Business Plan | FINAL DRAFT Table of Contents CHAPTER ONE - EXECUTIVE SUMMARY ................................................................ 1 CHAPTER TWO - INTRODUCTION.......................................................................... 2 2.1 PROJECT PROCESS....................................................................................... 2 2.2 CORE VALUES OF EXPLORE PARK ............................................................... 3 CHAPTER THREE - MARKET ANALYSIS ................................................................... 4 3.1 DEMOGRAPHIC ANALYSIS ........................................................................... 4 3.2 NATIONAL PARTICIPATORY TRENDS IN RECREATION............................... 10 3.3 OUTDOOR RECREATION PARTICIPATION TRENDS .................................... 16 3.4 NATIONAL CAMPING TRENDS ................................................................... 19 3.5 LOCAL SPORT AND MARKET POTENTIAL........................................................... 27 3.6 COMPARATIVE ANALYSIS .......................................................................... 28 CHAPTER FOUR - THE FORMATION OF A DESTINATION PARK .......................... 40 4.1 COMPONENTS OF A DESTINATION PARK ......................................................... 40 4.2 EXPLORE PARK AS A DESTINATION LOCATION.................................................. 41 CHAPTER FIVE - PROGRAMS AND SERVICES RECOMMENDATIONS............................. 43 5.1 PROGRAM PLAN ........................................................................................... 43 5.2 MARKETING PLAN ...................................................................................... 46 5.3 MAINTENANCE STANDARDS ...................................................................... 53 CHAPTER SIX - FINANCIAL MODELS .......................................................................... 54 6.1 OPERATIONS AND FINANCIAL PLAN ASSUMPTIONS ................................ 54 6.2 CONCESSION AND FOOD SERVICE STRATEGIES ...................................... 55 6.3 PRO FORMA PROJECTIONS ....................................................................... 56 CHAPTER SEVEN - FULL-TIME STAFFING STRUCTURE .................................................... 73 CHAPTER EIGHT - FINANCIAL SUSTAINABILITY FOR EXPLORE PARK .............................. 74 8.1 INTRODUCTION ............................................................................................. 74 8.2 TOPICS OF IMPORTANCE................................................................................ 74 8.3 FUNDING AND REVENUE STRATEGIES............................................................... 78 CHAPTER NINE - IMPLEMENTATION PLAN .................................................................. 93 9.1 PERFORMANCE MEASURES ........................................................................ 93 9.2 ACTION PLAN ............................................................................................. 94 CHAPTER TEN - CONCLUSION ............................................................................ 99 APPENDIX1 - QUALITY ASSURANCE FORMS ............................................................. 100 CONCESSIONS ............................................................................................... 100 RENTAL CHECK UPS ....................................................................................... 102 QUALITY ASSURANCE CHECKLIST ................................................................. 103 CUSTOMER SERVICE QUALITY ASSURANCE CHECKLIST............................... 104 i Explore Park WEEKLY FACILITY QUALITY ASSURANCE ....................................................... 105 APPENDIX 2 - JOB DESCRIPTIONS .................................................................... 107 PROGRAM COORDINATOR........................................................................... 107 MARKETING AND WEB-SITE VOLUNTEER OR PART-TIME STAFF .................... 109 VOLUNTEER MAINTENANCE WORKER........................................................... 110 LAND PRESERVATION AND STEWARDSHIP VOLUNTEER ............................... 111 APPENDIX 3 - POLICY DEVELOPMENT RECOMMENDATIONS ......................... 112 EARNED INCOME POLICY ............................................................................. 112 PRICING POLICY............................................................................................ 113 PARTNERSHIP POLICY .................................................................................... 118 SPONSORSHIP POLICY................................................................................... 127 VOLUNTEER POLICY....................................................................................... 131 SCHOLARSHIP POLICY................................................................................... 134 APPENDIX 4 - MAINTENANCE STANDARDS RECOMMENDATIONS ............................. 136 ii Explore Park Business Plan | FINAL DRAFT CHAPTER ONE - EXECUTIVE SUMMARY Explore Park is operated by Roanoke County Parks, Recreation and Tourism, in Roanoke, Virginia. The park is located off the Blue Ridge Parkway at Milepost 115. Explore Park features hundreds of acres of rolling hills, pristine woodlands, hiking trails, river frontage, historic buildings and a visitor information center. Many recreation pursuits are available to the outdoor enthusiast such as biking, hiking, canoeing, enjoying a picnic, or many recreation programs designed to improve personal skills. Explore Park is a great destination for exploration activities! PROS Consulting was hired to develop a Business Plan for Explore Park in conjunction with a Master Plan being developed by WRT. Essentially, a business plan is a Feasibility Study that provides a comprehensive analysis to determine if a specific project has potential for reaching desired financial goals. The process was initiated through the collection and resulting assessment of regional demographics to aid the research team in understanding the age, ethnicity, race and economic characteristics of the residents of the region. From that study, it was determined that the area’s population has experienced moderate growth in recent years. This trend will continue over the next fifteen years as the population is expected to grow at the annual rate of 0.4% to just over 430,000 residents within 15 years. Over 82% of the population is White Alone, while the Black Alone category (11.43%) represents the largest minority. Household income ($44,849) and per capita income ($26,490) are below the County, state and national averages which limits the potential for disposable income spending on leisure pursuits. Following the assessment of the population, it was necessary to analyze national and regional participation in outdoor recreation pursuits such as camping, fishing, boating, hunting, and hiking. Adventure sports that have emerged in recent years such as mountain biking, kayaking, triathlon, Alpine slide and zip line activities were also explored. National trends were analyzed to support the continuous movement toward active and passive recreation activities that might be offered successfully at Explore Park. Comparative studies were completed of campgrounds and associated amenities, adventure sport facilities and outdoor activities similar to the Explore Park operations in Virginia and throughout the country. These studies were necessary to aid in the development of logical programs to fit into the portfolio of existing and future program recommendations in the business plan. A business plan cannot determine the final outcome with total certainty as there are too many variables, assumptions, and unknowns for that to occur. It can, however, help to envision potential operations in a more objective light. From the results of the aforementioned studies, it has been determined that revenue engines would be generated in six phases. Each phase reflects the best options to be offered at Explore Park. New amenities and programs would be built around a mix of facility assets such as campgrounds, waterways, trails and support facilities and the addition of adventure sport features such as zip lines, aerial park amenities and Alpine slides, special event challenge sports and concession operations. Given the uncertainty around the implementation of the capital improvements for each phase, financial models have been created for the park as a whole for the first three years of operation (FY 2016-2019) and for each individual capital improvement to be developed in phases two and three. Financial models have not been created for phases four through six as it is anticipated that these phases will not be implemented until FY 2026, at the earliest. If fully implemented, this Business Plan will be a great tool for Roanoke County Parks, Recreation and Tourism Department. 1 Explore Park CHAPTER TWO - INTRODUCTION 2.1 PROJECT PROCESS The process used for developing this Business Plan followed a logical planning path, as described below: Demographic Operational Core Standards & Business & Vision and Market Design & Trends Philosophy & Programs & Policy Operating Mission Analysis Principles Analysis Process Functions Development Plan Vision and Mission – Once created, these elements provide a big picture view of the reason and purpose the organization exists. Demographic and Trend Analysis - The process was initiated through the collection and resulting assessment of regional