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Glamping Business Insights

Jun 21, 2025

Summary

  • The meeting featured Cody Sanchez interviewing Travis and Josh, the founders of a glamping business that generates significant profit from "unwanted" land through creative, viral experiences and value-added amenities.
  • Key topics included startup costs, business model validation, staffing strategies, technology stack, marketing via social media/influencers, and the role of creativity in driving high profit margins.
  • Main decisions revolved around lean startup strategies, the importance of adding Instagrammable features, and leveraging pre-sales and creative funding to minimize upfront investment.
  • Notable takeaways include targeting creative demographics, utilizing opportunity zones for tax savings, and maximizing revenue through both accommodation and experiential upsells.

Action Items

  • (No date specified – Travis): Continue developing and tracking creative amenities and Instagrammable moments for ongoing marketing leverage.
  • (No date specified – Josh): Manage staff through work camper networks and oversee property operations.
  • (No date specified – Cody): Consider applying similar creative strategies and experiences to own Airbnb ventures, based on learnings from this business.
  • (No date specified – Founders): Continue leveraging influencer events and social campaigns to expand reach and occupancy.

Business Model & Startup Approach

  • Initial land purchase was 250 acres for $100,000 in a remote location, intentionally far from major cities to minimize cost.
  • Owners recommend starting lean: lease land if possible, begin with basic tent(s), a bathhouse, and a unique amenity to validate demand.
  • Early revenue can be generated via pre-sale campaigns and crowdfunding (e.g., Indiegogo), which also provides startup capital without personal outlay.
  • Validation is prioritized: begin with one tent (minimally viable product), iterate, then expand to multiple units after testing and early profit.

Cost Structure, Profit Margins, and Scaling

  • Tents cost between $2,000 and $6,000 to set up, with creative features and furnishings adding value at relatively low additional cost.
  • Average nightly rate (ADR) is ~$150, with peaks to $300–$400 during holidays; occupancy rates are 80–90% due to social virality.
  • Per-tent net profit is about $2,000+ a month, with margins of 50–60%, approaching software-as-a-service (SaaS) business levels.
  • At scale (10+ tents/units), hiring a property operator/manager is feasible; most staffing is sourced from "work camper" communities.
  • Main cost risks include permitting, utilities setup (especially septic), and horizontal infrastructure, not the units themselves. Premium experiences raise initial costs.

Marketing, Target Demographic, and Value Creation

  • The core marketing strategy is to design for "virality" and Instagrammability—unique, visual moments that lure influencers and organic social sharing.
  • Target demographic is broad but centers on "highly creative or imaginative" guests, including millennials, families, baby boomers, sci-fi fans, and those seeking digital detox.
  • Added experiential elements (wardrobe, podcasts, culinary packages, family/day passes) create upsell opportunities with minimal cost.
  • Communal and creative spaces are intentionally low-cost but high-impact, increasing guest satisfaction and shareability.
  • Influencer events and early access campaigns are used to drive publicity and fill early bookings without high marketing spend.

Financials & Growth Potential

  • Gross annual revenue per tent: ~$43,000; 10 tents can generate $430,000 (gross), and margins drive a healthy six-figure net profit.
  • Recouping initial investment is fast—2–3 months for lean setups, 4–6 months for more premium builds.
  • The business benefits from Opportunity Zone tax incentives, further boosting net profitability.

Decisions

  • Begin with lean, creative tent setup and validate with pre-sales/crowdfunding — minimizes startup risk and speeds up break-even.
  • Focus on Instagrammable design and viral marketing over location or amenities alone — rationale: social media-driven demand outperforms traditional location-focused hospitality models.
  • Hire a property operator once scaling to 10+ units — enables remote management and business growth.

Open Questions / Follow-Ups

  • What new creative amenities or experiences can be added to further increase upsells and guest engagement?
  • How can the model be best adapted to other locations or Airbnb-style ventures?
  • Are there further optimizations in cost structure or tech stack (beyond Stripe, CloudBeds, Wi-Fi solutions) to support scaling?