iFly Singapore, an indoor skydiving simulator, is big business

For Singaporean Lawrence Koh (photo, right), no dream is so big that it can’t be achieved. Consider this: As the founder and managing director of iFly Singapore, he started the largest indoor skydiving facility in the world — at five meters wide and five storeys in height. It’s also the first in Singapore.

His business the fulfillment of his dream to gift the experience of flight to everyone, and while it’s arguable that commercial flight has achieved that, nothing beats the thrill of jumping off an airplane.

But the cost of skydiving is still prohibitive — it can run up to $400 per jump. So Lawrence did the next best thing: Set up a towering, state-of-the-art wind tunnel in Sentosa. iFly Singapore officially launched in May 2011 to much media fanfare.

SGE visited the facility on a weekday afternoon, which was anything but quiet. Already, tourists and families in jumpsuits are waiting for their turn to enter the hulking wind tunnel. Later on, an instructor put on a dazzling show for an appreciative audience, performing somersaults, flips, and twirls. An air ballet.

“Some of these instructors have developed quite a fanbase,” said Lawrence as we watched the show in his office, which was visible through a glass panel.

“We should consider setting up Facebook pages for them,” he joked.

Pictures of skydivers adorn the wall behind his desk. He has already performed countless dives, and is a qualified instructor from his days in the military.

“I’ve lost count after the 800th dive,” he said. But this man is more than a skydiver. He is a legitimate entrepreneur with a gift for meticulous execution.

Three adjectives sum up what iFly Singapore is: Big, bold, and beautiful. To start something like this anywhere requires a lot of money and expertise. But Lawrence was undeterred.

He secured S$25M (US$19M) in funding from two investors (one private, one institutional) to start his business — a massive sum for any rookie entrepreneur. His ability to convince the investors boiled down to extensive planning and preparation — something he knows how to do very well.

“I’ve always come up with ten-year plans for my life. I chose to devote the first 30 years of my life — I know this sounds lame — to serving the nation. But after that, I knew I would move on to start a business.”

As the officer in charge of a parachuting training school in the Army, he visited a wind tunnel in the US and met the founder of SkyVenture, the inventor of the technology that is used in iFly facilities around the world. Years later, Lawrence received a call from him with an idea: Why not start iFly Singapore?

After thinking about it, Lawrence resigned from the Army, and armed with patent rights given to him for free, started the company.

Knowing that his idea would be met with skepticism, he came up with a detailed business plan that covered all bases. That process took three months. As part of his research, he visited the various wind tunnels around the world to get a feel of what they have accomplished. He noticed a problem: Their target market is fellow skydivers.

“The real money is not in catering to professional skydivers, but in leisure,” he said. His hunch turned out to be right: 50 to 60 percent of his revenue from the wind tunnel is now generated from leisure iFlyers, while 20 percent comes from corporate events.

“We’ve even had someone do a proposal for his girlfriend in a wind tunnel. It takes some practice of course, and we have to teach him how to kneel inside.”

Adidas recently held its adiZero product launch there. Companies also like to treat their clients to skydiving trips.

“They actually spend more on entertaining guests and clients than on team building activities,” he noted.

There was, however, one interesting request that he had to turn down: FHM, a popular lads’ magazine, wanted to do a photoshoot in the wind tunnel with their girls. But it wouldn’t be feasible.

“The bikini would fly right off,” he said.

The remainder of the revenue is derived from training stints by professional skydivers and millitaries.

After establishing the target market in his business plan, he looked at revenue streams. While other facilities had a bare bones approach with just a wind tunnel and at most a small gift shop, Lawrence felt his version needed much more.

He sought out and secured Canon as a sponsor. It’s collaboration with iFly Singapore is a natural fit, given Canon’s desire to inspire entrepreneurs and SMEs in Singapore through campaigns like Think Big, a series of initiatives to promote entrepreneurs and document success stories.

Also, since iFly Singapore is focused on giving flyers a memorable experience by capturing flight moments of the highest picture quality, Canon’s digital imaging expertise was a major consideration.

He also rented out part of the property to others. McDonald’s took up residence, the first one on Sentosa. O’Briens Irish Sandwich Café and Bora Bora Margarita Bar followed suit.

Part of Lawrence’s plan was also to place a huge LED screen at the walkway outside, which has great advertising potential since a lot of people are now passing by the area after Sentosa launched the Songs of the Sea multimedia show.

Besides revenue, safety was another major concern, since he hopes to attract the general public. Lawrence ensured that the wind tunnel was state-of-the art. Instructors also receive a rigorous training stint of 28 days so that they know their way inside the wind tunnel and are able to ensure customer safety.

Finally, beyond just being an indoor skydiving facility, he wanted iFly Singapore to be an all-round experience. While other wind tunnels are drab in appearance and located in inaccessible areas, his is located in prime land and possesses a modern and aesthetically pleasing decor.

An airport theme was picked. At the entrance, prospective skydivers will be greeted with a mock-up of a flight status board, which allows customers who have purchased tickets to check when they’re supposed to ‘board’ the flight. Sounds of airplanes can be heard through the speakers in the training room. The wind tunnel, made up of glass and acrylic, is reminiscent of an airport flight gallery where people can watch aircraft (in this case skydivers) take off and land.

Lawrence’s approach worked. Since opening in May this year, the company has earned over S$5M in revenue  – a record for all iFly facilities around the world. SkyVenture has even brought many of the iFly licensees from other countries to Singapore just to see how the Sentosa facility is run.

“We Singaporeans tend to do it better,” he said.

But Lawrence is not resting on his laurels. iFly Singapore will be adding a SkyLoft Restaurant on the rooftop, which will feature a paronamic view and live musical performances.

They have also begun organizing tours for students to see how the wind tunnel operates, and are looking at designing a curriculum for students which could be incorporated as part of their co-curricular activities.

iFly Singapore is also looking at hosting the World Indoor Skydiving Championship and regional competitions in the coming year and hold indoor skydiving lessons by world-renowned skydivers.

With so much going on, Lawrence remains committed to his vision of bringing flight to everyone. While his business has multiple revenue streams, his core business and centerpiece is still the high-tech, wonder-eliciting wind tunnel.

“As long as you’re focused on your passion, the revenue will come in,” he said, echoing Canon’s call for entrepreneurs to pursue their dreams.

Photos: iFly Singapore

 

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Guided by its kyosei philosophy that focuses on “living and working together for the common good”, Canon is dedicated to producing innovative products and technologies to improve efficiency at home and in the office. It is committed to steering its research and manufacturing processes towards sustainability, providing a safe and healthy workplace, and delivering high quality products to its customers. Read more about Canon’s Think Big campaign.

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