Sure, it looks like paradise — island tunes, tanks on the wall, and endless talk of the sea. But running a dive shop? It’s no vacation. Behind the laid-back vibes is a real business with razor-thin margins, seasonal slowdowns, and changing customer trends.
So it’s no surprise that many dive shop owners eventually ask: Are dive shops profitable? Profitability depends on how you structure your revenue, control your costs, and manage diver expectations.
Here’s what profitability really looks like in today’s dive industry, plus five ways to make your shop more profitable.
Yes, dive shops can be profitable — but don’t expect smooth sailing all the time. Earnings can vary depending on the shop’s size, location, and business model.
According to a dive industry survey by the Business of Diving Institute, U.S. dive shops brought in an average of $541,200 in annual revenue in 2023. However, that number mostly reflects established dive centers with strong sales and a range of services.
The real answer? Profitability depends on the kind of dive shop because no two are exactly alike. For example:
Smaller, rental-focused shops see profits between $10,000 and $80,000 per year, according to estimates from equipment rental businesses. These shops usually cater to casual divers, tourists, and certification courses, rather than raking in big retail sales from top gear brands.
Resort-based or high-traffic dive centers earn significantly more, between $50,000 and $150,000 in annual profit. These shops typically offer more products and services, including bundled deals, travel packages, and advanced certifications.
So, are dive shops profitable? Yes, but only when shop owners stay agile, manage expenses, and build a business strategy that generates revenue year-round.
Even the pros at PADI have seen it — new dive shop owners often fall into the same traps that undermine their profit potential. Stocking too many product lines, being absent during business hours, or not focusing enough on marketing can quickly sink your bottom line.
Back in the day, high-margin gear sales could keep a dive shop afloat. But today’s savvy shoppers can compare prices online in seconds and often find cheaper options with just a few clicks. This means dive business owners need more than tanks and tees on the shelf to stay profitable.
Ready to make waves? These five simple strategies will help you boost your earnings.
Don’t let your revenue go cold when the water does. Keep business flowing with year-round dive trips and certification courses that bring in customers long after summer fades.
Here’s how to keep your calendar and cash register full in the off-season:
Add off-season travel packages: Partner with tropical resorts or plan weekend getaways to nearby dive spots. These trips appeal to certified divers wanting to stay sharp and newcomers eager to train somewhere warm.
Team up for group deals: Work with other local businesses, like charter boats, hotels, or travel companies, to create affordable group packages. Bundled pricing on lodging, dives, and travel draws in dive clubs, friend groups, and budget-conscious adventurers.
Keep the training pipeline full: Schedule beginner and specialty dive certification courses throughout the year, using the off-season for drysuit or rescue diver training.
The payoff? Your shop stays buzzing, drawing in dedicated divers and off-season explorers from all over, while other local dive shops slow down during the winter.
Inventory mistakes can tank your profits, especially in a small business juggling retail sales, rentals, and seasonal swings. Point of sale (POS) systems give you a clear view of what’s selling, what needs restocking, and how rentals, trips, and certifications are performing.
To make the most of your POS system:
Track sales: Know which wetsuit sizes, fin styles, or accessories move fastest and adjust orders accordingly — no more wasted money on dead stock.
Manage rental gear: Monitor your inventory’s condition, availability, and turnaround. It’s an easy way to flag maintenance needs and avoid disappointing customers.
Spot trends and stay prepared: Use sales data to forecast demand around seasons, courses, or events. Set automatic reorder points so you’re never caught short during peak periods.
Good POS systems make running a dive shop easier and leaner, helping you reduce waste, spot new opportunities, and keep cash flow steady all year.
If you only sell to walk-in customers, you’re leaving money on the table. An online store opens your doors to certified divers across the country, even when your shop is closed.
Here’s how to build a dive shop that never sleeps:
List your bestselling gear online: Offer staples like wetsuits, fins, snorkels, and branded merchandise that appeal to returning students, experienced divers, and dive professionals.
Tap into a wider audience: Reach out-of-town travelers, one-time vacation students, or gift buyers looking for dive gear online, especially during the off-season or around holidays.
Sync it with your POS: Link your e-commerce store to your POS system to update your inventory in real time. This helps you avoid overselling and gives you a complete picture of what’s working in store and online.
Implementing an e-commerce site is a great way to capture sales year-round, build customer loyalty, and stand out from other local dive shops by making your gear and brand available anytime, anywhere.
Not every diver is ready to invest in a full gear setup — especially tourists, beginners, or casual hobbyists. Rentals and service plans are a low-barrier, high-value way to generate repeat business with minimal upfront cost.
Consider these options:
Rent gear to low-commitment divers: Attract tourists, traveling divers, and students by offering flexible rental options for those not ready to drop hundreds on new gear. Maintain a clean, reliable inventory of wetsuits, buoyancy control devices (BCDs), tanks, and accessories to meet demand and encourage return visits.
Create annual maintenance plans: Offer subscription-style service packages that include yearly inspections, cleanings, or repairs. These are great for certified divers who want to keep gear in shape without worrying about scheduling service or surprise repair costs.
Bundle rentals or services with purchases: Boost the value of high-ticket purchases by including rental perks or a free maintenance plan. For example, offer a complimentary weekend rental with the purchase of a BCD or regulator. Small extras like these can seal the deal and build long-term customer loyalty.
These extra benefits keep customers coming back — even between major purchases — and help position your shop as their go-to dive center year-round.
Open more than just a store — create a hub where divers feel connected, supported, and inspired. When your shop becomes the center of the local dive scene, customers aren’t just buying gear — they’re joining their local diving community.
Here’s how to make it happen:
Host dive meetups and events: Organize underwater clean-ups, local reef dives, or photo contests. These low-cost events build goodwill, create lasting memories, and keep your shop at the top of your customers’ minds.
Reward your regulars: Offer punch cards, referral rewards, or exclusive VIP perks. When customers feel appreciated, they’re more likely to return and bring friends along.
Train and spotlight your team: Elevate your team by investing in training, showcasing their expertise, and empowering them to deliver standout service. Your staff are your brand ambassadors, and a knowledgeable, passionate crew can turn one-time buyers into loyal, long-term customers.
Nurture your community, and your shop becomes the go-to destination every time divers are ready to suit up.
Margins in the dive industry can be tight, but the right setup can turn those challenges into steady growth. Dive Shop 360 gives you everything you need to manage seasonal shifts, boost customer service, and generate year-round revenue.
Built specifically for dive shops, Dive Shop 360 comes packed with features like preloaded vendor catalogs, specialized rental and sales inventory tracking, and e-commerce integration. Sell gear, certifications, and trips — all from one platform.
Need to stay connected with customers? Our all-in-one POS solution has you covered with email marketing, contact management tools, and digital gift cards to keep your customers engaged with your business. Tourists looking to pay for their gear with digital wallets? No problem — Dive Shop 360 supports multiple payment options, so you never miss a sale.
So, are dive shops profitable? Absolutely, as long as you have the right system in place. Schedule a demo with Dive Shop 360 to discover how our tools can turn your passion into long-term profit.
