Learning On The Fly

Sky Zone Ceo JeffPlatt built a $300 million chain of indoor trampoline parks and created an industry. Now he’s got venture-backed competition.

- Noah Kirsch

Wearing a tight black V-neck T-shirt and mid-top sneakers, Jeff Platt, 32, glides his Tesla to a stop, snaps off his sunglasses and enters his 30,000-square-foot kingdom: a warehouse near Los Angeles outfitted corner-to-corner with trampolines. Employees in orange shirts emblazoned with the name Sky Zone tend to the jousting arena and dodgeball court. Opening time is approaching, and hundreds of kids—most between 6 and 17—will soon arrive to bounce in anarchy.

Platt, Sky Zone’s CEO, has run the company since he was 22. On his watch, the chain of trampoline parks has grown from an oddball concept with two locations into a franchised business with 176 parks in six countries. Twenty-five million people will visit this year, generating more than $300 million in sales. Last year, Sky Zone corporate’s revenues were $50 million, with a 20% profit margin.

In a room typically reserved for children’s birthday parties, Platt shoehorns his action-figure physique into a picnic-table seat and explains the master plan. “We want to create a world where everyone plays every day,” he says earnestly.

But while Sky Zone has created its own industry, its ascent has attracted competition. Rivals now operate roughly 75% of the 600-plus domestic trampoline parks. One, CircusTrix, has millions of dollars in venture capital and runs more than 80 locations under an array of brand names.

Fighting to stay ahead of such threats, Platt’s marketing team is working to engage teenagers by enlisting YouTube influencers and generating buzz on Snapchat. New technologies, like a wearable gadget that will track activity on obstacle courses and in dodgeball matches, are part of a strategy to gamify all aspects of the Sky Zone experience. As Platt leaves the party room, the warehouse echoes with the sounds of screaming kids. He grins: “This is fun.”