Les Mills
Les Mills
Les Mills
Health Club Management

Health Club Management

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UNITING THE WORLD OF FITNESS
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Health Club Management

Health Club Management

PROMOTION

Are you trying to beat budget gyms at their own game?

The middle-market's members are draining away in favour of cheaper, more flexible, memberships.
– Ivan Stevenson, director at DFC

Member retention is a growing problem for long-established gym chains, who are fiercely battling an upsurge of competition from an exploding budget and boutique gym market.

The middle-market, which traditionally dominated the industry, is anxiously gnawing its fingernails as its members drain away in favour of cheaper, more flexible, memberships.

But rather than try and find their own ways of tackling this problem, UK gym facilities are trying to beat budget gyms at their own game - pre-facing their membership options with easy-in, easy-out packages based around single month agreements.

Newsflash: this isn’t the way to do things.

The budget gym business model is one that relies on high-customer volumes and short membership cycles. This new sector of the market was built to sustainably manage this through cheap overheads and by using price as a singular selling point. It’s a basic quantity (of people) over quality approach.

Almost the opposite is true of mid to high-end health clubs, which from a very broad perspective, pride themselves on having top-spec equipment and an array of activities to appeal to a wider demographic. Their real selling point is, and should always be, value and providing an experience that keeps people coming back.

The way to do this is through 12-month contracts, or similar, in which the member journey is crafted to enrich their experience. Done right, this is the way to make a member renew year after year.

The golden thread connecting this matter to a measure of success is Direct Debit as it gives everyone the flexibility they deserve. From a business perspective, Direct Debit can be used to counteract the low yield from pay-as-you-go customers.

Transactions are also cheaper and this can give way to cheaper membership rates as well as discounts and incentives for people signing up to a Direct Debit membership. And from a customer perspective, Direct Debit is low-maintenance and much more cost-effective than standing order or recurring card payments.

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Member retention is a growing problem for long-established gym chains, who are battling the growing budget and boutique gym market.
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Diary dates
30 May 2019
Rimini Expo Centre, Rimini, Italy
Diary dates
30 May - 02 Jun 2019
Expo Centre & Riviera Di Rimini, Rimini, Italy
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