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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

features

IHRSA Update: Know your customers

IHRSA’s Kristen Walsh shares highlights from The 2019 IHRSA Health Club Consumer Report into the US fitness market, as well as giving universal advice about how to stay relevant

By Kristen Walsh, IHRSA | Published in Health Club Management 2019 issue 11
As trends come and go, be alert and pivot your business creatively, says IHRSA / shutterstock
As trends come and go, be alert and pivot your business creatively, says IHRSA / shutterstock

In order to adequately recruit, serve, engage and retain health club customers and members, it’s crucial to understand everything about them – their needs, their wants and their behaviours.

IHRSA’s annual Health Club Consumer Report 2019 is based on a nationwide sample of more than 20,000 interviews and provides demographics and health, sports, and fitness participation data on US health club consumers.

Review your business model
At this moment in time, fitness facility operators, especially those in the fitness-only category, find themselves competing in an industry segment that’s dominated by discount operators (75 per cent charge less than US$25, and 32 per cent charge less than US$10 a month).

If your present business model is fitness-only (equipment, group exercise studios and locker rooms), then chances are most of your competitors will be in the low-price game, and your existing and future members will frame their buying decision around the lowest price.

Stay in the game
Consequently, if you plan to continue to operate a fitness-only model in your business, your options include:

• Lower your price and add a little extra. Rather than go head-to-head at $10, try $15 to $18, and then offer a few classes, some virtual classes, and possibly offer fee-based small group training.

• Continue to operate at your present price point, eg, $30 to $40, but differentiate your offering. Create a speciality, such as a genre of group classes, small group training or coaching, that none of your competitors is offering.

• Move up the chain. Add physical and programming amenities known to denote value and a higher price point. For example, you could add a court for POP tennis and pickleball; add a speciality studio and theme it; create more tribal programming, or partner with another small business to incorporate a custom bundle of services with higher perceived value into your offering.

Pursue ‘odd’ and ‘weird’
Dr Seuss notably quipped: “You have to be odd to be number one.” What he meant was that reaching the top and, equally importantly, remaining at the top, requires a penchant for being a little different from the rest.

“Odd” refers to your business’ value proposition and whether it offers consumers and members something unique, innovative, and relevant – rather than the same old same old.

Dr Seuss also said: “We’re all a little weird and life is a little weird, and when we find someone whose weirdness is compatible with ours, we join up with them and fall in mutual weirdness…”

What the doctor ordered speaks to building a value proposition that appeals to one or a few weird audiences. Many successful boutique studios have taken this approach to crafting their value proposition. Gym Box in the UK is a premium operator that has taken a different approach and, in so doing, carved out a distinctive position for itself in the marketplace.

Just remember, being ‘odd’ also requires innovation and – importantly –having relevance to the audience you pursue.

So, what does it take to foster a value proposition and culture takes you to number one and enables you to leverage ‘weird’?

Find your tribe
Consider selecting single or multiple niche audiences to serve, and craft your value proposition and culture to be relevant to them. Study your marketplace, talk to your existing members and, most importantly, search for un-served/under-served groups.

• Deliver your offering differently. No one says you have to operate in the same way as your competitors.

Maybe offer club access via bundled packages instead of monthly subscriptions.

How about investing more in technology and becoming the most tech-savvy fitness business in the market?

• Be a 2.5 percenter. Two-and-a-half percent refers to the percentage of businesses that are real innovators. These are businesses that pursue innovation or are willing to adopt business practices and technology early on, typically way ahead of the competition. For example, why not try a ‘freemium’ approach to your business model, similar to that used in the gaming industry, in which you offer the basics for free and then charge extra for upgrades and add-ons.

• Go back in time or shift into the future. CrossFit, possibly without even knowing it, built a business proposition around some of the clubs of the mid-1800s, in which gymnastics and calisthenics were the core of the programme. There are other models from olden times that would still work today.

Conversely, you could go the opposite route and create a high-tech virtual experience (ie virtual reality, streaming mobile content, virtual check-in, etc) supplemented by human contact.

Find out more at: www.ihrsa.org/publications

Dr Seuss Photo:shutterstock
"You have to be odd to be number one" - Dr Seuss
Consider adding new amenities to your club, such as a pickleball court / shutterstock
Consider adding new amenities to your club, such as a pickleball court / shutterstock
Treadmills remain the most popular piece of equipment in the gym / shutterstock
Treadmills remain the most popular piece of equipment in the gym / shutterstock
Gym Box in the UK has carved out a distinctive position
Gym Box in the UK has carved out a distinctive position
Time shifting: CrossFit has built an enormous following by delivering traditional training methods in a new way
/ shutterstock
Time shifting: CrossFit has built an enormous following by delivering traditional training methods in a new way / shutterstock
http://www.leisureopportunities.com/images/imagesX/894719_58225.jpg
1 out of 5 Americans age six and older belongs to health club. Find out more key findings from the 2019 IHRSA Health Club Consumer Report...
IHRSA, Kristen Walsh,research, consumer report,
People
The remote personal training service has also been a great success: we’ll maintain around 40% of our PT business for April
People
Kate Cracknell talks connected health and digital transformation with Chris Blackwell-Frost, Martin Friend and Rick Crawford from Nuffield Health’s senior management team
People
HCM people

Professor Zhen Yan

director of the Center for Skeletal Muscle Research, University of Virginia
Regular exercise may help people survive COVID-19
Features
Promotional feature
Reaching members anywhere and anytime to connect, engage and coach is more important than ever and can easily be activated through Technogym Mywellness
Features
Coronavirus
As clubs were ordered to close, one logical response was to freeze memberships, despite the financial difficulties it would cause. However, many operators found their community was willing to support them, as Kath Hudson reports
Features
Supplier showcase
Wattbike has partnered with Intelligent Cycling to transform indoor cycling with innovative new technology that enables automatic personalisation for riders in a group cycling class
Features
feature
Matrix Connected Solutions helps Roko deliver a digital member experience beyond the four walls of the clubs
Features
Innovation
With members stuck at home, now’s the perfect time to plan some cost-effective upgrades to your clubs. Suppliers explain how a flooring refresh could help attract members back in-club as the pandemic eases
Features
Software
With the coronavirus pandemic forcing gyms across the world to temporarily close their doors, staying connected to your members digitally has never been more important. Software suppliers tell Steph Eaves how they’re contributing
Features
Coronavirus
While Europe and the US are in the thick of coronavirus shutdowns, health clubs in China are starting to reopen. Jak Phillips examines how three Chinese operators tackled the challenge of the pandemic and came out ahead
Features
Latest News
Gyms and health clubs in Dubai, UAE, have begun reopening their doors today (27 May) ...
Latest News
HCM understands that the directors of énergie Fitness have brought in specialist company FRP Advisory ...
Latest News
Planning approval has been granted for a new David Lloyd Club in Bicester, Oxfordshire. The ...
Latest News
Aerobic exercise boosts blood flow into two key regions of the brain associated with memory, ...
Latest News
Gympass has launched a new digital platform as a response to the increase in demand ...
Latest News
Austrian medical health and wellness operator, Lanserhof, has launched a programme for people who’ve had ...
Latest News
HCM can report that Europe Active's annual thought-leader conference, the European Health and Fitness Forum ...
Latest News
The number of people signing up for memberships at Planet Fitness has been at 2019 ...
Job search
POST YOUR JOB
Opinion
promotion
The activity industry finds itself in a position of considerable threat. Two-thirds of the world’s gyms are closed – that’s 230 million members unable to attend a fitness facility, according to data platform fitNdata.
Opinion: Ensuring members return after lockdown
Opinion
promotion
Elon Musk has plans to conquer Mars and these days the meat on your hamburger can be grown in a lab - so why are so many fitness businesses still using papers and pens to create workouts for their members?
Opinion: How the current pandemic may be helping the fitness industry to innovate
Featured supplier news
Featured supplier: What’s your Covid-19 exit strategy? How will you use this time to relaunch your business to thrive, not just survive
There is no escaping the fact that we are operating in extraordinary times. Our physical health clubs, gyms and studios are closed and we’re trying to keep our membership engaged, fit and healthy via online and digital training.
Featured supplier news
Featured supplier: Adidas calls on BLK BOX for flooring solutions at new World of Sports complex
Adidas believes that creators, just like athletes, need an environment that inspires their employees to perform and believe that through sport, we have the power to change lives.
Video Gallery
Technogym mywellness app
Technogym
Improve your training experience. All your data in a single app. Read more
More videos:
Company profiles
Company profile: TRX Training UK
TRX provides world-class functional training by offering quality equipment, effective workouts and world-class education capable ...
Company profiles
Company profile: Octane Fitness
A global innovator of high-performance fitness equipment, Octane Fitness, a Nautilus, Inc. brand, continually redefines ...
Catalogue Gallery
Click on a catalogue to view it online
Directory
Independent service & maintenance
Servicesport UK Limited: Independent service & maintenance
Hydrotherapy / spa fragrances
Kemitron GmbH: Hydrotherapy / spa fragrances
Skincare
Comfort Zone - Davines S.p.A: Skincare
Wearable technology solutions
MyZone: Wearable technology solutions
Trade associations
International SPA Association - iSPA: Trade associations
Whole body cryotherapy
Zimmer MedizinSysteme GmbH / icelab: Whole body cryotherapy
Direct debit solutions
Harlands Group: Direct debit solutions
Management software
Fisikal: Management software
Design consultants
Zynk Design Consultants: Design consultants
Lockers/interior design
Crown Sports Lockers: Lockers/interior design
Property & Tenders
Greywell, Hampshire
Barnsgrove Health and Wellness Club
Property & Tenders
Derby City Council
Property & Tenders
Diary dates
04 Jun 2020
Marriott Forest of Arden Hotel & Country Club, Birmingham, United Kingdom
Diary dates
13 Jun 2020
Worldwide, Various,
Diary dates
06-07 Jul 2020
Eastwood Hall, Nottingham, United Kingdom
Diary dates
28-31 Aug 2020
Expo Centre & Riviera di Rimini, Italy
Diary dates
21-24 Sep 2020
Loews Coronado Bay Resort, Coronado, United States
Diary dates
11-12 Oct 2020
ExCeL London, London, United Kingdom
Diary dates
17-23 Oct 2020
Pinggu, Beijing, China
Diary dates
27-30 Oct 2020
Messe Stuttgart, Germany
Diary dates
30-31 Oct 2020
NEC, Birmingham, United Kingdom
Diary dates
27-28 Nov 2020
Athena, Leicester, United Kingdom
Diary dates

features

IHRSA Update: Know your customers

IHRSA’s Kristen Walsh shares highlights from The 2019 IHRSA Health Club Consumer Report into the US fitness market, as well as giving universal advice about how to stay relevant

By Kristen Walsh, IHRSA | Published in Health Club Management 2019 issue 11
As trends come and go, be alert and pivot your business creatively, says IHRSA / shutterstock
As trends come and go, be alert and pivot your business creatively, says IHRSA / shutterstock

In order to adequately recruit, serve, engage and retain health club customers and members, it’s crucial to understand everything about them – their needs, their wants and their behaviours.

IHRSA’s annual Health Club Consumer Report 2019 is based on a nationwide sample of more than 20,000 interviews and provides demographics and health, sports, and fitness participation data on US health club consumers.

Review your business model
At this moment in time, fitness facility operators, especially those in the fitness-only category, find themselves competing in an industry segment that’s dominated by discount operators (75 per cent charge less than US$25, and 32 per cent charge less than US$10 a month).

If your present business model is fitness-only (equipment, group exercise studios and locker rooms), then chances are most of your competitors will be in the low-price game, and your existing and future members will frame their buying decision around the lowest price.

Stay in the game
Consequently, if you plan to continue to operate a fitness-only model in your business, your options include:

• Lower your price and add a little extra. Rather than go head-to-head at $10, try $15 to $18, and then offer a few classes, some virtual classes, and possibly offer fee-based small group training.

• Continue to operate at your present price point, eg, $30 to $40, but differentiate your offering. Create a speciality, such as a genre of group classes, small group training or coaching, that none of your competitors is offering.

• Move up the chain. Add physical and programming amenities known to denote value and a higher price point. For example, you could add a court for POP tennis and pickleball; add a speciality studio and theme it; create more tribal programming, or partner with another small business to incorporate a custom bundle of services with higher perceived value into your offering.

Pursue ‘odd’ and ‘weird’
Dr Seuss notably quipped: “You have to be odd to be number one.” What he meant was that reaching the top and, equally importantly, remaining at the top, requires a penchant for being a little different from the rest.

“Odd” refers to your business’ value proposition and whether it offers consumers and members something unique, innovative, and relevant – rather than the same old same old.

Dr Seuss also said: “We’re all a little weird and life is a little weird, and when we find someone whose weirdness is compatible with ours, we join up with them and fall in mutual weirdness…”

What the doctor ordered speaks to building a value proposition that appeals to one or a few weird audiences. Many successful boutique studios have taken this approach to crafting their value proposition. Gym Box in the UK is a premium operator that has taken a different approach and, in so doing, carved out a distinctive position for itself in the marketplace.

Just remember, being ‘odd’ also requires innovation and – importantly –having relevance to the audience you pursue.

So, what does it take to foster a value proposition and culture takes you to number one and enables you to leverage ‘weird’?

Find your tribe
Consider selecting single or multiple niche audiences to serve, and craft your value proposition and culture to be relevant to them. Study your marketplace, talk to your existing members and, most importantly, search for un-served/under-served groups.

• Deliver your offering differently. No one says you have to operate in the same way as your competitors.

Maybe offer club access via bundled packages instead of monthly subscriptions.

How about investing more in technology and becoming the most tech-savvy fitness business in the market?

• Be a 2.5 percenter. Two-and-a-half percent refers to the percentage of businesses that are real innovators. These are businesses that pursue innovation or are willing to adopt business practices and technology early on, typically way ahead of the competition. For example, why not try a ‘freemium’ approach to your business model, similar to that used in the gaming industry, in which you offer the basics for free and then charge extra for upgrades and add-ons.

• Go back in time or shift into the future. CrossFit, possibly without even knowing it, built a business proposition around some of the clubs of the mid-1800s, in which gymnastics and calisthenics were the core of the programme. There are other models from olden times that would still work today.

Conversely, you could go the opposite route and create a high-tech virtual experience (ie virtual reality, streaming mobile content, virtual check-in, etc) supplemented by human contact.

Find out more at: www.ihrsa.org/publications

Dr Seuss Photo:shutterstock
"You have to be odd to be number one" - Dr Seuss
Consider adding new amenities to your club, such as a pickleball court / shutterstock
Consider adding new amenities to your club, such as a pickleball court / shutterstock
Treadmills remain the most popular piece of equipment in the gym / shutterstock
Treadmills remain the most popular piece of equipment in the gym / shutterstock
Gym Box in the UK has carved out a distinctive position
Gym Box in the UK has carved out a distinctive position
Time shifting: CrossFit has built an enormous following by delivering traditional training methods in a new way
/ shutterstock
Time shifting: CrossFit has built an enormous following by delivering traditional training methods in a new way / shutterstock
http://www.leisureopportunities.com/images/imagesX/894719_58225.jpg
1 out of 5 Americans age six and older belongs to health club. Find out more key findings from the 2019 IHRSA Health Club Consumer Report...
IHRSA, Kristen Walsh,research, consumer report,
Latest News
Gyms and health clubs in Dubai, UAE, have begun reopening their doors today (27 May) ...
Latest News
HCM understands that the directors of énergie Fitness have brought in specialist company FRP Advisory ...
Latest News
Planning approval has been granted for a new David Lloyd Club in Bicester, Oxfordshire. The ...
Latest News
Aerobic exercise boosts blood flow into two key regions of the brain associated with memory, ...
Latest News
Gympass has launched a new digital platform as a response to the increase in demand ...
Latest News
Austrian medical health and wellness operator, Lanserhof, has launched a programme for people who’ve had ...
Latest News
HCM can report that Europe Active's annual thought-leader conference, the European Health and Fitness Forum ...
Latest News
The number of people signing up for memberships at Planet Fitness has been at 2019 ...
Latest News
Gyms in England could be open in July if lobbying by the fitness industry comes ...
Latest News
A survey by Savanta ComRes, in partnership with Sport England, has studied the impact of ...
Latest News
Gyms and health clubs in the US have begun reopening their doors, with a number ...
Job search
POST YOUR JOB
Opinion
promotion
The activity industry finds itself in a position of considerable threat. Two-thirds of the world’s gyms are closed – that’s 230 million members unable to attend a fitness facility, according to data platform fitNdata.
Opinion: Ensuring members return after lockdown
Opinion
promotion
Elon Musk has plans to conquer Mars and these days the meat on your hamburger can be grown in a lab - so why are so many fitness businesses still using papers and pens to create workouts for their members?
Opinion: How the current pandemic may be helping the fitness industry to innovate
Featured supplier news
Featured supplier: What’s your Covid-19 exit strategy? How will you use this time to relaunch your business to thrive, not just survive
There is no escaping the fact that we are operating in extraordinary times. Our physical health clubs, gyms and studios are closed and we’re trying to keep our membership engaged, fit and healthy via online and digital training.
Featured supplier news
Featured supplier: Adidas calls on BLK BOX for flooring solutions at new World of Sports complex
Adidas believes that creators, just like athletes, need an environment that inspires their employees to perform and believe that through sport, we have the power to change lives.
Video Gallery
Technogym mywellness app
Technogym
Improve your training experience. All your data in a single app. Read more
More videos:
Company profiles
Company profile: TRX Training UK
TRX provides world-class functional training by offering quality equipment, effective workouts and world-class education capable ...
Company profiles
Company profile: Octane Fitness
A global innovator of high-performance fitness equipment, Octane Fitness, a Nautilus, Inc. brand, continually redefines ...
Catalogue Gallery
Click on a catalogue to view it online
Directory
Independent service & maintenance
Servicesport UK Limited: Independent service & maintenance
Hydrotherapy / spa fragrances
Kemitron GmbH: Hydrotherapy / spa fragrances
Skincare
Comfort Zone - Davines S.p.A: Skincare
Wearable technology solutions
MyZone: Wearable technology solutions
Trade associations
International SPA Association - iSPA: Trade associations
Whole body cryotherapy
Zimmer MedizinSysteme GmbH / icelab: Whole body cryotherapy
Direct debit solutions
Harlands Group: Direct debit solutions
Management software
Fisikal: Management software
Design consultants
Zynk Design Consultants: Design consultants
Lockers/interior design
Crown Sports Lockers: Lockers/interior design
Property & Tenders
Greywell, Hampshire
Barnsgrove Health and Wellness Club
Property & Tenders
Derby City Council
Property & Tenders
Diary dates
04 Jun 2020
Marriott Forest of Arden Hotel & Country Club, Birmingham, United Kingdom
Diary dates
13 Jun 2020
Worldwide, Various,
Diary dates
06-07 Jul 2020
Eastwood Hall, Nottingham, United Kingdom
Diary dates
28-31 Aug 2020
Expo Centre & Riviera di Rimini, Italy
Diary dates
21-24 Sep 2020
Loews Coronado Bay Resort, Coronado, United States
Diary dates
11-12 Oct 2020
ExCeL London, London, United Kingdom
Diary dates
17-23 Oct 2020
Pinggu, Beijing, China
Diary dates
27-30 Oct 2020
Messe Stuttgart, Germany
Diary dates
30-31 Oct 2020
NEC, Birmingham, United Kingdom
Diary dates
27-28 Nov 2020
Athena, Leicester, United Kingdom
Diary dates
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