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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
Sign up here to get HCM's weekly ezine and every issue of HCM magazine free on digital.
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 pandemic has sped up our progress towards the strategy we’d outlined – to become a coaching company that happens to have clubs and support people in achieving their goals, wherever they choose to work out
People
HCM people

Dan Bond

Owner, CrossFit Fort Ashton
We’d explained leading up to the lockdown that if everyone decided to freeze or cancel, then there would be a possibility of not having a gym to come back to
People
HCM people

Debra Wein

founder and CEO, Wellness Workdays
I’ve always felt that if individuals had more education and understanding of nutrition and healthy lifestyle principles, we could literally change lives
Features
US stats
52 per cent of members who work out at least 12 times a month said they were ‘very likely’ to return
Features
Finance
Change is coming, with consolidation likely in the market – especially in the boutique sector. Nadim Meer advises operators how to position themselves for investment
Features
Strength
Fitness enthusiasts are on the hunt for new ways to elevate their workouts. Fusion fitness is fitting the bill by making strength training more accessible
Features
Supplier showcase
Speedflex has created a synergistic partnership with Everyone Active to deliver a new boutique concept – FORTIS Powered by Speedflex
Features
Statistics
IHRSA’s Kristen Walsh gets a briefing from Blair McHaney on how operators can use gym member insight to inform reopening decisions and practices
Features
The way I see it
As Technogym launches its new virtual and on-demand services, Francesco Arlotti, head of digital solutions, shares his thoughts with HCM
Features
Immunity
Finding the best ways to boost immunity using exercise has never been more important. Two fitness equipment developers have taken up the challenge, with protocols that assist in strengthening the body’s defences
Features
Latest News
Planet Fitness' share price on the New York Stock Exchange has remained steady at between ...
Latest News
Two of the largest health club operators in the US have announced that members and ...
Latest News
If you're a personal trainer working in the UK, you can now get online PT ...
Latest News
A member of SAGE, the government’s independent group of scientific advisers, has said gyms, pubs ...
Latest News
Following approval to build a £250mn wellbeing resort in Manchester, Therme Group has revealed plans ...
Latest News
Europe's largest gym chain, Basic-Fit, has provided the European fitness sector with some optimism, after ...
Latest News
DW Sports is going into administration saying it's working to save its 73-strong gym portfolio. ...
Latest News
The American Council on Exercise (ACE) is urging US Congress to pass a new law ...
Opinion
promotion
Evidence suggests that over many years personal trainers have been forced to leave the fitness industry because employment patterns are erratic, earnings are inconsistent and it is difficult to build up value needed to secure an appropriate lifestyle.
Opinion: Personal trainers need support as employment opportunities diminish: FREE webinar Thursday 6 August
Opinion
promotion
Data-driven businesses are some of today’s greatest global success stories, providing blueprints for success.
Opinion: Up your ‘data game’ to successfully relaunch your fitness business
Featured supplier news
Featured supplier: Let's get restarted: Physical Company offers advice on keeping gym members safe
As countries around the world gear up to relax their lockdown rules, there remains a question mark over gyms and studios, which in many markets will be one of the last sectors to be given the green light.
Featured supplier news
Featured supplier: Fisikal chosen as tech partner for ‘JP4’; new health app from fitness expert, Jessie Pavelka
Fitness expert and television host, Jessie Pavelka has collaborated with Fisikal, experts in digital management solutions, to create the new JP4 app, a premium 12-week personal health and fitness transformation programme that takes the user on a journey of change through four key elements of health.
Company profiles
Company profile: Volution
Volution uses data to connect the digital with the physical and partners with health and ...
Company profiles
Company profile: Harlands Group
Harlands Group is the leading provider of membership management services to leisure operators, processing over ...
Supplier Showcases
Supplier showcase - Speedflex
Catalogue Gallery
Click on a catalogue to view it online
Directory
Gym flooring
REGUPOL/Berleburger Schaumstoffwerk (BSW): Gym flooring
Spa software
SpaBooker: Spa software
Flooring
Total Vibration Solutions / TVS Sports Surfaces: Flooring
Whole body cryotherapy
Zimmer MedizinSysteme GmbH / icelab: Whole body cryotherapy
Skincare
Sothys: Skincare
Direct debit solutions
Harlands Group: Direct debit solutions
Locking solutions
Monster Padlocks: Locking solutions
Fitness equipment
Healthcheck Services Ltd: Fitness equipment
Independent service & maintenance
Servicesport UK Limited: Independent service & maintenance
Trade associations
International SPA Association - iSPA: Trade associations
Property & Tenders
Waltham Abbey, Essex
Lee Valley Regional Park Authority
Property & Tenders
Diary dates
21-24 Sep 2020
Loews Coronado Bay Resort, Coronado, United States
Diary dates
21-24 Sep 2020
Messe Stuttgart, Germany
Diary dates
22-23 Sep 2020
Heythrop Park, United Kingdom
Diary dates
17-23 Oct 2020
Pinggu, Beijing, China
Diary dates
03-06 Nov 2020
Online,
Diary dates
27-28 Nov 2020
Athena, Leicester, United Kingdom
Diary dates
23-26 Feb 2021
IFEMA, Madrid, Spain
Diary dates
03-04 Mar 2021
NEC, Birmingham, United Kingdom
Diary dates
03-06 Jun 2021
Expo Centre & Riviera di Rimini, Italy
Diary dates
16-17 Jun 2021
ExCeL London, London, 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
Sign up here to get HCM's weekly ezine and every issue of HCM magazine free on digital.
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
Planet Fitness' share price on the New York Stock Exchange has remained steady at between ...
Latest News
Two of the largest health club operators in the US have announced that members and ...
Latest News
If you're a personal trainer working in the UK, you can now get online PT ...
Latest News
A member of SAGE, the government’s independent group of scientific advisers, has said gyms, pubs ...
Latest News
Following approval to build a £250mn wellbeing resort in Manchester, Therme Group has revealed plans ...
Latest News
Europe's largest gym chain, Basic-Fit, has provided the European fitness sector with some optimism, after ...
Latest News
DW Sports is going into administration saying it's working to save its 73-strong gym portfolio. ...
Latest News
The American Council on Exercise (ACE) is urging US Congress to pass a new law ...
Latest News
Equipment giant Technogym has introduced its new Excite line of fully-connected cardio kit that has ...
Latest News
Global spa consultancy and contract management company, Resense, is set to unveil Asia’s first boutique ...
Latest News
Gyms, health clubs and swimming pools in Scotland have finally been given an "indicative" time ...
Opinion
promotion
Evidence suggests that over many years personal trainers have been forced to leave the fitness industry because employment patterns are erratic, earnings are inconsistent and it is difficult to build up value needed to secure an appropriate lifestyle.
Opinion: Personal trainers need support as employment opportunities diminish: FREE webinar Thursday 6 August
Opinion
promotion
Data-driven businesses are some of today’s greatest global success stories, providing blueprints for success.
Opinion: Up your ‘data game’ to successfully relaunch your fitness business
Featured supplier news
Featured supplier: Let's get restarted: Physical Company offers advice on keeping gym members safe
As countries around the world gear up to relax their lockdown rules, there remains a question mark over gyms and studios, which in many markets will be one of the last sectors to be given the green light.
Featured supplier news
Featured supplier: Fisikal chosen as tech partner for ‘JP4’; new health app from fitness expert, Jessie Pavelka
Fitness expert and television host, Jessie Pavelka has collaborated with Fisikal, experts in digital management solutions, to create the new JP4 app, a premium 12-week personal health and fitness transformation programme that takes the user on a journey of change through four key elements of health.
Company profiles
Company profile: Volution
Volution uses data to connect the digital with the physical and partners with health and ...
Company profiles
Company profile: Harlands Group
Harlands Group is the leading provider of membership management services to leisure operators, processing over ...
Supplier Showcases
Supplier showcase - Speedflex
Catalogue Gallery
Click on a catalogue to view it online
Directory
Gym flooring
REGUPOL/Berleburger Schaumstoffwerk (BSW): Gym flooring
Spa software
SpaBooker: Spa software
Flooring
Total Vibration Solutions / TVS Sports Surfaces: Flooring
Whole body cryotherapy
Zimmer MedizinSysteme GmbH / icelab: Whole body cryotherapy
Skincare
Sothys: Skincare
Direct debit solutions
Harlands Group: Direct debit solutions
Locking solutions
Monster Padlocks: Locking solutions
Fitness equipment
Healthcheck Services Ltd: Fitness equipment
Independent service & maintenance
Servicesport UK Limited: Independent service & maintenance
Trade associations
International SPA Association - iSPA: Trade associations
Property & Tenders
Waltham Abbey, Essex
Lee Valley Regional Park Authority
Property & Tenders
Diary dates
21-24 Sep 2020
Loews Coronado Bay Resort, Coronado, United States
Diary dates
21-24 Sep 2020
Messe Stuttgart, Germany
Diary dates
22-23 Sep 2020
Heythrop Park, United Kingdom
Diary dates
17-23 Oct 2020
Pinggu, Beijing, China
Diary dates
03-06 Nov 2020
Online,
Diary dates
27-28 Nov 2020
Athena, Leicester, United Kingdom
Diary dates
23-26 Feb 2021
IFEMA, Madrid, Spain
Diary dates
03-04 Mar 2021
NEC, Birmingham, United Kingdom
Diary dates
03-06 Jun 2021
Expo Centre & Riviera di Rimini, Italy
Diary dates
16-17 Jun 2021
ExCeL London, London, United Kingdom
Diary dates
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