Part of the GGFaqs series: We’ve had a few questions asking if a club’s member attrition (rate of dropout) is good, and this is always an interesting topic for discussion. What most operators want to know is whether they are better than average…
Attrition rate is defined as:
The average number of members per thousand who cancel every month.
Firstly, there’s always some debate as to whether attrition is relevant. Attrition is a good measure because you can look at it regularly (say monthly) and get a gauge on performance. However, it can also be affected or skewed by a good sales month, as this increases the total members used to calculate the attrition percentage.