Friday, 1 May 2020

Rising to the Challenge - Letter to HCM May 2020

The fitness industry is in a state of shock due to COVID-19. Two-thirds of the world’s gyms are closed, and 230 million members are unable to visit their clubs. But we are resourceful and resilient, and will fight to stay in business. 

You need a plan, and it needs to be flexible, to adapt as the situation changes.

Health Club Management Magazine May 2020

The good news? There’s more talk of fitness, health, and activity than ever before. Even Boris Johnson has been encouraging everyone to exercise (walk, run, cycle) once a day. Online workouts are flooding our social streams.

For operators, member retention is more important than ever and the number on every operator’s mind is member count.

Some cancellation rates are already at 30 per cent, regardless of whether membership fees are suspended. Many boutiques and independent clubs still collected April dues because members wanted to pay or there was a strong online product available, but this will change going forwards; business grants are starting to arrive for clubs, and members will need to tighten their belts

Engagement is vital


Communication is key to minimising cancellations. Not everyone will have opened or read your last email campaign. Keep in touch with all members using multiple channels – depending on your resources, systems and member demographic. Always follow-up your messages.

Measure engagement; email open rates, call outcomes, online class attendance, fitness challenge completion - and monitor cancellation attempts. Adjust your activity according to what works for your members.

Call everyone who cancels and find out how you can help them. Ask what they need. Show you care. It might be the first time you’ve called them, but it’s better than never calling.

One cancelled member who was called by a centre manager recently was so grateful, as they were self-isolating and it was the first conversation they’d had for a week.

This level of care could motivate them re-join in the future, or even re-instate their Direct Debit now, but that is not the objective of the call.

Digital evolution


Digital fitness is the way forward and the current situation is accelerating this exciting new phase for our industry. We must succeed or fail fast, learn and evolve when it comes to digital.

Tell everyone about your digital offering. What is it worth, and how can they access it.

More people want fitness solutions; not all want to visit a club, and some will stick with digital going forward.

Clubs will still be needed, while digital offerings will support and add value – extending the reach of gym memberships beyond the current 15 per cent.

Retention of the digital member can be even tougher because it’s easier to switch off a TV than a live instructor, as Joe Wicks found. His PE class ‘attendance’ declined from 6.4 million viewers in week one to 1 million in week three.

Joe’s doing a great job, but the drop-off shows the importance of accountability, gamification and nudges for engagement.

Some digital gym members will develop into full members; but this will not be the journey for all. Retaining the rest, rather than converting them, will be a new challenge.

There is a plethora of online fitness content available now, but we need to work on engagement more than ever before.

Positive Vibes for Difficult Times


The fitness industry has been knocked down, but will get back up again, stronger and fitter than ever!

This is a letter to Health Club Management, click here to read the whole magazine.

No comments: