The panel debates around the Xplor attrition report have brought leavers into focus again for the industry. This is great timing, given we expect more members will to be looking to cancel in the coming months. In addition to seasonal trends, the war on attrition is likely to step up a gear as the financial crisis intensifies and people look to tighten their financial belts (and loosen their physical belts as a result!)
We’re going to cover some of the data you should be collecting on leavers, particularly reasons and feedback, and then look at ways of saving members who want to cancel.
However, when members cancel, lots of clubs still stick their heads in the sand. If nothing else, it’s important to look at why and how members cancel. And to state the obvious, why and how are separate questions. Why is the reason (or excuse) that a few of your leavers tell you, or you find out through a call, cancellation form, or survey. How is the method, often cancelled at bank or payment failed, occasionally by letter, message, phone call, or in club.
Defining or giving leavers options for the how (method) is good practice, and could be published in your policy, Ts&Cs, or on your website. Many subscription services give customers one ‘choice’ only – they have to call and speak to someone, which is frustrating for the customer, and means they’re less likely to return in future. If you make it super simple to join or sign-up (e.g. online), then you should also make it easy to leave too. The majority of fitness members cancel at the bank, which causes extra admin and often fees too. Making it easier to cancel and specifying how members can do this (options) will reduce the admin and fees, and help you with the next part, finding out the why.
There are lots of different ways to discover why a member wants to cancel, but a prompt conversation with the member is the best. In the same way that you might respond to a new lead within an hour, you should respond to a cancellation request in a timely manner, perhaps as a service level in your cancellation policy. The first point of the conversation (call, chat, message) should be to find out the why, as this will define what happens next. You also want to get feedback or any other information that will help your club to improve.
Collating all this information in one place is vital so that you can review reasons and feedback and make improvements to reduce future drop-out. It’s important that the member understands this; it shows you care about them and about the club. This is the primary reason for asking for this information, so you can make things better for all your current members.
The secondary reason to find out the why for each individual leaver is so you can try to save them. Depending on their answer, you hopefully have a few options that might keep them engaged. Here are some ideas, please feel free to share your own in the comments below.
The Attrition Battle
We’ve talked about bringing absentees back in the last article (8/15). If you ignore your absentees, they’re more likely to leave, so the key message was to do something to try to bring them back. Even imperfect action is better than perfect inaction.However, when members cancel, lots of clubs still stick their heads in the sand. If nothing else, it’s important to look at why and how members cancel. And to state the obvious, why and how are separate questions. Why is the reason (or excuse) that a few of your leavers tell you, or you find out through a call, cancellation form, or survey. How is the method, often cancelled at bank or payment failed, occasionally by letter, message, phone call, or in club.
Defining or giving leavers options for the how (method) is good practice, and could be published in your policy, Ts&Cs, or on your website. Many subscription services give customers one ‘choice’ only – they have to call and speak to someone, which is frustrating for the customer, and means they’re less likely to return in future. If you make it super simple to join or sign-up (e.g. online), then you should also make it easy to leave too. The majority of fitness members cancel at the bank, which causes extra admin and often fees too. Making it easier to cancel and specifying how members can do this (options) will reduce the admin and fees, and help you with the next part, finding out the why.
There are lots of different ways to discover why a member wants to cancel, but a prompt conversation with the member is the best. In the same way that you might respond to a new lead within an hour, you should respond to a cancellation request in a timely manner, perhaps as a service level in your cancellation policy. The first point of the conversation (call, chat, message) should be to find out the why, as this will define what happens next. You also want to get feedback or any other information that will help your club to improve.
Collating all this information in one place is vital so that you can review reasons and feedback and make improvements to reduce future drop-out. It’s important that the member understands this; it shows you care about them and about the club. This is the primary reason for asking for this information, so you can make things better for all your current members.
The secondary reason to find out the why for each individual leaver is so you can try to save them. Depending on their answer, you hopefully have a few options that might keep them engaged. Here are some ideas, please feel free to share your own in the comments below.
Downgrade to a Health Seekers Subscription
Visit once a month for a HealthCheck and coaching session. Continue to exercise at home, or outdoors, or make lifestyle changes. Get progress tracking and motivation from one of our coaches.
Ideal for members who aren’t visiting ‘enough’, too busy, don’t have time, or are thinking of joining another club.
Ideal for members who aren’t visiting ‘enough’, too busy, don’t have time, or are thinking of joining another club.
Bring a Workout Buddy
Need more motivation? We’ll cover the cost for you to bring a friend down for the next month. If they join, we’ll pay for your next month’s membership, once they’ve been a member for x months.
Perfect for members who’ve lost their mojo, or need someone else to motivate them to visit more regularly. Yes, you’re ‘giving away’ a month or two’s membership, but that’s better than the member cancelling today.
Perfect for members who’ve lost their mojo, or need someone else to motivate them to visit more regularly. Yes, you’re ‘giving away’ a month or two’s membership, but that’s better than the member cancelling today.
Suspension or Membership Freeze
If a member is unable to visit, injured, or finding it hard to keep up with payments, a membership freeze is a common option. It’s also a good suggestion for members who want to cancel over the summer as they play outdoor sports or other activities. If a health seekers subscription does not appeal, a freeze could help keep them from leaving. Agree the term up front, communicate throughout, and invite them back early.
If you manage to save (or freeze) a membership, they will need extra attention in the coming months. Be sure to focus on communications, monitor their visit frequency, and treat them as high risk to ensure they don’t lapse again.
If you manage to save (or freeze) a membership, they will need extra attention in the coming months. Be sure to focus on communications, monitor their visit frequency, and treat them as high risk to ensure they don’t lapse again.
‘Loyal’ leaver bonuses
It's also worth considering length of membership with your leavers. If someone is cancelling after 5 or 10 years of membership, you might offer 3- or 6-months’ worth of HealthChecks or other services as a thank you. Keep them engaged, visiting every now and then, and you’ll have more chance of getting them back. A member cancelling after just 1 year might not get the same offer.
A final note, Free PT is worth very little, especially to people who have never shown an interest in paid for PT. Free is a four-letter word. A free month is somehow worth even less, especially to someone who isn’t visiting much already.
A final note, Free PT is worth very little, especially to people who have never shown an interest in paid for PT. Free is a four-letter word. A free month is somehow worth even less, especially to someone who isn’t visiting much already.
Tailor your leaver ‘offers’ or save strategies based on the why people are leaving, perhaps their original goal, and maybe their leave method (how). By having a limited handful of strategies, you can track how successful each approach is at saving leavers, and adapt or change to improve. For example, I know lots of clubs who offer Free PT and Free guest passes to leavers… none of them have much success at all!
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