NEW MEMBER JOURNEY - Health Club Management Article May 2013

It’s well known that the initial four to six weeks of membership are critical to building the exercise habit, and therefore key to member retention. Yet so many clubs still get this wrong. Once the sale is made, many think the hard work is over. In fact, it’s only just begun. Guy Griffiths reports, in the first of a three-part retention series 

“We sold 100 memberships last month!”
Great, how many of them are still visiting?
“Who cares? We have to hit 110 this month…” 

Health club operators invest so much in recruiting a new member that it's crazy to lose interest once they have signed up – and in principle at least, most operators know there should be an equal focus on retaining members, particularly just after they've joined. Yet in practice, clubs focus more and more on sales, particularly in today's economic climate and competitive market.

Do Something Before It’s Too Late

In tough financial times, many businesses concentrate so much on sales, that they often upset or overlook their existing customers. This pattern is particularly apparent in the fitness industry with clubs offering no joining fees, or undercutting each other on price to hit their monthly sales target, while members cancel after a few months.

Many clubs look at how many members cancel each month

Retention still not given the necessary attention by gyms - Health Club Management letter April 2013

Copy of letter published in Health Club Management magazine, April 2013 
Paul Bedford’s letter last month hit the nail on the head (HCM March 13, p6); there is a general lack of robust or clean member data in the industry, which can make retention analysis very difficult.

Two key factors for reduced focus on retention are the financial downturn, which increases pressure on sales, and new technology, such as social media, seen by some as the silver bullet for member engagement. The recession continues and shows no sign of abating, yet more new clubs are opening.

Engaging Surveys for Gym Members

Surveys are a great way of garnering opinion, but when used effectively, they can be a really great member engagement tool. They can help to reinforce the value of your membership, act as a forum for feedback, and even turnaround leavers or ex-members.

Is staff turnover higher at budget clubs?

We’ve been reading a lot about staffing in clubs, budget club staff turnover, and Personal Trainers lately on various blogs and LinkedIn groups (n.b. member only groups)

There is a perception that turnover of staff at budget clubs is higher than at other clubs, and that member attrition is also higher. Here’s why:
Member attrition is a well-known problem in the fitness industry. However, staff turnover is also an industry-wide issue, and poor member retention can be a symptom of the staff issue.

If we consider a ‘standard’ low-cost club model of minimal staff, long opening hours, automated member communication, centralised operations, it is a different environment than fitness professionals expect, or are used to.

Personal Training Aspirations

How do Personal Trainers help to deliver great member retention, and what can clubs and staff learn from them?

Many gym staff aspire to be personal trainers. Some are motivated by the ‘money’, but instructors who make the transition successfully are likely to be focused on interaction and getting results.

A Plethora of Cancellation Options / aka “I Got A Deal”

Our November post about TV media packages took us back to the cancellation story… There's more that gyms could learn from this, particularly after recent bad press about clubs not letting people out of contract.

So do you know anyone who has tried to cancel their Satellite TV/broadband/other subscription? It's simple enough to downgrade (at the end of the month), but terminating your contract can be a very interesting process.

Take Your Time Online – Control Your Social Networking

When it comes to being in control of your social media, lots of people, particularly small businesses have concerns over wasting time on social websites. I know several people who avoid social networks because they fear losing time, and I have coached a few folk on time management where social media has been identified as a focus.

Part of the problem stems from the fact that social networks were frowned on historically, and seen as ‘play-time’ in the corporate world.

However, social websites are becoming more accepted in the office;

The perfect gym induction – a little bit of what you fancy

We all know that the gym induction and initial exercise ‘programme’ is critical to member retention, but it’s surprising how many clubs still get this wrong. The “sign them up, get them in” culture in member sales seems to pass through to the gym staff. Rather than providing great customer service, we find ourselves processing members, ticking the box, and moving onto the next number.

Networking – how do you make it work?

What works for you when networking or meeting new contacts? Do you feedback to yourself what worked well, what you could do differently, and what actions you will take next?