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Tuesday
Apr192016

Health Clubs Use ‘Net Promoter Score’ to Improve Member Experience

Imagine, for a moment, that every member of your club occupies a seat at your regularly scheduled management meeting. During the session, they offer their candid thoughts about how they feel— either better or worse—on a wide variety of club topics. Things such as which equipment they prefer; why they enjoy one particular cycling class more than others; who their favorite staff members are; and what you, the owner/operator, can do to provide them with an ideal member experience. 

Just a pipe dream, right? Not really. 

In fact, there is a feasible, technologically facilitated way to have members present, in a manner of speaking, at customer experience meetings, said Chris Werte, the director of marketing for The Retention People North America (TRP). The firm, based in Woodbury, NY, is a customer experience management software and solutions provider for the international fitness industry. 

And the answer to the member-in-the-meeting question? 

It’s called the Net Promoter Score (NPS), a customer satisfaction rating tool that TRP offers.

To learn more about NPS in action, CBI spoke with Jake Malzahn, vice president of production for Xperience Fitness, a chain of 13 multipurpose facilities in Menasha, WI.

CBI: Why did Xperience decide to track its NPS? 

Jake Malzahn: We wanted to give our members the best experience possible, but we didn’t have a way to track the results of the efforts we were making in detail and in depth. We’d been using attrition rates and membership lengths to gauge member loyalty; however, these metrics weren’t always insightful. NPS is a better, more detailed, representation of our members’ happiness. 

CBI: Have you seen improvements in your score? 

JM: Absolutely. We started a pilot program in 2013 at one location, and then installed the software at all our clubs the following year. Back then, in 2014, our company average was -9. By the end of 2015, it was +43, and increasing every month. 

CBI: Is the improvement in your NPS reflected in your clubs’ performance? 

JM: Yes, in two areas—member experience and employee satisfaction. With NPS, we know what our members want, and, therefore, can serve them better. I can’t prove a direct correlation, but I believe NPS has been of significant help in reducing our attrition rate. Now our staff can log on to an online scoreboard daily, and see, in real time, how the club is doing. By virtue of having that scoreboard, our engagement with customers has increased, and our employees go home at night knowing that they’ve made a difference.

Read the full "An Empowering Tool" article in the April issue of CBI.

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