Industry’s North American Benchmark is an NPS of 43
BOSTON, MA -- February 26, 2015 -- Today, the International Health, Racquet & Sportsclub Association announced that the latest Net Promoter Score® (NPS®) for the North American health club industry is 43. The score is based on responses from 102,787 health club members.
IHRSA conducts the survey in partnership with The Retention People (TRP), a major research firm that specializes in health club member retention and loyalty. IHRSA member clubs can participate in the IHRSA-TRP member loyalty survey at no cost (a $1,500 value).
“The Net Promoter Score® provides health club operators with a very powerful view of their business and their members’ loyalty,” said Jay Ablondi, IHRSA’s executive vice president of global products. “In partnership with TRP, IHRSA is pleased to offer this powerful tool to member clubs. From it, they can see not only how members feel about their club, but why they feel the way they do. This is critical to fostering bottom line growth, improving retention and reducing attrition.”
He also says that the NPS® survey continues IHRSA’s long-standing tradition of industry benchmarking, and noted the significant increase in sample size from 2013 to 2014 gives club companies an even more accurate benchmark. “Beyond establishing an industry specific benchmark to compare their scores against, the NPS® should also help club operators better understand and facilitate member loyalty. Measuring how their members feel about their club allows operators to manage those feelings and turn more members into raving fans.”
In the NPS® survey, health club members were asked to rate, on a scale of 0-10 (10 being the most likely), how likely they were to recommend their club to a colleague or friend. Respondents who gave a 0-6 rating were deemed “Detractors,” 7-8 were “Passives” or “Fence Sitters,” and 9-10 were “Promoters.” To calculate the overall NPS, the total percentage of Detractors (14%) is subtracted from the total percentage of Promoters (56%), resulting in a score of 43 for the health club industry.* A score of 43 indicates that for every 100 members of North American health clubs, there are 43 more promoters than detractors. The survey also allows members to leave feedback in an open comments section.
The NPS® is used in numerous industries, and most notably by leaders in customer loyalty like Apple, Amazon and Harley Davidson.
“When partnering with IHRSA, we asked ourselves, how can we make IHRSA clubs stand above the rest? One answer is to improve member loyalty, and the Net Promoter Score® is the ideal tool for doing so,” says Phil Bonomo, director of the TRP North America.
Meanwhile, in the United Kingdom, the health club industry received a score of 27, and is based on responses from 290,319 health club members, with 47% promoters and 20% detractors.
IHRSA members interested in participating in the IHRSA-TRP member loyalty survey can visit ihrsa.org/retention for details.
*Please note the NPS® system rounds to the nearest whole number.
The International Health, Racquet & Sportsclub Association is a not-for-profit trade association representing more than 10,000 health and fitness facilities, gyms, spas, sports clubs and suppliers worldwide. Its mission is to grow, promote and protect the health and fitness industry. As one of the world's leading authorities on the commercial health club industry, IHRSA is the source of the world's only primary consumer research and industry economic and operating studies. For more information on IHRSA research, visit ihrsa.org/research. IHRSA and the health club industry will convene in Los Angeles, California from March 11-14, 2015 for IHRSA's 34th Annual International Convention & Trade Show. For more information, visit ihrsa.org/convention.
About The Retention People
The Retention People (TRP) are leading researchers in health club member retention and loyalty. TRP uses research to drive the development of effective retention and loyalty solutions. These include software, training and consulting designed to help clubs improve the member experience. TRP works with club operators worldwide to create promoters of fitness brands and increase member loyalty. At IHRSA 2015 in Los Angeles, TRP will present on “Shaping the Industry: An In-Depth Exploration on Member Behavior,” on Wednesday, March 11, from 11 a.m. to 12 p.m.