You have data. Lots of it. That’s a good thing. It means you have your CRM software in place that’s collecting reams of information that can help you devise sales and marketing strategies to grow membership and increase retention rates.
The problem is that many health clubs, like other businesses, have become too focused on simply collecting and storing data. Information overload can weigh down even the most nimble of operations, even if you have a workable analytics framework. There are just too many numbers, too much statistical noise to sort through.
According to research by the Harvard Business Review, today’s companies rely on an average of six times as many performance metrics as they did in 1955. “Back then, CEOs committed to four to seven performance imperatives,” writes Yves Morieux in HBR. “Today they commit to 25 to 40. And many of those requirements appear to be in conflict….”
Business analysts have a name for this data deluge: the “complexity trap.” And it’s starting to become a serious—sometimes even fatal—problem for companies of all sizes.