If you’re like most club owners, your margins are always being challenged by a volatile marketplace. While your membership dues are your bread and butter, you need your non-dues revenue to remain financially viable in this competitive atmosphere.
This is true whether you run a multipurpose gym, fitness-only center, an HV/LP club, or a higher end facility. Small group training (SGT), youth programming, recovery services, specialized classes, and personal training sessions are vital to your bottom line and financial health. You need to maximize your full range of offerings.
According to The 2019 IHRSA Profiles of Success, non-dues revenue as percentage of total revenue is an average of 28% for health clubs. Says the report: “Clubs reported earning nearly three out of every ten dollars from non-dues related services, i.e. personal training, Pilates, nutritional counseling, spa services, etc. Not only do non-dues revenues contribute to the bottom line, they historically have been linked to higher member retention.”
Data collected by The 2019 IHRSA Health Club Consumer Report shows that personal training draws about 15% of club members, and twice as many consumers engage in SGT than with one-one-one personal training. And that number is growing, especially with adults aged 25-34. This is the core age group for all club participation.
But this audience doesn’t have a lot of patience for friction points in the booking process. When buying goods or services, consumers will abandon your brand quickly when faced with obstacles during the scheduling or purchasing process.