member
retention part 2
GET THE MEASURE OF IT
Melvyn Hillsdon looks at how clubs can measure the
effectiveness of their retention interventions, and
explains the best ways to keep members coming back
I
n part one of this series, we
focused on defining the problem
of retention and attrition, as
well as on sales and marketing
strategies for increasing retention and
decreasing attrition. In part two, we’ll
focus on retention interventions and
how to measure their effectiveness.
T
OGRAPHY
From existing industry research, we’ve
established that retention is associated
with the frequency of club visits and the
frequency with which fi tness staff talk
.COM/EREL PHO
to members; any retention intervention
T
O
should attempt to reduce the number of
members who visit the club infrequently,
OCKPHO
and to maximise the number of
interactions between staff and members.
© IST
Once an intervention is decided on,
we need to evaluate its effectiveness.
There are two kinds of evaluation Do induction uptake, visit frequency or interaction frequency vary by sex at your club?
that should be undertaken. The fi rst
is process evaluation – this tells us if These questions would lead us When considering purchasing a
the intervention is being delivered as to measure induction uptake, visit system, there are a number of key things
intended, with whom and when. The frequency and interaction frequency as to look out for, such as:
measures used in process evaluation KPIs. We would also be interested to
are usually what people refer to as key know whether these three indicators
1
Can the system record customer-
defined process measures such as
performance indicators (KPIs). The vary by the age and sex of members, inductions, interactions and visits?
second type is outcome evaluation, and perhaps by the type of membership.
which tells us whether our intervention Finally, we’d want to know the date of
2
Does the system record the date
of these events and, in the case of
has led to a change in retention. these events, as it’s possible the timing inductions and interactions, can it
of their occurrence is important (eg record who conducted them?
process and outcome should you interact early or later in the
In order to identify appropriate KPIs, we membership?) These measures would
3
Does the database automatically
synchronise with the membership
need to ask a number of clear questions. form the basis of our process evaluation. database that holds data on other
These might include the following: The outcome measures would be the member characteristics (age, sex etc) as
1
Is a fitness induction associated four indicators of retention and attrition well as join dates, membership status
with visit frequency in the first 12 described in part one of this series, and cancellation dates?
weeks of membership? namely the retention rate, the attrition
2
Is 12-week visit frequency rate, the risk rate and the lifetime value.
4
Does the system measure retention
and attrition using the methods
associated with retention? described in part one of this series?
3
Is a fitness induction associated system selection
with 12-month retention rates? Measuring who gets an induction, visit Points 1–3 are critical if any kind of
4
Do fitness staff interactions change frequency and interactions isn’t a pen process evaluation is to be undertaken,
visit frequency? and paper exercise – some sort of while point 4 is required if the
5
Are fitness staff interactions software will be required. For system effectiveness of any intervention is to be
associated with retention? information, see HCM April 09 (p69–71). properly measured and understood.
september 2009 © cybertrek 2009 Read Health Club Management online 45
healthclubmanagement.co.uk/digital
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