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| IHRSA Report | Ask the Entrepreneurs
Make the cash flow more
freely with these helpful tips
What do you plan to change in 2010 in order to improve
your club’s profitability?
u
BriAn HorscHEL, Owner
Body Renew Alaska, Anchorage, AK
“in the past, we’ve offered the first month (or part of the month) free as a closing tool. However,
most people expect to pay for the use of a club, and it was costing us too much money—an average
of $3,750 per months— o now we charge members right away. We’ve also implemented a
membership-processing fee, which covers the cost of our third-party billing company; the key
tag issued to each member for 24-hour club access; and the commission paid on the sale. Finally,
we’ll conduct monthly personal-training audits, which will reduce attrition in two ways: by
keeping our trainers feeling challenged and proud of their work, and by ensuring that our cus-
tomers receive a quality product that’s constantly being revised, renewed, and improved upon.”
—|
u
MAriAH PrussiA, Owner
Xtreme Measures Women’s Fitness Facility, Fargo, ND
“strengthening the foundation of our one-and-a-half-year-old business is a crucial element to
our success, now that most consumers have cut back on spending. Since it’s easier to satisfy
current members than to get new ones through the door, we’re designing a customized member-
retention program. We’re also enhancing staff communication, protocols, and training. In
addition, we’ll integrate specialized group programs and support groups—ranging from nutrition
to stress-management—at little or no cost to the club. Finally, the missing piece of the puzzle for
us in 2009 was the implementation of worksite wellness into local businesses. A main focus in
2010 will be to develop strong working relationships within our community.”
—|
u
DAViD BrEMEr, Spa Director
Williams Island Club, Aventura, FL
“ ‘Pay as you go’ is a growing trend that we cannot ignore in 2010. Uncertain of the future, members
who have traditionally purchased a series of 10 massages, for example, are now requesting a
series of three to five services. We’ll accommodate this demand. Also, while our club generally
operates on an annual membership basis, we’re now offering short-term “Discovery Pass”
memberships that range from two weeks to three months. We’re already converting approxi-
mately 33% of these “Discovery Pass” clients into regular members. Finally, we negotiated with
our service providers. Those that provide our equipment maintenance, cleaning, pool service,
and pest control have all agreed to keep our rates the same as in 2009.”
—|
Editor’s note: If you’d like to be profiled in this column, please contact Kristen Walsh, IHRSA’s senior editor, at kwalsh@ihrsa.org.
www.ihrsa.org | JANUARY 2010 | Club Business International 103
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