the industry, says Russo. “Rates that are too low send the wrong message and make people question the quality and integrity of the service.”


What’s the right rate for you? There are several simple ways


to determine a starting rate or to compare your current rates to your competitors: • Talk to local colleagues who offer


similar services and cater to a similar demographic. • Survey competitors' websites or re-


quest pricing information. • Consult with industry associations


or a fitness industry consultant who understands your market.


What about discounting? It’s true that if your rates are per-


ceived as too high for your offering, you will be quickly passed over by some potential clients. But some personal trainers, with


empathic personalities and who are highly focused on helping people, tend to quickly discount their pricing at the first signs of resistance. Russo strongly suggests that train-


ers stick to their rates. “We can’t be all things to all people,” he says. “Not everyone can afford to shop at Whole Foods or visit a physiotherapist or chi- ropractor – but these businesses don’t drop their rates.” Instead of lowering your prices


when people ask for a preferred rate, be ready with alternative solutions to the problem. For example, offer a payment plan or suggest group training.


“Personal trainers are limited by the number of hours they can work. If your hourly rate is too low you’ll struggle to make a decent living, and this takes the joy away from doing a job that you’re really passionate


about.” Jeff Russo fitness club consultant


Be fair but bold with your hourly rate If you’d like to increase your train-


ing rate but are uncomfortable passing on the news to current clients or you fear scaring off new business, consid- er that thousands of trainers over the years have successfully bumped their rates. If you’re ready to boost your rates,


try these tips: • Give existing clients one last


chance to renew at their current rate for as many sessions as they like. • Offer more financing options. • Realize that new members won’t be


aware of your old rates, so an increase won’t affect new sales.


The Snowball Effect of Low Rates


HERE ARE FIVE BIG ISSUES, ACCORDING TO GANDIA, WITH CHARGING RATES THAT ARE TOO LOW: 1. Low fees attract low-commitment clients who don’t see the value of your skills, experience and expertise.


2. These low-commitment clients will refer you to others like themselves. 3. Low fees show a lack of confidence in your work and your value, raise ques- tions about your abilities and scare off high-quality clients.


4. Trainers who charge low rates, start seeing themselves as a lower-value resource.


5. Trainers who charge low rates need to work harder to get more clients, which is a fast road to burnout.


How three clubs calculate their personal trainer fees


I


t’s always wise for personal trainers to check all the options before deciding to sign on with a club or to hang out their own shingle. We rank our personal trainers as Junior,


Intermediate, Senior or Expert, based on their credentials and experience, and this deter- mines their base training rate of $20 to $26 per hour. Trainers receive a $2 per hour increase for every 24 sessions they spend with the same client up to a maximum of $36 per hour. We pay 35% to 65% of the client’s fee to


our trainers with the average being about 50%. Our club’s personal training rates average about $55 per hour, so a Junior starts at 35% ($20 per session) while a Senior trainer with the same client for 4 x 24 sessions could fetch 65% or $36 per session.


Mike McPhee Barrie Athletic Club, Barrie, Ont.


W


“Always be thankful for the clients that you have, and always de- liver outstanding service,” says marketing consultant Ed Gandia. “But, at the same time, value yourself and your time. Differentiate yourself and demonstrate your value. Then be bold and bump up your fees with confidence and grace.”


W


e have moved to 30-minute sessions to make personal training more af- fordable for our clients and because


of the high volume of members in our clubs. We have four categories of trainers and they


earn $10 (Personal Trainer), $12.50 (Master Trainer), $15 (Elite Trainer) or $17.50 (Head Trainer) per 30-minute session. They also earn 3-7% of each personal training sale they make. (We have no sales associates.) They are also paid minimum wage for fitness assessments where they have the opportunity to make addi- tional personal training sales.


Wes Hodgson World Gym master franchisee, Canada


e have 18 personal trainers who are categorized as Level 1, Level 2 or Master Trainer, depending on their


level of education, qualifications and experi- ence. Our members pay $60, $67 or $82 per session (depending on the trainer’s level), and the trainer earns 65%, 67% or 70% of that fee (depending on the trainer’s level). Trainers are also compensated for fitness assessments, and payment varies depending on the length and complexity of the assessment.


Colin Hyland fitness manager Calgary Winter Club, Calgary


» July/August 2014 Fitness Business Canada 21


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