feature heading

group exercise

MONEY MAKERS

Luke Tuchscherer looks at ways in which group exercise can be used to drive secondary spend

incur an additional fee. But are there other ways, besides charging extra for premium classes, that group exercise can be used to drive secondary revenue? We ask the experts

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milon industries uk

holm hofmann, business development manager

ncreasing your secondary spend involves one crucial activity: selling. Only businesses that offer a high

level of customer service will be able to sell to their clients and subsequently increase the yield from their members. In addition to training their staff in

customer service and sales, clubs that want to increase their secondary revenue stream should invest in the right training and exercise systems. Our circuit training system can be used to create ‘a club within a club’. The circuit, which functions as a continuous class, accommodates 40 people an hour, each getting a 35-minute workout. However, it takes up less than 42sq m (450sq ft) of fl oorspace.

april 2010 © cybertrek 2010

Thanks to the excellent training

experience and subsequent results, members are happy to pay a premium on top of their standard membership fee. In many cases, they also have to commit to a 12- to 24-month contract extension in order to join milon. This is the primary revenue stream. For example, The Marlow Club in Buckinghamshire has now upgraded 500 of its 2,400 members to milon, and this is providing the club with more than £3,000 a month in additional revenue. We also provide an array of secondary

revenue streams and cross-selling opportunities. It’s much easier to sell add-on products if they provide a direct benefi t to someone’s training, especially if these items are understood by the customer to be essential. For example, all milon equipment is heart rate monitor-compatible, which makes

Short circuit The 35-minute

milon circuit accommodates 40 people an hour and takes up less than 42sq m of fl oorspace

it possible to do heart rate-optimised precision training, and some milon clubs are selling heart rate monitors to up to 50 per cent of their members. In addition, since milon training

consists of a combination of CV and strength endurance, working out until muscle fatigue is reached, members are advised to have a recovery drink such as a protein shake within 40 minutes of fi nishing their workout. It’s not unusual for some 1,400-member milon clubs to sell 2,500 protein shakes a month. Additional secondary spend

opportunities include fl at-rate sports drink sales, drink bottles, sweat towels and nutritional and weight loss classes.

Read Health Club Management online healthclubmanagement.co.uk/digital 35

aximising revenue per member is key to a club’s profitability, and operators are always looking for ways to develop secondary revenue streams – personal training, food and beverage, retail, spa treatments, sometimes even classes that Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64  |  Page 65  |  Page 66  |  Page 67  |  Page 68  |  Page 69  |  Page 70  |  Page 71  |  Page 72  |  Page 73  |  Page 74  |  Page 75  |  Page 76