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retention series


If people have a friend to work out with, they tend to remain as members


like a PT session or a spa treatment; sometimes we use the D2F gifts.” The scheme has been extremely successful for referrals, says Aucott, boosting them from 15 per cent to 30 per cent of monthly sales. “The member reward scheme also works for us from


REWARD SCHEMES D2F


All D2F’s systems are bespoke, so the end user feels as though they are dealing with the gym operator directly. D2F takes a set-up fee, builds the website on-brand and using the club’s images, and sets up the campaign. It can run as many campaigns as the operator wants. On receiving a voucher, members


go to the website to choose how they would like to redeem it. Popular options include experience days, shopping vouchers, trainers, iPods and smoothie makers.


E-Z RUNNER


Off-the-shelf and bespoke systems are offered. Loyalty points can be earned based on attendance, purchasing certain items, booking into certain classes and being a regular good payer. Points can then be redeemed for goods or services. Member information, such as aspirations or goals, can also be captured via the scheme. Members


a retention point of view, because if someone is exercising with a friend, they are more likely to stay,” he adds.


REWARDING ACTIVITY The best retention schemes reward members for activity – reaching a


Rewards can include classes...


pre-determined goal, for example, or attending a certain number of classes – rather than simply swiping in just to have a coffee at the club. The Gym Miles scheme (see information box, left) is one such scheme, and it allows members to accrue points that can be converted into shopping vouchers for use on the high street. According to EZ-Runner’s Shez


can then be targeted with specifi c loyalty campaigns.


GYM MILES When a gym signs up to the Gym Miles scheme, it provides all its members with a leisure card. Leisure card-holders participating in exercise can then earn points for being active. Activity levels are kept track of using the club management software system at the venue/s, or else cardholders can self-report home and outdoor exercise through the Gym Miles website. Users collect points through


exercise, with each point accrued worth 1 pence, which can be used at more than 250 national high street brands and supermarkets. Discounts and special offers are also offered to cardholders. An appealing part of this programme for the operator is that the administration charge – £1 per member, per month – is taken from the rewards account balance generated by the member, so there is no direct cost to the operator.


46 Read Health Club Management online at healthclubmanagement.co.uk/digital


Namooya, member reward schemes should also tie people in to be most effective: “Offering them a month free, for example, isn’t as effective as using the scheme as an opportunity to upsell other services such as personal training, exercise classes or a treatment. Member reward schemes can be a way of getting people to try out other services, without cheapening them by offering them up for free or heavily discounted.” EZ-Runner is currently working with an operator to develop an innovative concept based around using a reward scheme as a retention tool. Adopting a gaming theme, members will have to do a certain number of activities to achieve a specifi ed level – and once they reach that level, they access a raft of rewards. “It’s all about rewarding members for how active they are and the effort they put in,” says Namooya. Although as Tuck says, budgeting for such a scheme can be more challenging, Namooya believes reward schemes can pay for themselves in as little as three months in terms of increased retention and upselling opportunities. From the outset, he recommends building in


july 2012 © cybertrek 2012


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