Member retention has become the focus of health clubs in their search for greater profits and better margins. Clubs, large and small, now have several options, from front desk software to active greeters, all designed to enhance retention. However, the most profitable retention tools already exist in most health clubs and more often than not are being severely underutilized.
Imagine if your personal training department could increase membership retention by as much as 60 percent. Now imagine if this same personal training department had monthly revenues that rivaled your membership dues. Would you consider this as a worthwhile revenue and retention system? You bet you would!
Statistics show that retention increases by as much as 60 percent for those members who have contact with a trainer as little as four times during their first month of membership. Furthermore these members have a much higher conversion rate into training sessions than those that are haphazardly approached on the floor.
Does your facility have a systematic program in place in which every member is given the opportunity to work with a trainer at least four times? Does your facility promote member orientation through trainer interaction? If not, then you could be losing quite a bit of revenue.
The most successful health clubs have the most successful personal training departments. This is not by accident, but rather by design.
Let’s examine four proven methods used to generate more revenue and increase member retention through your training department:
1. Recurring EFT programs. The general public has embraced the use of recurring billing, or monthly EFT (Electronic Funds Transfer), as a more convenient and practical method of payment. More and more businesses are now offering recurring payments as part of their business model. This has proven to be very successful within the personal training sector, as most people do not have the means, or desire, to pay several thousands of dollars for personal training services up front. Using recurring billing allows the client to pay for a fixed number of sessions per month on an ongoing basis. This also benefits the trainer since they no longer have to feel as though they are forced to “sell” training to the same person month after month.
2. 30-minute sessions. These days many of your members are pressed for time. The 30-minute session answers the cry for an effective fitness program for those onthe- go members. The 30-minute session is also a budget-friendly alternative to higher-priced 60-minute sessions. This essentially allows you to engage more of your members, and ultimately translates into increased revenue and greater member retention.
3. The assistant buyer. Personal trainers are “walking revenue machines.” Encourage your trainers to become the assistant buyer to prospective clients rather than a salesperson. Teach them to “soft sell” the members on the benefits and values of personal training. Armed with the skills to effectively present and influence members, personal trainers will prove to be one of the greatest assets to your club’s revenue stream.
4. Creative program presentation. People love options, and having several creative program options for your members to choose from will increase the likelihood of them purchasing a personal training program. If your personal training department is only selling a handful of sessions at a time and has penetrated less than 15 percent of your active membership base, it may be time to revisit your approach to personal training. Offer programs such as 30- minute sessions, monthly and bi-monthly maintenance programs, and creative payment structures to entice members regardless of their budgets or time limitations. This will ultimately increase your retention and revenue.
The public has many options when it comes to choosing a health club that is right for them. How will you gain and retain these new members for the long haul? What service or unique benefit do you provide that your competition does not? What role does your staff play in member retention? These are the questions that you must address in order to ensure that your business thrives.
Remember that people may buy on emotion, but will stay because of quality service and results. Your personal training department is there to do just that — provide quality service and results. Empower your trainers with the skills they need to convert members into clients. Teach them to offer creative program options. Involve them in the retention and revenue numbers, and reward them for a job well done.
Bedros Keuilian is the Founder of Hitech Trainer. He can be contacted at 877.205.3448, or by email at bkeuilian@hitechtrainer.com, or visit www.TheArtOfSellingFitness.com.