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Health Club SUCCESS STORY: Gold's Gym – Delran

Contributing Author by Contributing Author
October 10, 2007
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Gold’s Gym – Delran, NJ

Location: 1060 Chester Ave. Delran, NJ 08075
Phone Number: 856.461.4653
Number of Members: 1,700

An interview with Chip Mitchell, General Manager of Gold’s Gym – Delran.

Background:
Gold’s Gym – Delran is a 16,000-square-foot, health and fitness club located in Delran, NJ. Members refer to the club as “their neighborhood gym” or “their local club” where everyone knows one another and the front desk greets you by first name. They have been there for 13 years and many members feel like family.

Gold’s Gym – Delran maximizes every inch of space they have with the latest strength and cardio equipment, plus an area for specialty training. They offer a large variety of classes, personal training, specialty workshops and orientations as part of their regular regimen.

Q: What is an area of your club that you wanted to improve upon?

A: Our juice bar was dormant and lacked excitement. We were not able to penetrate our membership population and provide a product that would complement their fitness goals. The lack of expertise on our part, and not thoroughly understanding the juice bar business and how to maximize its performance, left a void in our club that needed to be filled.

Q: Why was it important to improve your juice bar?

A: We were not able to provide our members with a service that would complement their fitness goals and differentiate our fitness club from the local competition. First and foremost, we pride ourselves on being a “total fitness solution” for our members. Secondly, from a fiscal perspective, we needed the juice bar to perform as a true profit center.

Q: What steps were taken so that your juice bar would perform like a true profit center?

A: It was decided to do a re-grand opening of our juice bar to create excitement about the products and services offered. After our planning and strategy meeting, we decided an expert was needed to assist us with our endeavor, since we lacked the knowledge. After consulting with a variety of juice bar service providers, we turned to Performance Food Center (PFC) to assist us.

Q: How did PFC Assist Gold’s Gym – Delran?

A: Performance Food Center’s knowledgeable staff, specifically our account rep, Jared Secrest, provided all the necessary training, products and support needed to implement our marketing strategy and increase our juice bar performance. We truly felt as though PFC had a vested interest in our effort, and they were with us every step of the way. We were able to establish performance goals that would prevent us from reverting back to our previous condition and allow us to increase our revenue stream. Their support continues to this day which allows us to maximize the performance of our juice bar services.

Q: What impact has this had on Gold’s Gym – Delran and your members?

A: Our juice bar is now a focal point of our club and was a catalyst for the renewed energy and excitement in our facility as a whole. It is a place for our members to get a nutritious product as well as to socialize and relax after a hard workout. The juice bar is also a great way to disseminate information to our members, and to gather invaluable feedback about our facility which allows us to stay a step ahead of the competition. To date, we have maintained a 20 to 25 % penetration of member check-ins on a daily basis (for every 100 check-ins, we sell 20 to 25 shakes) and we have increased our profit margin to over 55%. We now have a true profit center that contributes to the growth of our club and assists our members with their fitness goals.

The Bottom Line:

• Gold’s Gym – Delran is a 16,000-square-foot health and fitness club that was looking to improve their juice bar to penetrate their membership population.

• Gold’s Gym – Delran wanted to provide their members with a service that would complement their fitness goals and function as a true profit center.

• Gold’s Gym – Delran decided to do a re-grand opening of their juice bar and turned to Performance Food Centers (PFC) at www.pfccorp.com for assistance.

• Gold’s Gym – Delran now has a juice bar that is a focal point in their club, and with every 100 check-ins, they are selling 20 to 25 shakes which has increased their profit margin to over 55%.

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