The number one problem plaguing most health clubs isn’t lead generation, it’s getting the members to stay and pay longer. You might argue and say that it truly is traffic that you need, but I have seen time and time again that the more members you keep, the fewer new members you need.
The key to lowering that attrition rate is communication. You absolutely must maintain a strong bond with your members in order to keep them loyal to you and to keep them from checking out the greener grass promised by your competitors.
A simple hello goes a lot further than you might think. When someone checks in at your facility, make sure someone greets him or her every time, without exception. If possible, that person should strike up a conversation, even if it is small talk.
Managers and personal trainers need to constantly be walking the floor, chatting with members, assisting when necessary and spreading a good time vibe throughout the club.
If a member hasn’t visited in a couple of weeks, make sure you have a tracking system in place and assign your sales people or front desk staff to follow up with them to help keep them motivated. A good strategy to get you started with this process is to set aside one day per month for your staff to follow up with any member who has not visited the previous month.
Never forget that your newest members are the most important members with whom you need to establish a strong line of communication. The first 30 days of membership are the most critical in the development of member loyalty.
Send greeting cards and thank-you cards for all occasions. You might think that this is a cost; I would argue that it is a solid investment. Let’s assume you have 1,000 members and you charge on average $40/month. Let’s also assume you are aggressive in your mailing efforts and you send every member a letter in the mail once per month at a cost of 50 cents each.
If due to that letter you get 20 percent of your members to stay only one month longer than they would have without the letter, you will receive an additional $8,000 revenue on a total yearly investment of $6,000. I would guess that more than 20 percent of your members will stay more than a single month longer due to your outreach efforts.
And think of all the opportunities to ask for referrals and offer upsells and announce special events with your monthly letter. The opportunities are limitless for increasing not only revenues, but also loyalty. Even those members who never come to the facility will at least feel justified in their investment because they see that you haven’t forgotten about them.
Don’t feel like spending that money? Then at least send an e-mail to your members once or twice a month. It’s not as meaningful as a tangible letter received in the mail, but the cost (free) is much easier for many club owners to swallow. You can send announcements, fitness tips, “we miss you” messages, or really anything you can think of. It’s the thought that counts, and it’s consistency that really makes the difference.
Be it a simple phone call, a letter, or an email, your members deserve your attention. Communicate with your members and you will see a marked difference in your retention rate.
Curtis Mock is the host of www.FitnessBusinessTelevision.com the TV show for fitness entrepreneurs. He is also the executive director of gymsuccess.com. Curtis can be reached at curtis@clubsolutionsmagazine.com.
