Gyms and tanning beds have gone hand-in-hand for years, and the reasoning behind this fact lies with profit and convenience. After all, tanning is an in-demand service. For many clubs, it makes more business sense for members to conveniently tan at the club than go elsewhere, therefore boosting ancillary revenue.
Steve Strickland, the co-founder of Workout Anytime based in Atlanta, Georgia, wanted to offer tanning at his franchise locations for exactly this reason — as a membership upsell. In all but two of the franchise’s 65 clubs, tanning is offered.
A basic membership at Workout Anytime costs $15 per month, which includes unlimited 24/7 access to the club’s fitness facilities. However, for $10 more ($25 per month), members can purchase a premium membership, which includes unlimited access to fitness, tanning and HydroMassage. About 50 percent of Workout Anytime’s members choose the premium membership.
Although the initial cost of a tanning bed can be expensive (most beds average between $1,500 and $4,000), in the long-term, tanning beds can be worth the initial investment. Once purchased, up-keep on tanning beds is minimal, as long as you invest in a quality product.
When Strickland first started Workout Anytime, he said he made the mistake of investing in cheaper tanning beds in order to cut costs. “It didn’t work,” he said. “The only way tanning works as a profit center is if you put in good equipment.” That way, members actually want to tan within the club and upkeep costs are minimized.
Now, Workout Anytime installs Ergoline’s brand of tanning beds into each location, which Strickland said he is happy with. “It’s really top-notch equipment,” he said. “You get what you pay for.”
According to Strickland, giving premium members access to both tanning and HydroMassage has been a great move. “Not everyone wants to tan, and not everyone wants HydroMassage,” he said. “It’s been a very good combination.”
Although indoor tanning can be risky to one’s health if overdone, the reality is that many health club members will take advantage of tanning as an amenity if it’s offered.
If tanning is offered at your club, Strickland warned to keep abreast of regulations, as due to health risks, indoor tanning can be subject to stringent regulation. “We follow all of the guidelines and in every state it’s different,” he said. “We pay close attention to detail.”
Considering indoor tanning is an estimated $5 billion industry, it’s a burning issue to ponder for your club.
By Rachel Zabonick
