From youth swim programs to guest passes, operators are building profitable non-dues revenue streams that meet member needs and strengthen the bottom line.
While membership revenue remains strong for some, many fitness clubs are finding non-dues revenue isn’t just helpful — it’s essential. Between rising costs and shifting member behavior, clubs are leaning on other forms of revenue to stay profitable and competitive.
In the latest Thought Leaders panel, club operators from across the country shared how they’re generating meaningful revenue beyond dues and what opportunities they’re watching next.
Jarod Cogswell, the general manager at Life Time Boulder, emphasized how personal training isn’t just a program for them, but rather a business. The club’s most profitable non-dues revenue stream is training and related services, including assisted stretching.
Their personal training program not only benefits Life Time’s member retention and profit but benefits the members by helping them reach their goals. Cogswell said Life Time runs complimentary stretching sessions that allow members to experience the service at no added cost.
Racquet sports are also a consistent stream of revenue. Jeff Linn, the executive director at the Weymouth Club, shared that his club generates over $3.5 million annually in racquet sports gross revenue, with each court averaging about $275,000. But according to Linn, there’s another space generating more profit per square foot — the shallow end of the pool.
Baby swim programming earns the club around $400,000 each year, and the only space used is one end of the pool. “If you have a pool and you’re in the family market and not doing youth swim and group programming, you’re missing the boat big time,” said Linn.
At the Rochester Athletic Club, Brent Frueh, the general manager, said guest pass sales are extremely profitable, generating over $250,000 with high demand. With one price point for guests coming with members and another for guests who come alone, Frueh said the sales have been surprisingly profitable.
Recovery services are playing a large role in non-dues growth as well. At Life Time, access to a wide range of recovery tools — including CryoLounge chairs, HydroMassage beds, compression therapy and more — is built into the membership model. The Weymouth Club has a different approach: access to a dedicated recovery space is only available through a premium tier priced at $39 per month. The tier includes a range of perks beyond recovery, including a guest pass each month and 10% off birthday parties.
On the operations and management side, every panelist emphasized the importance of accountability. Each department has a clear leader — someone responsible for driving both participation and revenue. Cogswell emphasized the importance of leaders being front facing.
“Our personal training leader isn’t somebody behind a screen all day and just making calls,” said Cogswell. “They’re in the trenches and being the example of what it takes to be a successful leader.”
Looking ahead, panelists were optimistic about the future of non-dues revenue — not just as a financial tool but as a way to meet evolving member needs. Cogswell noted the shift toward performance optimization with members wanting to feel better, recover faster and stay active longer.
“We’re in the energy business,” said Cogswell. “We provide motivation, inspiration and accountability every single day. And we need to live that ourselves. We need to be role models for that. I’ve seen a lot of operators from the past forget their passion for fitness and the purpose of why we’re in this, and that’s impacting lives.”
Linn encouraged operators to keep investing in the core membership experience while layering in strategic add-ons that enhance it. He pointed to ongoing renovations; facility upgrades and bundled benefits as ways to build value and improve retention.
Frueh emphasized decisiveness and experimentation. He noted that there’s no revenue stream guaranteed, but the clubs that make progress are the ones that stay curious and take action.
Ultimately, the panelists made it clear that non-dues revenue is no longer just a nice addition, but a strategic way to serve members more fully while strengthening the bottom line. Whether it’s by expanding recovery options, offering youth programs or adding a grab-and-go station, the most effective ideas are the ones that meet a real need and fit the club’s strengths. As member interests continue to evolve, clubs that are willing to adapt will be well-positioned to deliver more value, both now and in the future.