STOP SELLING MEMBERSHIPS to Increase Revenue and Retention!
Would you recommend a Dry Cleaner who burned 1 out of every 4 of your shirts? Of course not. Or a Dentist who chipped 1 out of every 4 teeth cleaned? Ouch! Yet for more than 25 years the fitness industry has accepted an average 24% annual member attrition1 as status quo. How many other industries would simply accept a 1-in-4 failure rate as “just the way it is?”
Marketing has evolved from guerrilla tactics to sophisticated digital campaigns with geo-targeting, social media communities and text blasts… but the underlying problem remains. No matter how you gift-wrap it, no one has really addressed the single biggest challenge to member retention: as soon as a member feels the facility is no longer worth the price… they leave. And the higher the price, the sooner this is likely to happen.
Face it, people simply don’t want to pay for something they aren’t using. A small percentage of people are highly motivated, but most are not – and virtually no one wants to pay and pay and pay for something they no longer see as “worth it!” Coupled with the knowledge that it costs 6x more to attract a new member than keep an existing one, member retention is one of the biggest challenges facing club owners & operators today. And the problem may not be your people, your program or your pricing… it may be your business model.
To finally address that age-old underlying attrition challenge, Synergy Cubed has developed P.U.R.E. MembershipTM: Personalized Usage RElationships, an innovative membership model that examines the club/member relationship in an entirely new light, one that fosters commitment, breeds longevity, generates referrals, drives results and minimizes attrition by removing the psychological roadblocks that typically encourage it.
So, if you’re ready to take a new look at an old problem… contact us today and let’s talk. Initial no-obligation consultation is free, and our expertise is priceless.
1. AFS 2016 Fitness Studio Operating and Financial Benchmarking Report