Tuesday, July 29, 2008
Thomas Kulp needs your help
Monday, July 21, 2008
Thomas Kulp needs your help
Friday, December 14, 2007
Calculating the Reason for Retention Focus
You will need your current number of accounts, the average retail value of those accounts, and a calculator.
Take your current number of accounts and multiply that number by a factor of just 2%. Then take that product and multiply it by the average retail cost of your accounts. That answer is the increased revenue that will be generated by a 2% increase in retention... Pretty eye opening.
Now consider that this money is very clean, there is not a lot of increased costs that come with it, so the money is truly very close to an increase in your net income..
Example:
Active accounts 2500
Avg Retail cost 700.00
2500 x .02 = 50 saved accounts
50 x 700 = 35000.00 additional dollars on your bottom line
Try one of our actual clients' returns
Active accounts 5500
Avg Retail cost 1000.00
5500 x .05 ( yes a 5% increase) = 275 saved accounts
275 x 1000 = 275000 WOW!
This is possible for you, if you start to change your focus today.
Good Luck
Tom
Tuesday, November 27, 2007
Avoiding Dealing with the Sleeping Dog
Pretty negative thinking, but my challenge to you is to contact ALL your member regularly, heck, plan it out and do it all the time. By keeping in contact from day one you assume the responsibility of ownership of that member's business. Engage them, get them involved in your club and earn their business for life.
Find a way to track the member's visits to your club and when you see a break from a habit, give them a call and show you care.
We are in the people business and we need to take the lead to ensure they get more than they expect.
Good Luck and Stay Focused on that member.... they are our business.
Tom
Tuesday, November 6, 2007
What is our Mission in the US Fitness Market?
What is our goal?
By making the effort to market to all members of our society we can increase our market share tenfold.
Tom
Retention: Focus on the Result
At our club, we realized that we haven't been checking on the exercise prescriptions that are being issued to our members. We like many others have mistakenly figured we taught them how to do it correctly that the Fitness coaches would be using their skills to execute it properly. In about 5 minutes and with ten quick reviews we realized that we would need to check their work on a regular basis. We had a coach write "whatever you enjoy" under the cardio section. This was a new member with very little experience and likely they didn't know what they "liked"at this point in their journey at our club. As owner/managers of our clubs we are responsible to make sure that all members become long term clients of our facility.
My personal experience has lead me to realize that if we don't check it, there is no reason to install it. Make sure you are getting regular looks at your systems and set up procedures so that you can see any changes in what you expect to be occurring. My best example would be to run your systems like you drive a car; you need to make small adjustments in speed, steering, and monitor your dashboard regularly to make sure that you stay the course.
Thursday, October 18, 2007
The Reality of Retention
The answer to our mission is that we need to define our goal. That goal should be to create Members4Life everyday. It isn't as simple as sending cards or email, or even getting them to purchase PT sessions at Point of Sale. It isn't about giving them a complete evaluation. The answer my friends is "blowing in the wind". The answer is to change the environment in your club, every member of your staff needs to be on the same page and that is an attitude that you feel everywhere in your club. The "wind" that blows through your lobby, hallways and all your rooms needs to be that we invest all our time and energy in making our members successful. That member success is directly proportional to the amount of involvement that we get our members to accept.
As new members expect, unrealistically, that they will lose 5 lbs by signing a contract with your club as if a magic pill is available, so it is with our retention. It isn't one thing or even two, it is the combination of your commitment to the member's success and your team's attitude that IT is about the member's need, not your staff's needs, which come first.
Act today and start the change in your club by spreading a new attitude in your club. Tell one team member to act with the member's success first and soon you can have a positive epidemic in your hallways.