Author Topic: My friend's gym wants to increase everyone's membership $25 per year  (Read 2260 times)

staystrong

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All members recently received a letter stating that the gym owners are implementing an annual fee of $25.00 from each member for an "equipment replacement/rotation program."

They say that the new program will "support our pledge to you that every year, new equipment will now be added or replaced---" but they have always added or replaced equipment as needed in the past.

They want people to pay by the end of August.  Apparently members that have the gym charge their credit cards on a monthly basis also received a notice that stated if they don't pay the $25 by a certain date by check or cash it will be charged to their credit cards.

This is a Gold's Gym that has already signed contracts for yearly amounts with the members. 

Has anyone ever heard of a gym implementing such a program?

Stark

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totally justifiable.

staystrong

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totally justifiable.
My friend doesn't have a hard time paying but pays under $200 per year.  Said heard alot of complaints from other members today.  I guess if someone has a contract where they are paying $400 or $500 per year they may not be too happy.

JohnnyVegas

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All members recently received a letter stating that the gym owners are implementing an annual fee of $25.00 from each member for an "equipment replacement/rotation program."

They say that the new program will "support our pledge to you that every year, new equipment will now be added or replaced---" but they have always added or replaced equipment as needed in the past.

They want people to pay by the end of August.  Apparently members that have the gym charge their credit cards on a monthly basis also received a notice that stated if they don't pay the $25 by a certain date by check or cash it will be charged to their credit cards.

This is a Gold's Gym that has already signed contracts for yearly amounts with the members. 

Has anyone ever heard of a gym implementing such a program?

Tell the gym to pay for the new equipment out of the profits.

A contract is a contract-the gym cannot add equipment and then ask for more money-they can add it and then if they want to increase fees for new members or people who renew they are free to.

I would not be hanging around a place like this very long if this is their business model.

Zach Trowbridge

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Tell the gym to pay for the new equipment out of the profits.

A contract is a contract-the gym cannot add equipment and then ask for more money-they can add it and then if they want to increase fees for new members or people who renew they are free to.

I would not be hanging around a place like this very long if this is their business model.

Some contracts allot for a 5% yearly increase, even under contract.  This may qualify, and they may have chosen to provide a reason for the increase rather than just saying "hey, here comes a dues increase".  Depending on what state this gym is in, they could be well within legal rights.

JohnnyVegas

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Some contracts allot for a 5% yearly increase, even under contract.  This may qualify, and they may have chosen to provide a reason for the increase rather than just saying "hey, here comes a dues increase".  Depending on what state this gym is in, they could be well within legal rights.

I have never seen a gym contract that allowed 5% "bumps", ever.

But even if that were in the contract a 5% bump on a $250 gym membership is still only $12.50.

I would not agree to 5% bumps, in fact when I sign memberships contracts I pay a one time cash payment for the first year and then make sure I have renewal years at a much lower rate (currently renew for $100 a year after $300 initial year).

I owuld be surprisedif the contract allowed bumps.

Zach Trowbridge

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I have never seen a gym contract that allowed 5% "bumps", ever.

But even if that were in the contract a 5% bump on a $250 gym membership is still only $12.50.

I would not agree to 5% bumps, in fact when I sign memberships contracts I pay a one time cash payment for the first year and then make sure I have renewal years at a much lower rate (currently renew for $100 a year after $300 initial year).

I owuld be surprisedif the contract allowed bumps.

I've worked for 24 Hour Fitness, California Family Fitness, Gold's, and a few private gyms, and all their contracts allowed for the 5% bump.  I'm not sure if it varies state by state, but I know it is a provision.  Even on yearly stuff - 24 Hour has a 3 year membership for like $600 with a $100 renewal that is only guaranteed for the first year of renewal, after that they can raise it.

Ursus

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I can see why they would do so. However...It should not be implemented mid contract...unless there is a condition allowing this. Also if a gym was doing this they should also maybe highlight say from sept saying from jan 1st bla blah bla 25 dollars a year....

when i joined my gym 4 years ago it was 16pounds a month...now it is 20. I dont mind as long as i am notified and not just told one day. Maybe in Jan it will go to 21 p/month.

onlyme

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The Gold's Gym convention was last week and from what most people say it was the worst one ever.  In fact a few of the vendors said it was so bad they are not coming back to future ones.  Also, over 100 Gold's Gyms in the past 18 months have left the company and changed their names.  It's to bad that they tried to change the wheel.  The one great thing for them though is their corporate owned gyms are at an all time high.  Not sure of the exact numbers but it is more than 70 I think.  It is going to help them when they go public.

QuakerOats

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DAMN!!!!!!!!!!!!!  a whole 2 bucks a month!!!!!!!! where are you gonna come up with that kind of money? :o

Dreadlord

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$25 a year is hardly much if they get decent equipment and replace the ones that are worn out and falling apart.

On the other hand -  corp gyms will always try to get a little bit extra off you any chance they get >:(

hazbin

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most clubs in Calgary have an inflationary clause and raise members dues by 10% every year. when i opened in 1992 i made a promise to members they would pay the same as when they joined. 16 years later i still have some original members paying $14/ month

Stavios

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DAMN!!!!!!!!!!!!!  a whole 2 bucks a month!!!!!!!! where are you gonna come up with that kind of money? :o
;D

Dreadlord

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most clubs in Calgary have an inflationary clause and raise members dues by 10% every year. when i opened in 1992 i made a promise to members they would pay the same as when they joined. 16 years later i still have some original members paying $14/ month

Hope your operating costs are in line.  :-X

hazbin

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Hope your operating costs are in line.  :-X

new members sign up at a higher rate, up to $49/mth.  but whatever they sign up at, they stay at. i felt it is the long term members that keep you alive, so i wanted to make sure they feel appreciated.

Tapeworm

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DAMN!!!!!!!!!!!!!  a whole 2 bucks a month!!!!!!!! where are you gonna come up with that kind of money? :o

Haha, exactly!  It's an outrage!!!!!!!

Old-Skool

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price of one coffee extra to work out for 30 days.....they are gouging you huge  ::)

bigbobs

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most clubs in Calgary have an inflationary clause and raise members dues by 10% every year. when i opened in 1992 i made a promise to members they would pay the same as when they joined. 16 years later i still have some original members paying $14/ month

Hazbin which gym do you own in Calgary?  I'll drop by there next time I'm down.

HTexan

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They can't charge your CC without you OKing it. I believe a price increase would break the contract tho. That is still very cheap for a gold's. IMO i would just pay the price increase.
A

JohnnyVegas

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The Gold's Gym convention was last week and from what most people say it was the worst one ever.  In fact a few of the vendors said it was so bad they are not coming back to future ones.  Also, over 100 Gold's Gyms in the past 18 months have left the company and changed their names.  It's to bad that they tried to change the wheel.  The one great thing for them though is their corporate owned gyms are at an all time high.  Not sure of the exact numbers but it is more than 70 I think.  It is going to help them when they go public.

Who cares if the coroprate gyms are doing OK if half the 500 gyms in the system are saying fuck this shit and splitting.

This is the EXACT same thing that happened in 98-2002, when those clowns who bought out Conners and Grymko, they started making changes that caused 20% of the franchisees to bail out.

The old golden rule is the same today as it was 100 years ago-"if it aint broke dont fix it".

Another rule is if you dont know what the hell you're doing you better learn FIRST. That is what is going on with Gold's, they have a bunch of Wall Street MBA's that dont know jack shit about the gym business and these dorks are literally destroying the company and the Golds brand.

Mark my words, if these idiots running GOld's today close the flagship Venice Beach Gold's on Hampton drive down that will be the final nail in the coffin for Gold's Gym.

Zach Trowbridge

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Who cares if the coroprate gyms are doing OK if half the 500 gyms in the system are saying fuck this shit and splitting.

This is the EXACT same thing that happened in 98-2002, when those clowns who bought out Conners and Grymko, they started making changes that caused 20% of the franchisees to bail out.

The old golden rule is the same today as it was 100 years ago-"if it aint broke dont fix it".

Another rule is if you dont know what the hell you're doing you better learn FIRST. That is what is going on with Gold's, they have a bunch of Wall Street MBA's that dont know jack shit about the gym business and these dorks are literally destroying the company and the Golds brand.

Mark my words, if these idiots running GOld's today close the flagship Venice Beach Gold's on Hampton drive down that will be the final nail in the coffin for Gold's Gym.

At the Gold's I work at in Sacramento they've lost almost a third of their member base in the last 6 months to a giant "Family Fitness Center" complex a mile or two down the street.  Including hardcore bodybuilders.  How sad is that shit?

WhiteCastle

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DAMN!!!!!!!!!!!!!  a whole 2 bucks a month!!!!!!!! where are you gonna come up with that kind of money? :o

He won't recover.

hazbin

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Hazbin which gym do you own in Calgary?  I'll drop by there next time I'm down.

probodies gym. pm me before you come by. where do you live??

JohnnyVegas

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At the Gold's I work at in Sacramento they've lost almost a third of their member base in the last 6 months to a giant "Family Fitness Center" complex a mile or two down the street.  Including hardcore bodybuilders.  How sad is that shit?

You live in SacTown???

I worked out at Capitol City Health Club, old school gym.

You ever run across this old BBer named Randy Stoeller???

Zach Trowbridge

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You live in SacTown???

I worked out at Capitol City Health Club, old school gym.

You ever run across this old BBer named Randy Stoeller???

Name sounds familiar.  I used to work with a guy named Keith Steiner, who ran one of the CapCity clubs for a helluva long time.  Short mofo, but I saw his competition vid, he got himself SHREDDED when he'd compete.