Money made in the fitness industry comes from good trainers. Really knowledgeable, walking encyclopedias of information ranging anywhere from nutrition to psychology who are willing to be paid peanuts for all of their mandatory certifications, CEU's, liability insurance and empirical data.
"Member Retention" these days only comes from an EFT contract. You get the *potential* member in the door, get him/her/them to sign on the dotted line and commit to two years minimum on an EFT. The new member cannot contact the corporate offices except through correspondence. Unless they change their bank account, they are stuck.
You get 6000 *active* members (as in bank accounts being withdrawn from every month) ~
Max Capacity of the gym will never be near the amount of members that you have on EFT. In other words: If everyone were to show up at the same time, the gym would have a problem.
The overhead at a gym ranging from equipment repairs, facility repairs, heating and cooling, liability insurance, property, mortage/lease/rent, PT's and employee payroll far surpasses what the gym brings in.
You have manipulative car-salesmen selling insane training packages to this brand new and gullible member. They sign on the dotted line once again. The salesman shoots for the highest amount of PT sessions. This way, the new member may have to come up with nearly $1000. The new member is told that the more sessions they purchase, the less money each session becomes.
If that new member defaults (by oh SO MANY means) they have to start all over again, but they still have not made their second payment on the PT sessions and they are still reeling from the *initiation* fees that were NOT "waived" after all.
If the more sessions they purchase truly is less $$$$ ~ then the logical reality should also be that the sessions themselves become worthless. This is why the big chains like to use "in house certs" and minimum wage trainers. These are the very anuses that take a first timer, let's say a big fat woman, humiliate her on a P.O.S Bosu ball by making her try to jump up and down on it on one leg in front of every member in the gym.
Funny thing about new members (especially women) ~ they actually think they should be in shape BEFORE they go to the gym, this way they feel they won't stand out as such a spectacle as their ass cheeks hang over each side of a useless, torn up machine seat.
The gym business should be more like a Dorian Yates type of dungeon. Make everyone welcome. Make sure everyone knows that you are not providing them towels and water or a massage after the session. Teach them how to work out so that they can work out ANYWHERE. This way, they will WANT to stay because you have been honest with them. It's almost a "reverse" type of psychology by saying "we really don't have the capacity to get you in shape at this time, but we will get you educated and on your own ASAP.
It works every time. This is what causes "member retention" ~ which ironically is NOT what the gym wants. Yes, they want your money (EFT) {and usually NO OTHER OPTION OF PAYMENT}
BUT! They don't want you there at the facility wearing the equipment out, running up the overhead and making the gym look too full for an appropriate workout (to the other new and gullible *potential members*)
The whole industry is a joke. People should seek out trainers that have developed a name in the industry and possibly own their own small businesses. They should shoot for the goal of learning how to exercise AT HOME or anywhere else but the gym, unless they are into the whole "non-alcoholic happy hour" for socializing and finding a fuck buddy.
Honest and visible results = gym member retention.
Corporate does not want it's members, just their money... for as long as contractually possible.
