1. EachPod

102: Once You Figure This Out, You'll Keep More Clients!

Author
Tim Lyons and Randy Angsten
Published
Thu 12 Mar 2020
Episode Link
https://built-to-grow.simplecast.com/episodes/102-once-you-figure-this-out-youll-keep-more-clients-k7kRpfA_

In this episode, Tim and Randy will discuss something that takes a gym owner stopping and looking at what’s going in their gym to figure it out. And this is the issue of churn rate. Every gym gets to a point where it has achieved a specific number of clients and starts losing some at a certain rate. That’s what the churn rate refers to and it can be a very difficult balancing act trying to sign up new members into a gym to replace the ones who leave especially as the number of members continues to grow. The higher the price point, the harder the balancing act becomes, for example, at a $9 per month price point, no gym member will ever leave, but at $400 a month, a lot of members will be keen to leave especially if they’re having financial issues of any kind.

Tim and Randy surveyed the members who leave their gym and discovered that 80% of them leave because of insufficient usage, meaning, that despite the gym having the best client experience, those particular members were not showing up enough for training. They also made an observation about the characteristics of clients that determine whether they will leave a gym or not, and they came up with two very distinct categories of clients. One is the lifestyle minded members and the other is the results minded members. The lifestyle minded members are the bread and butter of a gym. They are the ones who have been with a gym for five to ten years, and their sole goal is to work out and enjoy life.They have plenty of money and don’t look for any specific result from their workouts other than to feel better on a personal level. 

The results minded members are the ones who join a gym to get a specific result and if they don’t get that result, they just leave. In order for them to get the result they’re looking for, they have to come into the gym for their workouts consistently. Tim and Randy observed from their own experience that they were failing in making sure this group of members attended their workouts because whenever one would cancel for whatever reason, they were not penalized in any way. And therein lay the problem. By coming up with different policies to hold those members accountable, they were able to curb the insufficient usage problem. Stay tuned to understand how you can implement their advice in your gym to help identify those members that need more accountability so you can retain clients longer.

Key Takeaways:

  • Getting away from your gym business to focus on it (00:42)
  • The lifestyle mindset client versus the results mindset client (06:45)
  • The detriment of laxity in holding gym members accountable (07:56)
  • Executing on your gym’s brand promise to solidify the relationship with members (11:54)
  • Focusing everything on getting clients in attendance (14:56)
  • The power of consistency and how holding clients accountable eliminates the excuses (18:42)
  • When you become their friend, they expect you to let them off the hook (20:21)
  • Building a long term relationship with a client by understanding some of their life without necessarily being part of it (24:36)

Additional Resources:

--

If you are interested in a free audit for your gym, visit http://bit.ly/free_gym_audit

--

You can find out more about Tim and the strategies covered in this episode by checking out our website.

--

Would you rather watch the video version instead?

Head over to our YouTube channel to watch this episode by going here

--

If you don’t already have my book, get your copy FREE here.

--

Connect with Tim:

Connect with Randy:

--

Subscribe to the podcast on Apple, Spotify, Google, Stitcher, YouTube or anywhere else you listen to your podcasts.

If you haven't already, please rate and review the podcast on Apple Podcasts!

Share to: