The Club Division Health and Wellness Industry Trends for November

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In a year full of uncertainty and change, club leaders are looking for ways to navigate uncharted waters. When approaching the future, it’s helpful to know where you stand. How is your club or wellness center trending in comparison to your peers, and what does the data say about the health of months to come?

That’s where we come in. You need trusted information to inform decisions and tackle whatever may come next. Our monthly Insights and Impact report offers valuable insight into the state of the industry. From new member joins and check-ins trends to member holds and cancellation tracking, we’ve got the information you need to drive your club to succeed in the coming months.

November Overview

With the surge in COVID across the nation, the improvements we were beginning to see in past months have taken a turn, impacting clubs in many states and reversing some of the positive trends we were seeing in new join and check-in data.

With that said, the effort that our health club leaders have made to keep their members engaged and to re-position health and wellness as an essential business continues to pay off with a decrease in holds and cancellations.

As we enter what we’re calling the fourth quarter of the pandemic, challenges will remain. However, the steps we’ve taken to protect the fitness industry, coupled with the news of a vaccine, gives promising indication that we will not only survive the fourth quarter, but thrive in 2021.

Check-Ins

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Member check-ins decrease in November. Member check-ins help assess industry health and forecast revenue sustainability.

Key Takeaways

A November surge in COVID cases caused many states and counties to impose additional restrictions on health and wellness facilities. Health clubs across the country experienced capacity limitations, group exercise restrictions, and in some cases, full closures.

However, due to the tireless efforts of organized state fitness alliances and many health club leaders fighting to re-categorize fitness as an essential business, many health clubs remained open. This resulted in a much smaller decrease in check-ins than we saw in the spring and summer.

How to Use It

If your club is experiencing a similar decrease in physical check-ins due to tightening state guidelines, continue along a path of innovation to engage your members. Implement or spotlight an existing virtual check-in program. Start an at-home workout challenge with daily videos that members can watch as they work toward a goal. Protecting and nurturing the community aspect of your club is essential to getting your check-in numbers up now and in the future.

Joins

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New joins decrease in November. Member joins help assess industry health and forecast revenue growth.

Key Takeaways

Similar to check-ins, new joins decreased in November at a sharper rate than the seasonal trend seen in 2019. The same club closures and capacity restrictions that affected check-ins likely had the same effect on new joins.

How to Use It

If COVID has taught health clubs anything, it’s the importance of communicating with your local community, whether they are members or not! If you are open, or if you are closed and offering other services such as virtual training, let your community know using social media or by involving a local influencer.

Cancellations

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Following a sharp drop in October, cancellations continue to decline. Cancellation data helps forecast financial health and map the road to recovery.

Key Takeaways

Contrary to the sharp increase we saw in 2019, cancellations have continued their decline in late 2020. Whether fueled by dedication to their club or by the promise of a COVID-19 vaccine, members are cancelling their memberships less often. Coupled with a decrease in new joins, this continued decrease in cancellations indicates that there has been less fluctuation in memberships overall.  

How to Use It

Encourage members to keep their memberships, no matter the state of opening your club is in. If you’re open with limited capacity, continue to use social media and marketing efforts to highlight the safety precautions you’re taking to make their in-facility experience safe. If you’re closed, incentivize them to keep their membership with regular at-home workout content and a loyalty rewards program.

Holds

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Holds continue to decline, but at a decreased rate compared to last month. Hold data informs general member sentiment and can predict future recovery.

Key Takeaways

Membership holds for November dropped from approximately 29,300 to just over 24,000, maintaining a consistent downward trend that’s been in place since this fall. Although holds have decreased, the rate of decrease has slowed.

How to Use It

Members are continuing a long-term trend of putting their memberships on hold less and less, which indicates that they’re either already back using your facility or have hope that they will in the near future. Continue communicating with your members on hold about how you’ve pivoted to serve them through the pandemic. Highlight your diverse offerings, the value you can provide, and why their health and wellness is more important than ever as we enter into the holiday season.

Know what’s happening in your industry. Explore the Insights and Impact Report today!

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