September 2020 Club Industry Trends

Marissa Meyers

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October 20, 2020

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category

minute read

PUblished

October 20, 2020

The Club Division Health and Wellness Industry Trends for September  

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With a year of such uncertainty and change, Club leaders are looking for ways to navigate the waters. It’s helpful to know where you stand and what's going on from a data standpoint to make decisions. How is your club or wellness center trending in comparison to your peers, and what is your data saying for the health of future 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 move your club forward in the coming months.  

September Overview

September’s story is one of stabilization and seasonality. We’re seeing a very similar trend to many of the trends from 2019, just on a larger scale. While many clubs are excited to have reopened their doors and return to their members, many members are still battling the struggles of the pandemic, and the uncertainty of the world. However, check-ins and new joins have both increased, indicating that overall membership is continuing its trend toward stabilization and recovery post pandemic. Overall, the outlook for this month is one of strong rebuilding and a rapid return to normalcy. It may be a slow recovery, but the health and wellness industry is recovering and will continue to do so in the coming months. Keep providing the security your members are looking for in their club, and we will get there.

Joins

September joins show a steady increase. Member joins help assess industry health and forecast revenue growth. 

Key Takeaways

Coming out of the summer months, many members had left their clubs with the uncertainty of COVID-19. For the month of September, we’re starting to see positive trends in the data as members join and come back to their local clubs. The number of joins in a club directly correlates with an increase in membership and, thus, revenue, as well in the future.

To note, many clubs are counting renewed memberships as new joins to the club, so we will keep a close eye on this in months to come. We recommend continuing the open lines of communication to your current members, encouraging them to bring a friend to a class, keeping your club as safe and sanitary as possible, and spreading the word of your club through your community with digital marketing and your website.

Cancellations

Cancellations are seen, but less than that of 2019. Cancellation data helps forecast financial health and map the road to recovery.

Key Takeaways

This time of year can be difficult to keep up with a routine, especially this year with COVID-19. Many members often decide to cancel their membership with the hopes of starting up again in the new year. Although the yearly trend is still present, we are seeing less cancellations this year than last. This is due in part to many members remaining on hold with their local clubs, while others are excited to get back in the gym after a long period of being away.

Clubs can slow the cancellation rate by actively engaging with their members via the online member portal, different channels of communication (social media, email and even in person!), and encouraging members to return to their club. Offering a virtual option for members to be present for the remainder of the year will not only help retention rate through COVID-19, but also through those long, cold winter months quickly approaching.

Check-Ins

Members are engaging with their clubs. Member joins help assess industry health and forecast revenue growth. 

Key Takeaways

Although below the normal rate seen in 2019, members are checking into their individual clubs more and more by day. This speaks volumes to the club's outreach, membership options and overall recovery of the health and wellness industry. Check-ins is a sign of members actively returning to their club, and a steady recovery for the industry. As clubs continue to show the benefits of exercise, and keep their club healthy and sanitary, members will feel empowered to come back and secure in their decision of doing so. Together, we will recover strong.

Holds

Members are keeping their membership on hold. Member joins help assess industry health and forecast revenue growth. 

Key Takeaways

With many clubs opening their doors, not all members are feeling ready to return, and having the option to keep your members on hold could be a game-changer. This allows members to see your club with health precautions in place, get more comfortable in returning and return on their own time. With the increase in caution as cases have risen in many states, we have seen clubs do just that in offering more membership holds. More holds mean less cancellations, and a long-term chance to retain your members. We recommend active communication with members on hold to keep them in the know of what's going on with your club, safety regulations you have or will be implementing and any additional updates.

Chargebacks

Chargeback percentages are decreasing, showing positive signs of recovery. A chargeback is any transaction that has been disputed by your customer for being unauthorized or incorrect. Chargebacks largely indicate whether or not members are accepting their membership fees. 

Key Takeaways

A chargeback percentage of 0.21% in September is a significant decrease from what we saw in August. With states going through a lot of change with COVID-19 and current waves in case numbers, we’re happy to see a decline month over month as we slowly but surely stabilize the health and wellness industry. This chargeback percentage shows the industry is still recovering and it’s going to take time, but recovery is happening. Many clubs and members are still struggling through this pandemic. The club market is rallying together to fight this storm.

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

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