How to Create New Revenue Streams for Fitness Clubs

Tara Massouleh

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July 21, 2021

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category

minute read

PUblished

July 21, 2021

Fitness clubs have a reputation for being built around quick memberships.

Specializing in convenience and affordability, fitness clubs appeal to a large and diverse audience. As such, their member bases are made up of everyone from first-time gym-goers and New Years’ resolutioners to those who have years of experience frequenting gym and exercise spaces.

Despite their penchant for bringing in a steady stream of new members through low commitment offerings and easy sign-up processes, fitness clubs can’t rely solely on securing new memberships to comprise their total revenue. Driving new revenue streams is essential to sustaining growth and long-term success.

Revenue Beyond New Membership

Most fitness clubs have a strong strategy for bringing in new membership revenue. They know how to use attention-grabbing marketing campaigns to attract potential members; they know how to target specific groups with strategic messaging; and once they’ve identified prospects, they make the sign-up process simple and stress-free.

However, once a member signs up to join a fitness club, many fitness club owners and staff members make the mistake of seeing the job as done. In reality, clubs are far from reaching their revenue potential from these members.

Rather than considering new members as “case-closed” wins, fitness clubs should reframe their traditional thinking and instead see a new join as the beginning of long-term  revenue relationship.

Breaking the Single Membership Model

Driving new revenue requires thinking outside the box and beyond the traditional single membership model. The health and fitness market is at once becoming more specified and more saturated. Consumers’ options for getting active are seemingly endless.

They can find everything from a highly specific kickboxing studio to a massive multipurpose club that offers every type of workout and program under the sun. It’s no surprise that consumers are craving personalized experiences and fitness memberships that are suited entirely to their needs and wants. The one-size-fits-all membership is a thing of the past.

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To survive and thrive in an increasingly competitive market, fitness clubs need to follow suit. Membership bundles and special program offerings are paramount to driving new revenue streams.

Rather than offering one type of membership that’s meant to serve the needs of the greatest common denominator, lean on market research to create multiple membership types based on how members use your facility. Fitness clubs with multiple locations may find that a large group of their members use only one location.

Offering a single-location membership at a lower rate may encourage them retain their membership for longer. The monthly savings may also lead them to purchase additional packages that will ultimately increase their overall spend. Offering add-on programs for members to spend time in a tanning studio, with an in-house masseuse, or personal trainer are great ways to drive new revenue beyond membership.  

However fitness clubs choose to diversify their revenue streams, it’s important to have a club management software partner that supports multiple membership types. Outside of having the capability to group and label by membership type in a member management system, fitness club software should also be able to automate billing based on membership type.

Staff should easily be able to add new membership bundles to the system, and the software’s auxiliary tools should make it remarkably easy for members to buy new packages or upgrade their membership directly from a mobile app or online portal. Outrivaling the best in a hyper-competitive fitness market requires fitness clubs to be tenacious, focused, and keep an eye to innovation. With a software partner designed to help fitness clubs drive new revenue, growth is boundless.

Ready to make the switch to a software provider that’s focused on the future and can help you drive new revenue streams? Schedule a demo with Club Automation or check out our Questions to Ask Your Software Provider guide below.

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Static and dynamic content editing. A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!

Static and dynamic content editing

A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!

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A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!

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A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!

A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!

  • Just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection
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Into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!

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