I’m big on making sure you guys are prepared and thinking proactively. June and early summer is typically the second highest season for member churn (with the highest being the Holiday season).
This is the time of year when gym owners start to see a rise in member churn. This can be frustrating for gym owners who have put so much time and effort into building their businesses. In this blog post, we will discuss three ways to combat member churn and keep your gym running smoothly!
Every year we see a pattern and we know it’s coming, so it’s important we plan ahead. Be planning, and being proactive you actually can grow throughout this season.
In fact, waiting for something to happen to actually do something in business is exactly what failing business owners do. So it’s important we stay aware so we don’t get caught off guard coming off the prime season of the first quarter of the year.
We need to combat churn by proactively planning how your going to increase engagement during this period and we need to start early!
Let’s talk about why customers churn? They churn because they have become non-users yes, but that’s not enough reason alone. The reason they churn is because they are non-users that have fully dis-engaged.
And as soon as they have a good reason they will cancel. Summer travel and change in routines (kids out of school, etc.) provide the perfect stimulus for those disengaged members to cancel and churn off.
So how do you re-engage?
- Outreach – You know what they say – if you want to keep your members, you should be calling every client who hasn’t shown up in 10 days every week and scheduling their next class with a verbal commitment to show. This is what a good coach does. This is real accountability. It shows you care.
- Resell – You need to be nudging and reselling your members on a regular basis or they will churn. You can’t take their loyalty for granted, so make sure you remind them why it is worth keeping with events and buzz that is happening. Don’t take it for granted and assume they are just going to stay forever. Create FOMO (fear of missing out) with lots of events, conversations and happenings that make them feel left out if they aren’t engaging and make sure they know about them. They won’t miss the second time.
- Upsell – sometime we lose people because they’re bored, routine sometimes becomes the enemy of progress. They need something new and exciting to recommit versus hanging it up during the season. Sometimes the best way to keep a customer is to sell them the next level up. People like to buy, so give them things to buy!!
And get creative. Upsell and resell doesn’t always mean always sell them what you have. Get them spending money in the direction you want them to go that benefits you (and then of course).
Do you think that them buying a new pair of CrossFit shoes is likely to recommit them and increase their attendance rate? Hell yeah it does.
But we don’t sell shoes right? Right. So you talk about the new shoes on the market and where to get a pair.
Hype them up about the new swag and where to get it.
You don’t make the money on the shoes but the shoes extend their tenure as a member to a great degree. This is an example.
Think first principles. What are the small things that have the biggest impact?
Let’s go. Get ahead. Stay ahead.