Seasonal Revenue Strategies: How Gyms Maximize Profits This Time of Year

Jan 22

The new year encourages people to begin new habits. Among the most common habits to incorporate in a new year’s resolution is the habit to be more healthy. It’s no surprise that gyms are flooded with newcomers. To learn how these resolutions benefit both the gym and its members, keep reading to find out.

How do gyms maximise the new year’s resolution fever?

Google Trends shows that the early January popular searches are linked to exercise and losing weight. Some ways that businesses capitalise on this opportunity is by increasing their advertising. Striking while the iron is hot is a fitting expression as they yield great benefits through new-comers ready to join the gym. Another way they increase sales is by increasing membership fees. Virgin Active has increased its membership fees by nearly 50% for some members. This has understandably frustrated long-time members, as they will now be required to pay nearly double what they currently pay. While this may seem unfair to regulars, it is a way to increase their sales through those determined to make a fresh start to the year.

How long do the newcomers usually last?

An American analysis found that most Americans drop their resolutions very early in the year. This being as early as mid-January. This gives gyms a small window to make an impression on potential clients. Adding a new habit to a list of already existing commitments is not easy, especially when one already juggles multiple commitments. Some may drop the gym as they have many things to commit to or others may be overwhelmed by how much work is required to lose or gain weight.

What strategies do gym companies use to lure prospective clients?

To bring in new clientele gyms have to find ways to attract the otherwise unwilling potential customers. Here are 5 strategies that gyms use:

1. Giving potential customers a free trial

Who doesn’t like the idea of getting freebies? By giving potential clients a week’s free trial, they give them enough time to test the equipment, a chance to see the customer service, to see what classes the gym offers and to get a sense of the ambience of the gym. If they love what they see it will be hard for them to go back to a time before they stepped in the gym.

2. Hosting a 6-week challenge programme

By helping clients set attainable short-term goals they help them be more intentional in how they spend their time at the gym. This is particularly a good strategy at the beginning of the year when people are most ready to make the most of their time in the gym. It helps clients build a habit that will be harder to drop once it becomes part of their routine.

3. Promoting friend/partner discounts

Offering a referral programme that gives customers discounts is another great way to increase gym sales. Studies show that exercising with a friend or partner decreases the rate of dropping out of the gym.

4. Hosting Fun Runs

People love the idea of joining a fun run and will likely invite people to go with them. This gives gyms the opportunity to set up a stand to advertise their gyms and what services they offer.

5. Offer a variety of classes

By offering a variety of classes they cater to different interests and will likely grow the pool of people who are likely to join the gym.

While excitement propels people to start their fitness journeys, excitement often fades. Motivation comes and goes, so prospective members should think soberly about their commitment and approach their goals with a clear, realistic mindset if they want to stay in the gym for the challenging path of maintaining a healthy lifestyle.