Hey there Super-Trainers, its Dave Peterson again and I hope you’re doing awesome today and your business is doing even better!
Last time I went through a few key lessons I have learned in the past year that helped me go from working in a corporate gym to owning my own facility and having my own training staff in less than a year.
I want to go over strategic marketing and growth today to show you where my business is at, what our goals are in the coming months and how we plan to accomplish those goals.
We will shortly be adding the following:
I will only discuss our main forms of revenue today and the smaller streams will be assumed at the same rate of growth.
We have broken down our main revenue streams (BootCamp and training) into the following metrics:
Current Avg Value
We currently have gross revenues of just over 20k per month (as of September) and have set a goal of increasing gross revenue by 50% (to get to 30k) by February 1st 2012.
We are still fairly new so we don’t have the current market penetration we would ideally like so getting a 50% increase shouldn’t be out of reach by any means.
By knowing our current average value of each client in both the training and BootCamp program we know that we need an additional 20 members in the BootCamp and 13 training clients if both are to increase by 50%.
With three months to go after these goals we are looking at adding a paltry 5 members to the BootCamp each month and 3 members to the personal training program.
Given our current closing percentages we will need at least 10 trials in BootCamp and 8 trials in personal training each month.
This can be further broken down to bi-weekly or even weekly numbers.
Using these much smaller metrics it is easy to keep everyone on the staff focused on reaching these numbers each week and month.
We will reach our goals using the following methods:
- Living Social feature – we were featured by Living Social this past July and it went very well, we had over 50% redemption rate and a 26% conversion rate (of those that came to more than one session). We called them up and they immediately responded given our past success and we will be featured again in the very near future. Our conversion systems we use are a big factor in this working out well.
- Online ads – we are testing out new squeeze pages and different methods of advertising online. We use both widgets (ebooks, videos, etc) as well as more direct means (click for bootcamp trial, etc) and are currently split testing a variety of ads this way. We primarily use Google Adwords and Facebook to buy local clicks.
- Online SEO – we still get people who come in or call and have just found us by searching google. We have great rankings for our main keywords and the best reviews of any gym around. We make sure to keep our rankings through regular blogs, videos and fostering online reviews.
- Charity BootCamps – we run charity fund raising bootcamps each Saturday and once a month we have a blowout “party” with a live DJ and food. These are open to non-members and are a great way to have current members bring in friends. Which leads me to…
- Referrals – we love our clients and our clients love us. We have created a great community with our clientele and we still get a large portion of leads through referrals. It is important to rewards referrers (discounts work well) and make them feel important (even better than money).
- Email Marketing – we have a great and very active list. Continually sending great information and occasional offers to past clients and prospects is one of the easiest ways to get people in the door.
Other methods to increase revenue:
–Increase conversion rate – as you can see above we need to get quite a few trials in to get to our numbers so if we can increase our closing rate it would make things much easier.
–Current client ascension – its always much easier to sell to someone already invested in your services than constantly finding new clients. Our new membership site will be a no brainer upsell, our nutrition coaching program will get a big push soon and our supplements are an easy source of revenue as well.
As you can see we have many different methods of attack to get our numbers where we want them before the end of January. When everyone starts thinking “fitness” as the New Year approaches we want to be front and center in their mind.
Here’s what you can do to put this information to good use:
- Figure out all of your current metrics
- Monthly Revenue
- Monthly Profit
- Current Clients (paying clients only, trials don’t count and will mess up your numbers)
- Current Client Monthly W
Now set your own goals and break down exactly what you need to accomplish to reach them.
Now sit down and look at your different methods of delivering that growth.
Be honest with your own assessment and be ready to identify weak areas in your business.
Update- Since originally writing this we have experienced greater than expected growth in October and if November keeps on its current pace then we will have to raise our goals!