UPDATE: John McCarthy Explains Which Members Will Stay
Couples will retain their memberships longer than individuals and families will retain their memberships longer than couples, according to McCarthy. With this knowledge, it’s clear families have a higher lifetime value than individual memberships.
McCarthy also explains that members who are involved in programs, such as a sports league, will also retain their membership longer.
“When a family has its young kids involved in club activities, they virtually never leave,” McCarthy said.
Another demographic that retains their membership longer is older members, usually people who are over 50-years-old.
“The club that has a lot of people 50+ and a lot of families is going to have a lower attrition rate.”
UPDATE: A few people have requested the full DVD of John’s interview. It’s for sale on IHRSA.org/store.
Halo Marketing
Casey Conrad, marketing expert and industry consultant, explains how the Halo Effect can influence your member’s perception about your club. The Halo Effect is a generalization based on one good trait, according to the Encarta Dictionary.
Conrad offers the example of how marketing material can change the perception of your club. While professionally printed and well-designed pieces can make a good impression on your club, the inverse is also true. Printing on standard printer paper with poor graphic design might not reflect as positively.
Another good example of how the Halo Effect works in business is the iPhone, which makes consumers generally think other Apple products are high quality, according to Joe Wilcox, who blogs for eweek.com.
How has your business been affected by the Halo Effect?
Establish Trust to Make the Sale
Alex McMillan, CEO of Fitness Profit Solutions, explains why you need to establish trust to make the sale.
“We’re not really trying to sell something, we’re trying to work with (prospects) in the way they want to buy something, said McMillan.
The One-Page Strategic Plan
Justin Tamsett, of JT Active Management, discusses the benefit of having a strategic plan that fits on one page. He also explains why it’s important for club owners to have a clear and concise vision for their club’s future.
Success Through Involvement
Thomas Kulp, fitness industry consultant and CEO of Universal Athletic Club, explains his theory on retention: Success Through Involvement.
In order to get members to stay, you need to get them involved, according to Kulp. His idea probably won’t surprise anyone, but there’s something to be said for sticking to the basics.
