Do you ever get frustrated about working long and hard just to keep your head above water?
Have you been putting in a lot of extra effort lately, only to find that that your group fitness business is still not growing as fast as you would like?
What if there is a problem hidden deep in your business causing it to ‘leak clients’?
It is holding you back, but you are completely unaware of it.
You will want to know how to find it double-quick so you can do something about it, right?
Today you’ll find out how to uncover those problem blind spots and identify new opportunities for growth.
Get a clear view
Viewing your business from new and fresh angles can often reveal problems or opportunities that weren’t obvious before.
One of the angles to consider is the number of people who interact with you and your training business each month.
I’ve been involved with bootcamps, fitness camps and group training facilities long enough to know that the numbers always reflect a spookily accurate picture of what is really going on.
Here’s what to look for…
What numbers exactly?
It is essential that you track four metrics every single month:
1. The number of enquiries (and where they came from)
2. How many sales calls* you made to follow up on the enquiries
3. The number of new members or clients who joined your fitness bootcamp or training group
4. How many people quit or ‘temporarily suspended’ their training last month
* ‘Sales call’ may be a meeting, a phone call, a trial session, a free postural assessment, health screening interview or just a chat in a coffee shop. Basically, it’s any interaction where you help the person get what they really want: that is, a training program that will work for them.
From these four crucial numbers you can derive some extremely valuable insights that we’ll call ‘key performance indicators’.
These indicators are the keys to unlocking problems and identifying areas for improvement. In our group fitness businesses, we calculate them as follows:
A. Number of Enquiries divided by the Number of Sales Calls you made
B. Number of Sales Calls divided by Number of New clients
C. Number of Current Clients at the end of previous month divided by the number of clients who quit this month
Multiply each fraction by 100 to convert it to a percentage. This makes it easier to work with.
For example ( 20 enquiries ÷ 14 sales calls ) x 100 = 70%
What do the numbers mean?
As a guideline, a healthy group training business undergoing a growth phase should be aiming for:
At least 20 enquiries a month
A. >75% of enquiries lead to a ‘sales call’ of some description
B. >50% of sales calls/trial sessions/assessments become paying clients
C. <5% clients leave each month
How does this compare to the key performance indicators of your business?
Now that you know the indicators of performance and how yours stack up against a healthy business, here’s how to use them to identify trouble spots or areas for improvement:
Basic Troubleshooting Formula
< 20 enquiries a month = Marketing problem
<75% enquiries come for a sales meeting = Sales problem
<50% of sales meeting become a member = Sales or Operational problem
> 5% people leave in a month = Retention Problem
Now, you may have more than one problem area. That’s good news! It means you have uncovered several sources of frustration! Now you can get to work on plugging the gaps that those clients are leaking out from.
Here are some of the most common problem areas that may be causing your numbers to look fairly average:
Common MARKETING Problems
1. You have a weak or vague USP (Unique Selling Proposition). An example of a weak USP would be a fuzzy claim such as “Get Fit!” whereas a solid USP would be more like “Mums: Drop 5kg in 10 weeks or your money back”.
2. You don’t have a detailed description of exactly who your perfect client is. Being specific about this helps you to laser-focus your marketing efforts to the places where those people are likely to hang out.
3. Your marketing efforts are not reaching those potentially perfect clients
Common SALES Problems
1. Your prospects don’t know you, like you or trust you enough to invest in your training program.
2. You are not following a proven sales system or formula.
3. You are not actually ASKING for the sale.
Common RETENTION Problems
1. Your fitness program is not delivering results or the workouts are boring and unrewarding
2. Clients do not feel part of a community
3. You are being unpredictable or inconsistent with what you offer. People come to expect a certain standard, whether that’s good, great or average and they get disappointed if it is erratic.
(By the way, you can fix most operational problems in your business very quickly and without any risk whatsoever simply by joining Kaizen Outdoor Fitness Membership).
Examining your numbers will enable you to view your business from an objective angle
Converting the numbers into ‘key performance indicators’ will help you to identify which areas you need to work on most – and where the best opportunities for improvement lie.
Use the troubleshooting formula to determine if the problem is in marketing, sales or operations and shift your focus into that area
Can I help?
Spotting and fixing problem areas can completely transform your business and propel you miles ahead of the competition.
If you are interested in making giant improvements in your business, just send me an email and tell me one thing:
What is the single biggest problem area in YOUR fitness boot camp business?
I always reply to every email personally and I promise I’ll do my best to help.
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