When launching a program, health club marketers often start with an idea of the profit they desire and ask themselves how many sales will it require to reach it. The target volume number is quantity of traffic, or health club memberships required, to meet an earnings goal.
The target revenue (dollar amount) is the corresponding figure for dollar sales. Both of these metrics can be viewed as extensions of break-even analysis. Increasingly, health club marketers are expected to generate volumes that meet the target profits of their health club. This will often require them to revise sales targets as prices, costs and goals change often. In short, this refers to how many sales it takes to breakeven and how many sales it takes you to get into your profit margin.
Every time you start a health club marketing program you must assess the cost in every aspect from man-hours, design and implementation, delivery systems and so on.
Everything must go into what it cost you to run the campaign and you want to be sure to consider every aspect as you lay out your health club marketing campaign. Once you know what the details are of the campaign from beginning to completion, you will know what it’s going to cost. Determine how many sales it is going to take to get you to your break-even point then how many sales does it take you to get into your profit margin.
These are enormously important numbers for your health club owner and he/she is going to want them before ever approving the campaign. Owners always want to know the bottom-line (that’s how they became owners); what is his/her return on his/her investment (ROI). This is a number you must always keep your eye on.
Profit-based sales target marketing is making sure you never ever lose track of the bottom-line.
After you launch the campaign you have to monitor every information call, every prospective member that comes into the health club, etc., MMC® provides, on our website, a free download (http://www.healthclubmarketingmmc.com/hc-free-download-registration/) that has these tracking forms for you. It will help you find out how many calls you are getting, who are taking the calls, how well they are doing on handling the calls and getting the prospective member into the health club, etc. It is enormously advantageous for you to have this material because this will help you a lot when you are trying to figure out your profit-based sales target.
Learn the art of profit-based sales targeting health club marketing for your health club and you will grow your health club and your health and fitness career.
For more free tips on increasing your health club membership base through health club marketing, health club campaigns, professional health club membership sales and advancing your health and fitness career visit us today @ www.healthclubmarketingmmc.com or call 904-217-3762.