Through the years I have heard a few health clubs saying they have partnered with their competitors in refusing to do any discounting on health club memberships or lower their rates. They have decided not to compete with each other by maintaining their rack rates in the marketplace. This agreement was implemented to make the prospective member within their community “take it or leave it”.
This is ridiculous for the fact that your competitors are not going to pay your bills, your overhead, payroll, your payroll taxes, etc.; they are not going to give you a penny to pay all of your health club’s expenses.
Normally, the guy with the deepest pockets is the one that suggests staying with your rack rates and make the member suffer by giving them the option to take it or leave it. If you have deep pockets and you can withstand the storm that this policy will inevitably create, then I applaud you.
But most health clubs are not in this position. What you must do is find out what your competitors are offering and make sure that it’s apples for apples and oranges for oranges.
Be competitive in your pricing but this does not mean you have to give your memberships away. A lot of health club marketers don’t understand the concept of packaging and the concept of distribution of revenue.
Come up with a creative and innovative way of presenting your health club membership to the public that your competitors have never done before. Health club marketing below competitive pricing is intelligent and it is a very savvy thing to do.
Again, do not confuse this concept with discounting or giving health club memberships away; it is simply learning how to present your health club membership to the prospective member in a very attractive way that will beat your competitor’s pricing.
When you learn how to use below competitive pricing in your business model 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 promotions, professional health club membership sales, and advancing your health and fitness career visit us today @ www.healthclubmarketingmmc.com or call 904-448-5727.