5 Ways to Harness the Power of Your Small Studio for Big Results
Have you ever heard a business tip and said to yourself, “That won’t work for me, I’m in a small town!”? If so, keep reading.
It’s true that small studios face a unique set of challenges like limited space, tiny teaching pools, and flimsy boundaries within their tight-knit communities. But what if I told you they’re also uniquely positioned to dial into their target market, command a premium price point, and deliver a highly personalized, one-of-a-kind experience to their customers?
Let’s dive into 5 keys to leveraging your studio’s small size as a strength.
1. Manage your mindset
All successful entrepreneurs share a common trait: a high level of certainty in themselves and their own abilities.
In other words, you have to believe that your small studio can be profitablein order for it to happen. The energy you approach your business with will inform your outcome, so make sure to check in with your mindset before you do anything else.
Harboring some lingering questions? You’re not alone! Changing your attitude isn’t as simple as flipping a switch. The most powerful tool you can use is evidence. Seek connections with other small business owners who’ve made their studios profitable and learn as much as you can from them!
2. Learn the power of positioning
Customers make buying decisions based on 3 factors: brand, convenience, and price. Small studios lose the ability to compete on price, and convenience is a risky bet too—new businesses crop up all over the place!
To keep your business in the safe zone, hone your brand and message. Deep dive into what it is that makes your business uniquely different from your competitors and reinforce that, with both your customers and team members, at every possible opportunity.
The litmus test for gauging whether your studio has a rock-solid Unique Selling Proposition (USP)—ask your clients what you do. If their only response is your service (yoga/Pilates/barre/fitness classes) and not your results, your customers think you’re a commodity and your business is at risk.
3. Perfect your pricing strategy
Comparison can’t work when your studio is small, so pulling your prices out of a hat (or worse, copying a competitor’s menu) puts you at a disadvantage.
Instead of guessing, do the math! Calculate the revenue you need (not only to cover your expenses, but also to pay your own salary and turn a 20-30% profit) per visit and work that into your best, most affordable pricing option—unlimited membership. Then price each additional pricing option (limited membership tiers, class packages, and drop-ins) on top of that. This way, you guarantee yourself the revenue you need, instead of relying on hope.
Looking for more pricing best practices? Be sure to check out our blog post How to Update Your Fitness Studio Pricing.
4. Build smart boundaries
Relationship-building is at the core of what we do, but that doesn’t mean you need to be a doormat. Hold the line on your boundaries around when and how you engage with clients and staff, how frequently you’re available, and—most importantly—with yourself.
Small-town studio owners often find it challenging to hold boundaries because they know everyone—like, really know them. This is a muscle that needs to be strengthened, but the more you practice, the more confident you’ll become.
While you may not necessarily have the luxury of shutting down at the stroke of 5PM, commit to working hours and hold firm to them whenever possible. Your family, your business, and your mind will all thank you.
5. Lean into personalization
Small studios are nimble! The fact that they’re not interacting with thousands of customers daily can actually be a strength. Leverage your ability to form a deep, meaningful connection with your customers. Learn their names, learn about their goals and interests, and take the time to develop personalized programs and offers for them.
Task someone on your team with calling your customers on the phone. Why? In a sea of emails, texts, and social media content, an actual phone call can really cut through the noise and show your clients that you truly care. Your power to genuinely connect with your clientele is what will keep them coming back for more!
Eager to learn more about how you can use your small studio to increase your revenue? Check out the webinar below.