In the constantly evolving fitness industry, there are a variety of new factors to consider. From ways in which trainers work with clients, to the impacts of limited client capacity (which may affect the cost of your workout packages and/or membership fees) to the increased costs associated with strict sanitization protocols, COVID-19 has changed the game.
And now, in this increasingly hybrid fitness environment, most businesses find they need to offer clients both in-person and online workouts to stay profitable. Online workouts have the potential to bring in more new clients and allow more clients to exercise at once, bringing in more income for your fitness business.
If that's the case for your fitness studio or gym, not only will you need to rethink your workout structure—you'll need to rethink your business plan, too. An important piece of doing so: deciding how to price your virtual and in-person fitness offerings and pay your staff (instructors or trainers, specifically).
Not sure where to start?
Download our guide for the various factors related to pricing and payroll factors you'll need to consider as you pivot to a hybrid fitness business.
We'll break down each topic (pricing and staff payroll) separately. Plus, we include what you need to know to create a sustainable plan for your fitness studio or gym to generate income and improve your bottom line.
First, we'll cover how to audit your current pricing and fees, including:
- Why it's important to keep your studio or gym's pricing simple for clients (too many pricing and discount options can be confusing for clients)
- How to audit your various pricing drop-ins, packages, and monthly autopays
- Ways to look at past client sales data to price your fitness offerings intelligently
- Reports to analyze client attendance habits to price monthly autopays (Hint: It pays to look at the data)
- Why it's important to consider any client capacity limits in your studio or gym when pricing for in-person offerings (you can only fit so many clients and still have costs to cover)
Then, we'll dive into various pricing structures, including:
- Offering online classes as a perk for clients who are on autopay memberships
- Selling access to video on demand or live streaming workouts as a separate add-on for clients
- Using a credit-based pricing strategy that gives clients the ability to control their online class and in-studio class mix
With service and pricing structure changes often come payroll updates, too. As one of the largest expenses for fitness businesses, you should review (and revise) payroll regularly.
- How to audit your current payroll (it's easy with reports in Mindbody)
- How to determine if the rates you're paying your personal trainers and instructors are too high
- Suggestions for revising your current instructor pay rates both for classes and appointments (like one-on-one personal training)
- How to communicate any changes made to your team of trainers
Evolving your pricing and payroll strategy is never easy. The positive impact it will have on your bottom line, however, is well worth it. After all, you’re laying the foundation for success in your hybrid fitness business—both today and for years to come.