Business

Numbers 101: Simple reports that show you everything

Numbers give you data. Data you need to learn, discover opportunities and understand your business better.

Spring Three - fitness business marketing and strategy



And, if you can consistently track your numbers you will get a strong sense for what is improving and what isn’t. Counting, measuring and tracking is yet another system that enables success in your studio business - and we love systems!



So what should you be looking at? Well, how about we take a step-by-step look at the reports that will tell you just what worked and what didn’t last year… ready?

Awesome.

Let’s start with sales.

Sales

This is your top line big number! But while total sales is great, we want to find out what service or product was your best seller or biggest revenue generator.

In MindBodyOnline, start by running your Sales By Category report for 2018 (also check ”compare to previous Year box” in section 1)

Hit Go and you’ll find your total revenue for both services and products.


You can sort the totals in descending order by clicking over the top line of the services section.


What do you find?

What were your top 3 revenue generators?

How about your bottom 3?

Any surprises?

Now let’s look at how that changed vs last year. 


The far right column show a percentage change - a positive % change means you have made more $$ this year than last year.


If you are not seeing a positive number - it’s time for more investigating. Did you have big changes this year to location, schedule, teacher changes etc? Was that on purpose… or not? If not, it could be time to review your retention strategies and sales procedures.


Ok, now that we’ve seen the big picture it’s time to dive in deeper.


There are so many different area’s of your business to explore but let’s look at your biggest seller in terms of pricing option… i.e. what were your clients buying to access your services?


Revenue by pricing option

Go to your Sales by Service report, set the dates to last year and click go. (Again you can sort the columns in descending order to make it easier)

This report shows how much of each package you sold last year - both in the dollar amount and in the quantity.


Obviously your larger packages will show a large dollar amount so the quantity of each package sold is also important to look at here. 


It’s always interesting to see what was the most popular pricing option… and then ask some questions:

Is that pricing option best for your business?

Or, would you rather your clients purchased something different?

Do you need to make changes to how you sell your services?

If you ran any price promotions through the year you will see that here too - did you run more or less promotions than you expected. Were they successful for your business as well as your clients?


Ok - great stuff. Let’s keep going.


Next, let’s look at your retention numbers. We know that a loyal client base means more stable and sustainable revenue numbers. But let’s see what the data tells us about how good your studio is at keeping clients from one year to the next… 


You can track your long term retention by seeing how many people visited your studio in 2017 and then again in 2018.


Retention (Year Over Year)

In Mindbody - go to your sales by service report and set the dates to 2018 - click on tag new. make a note of the number (A)


Then change your dates to 2017. Check tagged clients only. Click on Tag new. Make a note of the number (B)

Divide B by A and multiply by 100 to see what your year over year retention number is.

You are aiming for 50% YoY retention for a class based business or 80% for session based businesses. Typically the number is actually much lower - if you have a lot of out of town visitors or you run a lot of workshops you will need to take into account these one-time visits.


Now for my favorite report of all - Attendance Analysis! I love this report because it tells you more about your client behavior and gives so much more insight into what is and isn’t being purchased, how often they attend and which classes they come to. But let’s just look at how often your clients are visiting your studio business.


Attendance Analysis

In Attendance Analysis, take a look at your total visits in the past year by setting the dates to 2018 and then under section 3 run the analysis by client in Detail. Hit go… Scroll down and give yourself a high five! This is the total number of paid visits.

Then scroll back up… as you go… see how many 1’s there are in the far right column?.. this is all the people who only came into your studio one time. We’ll come back to that in a bit.


Hit Tag New - this is how many clients visited your studio in 2018 - nice work! (make a little note of this number)


Let’s see how many people came in more than 10 times… since they are the people who are (or became) your more loyal clients.


Scroll to the top and in Section , add 10 into the box “Show clients with [] or more visits.” Hit Tag New.


What’s the difference?

This is a super simple way to see how much opportunity there is to retain visitors to your studio.

Are you letting your clients know how often they should be coming?

Does your sales process seamlessly guide your clients from one step to the next from intro offer into a long term package or membership?



These numbers give you insight and show you where there is opportunity to improve for 2019… there is much more digging that can be done but this will give you a great head start in figuring out where to focus and set some goals for the year ahead.


Most of all though, looking at these reports on a regular basis will show you where your hard work is paying off and give you reason to celebrate your amazing business accomplishments!


Well done!






State Of Wellness: Trends Report

Spring Three | business trends

Did you know that the 10 markets that make up the wellness economy are now worth $4.2 trillion!



Over the past 2 years this has grown 12.8% and represents a whopping 5.3% of global economic output.



These are big numbers. As you know - there has been a shift toward integrating movement and wellness into everyday life and this move towards prioritizing wellness is changing the shape of our industry and the habits of consumers.



So… what makes up wellness?



The Global Wellness Institute focused on 10 specific categories for their research:



Personal care and beauty: $1.082 trillion

Healthy eating, nutrition and weight loss: $702.1 billion

Wellness tourism: $639.4 billion

Fitness / mind-body: $595.4 billion

Preventive and personalized medicine and public health: $574.8 billion

Traditional and complementary medicine: $359.7 billion


Wellness real estate: $134.3 billion


Spa economy: $118.8 billion


Thermal / mineral springs: $56.2 billion


Workplace wellness: $47.5 billion


Spas, wellness tourism, and wellness real estate were shown to be the fastest-growing sectors over the last two years. But, many of the categories above blend together as the industry moves even more towards delivering a complete and rounded experience for it’s consumers. Just like you might have contemplated adding spa or nutrition services to your studio offerings.



The big players are doing the same. 



With Peloton bikes inside hotel rooms and Exhale (barre and spa) being purchased by Hyatt Hotel group, fitness and travel are merging because of consumer demand and habits.



Another area prime for big growth is workplace wellness. Some large companies recognize the benefits (think increased productivity, less time off) of integrating fitness and wellness into the workplace, but there is so much more that can be done.



What we know is that people who engage with group exercise feel more fulfilled than those who do not by nearly 30%



You can relate to this - you know your clients feel this way about your business.



Regular group fitness participants also report closer relationships with family and friends, enjoying their work more and finding time for play and having fun.



We know that consumers are seeking a more connected and holistic approach to balance the stress and pressures of every day life - perhaps this is why Yoga has grown in popularity - the number of people practicing yoga has increased 54% in the last 10 years!


Let’s dive into some more details on the fitness industry:


The average age of Yogis is 36 and nearly 20% are male.

We know also know that a younger population favor more intense exercise with HIIT being the most popular amongst the millennial generation and a low impact spin class is a firm favorite across all ages.



The average American spends $87/month on health and wellness, but those who engage in regular workouts spend significantly more. Top spenders are CrossFitters spending an average of $187/month on health and wellness, Yogis average the lowest of those surveyed - but still spend $131/month. 



The average income of those in the survey was $73k - with top earners choosing HIIT as their favorite workout and averaging $82k in annual income. 



On the boutique business side, there is more really interesting data… 50% of boutique wellness businesses generate in excess of $300k in revenue every year with 16% making over $500k. The average revenue for boutique fitness studios was $289,000. Nice work folks!



What about spending? I know many studios spend $249/month or less on marketing - that makes up 18% of studios. But the average marketing budget each month is $783! On average in fitness, the marketing budget is 3.4% of total revenue. Perhaps that will help guide your budget for next year?



How about staff? These are the numbers that really surprised me… of those fitness studios surveyed, the average staff size was 14 in total, with around 8 full time staff and 6 part time staff.



One last piece of data for you - only 27% of American adults visit a group fitness facility regularly - even less visit 1:1 fitness services.



So, despite these big growth numbers, there is still plenty of opportunity to continue to engage with new clients and growing your studio business.



Of those who use the MIndBody app, 80% go to group classes 2-3 times per week or more. Making booking as simple and easy as possible really helps to get your clients to be more engaged in your business.



Personally, I love to see data like this. I think seeing the bigger trends can help us all understand consumer thinking and behavior across the industry and help drive and guide better decision making within business. It can inspire us all to create more innovative methods to help clients further engage with wellness and help you become an industry leader who stays ahead in this multi-trillion dollar industry!



What do you think of these numbers? Do they represent what you see? What questions do you have?





Sources: MindBody Wellness Index Survey 2018, Global Wellness Institute,


Secrets to a stress-free holiday season

And so it begins…. the festive season is coming our way fast and with it, a great opportunity for small businesses to shine!

The Secrets To A Stress Free Holiday Season

Yes - really! 🌟

You might feel like this time of year is tough to manage because of late cancels, increased travel and frankly, because you are probably quite ready some time off yourself!!

But, if you can plan early - you can get ahead of the game, stop being reactive to the challenges of the season and actually turn it around to make it work for you!


Address schedules

It’s possible that your teachers and your clients will be traveling during the holidays. Probably pretty likely actually. Start early and be proactive about finding out how you can manage teaching schedules. Communicate changes in class schedules early and consider adding in extra sessions or classes before or after your clients travel to even out the potential loss of revenue (and progress for your client)?

Promotions

The goal for all your promotions at this time of year is retention, retention, retention. Your focus is on keeping your clients beyond the end of the year (in the new year your focus shifts toward those new clients!). So, what can you do to keep them coming back in the new year? How about an early sign up for a challenge or a bootcamp or special workshop event in January... perhaps 20 classes in 30 days? Or a 1 month unlimited special offer starting Jan1?

Show appreciation

This is the time of year to give thanks to your team and loyal clients. Whether this is a gift, a hand-written note, a holiday card or a text! Invite your clients and teachers to share their appreciation of each other too. Actively cultivating gratitude will help reduce stress and strengthen the bonds of friendship and community inside your studio.

Gifts cards

Help your clients take the stress out of their holiday shopping - and boost your business too! Gift cards can be a great revenue generator for your business (suggest your clients give the gift of wellness to their favorite friends!) or offer special bundles of classes and merchandise - such a neat way to help out your clients while getting your studio name out to friends of your clients!

Marketing Campaigns

Put in the effort to “seasonally brand” your business and you will be connecting with your clients and their friends. Dress up for Halloween and put an Elf on the shelf and your business will come alive oline! Don’t forget to show up on social media consistently - you don’t want to let the world forget about you. That extra nudge to make it into the studio will help your clients stay on track!

Throw a party!

Holding a staff party or even a holiday party for staff and clients is a great way to show everyone a good time. It could be themed, filled with games or a simple open house event in the studio. You decide!

Carve out some me time

Just like summer, December and January are unpredictable months. As a business owner, be conscious of your energy levels especially if you have big plans for the upcoming year (and I know many of you do). Be sure to build in time for yourself to rest and energize when your schedule allows. This is crucial to your ability to manage your team, your clients and your business!


What else do you do at this time of year to make sure you end the year strong and filled with gratitude?

5 Tips To A Sell-Out Pilates Workshop

Workshops and studio events are becoming increasingly popular for teacher training and clients alike.

Spring Three | Pilates Business Consulting

 

I know that from many of my conversations with you studio owners like you that workshops and events are things that you’re thinking about doing or you already have  lined up.

 

Hosting workshops or retreats are a fun and creative way to build awareness and buzz in your boutique fitness studio (or wellness business) as well as adding a little extra profit to your bottom line.

 

But a successful pilates workshop takes effort and planning.

To create a sell out event, you will need to be organized and prepared to market yourself and your business. 

 

Want to plan a workshop in your boutique fitness business?

 

Here are my top tips:

 

Set the date well in advance. Depending on the type of event you will need to give yourself enough time to generate interest in the event and for your clients to plan accordingly. For an event you are hosting in your studio you will need 1-2 months to pull together all the details (and ideally you are lining up dates 3 months out) for an event where travel is necessary, you may need to plan further in advance.

 

Set your pricing strategy. Workshops are a premium service and typically are longer in length with a specific focus and structure the regular classes, so they should priced according to that value. That said, an early bird rate is a great way to get early sign-ups and create a sense of urgency in your promotions.

 

Market early and do plenty of it! You have to be ready to broadcast your event to the world. Don’t hide! Posters, social media, leaflets and flyers are a must. But it doesn’t stop there. If you aren’t talking about it, you can’t expect anyone else to either. So get chatting with your clients about what you have in store and get them excited too! 

 

Make registration super easy (and have a system). What information do you need from the attendees and what do they need to know from you? Make a list of what’s included and what should they expect as well as what they should bring themselves. Do they need a mat, notebook or water? Put this information together well in advance so you can send details as soon as you get sign-ups.

 

Be ready to deliver an exceptional workshop. Your clients will keep coming back for more as long as they love the way you make them feel. Remember - it’s ALL about the experience!

 

I’d love to hear how your events have gone - what worked well and what didn’t? Hit reply and let me know!

 

 

Got Summer Plans?

Hey folks, 

 

Summer is rapidly approaching and I want to have a quick chat with you about how your summer plans and business plans can work together.

 

I am fortunate enough to work with business owners in all stages of life and business. I do this in my comprehensive business training program The Academy, in 1:1 strategy sessions and through my group coaching program, Empowered Branding.

 

A common theme among all these business owners is the challenge of managing changing schedules during the summer months with vacations, family obligations, graduations, visitors from out of town and so on. Not only for yourself, but also your clients.

 

All of this can impact your business.

 

So, how can we best manage this? 

 

First, awareness of the issue means we are already ahead of the game! 

 

But, by planning ahead, you are helping to make sure that your summer ends with you feeling totally content. What does your business look like this summer? Maybe that means slowing down for the summer and taking some time of for yourself or maybe that means growing and expanding your business.

 

How?

 

Start with getting clear on what you want your summer to look like. Work, fun, travel, family time? Or perhaps you have other projects you want to focus on.

 

What do you want it to look like?

 

Let’s get this down on paper. Take out your favorite notebook and start writing.

 

  1. What are your current plans? 
  2. What are your goals?
  3. Three months from now what do you want to have accomplished?

 

Once you have a vision, then you can start to map out the steps you need to take to get there. So list those actionable steps next to your goals. Perhaps number them in order of priority.

 

Perhaps you want to launch a workshop, a new class, focus on personal growth, try a class at another studio, onboard new staff, improve systems and operations, focus on winning back clients who have not been to the studio for a while… 

 

Or, perhaps your goal is to keep things the same and not add a single thing!

 

What ever your goals are - have a plan for getting what you want this summer.

 

A summer filled with intention.