Pricing

Let's review your pricing :)

Pricing your services is a sticky subject. There is no doubt about it.

Whether you are pricing a single session, a package or a membership option for appointments or classes. It can be tricky.

And what happens when you offer all different kinds of services?!

Argh! It’s enough to make your head spin!

Recently, we’ve seen the boutique fitness market evolve when it comes to pricing. 

When boutique studios really started to take off around 9 years ago, a major selling point was the no commitment price model. Studios sold packages of 1, 5, 10 or 20 plus sessions or classes. 

And clients loved it.

L.O.V.E.D IT!

At that time, there was a big shift away from big box gym memberships that seriously lacked the community and support of a smaller studio. These were usually long term commitments but didn’t necessarily encourage regular attendance

So when studios opened offering amazing classes without a long-term financial commitment, clients were happy to pay (and often a little more) for something that bought the results.

Buying classes and booking in advance put an end to that little last-minute voice saying: “bail!”

Knowing that you’d already paid for a session was motivation enough to get off the couch!

And, everyone was excited about being part of a tribe and seeing friendly faces.

However, over the past 3-5 years, boutique studios across the board have increasingly begun to offer a monthly membership model which both the studio owners and clients seem ok with. 

Kinda interesting since that is what folks wanted to get away from in the early days!

So… why does this make sense now?

For studio owners a membership price model is actually a good thing. Those gym chains were onto something! Regular stable revenue is good for business longevity. You can plan and budget with more certainty - because your cashflow is more consistent. 

It is super helpful from an admin perspective as you are not chasing clients to purchase a new package or ask for monies owed. Once you have made that initial sale, the payments are automated and so the admin hassle decreases.

For clients, there are some overlap to the benefits. They too appreciate less admin time - they can schedule as they like online and especially enjoy the freedom and flexibility of unlimited memberships.

The membership model is also more conducive to helping the client actually get results - in most cases a class or session once per week is just not enough to get the benefits most are looking for. TIP: check out your attendance analysis report and see how frequently your clients visit - you might be surprised!

That said, most studios continue to offer an option to purchase a package although the price point is usually less appealing to the client than a membership price point. Packages are usually priced higher per class than a membership option. 


Of course, there is a lot of work that goes into running a studio with a membership pricing model - think sales processes, marketing etc. And, just like everything, it won’t be the right fit for everyone. But, perhaps, it is something to consider?

I’d love to hear YOUR thoughts - email me at hello@springthree.com and let me know if you’ve tried this or are interested!







P.S. Has it been a while since you reviewed your pricing or even longer since you raised your pricing? In Empowered Branding I cover this as part of setting yourself up for success when it comes to building a thriving studio business. What you learn in this program will help you navigate the path of what works and what doesn’t when it comes to pricing. If you want to find out more, let’s set up a times to speak. Click here to schedule a time!








A Note About Pricing... Again

This is a follow-on to a previous article on pricing and discounts. (You can find that article here). In that article, I talked about how offering your core services for free potentially devalues them - which I still strongly believe. But, there are some exceptions to this rule, and I wanted to share these with you today so you can make use of them in your business!

Giving something away is ok when you have a valid business reason for doing so 

If you are a new studio, offering free or significantly discounted classes for a very limited time, e.g. the first few days or the first week, makes sense. It’s a great way to get people through the door and experiencing your product. It also makes sense as part of an upsell strategy, where you offer a free class if a new client purchases a package of classes or sessions on their first visit. The goal here is to get people talking about your studio, to get people in your studio and get people to return again!

If you are a growing studio and offering a new type of class or package, incentivizing your existing clients to try the class will help to expand their participation in the various services you offer. Similarly, at this point in the life-cycle of your business, offering a free class as a reward to clients who refer friends (that also become clients) can work nicely. Your goal here is to continue to grow your client base and ensure retention of existing clientele. 

As a mature business, giving things away makes the most sense when you’re not giving away your core service! That said, do give away supporting products that enable your clients to participate in your services more easily. Think socks, props for at-home workouts, mats or water bottles. At this point in your business life-cycle, you want to maintain the value of what you offer, and you have to be careful about how you manage your brand. You want to engage and retain your current clients while you look to the future growth of your business possibly beyond your existing space or services.

How you position freebies is key

Giving anything away should be positioned as a prize, a treat or a one-time special. If you choose to try any of the examples above, I suggest offering only for a fixed time and using this opportunity to create some (or ALOT of) buzz in your marketing campaign.

Free isn’t always bad. But, it works best if there is a clear intention driving the offer. 

My pet-hate? First class free. 

You set the tone of the relationship you have with your clients from the very first interaction they have with you! 

I believe that new clients need multiple visits to feel comfortable and understand the nuances of a new workout or studio. Workout studios can be intimidating places! Instead, offer a package that enables the relationship with your new client to develop over a few visits. My favorite for private sessions is a 3 or 5 class package as an intro offer.
Good luck!

Intro Offers That Work

It's pretty standard practice in this wonderful world of fitness to attract clients to our business with some introductory offer. A promotion we offer to people who visit our business for the first time that entices them to give it a try. An introductory (intro) offer should be enticing and appealing, but not necessarily for everyone! As tempting as it may be, making your intro offer a free or largely discounted that appeals to the masses and gets a ton of foot traffic may end up hurting your business in the long run.