What to charge.
WHAT PRICING MODELS EXIST
Monthly membership Annual membership, at a discount Pay per session Class packages Personal training, per session or in blocks Off-peak rates
WHAT ANNUAL PAYMENT PROVIDES
Cash in advance and reduced churn.
WHAT IT COSTS
A discount, and obligations if the member leaves.
WHAT TO ESTABLISH
What each membership actually costs you to serve.
WHY
Members using the facility heavily cost more than those who do not.
WHAT THAT MEANS
Pricing must reflect the average, not the extremes.
WHAT OFF-PEAK PRICING PROVIDES
Revenue from capacity that is otherwise idle.
WHY IT WORKS
The marginal cost of an additional off-peak member is small.
WHAT TO ESTABLISH
When your facility is genuinely quiet.
WHAT JOINING FEES PROVIDE
Recovery of induction cost, and a barrier to casual joining and leaving.
WHAT TO BE CAREFUL WITH
Discounting to attract joiners.
WHY
It attracts people who leave when the discount ends, and it devalues the full price.
WHAT TO PREFER
Value added rather than price reduced.
WHAT TO ESTABLISH ABOUT PAYMENT
How members pay, and how recurring payment is collected.
WHY IT MATTERS
Collection failure is the commonest cause of unintended membership lapse.
WHAT TO DO ABOUT FAILED PAYMENTS
Contact promptly.
WHY
Most are administrative rather than deliberate.
WHAT TO REVIEW
Pricing annually, against costs.
