The recession has taken a toll on businesses all across the United States.
However, a few businesses have been able to stay afloat – and even thrive – during these challenging times.
One of these types of businesses is the gym. Gym owners looking to recession-proof their business should follow these 8 tips!
So, What Are The Best Tips To Recession-Proof Your Gym Business?
- Reduce Overhead Expenses
- Diversify Your Revenue Streams
- Offer Online Classes
- Invest In Marketing For Your Gym
- Try Flexible Pricing
- Keep Good Staff; Drop the Rest
- Develop an Emergency Fund
- Incentivize Current Members
Reduce Overhead Expenses
One way to recession-proof your gym is to reduce overhead expenses, for example, by using an efficient gym management software.
Evaluate your current spending and look for areas where you can cut back without compromising the quality of your business.
Save money by shopping for bargains on supplies and equipment and by reducing staff hours or eliminating positions.
You may be able to reduce your advertising budget, renegotiate contracts with suppliers or consider becoming more energy efficient. Consider going green!
By being mindful of your expenses and making small changes, you can help ensure that your gym remains profitable during tough economic times.
Diversify Your Revenue Streams
One way to recession-proof your gym is to create alternative income streams for your gym.
Expand your services to include personal training, Pilates classes, or nutritional counseling.
The gym could offer discounts on memberships and group classes, promote package deals, or partner with local businesses to provide discounts to their employees.
A loyalty program is a great way to reward customers for their patronage!
By creating alternative income streams for your gym, you’ll be less reliant on one income stream and better prepared for tough times.
Offer Online Classes
Gyms are starting to offer online classes to recession-proof their businesses. Gyms can reach a larger audience by providing online courses and bringing in more revenue.
Online classes allow people from all over the country to take your classes, regardless of location.
This a great way to attract new customers as they can participate in your classes from their homes.
Important things to remember are the following:
- Make sure that your instructors are qualified to teach online classes
- Make sure that your class materials are easy to follow and that the course runs smoothly
- Promote your online courses heavily on your website and social media platforms
- Test out your online class offerings before you officially launch them
Finally, online classes are a great way to attract new members, as people can try out the gym’s classes without having to go to the physical location.
Invest In Marketing For Your Gym
There’s no such thing as bad publicity! Publicity is significant when marketing your gym during a recession. Now may be the perfect time to invest in marketing for your gym.
You can do this in several ways, from increasing your advertising budget, focusing on online marketing initiatives, or offering promotions and discounts that could entice people to join your gym.
A great way to market a gym is through word-of-mouth marketing. Encouraging current members to refer their friends and family members can be an extremely effective way to grow your business.
Consider giving back to the community. Help promote healthy lifestyles by working with schools and community organizations to offer free or discounted memberships to kids and families in need.
No matter what route you choose, ensure you effectively target your audience and that your message is clear and concise.
Try Flexible Pricing
Flexible pricing is a must if you are looking to recession-proof your gym.
By offering different pricing options, you can accommodate everyone from the budget-minded to the high-roller. You can also offer package deals and monthly memberships to attract more customers.
Don’t forget about student discounts! A little bit of flexibility will go a long way in keeping your gym afloat during tough times.
Keep Good Staff; drop the Rest
Keeping good staff during a recession can be difficult, but it’s important to remember that they are the backbone of your business.
Good staff will help keep your gym running smoothly and provide a good customer experience, as gym members will appreciate the stability of familiar faces.
People are likelier to stick with a gym if they feel welcome and supported. Your staff should be available if someone has a question or needs help using the equipment.
They are also crucial for providing a positive atmosphere in the gym!
Dropping bad employees is one of the best ways to recession-proof your gym. If an employee is not doing their job or is not fitting in with the company culture, it is best to let them go.
Doing so will help to ensure that the rest of the employees are productive and happy. It will also help to keep costs down, which is essential during a recession.
Letting go of an employee can be difficult, but sometimes it’s necessary to keep your gym afloat.
Develop an Emergency Fund
It is vital to have an emergency fund in case of unexpected expenses. This fund should cover at least three to six months of living expenses, and money management is critical.
One way to develop an emergency fund is to save a fixed percentage of your monthly income and set up a budget to help you stay on track.
Another option is to set aside a portion of your monthly profits into a savings account specifically earmarked for this purpose and invest in short-term debt instruments, such as treasury bills or certificates of deposit.
These options can provide you with a steady income should you need it.
Incentivize Current Members
One way to recession-proof your gym is to incentivize its current members.
There are several ways to accomplish this, including the following:
- Offer promotions
- Discounts on membership dues
- Offer free add-on
- Personal training sessions
- Access to special classes
- Hold contests
- Give out prizes to members who refer new people to the gym.
Try to keep your facility well-maintained and stocked with the latest equipment, and make sure your staff is friendly and helpful.
Whatever method you choose, ensure that the incentives are enticing enough to encourage people to sign up and stay loyal to your gym.
Following these recession-proof tips can help ensure that your gym weathers the storm!
Did We Miss Anything? Let us know in the comments below!