Inside KPI: Attendance Rate
If you run a gym or fitness center, you know how important it is to keep track of your members' attendance. Attendance rate is a key metric that measures how often your members visit your gym in a given period of time. It can help you understand your members' behavior, satisfaction, loyalty, and retention.
But how can you use attendance rate to make better decisions for your gym? In this post, I will explain what attendance rate is, why it matters, and how you can use it to improve your gym's performance and profitability.
What is Attendance Rate?
Attendance rate is the percentage of members who visit your gym at least once in a given period of time, usually a month or a year. For example, if you have 1000 members and 800 of them visit your gym at least once in January, your attendance rate for January is 80%.
Attendance rate can vary depending on the type of gym, the location, the season, the membership plan, and other factors. For instance, a gym that offers group classes may have a higher attendance rate than a gym that only has equipment. A gym in a cold climate may have a lower attendance rate in winter than in summer. A gym that charges a monthly fee may have a higher attendance rate than a gym that charges per visit.
Why Does Attendance Rate Matter?
Attendance rate matters because it reflects how engaged and loyal your members are. Members who visit your gym regularly are more likely to be satisfied with your services, renew their memberships, refer their friends, and spend more on ancillary products and services. Members who rarely visit your gym are more likely to be dissatisfied, cancel their memberships, switch to competitors, and generate negative word-of-mouth.
Therefore, attendance rate is closely linked to your gym's retention rate, which is the percentage of members who renew their memberships at the end of their contract period. Retention rate is one of the most important indicators of your gym's success and profitability. According to a study by IHRSA, increasing retention rate by 5% can increase profits by 25% to 95%.
How to Use Attendance Rate to Make Better Decisions?
By tracking and analyzing your attendance rate, you can gain valuable insights into your members' preferences, needs, and pain points. You can use these insights to make better decisions for your gym in terms of marketing, pricing, programming, staffing, and customer service.
Here are some examples of how you can use attendance rate to make better decisions:
- Marketing: You can segment your members based on their attendance rate and tailor your marketing campaigns accordingly. For example, you can send personalized emails or texts to low-attendance members to remind them of the benefits of regular exercise, offer them incentives or discounts to come back, or ask them for feedback on how to improve their experience. You can also send appreciation messages or rewards to high-attendance members to thank them for their loyalty and encourage them to refer their friends.
- Pricing: You can adjust your pricing strategy based on your attendance rate and your members' willingness to pay. For example, you can offer different membership plans with different prices and features to suit different types of members. You can also experiment with dynamic pricing or surge pricing to optimize your revenue during peak and off-peak hours.
- Programming: You can design your programming based on your attendance rate and your members' interests and goals. For example, you can offer more variety and flexibility in your group classes or personal training sessions to cater to different levels and preferences. You can also introduce new programs or equipment that align with the latest fitness trends or customer demands.
- Staffing: You can optimize your staffing based on your attendance rate and your members' expectations and feedback. For example, you can hire more trainers or instructors during busy times or for popular programs. You can also train your staff to provide better customer service and build rapport with your members.
- Customer service: You can improve your customer service based on your attendance rate and your members' satisfaction and loyalty. For example, you can create a welcoming and friendly atmosphere in your gym by greeting your members by name, remembering their preferences, offering them complimentary towels or water bottles, or celebrating their achievements. You can also solicit feedback from your members regularly and act on it promptly.
Attendance rate is a powerful metric that can help you measure and improve your gym's performance and profitability.