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As business advisors, we visit lots of health and wellness
businesses every year - both big and small. But I often find that our
experiences as customers are even more valuable. I
recently noticed a small neighborhood fitness center near my home here in
Dallas. My husband and I have worked out at hospital fitness centers,
community fitness centers, a workout room in our condo building, a small JCC
and a big YMCA, and a huge newly-built location of a national chain.
However, we'd prefer a small, well-equipped and friendly
neighborhood spot. I was thrilled when I saw this place and
predisposed to like it.
Join me on my visit as I share the perspective of a
potential customer:
The first (and only) person I met was at
the front desk.
Much like Wal-Mart,
the first (and only) employee I met was basically
simply a friendly greeter. She wasn't very knowledgeable about fitness
or wellness. It was clear that our life experiences were entirely different,
so we didn't have much to say to each other. There was certainly no
sense of "Great - she really gets it!"
She asked me what brought me in. I said I saw them
as I was driving by - and that was it. No follow-up questions about my
lifestyle, fitness goals, prior experiences, or what mattered to me in
choosing a fitness center.
My reaction: Disappointment. I really
expected someone knowledgeable, because this place presents itself as a
perfect fit for people who are really into fitness and wellness.
We took a tour and played "Can you spot the
equipment?"
She walked me through their storefront facility, pointing
out the cardio equipment, the free weights and selectorized equipment, and
the group fitness/yoga studio. She said the owners were wonderful
people who really cared about all the customers. She said the
customers were wonderful people who loved it there.
My reaction: The obligatory tour of the equipment
doesn't do much for me. I know what it all is, so unless there's
something unusual that's worth pointing out, I'm more interested in
getting a feel for the people who run the place and the people who
patronize it. If all I care about is equipment, I can join 24 Hour
or Bally's. Boredom is always a problem, so I did notice that the TVs
are shared - ...bummer. I was a little surprised that no owners or
managers were around, so I didn't pay much attention to the comments
about them. Plus, the comment about great customers sounded
suspiciously like her description of the owners. She didn't seem
to know any of the customers who were there working out, so with no
specifics, I didn't take it very seriously.
I had questions. Answers, not so
much.
They didn't have a pull-up machine or a pull-up bar
anywhere, so I asked about alternative ideas. She had one suggestion
that wasn't really practical and then we moved to the next tour stop.
My reaction: I think this is a reasonable question.
She should have gotten a good answer while I was there, or followed up
afterwards.
Since they only have a few pieces of cardio equipment, I
was concerned about having to wait to use the equipment at certain hours.
I was also concerned about availability of weight equipment for solo
exercisers when trainers are working with clients. She wasn't sure, but
didn't think it would be a problem. It was clear that she didn't
really know - and she didn't find out, either. I also asked about the
ratio of men/women and the ages, but she wasn't sure.
My reaction: These are all basic questions and she
should know the answers. Plus, these are important issues to me -
when I didn't get encouraging responses, my interest started dwindling
fast.
She gave me a sales kit (and I almost
fainted).
These five sales tools
were in the pocket folder
of marketing material she handed me at the end of the tour:
1) Group fitness and yoga class schedule
My reaction: Gosh, there sure are a lot of empty
time slots...but that's OK, because I don't usually choose group fitness
classes. Although I do like yoga classes sometimes..
2) Hours of operation
Monday through Thursday, 5 a.m. to 9:30 p.m., Friday 5 -
8, Saturday 7 - 5, Sunday 8 - 5.
My reaction: Not good. I'm not an early bird.
I love working out in the evening, so short weekend hours and Friday
hours are a problem. Plus, closing at 9:30 during the week means
they'll be starting to clean up around me, and I hate feeling rushed.
Too bad they can't make a special arrangement for me, or offer 24-hour
card access since it's a pretty limited membership. Or maybe they
could make an arrangement - but I'm sure she wouldn't know about it.
3) A sales pitch for personal training
It's a flyer with extremely general goals and benefits,
like "mass building", "invariable results" and "efficiency".
My reaction: I don't even know what these terms
really mean - it just sounds like marketing fluff. And there's
nothing on here about their credentials, their expertise, no pictures or
testimonials from happy clients, no case studies, and no details about
their programs or approaches. Would they just assign me randomly
to a trainer? What if I want a female trainer, or one with a rehab
background?
If personal training were high on my list, this
would not motivate me to choose this business. Plus, do they only
do training during their normal hours? Seems like it would get
crowded pretty fast. I don't like crowds and working out
elbow-to-elbow.
4) Another page containing marketing fluff
This flyer's one long single-spaced paragraph stating that
they have a "state of the art" facility with a "warm and luxurious"
environment.
My reaction: Whatever. Anyone can pat
themselves on the back. I can tell the equipment is reasonably new
- but certainly not state of the art. The facility is reasonably
clean and well-organized, although bits of gear are huddled next to the
baseboards throughout the main workout area and the group fitness area.
But it's certainly not luxurious. I write this flyer off as
marketing fluff.
5) ...And of course, a price sheet.
She quickly points out the prices and emphasizes that no
one will call me after I leave.
My reaction: I nearly fainted. The first
price you see on this page is over $500/month! Then I realized
that this price includes twice-weekly personal training at $60/hour.
That's a lot of training at a rather high price. Might be OK if
the trainers were fabulous, but I hardly know anything about them, so
$500 is not gonna happen.
Below that, the plain-vanilla price of $59/month appears.
My reaction: Hmmm. That's awfully close to
what the new Life Time charges - but Life Time has better hours and tons
more equipment. I'd never have to wait there. They don't
have CardioTheater, but they do have more TVs. The front desk
experience is about the same - unskilled and slightly courteous people
who don't really have any interest in me at all and probably won't be
there in six months.
If I loved the people here and the environment was
genuinely warm and relaxing, it'd be worth it - I don't use all the
equipment that Life Time offers, and I could probably tweak my workout
schedule. But....
Finally, there's some additional pricing for yoga and
something called "semi privates" (a term that's meaningless to me as a
customer), which makes it clear that the "unlimited group exercise classes"
described in the membership actually aren't unlimited. As a customer,
I hate having to remember what's extra and what's included.
My take as a business advisor.
I see five major critical mismatches in this experience:
1) A mismatch between what they say they do and what they
really do
They're presenting themselves as a neighborhood fitness
center when they're really a personal training studio.
So they're attracting prospective customers like me, who
really want a health club or fitness center, only to disappoint us because
they don't do a great job of meeting our needs - no wait times for
equipment, longer operating hours, etc.
The bottom line is that you need to understand what makes
your business special and clearly communicate it.
2)
A mismatch between their sales strategy and their pricing strategy
For $500+/month, I expect to talk to
someone knowledgeable about fitness and wellness as soon as I walk in the
door.
In fact, I'd like to visit with an owner or a manager - a realistic
expectation in a facility this small and focused. I want to be
convinced that they really understand the customer experience that I'm
after. That experience goes beyond equipment. It includes
appreciating the kinds of customers and staff I want to be around and the
kind of atmosphere I want to experience each time I come in. For
example, I'd love to hear that lots of clients have been there for years,
because I want an environment where I can actually get to know people.
The bottom line is that your sales strategy needs to be
well-matched to your pricing strategy. Inexperienced and unskilled
staff are not effective salespeople for a high-end and relatively
high-priced service.
3) A mismatch between their sales strategy and the highly
individualized services they offer
Where's the "personal" in personal training?
One-on-one training is a highly personal service. I expect a
consultative approach to matching me with the trainer best suited to my
interests and temperament.
As far as I could tell, they'd simply assign me to someone who had available
time. It's as if you walked into a car dealership and they said "Well,
we have this white two-door car over here. Pay the cashier on your way
out." That's not how people buy cars! And it's not a recipe for
building a healthy personal training studio either. Few customers make
this kind of investment without considerably more discussion.
The bottom line is that health and wellness programs and
services are, in fact, the most personal buying decisions made by consumers.
Successful wellness businesses match what consumers need and want to the
most appropriate programs and services.
4) A mismatch between their sales strategy and their
actual business and customers
They need to tailor their sales and marketing strategy to
their business and their potential customers.
Instead, they've simply copied what they saw elsewhere.
But effective sales tools anticipate the questions and concerns that your
specific prospects are likely to have.
Specifically, they should:
-
Overhaul the tour to focus
on features, advantages and benefits of membership
-
Post photos and detailed
professional bios of all the trainers
-
Provide extensive
testimonials and case studies in the sales kit
-
Rework the existing
marketing documents so that they're genuinely useful to potential
customers
-
Reformat the class
schedules so that they don't look so skimpy
-
Rethink how they present
their pricing and respond to pricing objections.
5) A mismatch between their business goals and their
follow-up tactics
They SHOULD follow up with potential customers, instead of
announcing proudly that you'll never hear from them after your visit!
No, you shouldn't hassle prospects and pressure them to sign up. But
promising that you'll never contact them is silly, especially if you choose
to use someone inexperienced as your main contact with prospects. For
example, I had several questions that someone knowledgeable could have
easily handled.
And frankly, if you're presenting a high-end service and
you insist on using unskilled labor to greet potential customers, you
should have skilled fitness or wellness professionals make follow-up
contact with qualified prospects.
Moreover, use the face-to-face encounter with a prospect
to actually engage them in conversation and solicit their reactions.
She had no idea that most of my concerns even existed because we really
weren't having a conversation. Instead, it was a monologue where she
pointed out the types of equipment and commented briefly on a few areas like
personal training. So this ineffective sales process will probably
never improve!
As I was leaving, sales kit in hand, she asked if I had
any questions. At that point, I had so many concerns - and she seemed
so unaware of them and unable to address them - that I simply said no and
left.
That's what most prospects will do if you haven't shown
them that you understand their needs and know how to meet them. They
won't volunteer their worries - they'll just strike your business off the
list and move on....and you'll be left to wonder why so few prospects stick
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