452: The Gym Sales Process That Creates Members Worth $30,000

The average gym in America has about an 11% churn. So one divided by 11% means they're hanging on to people for nine months. And the average gym is charging about $164 per month. So the average member is worth $1,400 to a gym. his is worth thirty thousand dollars all right welcome back to another episode of the behind gym doors podcast and i've got a real player in the game right now uh we are here for our a-class retreat so every single person that was here we had i don't know like two or three dozen or so people that were here uh they're all running gyms that do at least a million dollars a year and Honestly, a lot of them are doing well over $100,000 a month. So Matt is one of them. Matt, welcome to the show, brother. Appreciate you. So I'm going to just set the tone so you guys know a little bit about Matt and what he, Stevie, and Bo are doing over at their gym. And then from there, we're going to talk about why I have them here, which is really about sales. So if you guys feel like your sales game could be much better, which this guy, you'll see why I chose him here. This is the perfect episode for you and probably to share with your team as well. So Matt, what's the name of your gym?

Recoup Personal Training.

Riku Personal Training. Where are you guys located?

We're in Costa Mesa, California.

Costa Mesa, California. Okay. Now, Stevie is your wife. Correct. Bo is leading the operations of the business?

She's our marketing director and equal business partner.

Marketing director, equal business partner. Okay, sounds great. And everyone has their own roles. What would you say the roles of each person? Obviously, marketing, we got.

Yeah, so Stevie is really our chief operating officer. She works with our team in recruiting and just developing so many of our procedures. And then I really fill the role of sales and acquisition.

Love it. Okay. Okay. So you got 150 people that pay you $600 a month and that's your average.

Correct.

But that does not include the fact that you're doing how much in ancillary sales roughly per month?

Between 15 and 20,000 a month and rapidly growing.

And rapidly growing. Okay. When you say rapidly growing, like where did that look like two months ago or three months ago?

Oh, gosh. In March, when we really placed some emphasis on the medical component of our solution, it was about 10,000 a month. And then May peaked at 25,000. June, it's about 20-ish. July, it's growing. August, growing.

What do you see it being a year from now?

Oh, I would love if this was representing 50% of our overall monthly revenue, 50, 60,000 a month, I think is very feasible.

Which would mean your average member would be spending $300 a month with you just in ancillary sales. Correct. Amazing. Okay. The other thing I want to talk about, which is really great, because a lot of people have a hard time keeping members that are paying $150 a month or $200 a month. You have people that are paying $600 a month. That's a big price. Many people are afraid to raise their pricing because they feel if I raise my pricing, people might cancel. What percentage of your members are canceling every month, your churn rate?

Under 2%.

Under 2%. So let me explain to you what that