CREATING RELATIONSHIPS BEYOND MEMBERSHIPS

CREATING RELATIONSHIPS BEYOND MEMBERSHIPS

FITNESS HAS NEVER BEEN BIGGER. In fact, it s now the world s biggest sport, with 61% of people who exercise regularly doing gym-type activities. 1 But retention remains the club industry s biggest problem. TYPICAL FITNESS FACILITIES LOSE 50% OF THEIR MEMBERSHIPS A YEAR. 2 WHAT ELSE IS MAKING IT TOUGH OUT THERE? Competition within the sector Increased number of clubs and specialised facilities. MOTIVATE YOUR MEMBERS OR SOMEBODY ELSE WILL And where previously acquisition of new members could fill the gap, new levels of competition and industry segmentation have made gaining and retaining memberships harder than ever. IT S TIME TO BUILD A STRONGER BUSINESS Competition outside the sector More ways than ever to work out outside of clubs, most involving fitness technology. Millennial audience This demographic presents clubs with a big opportunity, but they re currently moving away from traditional facility membership. With these increasing pressures on clubs, it s more important than ever to focus on retention as well as acquisition to protect your club and memberships. The answer for how to do this is already there; it s the members in your club. If you help your members fall in love with fitness and your club, you ll be able to tackle all of these challenges and make your business more resilient. 1 Nielsen: Les Mills Global Consumer Fitness Survey 2013. 2 TRP 10,000 Survey 2014.

THE DIFFERENCE BETWEEN WORKING OUT AND WALKING OUT THE DIFFERENCE BETWEEN A GOOD CLUB AND A GREAT ONE Fitness is hard. That s the inescapable truth. And to keep going, people need to see results. So when members don t see a difference in time, they drop off. 33% OF MEMBERS STOP ATTENDING BY MONTH 3, AFTER AN AVERAGE OF JUST 12 WORKOUTS AND BEFORE THEY HAVE HAD ANY CHANCE OF SEEING ANY REAL BENEFIT, OR OF CREATING A HABIT. 3 It s this truth that has driven clubs to focus on acquisition and getting as many new members through the door as possible. Many know the benefit of focusing on retention, and some have succeeded, but the reality is most have found themselves selling their facility, not exercise, and unfortunately losing members has become the industry norm. A more challenging market environment is making this harder and harder, and now it s time to tackle the issue head on. NO RESULTS = NO RETENTION Results are at the heart of retention. The key to getting results is building and sustaining an exercise habit. This is hard work for members to do on their own. But as part of a group, with the club helping them along, anybody can fall in love with fitness and make it part of their lifestyle. We believe in focusing on the members in your club. If you can motivate your members and help them love fitness, they will fall in love with your club, recommend it to friends and never stop coming back for more. Meaning acquiring new members will become much easier too. To achieve this, every aspect of member experience needs to be considered and enhanced, but this is all covered as part of your Les Mills partnership. AN APPROACH FOR SUCCESS 3 IHSRA Health Club Consumer Report 2011. 1: ENGAGE MEMBERS FROM DAY ONE 2: FOCUS ON GIVING PEOPLE THE MOTIVATION, RESULTS AND EXPERIENCES THEY WANT 3: USE ATTENDANCE AS YOUR #1 KPI 4: ADOPT A ZERO TOLERANCE APPROACH TO LAPSED MEMBERSHIPS

CREATING RELATIONSHIPS BEYOND MEMBERSHIPS 4 Nielsen Les Mills Global Fitness Survey 2013. MEMBERS THAT LOVE FITNESS LOVE THEIR CLUB By giving them the motivation they need to keep going, so they see the results they re longing for, you can keep any member on track. And this process starts from the moment somebody becomes a member. The more motivation you can give people from the start, the more likely they are to exercise regularly, see results and fall in love with fitness. BUILD BONDS THAT CAN T BE BROKEN Once a member is hooked on fitness, our research shows they are more likely to visit more often and stay on for longer. 4 Our approach is focused on building these relationships beyond memberships. It s all about maximising your memberships and creating more meaningful connections to your club through group exercise, that way your members will never be tempted to go elsewhere. A lot goes into building a relationship. But with our support, you ll have access to all the tools and resources you need to maximise every membership at your club. We ll start by helping ensure your workout experience is the best it can be, and then work out from there, until your entire club experience is one that members will really love. WORKOUT EXPERIENCE STUDIO EXPERIENCE CLUB EXPERIENCE Equipment Design Visuals AV guidance Insights and research Marketing Membership/onboarding insights and tools Business education and support Nutrition Clubcount Group fitness management Instructor training Refresh rate Music programmes Live, virtual and at home Timetable design STRENGTH IN NUMBERS GROUP EXERCISE OFFERING IS #2 FOR PEOPLE OF SELECTING A CLUB. ASSISTED AND SOCIAL EXERCISE BUILDS STRONGER CONNECTIONS The more of your members that work out with a coach or group, the better. Group exercise attendees visit their club on average three times a week, meaning they build far stronger connections to the club and they are statistically more likely to continue their membership longer. 84% GROUP PARTICIPANTS WOULD RECOMMEND THEIR CLUB TO A FRIEND OR FAMILY.

LES MILLS GROUP EXERCISE 6 GENRES ACCOUNT FOR 84% OF GLOBAL GROUP EXERCISE PARTICIPATION: 20 15 10 5 0 Our combination of highly motivating instructors and regularly-updated, scientificallybacked exercise choreography is the perfect mix to keep people engaged and immersed in your club helping to build the community and relationships that will transform your business. 19% Strength and weights 19% Cycling We have solutions that cover all of the most in-demand group exercise genres, including the choice of virtual or live delivery and a selection of HIIT programmes, so you can offer members exactly what they want. 16% Dance 15% Mind/body 6% Martial arts 6% Core LES MILLS STRENGTH AND WEIGHTS MIND AND BODY MARTIAL ARTS HIIT GROUP CYCLING DANCE YOUTH EXERCISE ASK YOUR CUSTOMER EXPERIENCE MANAGER FOR MORE INFORMATION ON SPECIFIC CLASSES.

OUR COMPLETE SUPPORT PACKAGE Programming is only one aspect of the support you can receive from Les Mills. With our 360 support services you ll have all the help you need to tackle retention and build stronger relationships with your members. ALL THE WAYS WE CAN HELP YOU BUILD RELATIONSHIPS WE LL ADVISE YOU ON HOW TO BUILD YOUR BUSINESS AND AMBITIONS AROUND CREATING RELATIONSHIPS BEYOND MEMBERSHIPS. CLUB CONSULTANCY WE LL ENSURE YOUR WORKOUTS ARE EFFECTIVE AND CHANGE REGULARLY, ENSURING MEMBERS ARE GETTING THE RESULTS THEY WANT AND THE RELATIONSHIP STAYS FRESH. PROGRAMMING Specialised consultants to help meet your business goals Step-by-step guides and support to implement the programmes Access to management tools and education 20 group exercise programmes cover all genres HIIT, youth and virtual programming solutions New music and choreography every 90 days Safety and quality assured, and backed by science WE LL HELP YOU FORM RELATIONSHIPS WITH YOUR MEMBERS AND ENGAGE THEM FULLY WITH ALL YOUR CLUB S ACTIVITY. MARKETING WE LL MOTIVATE AND EDUCATE PEOPLE AT ALL LEVELS OF YOUR CLUB TO CREATE A TEAM FOCUSED ON HELPING MEMBERS LOVE FITNESS AND BUILDING A STRONGER BUSINESS. TRAINING 24/7 online access to marketing resources Acquisition and retention tools New marketing every quarter Marketing start-up kit provided Complete training solutions for instructors Quarterly education and instructor workshops Advanced training for quality control

ARE YOU READY TO BUILD BONDS THAT CAN T BE BROKEN? Get in touch today and begin your club s journey towards creating relationships beyond memberships. 1.844.LESMILLS INFO.USA@LESMILLS.COM LESMILLS.COM