HOW TO SET UP YOUR FITNESS BUSINESS MODEL FOR SUCCESS
The industry is full of claims on how Personal trainers consistently achieve a six, or even seven figure salary. What’s the secret? Charge more per session, get more clients or hire staff? For most trainers in the industry, it's unlikely that they're even thinking that far ahead. However, if one thing's for certain, and in regards to any business that's about to launch is, the right business model must be selected if long term success is to be realized.
Choosing The Correct Business Model
It’s a time old cliché; you can be the best Personal Trainer out there in the country, but if your business skills aren’t up to scratch you’re going to be left behind. There’s a mountain of resources freely available on developing your business skills. So what is holding your business back and preventing the dollars from flowing in? For many Personal Trainers, it’s as simple as being limited by their business model. Well, which business model works best? Ultimately, that's up to the business owner to decide with what their end goals are. Let’s look at three personal training business models, to get you started with analysing the best approach to achieving your business goals.
Private Training Sessions
SNAPSHOT: There is always a market for this model. Private training sessions allow the personal trainer to narrow down his or her target client, sessions are highly personalised and, it doesn’t take a great number of clients to develop a healthy income. Yet, many Private Personal Trainers are still not cracking the six figure salary mark; in fact, the national average barely extends halfway to reaching the 6 figure mark.
Two ways you can easily boost your profit as a Private Session Personal Trainer are:
1. Raise your rates and risk losing clients or,
2. Find more clients.
OUR TIP: Price your sessions to make sure you get good value for your time and allocate budget to finding and growing lucrative sessions. Develop a target and work towards hitting your ideal number of private training sessions.
SNAPSHOT: The opposite of Private Training sessions, group training remains a popular model, whether running large or small group training sessions. Generally offered at a low price point than private training session, group training sessions are an excellent lead generator for growing your private training sessions.
This particular model is also great if you’re operating your own studio and running scheduled classes. But, for the personal trainer paying to rent out of a larger gym, it’s not a practical solution as a main source of income.
OUR TIP: Use group training sessions to promote more profitable personal training sessions. This means finishing each group training session with the potential to move clients onto more personalized, or private, training sessions.
SNAPSHOT: Finally, we arrive in the middle ground. Much like the private personal training and, just as effective, personalised training sessions are offered on a two-on-one or, even up to four-on-one scenario. This is where the similarities should end but, for many personal trainers it doesn’t.
GROUP TRAINING SCENARIO: Let’s look at a common scenario. 'Trainer A' offers a sale for semi-private sessions for two clients. Our 'Trainer A' charges $50 for a thirty-minute private session and decides to split the costs between each client. This is a simple case of the trainer making a moral decision thinking its good business.
Meanwhile, 'Trainer B' takes a different approach, opts against splitting the cost and decides to offer the session at a discount of 20%
instead. 'Trainer B' is effectively just creating another session, selling an individual product to a client without devaluing their
Not only is this clever business but it’s also a 37.5% mark up on the $50 private session rate. Calculated out over a 40 session week, 'Trainer B' effectively leaves Trainer A behind, running semi private training, at a private price point.
OUR TIP: Adopt cleaver business strategies that reflect top value for your time and experience. Use group training sessions to maximise the higher profit point of private sessions with smart pricing. In other words – don’t sell yourself short in an area that should be highly profitable.
Benefits of Semi-Private Training Sessions
Three reasons we recommend semi-private training sessions as an ideal business model for Personal Trainers:
- Better results for the client with the full benefit of a personal trainer while working out with a friend or partner.
- You can help more people and make more money, all while offering your service at a discount. In a one-on-one environment you are limited by time and price point. Semi-private training effectively allows for the conduct of two private sessions at once. At the end of the week, the difference is astounding!
- Attract more customers. The semi-private model incorporates its own referral program that grows your database at double the pace of private personal training.
So, there you have it, that’s how you build a better model for a more profitable Personal Training business. It’s fairly simple, yet building on the correct training model can set you apart from the crowd, and make a significant difference in the profitability of your Personal Training business.