Raising rates can be scary—but you won’t bleed members if you follow the right plan.

In this episode of “Run a Profitable Gym,” host Mike Warkentin sits down with Tim Rainer, owner of Fit One Five in Franklin, Tennessee, to discuss the ins and outs of raising rates at a gym.

Tim tried raising rates on his own three times, but none of the increases had a noticeable impact on his business. The he brought in an expert to get it right.

With the help of a Two-Brain mentor, Tim was able to adjust his business model, modify his offerings and increase value to justify a significant rate increase that allowed him to serve his clients better, pay his coaches more and build a sustainable business.

Tim provides all the details of his rate increases, including exact numbers and client reactions. He's also got advice for gym owners who are struggling to figure out how to ensure the long-term success of their businesses.

Links

“The Simple Six” by Chris Cooper

Gym Owners United

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1:06 - The very first rate increase

7:18 - The most recent rate increase

16:25 - Will you lose clients?

18:46 - Communicating

23:48 - Is a mentor essential?

Every gym owner must raise prices at some point—and it can be nerve wracking.

Today on “Run a Profitable Gym,” you’ll learn exactly how to implement a rate increase, step by step, without generating a flood of cancellations.

In this episode, Mike Warkentin chats with longtime Two-Brain mentor and former gym owner Greg Strauch, who shares Two-Brain’s battle-tested plan.

Greg has helped 81 fitness entrepreneurs increase rates and stabilize their businesses so they generate profit and allow the owner to earn a good wage.

This episode lays out everything you need to know to implement a rate increase—but doing it on your own can be disastrous.

For example, you’re going to be tempted to write a long, defensive, apologetic email to your clients when you announce the increase. That’s a mistake—but it’s very hard to resist without an expert in your corner.

When you boost prices, nothing can replace the assistance of an experienced mentor who will guide you, support you and tell you, “Do this exactly like this right now.”

Key points:

1. Every single person Greg has worked with has raised rates successfully, so why would you be any different?

2. In most cases, a rate increase alone more than pays for the cost of mentorship, so getting help is a great investment in your business and your family.

Links

Chris Cooper: "Denying Discounts: A Short Guide for Gym Owners"

“How to Say 'No' to Discounts"

Gym Owners United

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1:59 - Why are rate increases inevitable?

11:16 - Essential elements of a rate increase

32:23 - Client success stories

40:06 - Get a mentor

Imagine paying yourself $16,000-$38,000 per month as a gym owner. Today’s guest on “Run a Profitable Gym” does just that.

In this episode, host Mike Warkentin sits down with top-earning gym owner Darren Thornton of Defy Functional Fitness in Toronto, Canada.

Darren, a regular on Two-Brain’s leaderboards, shares actionable steps you can take right now to grow your business and pay yourself more.

For starters, he says to figure out how much you need to earn, then work backward to determine how many clients you need and what you need to charge to meet that target.

Focus on reaching a high average revenue per member (ARM) by offering premium services to help clients reach their goals faster. Then figure out what roles you can easily replace yourself in so you can focus on high-value roles that generate more money for your business.

A mentor can help you do all this quickly and effectively.

Tune in to hear more of Darren’s top income-boosting tips, and you can also check out his last appearance on the show via the link below.

Links

Tips for Extreme Average Revenue Per Member

Gym Owners United

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1:24 - Increasing Darren’s ARM

5:19 - Value Ladder exercise

8:19 - Tactics for increasing ARM

12:10 - The rundown on Darren’s gym

18:52 - How mentors help you reach goals