Gym Owners!! Inflation in 2021 hit an all time record of 6.2%. Normally it’s 2% which means you are eating 4% of lower profits if you have not adjusted for inflation. I’m begging you to RAISE YOUR RATES!
That doesn’t mean you have to go and raise the prices on your existing clients, you can just start charging more to new clients moving forward. They will understand. Everything is going up in price…
- Movie tickets
- Groceries
- Gas
- Houses
- Supplements
- Payroll and wages
- Insurance
- Taxes
And most brick and mortar Gym Owners have a lease that increases by 4% each year.So, if all your business costs are going up but your prices are staying the same, what doyou think is going to happen?
Here’s what usually happens….the Gym Owner makes less profit and stress increases.When you are stressed you can’t make clear decisions and you feel foggy headed. You decide to distract yourself from the lack of revenue with “busy work” like coaching sessions, answering emails, scrolling social media and making excuses why your day flew by and you never got around to focusing on the BIG things that will change your business for the better.
Many of these problems can be solved by having the money required when an investment shows up. It could be investing in marketing or hiring a rock star coach or a
service that will free up your time or buying new equipment.Money moves your message. You cannot get your message out to the world unless you have the money to do so. Raise your prices this year and thank me later.
No one will bat an eye if you increase $20-$50/mo in your service and you will see how much easier it is to grow your business by serving less people who are paying more.You need adequate funds to deliver an amazing experience. Rock Star Coaches are not cheap, you need money to hire the best. Marketing is not cheap. You need the funds to run ads and test what works in your market. Unexpected maintenance will come up andyou need the extra funds to address it. And lets not forget you need to have money set aside to pay Uncle Sam too. Everyone will have their hand out so you need to make sure to charge what you need the right amount to keep your business running strong.Raising prices doesn’t make you greedy or selfish. It means that you know your
numbers and that you cannot survive or thrive off bottom-of-the-barrel pricing. The years with the highest inflation are the separators of business. It’s when most businesses flourish or fail.Comment below with how much you plan to raise your prices.