* WORNG – Not a typo…read on!
Our Nation is in the grips of a stunning economic downturn. Realists have addressed the situation with zeal, renewed enthusiasm and have engaged counter measures to help offset the situation. They are not in denial.
On the other hand, and the reason for the creation of the word “WORNG”, there are those who are unable to see the truth due to the devastating impact of the debilitating conditions related to the advanced stages of the “Ostrich Effect” ( http://en.wikipedia.org/wiki/Ostrich_effect ). These affected folks proclaim that nothing is wrong. Something is clearly wrong, yet these perceptually impaired individuals perceive the opposite. Therefore, worng is used in place of wrong. Now…there…all better…nothing is WORNG! Right?
Almost every industry has been seriously impacted by the effects of the economic climate. THAT is the truth. New business, retention of existing clients and other revenue streams have been negatively impacted for most business operators.
This impact has to do with economic conditions for sure. However, the bigger revelation is how underprepared most businesses have been to even come close to maximizing their true performance potential.
Two factors that have greatly contributed to performance potential actualization in this economic crisis;
1. Old School Clingology (Clingology is not a real word)
2. Advanced Utilization of False Assumptionology (Assumptionology is not a real word)
Old school clingologists have been convinced that "the way we have always done things" is still a viable counter measure to current market conditions. In other words, they still believe that doing things the same way as they always have will produce a different outcome. Einstein had a thought relative that form of bizarre thinking. He said it was a sign of insanity!
The school of false assumptionology is another failed business model. In the school of false assumptionology the business operator has created false notions about what success is or is not and in their mind their model is successful even in spite of obvious and quantifiable evidence to the contrary! I think Einstein's assumption is very applicapable here also!
What this economic downturn has done more than anything else is to expose fraudulent business models that were supposedly designed for "success"! Look at how many major employers are being crippled with crushing quarterly losses. It is incomprehensible to imagine what they must have been thinking prior to this stern test of performance potential.
Any business that is willing to engage some form of maximum performance methodology has at least managed to survive and many even thrive in this climate! How? By truly engaging the power that every business has...but so few effectively utilize.
For business that truly want to know how they are doing, they should employ a SWOT (Strengths, Weaknesses, Opportunites and Threats) analysis done by a professional business consultant so that the business can clearly identify why they are or are not sustaining success potential in this economy.
The foundation upon which any business is constructed is the starting point for true performance potential. Most business were built on the shifting sands of arrogance and underinformed thought process. Shifting sand is washed away by the flood of economic downturn.
Strong foundations are built on the knowledge that the staff team provides the only opportunity for maximum success. Then by engaging a motivated staff that works together toward a shared vision of success the landscape evolves whereby maximum success potential is possible. Then the team must conjure up how to deliver previously uinimaginable levels of customer service throughout every department...every day! Then effective goal setting, motivational support and performace analysis enable the strong foundation to begin to build the maximally successful performance potential.
Help explode arrogance and denial that has crippled our economy and attack success solutions with strong and unflinching confidence. Something is wrong...but difference makers can change the landscape to a new and positive dimension in no time! As Nike says..."just do it"!
Contact Geoff Hampton for more information on righting what's worng!
GeoffLHampton@aol.com
* SPECIAL OFFER: Complimentary 15 minute phone consultation to evaluate your current performance limiters and determine a powerful pathway for you in order to maximize your true success potential. Call (865) 281-2422 today to arrange your complimentary consultation!
Friday, November 13, 2009
Tuesday, November 10, 2009
Corporate Sales - What are the options?
Corporate sales and wellness programming is an evolving market that can offer tremendous income potential for fitness facilities; however, most clubs approach this market with the belief that they can sell corporate memberships simply by offering group discounts. This approach is usually ineffective, since it only aims to satisfy the facility's desire for revenue without considering what the targeted corporation may want or need. It also fails to address the basic underlying principle for corporate sales and wellness programming, which is to assist a corporation or business in creating and maintaining a healthier workforce. In developing its corporate sales and wellness programming, a club needs to decide what its corporate sales approach will be, think about how to structure a program and then market the program effectively.
Overview of programs
Various corporate programming scenarios are available to clubs. Following are some common scenarios and the opportunities they offer:
Group enrollment, self-pay. Group enrollment, self-pay is the most common current corporate sales category. In this scenario, a club approaches a corporation (or vice-versa) and creates a plan that enables employees to join the club by paying a membership fee (usually discounted) out of their own pockets. Using only this sales approach is somewhat akin to a club having only one person work in every department: It can work, but it is very limiting. Fortunately, club operators are expanding their horizons and offering companies more options.
Group enrollment, payroll deduction. Group enrollment, payroll deduction is a step up from the self-pay approach, and usually results in more individuals joining a club. In this scenario, employees who join the club may pay fees through payroll deduction. If the company is not set up for payroll deductions on a formal level, the club provides payroll deduction forms and instructs the employer how to administer the program. The easier this program is for the corporation, the better it is for the facility. This approach takes more effort from the facility's salespeople, which is true for all of the remaining options.
Group enrollment, company contributory. The group enrollment, company contributory method is very desirable, as it can dramatically increase employee participation. With this approach, the participating company pays a portion of its employees' membership costs. It works well for all parties, as it demonstrates the company's care and concern for its employees' well-being, it gives employees a discount, and it gives the facility a financial advantage, as it does not have to offer a "corporate discount" and it collects the same amount of revenue as a regular new membership.
Group enrollment, company paid. The group enrollment, company paid approach means that the participating company pays 100 percent of the participating employees' memberships. With this scenario, it is to the facility's benefit to offer a discount to the employer to increase the likelihood of its paying the entire amount.
Corporate onsite fitness programs. Corporate onsite fitness programs offer many valuable options to a facility, depending on the type of onsite programming offered. Be careful about onsite programs that involve extensive use of facility employees: This type of relationship can become negative, as the corporation's expectations can easily exceed the agreed-upon program, resulting in your employee becoming a "workhorse" for the corporation. However, this type of program demonstrates commitment by the employer and offers the facility extraordinary access to the corporation employees.
Corporate programs for special populations. Corporate programs for special populations can involve any combination of methods. Some may be educational/wellness programs for deconditioned people, the obese and seniors, educational/ wellness/self-defense programs for women, etc. These programs may be conducted at the fitness facility, the corporation, a local business event or other local business.
Corporate fitness/wellness programs involving martial arts. Corporate fitness/wellness programs involving martial arts offer a great diversity of programming options. Martial arts programs can appeal to a wide cross-section of individuals, and can be easy to implement and manage. If your facility does not currently use martial arts programming, you may be missing a golden opportunity.
Structuring the programs
Each program option requires separate pre-planning and set-up. The fitness facility must be completely prepared to execute every detail of a program before approaching the corporate/wellness community. If the facility isn't entirely organized, details will come up that make the facility look unprofessional and ill-prepared. CEOs and directors of human resources expect professionalism from facilities with which they plan to do business.
In structuring each program, write down all information in a clear, concise and orderly fashion. A contract or written agreement with the corporation will help to keep the relationship professional and let each side know what is expected. The facility should also create a manual to be used in-house to keep everything consistent among staff. This allows the facility to stay consistent and make modifications as needed.
The program structure should include who in the facility will administer each component of the program (including who will contact the targeted corporations), what materials will be used at each level of corporate/wellness lead development, who will service the account once it is established and the time frames for each follow-up. The plan must also include guidelines for handling any obstacles that may arise, the compensation for participating employees, and how and when compensation will be paid. The plan should clearly state its objectives and include budgeting information with tracking methodology so that the facility stays cost-effective. Meetings must be scheduled on a regular basis to ascertain progress and to ensure that problem solving is done quickly and effectively. Every detail should be oriented to keeping the relationship and program professional.
Marketing the programs
Direct and indirect marketing options can be used for corporate wellness programs. Other important aspects of marketing include staff preparedness and making contact with the targeted corporations.
Direct marketing. Direct marketing options include newspaper advertising in the business section of your local newspaper, direct mailings and emails to corporations' CEOs or directors of human resources, your club's website and telemarketing. Different markets find different levels of success with each of these strategies.
Indirect marketing. With indirect marketing, the marketing campaign can include health fairs either onsite at a corporation or at another location, a wellness newsletter sent to all targeted businesses, in-club wellness seminars and workshops that are marketed with press releases, emails or faxes to targeted businesses, in-club information displays, and PSAs (public service announcements) on radio or television.
Indirect marketing may also include presenting wellness topics at targeted businesses. By presenting wellness topics to employers at no charge, you will immediately strengthen your credibility and rapport with the company, and your facility will stand out as a wellness authority. The presentation itself must be excellent, and, after the presentation, a follow-up thank-you card can enhance the already positive situation.
Partnering. Another approach, which combines direct and indirect marketing, is to partner with local businesses that want to appeal to the corporate/wellness marketplace in a medically-based capacity. The partnership options can range from chiropractors and sports medicine practitioners to hospitals. The possibilities and opportunities are tremendous for a well-thought-out plan that vigorously pursues the wellness opportunities.
Staff. To prepare your staff members to market your corporate programs, they must first be educated. Ensuring that your employees have degrees in a related field and certifications helps. However, your staff members still need to be educated about the corporate marketplace and the relevant wellness statistics so that they sound intelligent and are prepared. Don't rely on volumes of written statistics to try to sell corporations on your programs -- the majority of CEOs and directors of human resources are already familiar with this information. There are various sources that can provide your facility with valuable information about how to approach the corporate marketplace effectively, such as the International Health, Racquet and Sportclubs Association's website (www.ihrsa.org). Or, you can email me at geofflhampton@aol.com for more information.
Contact tips. When contacting CEOs, directors of human resources and other key personnel, remember that they do not like to spend a lot of time listening to what may appear to be a typical health club sales pitch. Keep their time in mind and your message to the point. Always offer to send some limited information (a program overview, not a bunch of statistics) for them to review before you have any further discussions with them.
After the first contact, the next step is to arrange a specific appointment as quickly as is practical. Optimally, the appointment should take place at the fitness facility to add dimension and credibility to the presentation. The presentation needs to be concise and positive, and your goal should be to close the deal in the most time-efficient manner. The business of corporate/wellness sales is not for the timid or meek. It requires friendly, professional aggressiveness, or valuable time and effort will be wasted on both sides. The facility salesperson needs to direct the corporation's representative to the bottom line and close the sale.
Once the sale is finalized, time is of the essence. Provide deadlines and clear expectations of what is expected from the corporation in terms of project development. The more the corporation can handle on its own, the better it is for the facility. Employees are more likely to respond in a timely fashion if the information is facilitated by their employer rather than the facility. However, do not "dump" your follow-up and responsibilities on the corporation. Some of the details the corporation can effectively communicate to its employees include a registration deadline and complete information about the program. Employees' immediate family members should also be included in the package, if possible. This will require the corporation to effectively get the word out to all qualified employees. But the club still needs to be there every step of the way to facilitate these beginning stages.
Negotiating the corporate/wellness marketplace requires time and effort, but can be extremely rewarding both financially and by boosting a club's credibility. Spend the time to research your approach completely, make a commitment to the program and watch the benefits blossom.
Yours in Success and Motivation,
Geoff Hampton
Want to power up your staff teams performance? Try this great new Coaching program:
Program Length – Six Months
Program Cost: One Time Registration Fee $150
Monthly Continuation Fee - * $350* Offer available through November 15, 2009. As of November 15, 2009 the Monthly Continuation Fee goes to the standard $500.
Who are a few health & wellness businesses who have used Geoff Hampton to enhance their maximum performance potential?
Recent On-Site Staff Educational & Motivational Staff Training Programs:
* Augusta Regional Hospital – Lifetime Health & Fitness Center- Fishersville, VA – Contact: Eric Good or Olivia Hall
* The Wellness Center of URMC - Thomaston, GA - Contact: Denis Tallini or Carla Clayton
* The Westmoreland Athletic Club - Greensburg, PA - Contact: Dennis Doyle
* Culpeper Regional Hospital – Powell Wellness Center - Culpeper, VA – Contact: Sandy Boone
* University Health Care System – Health Central - Augusta, GA – Contact: Cindy Stephens or Claude Thompson
* And more!
How strong are Geoff Hampton’s unique and powerful training programs?
“The staff training seminar that Geoff Hampton of Club Marketing Resources International presented for both of our clubs was one of the most informative and beneficial events that we have had the pleasure of experiencing. In hearing the staff discuss it the following day the terms “Fantastic and Great” were frequently used. I would be more than happy to talk with anyone that is considering contacting Geoff.” Dennis L. Doyle - President of the Westmoreland Athletic Club, Inc. and Galaxy Fitness, Inc.
Recent Professional Presentation:
KEYNOTE – MACMA Annual Conference (Mid Atlantic Club Managers Association)
"Geoff received outstanding ratings as the Keynote presenter at the Mid-Atlantic Club Management Conference in July, 2009!" - Allison Flatley – Ex Officio
Other highly rated presentations:
2009 SEHFA (Southeastern Hospital Health & Fitness Alliance)
2008 MFA (Medical Fitness Association)
2008 NEHRSA (New England Health & Racquet Sportsclub Association) Annual Conference
Don’t miss these upcoming presentations by Geoff Hampton:
*** Medical Fitness Association
15th Annual Conference: Orlando, FL
December 2 – 5, 2009
*** MACMA (Mid Atlantic Club Managers Association)
WEBINAR
December 10, 2009
If you and your staff team want to finish 2009 with an incredible finish and be ready to maximize the 1st Quarter of 2010…learn from the best and make it happen!
Call Today: (865) 281-2422 for additional information!
Or, cell phone - (865) 603-2152.
Or, E-Mail - GeoffLHampton@aol.com
Overview of programs
Various corporate programming scenarios are available to clubs. Following are some common scenarios and the opportunities they offer:
Group enrollment, self-pay. Group enrollment, self-pay is the most common current corporate sales category. In this scenario, a club approaches a corporation (or vice-versa) and creates a plan that enables employees to join the club by paying a membership fee (usually discounted) out of their own pockets. Using only this sales approach is somewhat akin to a club having only one person work in every department: It can work, but it is very limiting. Fortunately, club operators are expanding their horizons and offering companies more options.
Group enrollment, payroll deduction. Group enrollment, payroll deduction is a step up from the self-pay approach, and usually results in more individuals joining a club. In this scenario, employees who join the club may pay fees through payroll deduction. If the company is not set up for payroll deductions on a formal level, the club provides payroll deduction forms and instructs the employer how to administer the program. The easier this program is for the corporation, the better it is for the facility. This approach takes more effort from the facility's salespeople, which is true for all of the remaining options.
Group enrollment, company contributory. The group enrollment, company contributory method is very desirable, as it can dramatically increase employee participation. With this approach, the participating company pays a portion of its employees' membership costs. It works well for all parties, as it demonstrates the company's care and concern for its employees' well-being, it gives employees a discount, and it gives the facility a financial advantage, as it does not have to offer a "corporate discount" and it collects the same amount of revenue as a regular new membership.
Group enrollment, company paid. The group enrollment, company paid approach means that the participating company pays 100 percent of the participating employees' memberships. With this scenario, it is to the facility's benefit to offer a discount to the employer to increase the likelihood of its paying the entire amount.
Corporate onsite fitness programs. Corporate onsite fitness programs offer many valuable options to a facility, depending on the type of onsite programming offered. Be careful about onsite programs that involve extensive use of facility employees: This type of relationship can become negative, as the corporation's expectations can easily exceed the agreed-upon program, resulting in your employee becoming a "workhorse" for the corporation. However, this type of program demonstrates commitment by the employer and offers the facility extraordinary access to the corporation employees.
Corporate programs for special populations. Corporate programs for special populations can involve any combination of methods. Some may be educational/wellness programs for deconditioned people, the obese and seniors, educational/ wellness/self-defense programs for women, etc. These programs may be conducted at the fitness facility, the corporation, a local business event or other local business.
Corporate fitness/wellness programs involving martial arts. Corporate fitness/wellness programs involving martial arts offer a great diversity of programming options. Martial arts programs can appeal to a wide cross-section of individuals, and can be easy to implement and manage. If your facility does not currently use martial arts programming, you may be missing a golden opportunity.
Structuring the programs
Each program option requires separate pre-planning and set-up. The fitness facility must be completely prepared to execute every detail of a program before approaching the corporate/wellness community. If the facility isn't entirely organized, details will come up that make the facility look unprofessional and ill-prepared. CEOs and directors of human resources expect professionalism from facilities with which they plan to do business.
In structuring each program, write down all information in a clear, concise and orderly fashion. A contract or written agreement with the corporation will help to keep the relationship professional and let each side know what is expected. The facility should also create a manual to be used in-house to keep everything consistent among staff. This allows the facility to stay consistent and make modifications as needed.
The program structure should include who in the facility will administer each component of the program (including who will contact the targeted corporations), what materials will be used at each level of corporate/wellness lead development, who will service the account once it is established and the time frames for each follow-up. The plan must also include guidelines for handling any obstacles that may arise, the compensation for participating employees, and how and when compensation will be paid. The plan should clearly state its objectives and include budgeting information with tracking methodology so that the facility stays cost-effective. Meetings must be scheduled on a regular basis to ascertain progress and to ensure that problem solving is done quickly and effectively. Every detail should be oriented to keeping the relationship and program professional.
Marketing the programs
Direct and indirect marketing options can be used for corporate wellness programs. Other important aspects of marketing include staff preparedness and making contact with the targeted corporations.
Direct marketing. Direct marketing options include newspaper advertising in the business section of your local newspaper, direct mailings and emails to corporations' CEOs or directors of human resources, your club's website and telemarketing. Different markets find different levels of success with each of these strategies.
Indirect marketing. With indirect marketing, the marketing campaign can include health fairs either onsite at a corporation or at another location, a wellness newsletter sent to all targeted businesses, in-club wellness seminars and workshops that are marketed with press releases, emails or faxes to targeted businesses, in-club information displays, and PSAs (public service announcements) on radio or television.
Indirect marketing may also include presenting wellness topics at targeted businesses. By presenting wellness topics to employers at no charge, you will immediately strengthen your credibility and rapport with the company, and your facility will stand out as a wellness authority. The presentation itself must be excellent, and, after the presentation, a follow-up thank-you card can enhance the already positive situation.
Partnering. Another approach, which combines direct and indirect marketing, is to partner with local businesses that want to appeal to the corporate/wellness marketplace in a medically-based capacity. The partnership options can range from chiropractors and sports medicine practitioners to hospitals. The possibilities and opportunities are tremendous for a well-thought-out plan that vigorously pursues the wellness opportunities.
Staff. To prepare your staff members to market your corporate programs, they must first be educated. Ensuring that your employees have degrees in a related field and certifications helps. However, your staff members still need to be educated about the corporate marketplace and the relevant wellness statistics so that they sound intelligent and are prepared. Don't rely on volumes of written statistics to try to sell corporations on your programs -- the majority of CEOs and directors of human resources are already familiar with this information. There are various sources that can provide your facility with valuable information about how to approach the corporate marketplace effectively, such as the International Health, Racquet and Sportclubs Association's website (www.ihrsa.org). Or, you can email me at geofflhampton@aol.com for more information.
Contact tips. When contacting CEOs, directors of human resources and other key personnel, remember that they do not like to spend a lot of time listening to what may appear to be a typical health club sales pitch. Keep their time in mind and your message to the point. Always offer to send some limited information (a program overview, not a bunch of statistics) for them to review before you have any further discussions with them.
After the first contact, the next step is to arrange a specific appointment as quickly as is practical. Optimally, the appointment should take place at the fitness facility to add dimension and credibility to the presentation. The presentation needs to be concise and positive, and your goal should be to close the deal in the most time-efficient manner. The business of corporate/wellness sales is not for the timid or meek. It requires friendly, professional aggressiveness, or valuable time and effort will be wasted on both sides. The facility salesperson needs to direct the corporation's representative to the bottom line and close the sale.
Once the sale is finalized, time is of the essence. Provide deadlines and clear expectations of what is expected from the corporation in terms of project development. The more the corporation can handle on its own, the better it is for the facility. Employees are more likely to respond in a timely fashion if the information is facilitated by their employer rather than the facility. However, do not "dump" your follow-up and responsibilities on the corporation. Some of the details the corporation can effectively communicate to its employees include a registration deadline and complete information about the program. Employees' immediate family members should also be included in the package, if possible. This will require the corporation to effectively get the word out to all qualified employees. But the club still needs to be there every step of the way to facilitate these beginning stages.
Negotiating the corporate/wellness marketplace requires time and effort, but can be extremely rewarding both financially and by boosting a club's credibility. Spend the time to research your approach completely, make a commitment to the program and watch the benefits blossom.
Yours in Success and Motivation,
Geoff Hampton
Want to power up your staff teams performance? Try this great new Coaching program:
Program Length – Six Months
Program Cost: One Time Registration Fee $150
Monthly Continuation Fee - * $350* Offer available through November 15, 2009. As of November 15, 2009 the Monthly Continuation Fee goes to the standard $500.
Who are a few health & wellness businesses who have used Geoff Hampton to enhance their maximum performance potential?
Recent On-Site Staff Educational & Motivational Staff Training Programs:
* Augusta Regional Hospital – Lifetime Health & Fitness Center- Fishersville, VA – Contact: Eric Good or Olivia Hall
* The Wellness Center of URMC - Thomaston, GA - Contact: Denis Tallini or Carla Clayton
* The Westmoreland Athletic Club - Greensburg, PA - Contact: Dennis Doyle
* Culpeper Regional Hospital – Powell Wellness Center - Culpeper, VA – Contact: Sandy Boone
* University Health Care System – Health Central - Augusta, GA – Contact: Cindy Stephens or Claude Thompson
* And more!
How strong are Geoff Hampton’s unique and powerful training programs?
“The staff training seminar that Geoff Hampton of Club Marketing Resources International presented for both of our clubs was one of the most informative and beneficial events that we have had the pleasure of experiencing. In hearing the staff discuss it the following day the terms “Fantastic and Great” were frequently used. I would be more than happy to talk with anyone that is considering contacting Geoff.” Dennis L. Doyle - President of the Westmoreland Athletic Club, Inc. and Galaxy Fitness, Inc.
Recent Professional Presentation:
KEYNOTE – MACMA Annual Conference (Mid Atlantic Club Managers Association)
"Geoff received outstanding ratings as the Keynote presenter at the Mid-Atlantic Club Management Conference in July, 2009!" - Allison Flatley – Ex Officio
Other highly rated presentations:
2009 SEHFA (Southeastern Hospital Health & Fitness Alliance)
2008 MFA (Medical Fitness Association)
2008 NEHRSA (New England Health & Racquet Sportsclub Association) Annual Conference
Don’t miss these upcoming presentations by Geoff Hampton:
*** Medical Fitness Association
15th Annual Conference: Orlando, FL
December 2 – 5, 2009
*** MACMA (Mid Atlantic Club Managers Association)
WEBINAR
December 10, 2009
If you and your staff team want to finish 2009 with an incredible finish and be ready to maximize the 1st Quarter of 2010…learn from the best and make it happen!
Call Today: (865) 281-2422 for additional information!
Or, cell phone - (865) 603-2152.
Or, E-Mail - GeoffLHampton@aol.com
Maximum Performance - Real or Imagined?
Sales and marketing are high priorities for today's service-driven clubs. Professional competition has increased dramatically, and consumer awareness about the benefits of exercise is at an all time high. Club membership sales staff are moving away from high-pressure sales techniques, thanks to consumer education and industry professionalism. This professional shift is a win-win situation for the service-driven club and the prospective member.
The club marketing program is no longer based on misleading or bait-and-switch advertising techniques that were the trademark of attrition-driven clubs. As a result, the leads being generated are more meaningful. More and more clubs are realizing that with "member-referrals" being the number one source of new memberships, it makes great sense to redirect marketing dollars to stronger membership based promotional venues. The days of shotgun external expenditures are fading fast!
The "attrition-driven" club's central goal is still designed to sell memberships only to obtain the member's initial binding financial commitment. High-pressure sales techniques and deceptive advertising and promotion with minimal ongoing services are identifying characteristics of attrition-driven clubs.
The "service-driven" club represents an ethical business concentrating on generating value commensurate with both initial investment and the member's ongoing investment. Consultative selling with results-oriented programming are common characteristics of service-driven clubs.
However, many service-driven clubs unwittingly lose income through systems that are too lax. Furthermore, inadequate understanding of lost revenues causes many clubs to think that their system is "pro-consumer".
In today's competitive marketplace, every service-driven club that wants to gain or maintain strong market share must engage an effective, 100-percent quantifiable sales and marketing system. Each dollar spent for advertising and promotion must be accounted for in terms of total traffic generated. Each prospect response to the dollars spent (membership telephone inquiries or walk-in prospects) must also be tracked individually at 100-percent efficiency to maximize revenue potential.
Additionally, retention-based point-of-sale programs must be fully tracked to maximize club revenues. These point-of-sale programs are designed to effectively integrate the new club member into a regular exercise regimen, and motivate that member enough to renew the membership and stay with the club.
Following are seven critical areas that can help clubs avoid losing revenue:
The lost call
The lost call refers to membership telephone inquiries that are lost as a result of a lapse in communication between the front desk staff and the membership sales staff.
There are many ways in which a telephone inquiry can become a lost call. For example:
1) The caller is on hold too long, hangs up and calls the next club on their list.
2) There is no membership staff person available and the front desk staff person simply tells the caller to try again later.
3) There is no membership staff person available and the front desk person takes a name and phone number. This information gets passed along to the next available membership staff person who does not return the call immediately, and the information gets lost. For most clubs, it is safe to say that, on average, one membership telephone inquiry gets lost each day.
The average month is 30 days. If the club averages one lost call per day, then 30 calls a month are lost. Using an 80 percent phone call-to-appointment ratio shows that the club is losing 24 appointment opportunities per month.
Using a 70 percent appointment-to-show ratio means that the club is losing 17 appointment tours per month.
Using a 70 percent first-time closing presentation ratio for appointment shows means that the club is losing 12 new membership sales per month.
Based on an average annual membership cost of $500, a club is losing $6,000 in new membership sales per month. Multiply this times 12 months, and you can see that the club is losing $72,000 per year in potential new membership sales.
Without a 100-percent quantifiable system, and a good initial and ongoing training program for the front desk staff and the membership sales staff, this income will continue to be lost.
Telephone inquiry-to-appointment efficiency
Telephone inquiry efficiency is the second critical area that can bolster club income. Many clubs do not track this information accurately, leaving the membership sales staff unclear about their level of efficiency and possibly under the false impression that they are excelling. Accurate tracking ensures reality-based performance.
When tracked properly, telephone inquiry-to-appointment efficiency can result in significantly increased revenues from the sale of new memberships.
Let's use an average of 120 incoming telephone inquiries per month, with an average annual membership cost of $500.
Begin with a 50 percent incoming membership telephone call-to-appointment ratio (IC/AT) effectiveness (common among clubs that do not track accurately), and progresses to where each club should be, which is 80 percent.
The difference between capturing 50 percent versus 80 percent of people who call for information about your facility is $108,000 per year, with zero additional expenditure on your part. Each five percent improvement in this scenario yields about $18,000 in revenue.
Appointment-to-show ratios
The next critical area, appointment-to-show ratios, has been demonstrated above. It is crucial to track appointment-to-show ratios accurately, because even if your staff is performing at an 80 percent IC/AT ratio, it's meaningless if only a small percentage of people actually keep their appointment.
First-time closing presentation efficiency
First-time closing presentations are one of the most misunderstood and most important aspects of membership sales. The amount of additional membership revenue that can be generated through professional, non-threatening techniques is tremendous. Unfortunately, most clubs do not track the closing process accurately, if at all.
The following example will demonstrate that consistent, professional closing within a quantifiable system can generate an additional $216,000.00 per year, without spending any additional money.
Example: 180 prospects per month
Average annual membership = $500
(Key: FTCP = First time closing percentage)
180 prospects per month @ 50 percent FTCP = 90 new sales per month
90 new sales per month @ $500 = $45,000 per month x 12 months = $540,000 per year
The following increase occurs as a result of reality-based performance (the above as a result of fantasy based performance)
180 prospects per month @ 70 percent FTCP = 126 new sales per month
126 new sales per month @ $500 = $63,000 per month x 12 months = $756,000 per year
Be-back efficiency
The expression "be-back" refers to prospects who are interested but unwilling to join on their first visit. They usually tell the membership staff person that they will be back to join.
Most clubs do not track this number; the fact is that 90 percent of all clubs have only a 15 to 20 percent actual be-back-to-join ratio. This also highlights the importance of first-time closing presentation efficiency.
The be-back numbers are as follows.
Example: 50 "be-backs" for 60 days
Average annual membership = $500
(Key = RTJ = return to join; DNR = did not return)
50 "be-backs" @ 16 percent RTJ = 8 new sales
8 new sales @ $500 = $4,000 net gain club revenues
50 "be-backs" @ 84 percent DNR = 42 lost sales
42 Lost Sales @ $500 = $21,000 net loss club revenues
If out of 50 people who said they would be back, only 16 percent of them return to the club, and 84 percent do not, this means 42 lost sales. Forty-two lost sales at $500 each represents a $21,000 net loss in revenue for your club. Therefore, even though "be-back" percentages are very low, you can see that to attain the highest number of sales possible from this source, these prospects must still be followed up.
Point-of-sale referral efficiency
Most clubs derive the highest percentage of new memberships from member referrals. This is true even though most clubs have little if any ongoing point-of-sale referral programming. The most likely time for a member to excite their friends about something is when it's new and exciting. Furthermore, a certain percentage of new members never get fully involved in their membership and their help in recruiting new members is lost. Therefore, both the club and the new member lose, since the member will most likely not achieve his/her fitness goals.
When clubs realize the impact that even a good point-of-sale referral program can have in terms of increased annual revenues, it becomes important to implement a program and, of course, use a quantifiable tracking system.
The point-of-sale referral efficiency uses only a simple program, with a simple goal of only one referral name for every two new members. The example is based on 130 new members per month with an average annual membership cost of $500. The ratios vary slightly from non-referral types of leads. For example, the appointment-to-show ratio is higher, because a member has referred the prospect. Another example is the appointment show-to-appointment close ratio. For member-referred leads, the closing ratio is slightly lower, as the membership sales person should be very low-key with these prospects. The referring member will do much of the selling themselves.
The bottom line is that an additional 21 membership sales per month can increase your club's revenue by a surprising $126,000 with zero additional expenditure on your part.
Point-of-sale retention-based programming
Many clubs create superb retention-based programs that are designed to get the new member active with regular exercise at the point-of-sale, but if the programs are not monitored, they are not as effective as they could and should be.
All clubs should use multi-level, point-of-sale member integration programs for all new members. This helps eliminate singular focus mentality for regular exercisers, and creates several exercise options for the new club member. The critical period for new members, especially non-exercisers, is the first 60 days of the membership. If during this period the new member does not get motivated enough to exercise, then the new member will fail in their desire to attain their goals, and the chance of them renewing or referring other members is slim.
Controlling attrition represents a potential of hundreds of thousands of dollars in increased annual revenues for most clubs. A 2000-member club must sell only 800 new memberships every year, or only 67 new memberships every month to maintain a zero percent annual growth rate when attrition is 40 percent. Decreasing attrition from 50 to 40 percent retains 200 more members per year. If the average annual membership cost is $500, then your club retains an additional $100,000 per year that could be lost in memberships, with no additional advertising or promotion -- not counting any improvement in the area of regular new membership sales growth.
Use the above suggestions to enable your staff to track 100 percent of the information mentioned here, and watch your profit margin grow.
Yours in Success and Motivation,
Geoff Hampton
Want to power up your staff teams performance? Try this great new Coaching program:
Program Length – Six Months
Program Cost:
One Time Registration Fee $150
Monthly Continuation Fee - * $350* Offer available through November 15, 2009. As of November 15, 2009 the Monthly Continuation Fee goes to the standard $500.
Who are a few health & wellness businesses who have used Geoff Hampton to enhance their maximum performance potential?
Recent On-Site Staff Educational & Motivational Staff Training Programs:
* Augusta Regional Hospital – Lifetime Health & Fitness Center- Fishersville, VA – Contact: Eric Good or Olivia Hall
* The Wellness Center of URMC - Thomaston, GA - Contact: Denis Tallini or Carla Clayton
* The Westmoreland Athletic Club - Greensburg, PA - Contact: Dennis Doyle
* Culpeper Regional Hospital – Powell Wellness Center - Culpeper, VA – Contact: Sandy Boone
* University Health Care System – Health Central - Augusta, GA – Contact: Cindy Stephens or Claude Thompson
* And more!
How strong are Geoff Hampton’s unique and powerful training programs?
“The staff training seminar that Geoff Hampton of Club Marketing Resources International presented for both of our clubs was one of the most informative and beneficial events that we have had the pleasure of experiencing. In hearing the staff discuss it the following day the terms “Fantastic and Great” were frequently used. I would be more than happy to talk with anyone that is considering contacting Geoff.” Dennis L. Doyle - President of the Westmoreland Athletic Club, Inc. and Galaxy Fitness, Inc.
Recent Professional Presentation:
KEYNOTE – MACMA Annual Conference (Mid Atlantic Club Managers Association)
"Geoff received outstanding ratings as the Keynote presenter at the Mid-Atlantic Club Management Conference in July, 2009!" - Allison Flatley – Ex Officio
Other highly rated presentations:
2009 SEHFA (Southeastern Hospital Health & Fitness Alliance)2008 MFA (Medical Fitness Association)
2008 NEHRSA (New England Health & Racquet Sportsclub Association) Annual Conference
Don’t miss these upcoming presentations by Geoff Hampton:
*** Medical Fitness Association
15th Annual Conference: Orlando, FL
December 2 – 5, 2009
*** MACMA (Mid Atlantic Club Managers Association)
WEBINAR
December 10, 2009
If you and your staff team want to finish 2009 with an incredible finish and be ready to maximize the 1st Quarter of 2010…learn from the best and make it happen!
Call Today: (865) 281-2422 for additional information!
Or, cell phone - (865) 603-2152.
Or, E-Mail - GeoffLHampton@aol.com
The club marketing program is no longer based on misleading or bait-and-switch advertising techniques that were the trademark of attrition-driven clubs. As a result, the leads being generated are more meaningful. More and more clubs are realizing that with "member-referrals" being the number one source of new memberships, it makes great sense to redirect marketing dollars to stronger membership based promotional venues. The days of shotgun external expenditures are fading fast!
The "attrition-driven" club's central goal is still designed to sell memberships only to obtain the member's initial binding financial commitment. High-pressure sales techniques and deceptive advertising and promotion with minimal ongoing services are identifying characteristics of attrition-driven clubs.
The "service-driven" club represents an ethical business concentrating on generating value commensurate with both initial investment and the member's ongoing investment. Consultative selling with results-oriented programming are common characteristics of service-driven clubs.
However, many service-driven clubs unwittingly lose income through systems that are too lax. Furthermore, inadequate understanding of lost revenues causes many clubs to think that their system is "pro-consumer".
In today's competitive marketplace, every service-driven club that wants to gain or maintain strong market share must engage an effective, 100-percent quantifiable sales and marketing system. Each dollar spent for advertising and promotion must be accounted for in terms of total traffic generated. Each prospect response to the dollars spent (membership telephone inquiries or walk-in prospects) must also be tracked individually at 100-percent efficiency to maximize revenue potential.
Additionally, retention-based point-of-sale programs must be fully tracked to maximize club revenues. These point-of-sale programs are designed to effectively integrate the new club member into a regular exercise regimen, and motivate that member enough to renew the membership and stay with the club.
Following are seven critical areas that can help clubs avoid losing revenue:
The lost call
The lost call refers to membership telephone inquiries that are lost as a result of a lapse in communication between the front desk staff and the membership sales staff.
There are many ways in which a telephone inquiry can become a lost call. For example:
1) The caller is on hold too long, hangs up and calls the next club on their list.
2) There is no membership staff person available and the front desk staff person simply tells the caller to try again later.
3) There is no membership staff person available and the front desk person takes a name and phone number. This information gets passed along to the next available membership staff person who does not return the call immediately, and the information gets lost. For most clubs, it is safe to say that, on average, one membership telephone inquiry gets lost each day.
The average month is 30 days. If the club averages one lost call per day, then 30 calls a month are lost. Using an 80 percent phone call-to-appointment ratio shows that the club is losing 24 appointment opportunities per month.
Using a 70 percent appointment-to-show ratio means that the club is losing 17 appointment tours per month.
Using a 70 percent first-time closing presentation ratio for appointment shows means that the club is losing 12 new membership sales per month.
Based on an average annual membership cost of $500, a club is losing $6,000 in new membership sales per month. Multiply this times 12 months, and you can see that the club is losing $72,000 per year in potential new membership sales.
Without a 100-percent quantifiable system, and a good initial and ongoing training program for the front desk staff and the membership sales staff, this income will continue to be lost.
Telephone inquiry-to-appointment efficiency
Telephone inquiry efficiency is the second critical area that can bolster club income. Many clubs do not track this information accurately, leaving the membership sales staff unclear about their level of efficiency and possibly under the false impression that they are excelling. Accurate tracking ensures reality-based performance.
When tracked properly, telephone inquiry-to-appointment efficiency can result in significantly increased revenues from the sale of new memberships.
Let's use an average of 120 incoming telephone inquiries per month, with an average annual membership cost of $500.
Begin with a 50 percent incoming membership telephone call-to-appointment ratio (IC/AT) effectiveness (common among clubs that do not track accurately), and progresses to where each club should be, which is 80 percent.
The difference between capturing 50 percent versus 80 percent of people who call for information about your facility is $108,000 per year, with zero additional expenditure on your part. Each five percent improvement in this scenario yields about $18,000 in revenue.
Appointment-to-show ratios
The next critical area, appointment-to-show ratios, has been demonstrated above. It is crucial to track appointment-to-show ratios accurately, because even if your staff is performing at an 80 percent IC/AT ratio, it's meaningless if only a small percentage of people actually keep their appointment.
First-time closing presentation efficiency
First-time closing presentations are one of the most misunderstood and most important aspects of membership sales. The amount of additional membership revenue that can be generated through professional, non-threatening techniques is tremendous. Unfortunately, most clubs do not track the closing process accurately, if at all.
The following example will demonstrate that consistent, professional closing within a quantifiable system can generate an additional $216,000.00 per year, without spending any additional money.
Example: 180 prospects per month
Average annual membership = $500
(Key: FTCP = First time closing percentage)
180 prospects per month @ 50 percent FTCP = 90 new sales per month
90 new sales per month @ $500 = $45,000 per month x 12 months = $540,000 per year
The following increase occurs as a result of reality-based performance (the above as a result of fantasy based performance)
180 prospects per month @ 70 percent FTCP = 126 new sales per month
126 new sales per month @ $500 = $63,000 per month x 12 months = $756,000 per year
Be-back efficiency
The expression "be-back" refers to prospects who are interested but unwilling to join on their first visit. They usually tell the membership staff person that they will be back to join.
Most clubs do not track this number; the fact is that 90 percent of all clubs have only a 15 to 20 percent actual be-back-to-join ratio. This also highlights the importance of first-time closing presentation efficiency.
The be-back numbers are as follows.
Example: 50 "be-backs" for 60 days
Average annual membership = $500
(Key = RTJ = return to join; DNR = did not return)
50 "be-backs" @ 16 percent RTJ = 8 new sales
8 new sales @ $500 = $4,000 net gain club revenues
50 "be-backs" @ 84 percent DNR = 42 lost sales
42 Lost Sales @ $500 = $21,000 net loss club revenues
If out of 50 people who said they would be back, only 16 percent of them return to the club, and 84 percent do not, this means 42 lost sales. Forty-two lost sales at $500 each represents a $21,000 net loss in revenue for your club. Therefore, even though "be-back" percentages are very low, you can see that to attain the highest number of sales possible from this source, these prospects must still be followed up.
Point-of-sale referral efficiency
Most clubs derive the highest percentage of new memberships from member referrals. This is true even though most clubs have little if any ongoing point-of-sale referral programming. The most likely time for a member to excite their friends about something is when it's new and exciting. Furthermore, a certain percentage of new members never get fully involved in their membership and their help in recruiting new members is lost. Therefore, both the club and the new member lose, since the member will most likely not achieve his/her fitness goals.
When clubs realize the impact that even a good point-of-sale referral program can have in terms of increased annual revenues, it becomes important to implement a program and, of course, use a quantifiable tracking system.
The point-of-sale referral efficiency uses only a simple program, with a simple goal of only one referral name for every two new members. The example is based on 130 new members per month with an average annual membership cost of $500. The ratios vary slightly from non-referral types of leads. For example, the appointment-to-show ratio is higher, because a member has referred the prospect. Another example is the appointment show-to-appointment close ratio. For member-referred leads, the closing ratio is slightly lower, as the membership sales person should be very low-key with these prospects. The referring member will do much of the selling themselves.
The bottom line is that an additional 21 membership sales per month can increase your club's revenue by a surprising $126,000 with zero additional expenditure on your part.
Point-of-sale retention-based programming
Many clubs create superb retention-based programs that are designed to get the new member active with regular exercise at the point-of-sale, but if the programs are not monitored, they are not as effective as they could and should be.
All clubs should use multi-level, point-of-sale member integration programs for all new members. This helps eliminate singular focus mentality for regular exercisers, and creates several exercise options for the new club member. The critical period for new members, especially non-exercisers, is the first 60 days of the membership. If during this period the new member does not get motivated enough to exercise, then the new member will fail in their desire to attain their goals, and the chance of them renewing or referring other members is slim.
Controlling attrition represents a potential of hundreds of thousands of dollars in increased annual revenues for most clubs. A 2000-member club must sell only 800 new memberships every year, or only 67 new memberships every month to maintain a zero percent annual growth rate when attrition is 40 percent. Decreasing attrition from 50 to 40 percent retains 200 more members per year. If the average annual membership cost is $500, then your club retains an additional $100,000 per year that could be lost in memberships, with no additional advertising or promotion -- not counting any improvement in the area of regular new membership sales growth.
Use the above suggestions to enable your staff to track 100 percent of the information mentioned here, and watch your profit margin grow.
Yours in Success and Motivation,
Geoff Hampton
Want to power up your staff teams performance? Try this great new Coaching program:
Program Length – Six Months
Program Cost:
One Time Registration Fee $150
Monthly Continuation Fee - * $350* Offer available through November 15, 2009. As of November 15, 2009 the Monthly Continuation Fee goes to the standard $500.
Who are a few health & wellness businesses who have used Geoff Hampton to enhance their maximum performance potential?
Recent On-Site Staff Educational & Motivational Staff Training Programs:
* Augusta Regional Hospital – Lifetime Health & Fitness Center- Fishersville, VA – Contact: Eric Good or Olivia Hall
* The Wellness Center of URMC - Thomaston, GA - Contact: Denis Tallini or Carla Clayton
* The Westmoreland Athletic Club - Greensburg, PA - Contact: Dennis Doyle
* Culpeper Regional Hospital – Powell Wellness Center - Culpeper, VA – Contact: Sandy Boone
* University Health Care System – Health Central - Augusta, GA – Contact: Cindy Stephens or Claude Thompson
* And more!
How strong are Geoff Hampton’s unique and powerful training programs?
“The staff training seminar that Geoff Hampton of Club Marketing Resources International presented for both of our clubs was one of the most informative and beneficial events that we have had the pleasure of experiencing. In hearing the staff discuss it the following day the terms “Fantastic and Great” were frequently used. I would be more than happy to talk with anyone that is considering contacting Geoff.” Dennis L. Doyle - President of the Westmoreland Athletic Club, Inc. and Galaxy Fitness, Inc.
Recent Professional Presentation:
KEYNOTE – MACMA Annual Conference (Mid Atlantic Club Managers Association)
"Geoff received outstanding ratings as the Keynote presenter at the Mid-Atlantic Club Management Conference in July, 2009!" - Allison Flatley – Ex Officio
Other highly rated presentations:
2009 SEHFA (Southeastern Hospital Health & Fitness Alliance)2008 MFA (Medical Fitness Association)
2008 NEHRSA (New England Health & Racquet Sportsclub Association) Annual Conference
Don’t miss these upcoming presentations by Geoff Hampton:
*** Medical Fitness Association
15th Annual Conference: Orlando, FL
December 2 – 5, 2009
*** MACMA (Mid Atlantic Club Managers Association)
WEBINAR
December 10, 2009
If you and your staff team want to finish 2009 with an incredible finish and be ready to maximize the 1st Quarter of 2010…learn from the best and make it happen!
Call Today: (865) 281-2422 for additional information!
Or, cell phone - (865) 603-2152.
Or, E-Mail - GeoffLHampton@aol.com
Thursday, November 5, 2009
Membership Sales - The Ostrich Effect
The Ostrich Effect: http://en.wikipedia.org/wiki/Ostrich_effect
The health & wellness industry has been held hostage to two distinctly different membership sales dynamics for far too long. The downturn in the economy has fueled the "The Old School" and revealed "The School Of False Assumptions".
1. The Old School - High Pressure Sales - No Service
2. The School Of False Assumptions - False Assumptions have been advanced by industry "experts" and are easily mathematically disproven and further proven to be counter productive to maximum performance potential.
"The School Of False Assumptions" advances the notion that no stand alone membership sales department is needed and that "cross responsibility" staff can handle that business function. Cross responsibility staff include front desk and/or fitness staff handling membership sales duties in addition to their own departmental specialization. This is the perfect recipe for mediocrity or worse. Feel free to e-mail me for a mathematical illustration of how most clubs lose hundreds of thousands of irretrievable dollars every year through "The School Of False Assumptions". E-mail address: GeoffLHampton@aol.com
For Health & Wellness Businesses who engage a stand alone membership sales team, a frequently asked question is, "What do I do when my membership sales team has nothing to do"?
First, lets assign an identity to that scenario. This reveals a department of "order takers" who respond reactively to any sales situation that presents itself. Maximum success is unattainable with "order takers".
The question of what to do with sales staff during their "downtime" is too frequently asked for an industry with such exciting professional growth potential. The answer is that there should never be a time when the sales staff in a wellness/health facility has "nothing to do."
Having a sales staff with nothing to do is usually rooted in one of two scenarios:
1. Inadequate education in sales management
2. Willingness (either conscious or subconscious) to accept less than maximal performance from staff. In either scenario, the facility's bottom-line, the service provided to members and the efforts to recruit new members are not what they should be.
Sometimes sales staff spend their time fraternizing with other staff, which is rationalized as "camaraderie" by the facility management team. The truth is that there is no fine line between camaraderie and dereliction of duty. Though that may sound harsh, it is simply a call to eliminate excuse making. Strong sales management is not accomplished through harsh direction, but through training and behavior modification to achieve maximal performance. This means that managers must be effectively equipped to bring strong leadership to the all-important realm of sales management.
Keep the sales cycle strong
Part of the equation of keeping a sales staff adequately occupied is making sure that a club's sales model is healthy. The wellness/health club model of the new millennium is based on strong sales supported by strong retention. Having strong sales without strong member retention creates a vicious cycle of attrition-driven sales initiatives.
Selling new memberships is the initial combustion that starts the business success cycle. Retention is the guarantee of long-term success for that business, as the monies derived from membership renewals become a constant. Retention of existing members is also important for sales as satisfied members refer their friends and associates to the club. Any shift in that dynamic creates an unbalanced scenario that makes management much more difficult.
To relate this sales model to how your staff spends their time, think about your team meetings. How much time and energy is spent on the process of selling new membership versus retaining existing members? Now, take that thought process in a different direction. If the time spent on selling memberships and retaining members is similar, is the time spent on the sale of new memberships enough to create the strength of sales that will fuel the growth of your business?
Too many wellness/health operations lose tremendous selling opportunities because the operators think that their business "sells itself," or have some other false assumption about the impact of strong sales and retention efforts.
Keeping your sales staff occupied means keeping your sales cycle strong. To do this, be open to new information and ideas. See your new members as people vs. dollars. Train your sales staff to be honest, sincere and compassionate. There simply shouldn't be a time that any membership sales-related staff have nothing to do. The truth is that selling new memberships and retaining members are the most important aspects of wellness/health facility operation. Enage effective goals rooted in Bench Mark Performance standards that are monitored for effectiveness. Have a determination to be the best...and then do it!
If you would like additional information on this issue, please feel free to contact me at GEOFFLHAMPTON@aol.com.
By phone: (865) 281-2422
* SPECIAL OFFER: Complimentary 15 minute phone consultation to evaluate your current performance limiters and determine a powerful pathway for you in order to maximize your true success potential.
The health & wellness industry has been held hostage to two distinctly different membership sales dynamics for far too long. The downturn in the economy has fueled the "The Old School" and revealed "The School Of False Assumptions".
1. The Old School - High Pressure Sales - No Service
2. The School Of False Assumptions - False Assumptions have been advanced by industry "experts" and are easily mathematically disproven and further proven to be counter productive to maximum performance potential.
"The School Of False Assumptions" advances the notion that no stand alone membership sales department is needed and that "cross responsibility" staff can handle that business function. Cross responsibility staff include front desk and/or fitness staff handling membership sales duties in addition to their own departmental specialization. This is the perfect recipe for mediocrity or worse. Feel free to e-mail me for a mathematical illustration of how most clubs lose hundreds of thousands of irretrievable dollars every year through "The School Of False Assumptions". E-mail address: GeoffLHampton@aol.com
For Health & Wellness Businesses who engage a stand alone membership sales team, a frequently asked question is, "What do I do when my membership sales team has nothing to do"?
First, lets assign an identity to that scenario. This reveals a department of "order takers" who respond reactively to any sales situation that presents itself. Maximum success is unattainable with "order takers".
The question of what to do with sales staff during their "downtime" is too frequently asked for an industry with such exciting professional growth potential. The answer is that there should never be a time when the sales staff in a wellness/health facility has "nothing to do."
Having a sales staff with nothing to do is usually rooted in one of two scenarios:
1. Inadequate education in sales management
2. Willingness (either conscious or subconscious) to accept less than maximal performance from staff. In either scenario, the facility's bottom-line, the service provided to members and the efforts to recruit new members are not what they should be.
Sometimes sales staff spend their time fraternizing with other staff, which is rationalized as "camaraderie" by the facility management team. The truth is that there is no fine line between camaraderie and dereliction of duty. Though that may sound harsh, it is simply a call to eliminate excuse making. Strong sales management is not accomplished through harsh direction, but through training and behavior modification to achieve maximal performance. This means that managers must be effectively equipped to bring strong leadership to the all-important realm of sales management.
Keep the sales cycle strong
Part of the equation of keeping a sales staff adequately occupied is making sure that a club's sales model is healthy. The wellness/health club model of the new millennium is based on strong sales supported by strong retention. Having strong sales without strong member retention creates a vicious cycle of attrition-driven sales initiatives.
Selling new memberships is the initial combustion that starts the business success cycle. Retention is the guarantee of long-term success for that business, as the monies derived from membership renewals become a constant. Retention of existing members is also important for sales as satisfied members refer their friends and associates to the club. Any shift in that dynamic creates an unbalanced scenario that makes management much more difficult.
To relate this sales model to how your staff spends their time, think about your team meetings. How much time and energy is spent on the process of selling new membership versus retaining existing members? Now, take that thought process in a different direction. If the time spent on selling memberships and retaining members is similar, is the time spent on the sale of new memberships enough to create the strength of sales that will fuel the growth of your business?
Too many wellness/health operations lose tremendous selling opportunities because the operators think that their business "sells itself," or have some other false assumption about the impact of strong sales and retention efforts.
Keeping your sales staff occupied means keeping your sales cycle strong. To do this, be open to new information and ideas. See your new members as people vs. dollars. Train your sales staff to be honest, sincere and compassionate. There simply shouldn't be a time that any membership sales-related staff have nothing to do. The truth is that selling new memberships and retaining members are the most important aspects of wellness/health facility operation. Enage effective goals rooted in Bench Mark Performance standards that are monitored for effectiveness. Have a determination to be the best...and then do it!
If you would like additional information on this issue, please feel free to contact me at GEOFFLHAMPTON@aol.com.
By phone: (865) 281-2422
* SPECIAL OFFER: Complimentary 15 minute phone consultation to evaluate your current performance limiters and determine a powerful pathway for you in order to maximize your true success potential.
Wednesday, November 4, 2009
Excellence in Performance - Removing the blinders
"Excellence" seems to be one of the most misunderstood words in the English language. How many times have you seen the word dishonored in daily operations of businesses who feign "excellence" in word or deed? While everyone wants to think that they are seriously seeking excellence in their performance, the reality is that mediocre performance is often rewarded as though it were superior. It's time to ante up.
Excellence in performance requires commitment. And commitment requires goals and motivated performance. Nothing else will result in attaining excellence in performance.
There are many common stumbling blocks to attaining excellence. Following are the 10 most common errors that can derail excellence in performance:
• Excellence is not mediocrity.
• Excellence is not situational.
• Excellence is not being negative.
• Excellence is not inconsistent.
• Excellence is not deceitful.
• Excellence is not making excuses.
• Excellence is not blameshifting.
• Excellence is not repeating the same mistakes.
• Excellence is not strictly about personal gain.
• Excellence is not influenced negatively by obstacles.
Commitment to excellence is the core value that enables ordinary individuals to accomplish extraordinary success. To attain performance excellence, the previously listed obstacles must be avoided at all cost.
The excellence in performance test
The first step in seeking excellence in performance is to take the following test:
In evaluating your personal performance, write down these 10 obstacles and list the number of times you fell prey to these situations in the last week:
1. Mediocrity. How do you discern mediocrity? If you are accepting less than optimal performance in any situation.
2. Being situational. How do you determine if you are situational? If you perform at different levels based on the situation. For example, a staff person may perform one way in the presence of leadership and perform at a lesser level in the absence leadership.
3. Being negative. It is easily identifiable if you are falling into this trap.
4. Being inconsistent. If you find you are really motivated one day and the next day you are flat, you are inconsistent.
5. Being deceitful. There are no differing levels of deceit. A lie is a lie is a lie. Some individuals seem to grade lying as less or more important based on the act being covered up. In seeking true excellence, there is no lie that is OK.
6. Making excuses. When an individual tries to find a reason why they failed to achieve a certain goal or accomplish a certain task, they may make up an excuse. The excuse seems very real to the mediocre performer. To the individual seeking excellence in performance, excuses are repugnant.
7. Blameshifting. This is once again rooted in failure to perform. With this situation, the individual blames their failure to perform on another person or on perceived obstacles.
8. Repeating the same mistakes. This is probably the most common obstacle for mediocre performers. Football coach Bobby Bowden says, "The worst mistake is to continue to practice the same mistake." This problem must be overcome to attain excellence in performance.
9. Focusing strictly on personal gain. If an individual is concentrating on their own personal gain, their motives are weak. Excellence in performance is about striving to be the best for the benefit of everyone.
10. Being influenced negatively by obstacles. Obstacles are a fact of life. How an individual responds to the obstacles is what separates excellence in performance from everything else. It is essential to establish and engage counter measures to all common obstacles.
Once you complete the test, there several important considerations that will open the door to performance excellence:
• Quantifying your personal performance.
How is this done currently? Is it based on guesswork or real performance indicators?
• What steps are currently being taken to improve your performance?
Do you have a coach or a mentor? If not, then what is the method of new knowledge attainment?
Remember that every act done every day by every staff team member has a direct impact on the success or failure of a business. Every action affects goals on every level. In commitng to excellence in performance, there will only be positive impacts. Make that your passionate goal.
If you have any questions about attaining excellence in performance please feel free to email me at GEOFFLHAMPTON@aol.com.
* SPECIAL OFFER: Complimentary 15 minute phone consultation to evaluate your current performance limiters and determine a powerful pathway for you in order to maximize your true success potential.
Excellence in performance requires commitment. And commitment requires goals and motivated performance. Nothing else will result in attaining excellence in performance.
There are many common stumbling blocks to attaining excellence. Following are the 10 most common errors that can derail excellence in performance:
• Excellence is not mediocrity.
• Excellence is not situational.
• Excellence is not being negative.
• Excellence is not inconsistent.
• Excellence is not deceitful.
• Excellence is not making excuses.
• Excellence is not blameshifting.
• Excellence is not repeating the same mistakes.
• Excellence is not strictly about personal gain.
• Excellence is not influenced negatively by obstacles.
Commitment to excellence is the core value that enables ordinary individuals to accomplish extraordinary success. To attain performance excellence, the previously listed obstacles must be avoided at all cost.
The excellence in performance test
The first step in seeking excellence in performance is to take the following test:
In evaluating your personal performance, write down these 10 obstacles and list the number of times you fell prey to these situations in the last week:
1. Mediocrity. How do you discern mediocrity? If you are accepting less than optimal performance in any situation.
2. Being situational. How do you determine if you are situational? If you perform at different levels based on the situation. For example, a staff person may perform one way in the presence of leadership and perform at a lesser level in the absence leadership.
3. Being negative. It is easily identifiable if you are falling into this trap.
4. Being inconsistent. If you find you are really motivated one day and the next day you are flat, you are inconsistent.
5. Being deceitful. There are no differing levels of deceit. A lie is a lie is a lie. Some individuals seem to grade lying as less or more important based on the act being covered up. In seeking true excellence, there is no lie that is OK.
6. Making excuses. When an individual tries to find a reason why they failed to achieve a certain goal or accomplish a certain task, they may make up an excuse. The excuse seems very real to the mediocre performer. To the individual seeking excellence in performance, excuses are repugnant.
7. Blameshifting. This is once again rooted in failure to perform. With this situation, the individual blames their failure to perform on another person or on perceived obstacles.
8. Repeating the same mistakes. This is probably the most common obstacle for mediocre performers. Football coach Bobby Bowden says, "The worst mistake is to continue to practice the same mistake." This problem must be overcome to attain excellence in performance.
9. Focusing strictly on personal gain. If an individual is concentrating on their own personal gain, their motives are weak. Excellence in performance is about striving to be the best for the benefit of everyone.
10. Being influenced negatively by obstacles. Obstacles are a fact of life. How an individual responds to the obstacles is what separates excellence in performance from everything else. It is essential to establish and engage counter measures to all common obstacles.
Once you complete the test, there several important considerations that will open the door to performance excellence:
• Quantifying your personal performance.
How is this done currently? Is it based on guesswork or real performance indicators?
• What steps are currently being taken to improve your performance?
Do you have a coach or a mentor? If not, then what is the method of new knowledge attainment?
Remember that every act done every day by every staff team member has a direct impact on the success or failure of a business. Every action affects goals on every level. In commitng to excellence in performance, there will only be positive impacts. Make that your passionate goal.
If you have any questions about attaining excellence in performance please feel free to email me at GEOFFLHAMPTON@aol.com.
* SPECIAL OFFER: Complimentary 15 minute phone consultation to evaluate your current performance limiters and determine a powerful pathway for you in order to maximize your true success potential.
Tuesday, November 3, 2009
Health & Wellness Business: Pumpin' Up The Bottom-Line!
Far too many health & wellness businesses have been negatively impacted by the current economic downturn. Many have completely failed and gone out of business. Many"hope" things will improve but are reluctant to seek change. As a result they continue to operate with a business as usual mentality and miss the opportunity to "pump up" bottom-line performance.
Even many of the health & wellness businesses who have seen success during this time may not realize that they still have untapped potential that can drive their success even further.
Geoff Hampton, is now offering new Maximum Performance Enhancement Coaching Program for you and your staff team. This program will guide your business to maximum performance success through a powerful, customized business plan at a tremendously low cost. This unique program will enable you to maximize budgetary constraints while engaging a powerful staff development specialist!
Program includes:
* Maximum Performance - Front Desk – Information and public relations central.
* Maximum Performance - Developing a comprehensive understanding of member and prospect expectation dynamics.
* Maximum Performance - A better understanding of marketing and promotion and whose job true marketing success really is.
* Maximum Performance - Performance Benchmarking in all departments.
* Maximum Performance - Creating a 100% quantifiable performance tracking system.
* Maximum Performance - Developing and utilizing strong goal setting in every department.
* Maximum Performance - Engaging maximum new membership sales performance.
* Maximum Performance - Powering Up Personal Training performance.
* Maximum Performance - Maximizing interdepartmental synergy.
* And more!
Program Length – Six Months
Program Cost – One Time Registration Fee $150
Monthly Continuation Fee - * $350
* Offer available through November 30, 2009. As of November 30, 2009 the Monthly Continuation Fee goes to the standard $500.
Who are a few health & wellness businesses who have used Geoff Hampton to enhance their maximum performance potential?
Recent On-Site Staff Educational & Motivational Staff Training Programs:
* Augusta Regional Hospital – Lifetime Health & Fitness Center- Fishersville, VA – Contact: Eric Good or Olivia Hall
* The Wellness Center of URMC - Thomaston, GA - Contact: Denis Tallini or Carla Clayton
* The Westmoreland Athletic Club - Greensburg, PA - Contact: Dennis Doyle
* Culpeper Regional Hospital – Powell Wellness Center - Culpeper, VA – Contact: Sandy Boone
* University Health Care System – Health Central - Augusta, GA – Contact: Cindy Stephens or Claude Thompson
*** Medical Fitness Association
15th Annual Conference: Orlando, FL
December 2 – 5, 2009
Even many of the health & wellness businesses who have seen success during this time may not realize that they still have untapped potential that can drive their success even further.
Geoff Hampton, is now offering new Maximum Performance Enhancement Coaching Program for you and your staff team. This program will guide your business to maximum performance success through a powerful, customized business plan at a tremendously low cost. This unique program will enable you to maximize budgetary constraints while engaging a powerful staff development specialist!
Program includes:
* Maximum Performance - Front Desk – Information and public relations central.
* Maximum Performance - Developing a comprehensive understanding of member and prospect expectation dynamics.
* Maximum Performance - A better understanding of marketing and promotion and whose job true marketing success really is.
* Maximum Performance - Performance Benchmarking in all departments.
* Maximum Performance - Creating a 100% quantifiable performance tracking system.
* Maximum Performance - Developing and utilizing strong goal setting in every department.
* Maximum Performance - Engaging maximum new membership sales performance.
* Maximum Performance - Powering Up Personal Training performance.
* Maximum Performance - Maximizing interdepartmental synergy.
* And more!
Program Length – Six Months
Program Cost – One Time Registration Fee $150
Monthly Continuation Fee - * $350
* Offer available through November 30, 2009. As of November 30, 2009 the Monthly Continuation Fee goes to the standard $500.
Who are a few health & wellness businesses who have used Geoff Hampton to enhance their maximum performance potential?
Recent On-Site Staff Educational & Motivational Staff Training Programs:
* Augusta Regional Hospital – Lifetime Health & Fitness Center- Fishersville, VA – Contact: Eric Good or Olivia Hall
* The Wellness Center of URMC - Thomaston, GA - Contact: Denis Tallini or Carla Clayton
* The Westmoreland Athletic Club - Greensburg, PA - Contact: Dennis Doyle
* Culpeper Regional Hospital – Powell Wellness Center - Culpeper, VA – Contact: Sandy Boone
* University Health Care System – Health Central - Augusta, GA – Contact: Cindy Stephens or Claude Thompson
* And more!
How strong are Geoff Hampton’s unique and powerful training programs?
“The staff training seminar that Geoff Hampton of Club Marketing Resources International presented for both of our clubs was one of the most informative and beneficial events that we have had the pleasure of experiencing. In hearing the staff discuss it the following day the terms “Fantastic and Great” were frequently used. I would be more than happy to talk with anyone that is considering contacting Geoff.” Dennis L. Doyle - President of the Westmoreland Athletic Club, Inc. and Galaxy Fitness, Inc.
Recent Professional Presentation:
Recent Professional Presentation:
KEYNOTE – MACMA Annual Conference (Mid Atlantic Club Managers Association)
"Geoff received outstanding ratings as the Keynote presenter at the Mid-Atlantic Club Management Conference in July, 2009!" - Allison Flatley – Ex Officio
Other highly rated presentations:
2009 SEHFA (Southeastern Hospital Health & Fitness Alliance)
2008 MFA (Medical Fitness Association)
2008 NEHRSA (New England Health & Racquet Sportsclub Association) Annual Conference
Don’t miss these upcoming presentations by Geoff Hampton:
"Geoff received outstanding ratings as the Keynote presenter at the Mid-Atlantic Club Management Conference in July, 2009!" - Allison Flatley – Ex Officio
Other highly rated presentations:
2009 SEHFA (Southeastern Hospital Health & Fitness Alliance)
2008 MFA (Medical Fitness Association)
2008 NEHRSA (New England Health & Racquet Sportsclub Association) Annual Conference
Don’t miss these upcoming presentations by Geoff Hampton:
*** Medical Fitness Association
15th Annual Conference: Orlando, FL
December 2 – 5, 2009
*** MACMA (Mid Atlantic Club Managers Association)
WEBINAR
December 10, 2009
If you and your staff team want to finish 2009 with an incredible finish and be ready to maximize the 1st Quarter of 2010…learn from the best and make it happen!
Call Today: (865) 281-2422 for additional information!
WEBINAR
December 10, 2009
If you and your staff team want to finish 2009 with an incredible finish and be ready to maximize the 1st Quarter of 2010…learn from the best and make it happen!
Call Today: (865) 281-2422 for additional information!
Or, cell phone - (865) 603-2152.
Or, E-Mail - GeoffLHampton@aol.com
Friday, October 30, 2009
Health & Wellness - Maximum Management
There are essentially two different operational philosophies in the wellness/fitness industry today. One is attrition-driven (the only goal is to make the sale) and the other is service-driven (truly desire to sell and keep customers). Your facility's management model determines which style your business operates by and the level of success that your facility may attain.
Health Club Management 101 is a management style that refers to the most basic level of facility operation. It is grounded in strong sales with little to no customer service, except, of course, lip service. The roots of this very basic management approach are ancient. They go back to the very beginning of our industry and have only become more slickly packaged as time has gone by. This approach is one of the greatest illusions that has ever been advanced in an industry that should be rooted in strong customer service.
The illusion is enticing for operators who have not yet had enough professional education about how to make a long-term successful business that is truly dedicated to helping their members accomplish their goals. You know, the member who elected to pay money as a result of a sales pitch that dripped with honey and painted a glorious picture for the individual, whereby they visualized themselves fitting in at the facility and actually being encouraged and helped to attain their personal goals? The person's goals were very important to them when they agreed to pay for the membership. However, unless the person is naturally motivated, they will not attain their goals in an attrition-driven facility. What makes this scenario even more nauseating is that the facility has no real plan to help them, it was just a "sales pitch" given by a self-serving salesperson working for a self-serving business.
For effective business management and maximum growth potential, 80 percent of managers' efforts must be devoted to managing the facility team, creating a strong sense of esprit de corps (team spirit) and tending to growth-related projects and programs. In the Health Club 101 approach, the management model has managers devoting 80 percent (or more) of their time to selling memberships.
For a large club chain, Health Club 101 management principles can work very well. Chains have huge advertising and promotion budgets, and the prospects just keep on coming through the door, and the high-powered sales staff just keep pounding the prospects and painting the glorious pictures of "getting healthy."
In this scenario, the entire staff is virtually consumed with selling. There is little opportunity or hope of real customer service or strong retention. The facility manager is usually the top sales person and is so limited by the selling process that there is little opportunity to create growth plans or develop strong community alliances that will guarantee long-term success.
The corporate sales process is usually another thinly veiled approach that is rooted in discounts and not in the impact on employee productivity and reduction in healthcare costs, which is the line usually advanced to secure the sale. The truth is that corporations are in desperate need of employee wellness, but the Health Club 101 model is incapable of delivering this result. One simply has to log on to www.cdc.gov (the Centers for Disease Control website) and peruse the information available to see what corporations are really looking for in their sedentary workforce. They NEED results, not deceptive promises.
A management model based in true team leadership and team potential development is the model for the future of the industry. It is not a curriculum that someone can excel at without getting the proper level of education first. This curriculum is based in strong sales and is accompanied by strong retention. It offers a model with clear delineation of staff roles. Everyone is not directly involved in selling new memberships so that the manager can focus on achieving the maximum growth potential for the facility.
Strong sales tracking, regular training/motivational meetings, strong interdepartmental communication and effective use of goal setting enable this management model to attain and sustain maximum growth potential. There are no gray areas in responsibilities or expectations. The management team has a clearly defined mission statement and a clearly defined staff structure, which is supported by an organizational chart that clearly defines expectations for performance, ongoing educational expectations and level of motivation expected.
If you would like additional information on this issue, please feel free to contact me at GEOFFLHAMPTON@aol.com or by phone at (865) 281-2422.
Health Club Management 101 is a management style that refers to the most basic level of facility operation. It is grounded in strong sales with little to no customer service, except, of course, lip service. The roots of this very basic management approach are ancient. They go back to the very beginning of our industry and have only become more slickly packaged as time has gone by. This approach is one of the greatest illusions that has ever been advanced in an industry that should be rooted in strong customer service.
The illusion is enticing for operators who have not yet had enough professional education about how to make a long-term successful business that is truly dedicated to helping their members accomplish their goals. You know, the member who elected to pay money as a result of a sales pitch that dripped with honey and painted a glorious picture for the individual, whereby they visualized themselves fitting in at the facility and actually being encouraged and helped to attain their personal goals? The person's goals were very important to them when they agreed to pay for the membership. However, unless the person is naturally motivated, they will not attain their goals in an attrition-driven facility. What makes this scenario even more nauseating is that the facility has no real plan to help them, it was just a "sales pitch" given by a self-serving salesperson working for a self-serving business.
For effective business management and maximum growth potential, 80 percent of managers' efforts must be devoted to managing the facility team, creating a strong sense of esprit de corps (team spirit) and tending to growth-related projects and programs. In the Health Club 101 approach, the management model has managers devoting 80 percent (or more) of their time to selling memberships.
For a large club chain, Health Club 101 management principles can work very well. Chains have huge advertising and promotion budgets, and the prospects just keep on coming through the door, and the high-powered sales staff just keep pounding the prospects and painting the glorious pictures of "getting healthy."
In this scenario, the entire staff is virtually consumed with selling. There is little opportunity or hope of real customer service or strong retention. The facility manager is usually the top sales person and is so limited by the selling process that there is little opportunity to create growth plans or develop strong community alliances that will guarantee long-term success.
The corporate sales process is usually another thinly veiled approach that is rooted in discounts and not in the impact on employee productivity and reduction in healthcare costs, which is the line usually advanced to secure the sale. The truth is that corporations are in desperate need of employee wellness, but the Health Club 101 model is incapable of delivering this result. One simply has to log on to www.cdc.gov (the Centers for Disease Control website) and peruse the information available to see what corporations are really looking for in their sedentary workforce. They NEED results, not deceptive promises.
A management model based in true team leadership and team potential development is the model for the future of the industry. It is not a curriculum that someone can excel at without getting the proper level of education first. This curriculum is based in strong sales and is accompanied by strong retention. It offers a model with clear delineation of staff roles. Everyone is not directly involved in selling new memberships so that the manager can focus on achieving the maximum growth potential for the facility.
Strong sales tracking, regular training/motivational meetings, strong interdepartmental communication and effective use of goal setting enable this management model to attain and sustain maximum growth potential. There are no gray areas in responsibilities or expectations. The management team has a clearly defined mission statement and a clearly defined staff structure, which is supported by an organizational chart that clearly defines expectations for performance, ongoing educational expectations and level of motivation expected.
If you would like additional information on this issue, please feel free to contact me at GEOFFLHAMPTON@aol.com or by phone at (865) 281-2422.
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