It should surprise no one to hear that the fitness industry is undergoing rapid change.
Old-timers like me will recognize the pendulum effect in action: gyms and trainers are starting to swing back toward more traditional methods. Almost everyone squats again, just like we did in the 1930s; fewer people use machines than they did a decade ago. We can all agree that’s a huge positive: while too few people exercise, those who DO are starting to use more effective tools.
The efficacy of exercise programs is rising. People are capable of a higher level of fitness than ever before; fitness requires less time than it once did; and we have better knowledge of what helps with weight loss. This will expand our audience: since no one’s guessing anymore, there’s less wasted time. Clearer outcomes are more attractive to would-be exercisers who don’t know how to start.
Challenges and Opportunities
For box owners, this means we’ve won but some are disoriented in this new world. If every gym now has bumper plates and rowers, what makes us special? If Big GloboFit is giving away free access to rings and plyo boxes, how can we charge a premium for our services, make a great living, and take people to another level?
Coaching. Answers. Addressing the needs and desires of this new market: those who are “doing CrossFit” on their own. Luckily, we already have some experience here: in 2007, many of us were doing the same thing. What led us to a box? The desire to get better at cleans, or get a muscle-up, or to test ourselves against others. In this way, the emerging market of “globo-crossers” that some view as a threat is actually a massive opportunity.
Social media also appears to be limiting our access. All of our marketing models (telling stories, giving social proof, establishing expertise, cobranding, etc.) are social models: they rely on interaction, sharing, and hitting the “like” button. With this avenue shifting toward pay-to-show, it might appear necessary to fall back on antisocial marketing methods (flyers, mailouts, newspaper ads…one-way, in-your-face advertising. Yuck.)
What the new algorithm REALLY does, though, is forces us to ask, “what do our clients WANT from us?” In other words, why are they coming to your gym? Is it to lose weight? Get better at sports? Get fit for a first 5k? Meet people? When we know those things, we can draw a straight line from those goals to our services. Here’s how:
Create a group called, “Weight Loss in Austin, Texas.” Invite everyone you know. Tell them to invite their friends. Then help those people: tell them how to lose weight with content from your site. Post videos, invite them to nutrition challenges, and motivate them. Let them know where to get more help. At some point in their click-journey, start charging for it. For example, a post on “Starting Your Weight Loss Journey” could end with an invitation to attend a free seminar on Paleo at your gym. Collect registrations for the event; add those to your monthly newsletter. Offer combination nutrition/exercise classes at 9am, three times each week…
The new limits on exposure to your clients affects a business’ page. But it doesn’t limit group interaction, and there are no filters between those groups and the page. Think your way around the problem, and you’ll have a straighter line to your potential clients anyway.
Another challenge/opportunity is the perception of crowding, and microgym competition. Some gyms blame their lack of success on “the guy half a mile down the road.” But they’re really not fighting: they’re just trying to capture–passively–the same audience without trying to grow the pie.
While some box owners still define their target market as, “People who want to do CrossFit,” others are looking beyond to “people who want to exercise.” Some are now prodding the even-larger market: the “I don’t see why I should” crowd. These latter folks are truly growing the pie. There’s no reason three gyms can’t thrive (not just survive) in the same BUILDING, not just the same block.
Gym #1: focuses heavily on athletes, preparing hockey players and football players for their season, and CrossFitters for competition.
Gym #2: focuses on weight loss, incorporating nutrition and exercise together.
Gym #3: focuses on corporate fitness and personal training.
One final challenge/opportunity: IP theft. Everyone wants to use the trademarked brand we pay for, because it’s the gold standard. Literally thousands of these cases appear in front of CrossFit’s Legal Department every year. Thousands. They address them all, but not in the same day they’re reported. However, this desire adds to the value of our brand: as people now realize the difference between Box A and Box Z, they’ll soon realize the difference between genuine licensed affiliates and knockoffs. I’m glad so many want to rip us off: I wouldn’t want to pay for anything not worth stealing.
State of the Union: 321GoProject
2014 was a year of massive growth, following the “Help First” model. We did over 250 free phone consultations. Our mentoring program continued to improve based on this data and experience. Our seminars got leaner and meaner, with a highly-improved sense of focus and toolkit for seminar attendees.
Challenges/Opportunities: there are a lot of “experts” in the field now, and while most will eventually just wither away, it’s hard for clients to know who to trust. At first, it’s flattering to see your ideas show up on other blogs…and then (I think) it’s natural to be a bit defensive. But we’re in this, first and foremost, to help people; the Stratified Model, by any other name, is just as sweet. It’s tempting to trademark the Founders’ Club, 4/9 structure, Bright Spots retention system, Stratified Model, and all the various marketing strategies we use…but then I think, “Does that help our clients succeed?” Of course it doesn’t. We’ll keep innovating instead, and let others run over the same ground we’ve already mapped.
New technology will allow us to help clients better than ever before. Our Affiliate Survey (due for release soon) will reinforce the lessons we’ve learned from thousands of hours spent one-on-one with gym owners. Other technology will permit gym owners to learn from us more efficiently, and new partnerships will make the lives of gym owners far easier. We have new price points, new services and new methods of delivery coming VERY soon–all with the “Help First” philosophy in mind. We’re excited for 2015, happy about 2014, and never slowing in our relentless pursuit of excellence.
We hope your business brings you peace, prosperity and time before the start of 2015.
All my best, Clay.
