Cohort 8 - MMI-Marketing Plan For A FITNESS - STUDIO

Download as pdf or txt
Download as pdf or txt
You are on page 1of 20

One Stop Body Studio

Cohort 8 – Marketing
Assignment

Akankshya Sharon (XOB23008)


Dineshbabu Padmanaban (XOB23027)
Manish Kumar (XOB23046)
Shalaka Ghosal (XOB23065)
Hammad Ansari (XOB23084)
Executive Summary
The Core product is “Fitness Studio” that offers diversity of fitness sessions and equipment that
help customers achieve their fitness goals. The main distinguishing feature compared to the
traditional gyms is to provide a more personal focused experience to each customer. Unlike the
traditional gyms which specializes and offers one type of workouts, Creed Fitness is going to
provide on-demand classes on workouts such as Strength Training, Yoga, Pilates, Boxing, small
group training, mixed martial arts, and Zumba dance.
Creed Fitness is going to be equipped with state-of-the-art equipment and offer a range of classes
that cater to different fitness levels and interests offering group classes and one-on-one personal
training sessions. The unique selling point of the product is offering the customers great flexibility
on attending the sessions. Customers are completely in control in attending the sessions let it be
individual workout sessions / group sessions / online trainer guided sessions. Despite all the cool
features, the cost of membership is going to be same irrespective of the location.
The Creed Fitness is going to be positioned as “One Stop Body Studio” targeting broader customer
segments from young females to married females, from sport persons to people with medical
history. The Fitness studio is going to be completely a digital with an app-based sessions layout
and users can book sessions and track their fitness journey.

Product / Service
Creed Fitness is aiming to offer a holistic fitness experience is to the customers through both
online and offline channels. Exercise, mental health, healthcare, diet, and medical treatment are all
included. It would be one among very few in the nation to provide tele-fitness or e-fitness services.
Additionally, it is hoping to expand to 130+ gyms through franchise. Creed Fitness will position
itself as a well-known name in the fitness sector. It hopes to tap into the healthcare market which
is expected to increase three-fold to Rs 8.6 trillion by 2024.

Strength Training A group session led by a fitness trainer focused on muscle building
with weights
Cardio (High Complete weight loss program customized to each customer based
Intensity / Low on their BMI and preferences
Intensity)
Muscle Tone & Intensive version of strength training geared to everyone through a
Fit personal trainer and diet chart for superior results
Cross-Fit Designed specifically for individuals who are looking to build their
Training endurance, stamina, and agility. Super intensive program like athlete
training programs
Boxing Combination of heavy cardio and endurance building program.
Customers are given exposure to boxing led by trainers with boxing
background
Yoga Using different Yoga methods like Hatha Yoga, Advanced Yoga
designed to provide strength, flexibility, and relaxation
Zumba Dance A fun induced group sessions designed specifically for weight loss
Fitness targeted all age groups
Meditation Be it managing stress and anxiety, improving sleep quality,
improving focus, or exercising your body-mind combined, there are
many formats available as per the users’ needs.

Market Research
Founded in 2016, the health tech start-up Cult Fit is our direct competitor offering digital and
offline experiences across fitness, nutrition, and mental wellbeing like what Creed Fitness is
planning to offer. This sector is fast growing especially after pandemic as per Statista.

Consumer Insights by Statista clearly shows that significant majority of target audience are
looking for two major factors before deciding on the purchase.
• Ready to gladly pay for the service if it offers convenience.
• Looking to book the sessions or services online.

Projected growth in revenue in Health & Fitness sector in India (Statista.com)


• Total revenue in the Health & Fitness market is projected to reach ₹1.72bn in 2022.
• Total revenue is expected to show an annual growth rate (CAGR 2022-2027) of 11.82%,
resulting in a projected market volume of ₹3.08bn by 2027.
• In-app purchase (IAP) revenue in the Health & Fitness market is projected to reach
₹1,187.00m in 2022.
• Paid app revenue in the Health & Fitness market is projected to reach ₹36.88m in 2022.
• Advertising revenue in the Health & Fitness market is projected to reach ₹492.00m in 2022.
• The number of downloads in the Health & Fitness market is projected to reach 293.40m
downloads in 2022.
• The average revenue per download currently is expected to amount to ₹5.85.
We consider three different revenue streams:
➢ Getting money from an app's features, upgrades, and subscriptions through in-app
purchases (IAP)
➢ Income from paid apps that users have only ever downloaded once money from
advertising displayed within an app
➢ Both the revenue generated by developers and the commission revenue generated by
shops are included in our data.
Context / Climate:
• The rising health consciousness and fitness awareness among the population combined
with its greatly enhanced buying power and the consequent demand for health and
fitness resources and services is propelling the industry boom.
• India’s fitness landscape is exponentially evolving beyond the physical health and
mental wellness. Fitness in India is now seen as a journey cultivated with cultural and
symbolic nuances, holding a mirror to societal aspirations, values, and evolving
lifestyles especially post COVID-19.
• Growing trend in India is tracking the fitness progress and sharing it in social media.
Building an app around this trend is a good monetization opportunity.

People returning to the gym after COVID-19 lockdown in India, by age group
Company Competitors
• Aiming to provide end to end fitness • Cult fit is growing aggressively since their
services to wide range of customers. inception making them our direct
• Focused on variety of fitness sessions. competitor with similar services offering.
• Offers Strength training, High intensity • They positioned themselves as New Age
training, Muscle building, Low- Fitness brand promoting through
intensity cardio, Boxing, Yoga & innovative campaigns and celebrity
Zumba Dance. endorsed events.
• Competitive Advantage – Offering • The brand positions itself as genuinely
“One App” Solution integrating all caring about people’s health, urging
services from sessions booking to people to understand their bodies better.
online training classes seamlessly all in
one place.

Customers Collaborators
• Promotion through social channels like • Partnering with “Social media
Facebook, Instagram, and word of Influencers” & “Fitness Influencers” for
mouth. Also focused on Referrals. promotion.
• More than 70% discover fitness studio • Fitness influencers can do a significant
through online channels and more than contribution to the growth story, by
20% through references from friends making it a cultural trend.
and family. • Building an online community is very
• 60% of gym & fitness club members essential to social promotion.
state that they tend to book services • Additionally, Collaboration with other
online. offline fitness brands like supplementary
• 41% of gym & fitness club members diet, equipment and athleisure clothing
are innovators or early adopters of new category would make a strong product.
products.

Category Analysis
Opportunities Threats
• Market segment is growing • Already established fitness studio can
exponentially. tap into the Tier 2 cities.
• Unlike Tier1 cities which is crowded • Lack of fitness trainer and possibility of
Tier2 cities are still untapped. losing trainers to competitors.
• Customers from tier 2 cities are much • Rise of substitutions – Gyms inside
more goal oriented and self-motivated. apartment and home fitness studio.
• Targeting expansion in Tier2 cities • Impact of economic downturns –
would help accelerate the product Recession and inflation can cause
growth. customers to rethink on membership
• Value-added Services – Can charge renewal.
premium by offering diets, workout • Negative impact of overcrowding –
food, premiumization of membership Some locations might get jam packed
with extra perks. during peak hours causing
• Offer franchise model to accelerate inconvenience and deter them from
expansion. membership renewal.
Competition

New Market Entrants


• Large capital costs limit
the entry of new entrants
• Existing companies can
expand to online presence
and leverage the existing
network

Supplier Power Competitive Rivalry Buyer Power

• Relationships with • Franchise strategy could • Product cost should be


fitness trainers is very pose a risk constant across different
crucial • Gaining significant location
• Collaboration with market share in crowded • App should be one stop
fitness influencers market is also location for all
should be strengthened challenging payments to avoid third
• Supplement / diet • Tier 2 cities needs special party offers
suppliers should be strategy to each city to
diversified rival local gyms

Threat of Substitutes

• Local gyms
• Fitness centres inside
apartment society
• Extensive collection of
free fitness apps in iOS
& Android app market
• Leisure activities like
Running, SPORTS and
SWIMMING
Market Segmentation
Market segmentation is the process of dividing our target market into specific groups. Each
group requires different products or services and needs a different marketing mix. By targeting
specific markets, we can promote our services more effectively rather than just targeting the
“average” customer. Through market segmentation, we can communicate our message more
effectively. All of this results in giving the business a marketing edge over the competitors. To
determine market segments, it needs to be analyzed the needs and wants of each segment.
Several different factors to divide your target market such as:
• Demographics
• Interests, behavior, and attitude
• Location
• Characteristics
• Purchase and usage situations
In our project we conducted the survey and based on the analysis we found out that the
following segment of market exists for the gym or fitness centers.
1. Sports
This target group is already heavily involved in sport. They love to play sport and always take
the time to get a session of tennis in, play football or squash. They may even play at a
competitive level. These people use your fitness center to improve their agility, strength, and
endurance to make them better players in their field.
Generally, this group of consumers are highly motivated and already have the knowledge
needed to train. What they need from a gym is the right fitness equipment, activities, and space
that support the needs of the sport they love.
2. Health Needs
The health needs group is looking to get healthier, increase strength and maybe lower their
cholesterol. They have possibly been sent by the doctor to improve their health and your gym
is the first stop on their journey.
A person looking to get healthier may need a bit more help, encouragement, and guidance.
They can benefit from personal trainers and expert advice. They will need much more
encouragement and special attention than your regular gym-goer.
3. Making Friends and Socialize
One of the top reasons to join the gym is to meet new people. Fitness is a great way to make
friends and socialize. This target group is less interested in the health benefits that come from
the gym and more focused on making friends.
These types of people tend to be moderately fit and are active enough to join in classes. To
attract this type of person, think about adding fun and energetic classes. Create a space where
people can interact after they work out like a juice bar or cafe.
4. Peak Performance
These people are at the top of their game. They are highly motivated and very fit. They are
constantly looking to achieve their personal best. Whether it is beating their own running time
or excelling at bodybuilding, these people are extremely focused.
A benefit of this group is that they tend to be long-term clients. On the other hand, due to their
expertise, they tend to dominate certain areas of the gym and may intimidate some of the newer
members.
5. Losing Weight
Finally, the losing weight market segment is a goal-orientated group. This group has joined the
gym with the intention of losing weight. The most effective approach for this group is to be
very welcoming and accepting of all shapes and sizes.
This group needs support and motivation delivered by a professional. Try offering a six-week
weight loss program or really utilize your personal training services you have available.
6. Demographic Variables
Men are more competitive than women and young people are more competitive than their older
counterparts (Cashman, 1998). Young and single people are keen to exercise, improve their
physical image, meet people of the opposite sex, and satisfy their social needs. However, as
one grows older, physical appearances may be harder to maintain due to the lack of time and
motivation, the inconvenience and the additional responsibilities arising from one’s job and
family. For married and older people, improving one’s physical image (extrinsic motivation)
and social needs are likely to become less important.
Undoubtedly, physical exercise (intrinsic motivation) can improve the quality of life.
Nonetheless, an individual’s survival is not necessarily jeopardized immediately by a lack of
physical exercise. Moreover, it is not necessarily important for all demographic groups at the
same level. However, at an extreme, the lack of physical exercise may cause many.
Major physical problems, such as obesity, high blood pressure, coronary heart disease, Etc. It
may reasonably be argued that physical exercise is somewhat important for all age groups.
Target Audience
Creed Fitness targets customers of any age group starting from the age of 18 to above 60 ages
and positioned itself to be one stop body studio catering to all fitness goals. During our survey,
we noticed that almost all of them are relying on their rational reasoning while making
purchase decisions. Hence, focusing on top 2 criteria is very important.
Based on our survey – Primary criteria for any customer to take a gym membership is
LOCATION. Hence, we need to strategically open studios within a 3 - 5 km radius from the
concentrated residential areas. Almost all customers selected the option which was in closer
proximity to their homes. 1 in 10 consumers opted for the option which was in their
neighborhood. This shows that the consumers are ready to select the closest option even if they
must compromise on any one of their criteria. Additionally, there is possibility to lure people
working in business organizations within the 5 kms radius. Secondary Criteria is
EQUIPMENT & AMENITIES – Customers are very keenly looking for the fitness studio
ambience and the amenities. Customers are also very much aware while screening for the
quality of equipment available at the fitness studio.

CRITERIA
Brand Name Celebrity
2% Endorsement
2%
Cost (Subscription /
Membership)
Location /
5%
Proximity
36%
Trainers
9%
Hygiene
16%

Equipments &
Amenities
30%

For E.g., If the target city = Pune. It is a vibrant city with a mass of population working majorly
in IT Industry. As our focus area location is Koregaon park in Pune, an important element of
the demographics of this target market is the fact that most of the people who reside within
5kms radius have a relatively high household income in comparison to other parts of the city.
They can be referred to as High-Net-worth Individuals (First Class).
Blending our survey data and consumer insights data from Statista.com, the picture is very
clear that majority of Gym & Fitness consumers are concentrated in Megacity / Tier 1 Cities
with 5+ miln. Inhabitants. Our Major focus would be to target these Tier 1 Cities to push and
scale the brand swiftly. These cities would be ideal choice to scale and reach profitability in a
short period of time because they have a major advantage – PREMIUMIZATION. According
to our survey – The average price of gym subscription by Indian respondents is ~ Rs. 20,000/-
per annum, implying high willingness to pay. However, given a situation when there are two
or more similar options, customers always went for the option which they felt was “Value for
Money.” The option need not have to be the cheaper one.
Marketing Strategy
In view of launching the Creed Fitness GYM we are implementing the differentiating strategy as
we are looking to offer unique services along with the usual fitness equipment and convenience
related benefits. We will be targeting customers of varying ages, mixed gender floor, with various
interests. Our primary goals are to ensure people and our members are fit, healthy, and able to
defend themselves. Creed ensures that we are the solution for a flexible and welcoming atmosphere
to help combat this issue. Creed does not have any fitness standards. A person can walk in who
has not done a push up once in his or her life, and a bodybuilder would be equally welcome. Our
business encourages people of all ages to work out in a fun and dynamic fashion. For adults,
Regular Pro-Level workouts will help with weight loss and regulation, and for teenagers and young
persons, it will help with their development of discipline and self-confidence along with keeping
them fit and gaining muscles.
Creating a perceptual map with the "trainer-focused vs. convenience-focused" and "equipment-
heavy vs. other facilities heavy" dimensions for gyms would involve plotting various gyms on a
two-dimensional graph based on how consumers perceive them on these attributes.

Attributes:
1. Trainer Focus vs. Convenience Focus: This dimension evaluates whether a gym is more
focused on offering personalized training services or prioritizes convenience regarding location,
accessibility, and ease of use. It ranges from "Trainer-Focused" to "Convenience-Focused."
2. Equipment Heavy vs. Other Facilities Heavy: This dimension assesses whether a gym places
more emphasis on providing a wide range of exercise equipment or offers a variety of other
facilities and amenities such as swimming pools, saunas, or group fitness classes. It ranges from
"Equipment-Heavy" to "Other Facilities Heavy."
Different gyms are positioned in relation to trainer focus, convenience focus, equipment emphasis,
and other facilities.
● Upper Right Quadrant: Gyms positioned in this quadrant are perceived as both trainer-
focused and equipment-heavy while also emphasizing convenience. These gyms likely provide a
comprehensive fitness experience with well-trained staff, a wide range of equipment, and
convenient locations. They may attract fitness enthusiasts looking for personalized guidance,
ample equipment, and a convenient workout experience.
● Upper Left Quadrant: Gyms in this quadrant are perceived as trainer-focused and
convenience-focused but not equipment-heavy. These gyms prioritize personal training and a
convenient location but may not offer an extensive array of exercise equipment. They may attract
individuals seeking personalized guidance and convenience in a gym close to their location.
● Lower Right Quadrant: Gyms located here are perceived as equipment-heavy but not
necessarily trainer-focused or convenience-focused. These gyms offer a wide range of exercise
equipment and might appeal to self-motivated individuals who prefer to work out independently.
However, they may not prioritize personalized training or convenient locations.
● Lower Left Quadrant: Gyms in this quadrant are perceived as neither trainer-focused nor
convenience-focused and may not emphasize being equipment-heavy. These gyms might offer a
basic gym experience without a strong focus on personal trainers, convenience, or extensive
equipment. They may attract budget-conscious individuals looking for a straightforward gym
option.
CREED FITNESS comes under the UPPER RIGHT QUADRANT as the customer perceives
this as Equipment heavy and convenience focused. Our gym is prioritized more on superior quality
equipment with fitness focused ambience and a convenient location. It attracts individuals seeking
personalized guidance and convenience close to their location.

MARKETING MIX – 4P’S – 4C’S


It is commonly known that, in marketing, what where called the 4P’s have evolved to the new
4C’s, which are more oriented to the customer rather than the product. This is how these concepts
are related.
Product / Consumer
Creed Fitness is a fitness club geared toward improving the health of the average health-conscious
person in the community. The club’s slogan of being a ‘One Stop Body Studio’ embodies the
culture of its members; these are the people who are looking to work out in a non-­‐intimidating
atmosphere, which is part of the perceived value. Creed Fitness offers a variety of fitness
equipment for both strength training and cardio (tread mills, elliptical machines, bikes). There are
TVs on the ceiling in front of the cardio machines, and a box on the side of each machine allows
the members to plug in headphones and tune into any of the TV’s or radio stations. There are two
of each kind of strength training machine to assist in the flow of members working out during peak
hours (5pm-­‐9pm Monday through Saturday).
Creed Fitness has personal trainers available at no additional cost. We will be implementing
customer surveys to improve the quality of service expected of our trainers and other
representatives of Creed Fitness. There will always be someone available to help answer any
question the member may have.
We also feature two massage chairs to help assist members’ post workout cool down. There is a
water bubbler available to all, but we also offer cooler drinks (bottled water, sports drinks, protein
drinks). There are no free weights, but we have two racks of dumbbells weighted from 2.5kgs to
75kgs to allow members to do a freer movement work out tailored to their needs and goals.
The set-up of the gym is user friendly in that all the machines used to work similar areas of the
body are grouped together. Creed Fitness also has six tanning beds available to the Black Card
Members for unlimited tanning. There are cleaning solutions as well as paper towels located at
four stations throughout the gym to help assist in maintaining a clean environment. When a
member is done using a machine, he simply wipes it down; the employees will also be cleaning at
various times to maintain that clean environment.
The locker rooms feature toilet facilities, sinks and showers for the customer. When a member
joins, they are given a guided tour and any questions they have are answered by our thoroughly
trained employees. As an added perceived benefit (and free on person advertising) new members
also receive a free t-­‐shirt with the Creed Fitness logo on it, white for White Card Members, black
for Black Card Members, and a gold embossed shirt for the new Gold Card Members as described
below.
To add more value to our service, and not alienate the core customers, we will add fitness classes
in Yoga, Martial Arts, Zumba, Pilates, Boxing and Kick Boxing, biking, and interval strength
training. We will offer each class in the evening during the week. We will also add a non-­‐
mandatory orientation day to help new members get familiar with the facilities and equipment. We
will offer two sessions every Saturday, one in the morning and one in afternoon. The orientation
is for those who need further instruction on machine usage but may feel less awkward in a group.
These new services will attract more members and help obtain the 10% annual growth objective.
Creed offers a 15-min body measurement session for members every month and helps them set
fitness targets. In addition to fitness classes, Creed develops functional peripheral products along
with monthly promotions like giveaways or awards for members who meet certain targets. Creed
has managed to create its product mix successfully. Creed has applied the product element of the
marketing mix by taking the initiative to care for its members, understanding members’ needs, and
assisting them in achieving goals to build a sense of belonging.
“Creed fitness not only provides products of sports courses; but our main product is the intimacy
the staff demonstrates when providing services, which includes caring about customers and
establishing a sense of belonging.”
Price / Cost
There are 4 major pricing strategies – Value-based, competition-based, cost- plus and dynamic
pricing. Given the nature of our industry and the various players already operating, we will go for
competition-based pricing to set up the subscription costs of Creed Fitness.
Below is an analysis of the prevalent prices being charged currently by the market leader and other
key players:
Enrollment charges - 1500/- (one-
time)
Pro - 8,790/- p.a
50,000/- per year + taxes
Transform - 9,000/- p.a
Elite - 13,990/- p.a.

Other local brands (Talwarkar,


35,000 per year + taxes Solaris) - ~8,000/-~15,000/-
p.a.

Price setting also has a close relationship with the gym’s cost structure and, as we intend to provide
much more value to the customer.
The GYM’s pricing strategy will be to command a premium price, as it has been seen that closest
competitors are average gym chains, so customers should know that they are paying for a fitness
center with the best machinery in a peaceful environment and professional employees. Also, the
investment required will be considerable compared to other gyms (for the size of the facilities and
the machinery required), which is also a reason why membership fee will be high. The Economic
Times also affirms that charging a high price in the introduction stage is a good option, as it is the
way that the company must express that the new product has unique and new features.
Below is the pricing structure for Creed Fitness:
Tier Monthly fees Annual renewal fee Annual fees
White Card ₹2,499 ₹1,499 ₹31,487
Black Card ₹2,999 ₹1,999 ₹37,987
Gold Card A 3-month special program for ₹4,999

The standard White Card Membership costs ₹2,499 a month plus a one-­‐time start-up fee ₹499
and a ₹1,499 annual membership fee. Unlike most gyms, there is no minimum length of time
members must keep this package. The White Card Member has unlimited use of the fitness
equipment as well as personal training. The upgraded membership, called a Black Card
Membership, costs ₹2,999 a month, no start-up fee, plus a ₹1,999 annual membership fee. Black
Card Members are required to maintain this membership status for a minimum of twelve months.
The Black Card Member truly receives a lot of value for the price. As Black Card Members, our
customers enjoy unlimited tanning, full use of fitness equipment, all other trainings include like
Zumba, Martial Arts, Boxing and Kick Boxing, Pilates, etc. and half off all cooler drinks including
protein drinks. Tanning services and the use of the fitness club facilities gives Black Card Members
more value than they could ever receive if they bought these services separately. The average fee
for unlimited tanning is around ₹2,499 a month and average monthly fee for a gym- membership
is around ₹2,999 plus no hidden fees for extra services.
To attract a younger demographic during the summer months we are adding a third membership
option, the Gold Card Membership. This will cost the customer a flat fee of ₹4,999 for three
months, June through August. There will be no other fees associated with the Gold Card
Membership. Gold Card Members can enjoy unlimited tanning and full use of fitness equipment.
To add more perceived value to the fitness club, we will waive all start up fees for senior citizens
and students with valid student identification. Creed Fitness charges all fees when they are due on
a monthly basis to either the members’ checking account or a credit card, making payment hassle
free. This also makes many members less likely to discontinue membership.
Creed Fitness wants to be positioned as a premium brand and as a price leader in the fitness
industry. We can do this because we give out lots of benefits and services apart from using
machines that are necessary for most fitness customers.
Creed Fitness often runs promotions where members can join for only ₹2,499, waiving the start-
up fee for White Card Members; this is usually done around the New Year’s resolution time, which
is a peak time for new members. Our competitors just cannot match the value we bring to our
members. When we look at what members can get at Creed Fitness, we see how Creed Fitness
blows the competition out of the water.
Place / Convenience
Creed Fitness is located at Koregaon Road in Koregaon Park. This is a prime location for Koregaon
Park residents and Viman Nagar & Kalyani Nager residents to be targeted as an expansion of our
current market share as it is within 5km driving distance from the Creed Fitness GYM. Through
the convenience of location, price, and services we will be able to capture some of this market with
further promotions. Creed Fitness can be reached by car in 5 minutes from Koregaon Park or
Kalyani Nagar. It is also realistically within walking distance about a 15-minute walk. If you like
to bike it can be reached in 10 minutes or less. The building itself is very easy to spot with its
signature purple and yellow colors marking the outside of the facility. Currently, this locality has
the most rapid growth, so this is an area we consider for opening our brand Creed Fitness.

Promotions / Communications
Creed Fitness is currently using social media (Digital Marketing) and Print media as their main
method of promotions. The message of the Creed Fitness comes across in the form of humor,
which is very clever at getting potential customers to listen. Creed Fitness also uses ₹3000 as
joining fee promotion for White Card Members to get new customers to their gym. The
promotions, as well as the physical layout do target the hardcore fitness elite who can make the
gym atmosphere more intimidating. Creed Fitness is targeting the average person, who wants an
easy solution to getting in shape in an inviting and relaxing atmosphere.
Initially Creed Fitness can expand their market share by expanding their demographic to include
younger students and high school students. Although students must pay to use it during the
summer months for 3 months membership which is why we are creating the Gold Card
Membership. Creed Fitness will put out flyers around campus and outside restaurants to increase
awareness of the facility among peoples. We will also hand out free pens on any campus nearby,
as well as give away t-­‐shirts at athletic events to help reach the college students. Apart from these
following strategies will be used to create more brand awareness.
1. Provide Free Private Training Sessions
Offering free private training sessions attracts new members and show off a gym’s expertise.
Create a landing page on the gym website and promote the offer on social media or through
email marketing to generate a buzz. We can keep the steam going by scheduling sessions
during off-peak hours so potential members get a personalized experience. It is essential to
consider the costs and potential downsides of offering free sessions before diving headfirst into
free private training sessions. The costs of a trainer’s time and any required equipment for the
session need consideration. People who are not interested in a long-term commitment is a
potential downside. Still, showcasing a trainers’ skills and generating excitement around a gym
make it a worthwhile marketing effort.
2. Host a Six-Week Challenge
Motivate current members, attract new ones, and build a sense of community by hosting a six-
week challenge! Use a hashtag challenge as a promotional gym tool. Create a unique
expression like #SixWeekSweat to encourage participation and generate excitement. We can
decide on a theme for the challenge, such as weight loss, muscle gain, or endurance training to
get started. Promote the challenge on social media and make it competition worthy by offering
prizes or recognition for the winner, encouraging participants to share progress online and
support each other. Providing a fun and engaging challenge helps people achieve fitness goals
while fostering a sense of loyal community around the gym. Hosting a challenge does require
planning and resources, so make sure that is in the budget.
3. Run a Raffle or Competition
Running a raffle or competition is another great way to promote the gym. Costs are associated
with a prize, but a well-executed raffle pays off with new member sign-ups. Consider offering
a month of free membership, fitness packages, or a prize with branded merchandise. The key
to a successful raffle or competition requires participants to submit contact information, share
a post on social media, or bring a guest. Offering Incentives, such as a reduced rate for members
who refer guests that join the gym, encourage better engagement. There is always the risk that
someone with little interest in signing up wins, but gym advertising still pays off with new
leads gained. The friendly competition or excitement from a raffle is a fun way to engage the
community and generate interest.

4. Provide a 7-Day Gym Pass


Offering a 7-day gym pass is a gym advertising strategy with power. A free pass is a chance to
build trust and loyalty with potential members, as it shows confidence in the services’
value. We can create landing pages for the gym’s website or social media channels. Use paid
advertising or email marketing campaigns to promote the gym. A local business partnership,
such as a meal-prep facility, also helps to distribute promotional material for the offer. The
cost of the 7-day pass approach varies based on size, marketing strategy (if paid advertisements
are used), and the number of passes provided. It is worth noting that a 7-day gym pass increases
the likelihood of converting potential customers to long-term members by up to 70%.
5. Offer Free Meal Plans or Nutritional Planning
Consider offering free meal plans or nutritional planning to entice potential members. Healthy
planning showcases a gym’s commitment to promoting overall health and wellness while
providing members looking to get in shape with an added benefit. Create an in-house meal
plan for free or partner with a nutritionist to take the gym promotion to the next level. Offering
nutritional planning as a service sets a gym apart from competitors as one that attracts people
interested in a holistic approach to fitness. Host a launch event with a cooking demonstration
for a promotion gym tool with anticipated excitement. Before implementing a nutritional
marketing strategy, consider that there may be costs with the partnership or the time and
resources needed to develop and distribute nutrition plans.
6. Make Video Courses
Increase a gym’s online visibility and reach through social media and video-sharing platforms
such as YouTube by providing educational video courses. Video courses effectively generate
new leads and attract new members by positioning a gym as an authority. Demonstrate
expertise with various topics, from nutrition to workout routines and injury prevention.
Promote the video content on the gym’s website, social media platforms, and as part of an
email newsletter for a wider audience and greater reach to attract new members. Creating high-
quality video courses is time and resource-consuming. It requires investment in equipment or
a hired professional. Time will be spent developing and filming courses, so it is important to
remember that during a video course gym marketing tactic. Offer a free trial at the end of each
video course to encourage sign-ups.
7. Increase Sales by Using Gym Influencers
Researching and choosing an influencer who aligns with the gym’s brand or values is an
effective marketing strategy to reach a larger audience. While an influencer is a more costly
investment, depending on the influencer’s notoriety, make the relationship mutually beneficial
to get the most. Creating a specific promotion or campaign that encourages people to join the
gym. For example, offer a discount for people who sign up using a unique code provided by
the influencer. The code helps track success and incentivizes the influencer to promote the
gym. It is important to remember that partnering with an influencer has varying costs. Prices
depend on the influencers level of fame and audience. The increased exposure and potential
sales are well worth the investment if done correctly. Do research first. The existing good
members of gym can also be helpful.

8. Create a New Google My Business Account or Make Updates


Creating a Google My Business account allows a gym to manage its online presence across
the search engine and its various platforms. The Google marketing tool is free to use and
ensures important information is accurately displayed. A Google My Business account also
helps with local SEO efforts, as Google uses the information to generate location-based search
results. It is an essential tool when someone searches for a gym near them. Take the Google
My Business marketing strategy a step further and pay for Google Ads, which operates on a
pay-per-click model. A per-click approach allows gyms to pay anywhere from a few cents to
several dollars, but only when someone clicks on the ad.
9. Launch a Program for Affiliates
Use fitness enthusiasts, influencers, or gym members who will tap into their network to
promote a gym through an affiliate partnership. The key to success here is to provide affiliate
partners with the necessary resources so they can create monthly gym promotion
ideas. Indicate an openness to affiliates with a landing page on the gym’s website that outlines
the program details and benefits. There are affiliate marketing platforms such as Commission
Junction or Clickbank to help manage an affiliate program, track referrals, conduct payments,
and communicate with partners. Affiliate marketing is a helpful way to reach new clientele and
increase gym revenue. Consider the cost of commissions and any money that will be paid with
a monitoring program before committing to an affiliate gym marketing strategy.
10. Make a Website That is User-Friendly
A website is the face of a gym on the internet, so give it a good one. A user-friendly, easy-to-
navigate, and aesthetically pleasing website provides a gym with credibility and makes it stand
out. If customers have a pleasant online experience, they will expect one in person too. A well-
designed website is also crucial for search engine optimization, leading to higher rankings on
the results page and increased visibility. Optimizing a site for conversions to increase sales and
revenue is an essential marketing tool for any gym. Website gym marketing tips are also a
cost-effective way to promote a gym business. A basic website with a few pages can cost as
little as a few hundred dollars. Make considerations for ongoing expenses, such as hosting fees,
domain registration, and website maintenance.
11. Promote Your Gym on social media
Social Media is everywhere. Instagram/Facebook alone has more than a billion active users
who check in daily. Social Media platforms offer a way to engage and connect with an audience
in a more personal and authentic space, building trust and brand awareness, which is effective
gym advertising. Various platforms, such as Facebook and Instagram, offer targeting tools that
allow businesses to reach users based on demographics, interests, and behaviors. Targeting
controls help attract people who are more likely to be interested in joining a gym. Creating and
maintaining a strong presence across multiple platforms requires significant time and effort,
so it is no easy task. Having a clear strategy, consistent schedule, and engaging content costs
time and potentially monetary resources if a strategist is hired.
12. Participate in Co-Marketing for Gyms
Collaboration is a practical gym marketing idea between two businesses with similar interests.
Find another organization that targets a similar audience and join efforts on marketing
initiatives that promote both brands. Co-marketing allows a gym business to tap into new
channels from a partner. For example, going with a nutritional brand to create a joint promotion
that offers a free consultation with gym memberships mutually benefits both businesses-
marketing is a cost-effective strategy that helps build brand awareness, attract new customers,
and generate sales. Both businesses can promote each other face-to-face with clients and
online, sharing the marketing costs.
13. Participate in or Support Local Fitness Events
Sponsoring, hosting, or participating in events such as charity runs, fitness challenges, or
community health fairs highlights a gym’s commitment to promoting healthy living while
reaching new potential customers. Event-based gym marketing effort also pays off with new
relationships and an expanded network. Take to social media and email marketing to promote
participation in an upcoming fitness event. Use signage, flyers, and word-of-mouth to increase
marketing efforts. Encourage members to attend so a united front is presented. Sponsorship
tactics significantly benefit gym promotion, but they also come with sticker shock. Sponsoring
a fitness event requires monetary investments, such as promotional materials including flyers,
banners, branded t-shirts, and additional staffing requirements.
14. Conduct Referral Campaigns
Harness the power of word-of-mouth marketing with a referral campaign. Offer a free month
of membership to both the person who refers a new member and to the new member
themselves. A referral campaign approach incentivizes current customers to spread the
word. The best part is referral campaigns do not have to be expensive or complicated. A
tracking system ensures the program is working, but tracking system costs are minimal. Highly
motivated members ready to share their experience are a referral campaign’s greatest asset.
Referral campaign gym advertising programs are a highly effective way to acquire new
customers. People trust recommendations from friends and family over traditional marketing
efforts.
Alternate Strategy in case of failure
In a dynamic business world, it is always wise to have a Plan B. If the business model fails,
we will first and foremost conduct surveys and take feedbacks. We will try to understand why
the initial strategy did not work and gather insights on what they would want. Sometimes, the
best strategies come from customers.
Below are some alternative strategies in case the initial approach for Creed Fitness fails: -
1. Pivot to a more “Niche” segment: -
A niche is a more narrowly defined customer group seeking a distinctive mix of benefits within
a segment. Instead of offering everything, we will then shift our focus to a few specialized
offerings that are either very popular or lacking in the market. For instance, only Yoga, Pilates,
or MMA. Niche studios can attract dedicated clientele and reduce operational complexities. It
will also help us in reducing our marketing costs and achieve operating economies by
specializing service, promotion, and distribution. Gradually, we will try to capture “sub-
segment leadership.”
2. Diversify Product Offerings: -
Retail: Introduce fitness products for sale, e.g., resistance bands, yoga mats, market fitness
watches or branded apparel.
Nutrition Counselling: Offer diet plans, sell health supplements, or collaborate with local
health cafes.
Explore Corporate Wellness Programs: Corporate Memberships: Partner with corporations to
offer their employees memberships at a discounted rate. Conduct classes specialized and
focused on addressing “sedentary” lifestyle issues.
Offer On-site Classes: Conduct classes or wellness workshops directly in corporate offices.
3. Reduce Operational Costs and increase existing prices by adding differentiators: -
We first try to cut down on our operational expenses and save try to focus on our gross margins.
Few ways in which this can be achieved are: -
• Shared Space: Instead of operating our own full-time space, we will consider renting
or sharing space to conduct classes. In a Tier II city like Pune, the monthly rent paid to
hire the space can be huge.
• Lean Staffing: We will adopt a model where trainers come in only when they have
sessions, more like engaging contractual staff. This way, we are not paying full-time
salaries, but compensations based on classes or hours worked. By doing this, we may
also not have to compromise on trainer’s capabilities – we can still hire the best in
business – and pay per need.
To increase revenue from existing business, we try to bring about small changes like
introducing subscription Box or Membership Kits - Offer monthly subscription boxes with
fitness products, supplements, workout guides, and more. This can be a great value-add and a
differentiator to uphold our initial proposal – “One Stop Body Studio” – where fitness is an
integrated theory.
3. Community Engagement: -
Try to generate a new revenue stream by changing core business – host fitness workshops,
marathons, challenges, and other wellness events for like-minded people and try to create a
community of followers. By trying to engage the community, we will increase our new brand
visibility, and slowly enter this new business regime.
4. Rebrand & Relaunch: -
If it is understood from the surveys that our brand was facing negativity or a tarnished image
due to some initial failures, or gap between what was promised and what was delivered, we
will consider rebranding and relaunching with a fresh approach.
Any alternative strategy should be based on thorough market research and understanding of
the root cause of the initial strategy's failure. Adjusting without understanding the reason might
not yield different results – hence, if nothing works from the above, we must resort to the
extremes –
5. Sale of the Company and introduce online sessions - Creed Fitness will sell all its assets
to a buyer in search of establishing a new business within the fitness industry, or a buyer with
an already established brand in search of expanding their operations. We will then try to launch
a digital platform offering live and pre-recorded workout sessions. This will cater to those who
prefer working out at home, especially relevant if there is another wave of health crises like
COVID-19.

You might also like