The latest Studio Stats out of the US.. how is your Studio performing?

Last month I received an email from my good friends, Chuck and Josh Leve, from the Association of Fitness Studios in the US. They had just finished compiling their annual research report, "Fitness Studio Operating & Financial Benchmarking Report for 2018"

I gotta admit, I was excited. They put a lot of effort into this report and cover all aspects of Independent Fitness Studios from revenue earned per square metre, to years of Studio operation, and everything in between. And I mean EVERYTHING! They leave no stone unturned. They surveyed 565 independent studios across the USA to get as much info on Fitness Studio Businesses as they could. I loved the process and was impressed with the detail they went into.

So, when the report arrived in my inbox, I immediately put an hour aside in my diary for later in the week so I had enough time to carefully read the results.

It was comprehensive as always, covered a lot of topics and spat out many metrics.

I will show you some of the results below.

For the full report you can visit https://member.afsfitness.com/content/2018-fitness-studio-operating-and-financial-benchmarking-repor...
I highly recommend you join up as a member of AFS so you can get these reports, as well as many other greta resources for FREE

Above you will see the average Studio revenue per square foot is $97.01 for AFS members vs $81.17 for Non members. Revenue per client and Total amount of new clients acquired in the year was higher too for AFS members. This obviously shows the benefits of being an AFS member. The amount of education and support they have for Independent Studio owners is magnificent.

The interesting thing I found was when I compared the above stats to MY own studio stats.

1. Studio revenue per square foot:
 AFS members: $97.01
Fitness Revelation: $535.71

2. Revenue Per Client:
 AFS members: $845.65
Fitness Revelation: $3,250

3. New clients Acquired in 2017:
AFS members: 211
Fitness Revelation: 53

Note : The Studio's in the study ranged from 2,000 sqft to 10,000 sqft, so they have to acquire more members, and generate more revenue to build their stats. As our Studio is MUCH smaller, we are limited by space so we work on maximising revenue per client and retention, rather than acquisition of clients. By doing this, we generate better stats!

Fitness Revelation has been in business for 14 years now, representing the 33% shown in the graph above

Fitness Revelation has 10 Trainers in a space of 1,400 square feet, compared to the average of 5 trainers in the comparable space represented above. We also hold our trainers for an average of 8 years... 100% retention year to year.

The above graph shows us the 'average' studio size in 2017 was 3,624 sqft. This size is used to determine the data on the corresponding graphs. Compare this to our studio at 1,400 sqft and the numbers we are producing..

According to the above graph, the average US studio of 3,624 sqf generates USD$323,441 PA.
Fitness Revelation generates USD$595,000 in 1,400 square feet

So, what does all this tell us?

So, what this tells me is the AFS stats are GREAT and very impressive, the Independent Studio's in the US are getting better year to year across all categories. The AFS members overall are doing BETTER than non AFS members, thus proving the benefits of their professional affiliation.

However, when comparing the report to my Studio here in Sydney, I was quite proud of what we have accomplished.

Our results are NEXT LEVEL OUTSTANDING and you won't see these sort of numbers anywhere in the world.

This is why I created the Smart Studio Blueprint . The secret formula of the most PROFITABLE Fitness Studio in the world under 130m2 (or 1,400 sqft)

✔︎ With 10 staff, the 130 Sqm (1,400 sqft) Studio is open 6 days a week by appt only.
✔︎ It houses both PT and Group Ex members.
✔︎ The Studio does approx 10,000 appointments per year!
✔︎ There is over 100 years of collective experience amongst our 10 trainers
✔︎ We have 3 trainers who have been with us for over 10 years and the last 3 years have had a 100% staff retention rate
✔︎ The Studio has the highest client retention rate in the area, proudly boasting an average of 91% over the last 5 years..
(Compare this to the average International Studio retention rate of 72%)

Make sure you pop on over and check out the blueprint. It's already live in Australia and Studio Owner's are reporting HUGE success.

Don't miss out, apply now !

Yours in Fitness Business Success,

Ben Dulhunty

Owner
Smart Studio Solutions
Like it? Then Please Share  

6 Ways to Turn Curious Prospects into Committed Clients

by Ben Dulhunty • 4 November 2019
Now that you have more leads, how do you convert them to loyal satisfied members and training clients? Here are the most effective ways, and I even put it in list form for you to keep it simple..

What do people REALLY pay for?

by Ben Dulhunty • 13 August 2019
Ok, so if clients are not paying for you or your time… what do you think they’re really paying for?Your qualifications?Your location?Your equipment?Your brand?Your brilliant marketing mastery?Nope. They are paying for VALUE.  

5 Questions to Ask During a Client Exit Interview

16 June 2019
Exit interviews are a MUST at our Studio. When someone leaves your studio for whatever reason, you want to know why. You need to know what made that person doubt their health and fitness journey with your brand, and what attracted them to go to a competitor?

Studio Build Out Costs and Projections

12 June 2019
Whenever you’re looking at your first studio location or you’re looking to open a new location it’s important to have a solid projection of what everything is going to cost going into it. The reason is that you’ll want to know what your budget should be set at and if the breakeven is going to be worth it. Sometimes, 2 different spaces can vary widely and it’s best to take into account all your one-time and fixed costs before committing to a space. In this post I have laid out for you the top soft and hard costs to calculate before you make the jump...

Fitness Equipment: Leasing Vs Buying Upfront

by Ben Dulhunty • 11 June 2019
Choosing the right finance option can help you fit out your new Studio with the equipment you want, and open the doors, sooner. The below article was sourced from the Fitness Australia website, in conjunction with Stratton Finance, who I use regularly through my own companies.

Starting a Studio for $0 Down..

by Ben Dulhunty • 11 June 2019
When I was looking to finance my Studio 15 years ago, I was lost. I had no idea of my options, and there was no-one I could lean on for advice. I had exhausted all the traditional methods to secure finance until one day, when I least expected it, an opportunity arrived and I grabbed it with both hands!

Franchises vs Independent Studio's - The Lowdown.

by Ben Dulhunty • 10 June 2019
Let’s be honest.. opening your own facility is what every trainer aspires to. The pinnacle of the Industry, it’s when you have made your mark and gone to the highest level. It was always my ultimate goal to open a facility and have something I could call my own. To change the lives of the local community, create a place of education and inspiration, and to be able to say.. that’s mine, I CREATED that!

How to make a tonne of money over Xmas..

by ben • 12 November 2018
Let's backtrack a little.. it's November the year before, you're winding down to Xmas, it's been a solid year of work and you've made some decent money so you're feeling good and satisfied. That's cool, but because it's your first year in business you probably haven't experienced the next few months... now if it's not your first year in business and this is happening regularly then you definitely have to keep reading! Now, this used to be my routine for the first 3 YEARS of having my own Studio! I made good money through the year, then closed the Studio down for 2 weeks over Xmas, recharged the batteries and went back mid January ASSUMING all the clients would come back with me... seems logical, but this was a hope, not a plan. I'm a slow learner - but after the third year of this happening where I had a decent year and then suffered for the following 6 weeks between December and January, I had to make a change. After I implemented the following strategies, December ended up being my BIGGEST month of the year and set me up for the reduced cash flow in the January period when my clients were away. Here are a few things I do REGULARLY now to ensure I make solid cash over the Xmas and New Year Holiday period..

How I make $300/hr from the Studio when I'm not there!

5 October 2018
It's easy to say you own a business, but does your Business really own you? Let's be honest.. any fool can obtain an ABN, get their Certification, buy some equipment and start training people in the park.

Peeling back the Curtain of the most profitable Fitness Studio in Sydney

by Ben Dulhunty • 5 September 2018
I am still pinching myself as to how amazing the Studio runs.. it's taken a lot of hard work, long hours, painful lessons, a lot of mistakes but the result is a high six figure Studio with a fabulous team of trainers running it on a daily basis.
More posts