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Show Notes

Mike interviews CEO of Gym Launch, Cale Owen, on what gym owners need to do to be successful in the fitness industry.

How It Started

Cale wasn’t always the CEO of Gym Launch, in fact he actually started out as a gym owner who was a member of the program! Eight months in, Cale was able to scale his gym from 33 members to 250 members allowing him to exit the business.

He knew he wanted to continue to work with Alex and Leila (the founders of Gym Launch) in some capacity, so Cale interviewed for a sales position at the company.

Just like his rapid growth at his gym, Cale saw similar results at Gym Launch. Within 3 months of having the sales role he moved into a Sales Manager position…and the growth didn’t stop from there.

Cale moved from Sales Manager, to Coaching Manager, to General Manager and finally this past December got promoted to CEO of Gym Launch. He was ready to put his full focus on helping gym owners be successful.

Leads vs Paying Clients

Cale noticed right off the bat when gym owners would come to him that they kept saying, “I want more leads!” What he was actually hearing was “I want more paying members!”

He found that some owners have unrealistic expectations and expect the ideal member to walk in their doors.

That doesn’t happen often.

Cale says, “You make your perfect client.” By doing this you need to have a good sales system because gym sales can be some of the hardest sales in the world…if you don’t know how to do it correctly.

The Best ROI

In gym sales, you’re selling something they don’t want. They want the end result, but they don’t want to do the actual work. Consumers want the immediate result, which is why selling gym memberships can be difficult.

However Cale says if you do these things, it’ll be the best ROI you see for your business…and that’s putting your attention towards:

    • Getting leads
    • Nurturing leads
    • Developing sales skills

Even spending an hour of your day focusing on key elements that drive revenue for your business will get you a better return on your investment than focusing on non-revenue driven things.

And if you’re looking to improve your sales process for you and your team, you may be a good fit for our Loud Rumor consulting program. Just click here to learn more and jump on a free strategy call!

“If I Build It, They Will Come…”

Have you ever heard someone say this or maybe even been the culprit saying it yourself?

Unfortunately this is a common misconception sold to business owners that if you open your gym, people will automatically become members and stay members. It’s not the case.

Churn happens in all businesses, especially fitness, with things that may be out of your control. Members move, they get injured and you have to have sales top of mind to overcome that.

Let’s say you have 500 members with a 5% churn rate.

That means you have to get an ADDITIONAL 25 members just to break even with the churn percentage.

Again, why sales is so important.

The Best Time to Sell

The best time to sell is at the point of sale. 

Huh?

Think about it like this. Someone just invested money to join your gym. This is something new and exciting for them, so what do you think their next move is to compliment this big decision?

  • Finding new supplements/protein to take
  • Getting new workout clothes
  • Finding gear to go with a new workout modality

So instead of giving the sale to Amazon or the kid at GNC, this is a great opportunity to sell ancillary sales to your new member!

Plus it helps members buy-in to the tribe mentality.

The Magic Phrase

Cale mentions that gym owners often want the magic phrase to overcome sales objections or solve their problems. He says, “You need to major in the majors and minor in the minors.”

What that means is putting your main focus on the major areas in your business like:

  • Are you getting enough leads in your business?
  • Are you getting them to show up?
  • And can you influence and close them?

Spend less time on finding the next best workout structure for your classes and spend more time on acquiring new members and selling to current ones. The main point is that you have start.

Imagine if you asked the next member that walked in your gym, “Hey what kind of protein do you want?” and sold an ancillary product right there. Maybe they buy, maybe they don’t – but you want to get in the habit of always selling.

Would you rather have a 100% of 0 or 50% of something? You’d rather have something than nothing.

We actually have another GSD episode where one of our members sold $30K in retail in just a month! You can watch that here! 

Being Successful as Gym Owners

There are two overarching themes you can take away from Cale’s episode.

One: Do what it takes to succeed. We learn this from one of the greatest athletes, Kobe Bryant. His teammates would often find him after games or before practice, spending hours of time putting in the reps to be the best. While his teammates were out going to clubs and celebrating, Kobe made sacrifices to be one of the most successful basketball players of all time.

Two: Focus on the right areas of your business. Cale mentioned it many times throughout the episode, but it goes to show the importance of it. You can’t move forward and scale your gym, if you’re not focused on revenue generating aspects like sales and member acquisition. 

This is something Loud Rumor helps hundreds of fitness studios with everyday and if you’re interested in learning more about how to work with us, get a free strategy call by clicking the button below!

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