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Parisi Speed School San Diego owner Paul David

How This Gym Owner Goes From $8K to $58K in Monthly Recurring Revenue (MRR)

Parisi Speed School San Diego owner Paul David

How This Gym Owner Goes From $8K to $58K in Monthly Recurring Revenue (MRR)

Parisi Speed School San Diego owner Paul David



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Show Notes

Paul David is a veteran gym owner who’s been in the fitness industry for more than two decades. He currently owns a fitness studio that’s doing $58K in MRR.

He shares with us the failures he experienced when he grew a one-person class into a 6,000 square foot facility too quickly – and then lost it all. 

He also reveals the sales philosophies he has since implemented to create the thriving, sustainable business he runs today. 

Paul took over the Parisi Speed School of San Diego in October of 2019. At that time, the studio was only making $8,600 per month. Paul has since grown and scaled the business to its current revenue of $58,000 per month!

The Importance of Systems

An essential part of their recent explosion was implementing solid systems and processes to run their operation. Taking a strategic approach to how you answer the phone, how your sales process works, and how you generate leads makes all the difference. A strategy allows you to know how your team is doing. 

Paul’s team uses a spreadsheet to track their numbers. Every single day they know exactly where they’re at in the business. If it’s trending in the wrong direction, they can do something about it now, instead of waiting until the end of the month when it’s too late.

Part of implementing sound systems and processes is training your team. Parisi Speed School San Diego aims for a class attendance rate of 80% of capacity. “If we’re not at 80%, I think it’s my fault as the owner. If I’m guiding the ship, then maybe I’m not providing them with enough training. 

Paul’s sales team has been through the Loud Rumor Virtual Training sales program, all three levels from beginner to advanced. His philosophy is that it’s not enough to say “you’re doing it wrong”; you have to follow up with a way to help them figure out how to do it right.

Learn more about the Loud Rumor Virtual Training program and see if it’s the right fit for you! Click the button below!

The Importance of Ads and Referrals To Increase Gym Memberships

As a gym owner, increasing MRR isn’t an easy task. One of the things Paul did was have a solid focus on sales, especially his emphasis on referrals. His gym has generated a significant amount of organic leads and referrals due to his philosophy. They’ve seen new members from:

  • Referrals
  • Paid ads
  • Social media marketing
  • Website traffic

“But this all didn’t happen overnight. This took about a year to create awareness.” 

The biggest mistake you can make in your marketing is to cancel the paid ads when your organic leads are performing well. Too many gym owners don’t consider this aspect of advertising! Your clients must first gain an awareness of your brand. 

The customer will get that awareness from your paid ads. That awareness is what generates organic engagement. It doesn’t matter if your organic leads outnumber your paid leads. The number that matters is what your organic leads are now compared to what they were six months ago. 

Paul’s team is also killing it at getting referrals! Mike asked him what they consistently do to get more referrals. His answer? “We’re just asking!”

Fellow Loud Rumor member and gym owner, Mike Littrell, had similar advice to increasing MRR. In fact, one of his sales staff got 50 referrals in one day! Check out his episode here!

They have three points in their onboarding process where they ask if the client would like to bring someone along. When Paul and his team joined the 100 Members In 100 Days Challenge with Loud Rumor, they exceeded expectations!

He even created a chart that showed three numbers for each of the ten weeks during the challenge:

  • How many new people signed up
  • How many canceled
  • Net memberships

By the end of the 100 members challenge, they had 109 new members! 

Gym Owner Making $58K in MRR Takeaways

When your business grows, the details often get swept under the surface. Most gym owners are too busy and laser-focused on sales and service. They don’t take the time to build out the business end of the studio.

This is the shift Paul had to make when taking over Parisi Speed School’s San Diego location. When your gym starts to grow and scale, before you get to the point where you can’t take on anything else, those systems and processes are what will support and sustain your growth.

Paul was in town for Loud Rumor’s LIVE quarterly bootcamp. Each quarter focuses on a key pillar of business. Don’t miss the next one, get your tickets now! Spots are limited, learn more here!

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