As companies grow (or sometimes simply age) it becomes increasingly difficult for them to adapt to market changes.  Many times they look inward, trying to shave another dollar or two from the cost of the product, while completely missing the chance to improve it.  They lose sight of just what their customers are hiring them to do.  A great example is the railroad industry.  These large companies had the steel contracts, the factories, and the personnel to dominate automotive and aviation – yet they thought they were in the railroad industry, when in fact they were in the transportation industry.  Now, with few exceptions – they are a distant memory for so many.

The Health and Fitness Industry has experienced a similar disruption.  So many operators thought they were in the business of providing a box with equipment in it, for people to pay to come and use.  Bigger and bigger boxes with more amenities, no true sales or customer service training, and ever changing pricing.  Once you get the accountants and operations strategists tinkering with the sales model, it’s pretty much over.  All the data analysis in the world, designed for people to present at board meetings, means absolutely zero when you’re trying to get two people on board – your employee and your customer.

How else did the Low Cost and Boutique models take the industry by such shock and surprise?  Our customers were hiring us to give them an innovative, quality exercise experience, and were given boxes in return.  Now many have gone in two different directions, either paying a cut rate for no service at an uninspiring location, or paying triple the amount for the boutique experience.  Simply putting a company logo in front of a knock-off activity and calling it a boutique is not going to fool anyone; there must be hands on management and a change of philosophy, which includes listening to your instructors when they tell you what your members are asking for.  Otherwise, you’re just the next New Coke…………

Contact BASE for a discussion of your business needs.  We are not simply a consulting company – we are a management company that owns its decisions.  On-site implementation and staff training are just two of the many ways we differ from data analysts and consultants.

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