Defining a Revenue Growth Strategy that Leverages the Consumer rather than Holding Them Hostage
Published: June 2, 2014
The health/fitness club industry has become fully entrenched in the challenges of being a mature industry. The challenges inherent in a mature industry include: a shrinking pool of new consumers, greater market pressure to differentiate, downward pressure on pricing and finding innovative approaches to generating additional revenues from existing customers. Faced with the challenge of growing revenues from its existing customer base, health/fitness clubs can pursue one of two core strategies; embracing the tenants of hostage capitalism or leveraging its “Super Consumers”. This White Paper explores both approaches to generating incremental revenue and lays the foundation for why the Super Consumer strategy may be the answer the industry is looking for.