Thursday, June 24, 2010

Net Membership Growth - The Model vs The Economy

Our Nation is in the grips of a stunning economic downturn. Realists have addressed the situation with zeal, renewed enthusiasm and have engaged counter measures to help offset the situation. They are not in denial.

The wellness and health club business has been hit especially hard in the attrition department and ancillary income streams. While some see steady new membership sales, the spike in attrition is crippling any hope for most in the all important performance barometer of positive net membership growth.

For the people who are in denial and are unable to see the truth of the issue it may be due to the debilitating conditions associated with the advanced stages of the condition known commonly as “Ostrich Effect” ( http://en.wikipedia.org/wiki/Ostrich_effect ). These afflicted folks proclaim that nothing is wrong and think that they simply need to "work harder". Something is clearly wrong, yet these impaired individuals perceive the opposite. If they do not wake up in time they put their business and their ability to serve their clients at risk.

Almost every industry has been seriously impacted by the effects of the economic climate. THAT is the truth. New business, retention of existing clients and other revenue streams have been negatively impacted for most business operators.

This impact has to do with economic conditions for sure. However, the bigger revelation is how under prepared most businesses have been through business modeling that was never designed to lead them to their true performance potential.

Two factors that have greatly contributed to performance potential actualization in this economic crisis;

1. Old School Clingology (Clingology is not a real word)

2. Advanced Utilization of False Assumptionology (Assumptionology is not a real word)

Old school clingologists have been convinced that "the way we have always done things" is still a viable counter measure to current market conditions. In other words, they still believe that doing things the same way as they always have will produce a different outcome. Einstein had a thought relative that form of bizarre thinking. He said it was a sign of insanity!

The school of false assumptionology is another failed business model. In the school of false assumptionology the business operator has created false notions about what success is or is not and in their mind their model is successful even in spite of obvious and quantifiable evidence to the contrary! I think Einstein's assumption is very applicable here also!

What this economic downturn has done more than anything else is to expose fraudulent business models that were supposedly designed for "success"! Look at how many wellness and health businesses are being crippled with crushing quarterly losses. Many have, under dire false assumptions cut their budget for staffing in a misguided effort to thwart losses. Some have falsely assumed that if there is a spike in attrition representing a decrease in total current memberships, then it makes sense to them to cut staffing. The truth? This false assumption reduces the level of customer service for the active members who are not yet dropping out, but as an unintended result, through the reduction in service delivery, attrition as actually fueled. It is incomprehensible to imagine what they must have been thinking prior to this stern test of performance potential.

Any business that is willing to engage some form of maximum performance methodology has at least managed to survive and many even thrive in this climate! How? By truly engaging the power that every business has...but so few effectively utilize.

For business that truly want to know how they are doing, they should employ a SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis done by a professional business consultant so that the business can clearly identify why they are or are not sustaining success potential in this economy.

The foundation upon which any business is constructed is the starting point for true performance potential. Most business were built on the shifting sands of arrogance and under informed thought process. Shifting sand is washed away by the flood of economic downturn.

Strong foundations are built on the knowledge that a motivated staff team with a shared vision of success provides the only opportunity for maximum success. Then by engaging a motivated staff that works together in a synergistic manner the landscape evolves whereby maximum success potential is possible. Then the team must conjure up how to deliver previously unimaginable levels of customer service throughout every department...every day! Then effective goal setting, motivational support, performance benchmark standards in all departments and performance analysis enable the strong foundation in which to begin to build the maximally successful performance potential.

Then the business must shift their focus from new membership sales as the barometer to measure success to net membership growth. Net membership growth entails new membership sales, new member referrals (the number one source of new memberships), point of sale engagement into group exercise (aerobics), personal training and other behavior modification programs for the new member.

Help explode arrogance and denial that has crippled our economy and attack success solutions with strong and unflinching confidence. Something is wrong...but difference makers can change the landscape to a new and positive dimension in no time! As Nike says..."just do it"!

Don't continue to have your success potential and your members success potential limited by "old school" thinking and "false assumptions" that are blatantly and quantifiably FALSE! Join the evolution revolution through the GLH Open Systems management model that is designed for maximum success for both the "not yet fit" populations and also for the businesses who claim to want to serve them.

How?

There are several options.

On-site Business Development - Our new "Results Assured" Business Development Program

Business development through our current Regional Training Centers.

GREATER CINCINNATI AREA - Tri-Health Fitness & Health Pavilion - Cincinnati, OH:

http://www.trihealthpavilion.com/

MS, AL, AR, LA - Baptist Healthplex - Clinton, MS:

http://www.mbhs.org/med_serv/wellness/healthplex.htm

GREATER CHICAGO AREA - NCH The Wellness Center - Arlington Heights, IL:

http://www.nch.org/wellness-facilities/wellness-center/index.php

HARRISONBURG, VA - RMH Wellness Center - Harrisonburg, VA:

http://www.rmhwellnesscenter.com/

GREATER AUGUSTA, GA - Health Central - Augusta, GA

http://universityhealth.org/body.cfm?id=39144

Personal Training - Effectively engaging the not yet fit in personal training -> http://bit.ly/aMrTfV

PERSONAL TRAINING - The Evolution Revolution; Personal Training Business Development Manual/Power Point Presentation -> http://bit.ly/cWGTMc

Membership Sales - The GLH Open Systems management Model Membership Sales Business Development Manual

Perform-MAX Systems on FaceBook --> http://www.facebook.com/pages/Perform-Max-Systems/123258004369779?ref=ss

Perform-MAX Systems on Twitter --> http://twitter.com/performmaxsystm

Or, call today: (865) 687-8554 for more information about on-site staff training and business development programs.

Or via e-mail: Perform_Max@att.net

* SPECIAL OFFER: Complimentary 15 minute phone consultation to evaluate your current performance limiters and determine a powerful pathway for you in order to maximize your true success potential. Call (865) 687-8554 today to arrange your complimentary consultation!

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