So when a member of the fitness centre expires their subscription, and decides not to renew it; this is not failing to make a promise and is not necessarily a betrayal to leave you for your competitor. Simply, in most cases, they will have decided to stop their fitness program. It would be good to choose a different term, but since retention or preservation of the client does not sound quite as good, we are satisfied with what we use and we try to understand what is meant by loyalty rate, how to calculate it and what goals the fitness company should achieve.
Fortunately, therefore, an abandonment rate is present and is linked to several factors to which we will devote a lot of time; let’s pause to understand when this loss is physiological and when it requires a repair intervention.
In practice, a club located in an area with a high population density but which has a limited number of competitors, will have less need to retain loyalty than another that is located in a small urban centre with many competitors. In a nutshell, fitness centres who have less chance of attracting a visitor population, the higher the need for customer faithfulness to the centre and their service.
How do you calculate the loyalty rate or abandonment difference?
Annual growth rate method
Monthly, weekly and daily monitoring of deadlines allows verification of the results deriving from loyalty, fidelity and incentive plans for the frequency that the Centre will have been able to implement and on which we will come back to in the next articles.