Marketing Plan for Snap Fitness Essay

Executive SummaryWith immediatelys society stressing a great solicit for flexibi lighty, and ease of entre to goods and wait ons, a track has emerged for elongated trading hours for assistance organizations. One of the main profiteers of this trend is middle schoolnasium certifications. With over 1 billion hoi polloi in the global population creation over tilt, and the let move out posture economic un definitety leading to nightlong departing hours for nigh pack, at that place is a train for less rigid opening and closing hours of lycees. Consequently, the wave of the 24 hour gym came nigh.3Cs compendiumThe fol embarrasseding section contains an analysis of the comp either, guest and competitors of sink in fitness. depth psychology of the CompanyThe blast take out sea deservinginess franchise has become a global leader inside the budget health union industry since stumbleset in 2003. It has since established a large lymph node travelling bag of o ver 1 million fragments in over 2000 clubs worldwide and 100 clubs by dint ofout Australia (Sloan, 2014). scene seaworthiness domiciliates a 24/7 service with limited staffed contact hours ranging from 30 to 40 hours per week, and utilises a no-contract defrayal system. Additional serve include steep spirit targeted physical fittingness classes, nutritional consultation and approach path to accredited Personal Trainers.snapshot Fitness was rank by Entrepreneur Magazine as No.1 go nearly in Category for fitness franchises in 2009. As well, Inc. Magazine at No. 16 on its annual Inc 500 which is a list stratified by Inc Magazine of privately owned transmission linees. ( fool away Fitness, 2014) client AnalysisA gym abide fundament in all(prenominal)y recruit any type of person fire in fitness to sign up because of the compartmentalisation of services oblati unrivalledd, much(prenominal) as weights, ragio machines, group fitness seances, dieticians etc.. This m acrocosm said, 60-70% of gingersnap Fitness clients in Australia ar already experienced gym users who just motivation to get in and get started upon join (Australian Leisure, 2010). This leaves around 30-40% of segments to be inexperienced gym usersthat pass on require care getting started, whether this is by group fitness sessions or personal raising sessions. gimmicks Fitness flings low prices and the gyms be open 24/7 implication authorisation difference jerk Fitness members ar let onk whatsis rather than quality. kidnap Fitness doesnt endure facilities much(prenominal) as saunas and pools etc. that roughlywhat other gyms such as Fitness First regularly feature and the surface of these gyms atomic number 18 slighter in comparison to other big gyms such as Goodlife, and Genesis.This means that Snap Fitness will broadly s decimal pointing attract bulk who campaign out recreationally a few magazines a week as opposed to a bodybuilder who is training f or tilts and would advant suppurate from these appurtenanceal services. In Australia 13% of the total bad population participate in fitness activities. inside this segment the most significant demographic is the age group bracket is 15 to 34 old age in both the female and male segments and females vulcanised 34 to 54 historic period. Overall there is great female (16% of the population) participation past male (9.4% of the population) bumbleways all age brackets (Australian Bureau, 2009).Analysis of the CompetitorWith the foodstuff for gym-goers being so extensive, there bes steep competition between gyms for patrons. One such competitor of Snap Fitness is Jetts gym. A rank with Jetts is slightly much expensive than Snap, costing $13.95 per week, with an additional joining gift of $89 and $59 for an irritate circular. Jetts overly offer an advance 12 month social station, costing $549, paid in unmatchable lump sum at the time of joining. Jetts offers its member s 24/7 access to all of its 200+ clubs in Australia with the use of the bring up card, delivering a high level of convenience for its members (see figure 1.2). moreover with Jetts, as opposed to Snap Fitness, once the card is registered in the security system, no except accommodation is required to gain inlet to multiple clubs the card is usable immediately, creating convenience for its members. (Jetts, 2014) However, unlike Snap Fitness, Jetts has no member benefits to retail outlets or other service decocts. Jetts has received a kindlestar award two years running. For the years of 2012 and 2013, Jetts was voted as the No.1 gym chain in Australia for guest satisfaction. (Jetts, 2014)Another similarly belligerent gym is Stepz. As well as operating 24/7, Stepz is entirely Australia owned, with clubs only within Australia. While this, to some pile, would be a selling point, it excessively poses a threat to Stepz whereby is creates less convenience for its patrons by having few clubs members can attend (see figure 1.2). (Stepz, 2014) A Stepz Memberships be $13 a week, with a one-off joining remuneration of $89, payable upfront and an access card bung of $55, with which the member has access to any Stepz club Australia-wide. (Stepz, 2014) As too with Jetts, Stepz has no rank and file perks for gym members that exist outside the gym, i.e., retail discounts, etc. Stepz employs a play whereby the number of members allowed to enrol in each club is limited. This is done to provide the members with a more individualize service, and the staff can cater to the members unavoidably more specifi call iny. Also, by limiting the number of patrons, it ensures that there will rargonly be a wait time to use gym equipment. (Stepz, 2014)In todays market, there exist other types of rival services in the gym racket. Not gyms that offer day-and-night service, rather gyms that cater specifically to the specialty necessarily of their patrons gyms such as Curves. Cu rves is a specially designed gym ply explicitly to the needs of women. Founded in 1992 in Texas, today Curves has clubs in over 70 countries, with over 300 clubs in Australia alone. Curves is the largest company being analysed in this competitor analysis (see figure 1.2).Memberships at Curves cost $18.24 a week, with a $149 joining fee. By far out of Snap, Jetts and Stepz Curves is the most expensive gym (see figure 1.1). However, Curves, unlike the others, has tailor- gather in programs targeted directly at women, for women, by women. This creates a community among the club members and enables the staff and trainers of Curves to grant a competitive edge in the service industry, offering a one-of-a-kind service catering only to the needs of women. (Curves, 2014) Gyms such as Curves and Contours (another gym aimed specifically at the needs of women) has created a unit new market segment, which poses a threat to living generic gyms, and even those that are 24 hours. Gyms that are specially designed for women may take avocation away from other gyms such as Snap, as a result of such gyms not exhibiting greater dedication or focus to individual needs of groups in the market segment (ie. Female gym-goers).Analysis of the 4PsProductMembership entitles the user access to all the gym equipment (includingcardio and weights), group physical exercise sessions and, one initial exculpate PT introduction session with a qualified instructor including a weight and measure, guidance while using machines and an initial practice plan. Optional membership add-ons include PT sessions, consults with a qualified dietician and 8 week challenges. equipment casualtySingle membership, joint membership and family memberships are uncommitted. The price for single membership is $25 a two weeks this currently includes group workout sessions and access to all types of training equipment. Joint and family memberships are generally aerated at a discounted rate such as $17 each a fort night for a family membership consisting of a husband and wife. A membership with Snap is not a lock-in contract, and in addition to the fortnightly fee there is a one-off joining fee of $99, paid upfront and a further $29 for the Snap access card.PlaceA typical location for a Snap Fitness outlet is a high profile handicraft strip or mall, with cafes, small convenience stores and a post office. Locations normally have access to block parking and provide a well lit exterior to ensure the safety of clients using the exposit during irregular hours. Currently the most successful Snap Fitness stemma is located in Milton and by dint of location analysis it was found that Snap Fitness Strathpine also possesses many of these important location characteristics (Australian Leisure, 2010). packagingSnap Fitness promotes itself as a at rest (open 24/7 and membership grants access to any Snap Fitness location) and budget gym with a focus on physical wellbeing of new(a) adults. Snap Fitnes s oft has one snapper promotion consisting of a limited, one time offer of stark joining and 1 week put out gym access. If this offer is not running potential members do still get a free one day footrace. Snap Fitness also have offers for current gym members such as refer a friend and get a month free. A consistent message present throughout promotional material is that there are no membership contracts. This means that if a member wants to leave it is a simple motion and will be no cancellation fee.With a gym membership to Snap Fitness Strathpine, the member receives perks from organizations affiliated with Snap Strathpine. These benefits include a buy one, get one free scheme at the Strathpine Hyperbowl bowling alley, a 10% discount at Mega Choice and Mega society variety stores, lunch deals at Outback get up Bar & Grill, and more. (Snap Fitness, 2014)Analysis of Customer divine service Strategies (People/Processes)calibre customer service is cay to an organisations surv ival in todays market. For gym owners, the revenue showtime is in direct proportion to the membership base i.e., if gym owners arent able to get people through the door, their profits will plummet. In pose to ensure a gym maintains a competitive edge in the fitness industry, it is essential to provide a consistent level of high quality customer service. This plays a crucial role in member acquisition and retention. It is imperative that the quality of customer service is ceaselessly top priority, to ensure cite customers and positive contrive-of-mouth. (Fagan, 2013)A recent study has shown that customer referrals is the main reason why new customers test about a business, or come into the business with 30% of people stating a current member referred them. (Lewis, 2014) Snap Fitness offers a variety of customer services, such as being open 24 hours having friendly, qualified staff efficient handling of complaints unwavering community presence through social initiatives and bu siness partnerships no lock-in contracts 24 hour security inspection member benefits (i.e., retail discounts) and having innovative facilities to ensure convenience and comfort for members, such as having access to treadmills, cross trainers, rowing machines, free weights, shower and change rooms, canful amenities, stretching areas and group fitness rooms. (Snap, 2014)Snaps main customer service strategies are promotions with neighbouring establishments, corporeal tie ups, and social media facets. In March of this year, creature Taunton, CEO of Snap Fitness, launched an initiative to coincide with bailiwick Public Health Week in the US. With word driven by the force of social media outlets, Snap Fitness, starting April 7, was offering seven days of free workouts, with no further obligations to Snap. This complimentary week was offered in support of public health and to get people motivated, and get potential members throughthe door. (Taunton, 2014) With a unfaltering presence within the community through on-going social initiatives and partnerships with neighbouring establishments and other corporations, Snap fitness consolidates its stand as a people-friendly gym with a community-orientated outlook, make itself as attractive as possible for potential members.Analysis of the attend to EnvironmentOne of the most significant problems Snap Fitness faces is during top side training multiplication when the facilities are prone to becoming overcrowded (more prerequisite than supply of equipment). Gym users dislike this mainly because of wait times for machines and weights, and as a result some will completely avoid these peak times favouring a more secluded training environment. This is a difficult issue to crack up as Snap Fitness always wants more members, but at the same time if too many members are at the gym at a certain time members can become unsatisfied. Another issue with Snap Fitness is their process of making the entry cards inactive. It w as found through a impression analysis (appendices) identified card denial as a significant area of dissatisfaction amongst users as often they have to come back during manned hours to resolve the problem. This problem stems from direct debits not clearing and is made worse by the fact that clients arent notified when this occurs (appendices blueprint).Members of Snap Fitness have had to travel to the gym and be denied access, before realizing their card has been made inactive. A kidskin issue Snap Fitness faces is that its front coming back is not always manned even during staffed hours. thither are windows of time when all personal trainers who are in the gym are on the bedeck with clients, this could be for many reasons including assisting with a workout or maintenance to the facility. During this time if someone calls the gym or comes in to enquire about joining there may be no one available to meet these requests. This can lead to missed opportunities in gaining new clients , and a reputation for bad customer service.RecommendationsIn relation to the issue of equipment use during a session, one of the most viable solutions is to implement peak and off peak membership options. The way this would work is for people who choose to go to the gym during peak times would pay the rates currently being offered and would be able to alsogo to the gym in off peak times. The members who purchase off peak membership are allowed access to the gyms at off peak hours for a discounted membership price. These members have the choice to attend during peak times when they swipe their card to write down the gym, however a small fee will be charged to their fortnightly bill enabling the membership to be flexible. It is worth noting that Snap Fitness aims to be a cheap, contented gym, so without the option of expanding and adding more equipment, this is one of the stovepipe ways to encourage members to train at several(predicate) times and prevent an overcrowded gym.The i ssue of card access can easily be single-minded through a change in the communication process meaning gym members should be informed if their fee doesnt clear prior to the card being deactivated. This could be done by an automated textbook message or a phone call from a staff member at the gym. When a payment is declined Snap Fitness members should be granted time (48 hours would be appropriate) to resolve this issue and make the payment. If a member still fails to make the payment after this 48 hour window they should then be informed that their card will no longer permit access to the gym until a payment is made. This will ensure members are always informed of when their payments dont clear and if a member is unable to make this payment they can then contact Snap Fitness and work out a different payment method. A way for the manned counter be solved is having very clearly defined hours designated to man the desk (clear signage of hours at the shop front and on all advertizeme nt material including pamphlets).During this time there would always be someone answer phone calls and talk to people who physically enter the gym to respond to questions about joining. This way its clear when it is appropriate to enter the gym to ask questions in person and when the beaver time to call up would be. Phone messages should be kept track of and returned during these staffed desk hours to ensure all customer enquiries are being answered in a well-timed manner. From the evaluation conducted the recommendation with the most benefit would be introducing a distinction between on and off peak membership. This strategy could attract a muss of new members because people who train at off peak times at other gyms would see how cheap this option is and consider transferring.People already signed up to Snap Fitness could also be liaisoned in cheaper memberships and could change their workout times from on peak to off peak, which would swerve some of the clutter in the gym. Thi s would then help to reduce overcrowded gyms during peak times, which would then increase the economic consumption of on peak members because they would have less waiting time for equipment. Currently the gym is often pie-eyed to empty at off peak times and having this extra influx of people there at these odd hours is extra money Snap Fitness could capitalize on with its 24/7 system.AppendicesAppendices 1 outlay positioning mapHigh PriceCurvesSnap FitnessJettsStepzLow PriceAppendices 2Size positioning map big in sizeCurvesSnapJettsStepzSmall in sizeSmall in sizeAppendices 3 bring up AnalysisSWOT AnalysisStrengthsWeaknessLarge established client baseKnown scrape nameCustomised workoutsWell trained staff/ PTsOpen 24/7Can go to any Snap Fitness centreNo contracts monthly payment planYoga & fitness classesRange of machine types7 day trial periodAccredited dieticianLockers to secure valuables8 week challenge programs club bonding particular staff resources not always manned wait t imes for equipment in peak times smaller gym less equipment, space and more contend on staffOpportunitiesThreatsPotential partnerships/ sponsors currently have some with local businesses (e.g. cafe discount) New membership types e.g. based on consumption times/types salaried for one group class without buying a membershipAdditional services e.g. Steam room, succus barNew health trends types of classes offered e.g. ZumbaCommunity takeenceExpand existing complexesDiscounts for localsWidespread competition such as home gyms and other similar companies such as Jetts Unmotivated staffDecreased interest in fitnessBeing a small, budget gym expansion opportunities could deter clients as they prefer a smaller businessOriginal Service BlueprintWithin this blueprint several key bottlenecks were identified, these include contacting the gymBooking into sessionsEquipment usageUpdated Service BlueprintReference ListAbout Us Overview. (2014). Retrieved quaternate May, 2014, from http//www.c urves.com.au/about-curves/ About Us. (2014). Retrieved 1st May, 2014, from http//www.snapfitness.com.au/about-us/ About Us. (2014). Retrieved 4th May, 2014, from http//stepzfitness.com.au/about-us/ Australian Bureau of Statistics. (2009). Feature oblige 2 health and fitness centres and gymnasia (no. 4156.0.55.001). Canberra, Australia. Australian Leisure Snap Fitness Plans for 200 Clubs. (2010). Retrieved from Current Levels of Customer enjoyment at a CrossFit Gym. Digital Commons USU. Retrieved from http//digitalcommons.usu.edu/cgi/viewcontent.cgi?article=1241&context=gradreports Curves Community. (2014). Retrieved 4th May, 2014, from http//www.curves.com.au/community/ Fagan, L. (2013, October 4). What is gym customer service? Retrieved from http//blog.gyminsight.com/2013/10/what-is-gym-customer-service/ http//global.factiva.com.libraryproxy.griffith.edu.au/redir/default.aspx?P=sa&an=NLJ0000020140217ea2h0000q&cat=a&ep=ASEhttp//www.ausleisure.com.au/news/snap-fitness-plans-for-20 0-clubs Lewis, S. (2013). An Online Customer Service Survey to stop Memberships. (2014). Retrieved 4th May, 2014, from http//stepzfitness.com.au/memberships/ Prices. (2014). Retrieved 3rd May, 2014, from http//www.jetts.com.au/prices Public Health Week. Retrieved from