If you run a busy health club with great retention numbers, congratulations. Also, get ready to take out your checkbook.
There’s no getting around it: You’re going to have to upgrade your equipment and other facility services sooner than later if you have a high-traffic club. But even if you have a smaller, more exclusive clientele, you can’t fall behind the competition by keeping aging equipment on the floor. You want your brand associated with the newest and the best—within your budget, of course.
So, when should you upgrade your equipment? Industry veteran Brent Darden of Brent Darden consulting believes that health clubs are under more pressure in today’s marketplace to maintain a competitive edge. Writing in Club Business International, he says: “Facilities, programming, services, and equipment have to evolve and present a fresh value proposition to survive.”
Change you must. But when do you know when it’s the right time to invest hard-earned capital back into your business? And how much do you invest to insure a healthy ROI?