January 2012 Club Business International (CBI)

> JANUARY 2012

Club Business International

40 Research Nuggets 46 12 Leaders on 2012 55 Public-Policy Plans 58 Digital Darwinism 67 Flooring Solutions

‘Practically Radical’ Progress William Taylor explains how to achieve greatness at IHRSA 2012

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| Editor’s Welcome |

The mission of IHRSA is to grow, protect, and promote the industry, and to provide its members with benefits that will help them be more successful.

In looking backward, Art Curtis, the chairperson of IHRSA, not only provided an important reminder in this month’s installment of his “First Set” column. He also proved timely, not to say prescient. In mid-December, the United Health Foundation seconded his sentiments.

Kerry Brett

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Publishing Editor-In-Chief: Craig R. Waters Publisher: Jay M. Ablondi Managing Editor: Rebecca K. Maverick Associate Publisher: Kristen A. Walsh Editor: Jennifer H. McInerney Associate Editor: Patricia Glynn Editor-at-large: Patricia Amend Contributing Editors: Liane Cassavoy, Jon Feld, Julie M. King, Lesley Mahoney, Melissa Rodriguez, Jean Suffin, Stephen Wallenfels AdvertisinG: ihrsa.org/cbi E-mail: advertising@ihrsa.org

In his column (see pg. 103), Curtis describes an address he delivered some 32 years ago to a group of cardiologists and cardiac surgeons involved in cardiac rehabilitation programs.

The meeting’s two-day agenda was dominated by presentations on the newest drugs for treating cardiac and vascular disorders and the latest information on rehabilitation.

Curtis sounded an entirely different note: “I began my talk before this distinguished group by observing that perhaps—just perhaps— we were approaching the problem backwards,” he writes. “Wouldn’t it be more effective, I asked, to put prevention first, in part by developing sound approaches to help patients adopt healthy lifestyles, reducing the incidence of disease and the need for surgical and pharmaceutical interventions?”

In short: a sound diet and regular exercise— instead of drugs and stents.

At the time, it was a disruptive, game-threatening notion, but, since then, it’s gradually been accepted, endorsed, and, unfortunately, alltoo-slowly implemented by the medical community, health practitioners, government agencies, corporations, insurance companies…and, more expeditiously, by health clubs.

Now, the United Health Foundation (UHF) cautions that, not only has the job not been finished, but, in fact, the scope of the challenge confronting us has grown larger. For the past 22 years, UHF has produced an annual report, America’s Health Rankings, which evaluates 23 measures in four categories: behaviors; community and environment; public and health policies; and clinical care.

The 2011 report, released last month, acknowledges that there’s been progress with respect to smoking cessation, preventable hospitalizations, and cardiovascular deaths. It notes, however, that the pace of improvement has stalled, and that the advances are now being jeopardized by rising rates of obesity, diabetes, other chronic diseases, and child poverty.

When it comes to avoiding preventable diseases, “We are failing miserably at stemming the tides,” says Dr. Reed Tuckson, a member of UHF’s board of directors.

Curtis notes that a growing number of groups have recently focused on both the problem and the most promising solution.

And IHRSA, he reminds, has also “embarked on a mission to help make the world a healthier, more prosperous place by focusing on prevention …

“Will you join the movement?” he asks. “Health-prevention is good for everyone. And it’s also good for your business.” —|

Club Business International (ISSN 1043-9692, USPS 766-570) is published monthly ©2012 by the International Health, Racquet & Sportsclub Association, Seaport Center 70 Fargo Street, Boston, MA 02210. All rights reserved. Periodicals postage paid at Boston, Massachusetts, and additional mailing offices. Canadian Sales Agreement #40767601.

Subscription rate for members is $48 per year, which is included in the dues. Additional subscriptions $24.95 per year (USA) and $75 (International).

POSTMASTER: Please send change of address to Club Business International, c/o IHRSA, Seaport Center 70 Fargo Street, Boston, Massachusetts 02210

– Craig R. Waters, c.waters@fit-etc.com

Volume 32, Issue 1

Club Business International

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January 2012

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ihrsa.org

Vice President of Advertising & Membership Sales: Michele Eynon Senior Account Manager: Jessica Gutstein Senior Account Executive: Donna Garrity Business Development Publications: Will Finn Advertising Sales Executive: Mireille Rivara Associate Service Manager: Meghan Burnham Art Direction, Design, Production: Holland-Mark, Boston, MA INTERNATIONAL HEALTH, RACQUET & SPORTSCLUB ASSOCIATION President & CEO: Joe Moore Chief Operating Officer: Anita Lawlor Executive Vice President of Public Policy: Helen Durkin Executive Vice President of Global Products: Jay Ablondi Club Business International Editorial & Advertising Offices: c/o IHRSA Seaport Center 70 Fargo Street, Boston, MA 02210 USA 800-228-4772 USA & Canada 617-951-0055 | 617-951-0056 FAX E-mail: cbi@ihrsa.org ihrsa.org To order reprints of articles, call 800-228-4772 ext. 117 or visit ihrsa.org/cbi

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Motionsoft

Club Business International

Contents | January 2012

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William Taylor will inspire at IHRSA 2012

Exercisers profit from Digital Darwinism

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Features

Cover and above (left): Elie Honein

34 ‘Practically Radical’ Progress

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William Taylor, a featured speaker at IHRSA’s 31st Annual International Convention and Trade Show in Los Angeles, has learned and discovered much about business during his multifaceted career. An editor of the Harvard Business Review, founding editor of Fast Company, and author of several best-selling books on business, he understands that, in these fast-moving times, firms and individuals need to be both ‘practical’ and ‘radical’ to produce dramatic change.

Club Business International

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January 2012

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40 Economy Notwithstanding Research reveals new growth opportunities

46 12 Leaders on 2012 A dozen achievers consider the year ahead

55 A Year of Risks and Rewards Clubs need to prepare for legislative threats

58 Digital Darwinism Is your club prepared for life on the Internet?

67 Flooring Problems/Solutions How to find and care for the perfect flooring

You focus on your member’s goals – we’ll focus on yours.

Fiserv helps clubs of all sizes grow and retain their

member base while reducing overhead costs. Leveraging industry-leading security and reliability, our solutions allow you to focus on your members while collecting more revenue. This fully-integrated approach includes comprehensive club management software, integrated EFT, POS payment processing and full-service billing. With Fiserv, you have the unrivaled power to perform. The power within. www.clubs.fiserv.com

Club Solutions from

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Proces sing Ser v ices

© 2011 Fiserv, Inc. or its affiliates.

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R isk & C ompliance

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Cus t omer & C hannel Managemen t

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Insigh t s & Op t imiza t ion

Club Business International

Contents | January 2012 SCIFIT’s new Function C3 trainer

Zumba is new nightclubbing action

The National Physical Activity Plan

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78 Departments

News & Know How

15 News

IHRSA Report

103 First Set

2012 Fitness trends; industry growth; Jane Fonda is back; Anytime Fitness faults workouts; Biggest Loser lineup; exercise and cancer; nightclubbing with Zumba; addiction and motivation; Obesity Update; Latin American News

It’s time for prevention, and clubs have a vital role to play, says IHRSA Chairperson Art Curtis

104 In Brief

The National Physical Activity Plan is designed to make the U.S. physically and economically strong

29 First Person

IHRSA convention speaker Teresa CoffeyGordon offers some marketing magic

31 On the Move

106 Ask the Entrepreneurs

Anytime Fitness hits 100 ‘down under’; UFC moves offshore; five more for XSport Fitness; ACAC adds $16-million facility; Doggie Paddle Day; 24 Hour welcome for military

Tony Rea, Roger Aaron, and Susan Cooper describe a wide variety of effective advertising approaches

Paramount Acceptance’s unique Value Proposition; plus news from TRX, Precor, Flash UV, BistroMD, and many others

Innovations 77 What’s New

114 Calendar

81 F.I.T. Extra

Increasingly sophisticated management software helps club operators keep up with members’ needs |

January 2012

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12 Letters 116 Marketplace 118 Ad Index

Innovation in action at Cybex, SCIFIT, MoveStrong, MYZONE, UniMac, Gatorade, Polar Electro, and Spirit Fitness

Club Business International

4 Editor’s Welcome 10 Ihrsa.org

108 Member News

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Reps

ihrsa.org

120 Last Rep

You’re ready for the January crush, but are your contracts in good shape, wonders IHRSA President and CEO Joe Moore

LIFE FITNESS

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ihrsa.org

A preview of what’s new this month on ihrsa.org

Learn Effective Solutions to Increase Membership Sales > ihrsa.org/webinars IHRSA’s Webinars, which are sponsored by CYBEX, provide costeffective training for you and your staff when you need it, wherever you need it! On January 12, 2:00–3:30 p.m., Eddie Tock, a partner with REX Roundtables for Executives, will present “Effective Solutions to Increase Membership Sales.”

The Webinar’s objectives include: • Learn how to create a proven system to develop sales superstars; • Learn steps to energize your sales team; • Discover the magic of relationship selling; • Find out if you have the right ingredients to create a sales system; and • Understand why accountability and execution are more important than strategy. —| Eddie Tock

Log on to ihrsa.org/webinars to register or to purchase recordings of past Webinars.

Introducing Winter 2012 Get Active! Magazine > ihrsa.org/get-active-magazine The Winter 2012 edition of Get Active! magazine is hot off the presses!

This motivational magazine is designed to help health club operators gain and retain members. It provides useful lifestyle, diet, and workout tips to make exercise fun and rewarding for people of all ages, shapes, and sizes.

The new Winter 2012 issue is now available for purchase from the IHRSA Store, in boxes of 100 copies each. It costs just 55 cents per copy (plus shipping) for the standard edition. In addition, there is a limited supply of the recent Anytime Fitness edition, featuring Danica Patrick, available. The Anytime Fitness edition includes 14 customized pages especially for Anytime Fitness club members.

Put the magazines in new member kits, distribute them at health fairs (with a seven-day free trial membership offer stapled to the cover), leave them in salon waiting rooms … the possibilities are endless. —| See sample issues—including the digital version of the new issue—and order online at ihrsa.org/get-active-magazine or by phone to 888-229-5745 (in the U.S.) or +1 831-372-6077.

Free E-Book: 24 Ways to Improve Your Health Club Today > ihrsa.org/ebook Each week, industry experts answer a different pressing question in the Ask an Industry Leader section of ihrsa.org. To celebrate the 100th question, IHRSA has compiled compelling advice from several of these experts into a free downloadable e-book. In it, each expert answers the question, “What is one simple thing a health club operator can do to improve their operations today?” —| Log on to ihrsa.org/ebook to access this 25-page publication.

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ihrsa.org

The GreaTesT sTride since The ellipTical.

Something special happened 15 years ago. Precor released the first EFX® elliptical crosstrainer–and members everywhere completely changed the way they exercise. Now, they’ll change it up again, the moment they step onto the new Experience Series™ cardio equipment from Precor. With a simple, intuitive interface that draws members deep into their workout, and a touchscreen console just like a high-end phone, it’s a fitness solution that gets more powerful the longer you own it. It’s something you really need to see for yourself. In fact, we’ll bring one to you...

SIGN UP FOR YOUR IN-PERSON DEMO Contact your Precor Sales Representative or contact us at 800.786.8404 / commsls@precor.com © 2011 Precor Incorporated

| Letters |

> NOVEMBER 2011

CLUB BUSINESS INTERNATIONAL

Moving Forward

24 IHRSA ’12 Headliners 42 Strong Shoulders

Thank you so much for accurately and thoroughly detailing the story of the Fayetteville Athletic Club in the November issue of CBI (see “Strong Shoulders,” pg. 42). Having lived through the “perfect storm” of a major expansion and management overhaul, compounded by the great recession and subsequent bank failure, we’re grateful that CBI Contributing Editor John Halbrooks and the magazine’s editorial staff focused on our ability to persevere and move forward.

We’d also like to extend our heartfelt appreciation to all of our health club industry friends and our “IHRSA family” for all of the support and encouragement they’ve offered over the past four years. Our continued involvement in the fitness business, with a great company like Retention Management, is truly an honor.

Looking forward to seeing everyone on the other side of the trade-show floor in Los Angeles! —|

49 Safety Priorities 56 Franchise Secrets 95 Joining Forces Facts

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Club Crusader SPORT CITY’S ALEJANDRO MARTÍ IS COMBATING CRIME AND CORRUPTION

Bob and Katherine Shoulders | Directors of Social Media | Retention Management Cornelius, NC

‘A Rising Tide’

A Unified Message

> Many health club operators give a lot back to their communities and to charity. I truly believe that it’s just as important for us to “give back” to strengthen and improve the industry, at large. We’re members of IHRSA and, each year, contribute to the Industry Defense Fund (IDF). We do this because we feel it’s the “right” thing to do to make this industry better, collectively. We work with our international partners and through U.S.-based federal and state initiatives because we believe that a united industry is critical to everyone’s success. In truth, “A rising tide lifts all boats.”

The IDF will be able to count on Club One’s contribution again this year, and I hope that, together, we can increase support among all club operators for this vital effort. —|

> The Atlantic Club supports IHRSA’s Industry Defense Fund (IDF) to provide a single industry voice that forcefully conveys a united message. In the past, we’ve worked closely with the IHRSA team on several initiatives to avoid unnecessary and potentially harmful legislation. If more clubs were to support the efforts of this defense fund, it could become an offense fund—one sharing our message of prevention and wellness with the world. —|

Bill McBride | President & COO | Robin Klaus | CEO & Chairman Club One, Inc. | San Francisco, CA

Industry Watchdog > We very much appreciate the fact that IHRSA serves as the watchdog for our industry. Thanks to the efforts of the association and the Industry Defense Fund (IDF), a lot of bad legislation that would have hurt our clubs has never been enacted. —| Matthew J. Remick | President | Rochester Athletic Club | Rochester, NY

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Kevin McHugh | COO | The Atlantic Club | Wall, NJ

Sales Tax Sunk! > The Industry Defense Fund (IDF) has been truly helpful here in Maryland. In addition to confronting and defeating burdensome or poorly written legislation dealing with instructor certification, AEDs, etc., the Fund and IHRSA’s legislative team have been instrumental in preventing a frequently proposed sales tax on health club dues from being implemented. If passed, such legislation would be a terrific blow to our industry and to those who use our clubs to become healthy and fit. —| Tim Rhode | Owner | Maryland Athletic Club & Wellness Center Timonium, MD

News & Know How News 15 | First Person 29 | On the Move 31

Recently, CBI wrote about Sproing, a unique piece of fitness equipment that mimics running on the beach. William “Tra” Thomas, a former offensive tackle for the Philadelphia Eagles, prefers the real thing. His 7 Deuce Sports training facility in Marlton, New Jersey, features a 30-yard sand pit. —|

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| News & Know How | News

Bally and L.A. Fitness: moving with the times

Lifestyle Family Fitness Focuses on Florida

Life Time Fitness buys two and may acquire more

L.A. Fitness Acquires 63% of Bally’s Clubs L.A. Buys 171, Leaving Bally with Just 100

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n late November, Fitness International, LLC, an affiliate of L.A. Fitness International, LLC, based in Irvine, California, announced that it had agreed to purchase 171 of the 271 health clubs owned by Bally Total Fitness (BTF), the Chicago-based chain. Though financial details of the transaction were not disclosed, The Chicago Tribune reported that the deal was priced at $153 million.

L.A. Fitness, which had 360 facilities nationwide at the end of 2010, has acquired all of the BTF facilities in 11 states, the greater Los Angeles area, and the District of Columbia. Those states are Arizona, Florida, Georgia, Illinois, Indiana, Maryland, Michigan, Minnesota, Oregon, Pennsylvania, and Washington. It has also acquired some BTF facilities in New Jersey, New York, Texas, and Virginia.

BTF will continue to operate its remaining 100 sites under the Bally name in “key markets,” such as Denver, Colorado; Houston, Texas; San Francisco; and New York.

The purchase was scheduled to be finalized on November 30. —|

CORRECTION: Due to an editing oversight, Elizabeth Larkam’s last name was misspelled in “Mind Body is on the Move!” in the December issue of CBI (pg. 56). CBI sincerely regrets the error. A 26-year industry veteran trained in yoga, Pilates, Gyrotonic, Feldenkrais, and the Franklin Method, Larkam is the director of the Core Concept Center at the Rolling Hills Club in Novato, California. —|

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Short Takes | Motionsoft on the Move Motionsoft, Inc., a Rockville, Maryland-based software and billing-services provider, recently earned an honored spot on Deloitte and Touche’s Fast Technology ranking of the 500 fastest growing technology, media, telecommunications, life sciences, and cleantechnology companies in North America. Motionsoft, an IHRSA associate member, placed No. 160 on the list. —| Club Business International

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ihrsa.org

> In mid-November, Life Time Fitness, Inc. (NYSE: LTM), the Chanhassen, Minnesota-based chain, announced that it planned to acquire and operate as many as nine Lifestyle Family Fitness (LFF) clubs in Ohio, Indiana, and North Carolina.

It has already purchased two—the Pickering and Henderson Road locations in Columbus, Ohio—which will remain open and be rebranded.

“Consistent with our long-held strategy, the acquisition and operation of these clubs, which are similar to our existing, smaller-format Life Time centers, brings an infill opportunity to markets in which we already operate large Life Time destinations,” explains Bahram Akradi, the president, CEO, and chairman of Life Time Fitness (LTF).

“Once we absorb the integration costs associated with the transaction,” he says, “we expect the acquisition to be neutral to slightly accretive to our 2012 earnings.”

The financial details of the deal were not disclosed.

LTF currently operates 92 centers under the Life Time Fitness and Life Time Athletic brands in 21 states.

Lifestyle Family Fitness (LFF), based in St. Petersburg, has also sold two of its Ohio clubs to Geoffrey Dyer, the founder and former CEO of LFF, who intends to rename and operate them. Dyer, a former president of IHRSA, remains an investor in LFF and serves on its board of directors.

At the same time, LFF disclosed that it intended to close nine of its remaining facilities in Ohio, Indiana, and North Carolina, allowing it to focus on its core Florida market, where it has 35 clubs. —|

| News & Know How | News

Fitness Trends for 2012

ACE and ACSM offer predictions on developments

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he American Council on Exercise (ACE), based in San Diego, and the American College of Sports Medicine (ACSM), based in Indianapolis, Indiana, have both researched and recently reported on what they think will be the top fitness trends for 2012. Though their two lists are hardly identical, there’s a fair amount of overlap between them.

ACE, the education and certification agency, and ACSM, the sports medicine and exercise science organization, believe that a growing awareness about obesity, particularly with respect to children, and an increased focus on advanced professional education will be major issues in the year ahead.

Both also concur that, in terms of programming, offerings such as Zumba and other dance-based workouts, boot camps, core training, functional fitness, and suspension training will prove increasingly popular.

Other factors that may shape the industry in significant ways include: whole-life training, which makes use of specialists such as nutritionists, physical therapists, psychologists, and lifestyle coaches; community involvement, which makes club services more widely available by utilizing venues such as schools and programs such as IHRSA’s Joining Forces Network (JFN); and technological innovation, including the Internet, fitness-tracking programs, exercise apps, etc.

ACE’s findings were based on a survey of more than 2,600 fitness professionals, while ACSM’s are the result of feedback from some 2,620. —|

Good News: Authoritative Report Foresees Industry Growth

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he Gym, Health & Fitness Clubs in the U.S. report, a new survey and analysis produced by IBISWorld, a leading provider of industry research, paints a positive portrait of the current club industry and an upbeat appraisal of its future prospects. In a summary of the publication, the authors conclude: “Even in the midst of the economic downturn, the industry has maintained steady growth, with membership rates growing consistently and profit remaining solid.

Demand for gyms and health and fitness clubs will continue to rise over the next five years, as the general public becomes more health-conscious and the aging population places a greater emphasis on staying fit.”

Among the metrics the report cites for 2010: industry revenue, $24.2 billion; revenue growth, 2.2%; industry gross product, $11.7 billion; number of establishments, 32,820; number of employees, 527,086; and total wages, $7.1 billion. Looking forward, it expects revenue to increase at an annual rate of 2.6% to hit $28.2 billion in 2016. —| ihrsa.org

A Prime Time Fitness Icon

Jane Fonda promotes book, fronts for Virgin Active’s Retro Aerobics > If there’s one enduring, virtually timeless fitness icon, it has to be actress, author, and activist Jane Fonda. Though she turned 74 last month, Fonda is, arguably, as busy as ever, promoting her new book, Prime Time: Making the Most of Your Life, and serving as the model for Virgin Active’s new Retro Aerobics program.

The book, a guide to the “third act” of life, marries a personal memoir and Fonda’s wellresearched suggestions about love, health, sex, fitness, friendship, and spirit. Following its publication last summer, Fonda spent weeks crisscrossing the nation for interviews with newspapers and magazines, and on television shows, including Nightline, Charlie Rose, Good Morning America, The Joy Behar Show, The Tonight Show with Jay Leno, and Live!

With Regis & Kelly.

Then, in October, the South African branch of Virgin Active, the U.K.based chain, introduced Retro Aerobics, utilizing 1980s-era photos of Fonda on its billboards, Website, and other materials to promote the offering. Available at all of Virgin Active’s nearly 100 South African facilities, the one-hour prechoreographed class is broken down into 12 individual tracks, all with specified routines.

“It’s an excellent workout for your cardiovascular system and will ensure you’re breathing a little heavier,” says Ceri Hannan, the national group exercise manager for Virgin Active South Africa. “In addition to being a cardio workout, the class also features functional body conditioning and will target areas like the glutes and stomach.” —| |

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| News & Know How | News

More Good News: Equipment Sales Soar

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ohnson Health Tech, Inc. (JHT), the Cottage Grove, Wisconsin-based fitness equipment manufacturer, has reported strong sales growth during the third quarter, as well as for the first three quarters, of 2011. The company produced an 8% increase in its North American sales and a 23% increase in its global sales during 3Q ’11, when compared with 3Q ’10. For the first three quarters of 2011, it saw its retail/commercial sales climb by 19%, and its commercial segment sales jump 27%, year-to-year.

“Through our commitment to innovation and quality, as well as our world-class marketing and customer service, we’re able to see continued domestic growth,” says Nathan Pyles, the president of Johnson Health Tech North America (JHTNA).

JHT produces equipment under the Matrix Fitness, Vision Fitness, Horizon Fitness, and LIVESTRONG Fitness brands. —|

| CBI’s Eye on the Economy |

Pricing Disparity Between Fees and Dues Narrows > While fees for club lessons continued to climb in September and October, the ongoing decline in pricing for dues began to moderate. Fees increased slightly and were 1.23% higher in September than in September 2010, while dues fell a nominal 1.06% over the same period. Fees increased by 1.06% in October, year-to-year, and dues fell 1.97%.

Pricing for all items rose by 3.87% in September, year-to-year, and by 3.53% in October.

If the pricing disparity between fees and dues continues to narrow, it may indicate that consumers are beginning to value the club experience more. Operators who consistently deliver an outstanding and rewarding customer experience might, therefore, be justified in increasing dues.

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Try the following: • Hire expert and personable staff—Make sure your front-desk personnel are friendly and welcoming to members. Highly qualified instructors will ensure that members receive sound and constructive guidance.

• Have a member-appreciation day—Once a year, let your members know how important they are by treating them extra special. Consider: a free nutrition bar or recovery shake for visiting members; awards in the form of gift cards or complimentary training sessions; and individual recognition of the accomplishments of specific members. —| For more information, please log on to www.ihrsa.org/research.

Consumer Prices & National Economic Trends (% change same month previous year)

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Club Dues (NSA*)

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Fees for Lessons (NSA) All Items (NSA)

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Note: NSA: Not Seasonally Adjusted ihrsa.org

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| News & Know How | News

Anytime Fitness Faults Working Out Cofounder Chuck Runyon attempts to motivate exercisers with new book

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f you think that some aspects of commercial fitness leave much to be desired, you might want to pick up a copy of a new book

by Chuck Runyon, the cofounder and CEO of Anytime Fitness, the Hastings, Minnesota–based fitness franchise.

Working Out Sucks! vividly captures Runyon’s impatience with the promises made by fad-diet gurus and the biceps-and-bikini/comehither advertising employed by many health and fitness facilities.

Fact is: It’s very difficult for many people to motivate themselves to work out.

Runyon hopes to remedy that.

To write Working Out Sucks!, Runyon collaborated with several experts—Brian Zehetner, a boardcertified sports dietitian and certified strength and conditioning specialist, and psychologist Rebecca DeRossett.

The end result of their efforts is a no-nonsense self-help manual built around a 21-day program designed to set users on the “path to change.”

Neither preachy nor patronizing, Runyon challenges the reader by dispatching, one by one, the three most common excuses for not working out: I don’t have the time; I can’t afford it; and I can’t commit. Written in clear prose with a sense of humor, the book is studded with bite-sized commentaries (Book Highlights) on eating and exercising foibles.

Book Highlight No. 1 reads: “One Lousy Percent: Time. We all get 24 hours in a day. That gives you 10,080 minutes every week to spend or waste. If you’re the average person who hates working out, all you need to invest is 90–120 minutes a week. That’s 1% of your overall week dedicated to exercise. Working out sucks … but wasting time sucks more.”

Working Out Sucks! is published by Da Capo Press (dacapopress.com) at Lifelong Books, and is available from booksellers and online retailers nationwide. Fully 100% of the net proceeds will be donated to Limbs for Life, a global nonprofit organization that provides functional prosthetic care for individuals who, otherwise, couldn’t afford it. —|

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J an u ar y 2 0 1 2

Short Takes | Anna Kournikova

Leaves The Biggest Loser

The 12th season of The Biggest Loser, the NBC weekly weight-loss reality series, which premiered in the fall, briefly featured two new faces, as well as an old favorite.

Anna Kournikova, the Russian-born tennis star, joined the cast as a new personal trainer, replacing Jillian Michaels, who left the show one year ago to focus on becoming a mother. However, Kournikova, who, at times during her playing career was ranked No. 1 in doubles competition, dropped out just two months after making her debut.

Also new to, and still with, the show is Dolvett Quince, a personal trainer with certifications from the ISSA (International Sports Science Association) and IFA (International Fitness Association), and the owner of the Body Sculptor Fitness Studio in Atlanta, Georgia. In the past, Quince has worked with celebrities such as Justin Bieber, Janet Jackson, actor Michael Jaie White, and Baltimore Ravens tight end Daniel Wilcox.

Each week, teams led by Quince, returning coach Bob Harper, and Kournikova’s unnamed replacement, will face off against each other to determine which can lose the most weight.

Also rejoining the top-rated program are two IHRSA associate-member companies, its official equipment suppliers. Cybex International, Inc., based in Medway, Massachusetts, provides the show with strength and cardiovascular equipment, including its popular Arc Trainer. And the Iron Grip Barbell Company, based in Santa Ana, California, is once again outfitting The Biggest Loser gym with urethane Olympic weight plates, urethane dumbbells, and Olympic bars. —|

Short Takes | Executive Workout Rahm Emanual, the former White House chief of staff who is now the mayor of Chicago, recently described his fitness regimen to Time magazine: “Mondays, Tuesdays, and Thursdays, I swim a mile and then bike immediately after.

Wednesdays and Fridays, I bike and do the elliptical and then a weight routine and then yoga.” He says the routine improves his mayoral performance. —|

Rahm Emanual

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| News & Know How | News

More Activity Prescribed To Fight Cancer

>

N

ew research, appearing in the October issue of the journal Cancer Prevention Research, reveals that, when it comes to preventing certain cancers, namely those of the breast and colon, going to the gym on a regular basis might not be quite enough.

Experts estimate most people sit nearly 15.5 hours per day and, according to Christine Friedenreich, a senior research epidemiologist at the Alberta Health Services/Cancer Care, in Calgary, Canada, “Too much sitting actually increases the risk of cancer.”

As she explains to HealthDay, meeting the recommended activity guidelines of 150 minutes of exercise per week doesn’t appear to be sufficient to counteract cancer-causing inflammation “if you’re spending the rest of your time sitting, like in front of a computer.”

To minimize the threat, Friedenreich recommends not only engaging in regular exercise at the gym, but also taking regular breaks from sitting, as well. —|

Short Takes | Zumba Makes Its Move Into Nightclubs

Zumba, the Latin-inspired group fitness dance program created by dancer and choreographer Alberto “Beto” Perez, continues to make itself at home in new venues. Having become nearly ubiquitous in health clubs, it’s now demonstrating its appeal in nightclubs.

Recently, Heather Christy, a certified instructor at both Endurance Fitness and the West Hills Athletic Club, in Michigan, teamed up with fellow fitness pros Hilary Leaf, Sarah Burhans, and Melissa Leach to introduce Zumba to The Venue, a nightclub in Portage, Michigan.

“I thought it would be fun to bring it out to a nightclub and pick up the energy,” she told The Kalamazoo Gazette. “It’s actually very popular here.”

The very first session attracted more than 30 participants, and, now, on the first and third Fridays of each month, the club hosts two-hour Xtreme Zumba extravaganzas. Admission is $10 and includes entry to the club for post-workout drinks and socializing. —|

United We Dance to Cure ALS > Clubs for the Quest (CFTQ), an initiative launched by The Atlantic Club, Inc., has joined forces with Zumba Fitness to create United We Dance to Cure ALS, a special program designed to raise funds for Augie’s Quest, a charity launched by industry pioneer Augie Nieto, the founder and former CEO of Life Fitness, and his wife, Lynne.

Nieto was diagnosed with amyotrophic lateral sclerosis (ALS), also known as Lou Gehrig’s disease, in 2005, and, subsequently, formed Augie’s Quest to help underwrite research by the Muscular Dystrophy Association (MDA) to find a cure for ALS. Thus far, the Quest—which is actively supported by many segments of the fitness industry—has raised more than $30 million.

Having surpassed its initial goal, the Quest recently raised its sights and is now working to raise $50 million.

CFTQ, a partner in the effort, is a network of individual clubs that, each year, conducts fundraisers to benefit the Quest. The group, founded by The Atlantic Club, which has facilities in Red Bank and Manasquan, New Jersey, has thus far raised more than $3 million. This year, the theme of its program is United We Dance to Cure ALS, and the group is encouraging clubs to

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host a one-hour Zumbathon charity event, between January 1 and March 15, to aid the Quest.

CFTQ hopes to enroll 2,000 clubs in the effort, raising an additional $1 million. It notes that, if each club were to enroll just 50 participants, and each were to donate or raise $50, it would reach its goal.

The Atlantic Club, CFTQ, Zumba Fitness, the Quest, and the MDA will be staging a grand Zumbathon event at the historic Asbury Park Convention Center, in Asbury Park, New Jersey, at 11 a.m. on January 21, featuring Beto Perez, the creator of Zumba. Their goal: 1,000 participants and $100,000 in contributions.

Zumba Fitness has also asked that all of its ZIN-certified instructors who aren’t aligned with a club conduct a one-hour Zumba fundraiser on behalf of the Quest.

Full details are available online at augiesquest.org, and fundraising programs and materials can be obtained at clubsforthequest.com in the section designated “Zumba Fitness for Augie.”

A “Zumbathon!” Fundraiser for MDA’s Augie’s Quest will also be held on Thursday, March 15, from 6:30-8:30 p.m., during IHRSA’s 31st Anniversary International Convention and Trade Show in Los Angeles. —|

| News & Know How | News

The Addiction/ Motivation Equation

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Technology

Understanding addiction can help motivate individuals to exercise

Avoiding E-mail Overload

> Increased understanding about the ways in which addiction operates has both negative and positive implications for exercise.

Addictions, in general, excite “pleasure centers” in the brain, which, after a short period of time, lead to a subtle rewiring of the brain’s circuitry, explains Matthew Ruby David J. Linden, a neuroscientist at the John Hopkins University School of Medicine. Attempting to control the “high” produced by various stimuli—e.g., drugs, sex, food, gambling, exercise—the brain attempts to mute the response. As a result, an addict requires more or greater stimulation to produce the same response enjoyed earlier.

The high produced by exercise is caused, in part, by endorphins, dopamine, enkephalins, and endocannabinoids. Their effect can motivate a person to exercise regularly, or, in extreme cases, produce negative behaviors. “Exercise addicts display all of the hallmarks of substance addicts: tolerance, craving, withdrawal, and the need to exercise ‘just to feel normal,’” Linden writes in The Compass of Pleasure.

Ironically, many people hesitate to work out because they underestimate how much they would enjoy themselves, a new study suggests. In the case of drugs, the “high” comes quickly, but, in the case of exercise, the “pain” comes first, the pleasure later, points out Matthew Ruby, who led the study at the University of British Columbia.

To compensate for this, Maia Szalavitz, a health writer at TIME.com, suggests that individuals find a routine they like; think about how good they’ll feel later (before exercising); and start with their favorite exercises. —|

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By Liane Cassavoy -mail is both a blessing and a curse, says Steven Schwartz, the CEO of Midtown Athletic Club, a nationwide chain of upscale fitness clubs. Sure, it provides an efficient method of communication, but it can also be an enormous time-waster.

Business professionals, on average, send 41 e-mail messages per day, but receive approximately 100, according to a recent survey on corporate e-mail conducted by The Radicati Group, a technology market research firm in Palo Alto, California. That means we’re taking in more information than we send out, and, very likely, far more information than we actually need.

To take control of your inbox, try these suggestions: • Dedicate e-mail time. Stephen Tharrett, principal at Club Industry Consulting, schedules time at three points during the day to work on e-mail and only e-mail, typically first thing in the morning, around lunchtime, and then again at the end of the day. That allows him to reply to messages in a timely manner, but frees him from the distraction of checking messages continually throughout the day.

Steven Schwartz

• Sort and organize. E-mail systems allow you to create folders for organizing messages, so it’s not full of outdated messages. Once you’ve replied to a message or dealt with its contents as necessary, you can move that message out of your inbox and file it into an appropriate folder.

• Or save and search. Folders have often been considered the holy grail of e-mail organization, but, let’s face it, they don’t work for everyone. Embrace the fact that your inbox is both your to-do list and your storage space, and find a search tool that works, such as CloudMagic.

• Create an alternative system. To simplify an unwieldy inbox, create folders that are organized by function, rather than subject matter. The idea is to create folders with names like Needs Reply, where you put all messages to which you must reply, and Awaiting Answer, where you place messages to which you are awaiting someone else’s reply.

• Block, unsubscribe, and filter. Ask yourself: do you really need all of those industry newsletters and e-mail offers? (Other than the ones from IHRSA, of course!) If you don’t, then staunch the flow of unnecessary messages to your inbox by unsubscribing from mass-mailings and blocking unwanted senders.

Remember to set up filters for the mass-mailings you do wish to receive.

• Create a new e-mail address. Keep your work address for professional correspondence only, and establish a personal e-mail address for friends and family. Try to follow the advice of Karen Jashinksy, owner of O2 Max Fitness: only distribute your e-mail address on a need-to-know basis. She has a dedicated e-mail account for newsletters and public distribution lists, as well as another address that she doesn’t publish anywhere, which minimizes the amount of unwanted e-mail she receives. —| – Liane Cassavoy, liane.cassavoy@gmail.com

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| News & Know How | Latin American News

Bodytech Introduces Formula, New Low-Cost Brand

B

odytech, one of Brazil´s major club chains, has introduced Formula, a new low-cost business model. Formula facilities range from 5,000 to 10,000 square feet with monthly fees of $56-$107, depending on location.

“We’re ideal for individuals who understand the importance of physical activity, but don’t have much time Fresh Formula for Bodytech to work out,” explains CEO Mario Esses.

The facilities will offer high-tech cardiovascular and strength-training equipment, stretching, indoor cycling, group-fitness classes, yoga, Pilates, and Latin-dance exercise. “All of these amenities will be complemented by a modern infrastructure, a friendly environment, and a strong emphasis on quality,” says Esses, “because our customers are looking for the best cost/benefit ratio available.”

Bodytech intends to disseminate the brand throughout Brazil in two ways— with corporately owned and franchised facilities. There are currently two franchised units, both located in the famous Copacabana district of Rio de Janeiro, and a corporate site that made its debut in November. The basic franchise fee is approximately $500,000, and it cost $1.4 million to launch the corporate site.

Esses hopes to have four new clubs in Rio de Janeiro, São Paulo, and Campinas

by April, and to have a total of 100 locations operating by 2015. —|

Always Club is On the Move

I

n November, the Always Club moved to a new, more promising site just a few blocks away from its original location. Now, the 23,700-square-foot facility is situated in the Palermo Shoo neighborhood of Buenos Aires.

It offers cardiovascular and strength-training machines, functional training, group cycling, Pilates, and vibration-plate equipment. Manufacturers represented include Star Trac and Octane Fitness.

Club members pay an average of $52 in monthly dues.

“We all know that a majority of the population doesn’t work out regularly.

Well, this club was developed specifically, entirely, to attract people to physical activity and, then, to retain them as members,” says Alejandro Valle, the club’s co-owner. “We intend to provide a service that’s quite different from that offered by other clubs in the city.”

Valle hopes that the new location will also boost membership, which, formerly, stood at 4,000. “Our goal now is to reach 5,000 members within the first 14 months,” he says. —|

Gold’s Gym Grows by Three Units > Ian Rondon, the master franchiser for Gold’s Gym International, Inc. (GGI), in the Caribbean and Central America, has announced that he intends to open three more facilities, at a cost of $3.5 million, in the Dominican Republic this year.

“In our country, the fitness industry has became an important part of the economic environment because of the sustained growth that it enjoyed last year and, also, the positive projections that we’ve seen for the coming year,” Rondon explains.

Gold’s Gym high-rise

A 44-year-old entrepreneur, Rondon founded his business in 1999, and has since invested more than $18 million to establish 10 clubs in the Dominican Republic. Last year alone, he opened five of those in Bani, Moca, San Cristobal, Santo Domingo, and San Pedro de Macoris. He’s also opened Gold’s Gyms in Puerto Rico, Ecuador, and Central America, and, in 2011, working with a local partner, Vladimir Melendez, he opened a 53,800-square-foot club in Curridabat, Costa Rica. —|

Editor’s note: All of the news items on this page were provided by Mercado Fitness, mercadofitness.com.

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Taking Group Exercise One Step Further

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| News & Know How | First Person CBI Spends 10 Minutes on the Line with

Teresa Coffey-Gordon

Q

How do you feel about addressing an IHRSA conference for the very first time? Would you share some of the highlights of your presentation? What is your take on the current state of the economy with regard to the fitness industry? How do you operate in the world of social media and viral marketing at MPSCM?

“

Teresa Coffey-Gordon was with Fidelity Investments and Ernst & Young before she joined Millennium Partners Sports Club Management (MPSCM) as its chief marketing officer.

She will speak on “Viral Marketing, Managing the Spin” at 2-3:30 p.m. on March 16 during IHRSA 2012.

I’m honored to be invited to join a group of such high-caliber speakers. I don’t want to give away my talk, but I will say that, in marketing, the most innovative work being done in the fitness industry today is in the field of social media. Consider the impact of sites like Facebook, Twitter, and YouTube in countries like China, or on the demonstrations on Wall Street. The fitness industry has been slow to awaken to the potential power—and peril—of social media. But clubs are increasingly communicating, educating, providing services, and motivating members through the Internet.

ignored can turn poisonous. Respond politely: gratitude for feedback goes a long way. Taking down a critical post can create an impression that you’re trying to hide something. Your critics want—and deserve—a response. Know, too, that you cannot maintain a part-time presence on the Web. Social media is unforgiving. Marketing today demands 24/7 engagement. You can’t wait until Monday morning to address an issue that flares up late Friday night. But there’s help out there in the ether. Enlist advocates and evangelists to talk up your great services.

I’m convinced that the economy is likely to remain flat for the foreseeable future, and we may even continue to see consolidation. What that suggests to me is that marketing is going to be more important than ever. Even in today’s climate, consumers will continue to spend money. What’s changed in the past five years is that everyone today is a value-seeking buyer. Consumers shop armed with reviews of products and services gleaned from Websites or newspapers. Only clubs that provide real, tangible value will survive.

So how do we market high-end clubs with 120,000 square feet of space offering everything from mind-body programming, to hair salons and spas in an economic downturn? Two words: value and expertise. Our marketing message is: Money isn’t everything; your health is. We’re not a one-trick pony at Sports Club/LA. We have sports, social events, and more than 110 ongoing classes.

No business today can ignore social media. If you’re not part of the conversation, you have no voice. I’ve worked on marketing campaigns that have gone viral, and it’s a heady experience. But when situations turn negative, you must be prepared to manage the spin. Once a review, incident, or photo goes viral, it takes on a life of its own. But you can manage social media to prevent a bad situation from getting worse.

.org To learn more about other IHRSA 2012 presenters, log on to ihrsa.org/meetings.

Marketing is no longer a company-to-customer one-way street. Today, you have to engage the outside world: whether customers, critics, gadflies, or competitors. A misunderstanding

What’s different today is that social media has broken down club walls to allow us to engage our members wherever they are. For example, last year, we ran a 12-week program of fitness instruction called “Summer of Health” that provided mind/body tips from a panel of experts every Tuesday. Streaming live on Facebook, our experts took questions on topics like weight loss, strength conditioning, and healthy skin. We’ve also launched strategic partnerships with organizations such as Aspen Snowmass, to offer members a ski conditioning class. Next year, we will do something similar with FILA. We’re even partnering with a record label on a program I developed called Vinyasa Vibes, which melds the music of innovative artists, like jazz legend Dave Koz, with specially designed mind-body classes. —|

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www.SmartFitness.com

| News & Know How | On The Move Franchising

100 and Counting: Anytime Fitness Expands Internationally Anytime Fitness, the Hastings, Minnesota– based fitness franchise, has achieved another milestone, this time in Australia.

The company recently opened its 100th club there, in Thornton, New South Wales; the owner, Steve Rollings, now operates a total of eight Anytime Fitness facilities in Australia.

The company’s rapid expansion “Down Under,” where 50 units have opened in the past year, has been driven by the brother-and-sister team of Justin McDonell and Jacinta McDonnell-

Jimenez, Anytime Fitness’ master franchisee in the area for the past three years. McDonnell says his goal is to have 350 locations open within the next two years.

“This is an incredible accomplishment,” observes John Kersh, the vice president of international development for Anytime Fitness. “It demonstrates the talent and dedication of our Australian partners and their commitment to maintaining Anytime Fitness as the world’s fastest-growing fitness franchise.”

Jacinta Jimenez, Justin McDonnell

During the past year, the company has also opened clubs in Mexico, the U.K., the Netherlands, Poland, Qatar, New Zealand, and Japan. It reports that it now has more than 1,600 locations, with 1.3 million members, in 10 countries. —|

Club Openings

Aloha: UFC Gym Goes Offshore UFC Gym, the unique club brand created by the Ultimate Fighting Championship (UFC) sports enterprise and New Evolution Ventures (NeV), a private-equity firm based in Lafayette, California, has opened its first facility in Hawaii. The club, developed with BJ Penn, a native of Hawaii and twodivision UFC champion, is the company’s first signature gym, operating as UFC Gym BJ PENN. The new 37,000-square-foot site, located in the Kaka’ako community of Honolulu, will, like its predecessors, adopt a “Train Different” approach. Among the many options and amenities offered will be a bag room, grappling room, cardiovascular and strength-training equipment, and group fitness classes “with an edge.” Also included will be a youth fitness area, as well as a café featuring Penn-approved snacks and protein shakes. UFC Gym currently has four facilities in California. —|

UFC Gym, Honolulu

XSport Fitness Expands, Introduces New Pricing

Five more for XSport

XSport Fitness, the Big Rock, Illinois–based chain, has announced that it will open five additional clubs by June, a 20% increase that will take it to a total of 32 facilities. Three of the new sites will be full-service operations, and will be located in Fairfax, Virginia; Massapequa, New York; and Skokie, Illinois. The two other clubs will be XSport Fitness Express facilities, and will be situated in Chicago and Crestwood, Illinois.

The company also reported that, at all of its Express locations, it intends to introduce a new budget-friendly price point. A basic membership will provide unlimited access to the facility and its equipment for just $9.95 per month. —|

ACAC Breaks Ground for $16-Million Facility

ACAC breaks ground in Richmond

Shovels were at the ready and Virginia Governor Robert McDonnell was on hand recently when ACAC Fitness & Wellness Center broke ground for its newest facility, in the West Broad Village area of Richmond, Virginia. The club will be the second for ACAC in Richmond, and bring its grand total to seven facilities. The company’s other units are located in Charlottesville, Virginia, and West Chester, Pennsylvania.

The new club, which is scheduled to open its doors during the winter of 2012–2013, will be a three-story, 57,000-square-foot facility offering a wealth of amenities, including singles and doubles squash courts, an indoor aquatics center with warm water pools, three mind/body fitness studios, and a rooftop deck replete with platform tennis and a heated pool. It is expected to cost $16 million. —| ihrsa.org

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| News & Know How | On The Move Public Service

24 Hour Fitness Welcomes Military Personnel

Front-line fans of 24 Hour Fitness

For the fifth consecutive year, 24 Hour Fitness USA, Inc., the San Ramon, California– based chain with nearly 420 locations, opened the doors of its clubs to all active-duty, reserve, and retired military personnel in recognition of Veterans Day. During the week of November 7, members of the military, along with their dependents, were offered complimentary access to the facilities’ state-of-the-art equipment and selection of group-fitness classes. Carl Liebert, the CEO of the company, described the annual week-long program as a “gesture of appreciation,” and noted that he and his fellow 24 Hour colleagues are “proud of the commitment and sacrifice our armed forces make each and every day.” —|

Renovations

Special Events

Lakeshore Members Migrate to The Oasis

Weymouth Club Hosts ‘Doggie Paddle Day’

Lakeshore Sports and Fitness, the venerable Chicago club, has recently undergone renovations that have, among other things, transformed its rooftop into The Oasis, a unique 20,000-square-foot attraction for members. This unparalleled amenity offers panoramic views of the city’s skyline, and features a restaurant, an outdoor fitness area, and spaces designated exclusively for children or adults.

The Weymouth Club, the 60,000square-foot, full-service health and wellness center situated on 11 acres in Weymouth, Massachusetts, recently let their facility “go to the dogs”—to celebrate the official end of the dog days of summer.

The club’s first annual Doggie Paddle Day event saw nearly 50 pups, Doggies paddle at Weymouth representing a variety of breeds, making a splash in the club’s outdoor splash pool, an aquatic area usually reserved for children. Their owners received treat bags filled with dog-centric goodies, such as tennis balls.

And attendees, both human and canine, were entertained with doggiethemed music, including live renditions of “Who Let the Dogs Out?” and “How Much is That Doggie in the Window?”

Following the festivities, the pool was cleaned, drained, and closed for the season.

Richard Synnott, the club’s former executive director, admits he was gratified by the high turnout and positive feedback. “It was tremendously successful,” he observes. —|

An Oasis for Chicago

In keeping with its identity as an Oasis, it boasts 10,000 square feet of artificial turf that resembles natural rye grass, but, unlike the latter, never requires watering.

Committed to being as green as possible, Lakeshore used environmentally friendly construction materials in creating The Oasis, and, in the restaurant, utilizes plates and utensils made from recycled content.

“We’re very proud of what we offer our members,” says Peter Goldman, the owner of the club.

“In addition to competing, working out, and getting fit, our members like to socialize and have a good time. The Oasis provides a breathtaking and inviting area to engage in all the club has to offer.”

Lakeshore, a 130,000-square-foot, seven-level, full-service facility also offers its members an indoor pool, running track, climbing wall, and five squash courts. —|

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Live Music Moves Members and Prospects at Midtown Athletic Recently, the Midtown Athletic Club in Chicago staged a week-long celebration, Group Fitness Live, that was designed to show off its recent renovation and, also, introduce nonmembers to its many attractions. As the name suggests, the event featured live music during group fitness classes for cycling, yoga, Pilates, body sculpt, Zumba, and Yoga Booty Ballet.

Local performers who participated included disc jockey Stefan Ponce, musicians Amy Beth and The Bliss Tribe, and percussionist John Yost and his drum-circle group, Rhythm Revolution. —|

ihrsa.org

Orchestrated exercise

‘Change agent’ William Taylor

| CBI Interview |

William Taylor The cofounder of Fast Company describes the transformative powers of being Practically Radical at IHRSA’s 31st Annual International Convention

Highlights

By Jon Feld

» Fast Company vision

CBI: If you had to put your career in a nutshell, how would you describe it?

» Using ‘change agents’

William Taylor: I’ve spent the past 25 years thinking, writing, and speaking about the power of business at its best—producing a set of ideas and insights, a collection of case studies, and an assortment of techniques that, I hope, can help business leaders at every level, and from all sorts of industries, to think bigger and aim higher. My job, whether it was as a young editor at the Harvard Business Review, as the cofounder and founding editor of Fast Company, or in my books and lectures, has always been to persuade people that the only way to win big is to change the game—and that your values as a person and as an organization are key to how you create financial value.

» ‘Culture is Brand!’

CBI: What led you to create Fast Company?

WT: Fast Company certainly triumphs over any other entrepreneurial experience I’ve ever had. My cofounder, Alan Webber, and I were editors at the Review, and we sensed that massive changes were reshaping the world of business—not just technology, or design, or the business models that were emerging in Asia, although those were all powerful. It was a feeling—one we sensed among so many of the people we met—that they were looking for more from their work than their parents had. They wanted to be part of organizations they believed in, to work with people they cared about, and to build companies that reflected the best of who they were. We said at the outset: “We’re not just starting a business; we’re launching a movement.” We wanted to change the conversation about what people got out of their work and their lives. And that’s just what we did! The magazine has been great—we just celebrated our 15th anniversary— and it’s proven a great business, too.

Elie Honein

CBI: Fast Company is known for having created the concept of “change agents.” Can you explain the term and describe how change agents can help shape a company’s future?

WT: Right after the first issue came out, we organized a conference around the theme, “How Do You Overthrow a Successful Company?” The participants weren’t Internet hotshots who were eager to take on the Establishment, although, admittedly, that was our target audience. Rather, they were leaders and “change agents” from companies that had been around for decades, businesses that were doing just fine. But these people sensed that massive shifts loomed on the horizon, and wondered whether there was an urgent enough commitment among their colleagues to embrace those changes and create the next wave of opportunities.

That was 1996, and here we are, 15 years later, and that’s still what’s on everybody’s minds. That’s because the work of making meaningful, deep-seated change—sustaining results and unleashing innovation over the long term—is the hardest work there is.

It’s hard in troubled organizations and even harder in successful organizations. But that’s what it takes to be a leader and a change agent. > ihrsa.org

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» Industry dilemmas

In the mid-1990s, William C. Taylor, an editor at the prestigious Harvard Business Review, and fellow editor Alan Webber raised $550,000 from a group of investors and created a prototype for a new type of business magazine.

In November 1995, in partnership with Mort Zuckerman, the owner of U.S.News and World Report, they launched Fast Company. A critical and commercial success, the publication was sold less than six years later for $340 million.

A prolific author, Taylor has written five best-selling books, including his newest, Practically Radical: Not-SoCrazy Ways to Transform Your Company, Shake Up Your Industry, and Challenge Yourself. He is also an international speaker, editorial contributor, and adjunct professor at Babson College, America’s top-rated school for entrepreneurship. A graduate of Princeton University and the MIT Sloan School of Management, he lives in Wellesley, Massachusetts, with his wife and two daughters. —| |

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| CBI Interview | CBI: It doesn’t sound as though we’re talking about modest aspirations or little goals here.

WT: No, not at all. You can’t do big things anymore if you’re content with doing things a little bit better than everyone else or a little bit different from the way you’ve done them in the past. In an era of hyper-competition and nonstop reinvention, the only way to stand out from the crowd is to be known for something special. Originality has become the acid test of strategy.

CBI: In “Brand Is Culture, Culture Is Brand,” an article you wrote, you make a strong connection between culture and marketing.

How does that connection—the

It’s about pure economic value. It’s about emotion, passion, identity, and sharing your values with others.

Obviously, we all have to work to make our products and services more affordable, functional, and reliable. Ultimately, though, the real separation in business, the true differentiator, is making our people and organizations more memorable.

CBI: How can you help front-line and other employees develop a “sense of empathy” so they can connect with people more effectively?

WT: People at every level in an organization have to be clear about two things: First, what ideas, what convictions, does the company, as a whole, stand for? So

“The lesson is as simple as it is urgent.

It’s not good enough to be ‘pretty good’ at everything anymore. You have to be the most of something—the most focused, the most responsive, the most colorful, the most elegant: the most something!”

and compelling in the workplace.

Your strategy is your culture; your culture is your strategy.

CBI: “Great People Are Overrated,” a piece that you wrote for the Review, poses an interesting question: “If you’re building a company, would you prefer one standout person over 100 prettygood people?” What does that have to do with culture?

WT: When I visit companies for the first time, when I meet with the CEO, I always ask, “Why would great people want to be part of what you’re doing?”

In other words: How does the way you compete, the culture you’ve created, and the purpose you serve—how do they lead to your getting more than your fair share of the best people in your field? I also ask, “How do you know a great person when you see one?” The best companies care less about what you know at a particular point in time— your technical credentials—than about what makes you tick as a person and whether your individual values dovetail with their business values. They hire for attitude and train for skill. That’s culture.

CBI: Who are the business visionaries you most admire?

focus on colleagues and customers—help businesses stand out, especially in a people business such as the club industry?

WT: Even the most creative and disruptive leaders recognize that success isn’t just about thinking differently than other companies. It’s also about caring more than other companies—caring about customers, colleagues, and how the organization conducts itself in a world that tempts it with endless opportunities to cut corners and compromise on values.

Customers sense that connection immediately, which makes the depth of your talent and the cohesion of your culture that much more important.

Success, today, is about so much more than price, performance, and quality.

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many of the corporate executives I meet tend to focus on the age-old question: “What keeps you up at night? What problems nag at you the most?” But a more important and more powerful question—especially for individuals on the front lines—is: “What gets you up in the morning?” What makes you and your colleagues more committed than ever, more engaged than ever, more excited than ever, even as the business environment gets tougher and tougher?

The second question is: What kind of commitment are you making to one another with respect to how much you care, how much you’ll help, and what it means to be part of something special and do work that really matters? You can’t be special, distinctive, and compelling in the marketplace unless you create something special, distinctive,

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WT: I’d name three business “doers.”

Steve Jobs’ definition of success called for nothing less than achieving greatness. He never settled—never believed that good enough was good enough. His legacy inspires all of us try harder. Herb Kelleher, the founder of Southwest Airlines, built a unique and uniquely prosperous company in the least attractive industry ever created. He took the ultimate commodity—an airline seat— and turned it into an experience that’s affordable, fun, and surprising. He’s a great leader and a real hoot. And Kathy Cloninger, who just retired after 10 years as the CEO of the Girl Scouts of the USA. Surprised? Well, Kathy took one of the most ubiquitous, but plain-vanilla brands and made it into something that was energetic, dynamic, and relevant again.

She transformed an organization that

| CBI Interview | seemed marginal to the culture and made it hip. That’s hard! It’s also the sort of work that all kinds of companies and organizations should be doing.

CBI: With the exception of franchises, club companies seem to reach a certain size, around 500 facilities, and then lose their way, go bankrupt, and/or get sold off.

Any idea why that might be?

WT: It’s one of the defining challenges of growth: The bigger and more successful you become, the harder it is to maintain the commitment, the sense of passion, and the culture that helped make you big and successful in the first place. Success has a way of sowing the seeds of its own undoing. People get less hungry. Little problems go unattended because they don’t seem as serious a threat as they did when the company was smaller. Management admits new people into the workforce who don’t have the same sense of urgency and commitment that the original employees had. Coming to grips with size is a very common problem.

CBI: Another phenomenon that’s common to many other industries is now emerging in ours—a proliferation of budget providers, growing pressure on mid-market operators, and strong performance on the part of high-end brands.

What’s your take on that?

WT: The lesson is as simple as it is urgent. It’s not good enough to be “pretty good” at everything anymore.

You have to be the most of something— the most focused, the most responsive, the most colorful, the most elegant: the most something! For decades, companies and their managers were satisfied with strategies and practices that kept them in the middle of the road—that’s where the customers were, and that’s what felt comfortable, safe, and secure.

In the new world of business—with so much change and pressure, and so many new ways to do everything—the middle of the road has become the highway to nowhere. As Jim Hightower, the colorful Texas populist and radio

See Him in Person!

commentator, is fond of saying, “There’s nothing in the middle of the road but yellow stripes and dead armadillos.”

To which we might add … companies and their leaders who are struggling to stand out from the crowd, while insisting on playing by the same old rules in an increasingly crowded marketplace.

Don’t get stuck in the middle of the road! —|

William Taylor will speak on the topic of “Practically Radical: Transforming Your Company and Challenging Yourself” at 5:30-6:30 p.m., on Wednesday, March 14, during IHRSA’s 31st Annual International Convention and Trade Show in Los Angeles. His presentation is generously sponsored by Matrix Fitness. —|

– Jon Feld, jfeld@inc.com

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>

JOIN A SUPERSTAR CAST! Exhibit at the IHRSA 2012 Trade Show

Here’s your chance to grab a starring role at the 2012 IHRSA International Convention & Trade Show in sunny Los Angeles on March 14-17.

This is a rare opportunity to market your brand and services in one of the world’s top international destinations. Demand is intense and space is limited, so make your reservations now!

Numerous companies have already seized their chance to be cast in this industry blockbuster.

This will be the best Hollywood party the fitness world has ever thrown, and you don’t want to be fashionably late to this one. Here is a list of those who already have their names on the marquee.

JOIN THEM! Space will go fast so contact Tom Hunt, teh@ihrsa.org or call +1 617-951-0055 ext. 152.

Download the Exhibitor Prospectus at ihrsa.org/exhibitors.

®

International Health, Racquet & Sportsclub Association

>

Here is an Exhibitor list of those who already have their names on the marquee.* 2XL Corporation 3D Art – Dynaforce International Pte Ltd A-1 Textiles Ab Coaster ABC Financial Active Rewards – Part of The Active Network Aeromat Fitness Products /EcoWise Fitness Products AFAA Affiliated Acceptance Corporation Airex AG Am-Finn Sauna Company American Council On Exercise (ACE) American Specialty Health Apex Fitness ASF International Aspen Information Systems Association Insurance Group Astone Fitness Ltd Athletic Business Athletix Products by Contec AV Now Fitness Sound Avanti Fitness AVID Fitness Headphones Balanced Body Big Ass Fans Biospace, Inc. Black Iron Strength Body-Solid BOSU® Bottega Sol Broadcastvision Entertainment Brother Industries Ltd. C+P Mobelsysteme Gmbh & Co. KG California University of PA CEMCO Strength Equipment, Inc Centaur Floor Systems Clif Bar & Co. Club Industry Club Insider Club Resource Group ClubCom – Zoom Media Codelocks, Inc. Concept2 CTS Inc Creative Agency Group Creative Health Products CrossCore, Inc. CSI Software CSM Fitness Equipment CYBEX International, Inc. Digilock Dinoflex Group LP dotFIT Dynastream Innovations Endless Pools, Inc. ERC Wiping Products Inc. Everlast Sports Surfacing EZFacility, Inc. Fabiano Designs International Firestone Financial Fiserv Fitness Audio, LLC Fitness EMS, LLC Fitness Equipment Depot Fitness Flooring Fitness Insurance Fitness Pak, a division of InterWest Insurance Fitness Solutions Group Fitness Wholesale FitRewards, LLC Fitter International , Inc. Flynn Construction

FORE Supply Co. FreeMotion Fitness Garmin International Getmembers.com Global Fitness GOJO Industries, Inc. Gold’s Gym International Gopher Performance GP Industries Inc. GRAA Innovations, LLC Harbinger Harbor Linen Company Healthways Helix Company HEX Tanning HOIST Fitness Systems, Inc. Hollman, Inc. Hydromassage Hydrorider Hyper Wear Ideal Products iGo Figure Software Inflight Fitness Intek Strength Intelametrix, Inc. Iron Grip Barbell Company JET SPORT INDUSTRIAL CO, LTD. JK North America Jumprope.com K & K Insurance, Inc. Keiser Corporation Kimatek KORR Medical Technologies Landice Treadmills Les Mills International Life Fitness Lincoln Equipment LMS America M-Core FTS M-F Athletic Company – Perform Better Mad Dogg Athletics Matrix Fitness McArthur Towel & Sports Med-Fit Systems, Inc. Members Today Merrithew Health & Fitness Milnor Laundry Systems MINDBODY, Inc. Mondo MotionSoft MYE Entertainment Inc MYZONE National Academy of Sports Medicine (NASM) NETA Netsertive New Leaf North West Rubber NSCA Octane Fitness Ohlson Lavoie Collaborative Ojmar S.A. Paramount Acceptance Paramount Fitness Corporation Pavigym Performance Food Centers PFP Media Polar Electro Power Plate North America Power Systems, Inc. Precor Incorporated ProMaxima Strength and ProTeam

PTStudio Parisi Speed School RB Rubber Products, Inc. Ready Care Industries Real Body World Wide Pty, Ltd RealRyder International LLC Relay Fitness Group REP-MAXX Retention Management Rexall Sundown reZeneration, Inc. Rhymebus Corporation Rice Lake Weighing Systems Royal Blue Textiles S.A.N. Corporation Salsbury Industries SAN Nutrition Corporation Scosche Industries, Inc. Shape.net Software Signature Sports Flooring Smart Fitness SofSurfaces, Inc. Spirit Fitness Sports & Fitness Insurance Corporation SportsArt Fitness SPRI Sproing Fitness Stairmaster, Inc. Star Trac Steamist Sundesa LLC Sunny Health & Fitness TAG Fitness Takeya USA Tanita Corporation Technogym® Tennis Industry Association TGS Group ThermaSol TheStick.com TMI Salt Pure Corp Tongfang Health Technology Co. ,Ltd Torque Fitness Total Gym Towel Tracker LLC Trigger Point Technologies LLC Troy Barbell TRUE Fitness TRX Tuff Stuff Fitness Equipment, Inc. Tune Belt, Inc. Tung Keng Enterprise Co., Ltd Twin Oaks Software The Relaxation Station U.S. Rubber Recycling, Inc. UltraSun USA, Inc. Umax Strength UniMac United Leasing, Inc. Vectra Fitness VersaClimber (Heart Rate Inc.) Vicore Fitness Visual Fitness Planner Vitabot Volo Innovations WaterRower Wello Woodway USA Worldwide Sport Nutrition / MET-Rx YogaFit ZICO Coconut Water Zumba Fitness LLC

*Exhibitor contract and deposit received as of November 29, 2011

Seaport Center, 70 Fargo Street, Boston MA 02210 USA

Economy Notwithstanding I

t’s an understatement to say that the economic outlook has been bleak in recent years … and that the turnaround has been slow in coming. However, surprisingly, the U.S. health club industry has experienced record growth for the first time in years.

In October, the Consumer Confidence Index fell to its lowest level since March 2009. The Index, produced by the Conference Board, a private research firm, is a respected gauge of consumers’ sentiment toward business conditions and the job market and their prospects for the next six months.

IHRSA figures show that, between 2009 and 2010, the number of club members increased by 10.8%, from 45.3 million to 50.2 million. During the same period, the total number of “health club consumers”—that is, both members and nonmember users and visitors—reached 58 million in 2010, up 10.4% from 52.6 million in 2009.

The obvious question is: How can IHRSA member clubs keep this positive momentum going?

The answer emerges from sound industry research, which reveals promising opportunities both in the short-term and in years to come. A demonstration was provided last March during IHRSA’s 30th Annual International Convention and Trade Show in San Francisco.

Melissa Rodriguez, IHRSA’s research manager, participated in a compelling presentation, “Life Beyond 120 Million Members,” that identified research-based opportunities.

Here Rodriguez, leading club operators, and other industry experts mine the latest findings to identify the best ways to continue growing the industry—the economy notwithstanding. >

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By Patricia Amend

Research documents industry’s resilience and strength, identifies opportunities for future growth ihrsa.org

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Economy Notwithstanding Matthew Bucknall

Roberta Kruse-Fordham

Increasing retention

Kathie Davis

1.2 million members in five territories worldwide, generData from a new publication—The IHRSA Health Club ating $1 billion in annual revenues, agrees, but analyzes Consumer Report: 2011 Health Club Activity, Usage, “churn” further.

Trends and Analysis—shows that the growth experienced “You can have both positive and negative churn, and it’s in 2010 was fueled mostly by new memberships, Rodriguez imperative to have the controls in place to reduce negative points out. The report is based on a study conducted in churn,” he says. “If a member has a short-term fitness cooperation with Sports Marketing Surveys (SMS) and the goal, signs a month-to-month contract, has a very positive Physical Activity Council (PAC), a consortium of six activity- experience, achieves that goal, and leaves as an advocate related associations, including IHRSA. of your club, is that a negative churn statistic? Compare “The challenge,” says Rodriguez, “is to encourage new that to someone who’s tied to a 12-month contract with no members to attend their clubs more frequently now and exit, has a bad member experience, and is a detractor to for years to come.” the business. The former, compared to the latter, will give According to the report, if more members increased you a great churn statistic. You have to ask, What’s really their usage, becoming so-called “core” members—i.e., best for your club?” ones visiting their clubs at least 100 times a year—clubs Customer service is the key to reducing negative could improve retention. “That is, they’d reduce their churn, Bucknall emphasizes. “We call over 400,000 of our ‘churn’ percentage, or the number of members who leave versus New Health Club Members and Lost Members those who join,” she explains. “If you look at the total number of 2009 – 2010 health club participants, on average, 22% leave in any given year.

Cutting that churn rate to 12% would mean an additional one million members for the industry.

“While members leave for a variety of reasons,” she continues, “clubs can focus on their ‘controllable churn’ by, for instance, providing excellent service and offering programs that target their respective members.”

Matthew Bucknall, the group CEO of the U.K.-based Virgin Active chain, which has 250 facilities and

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“Core” Health Club Members Total Core (100+) HC Members (000s) Total

Total

21,998

100.0%

Gender

Male

11,447

51.8%

Female

10,551

48.2%

6–12

376

1.7%

13–17

994

4.5%

18–24

2,387

10.8%

25–34

4,663

21.1%

35–44

4,574

20.7%

45–54

3,757

17.0%

55–64

2,409

10.9%

65+

2,917

13.2%

Under $25,000

1,900

8.6%

$25,000–$49,999

4,000

18.1%

$50,000–$74,999

3,823

17.3%

$75,000–$99,999

3,447

15.6%

$100,000+

8,928

40.4%

New England

1,061

4.8%

Middle Atlantic

3,646

16.5%

East North Central

3,359

15.2%

West North Central

1,392

6.3%

South Atlantic

4,154

18.8%

East South Central

773

3.5%

West South Central

2,188

9.9%

Mountain

1,282

5.8%

Pacific

4,221

19.1%

Age

Household Income

Region

members every year—four to six members, per club, every day, 24 hours after they’ve worked out—to get their personal feedback, so we can respond effectively.”

Mining former member data Intensifying efforts to win back members who have left may also produce valuable rewards. In 2010, more than 30% of former members said they’d rejoin if asked to do so, compared with 10% in 2009. While the reason for the dramatic difference is not known, it’s clear that clubs should search their databases for individuals who’ve remained at the same address and go after those people, specifically.

Roberta Kruse-Fordham, the general manager of Sports, Fitness and Fun in Florida, New York, asked two

interns to do just that for her.

Her small sales force was loath to take time away from selling to current prospects to sift through the records.

“It was a tedious job, but, over several weeks last summer, the interns went through all of the company’s cancellations between 2007 and 2010 —perhaps 1,000 files. In July, they sent out beautiful 6" x 9" color postcards to alumni prospects, with ‘Alumni Offer—Don’t Miss Out!’ Our sales team then followed up by phone. In September, we sent out a second postcard and continued reaching out to our alumni through October.”

By the end of October, 36 people had rejoined in response to the postcard offer, generating approximately $20,000 in new revenues.

“Our October 2011 membership unit sales were up 27% over 2010,” Kruse-Fordham notes with enthusiasm, “and now that my database has been scrubbed, I know more about why people left and, more importantly, why they returned. I’m confident that more former members will rejoin as we continue to reach out to them.” (See “Alumni Make a Comeback!”, November CBI, pg. 28.)

Converting potential members To foster continued growth, clubs also need to find new niches that appeal to new customers. The potential is clearly there … if clubs can come up with the right formula. According to the Turning the Corner report, produced by PAC, more than 216.6 million (76.3%) of Americans were considered to be “active” in 2010, but just 58 million belonged to clubs. The report’s findings were based on a survey of 15,086 individuals and 23,656 households.

Respondents said that, in their pursuit of fitness, they walked, ran, and used treadmills and free weights.

However, they also reported that they had “aspirational” activities—ones that they’d like to try, but haven’t yet >

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Economy Notwithstanding experienced. Five of the 10 activities they identified are offered by clubs.

Club operators may also want to consider some of the barriers that keep members from joining their clubs. The new quarterly IHRSA Trend Report, conducted as part of The Leisure Trends Group LeisureTRAKR omnibus, keeps a finger on the pulse of consumer attitudes toward health clubs. Although cost was the No. 1 reason cited for not

“IBISWorld ... projects that the health club sector will grow by 2.6% each year between now and 2016. If clubs continue to seize on the opportunities that quality research reveals, then we’ll achieve this growth.”

joining a club, 20% of Americans indicated that they don’t have enough time to make use of one on a regular basis.

Having conveniently located facilities that offer fitness programs with express (20-30-minute) workouts might help attract this segment.

“Addressing the interest in aspirational activities and barriers to joining can help club operators turn reluctant consumers into club members, driving revenues and increasing profitability” says Rodriguez. “Clubs just have to come up with the right inducements.”

Promising profit centers What are club members clamoring for right now?

According to the IDEA Health and Fitness Association, based in San Diego, which has been conducting surveys on fitness trends for the past 16 years, personal training and group exercise remain extremely popular. Some 86% of facilities offer the former, and 84% offer the latter.

“The greatest growth, over the years, has been in twoperson partner and small-group training, including boot camp,” reports Kathie Davis, IDEA’s executive director.

“In terms of group exercise, dance and branded choreography classes have grown the most, while step, boxing/ kickboxing, and martial-arts-based aerobics have declined the most. What’s surprised me is the growth of Pilates. In 2011, 88% of our respondents were offering it, a 25% jump since 2002.” Youth sports programs for the so-called Gen Y and Millennial generations—that is, individuals born between 1981 and 1998—also offer promise. Clubs can reach them effectively via their parents, members of the Gen X generation, who are now between the ages of 31 and 46. (See “Employ Social Media to Engage Kids,” September CBI, pg. 25.)

Data from the 2011 edition of U.S. Trends in Team Sports Report, produced by the SGMA, indicates that younger teens are gravitating toward organized sports programs, including baseball, basketball, soccer, tackle football, lacrosse, rugby, track and field, and ultimate Frisbee.

While some kids and their parents may look to local recreational programs for these sports, the increasing pressure on school and municipal budgets may present an opportunity for clubs to step in to provide them. Clubs can also provide the sports conditioning required for safe participation. The possibilities are borne out by the proliferation and success of brands such as Athletic Revolution, Velocity Sports Performance, and Parisi Speed Schools, which focus on athletic performance.

If clubs do more to engage and satisfy this young cohort and the population as a whole, club memberships will continue to increase despite a challenging economic climate.

Rodriguez sums up: “IBISWorld, the largest provider of industry information in the U.S., projects that the health club sector will grow by 2.6% each year between now and 2016. If clubs continue to seize on the opportunities that quality research reveals, then we’ll achieve this growth, regardless of how well or poorly the economy performs.” —| – Patricia Amend, PAmend@aol.com

Quality Research: For Free!

The Health Club Consumer Report is just one of many reports that IHRSA publishes each year.

Other industry favorites include Profiles of Success, IHRSA’s Global Report, and the Employee Compensation and Benefits Report, all of which are available for purchase at ihrsa.org/store.

You can also get select research reports for free—simply by participating in IHRSA surveys at IHRSA’s Research Portal, ihrsa.org/research. Launched in 2010, the Research Portal links club operators to vital benchmarking data in management/operations, human resources, and financial and strategic planning.

If you decide to participate, simply fill out a survey for any one of these reports—which generally will require 30–60 minutes of your time. Once you do so, you’ll receive the report with results.

Of course, your alternative is to purchase a given publication, which range in cost from $99.99 to $299, depending on the report. —|

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ihrsa.org

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The new Allegro® 2 Reformer from Balanced Body is so intuitive and easy to use, it’s like the perfect Pilates partner. You’ll be asking yourself “Where have you been all my life?”

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12 On

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The year past, the year ahead, the economy, new challenges, emerging opportunities—industry leaders reflect on these and other issues What’s the outlook for 2012? A slow turnaround? Another recession?

An economic rebound?

Our guess is as good as yours, respond the 12 industry leaders that CBI surveyed this year. Or, as Richard Bilton, the president of Companhia Athletica in São Paulo, Brazil, put it: “That’s the trillion-dollar question.”

On some level, though, the answer may not matter as much as some people might think—if the impressive results our sources report are a reliable guide to the industry’s performance as a whole.

Economic and other business challenges, notwithstanding, these proactive, highly successful club operators and industry suppliers continue to reorganize their teams to improve customer service; create innovative products, programming, and services to motivate members and help them achieve their goals; leverage technology and social networking to energize the public; and generously share their ideas and insights with others in the industry.

At any time and in any business environment, those are best practices.

Trina Gray, owner, Bay Athletic Club, Alpena, Michigan The Bay Athletic Club is a 12,000-square-foot, privately owned, full-service, medicallybased facility in northeast Michigan. Revenues for 2010 were $650,000. Estimated revenues for 2011 are $1 million; projected revenues for 2012 are $1.3 million.

“Last year, I was named the ‘Change Agent of the Year’ by our chamber of commerce and a ‘Top Three Rising Star in the Fitness Industry’ by FitnessBusinessInterviews. com. That tells me that my team is making a significant mark in our community and in our industry. We help people transition from rehab into lifelong fitness, offer topnotch corporate wellness, and celebrate fitness year-round.

“This year, I plan to inspire others by sharing our story of having overcome the odds in a financially downtrodden region. I’m also developing more partnerships and alliances to make our Corporate Challenge program a ‘household name,’ not just here, where 80 businesses, schools, and organizations have participated, but worldwide.

“Unfortunately, many industry leaders make use of ‘shock-factor’ advertising to scare clients into training, or hammer away about fat loss or the coming bikini season—that should scare us. With the healthcare crisis looming, we should be inspiring others to move more and eat better.

“As for the economy, I don’t have any predictions. I just know that we can’t afford obesity.

“Once our industry begins to care more about people than pounds, and more about connecting than cash flow, the money and the success will follow. We operate in one of the poorest counties in one of the unhealthiest states in the nation, and, yet, we’re booming because we aren’t just building better bodies—we’re changing lives.” >

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12 On 2012 Kent Stevens, executive vice president, Matrix Fitness, Cottage Grove, Wisconsin

Jasmin Kirstein, owner, My Sportlady Fitness GmbH, Munich, Germany; a member of the IHRSA board of directors Sportlady Fitness is a 20,000-square-foot club for women that emphasizes holistic health and fitness. Revenues for 2011 increased 5% over 2010; revenues are projected to increase another 10% in 2012.

“Last year, I restructured my team because two key managers were pregnant. In Germany, employees receive family leave time of up to 14 months at 69% of their salary, and have the right to return to work within three years. During this period of adjustment, my staff showed its commitment to My Sportlady’s values and ideals.

“Still, I wasn’t able to increase revenue as planned. This year, my goal is to increase memberships by 10%, while strictly maintaining quality. While we’re developing more in-dept campaigns to increase sales, this may prove a challenge because German businesses may not grow significantly because of the problems in Europe.

“I’d like to see the economy expand, and I’d like to see banks provide more capital for small and medium-sized businesses.

“German clubs performed well in 2011 by becoming more innovative and specialized. This year, our industry will grow and increase its impact on society. The benefits of fitness can become part of everyone’s life if we think beyond calories and exercise, and implement holistic solutions, such as yoga, meditation, and healthy-cooking classes. We have to consider the ‘whole person’ and serve both the body and the mind.”

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As the premium commercial brand of Johnson Health Tech, a global fitness equipment manufacturing and multibrand marketing company, Matrix offers a complete line of cardiovascular and strength-training equipment. Matrix’s 2010 revenues were $120 million. Estimated revenues for 2011 are $210 million; projected revenues for 2012 are $300 million.

“In 2011, our dedicated focus on innovation, quality products, and delivering an exceptional customer experience produced significant growth for us. However, because of our commitment to robust product development and field-testing, we didn’t launch a couple of exciting new products, as we’d planned.

“I was a bit surprised that the fitness industry grew last year— especially the low-cost/express sector—despite the sluggish economy.

“This year, Matrix will invest even more in people and systems to support our growth and serve our customers better. We’ll continue to focus on meaningful innovation in strength and cardiovascular products and console technology. We’ll also collaborate with our customers to identify market problems and develop appropriate solutions.

“Looking ahead, I’d like to see more favorable macroeconomic conditions and greater consumer confidence. Fortunately, even in this economy, people continue to value health and wellness, and, as healthcare costs constrain the global economy, prevention will become even more important.

“Matrix foresees further growth in the areas of active aging, functional training, personal/small-group training, and digital workout tracking.

We’ll continue to focus our efforts on developing products that motivate people, increase retention, and, in the process, improve the health and well-being of society.”

Alberto Perlman, CEO, Zumba Fitness, LLC, Hallandale, Florida Zumba, the largest branded-fitness program in the world, is now offered in 125 countries, and some 12 million people take classes every week. Revenues for 2011 rose 80% over 2010.

“In 2011, we officially hit 2.3 million Facebook fans, making Zumba the only fitness brand with such high levels of online engagement.

Zumba is a movement, largely because we’re bridging the gap between music and fitness, which is great news for clubs. Outstanding artists like Pitbull and Wyclef Jean have created music for us, attracting millions to our community.

“The Zumba Fitness video game has become No. 1 in the U.S. and Europe.

“Among our important new initiatives is Zumbatomic for kids. We can help fight childhood obesity by getting more schools to incorporate it into their curriculum, and more clubs to add it to their class schedules.

Recently, we partnered with Nickelodeon for its World Wide Day of ihrsa.org

Richard Bilton, president, Companhia Athletica, São Paulo, Brazil; a member of the IHRSA board of directors Companhia Athletica is a 16-unit chain of multipurpose facilities located throughout Brazil. Revenues in 2010 were $48.8 million. Estimated revenues for 2011 are $52.9 million, and projected revenues for 2012 are $58.8 million.

Todd Durkin, owner, Fitness Quest 10, and Todd Durkin Enterprises, San Diego, California; 2005 ACE and 2004 IDEA Personal Trainer of the Year

“In 2011, we grew without encountering any unexpected problems and opened our 16th club. The Brazilian economy and fitness industry remained strong, especially when compared with others in the world. However, we still have a lot of work to do to develop our country, especially in the areas of infrastructure and investments. The U.S. and Europe may be facing some difficult years, although the U.S. seems to be in a somewhat better position. I’d like to see unemployment rates fall worldwide, since this is the most insidious part of the global financial crisis.

“This year, we plan to open a facility in northeastern Brazil, the only area where we currently don’t have a club. Overall, I don’t know how the year will play out—that’s the trillion-dollar question!

“Looking ahead five years, it’s clear that we do face some challenges. The tax situation in Brazil is the most critical problem—it’s extremely expensive and requires a lot of work. We also need to work with the government to reduce the taxes in our sector. In addition, the relationship between the fitness and medical and insurance industries has to improve a lot—that’s very important to our nation’s health.”

Fitness Quest 10 is an 8,000-square-foot facility offering personal training, sports performance, Pilates, massage therapy, and chiropractic/physical therapy to adults, young people, and professional and elite athletes. Clients schedule approximately 600 private and small-group sessions per week. Projected revenue increase for 2011–2012: 8%–10%.

Play initiative, and we’ve also launched Zumbatomic classes in conjunction with the First Lady’s Let’s Move! campaign.

“One of our goals this year is to convince more corporations to send their employees to Zumba classes at clubs. Human-resources managers have called us to report that, not only does it help employees stay fit, but that the ‘Zumba happy factor’ keeps them smiling all day.

“We’d like to see 15 million people taking Zumba classes every week.

“If I had my way, people would be as excited to go to a health club as they are to go to nightclubs.”

“Last year, we launched three levels of the Todd Durkin Mastermind coaching program, including one program for women only. Mastermind is designed to take passionate, hungry, success-driven fitness professionals to world-class levels in business and in life.

This advances my mission of inspiring greatness every day, and my vision of creating a worldwide impact.

“This year, I’m working on my second book, a collection of short bedtime stories designed to encourage children to fall asleep while feeling empowered. My first book, The IMPACT! Body Plan, published in 2010, outlines a 10-week body and life transformation program. We’re also investing in todddurkin.com, which offers more than 40 DVDs for consumers and fitness professionals. My team and I will be producing additional consumer products this year.

“In general, I think people are much more costconscious today than they were five years ago. That said, fitness practitioners can reinvent themselves, create a new niche, and market their services more effectively. Many club owners and managers, especially those with small studios, need to learn more about business. It’s essential that, in addition to knowing about exercise, yoga, Pilates, massage, etc., they also understand marketing, client acquisition and retention, customer service, systemization, and leadership.

“I’d also like to see more industry collaboration.

While competition keeps us laserfocused, many people require our help. Whatever your niche, work with others in your community; offer adjunctive therapies and services so you can refer clients to one another.” >

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12 On 2012 Nerio Alessandri, founder and president, Technogym, SpA, Cesena, Italy; Technogym USA Corp., Seattle, Washington Technogym is a world leader in products and services for psychophysical wellness and rehabilitation. The company has also championed a comprehensive lifestyle based on regular physical activity, balanced diet, and a positive mental attitude. Revenues for 2010 were $460 million. Estimated 2011 revenues are $545 million.

“Last year, we introduced Visioweb for all our cardiovascular products, which offers TV, Internet, and iPhone connections during workouts, and represents a revolution for clubs in terms of attracting new clients and retaining existing ones.

“We also launched our patented Kinesis Station Line, which combines the stability of a seated exercise station with the movement versatility of free cables. Now, users can train for flexibility, strength, and core balance at the same time in personal-training, group-training, or individual fitness-floor training sessions.

“After years of working to raise awareness about the social opportunity that wellness affords, I’m really proud that the most important organization in the world has come to our side.

During the Davos World Economic Forum, I was invited to sit on the board of the Wordwide Wellness Alliance, a workplace wellness initiative promoted by 36 world-class firms. The alliance has already helped organize a U.N. forum on noncommunicable diseases.

“This year, we’ll serve as the official supplier for the London Olympics, and will inaugurate Technogym Village, which will include our headquarters, research and manufacturing centers, and a venue open to anyone who’d like to learn about wellness.

“What’s our biggest goal? To help our customers make money.

While innovation in products, design, programs, and content has always been key to our growth, we’ve always been focused on this final result.

“As for the world economy, governments need to fix the current unsustainable public finance problem quickly. However, the outlook for our industry is positive, thanks to strong consumer demand for wellness.”

“ 50

What’s our biggest goal? To help our customers make money.

While innovation in products, design, programs, and content has always been key to our growth, we’ve always been focused on this final result.”

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Scott Goudeseune, president & CEO, American Council on Exercise (ACE), San Diego, California The American Council on Exercise is one of the largest nonprofit fitness certification, education, and training organizations in the world, with nearly 50,000 certified professionals holding more than 55,000 ACE certifications. ACE is also a valuable resource that consumers turn to for health and fitness information.

“In 2011, we released several innovative research studies, and I was appointed president-elect of the board of directors of the National Coalition for Promoting Physical Activity (NCPPA).

We became involved in the Joining Forces Initiative through First Lady Michelle Obama and the President’s Council on Fitness, Sports, and Nutrition (PCFSN), and we’ve begun to encourage other certification organizations to join this initiative, though we still have bridges to build.

“These efforts support one of ACE’s principal goals, that of combating America’s obesity epidemic—a personal goal for me, as well.

“We’ve experienced significant growth as we’ve worked to create programming that elevates the knowledge and credibility of our certified professionals, while providing consumer benefits that support our mission. This year, our goal is to continue delivering instruction that’s progressive, rooted in sound research, timely, and relevant. We’re also identifying partners to expand into new markets, including allied health, healthcare, and wellness.

“Still, we’re considering the possibility of a renewed recession and less discretionary spending during the coming year. Financial concerns, compounded by an obesity epidemic, are creating more demand than ever for physical activity, stress relief, and mind/body strength. At the same time, employers are becoming more aware of the business benefits of fitness, and technology is providing new ways to encourage consumers to enjoy an active lifestyle.”

Rachel Cosgrove, co-owner, Results Fitness, Santa Clarita, California Results Fitness is a 7,000-square-foot functional training facility that offers expert fitness coaching with every membership and guarantees results. Revenues for 2010 were nearly $1 million. Revenues for 2011 are estimated to be 10% higher; revenues are projected to grow an additional 10% in 2012.

“We’re proud to say that, in 2011, while many companies were struggling in this economy, we achieved record numbers, hired more people, and gave raises to many members of our team. While we accomplished everything we set out to do, we’re constantly learning, and, every three months, we set new goals. For us, it’s about pushing the envelope and staying ahead.

“Because we tend to implement ideas frequently and quickly to maintain our lead, the biggest challenge for us is keeping the lines of communication open with our team, so that everyone always knows what’s going on.

“As for the economy, it’s clearly separated clubs with strong business practices and good customer service from those that don’t have what it takes. Surprisingly, many gyms remain wedded to what they’ve been doing in the past—even though it’s no longer working.

“Our greater mission is to change the way fitness is offered, and we’re mentoring 60 gyms around the world that employ our systems. People want clubs with a supportive culture and a strong customer-service focus. We believe that, to create this sort of atmosphere, the industry needs to move from one-on-one to semi-private training, and from fixed machines to functional training protocols.

“Most people require a coach to help them meet their goals, and I hope that, in the future, making use of a personal trainer becomes as important as seeing your doctor. I also hope more gyms become that much discussed ‘third place’— a real community that people enjoy and feel comfortable in.”

“

As the world gains confidence and the country creates more jobs … we’ll see more people employed and able to invest in their health.”

Mark Miller, vice president, Merritt Athletic Clubs, Baltimore, Maryland Merritt Athletic is a chain of nine multipurpose clubs in Greater Baltimore, including three that are open 24 hours a day. Revenues for 2011 grew an estimated 8% over 2010. Revenues are projected to grow 11% in 2012.

“Last year, we had a great start, followed by a stall in the summer, which was then followed by a rebound—it was a real roller-coaster ride. What we wanted, though, was to create steady growth. Although our cancellations fell, we would have liked to have trimmed our attrition rates more.

“Apparently, many people haven’t yet placed health and fitness at the center of their lives.

“This year, our goal is to produce a breakthrough. My objective, as a leader, is to transform our organization. We’re now focusing more on purpose—that is, on the drivers specified in our mission statement. I believe we’re on the edge, the crest, of a great tipping point; it’s just a matter of being very intentional with respect to our actions.

“The challenge for us now is to continue to find and empower people to develop the right team—one that will deliver a club experience that makes us the best part of our members’ day. Doing so will make it possible for us to reduce cancellations, and drive revenues through greater sales, member engagement, and programs and services.

“As for the economy, I think that we’re actually in a phase of slow growth. As the world gains confidence and the country creates more jobs, I believe we’ll see more people employed and able to invest in their health.” >

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12 On 2012

“

I think we’ll see more industry consolidation and the emergence of innovative technologies that will motivate people to use clubs and add even more value to their membership.”

Skye Kaiss, director of operations, Gold’s Gym Regina, Saskatchewan, Canada These two Gold’s Gym franchises had combined revenues of $5.5 million for 2010. Estimated revenues for 2011 are $6 million; projected revenues for 2012 are $6.3 million.

Kay Yuspeh, owner, The Elite Sports Clubs, Brookfield, Wisconsin; a member of the IHRSA board of directors

“In 2011, we had a good year. Our personaltraining revenues, for instance, grew by 25%. In addition, I teamed up with a software developer to create Club Vitals, a fitness-equipment-maintenance software program. We created it initially to meet our own needs, but, now, we’re selling it to clubs in Canada, the U.S., Australia, and Ireland.

“Our goal, for a while, has been to open a third Gold’s Gym in Regina. However, the Canadian economy, especially in Saskatchewan, is growing, and so land and construction costs have gone through the roof; also, our Canadian franchise royalties have increased significantly since we opened our first club in 2006.

“This year, we plan to continue to grow our membership base and our personaltraining department, while maintaining a slim hope of opening that third location.

“Overall, compared with other sectors, the fitness industry has fared well in Canada, with most operators experiencing growth. However, I’d like to see more innovation. It seems that we’ve taken a step back with so many high-volume, low-priced clubs popping up. This model depends on members not using clubs. That hurts all operators, as well as people’s health.

“Over the next five years, I think we’ll see more industry consolidation and the emergence of innovative technologies that will motivate people to use clubs and add even more value to their membership.”

The Elite Sports Clubs encompass four high-end suburban, multipurpose family facilities with a total of 29 indoor tennis courts in Greater Milwaukee; two have indoor or outdoor pools. After losing members in 2008, membership is now growing. Revenues for 2011 increased 9% over 2010, and are projected to rise 5%–10% in 2012.

“In 2011, I reorganized my club and senior staff and began doing more marketing online. We’re growing because our new and existing members have made a conscious decision to stay. In addition, our Quickstart tennis program for ages 10 and under has proven quite successful.

“This year, we’ll be instituting paperless billing. In addition, I plan to continue developing my senior and middle managers, and to acknowledge them more. Our most pressing issue is getting the word out about the value we offer as a high-end, hightouch club.

“Overall, I don’t see much change this year except, unfortunately, for more dirty politics. Both parties need to compromise and work together. I’d also love it if people realized that exercise is preventative healthcare and received insurance benefits for exercising.

“In our industry, the well-managed clubs and suppliers are stable or growing again. However, many markets are over-saturated. We need to grow the market instead of going after each other’s members. Some clubs in the U.S. may fail, while some international markets will continue to grow.

“In the future, I’d love to see a five-star program for our industry, similar to the one utilized by hotels, so potential members could distinguish the difference between clubs. A Motel 6 and a Four Seasons both have beds, but they differ dramatically—the difference has to do with price, ambience, and service.” —| – Patricia Amend, PAmend@aol.com

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2012: A Year of Rewards and Risks

5

tips to help club operators be prepared for legislative threats

By Lilly Prince

Being a successful club owner, you’re no doubt ready for the January rush and the new members who will soon be arriving en masse at your club. The new equipment is in place. Your front desk is stocked with pamphlets and blank membership contracts. Staff has been prepped about what to say and how to say it, the towels have been fluffed, and you’re ready to go.

Meanwhile, your state’s legislature is also gearing up for the coming season, and they, too, are preparing for a flurry of activity.

Legislatures have a lot to tackle this year, and while the health club industry is no stranger to the legislative process, it appears that this session is going to be particularly busy. States are still grappling with massive budget shortfalls and rising demand for consumer-protection policies, which means that clubs remain ripe targets for lawmakers.

So, are you ready for that?

Let’s start with your front desk. A new member signs a contract and agrees to allow you to renew their contract automatically at the end of each term. It saves both parties the cost and hassle of re-signing at the beginning of each new term. Now, what if you were required by law to send that member—and every other member—a notice of renewal 30 days prior to the end of the contract date?

Think about it. There’s the cost of the paper, the envelopes, and the postage. Then there’s the cost of additional staff time to prepare the mailings. And don’t forget the stress of sending out renewal notices virtually every day. It’s a logistical nightmare!

Despite the operational challenges the process imposes, state legislatures have a penchant for proposing legislation that would impose this unwieldy process on clubs.

Since 2006, IHRSA has faced an average of four bills per year that would constrain automatic renewals, with a record of 10 bills filed in 2009.

The actual ramifications of such legislation are difficult to quantify, due, in no small part, to the fact that IHRSA has successfully defeated every attempt to restrict or prohibit automatic renewals. “We won’t know the full picture unless a bad piece of legislation is enacted, and we’re working very hard to prevent that from happening,” says Amy Bantham, IHRSA’s deputy vice president of government relations. “We’ll definitely be on the lookout for automatic renewal legislation in the coming year.”

IHRSA will also be equally attentive to, and quick to respond to, a wide range of other legislative moves with implications—either negative or positive—for the industry. But you, too, have an important role to play in protecting and promoting the industry. >

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2012: A Year of Rewards and Risks Readiness tip 1: Keep informed via IHRSA legislative alerts and respond to calls to become involved. IHRSA will inform its member clubs when advocacy is required. (E-mail gr@ihrsa.org to sign up for your state’s alerts.)

Turning to the topic of the price of memberships and services: What if you had to increase those dues and fees because the state imposed—or increased—a sales tax on clubs? As state budget deficits are likely to remain a fact of life for the foreseeable future, there’s a strong likelihood that your state will, at the very least, propose a new tax or a tax increase. Even in flusher economic times, state lawmakers have targeted clubs for additional revenue.

IHRSA successfully fought four sales-tax proposals in Arizona, Georgia, Illinois, and Rhode Island last year. On average, the association wages 3–5 sales-tax battles every year.

The more cash-strapped a state is, the more difficult it becomes for any business or service to keep its head off the chopping block. The fitness industry’s position that, in the long run, healthy lifestyles reduce medical costs related to obesity and chronic diseases becomes less compelling in the face of the need for immediate solutions, such as a tax increase.

Readiness tip 2: Reach out to your lawmakers to educate them about the economic benefits of exercise and urge them to resist taxing healthy lifestyles. IHRSA has the materials and talking points you need. Contact IHRSA Government Relations at gr@ihrsa.org.

Okay, so that was the front desk. Now, let’s move to your main fitness floor, where personal trainers are advising clients and group-exercise instructors are overseeing classes of energetic students. What if personal trainers were to suddenly become unaffordable because the state mandated costly licensure requirements—not just certification—that increased trainers’ wages and restricted the services they could offer?

“Good-bye, personal trainers” is right.

Holding fitness professionals to a higher standard and ensuring quality personal training is a cornerstone of quality clubs. IHRSA recommends hiring personal trainers who hold at least one current certification from a certifying organization/ agency that’s obtained, or is seeking, third-party accreditation of its certification procedures and protocols from an independent, experienced, and nationally recognized accrediting body.

The bills that have thus far been proposed to regulate personal trainers have been diametrically

S tates

are still grappling with massive budget shortfalls and rising demand for consumer protection policies , which means that clubs remain ripe targets for lawmakers . opposed to current industry practice. In most cases, they would create a monopoly for certain certifying organizations, and, in every case, would make the cost of becoming a personal trainer prohibitive. Since 2006, IHRSA has consistently and successfully defeated bills in six states and the District of Columbia that would impose burdensome licensure/certification requirements on personal trainers. Last year, in Massachusetts, the association ensured that legislation introduced there was industry-friendly, requiring clubs to hire personal trainers in accordance with the recommendation proposed by IHRSA.

U.S. Senator Robert P. Casey, Jr. (D-PA); Helen Durkin, IHRSA’s executive vice president of public policy

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Readiness tip 3: Educate your personal training staff and prepare them to speak out against harmful requirements.

Now, look around. Do you have an automated external defibrillator (AED) mounted on a wall somewhere in your club? If not, you might well be required to do so if your state makes having one mandatory this year. IHRSA recognizes the importance of staff and member safety, but, often, lawmakers propose measures that fail to protect club operators and employees from dangerous, and unnecessary liability risks. If a proposal doesn’t include accommodations for key-card clubs, or exemptions for instances in which an AED wasn’t used, there’s a great risk of a costly lawsuit.

Industry activists: Virginia Collins, executive director, Gold’s Gym Franchisee Association; Barry Field, president, Gold’s Gym, East Greenwich, Rhode Island

Readiness tip 4: Familiarize yourself with your state’s AED requirements.

Currently, 11 states mandate AEDs for health clubs, and, each year, at least three additional states consider doing so. Visit ihrsa.org/state and click on your each out to your lawmakers state for more information.

Last, but not least: check out to educate them about the your bathrooms and locker rooms. Are the privacy and economic benefits of exercise safety of your members being and urge them to resist taxing protected in the most sensitive areas of your club? A new trend healthy lifestyles is surfacing across the U.S. to legislate fair use of “public accommodations”—i.e., bathrooms, locker rooms—for Readiness tip 5: Since this a relatively new issue, individuals who are transgender, begin by contacting IHRSA Public Policy and let or whose gender-expression doesn’t conform them know what effects this type of legislation to their biological gender. might have on your club. This will help IHRSA IHRSA supports equal rights and protections for develop an appropriate response strategy. all citizens, but raises concerns over the unintended As always, IHRSA stands ready to assist its consequences of these types of bills. “It’s a practical member clubs with a team of state lobbyists who concern with respect to the privacy interests represent industry interests day-to-day. It also of club-goers,” notes Bantham. As written, the relies heavily on the participation of club profeslanguage in proposals is often too broad and sussionals, such as you, who believe in fostering new ceptible to abuse, allowing anyone dressed in a opportunities by strengthening the industry’s manner associated with the opposite sex to access involvement in the legislative process. —| a locker room or, even, gain entry to a health club – Lilly Prince, lp@ihrsa.org for the opposite sex.

R

.

.org For more information about how to prepare for the upcoming legislative season, contact IHRSA’s public policy staff at gr@ihrsa.org or 800-228-4772.

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Digital Darwinism

By Liane Cassavoy

Business is evolving and moving online. A question: Is your club?

Your club has a Website. It’s packed with information about your amenities, your instructors, and your classes. It has your contact information and, maybe, driving directions to your location. Perhaps it’s even accessible via mobile devices, such as smartphones.

If you think this means that your club has embraced life in the Internet age, think again.

T

he health club industry may, at heart, be about “getting physical,” but, increasingly, the business is going digital.

Today, clubs are turning to technology to market and sell memberships, schedule and bill for their services, keep their employees up-to-date, maintain their equipment, and, even, train their clients.

In fact, it’s now possible for clubs to conduct a great deal of their business online.

“The first thing you have to accept is that things are changing and changing rapidly,” says Bryan O’Rourke, the CEO of Integerus and chief science officer (CSO) of Fitmarc, based in Ft. Worth, Texas, and an expert on technology and the fitness industry.

“Things are going to change whether you want them to or not, and you have to reengineer your business model to keep up. If you fail to do so, you run the risk of being left behind.

Bryan O’Rourke

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“There are still a few drive-in theaters in business,” he points out, “but there aren’t a lot of them.”

What’s driving the change?

Your customers! When they’re sitting in front of their computer at 11 p.m., they want to be able to access your scheduling system and book a personal training session.

They want to review a log of their recent workouts. They want to pay for services easily and seamlessly. “Most of all,” says O’Rourke, “they want to belong. They want you to know who they are, and they want you to make their lives exceptional.”

Web essentials

A solid Web presence—one that’s easy to find, polished, user-friendly, and comprehensive—is the essential first step. There are a surfeit of Website designers and online marketing companies, but not all of them are familiar with the needs of health clubs. For specialized help, you can turn to companies such as ClubWebX, in Gainesville, Florida, which designs and hosts Websites for fitness facilities, or Netsertive, of Durham, North Carolina, an

Online exercise expertise is user-friendly

online marketing firm that specializes in several industries, including health and wellness.

“We’re not trying to be everything to everyone. We’re involved only in industries where we have depth of knowledge,” explains Buzz Truitt, the company’s director of business development. Truitt worked in the fitness industry for 20 years before joining Netsertive, and feels his background gives him a unique perspective on the challenges and opportunities facing clubs today.

“When researching a club, more than 97% of people go online first,” he says. “If they don’t find you there, they’ll never know you exist.”

Once you’re an established Internet actor, you need to think about, care for, and invest in your site just as you would with any other part of your business. “You may not view your Web presence the same way you look at putting away the weights or sweeping the floors, but your Website is a virtual extension of your business,” says Truitt. “It’s how people find you, and you need to give it regular care and feeding.”

Your site should ensure that prospects can learn about the services you offer quickly and easily, and also provide existing clients with access to many of them. At a minimum, that includes allowing them to book classes and services online, whether they’re using their computer or a mobile device.

Offering such features doesn’t have to involve a sizeable investment. A growing number of companies, such as USchedule, based in Mukilteo, Hawaii, can do the heavy lifting for you. It offers a Web-based scheduling programming that can be embedded into your existing site.

The software permits members to reserve a spot in an upcoming class, schedule a for-fee class or personal training session, pay for services, and, even, redeem coupons. It also tracks compensation for instructors who are paid on a commission or per-student basis.

“USchedule makes it easier to manage your business, your schedule, and your resources,” attests Brian Dawson, the company’s CEO. “But it’s also for your clients—it’s a tool that makes their lives simpler and easier.” >

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Digital Darwinism

Netsertive offers online marketing assistance

USchedule allows members to book sessions

Equipment fundamentals

exhaustive oversight. Using it, club operators can, among other things, track equipment expenditures; reduce equipment downtime; track real-time repair life cycles; view and maintain single-unit, facility, and organizational history; and maintain risk-mitigating records.

“Fitness EMS is a Fitness Equipment Management System that works with the facility’s existing clubmanagement software,” explains Tony Pinkerton, the company’s operations and technical development director. “It provides what none of the other customer relationship management (CRM) products offer, which is a way to manage a facility’s most important asset: its equipment.”

A number of relatively young firms now offer a way to monitor equipment maintenance online. One of them is Club Vitals, a Web-based equipment-maintenance program created by Skye Kaiss, the director of operations for two Gold’s Gym franchises in Canada (see “12 On 2012,” pg. 52). Frustrated by maintenance logs that frequently weren’t updated regularly, and that occasionally went missing, Kaiss worked with software developers to produce Club Vitals. The application allows members to report broken equipment, and lets club employees initiate and monitor the repair process.

“When someone walks up to the front desk and says, ‘Treadmill 15 is down,’ we can access the information about that device immediately,” explains Kaiss. “We can look at the log, tell them how long the

“When researching a club, more than 97% of people go online first.

If they don’t find you there, they’ll never know you exist.” equipment has been down, what’s being done to repair it, and when the work will be completed. They know that we’ve done something about the problem, and the satisfaction that members get from that is incredible.”

Another company that keeps an eye on a club’s equipment is Fitness EMS, based in Chamblee, Georgia. Its product, which will be making its IHRSA debut at the association’s 31st Annual International Convention and Trade Show in Los Angeles, facilitates

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Educational options

Online educational options have proliferated dramatically, and can now be utilized to obtain everything from a college degree, to a personal-training certification, to information on how to repair a particular manufacturer’s elliptical crosstrainer. Now, however, you can utilize the digital domain to train your employees directly—whether you want to make sure that individuals understand franchise rules, or are upto-date on their certifications. Among the firms that can simplify the process is LightSpeed VT Health, based in Eugene, Oregon.

LightSpeed offers a virtual training system that takes your content and delivers it to employees in an interactive online environment. You provide the content—LightSpeed provides the technology and the delivery platform.

Your staff can access the training online when it’s convenient for them, PumpOne portability

and you can create tests, complete with a proctor, that can be administered online.

“We take the training manual that would sit on someone’s desk and put it online, in a virtual setting,” explains Troy Finfrock, the owner of LightSpeed. “We’re not replacing a pen and paper, and we’re not replacing oneon-one employee training. We’re augmenting and enhancing what you already have and increasing accountability.”

Training applications

Personal training is another area where the Internet is having a significant impact, addressing some of the inherent limitations of the service—e.g., expense, time restrictions, questions about trainer qualifications, lack of innovation, etc. PumpOne, based in New York City, tackles some of these problems, via technology, with mobile fitness apps designed both for consumers and industry professionals.

Founded in 2005 as a service offering downloadable apps, PumpOne evolved into a provider of mobile apps with the dawn of the iPhone era. Since then, it’s released a series of programs, culminating with FitnessBuilder (for consumers) and FitnessBuiilder Pro (for professionals). These apps, along with a companion Website, allow both consumers and professionals to create and track workouts and log progress, features that PumpOne cofounder Craig Schlossberg suggests could revolutionize the personal-training industry.

“We know that something like 90% of trainers don’t track their clients at all,” he says. “Now a trainer can track clients and review their recent workouts paperlessly—without doing so much as pulling out a folder …

Wello uses the Web to pair trainers and clients

pair trainers with clients who may not have the time, funds, or desire to meet them in an actual gym, says Leslie Silverglide, the cofounder of the San Francisco– based firm. “You can work with your trainer while you’re at home or in your office, or anywhere in between, using live interactive video for the connection,” she explains. Clients benefit by having a real trainer and receiving professional feedback, and trainers can use Wello to fill in time when they don’t have clients scheduled. That, she points out, can help club operators keep their trainers busy.

“I tell people that, if they think their physical “Technology is evolving, expanding, and forever changing facilities are the exclusive what we think of as the traditional club business model. domain of exercise, they’d Club operators can’t ignore what’s happening … The speed b e t t e r t h i n k a g a i n , ” O’Rourke. “Just of change is such that some organizations won’t be able to advises look, for instance, at Nike keep up, but there are others who will get it.”

Plus and Walk with Walgreens—they’re both So you have this progression happening—clients get nontraditional health club systems. Technology is evolvstronger and leaner faster because their trainers really ing, expanding, and forever changing what we think of as the traditional club business model. Club operators can’t understand how they’re performing.”

The apps also allow trainers to generate workouts for ignore what’s happening.

“It may make some people nervous, but it’s not a bad individual clients or large groups, offering a virtual way thing,” he suggests. “You simply need to adjust, to modto increase their income. “Trainers have always been limited by the number of hours they can work in a day,” ify, your mindset … It’s what I call digital Darwinism: says Schlossberg. “This share-workout feature frees The speed of change is such that some organizations them from that restraint—it introduces the idea of won’t be able to keep up, but there are others who remote training, of digital training, and provides them will get it. The difference between the two is their ability to adapt. So, keep your mind open and be willing with another source of income.”

Another product that frees trainers from the restraints to learn.” —| of time and geography is Wello, which uses the Web to

– Liane Cassavoy, liane.cassavoy@gmail.com ihrsa.org

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Today, technology informs, enhances, and improves upon virtually every aspect of a club’s operation, from signing Feature Headline goes here No Continued Product up members, to serving them, to reengaging them when they drift away. Check-ins, workout tracking, equipment

showcase

maintenance—the following IHRSA associate members stand ready to put digital smarts to work to help you do everything you need to do.

CSI SOFTWARE CSI Software’s Online Services can increase clubs’ sales, reduce costs, and improve the customer experience. This self-service feature, designed specifically for club members, provides them with access to a facility 24 hours a day, seven days a week. Customers can purchase memberships, view account information, enroll in programs, schedule services, and make payments from home, the office, or their smartphone.

FITMARC Fitmarc is a global supplier of innovative fitness and wellness solutions. Its team of specialists and strategic partners offer consulting, support, and expert training to a wide range of health and wellness facilities across the nation, including corporate fitness clubs, hospital wellness facilities, colleges and universities, nonprofit organizations, recreation centers, and government agencies. Fitmarc is the South Central distributor for Les Mills Group Fitness Programming and is an approved GSA schedule contractor.

Contact: 800-247-3431, csisoftwareusa.com. Please see our ad on page 33. —|

AFFILIATED ACCEPTANCE CORPORATION (AAC) AAC offers full-service software, billing, and collections for health clubs, personal training studios, and other recreational facilities. FrontDesk Express (FDx) is the latest billing and member-management software product available. It offers an intuitive interface with tabbed navigation, giving users the ability to do everything from one screen. FDx provides member management, check-in, point-of-sale, inventory, reporting, and billing.

Clients are also given access to AAC’s integrated Website, where staff and customers can manage payments, enter contracts, and generate custom reports.

Contact: 800-814-1207, fitmarc.com.

Please see our ad on page 96. —|

Contact: 800-233-8483, affiliated.org. Please see our ad on page 80. —|

MYZONE MYZONE is a heart-rate-based system that uses wireless and cloud technology to accurately and conveniently monitor physical activity. Focusing on rewarding effort rather than fitness, MYZONE can help anyone— regardless of age, size, or ability—lead an active and fulfilling life. Clubs can become a hub for the health of their communities by encouraging exercise and providing measurable data for every user. MYZONE offers a unique platform to increase member engagement, visits, and retention.

TWIN OAKS Twin Oaks offers a simple, secure, and reliable system to help club operators successfully run their business. With its Online Booking feature, trainers and members can view and book appointments online. Twin Oaks’ Online Joining function has demonstrated that it can increase the number of new members by 10%–15%.

And its Online Member Portal can increase member retention and reduce membership cancellations.

Contact: 855-5-MYZONE, myzone.org. Please see our ad on pages 2 & 3. —|

ABC FINANCIAL ABC Financial is a leading software provider for the health and fitness industry. Launched in 1981, ABC Financial has revolutionized software and payment processing for clubs with its DataTrak software. With innovative technology and unparalleled commitment to its clients, ABC Financial has become the choice of more than 3,700 health clubs throughout the U.S., Canada, and Puerto Rico.

Contact: 866-278-6750, healthclubsoftware.com.

Please see our ad on page 28. —|

Contact: 800-551-9733, abcfinancial.com. Please see our ad on page 23. —|

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For more information, or to contact any of these companies, log on to ihrsa.org/products

Product

showcase

Balanced Body, Inc. The Balanced Body Website provides a wealth of resources for successfully planning, implementing, and/or expanding Pilates programs. Among the many options: free educational podcasts for instructors; worldwide instructor trainings listed on the Education Finder; and excellent instructor books and DVDs for sale. A unique Space Planner and ROI calculator help take the guesswork out of business planning. All of the site’s easy-to-use and effective tools have been specifically designed for commercial Pilates operations.

Motionsoft, Inc.

Contact: 855-PILATES (745-2837), pilates.com. Please see our ad on page 45. —|

Motionsoft’s myClub Online Member Portal can save clubs time and money, while offering their members more. Connected to member-management software, it adds functionality to the club’s Website, letting prospects sign up online, and allowing members to make payments, book classes and sessions, update information online or via mobile devices, renew memberships, and more. Integrated with Twitter and Facebook, it makes communicating with prospects and members simple, easy, quick, and effective. MyClub can be up and running in just 24 hours!

Bold Concepts Bold Concepts is a leading provider of mobile software technology for health and fitness facilities. Its team of highly qualified developers, project managers, and marketing specialists focus on the two largest mobile applications markets: iPhone and Android. The firm is able to create configurable mobile applications that provide its clients with administrative control over creativity, content, branding, advertising, and more. Its mobile apps can help a club increase revenue, consumer exposure/branding, its member base, member satisfaction and retention, and business relationships.

Contact: 800-829-4321, motionsoft.net.

Please see our ad on page 5. —|

Contact: 813-957-6395, jonathan@boldconceptsmedia.com. —|

ASF INTERNATIONAL ASF’s Online Business Center is a cloud-based program that connects club operators to member and financial data 24/7. It allows multiple users to simultaneously access scheduling, member check-in, pointof-sale, and much more.

The program manages all aspects of club operations, including payment-processing, contract-management, and member-retention and marketing programs, and offers seamless integration of all profit centers. The Online Business Center will also help club businesses become more streamlined and eliminate paper recordkeeping with its electronic agreements with signature capture and QuickPay paperless billing system.

Smart Fitness The Smart Fitness University, a division of the National Council for Certified Personal Trainers (NCCPT), permits club operators to recruit, educate, and provide all of their trainers with a NCCA-accredited certification for one low monthly fee. Its interactive training modules allow instructors to be trained and certified on the same platform that management uses to monitor their progress.

Smart Fitness delivers a career path for employees, more satisfied members, and higher retention. NCCPT has been certifying trainers for more than 15 years.

Contact: 818-631-5177, smartfitness.com.

Please see our ad on page 30. —|

Contact: 800-227-3859, asfinternational.com. Please see our ad on the French Cover. —|

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Feature Headline goes here No Continued Product

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Aerobics and Fitness Association of America (AFAA) AFAA’s premier e-AFAA course combines industry-leading, personal-trainer-certification standards, the convenience of independent self-study, and the security of third-party monitoring and authentication. A series of 14 video lectures, this course meets the criteria of the National Board of Fitness Examiners (NBFE), and is the industry’s first fully-online, secure, credible, and convenient course for personal trainer certification. It includes an online, third-party monitored multiplechoice exam, as well as an online practical exam, given by an AFAA presenter utilizing AFAA’s Multitraining Live Web-conferencing system.

Contact: 800-446-2322, afaa.com. Please see our ad on page 13. —|

NETA

YOGAFIT

NETA’s (National Exercise Trainers Association’s) 5th annual FIT FEST provides new and exciting workshops for fitness professionals.

The FIT FEST offers NCCAaccredited personal trainer and group exercise certifications, specialty certifications in yoga, Pilates, kettlebell, and indoor cycling, and many educational workshops. CECs for most certifying organizations are provided.

Participants get everything that they need—credits, certification, connections, and inspiration! NETA FIT FEST locations for 2012 include Bloomington, Minnesota; Kent, Ohio; and Appleton, Wisconsin.

YogaFit for Personal Trainers allows clubs to use yoga as a primary training method, or to incorporate it into the beginning and/or end of sessions. YogaFit’s Transformational Language enhances awareness and process orientation, while the foundational alignment principles (SPA) ensure safety. Trainers learn to assess clients’ needs for postures, based on range of motion, postural assessment, and muscle balance, employing a technique the company calls Asana Practice Screen (APS). YogaFit Essence creates a mind/body experience, reduces stress, promotes relaxation, and retains clients—because they feel great!

Contact: 800-237-6242, netafit.org.

Please see our ad on page 86. —|

Contact: 888-786-3111, yogafit.com. Please see our ad on page 89. —|

Club Vitals Club Vitals, a fitness-equipment-maintenance management software, allows operators to always know the operating status of the equipment in their club. Staff and members can report problems at the front desk or via their smartphones; a ticket is then instantly issued to the in-house maintenance personnel or third-party repair company. Among the important stats tracked are the equipment’s serial number, warranty information, and repair history, and length of time the unit has been down. Everything a club owner wants to know about their equipment—available at the click of a button!

Contact: 855-324-1930, clubvitals.com. Please see our ad on page 79. —|

PARAMOUNT ACCEPTANCE

NASM

For club operators who suspect their business is losing money because they’re using five different software programs to manage their daily operations, Paramount Acceptance offers a solution: it can control every aspect of a health club from one software platform. Tracking memberships is just the beginning. Using Paramount’s industry-specific software, clubs can now control everything from the timers on their tanning beds to recording biometrics from a member’s training session.

Join the National Academy of Sports Medicine (NASM) in the battle against global obesity by becoming a Fitness Nutrition Specialist (FNS).

This educational opportunity allows club professionals to learn and develop the knowledge, skills, and abilities to successfully work with clients seeking basic nutritional guidance. Individuals who become an FNS will gain an occupational advantage with a nutrition credential that differentiates them from the competition and helps increase their business’ bottom line.

Contact: 800-316-4444, paramountacceptance.com.

Please see our ad on page 18. —|

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Contact: 800-460-6276, nasm.org/nutrition. Please see our ad on page 74. —| |

ihrsa.org

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Flooring ProblemsFlooring Solutions

By Patricia Glynn

How to select the right flooring for your club and care for it the right way

W

hen it comes to investing in and maintaining your club’s flooring, adopting an “underfoot-and-therefore-out-of-mind” attitude is less than ideal. In fact, it can be downright dangerous and financially disastrous.

Alternatively, selecting the right floors and caring for them the right way can be a very wise thing to do.

Choosing appropriate-for-your-club flooring can not only help avoid problems down the line, but, surprisingly, can also prove very effectual in terms of attracting and retaining clients. And proper daily and long-term care will reduce the likelihood that liability issues will arise, and forestall the need for costly repairs and replacement.

The bottom line is clear—flooring matters!

Unfortunately, many club owners, focused on fitness-centric concerns, fail to make their facility’s floors a top priority. And that, insists flooring pro Jocelyn Dillman, is the wrong attitude. “Far too many clubs greatly underestimate the true value and contribution flooring can make toward the success of their club,” says >

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Flooring Problems, Flooring Solutions Dillman, the product manager for ECORE International, the Lancaster, Pennsylvania–based flooring company.

Floors can definitely lend a “Wow!” factor to any venue, notes Marcos Requena, the founder and CEO of Protective Comfort Group International (Pavigym), a leading manufacturer of technical sports flooring based in San Vicente del Raspeig, Alicante, Spain. “Flooring is, without a doubt, just as important as your fitness equipment,” he insists.

Steve Chase, the general manager for Fitness Flooring, a distribution company based in Indianapolis, Indiana, couldn’t agree more. Over the years, Chase has served as a consultant to a number of facilities and knows, from personal experience, that flooring can drive business … or drive up costs.

He’s seen jobs done well … and projects that have gone horribly awry.

Horror stories Chase recalls one club owner, in particular, who, like many others in these precarious economic times, was determined to save money whenever possible.

One of his attempts at frugality, however, proved dangerous.

This owner, Chase explains, decided to build his own aerobics floor by taking plywood and gluing some carpet on top; he then placed the boards on top of rubber tires. “Ingenious,” for sure, Chase observes, “but he clearly put savings over member safety—that’s never acceptable.”

The owner of a large fitness facility in Manhattan, who requested anonymity, shares a similar cautionary tale. In this example, excessive thriftiness resulted in the club’s floors having to be completely replaced on three separate occasions in less than two years.

Steve Chase His ordeal began with cheap carpeting.

“I knew it wouldn’t last,” he confesses, “but, with a tight budget, I opted to invest in new equipment rather than better flooring.” Within a few months, the carpet was riddled with tears.

“It was creating a dangerous tripping hazard,” he laments.

Six months after the initial installation, he admitted defeat, but he still wasn’t ready to renounce his parsimonious ways. “We tore up the carpet and installed inexpensive black rubber pads,” he says. Not long afterward, members began complaining about the perpetual used-tire smell and of gaps between the mats, which caused them to trip.

Eventually, a reputable installer was hired and a better-quality product employed. But, by that time, a considerable amount of money had already been wasted. “Had I known at the outset what I know now, my original decision would have been very different,” he admits.

The right product Dillman points out that concerns about price don’t need to prevent clubs from acquiring superior flooring products or cleaning materials. “Purchasing in-stock items rather than placing custom orders, and buying cleaning solutions in bulk are just two ways to hold down costs,” she explains.

But what can, and usually does, prompt exasperation is simply a lack of knowledge. Club owners, she concedes, often “don’t even know what it is they don’t know.” In response, her company will soon be releasing a series of instructive DVDs. “Our customers have literally been begging for this.”

One way for club operators to compensate for their own limited expertise, Dillman suggests, is by reaching out to professionals who are knowledgeable about the subject. “Interior designers, architects, manufacturer reps, independent Jocelyn Dillman flooring agents, distributors, even equipment dealers, have extensive knowledge.”

There’s no need, she notes, to learn via trial-and-error.

Chase concurs and reassures that turning to experts doesn’t pose conflicts of interest. “You might think we have a vested interest in advising you to buy one type of flooring over another, but, really, our overriding goal is to make you a happy customer,” he says. “After all, we look good only if your club looks good.”

However, before seeking advice, Dillman adds, it’s important to determine exactly what it is that you need and what it is that you want.

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Colorful treatment at Tennessee Tech University

Four Seasons Health Club, Glassboro, New Jersey

“There’s a lingering misconception that you must compromise between the two, but, in today’s market, you don’t have to,” she says. “You don’t have to sacrifice.” Dillman encourages club operators to draft a detailed list specifying their distinct requirements and expectations. “Think about how the area is going to be used and how often it will be used,” she counsels. “Do you want the flooring to be colorful? Does it need to be durable enough to withstand dropped weights? Does it, perhaps, have to be slip-resistant?

How often will you be able to clean it—once a day or more frequently?”

While it seems a rather simple, straightforward task, Chase reports that many clubs neglect it and, eventually, regret having done so. “If you’re going to offer hot yoga, for instance, certain types of flooring would be wholly inappropriate,” he for-examples. “That sort of class introduces considerable heat and humidity into an environment. Some floors can’t withstand that and could be severely damaged.”

Chase acknowledges that club owners can’t always predict trends and, therefore, may not necessarily know how they’ll eventually want to use a given space. “Fitness is certainly an ever-evolving industry,” he admits. “So, in some cases, the best bet might be to choose a multipurpose flooring product and designate an area as a multipurpose zone, while, at the same time, maintaining a separate spot for more specific, specialized activities.”

In addition to pondering how the floor will be used, it’s also important to consider who will be using it.

Paul Elliot, Ph.D., of ASET Services, Inc., the Salem, Indiana–based provider of sports surface education, engineering, testing, research, and inspection services, advises operators to think about their specific demographic. “Say your base membership consists largely of an older adult cohort,” he observes. “In this case, in certain areas, a soft, highly compliant synthetic floor might make more sense than hard wood.”

Accommodating your clientele when making flooring choices can provide an effective marketing and sales tool, Elliot attests. “Leading universities figured this out a long time ago and, now, when recruiting athletes, will enthusiastically boast about their flooring. Clubs could easily do the same,” he suggests.

“For instance, with respect to those older members I mentioned, pointing out that the flooring is more cushioned, and will increase their comfort, and be more forgiving on aging joints—that can be a huge selling point.”

Requena expands on the idea. He believes that functional fitness—one example—has created a new opportunity with floors featuring specialized markings that are designed to serve as guidelines for >

“

Purchasing a quality

product is the first piece of the puzzle. And you absolutely can choose

the best product, installer, and maintenance plan, and still have it be cost-effective.”

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Flooring Problems, Flooring Solutions directing movement patterns. Such flooring is an effective marketing tool when trying to attract and retain functional-training devotees.

The right care A well-chosen product may provide the foundation for success, but Dillman offers another valuable caveat: “If you don’t follow the installation instructions and implement an appropriate maintenance program—one that’s specific to your club, and dictated by usage, traffic, activity, and other relevant factors, you’re not going to be happy.” Failing to adhere to proper procedures can also limit the lifespan of the floor. “It may last half as long or even less.”

Fitness Flooring outfitted Midtown Athletic in Chicago Dillman’s best advice is to read the instructions. “I can’t emphasize this enough,” she says. “Clubs will use all sorts of cleaning solutions without ever reading the labels. It might seem inconsequential, but they risk ruining an entire floor. It can be a very expensive misstep and could even necessitate replacement.”

Elliot, considering the topic, notes that exposing wood floors to water is one of the mistakes that he sees being made most frequently. “Wood and water don’t mix,” he admonishes. “The combination leads to rapid deterioration.”

Chase contends that both under-maintaining and over-maintaining can be equally harmful. Another common blunder: the use of too much detergent. “The floor is damp-mopped, and a thin film is left behind when it dries,” he explains. “Then, when the floor gets wet, from either perspiration or water bottle spills, it becomes extremely slippery.”

Another critical maintenance issue, Requena offers, is temperature control. “Humidity can interact with adhesives, causing bubbling,” he cautions.

“And excessive variations in heat and coolness can lead to significant contractions and expansions.”

He also warns club owners to be wary of member activities that can damage flooring. “More and more accessories are being introduced, and they’re constantly being moved around.” Chase concurs, observing, “Biking shoes with clips can tear up the floor over time. And hex weights, when dropped, are very rough on virtually any surface. Most people, though, don’t think twice about this stuff— not until it’s too late, and the damage has already been done.”

A good cleaning, Dillman points outs, can often remedy a multitude of sins and soothe a host of headaches. “Many of the questions and issues that are presented to our technical department can usually be resolved via appropriate cleaning,” she says. “And this applies to new and old flooring alike.”

In the final analysis, Dillman believes that it all boils down to selecting a good product and then taking excellent care of it. She suggests that clubs place a premium on long-term performance, prioritizing it over aesthetics, and quell their desire to keep initial costs unrealistically low. “Purchasing a quality product is the first piece of the puzzle. And you absolutely can choose the best product, installer, and maintenance plan, and still have it be cost-effective,” she concludes. “Just don’t fall into the trap of thinking, because you paid more for it, that the floor should essentially clean itself. Proper cleaning is critical and can make your investment last for decades.”

Basically, she confirms what’s become established wisdom: You get what you pay for, and, ultimately, you get what you put into it. —|

“

Just don’t fall into the trap of thinking, because you paid more for it, that the floor should essentially clean itself. Proper cleaning is critical and can make your investment last for decades.”

– Patricia Glynn, p.glynn@fit-etc.com

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Because you never get a second chance to make a good first impression, it’s so important for clubs to put their best foot forward—or, in the case of flooring, their best underfoot surfacing! IHRSA’s associate members offer an assortment of attractive, high-quality, long-lasting, and budget-friendly products for every area of any club.

Product

showcase

FITNESS FLOORING

REGUPOL AMERICA, LLC

Exterra is the latest evolution of flooring for group exercise rooms.

With an improved surface that’s virtually flawless in color and clarity, and the new Silver Springs resilience fasteners, the system has been totally reinvented. However, the system still provides all the great benefits that club operators have come to associate with Fitness Flooring’s Group Exercise products: safety, ease of maintenance, and an excellent warranty. Exterra floors are completely freefloating, which makes them quick to install and allows simple relocation without any loss in flooring investment.

Regupol America, LLC, American subsidiary of German-based BSW, is the inventor of recycled rubber multipurpose sports and fitness surfaces. Regupol Aktiv and AktivLok withstand the most intense use. The unique polymer composition provides maximum comfort underfoot and is slip-resistant.

The surfacing material is an environmentally responsible choice, using recycled tires that would otherwise be deposited in landfills.

With dense, resilient, and wear-resistant properties, the surface ensures lasting performance.

Contact: 800-537-8737, regupol.com.

Please see our ad on page 66. —|

Contact: 800-428-5306, fitnessfloors.com. Please see our ad on page 87. —|

MONDO Mondo produces a wide variety of sport surfaces that can meet the requirements of any fitness and recreational facility, including Sport Impact. Like all Mondo surfaces, it’s durable, easy to maintain, antibacterial, and slip-resistant. It can withstand heavy static loads, such as cardio and fitness equipment.

Sport Impact has received the Indoor Air Quality and Children & Schools GREENGUARD Certifications.

Contact: 800-361-3747, mondoworldwide.com. Please see our ad on page 53. —|

LINEAR RUBBER PRODUCTS, INC. Linear Rubber’s PowerPad Mats combine cushioning and sound-absorbing qualities with a surface that provides natural secure footing, protecting floors from the abuse of free weights and the impact of exercise equipment. Nylon-reinforced, genuine-rubber mats are 5/8" thick, available in widths to 6' and lengths to 16'.

Free custom trimming is available. Easy to install and maintain, PowerPads lie flat over any level surface. Other genuine-rubber flooring includes 4' x 8' Gymatts and the TopMat II flooring system, offered in rolls, squares, or interlocking tiles.

Contact: 800-558-4040, rubbermats.com. Please see our ad on pg. 92. —|

More on Flooring: “The primary driving force in selecting a flooring product is always aesthetics,” pointed out David Phillips, a designer with Fabiano Designs, in Montclair, New Jersey, “after which come cost, maintenance, health, and green issues.” Phillips and other designers, suppliers, and club operators provided additional insights and suggestions about how to choose flooring products in “High Performance Flooring,” January 2011 CBI, pg. 62. Check it out at: ihrsa.org/cbi/2010/12/21/high-performance-flooring.html. —|

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Find solutions.

Make connections.

Become a better manager.

IHRSA 2012 will provide more than 40 learning opportunities in the Management & Operations Track designed especially for club owners and managers. PLUS plenty of planned and informal networking opportunities and the industry Trade Show featuring the latest innovations and coolest products in health and fitness.

In addition to the thought-provoking General Sessions, following are a few of the more than 40 sessions being offered in the Management & Operations Track*: > Align the Culture of Your Organization to Drive Strategy > Create the Member Experience You WANT to Achieve the Financial Success You NEED > 5 Ways to Build World Class Teams > The Independent Club: How to Thrive in Today’s Marketplace > To Tweet or Not to Tweet – Managing Social Media Within Your Health Club > Strengthening Your Club: Negotiating Financing, Loans & Equipment Leasing > Managing by Numbers: Key Performance Indicators for Successful Club Management > Leading by Intuition: Managing a Successful Club Operation by Following Your Instincts

JOIN THE EXCITEMENT AND PREPARE FOR TOMORROW!

*This is a partial listing of the IHRSA 2012 schedule. For the complete schedule, please visit ihrsa.org/ihrsa-2012-schedule.

International Health, Racquet & Sportsclub Association

“

I learned more at IHRSA 2011 than at any educational

workshop that I have ever attended. If I can apply half of what I learned, then my business will be successful.

�

~ Jason Cerniglia, Hoover Fitness Alabama, USA

Additional Topic Areas IHRSA 2012 educational sessions have been organized by topic area so you can choose the ones that best match your interests and needs. For details, visit ihrsa.org/convention and download the complete brochure. > Customer Service & Retention > Innovations & Opportunities > Membership Sales > Fitness & Personal Training > Legal & Legislative > Programming > Health Promotion & Wellness > Management & Operations > Research > Human Resources > Marketing

REGISTER NOW AND SAVE! > VISIT ihrsa.org/go2012 > CONTACT Nicole Johnson at nj@ihrsa.org or 800-228-4772, ext. 197 (US/Canada) or Blakely Sullivan at bls@ihrsa.org or +1 617-951-0055, ext. 175 (international).

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Innovations

What’s New 77 | FIT Extra 81 | BuyersMart 97

Twin Oaks, Health Club Software —|

Photo sponsored by Twin Oaks Software

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| Innovations | What’s New

The Gatorade Company

MoveStrong

» New from The Gatorade Company is the Gatorade G Series FIT line. The FIT 01 Prime delivers carbohydrates prior to workouts, and offers personalized portion control with stayfresh packaging. The G Series FIT 02 Perform is a lightly flavored electrolyte beverage designed to maintain hydration more efficiently than water, and helps to replace the fluid and electrolytes lost in sweat. And the G Series FIT 03 Recover fruit-based smoothie, containing G Series FIT hydration real fruit juice, calcium, vitamin D (25%), and from Gatorade protein, has only 120 calories per 11.6-ounce serving to fuel recovery following workouts. For more information, contact the company at 800-884-2867; gatorade.com. —|

» MoveStrong’s new Studio Model FTS (Functional Training Station) is a compact, all-in-one unit for total-body exercises, barbell workouts, and functional strength-training.

It’s ideal for MoveStrong with Studio Model smaller health FTS (Functional Training Station) clubs, studios, or fitness facilities that have limited space, but still have a need for a trainer to work simultaneously with four to six clients in a small group setting.

Trainers can incorporate numerous accessories, such as resistance bands, medicine balls, training ropes, Olympic bars, and more to increase and customize exercise options using this versatile machine.

For more information, contact the company at 855-728-8700; movestrongfit.com. —|

internet extra!

Video at ihrsa.org/cbidigital

Cybex International, Inc.

»

MYZONE » MYZONE is a new system designed to enhance health club member engagement through user-generated content (UGC)—by accurately tracking, measuring, and monetizing members’ workouts, both inside and outside the club. It monitors heart rate, calories, time, and MYZONE Effort Points (MEPs) using a proprietary MYZONE Physical Activity Belt and cloud-based technology. MEPs are earned solely based on each individual’s level of fitness. Because the MYZONE system also creates new revenue streams via belt sales, personal training, and membership upgrades, it helps clubs improve recruitment, retention, and revenue. For more information, contact the company at 312-870-4800; myzone.org. —|

» Cybex International, Inc., is complementing its original Bravo functional trainer with the addition of Bravo Press, Bravo Pull, and Bravo Lift. Taken together, these four machines represent the complete Bravo Functional Training System. The Bravo functional trainer, Bravo Press, and Bravo Pull New Bravo Lift functional all utilize Progressive trainer by Cybex Stabilization, a patentpending technology that allows users to adjust for height and horizontal position. “Independent research conducted at the University of Massachusetts shows that Progressive Stabilization yielded a 212% increase in load capacity, and a 184% increase in core activation,” notes Steve Suchanek, the director of product management at Cybex. For more information, contact the company at 888-462-9239; cybexintl.com. —| i h rs a . o rg

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| Innovations | What’s New

Polar Electro, Inc.

» Polar Electro, Inc., has debuted vibrant colors for four of its popular training computers.

Designed for active individuals who want basic heart-rate features, the FT4 is now available in purple/pink and orange/black. For recreational exercisers who want to improve their fitness level, the FT2 comes in red; and the FT1, which has been designed as a first step into heartrate-based training for recreational exercisers, is now offered in blue. The sleek RCX5, which FT2 training accommodates triathletes, multisport athletes, computer from and serious exercisers, and features ZonePolar Electro Optimizer and Training Load, is available in red.

For more information, contact the company at 888-850-0349; polarusa.com. —|

Function C3 trainer from SCIFIT

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SCIFIT » The Function C3 from SCIFIT provides three compound movements commonly found in rehabilitation, exercise, and sports training: terminal knee extension, compound core flexion, and compound trunk extension.

SCIFIT employs multi-plane resistance, along with adjustable hip and knee belts and resistance tubes, to maximize the benefits of these movements. The slow, controlled movements provide a better quality of workout at a lower level of resistance for safer exercise and stronger mechanics. The Function C3 is ideal for knee, hip, and back patients, pre-surgery and post-surgery patients, and injury-prevention in athletes.

For more information, contact the company at 918-359-2000; scifit.com. —|

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Spirit Fitness » The new e-Glide hybrid trainer from Spirit Fitness equips health clubs to combine indoor cycling and elliptical exercise, thanks to the e-Glide’s ability to reach high RPMs. Eliminating bobbing, even at high speeds, the e-Glide’s e-Glide hybrid trainer, produced transmission system

by Spirit Fitness creates a “floating” sensation, resulting in a more comfortable workout. When users reach their perfect RPM, they begin to experience the e-Glide’s floating effect, which helps keep them exercising longer. Kinetic energy, plus the flywheel weight, pulley diameters, foot pedal angle, stride length, and belt length help ensure smooth starts and stops.

For more information, contact the company at 800-258-4555; spiritfitness.com. —|

UniMac » In response to customer demands, UniMac now offers its networked control—the UniLinc—on tumblers, providing 41 programmable auto-dry and time-dry cycles, with extended tumble-dry options. Operation UniLinc networked control for begins with the push dryers from UniMac of just two buttons; cycle names are clearly displayed, with six customizable languages. UniLinc provides data that pinpoints specific areas where users can increase efficiency and reduce operating costs with labor, linen replacement, utilities, and maintenance. UniLinc also sends automatic reminders regarding maintenance schedules for timely servicing, and records machine errors for quick diagnosis and repair. For more information, contact the company at 800-587-5458; unimac.com. —|

»

Maintenance made simple.

Visit ClubVitals.com or Call 855-614-8188 How do you MANAGE your EQUIPMENTand FACILITY MAINTENANCE?

Classic Logbook?

»

Word of Mouth?

Sticky Notes?

There is a better way! Club Vitals!

Time Management Seamless Integration Retain Memberships Save Money

Club Vitals saves you time! It makes managing your facility and equipment efficient. Time is money.

Club Vitals allows for seamless communication between the club owner, manager, staff, in house repair person, 3rd party repair company, and the equipment company.

Hold on to those valuable memberships in this ultra competitive market by being on top of your most valuable asset “your equipment.”

Make educated equipment purchases based on your permanent digital equipment repair history. Avoid ever paying for non warrantee repair work.

The reality is that members will quit a gym that constantly has equipment down. Retain members and create loyalty by showing the members that you are engaged in the member’s experience by providing them a clean and fully functioning facility.

SOFTWARE | BILLING | COLLECTIONS

Does your billing company COLLECT AFTER 90 DAYS?

WE DO. No matter how you define success, it must move your business forward. That’s why we are all about keeping it simple. Our true full service solution combines innovative software, competitive pricing, flexible process automation and highly trained, dedicated staff to help increase profits and streamline operations. And with over 20 years of industry experience in software, billing and collections, we know what it takes to run a successful club.

Affiliated Acceptance is your simple solution to success.

CALL TODAY. 800-233-8483.

Visit us at www.affiliated.org passport ad-0112CBI_Layout 1 11/29/11 11:46 AM Page 1

Discounted Guest Privileges Worldwide for your Members Who Travel Participation in the Passport Program is FREE for IHRSA clubs. Look for an airplane next to your healthclubs.com listing to confirm that your club is on board!

Learn more or enroll your club at ihrsa.org/passport.

International Health, Racquet & Sportsclub Association | Seaport Center, 70 Fargo Street, Boston, Massachusetts 02210 USA

| Innovations | FIT Extra Computer Applications

Instantaneous Information!

Computer Applications A&A Company

Advances in club-management software expand and expedite all-points access As technology evolves, the pace of business and the expectations of consumers continue to multiply. In response, health clubs are embracing ever-more-powerful club-management software to increase memberships, retain current

A&A Club

members, cut costs, and boost revenue—even if it means

The comprehensive A&A Club software supports a variety of functions, including short- or long-term contracts; member database; CRM; KPI support; check-in and check-out, barcodes, smartcards, and magnetic strips; booking systems; employee time-tracking; integrated SMS; electronic locker systems; warehouse, retention-management; and payroll. It also includes advanced security systems capabilities; price lists for several club areas; cash-free technology; a club parking module; and several reporting options. It operates on Microsoft Windows XP, Vista, and Windows 7.

learning new systems and abandoning the paper trail.

“Club operators are seeing the value of technology and the impact it can have on the bottom line,” notes Hossein Noshirvani, the founder of Motionsoft. “The ‘self-service is the new full-service’ mantra is playing out in our industry.”

For members, self-service comes in the forms of online and mobile access, enabling them to purchase memberships, schedule services, register for classes, manage accounts, and pay bills.

“Online interaction improves the member experience and increases touch points with members, all of which helps drive retention,” observes Mark Hutts, the vice president of sales and marketing at Fiserv.

For club managers and staff, self-service translates to immediate access to all-important schedules, communication, and club data.

“The buzz is cloud-based computing, in which programs move to an online platform instead of a traditional, license-based, desktop package,” explains Rachelle Dodge, the marketing director of ASF International.

“It empowers club owners by connecting them to members and financial data, whether they’re in their office, at home, or out grabbing a cup of coffee.”

Having one vendor supply a range of club management needs can ultimately save money and streamline business for club operators.

“Club managers are asking for a complete package that includes sales, follow-up, member retention, and collections,” points out Glen Bendixen, the CEO of Paramount Acceptance.

Data warehouses are also becoming more important. “Clubs are now implementing tools that objectively analyze and report on data in order to come up with new revenue streams and find operational efficiencies,” adds Noshirvani.

Bendixen predicts that data-mining will become more prevalent as well. “Clubs will target specific markets within their membership and promote additional services to them.”

Certainly, the technology landscape is ever-changing—with the proliferation of mobile apps, computer tablets, and social media.

“Today, software needs to integrate with Facebook; you must be able to access club data from your tablet while on an airplane; and you expect answers about your business, simply because you thought of the question,” Noshirvani contends. —| i h rs a . o rg

ABC Financial Services, Inc. See our ad on Page 23

NEW ABC Financial—Software, Billing and On-site Support ABC Financial strives to maximize its clients’ revenue with its software and payment-processing solutions, which are constantly being enhanced to help health clubs thrive. Its DataTrak health club management software reflects the company’s dedication to cutting-edge technology in its speed, comprehensiveness, innovation, and security. With 30 years of experience, ABC Financial is committed to unparalleled customer service, and currently works with more than 3,700 North American health clubs.

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| Innovations | FIT Extra Computer Applications Datatrak Franchise Edition

NEW Dashboard and Data Warehouse DataTrak Dashboard is a business monitoring tool that displays items being measured and monitored quickly and conveniently. The intuitive, highly customizable software can be utilized by a single fitness facility or a group of clubs.

The Dashboard resides in the Reports section of the DataTrak menu. A new feature of ABC’s DataTrak is the ABC Data Warehouse, which offers drag-and-drop reporting on the fly, making it simple to pull up variety of data instantaneously.

Datatrak Club Management Software ABC’s DataTrak is an easy-to-use, Web-based club-management software that makes use of advanced, secure, Internet-based technology to provide immediate access to member data. The system streamlines daily club operations, systemizes business efficiencies, and maximizes billing and collections. DataTrak includes check-in, point-of-sale, credit-card processing, fingerprint- and pin-coderecognition technology, electronic agreement entry, inventory control, on-account charging, session tracking and scheduling, prospect and member management, gift cards, time clock and commission-tracking, dashboard and customized reporting, and a 24-hour-access door interface.

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The DataTrak Franchise Edition combines club-management software with a customizable corporate platform and franchisespecific software branding. Franchisors can oversee sales and daily operations by specific clubs or region; track key performance indicators; project growth; identify and manage franchise trends; and support franchisees with on-site configuration, software training, and live, 24/7 technical assistance. Clients can customize their operations with check-in, POS credit-card processing, fingerprintrecognition technology, electronic-agreement entry, inventory control, on-account charging, and much more.

Gift Cards ABC Financial’s gift cards are fully integrated with DataTrak. Clubs’ corporate-branded gift cards can be used company wide.

These re-loadable gift cards can be used over and over and do not require the purchaser to be a member of the club.

erobics & Fitness A Association of America See our ad on Page 13

Multitraining Live AFAA’s Multitraining Live online video conferencing system is a convenient and cost-effective way to meet, collaborate, and educate. Multitraining Live is a browser-based system that requires no special software to download or install, and is flexible enough for personalized one-on-one training sessions, as well as for demonstrations for hundreds of participants. Multitraining Live is a convenient and secure way to conduct group-study sessions; one-on-one coaching; third-party-authenticated exams; provider CEU programs; client training; networking events; product demonstrations; and more.

ffiliated Acceptance A Corporation See our ad on Page 80

NEW MYiCLUBonline The MYiCLUBonline self-service member portal is a Web-based application that allows clubs to enroll new members online, and provides current members with access to their account information.

With MYiCLUBonline, prospects can join the club; current members can manage their classes, book appointments, review their check-ins and purchases, and verify and update their account information.

MYiCLUBonline appears seamlessly from your own club’s Website or from a dedicated site customized to your club’s brand.

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FrontDesk Software FrontDesk software from AAC makes it easy to manage critical day-to-day operations from a single interface. Check-in, employee time clock, scheduling, contract wizard, member manager, and point-ofsale are just a few of the vast capabilities of this program. The software also includes features designed to support member retention and new prospect efforts. With mail merges and LabelMaker, it’s easy to produce promotional material, newsletters, and even birthday and greeting cards.

| Innovations | FIT Extra Computer Applications AptusSoft

ASF International See our ad on the French cover

Enterprise Online Activity Management Module CMS2.4 AptusSoft CMS2.4 is priced and packaged to suit small to large multi-location facilities with single and/or multi-activities. It offers instant access to critical business information. AptusSoft CMS2.4 focuses on improving retention and profits at every step, through an integrated package that includes comprehensive member management, communications, and profiling; multi-mode check-in; touch-POS; in-house and online scheduling; tracking of member performance results; end-user designable reports; set up rewards for members; and low-cost AR/member services.

AptusSoft’s Enterprise Online Activity Management Module is available to health club members 365 days, 24/7, and is securely accessible from anywhere. It seamlessly manages multiple programs and services, such as tennis, basketball, and childcare, both in-house and online; it can also transform a club’s Website into a retail environment where members can view merchandise and make purchases.

The AptusSoft program is designed to boost retention and drive additional profits for all facilities, franchises, or chains.

PASS A FRIEND Member Referral Program Member referrals are an effective way for clubs to market themselves. To encourage members to refer their friends and family, it’s important to give them an incentive. The PASS A FRIEND program from ASF International does just that, plus it helps clubs track their prospects, attendance, and sales-conversion ratios to help create the ultimate referral-management system.

Health and Performance Tracker CMS-Online Member Access AptusSoft’s CMS-Online is a memberretention and revenue-generation tool that allows club members to review and modify their profiles online; update and manage a buddy list; review and accept contracts; view, check availability, and schedule classes in real time online; communicate with the facility; and purchase pro-shop or retail items online.

Available 365 days, 24/7, this software is securely accessible to users from anywhere, and can help increase revenues for all facilities, franchises, and chains.

AptusSoft’s Health and Performance Tracker is designed to help increase retention quickly. Using this module, members may log, track, chart, and analyze their workouts; be encouraged to maintain exercise adherence; securely share personal details with their instructors and physicians; review results; and access and plan daily and weekly nutritional intake.

This innovative module is securely accessible 365 days, 24/7, and is suitable for all facilities, as well as franchises and chains.

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Scheduler Personal training can be a huge revenuegenerator for clubs, but the logistics of tracking programs can become complicated.

The Scheduler helps manage all aspects of a club’s PT program: scheduling and changing appointments, tracking training packages sold, preparing trainer payroll, and more. It can also send trainers automated text messages to notify them of new, changed, and canceled appointments.

The Scheduler is integrated with ASF’s Point-of-Sale program for detailed sales and usage tracking.

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Service & Support ASF’s knowledgeable staff is easily accessible by phone, e-mail, or instant

messaging for quick, friendly service and support. The company pledges to do everything to help its customers and their members feel comfortable with its services. Clients receive unlimited training, tech support, client support, and filetransfer services. Plus, members have access to a team of customer service representatives for assistance, or they can check their accounts online through ASF’s Online Member Center.

Software & Internet ASF’s cloud-based management software helps clubs manage their member accounts and receivables, and streamline club operations. It simplifies numerous tasks, including: point-of-sale; member and childcare attendance; paperless contracts; personal training sales and appointment scheduling; financial reporting; and more.

This all-inclusive package is available to ASF clients, and is suitable for single and multi-club operations. It can be integrated with 24/7 key-card access systems for controlled entry, based on account status.

Aspen Information Systems, Inc.

Profit Center Made Simple.

“In our advertising campaigns, we offer “10 free massage sessions!”, and people can’t believe it. When they come in, they like it, we show them the gym, and we sign them up with a package. So it’s been an amazing tool for sales.”

Buy it and plug it in... how much easier can it get?

HydroMassage ® is an unattended profit center that offers your members a fantastic massage every day.

 No additional staff  No inventory to control  No major renovations Most importantly, your members will pay an extra $10-20 per month for a HydroMassage ® package.

Anthony Burton, Anytime Fitness - Greenville, SC

Trusted by doctors and industry leaders for over 20 years to provide the benefits of massage without hiring or managing a massage therapist.

Call for a FREE DVD

1.800.786.1930 - www.hydromassage.com/club

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Visual Clubmate Visual Clubmate offers member management, a prospect database, paperless contracts, fitness assessments, exercise prescriptions, activity logging, check-in, club rewards, video imaging, DecisionMate, credit book, scheduling, touch-screen POS, fingerprint ID, driver’s license dataentry, inventory, EFT, and receivables management. A modular approach allows managers to choose from a variety of powerful, easy-to-use, and unique software tools. These modules focus on three vital points of a club’s business success: managing cash, acquiring new members, and retaining existing members.

| Innovations | FIT Extra Computer Applications Coral Springs Software

helps streamline membership management and better integrate customersupport processes with membership services in a single system. The system can help define membership validity timeframes, fee structures, membership types, payment terms, renewals, and many other features. It’s available with card printers to allow immediate membership access at the point-of-sale. The suite is an open-source software solution under license GNU/GPL v3.

e4Soft, Inc.

e4soft Suite e4Soft specializes in membership and access management. The e4Soft suite

QuikCheK Suited for health clubs, personal training studios, and wellness centers, the dynamic and easy-to-use QuikCheK software modules include check-in, point-of-sale, scheduling, EFT billing, sales and marketing, retention, and personal training.

Reports are provided on usage, memberships, and POS income. The company also offers QuikStudio, a complete package for training studios that includes a scheduler, member database, check-in, session countdown and tracking, and trainer payroll calculator. QuikCheK’s affordable products come with updates and customer service.

Manufacturer’s list price: $5,000.00

CSI Software See our ad on Page 33

ARE YOU FIT

Spectrum NG CSI Software is a leading provider of club management software and membership management software and services. CSI Software’s product, Spectrum NG, is designed to allow information workers to drive greater business success. Leveraging Microsoft.NET and SQL Server, Spectrum NG expands on the benefits of CSI’s previous products and remains an integrated set of programs designed to empower people to get better results more quickly.

FOR BUSINESS? Find out with our Business Boost Report available at lesmills.com/boost

Independent research shows that members attend Les Mills group exercise classes 3.7 times per week compared with the industry average of 1.87 visits per week*. Get members through the door more often and add a new dimension to your business that you can bank on. Become business fit by downloading our Business Boost Report at lesmills.com/boost *Nielsen (2010); IHRSA (2011)

LES0002 Trade Press_HalfPage_Island.indd 1

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NETA has been helping fitness professionals launch their career for 35 years!

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NCCA Accredited Certifications Personal Trainer Group Exercise Specialty Certifications Indoor Cycling | Kettlebell | Pilates | Yoga CEC Provider for Most Certifications www.NETAfit.org or 800-237-6242 store ad .5 page-1211CBI_store .5pg ad-0112 11/30/11 12:43 PM Page 1

E S A E L E R W E N IHRSA’s 2011 Profiles of Success Each year, IHRSA’s Profiles of Success provides detailed information about health and fitness club benchmarks and other aspects of club performance, including membership growth & traffic, facility reinvestment, expense management, and more. Your business library is not complete without this key report!

Learn more and purchase your copy at: ihrsa.org/industry-research Questions?

Contact store@ihrsa.org or call +1 617-316-6811.

International Health, Racquet & Sportsclub Association | Seaport Center, 70 Fargo Street, Boston, Massachusetts 02210 USA

®

| Innovations | FIT Extra Computer Applications eXerp

services, allowing clubs to add new members, create contracts, schedule visits, track usage, and manage member data.

EZFacility, Inc. See our ad on Page 105

EZFacility Scheduling & Club Management Software

ClubLead Chains that make use of eXerp’s ClubLead software benefit from reduced administrative costs, improved customer retention, and protection against fraud and profit leakage. ClubLead’s integrated functions include: a financial system, reporting, funds transfer, debt collection, membership management, point-of-sale, prospecting, retention management (CRM), class booking, staff scheduling, and corporate-agreement management. eXerp is among Europe’s leading providers of enterprise information systems for the leisure industry, serving more than 500,000 club members in seven countries.

EXTERRA SYSTEMS: Pre-finished Exterra hardwood floors deliver maximum shock absorption.

EZFacility Full-Service Billing, Processing, and Collections Services EZFacility, through its eFit Financial subsidiary, provides full-service billing, processing, collections, and member call-center services that allow club owners to focus 100% of their daily attention on growing their business and satisfying members. EZFacility’s fully functional Web-based scheduling, billing, and membermanagement software provides an easyto-use interface to its outsourced financial

EZFacility provides Web-based scheduling, billing, member-management, and reporting software for health clubs of all sizes. Manage trainers, instructors, packages, club memberships, point-of-sale transactions, and payroll; enjoy detailed financial reporting; and give members Web-based self-service access to purchase new packages and schedule sessions. This simple yet highly effective club-management tool streamlines operations and is available starting at only $49 per club per month.

MODULAR FLOORS: Premium DuraFLEX flooring offers strength, comfort and lasting aesthetic appeal.

RUBBER FLOORING: Heavy-duty Flecks Speckled in convenient rolls, squares or interlocking tiles.

FLEXIBLE FLOORS. VERSATILE VALUE. SIMPLY THE BEST FLOORING IN THE BUSINESS. Designed exclusively for commercial fitness facilities, our highperformance wood, rubber and modular flooring systems provide unequalled quality and lasting value matched with easy installation and carefree maintenance. Call us for a FREE flooring system consultation. Call

Today 1.800.428.5306

LASTING VALUE UNDER FOOT www.fitnessfloors.com 6801 Lake Plaza, Suite 105-A, Indianapolis, IN 46220 Telephone: 317.849.6181 Fax: 317.842.5384 ©2010 Fitness Flooring, Inc.

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| Innovations | FIT Extra Computer Applications Face2Face Retention Systems

Fiserv

EFT—Payment-Processing Services

See our ad on Page 7

Reduce billing costs and get paid faster by using payment-processing services from Fiserv. With fully integrated software and electronic funds transfer (EFT) processing, clubs automatically collect membership dues in full, on the due date, for direct deposit into their accounts.

Because EFT reduces invoicing costs, postage, and late payments, overall billing costs are reduced and reconciliation is quick and easy. In addition, credit cards can be processed using the credit card gateway from Fiserv.

Compete Compete from Fiserv offers clubs of all sizes easy-to-use functionality and improved employee productivity. It includes: check-in, This comprehensive retention, sales, and point-of-sale, configuration, data entry, marketing module software helps maximize billing, standard reports, and integrated member relations and boost profit centers point-of-sale credit-card processing. and programming. Among its features: To increase membership and improve fully intuitive scheduling, sales, and member satisfaction, additional modules prospect management; attrition-risk client can be added, such as: sales prospecting, alerts; automated e-mail and SMS systems; member self-service, scheduling, locker PT sales, bookings, and client management; management, nursery monitoring, and and staff management. This system runs gift card purchase/redemption. Finally, parallel to existing front desk financial, to manage the club’s business more effiPOS, or billing systems, and on multiciently, advanced reports and electronic user local or Web-accessed platforms. agreements/contract-management can Manufacturer’s list price: $295.00 GP ad .5p-0611CBI:webinars .5pg ad-0611CBI be added. 4/28/11 1:37 PM Page 1

Face2Face Retention

Managed Billing Services Fiserv offers outsourced billing, collections, and member call-center services with a professional staff that manages customers’ data under the club’s direction. New contracts, additional services, visits, club charges, and member changes hit the system immediately without requiring club staff to update them. Fiserv also performs due-diligence billing research, providing notification of important data

“Watch the pennies and the dollars will take care of themselves.”

– Benjamin Franklin

Are you spending too much on janitorial and maintenance supplies?

What about energy and lighting?

Not sure? Check out IHRSA’s Group Purchasing program and see if you can get a better deal on these and other products and services.

Shop. Compare. Save.

Visit ihrsa.org/grouppurchasing or email grouppurchasing@ihrsa.org for more information.

International Health, Racquet & Sportsclub Association • Seaport Center, 70 Fargo Street, Boston, MA 02210 USA • 800-228-4772 (US/Canada) +1 617-951-0055 (international)

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| Innovations | FIT Extra Computer Applications trends or issues. The Fiserv team is an economical alternative to hiring back-office staff.

fitRewards

FitView

Fitness EMS NEW fitRewards NEW FitnessEMS.com— Equipment Management System FitnessEMS works with any CRM software, making it possible for operators to manage their club’s fitness equipment and other facility assets. By doing so, it provides the missing piece in the puzzle of profit and club management. This cloud-based system can save staff time, reduce equipment downtime, and increase membership and profits. FitnessEMS plus CRM equals total club management.

fitRewards is a loyalty program that can be customized to each health club’s mission. Using incentives, fitRewards helps keep members motivated, improve referral lead generation, and boost profit center revenue. As members complete incentivized behaviors, they earn points that are redeemable online for a huge selection of quality brand-name merchandise, club embroidered products, and club services.

No inventory is required. The company aims to ensure that members are motivated, recognized, and rewarded.

FitView FitView provides tools for the professional coach to help ensure success over the long term. Forged in testing with leading coaches in personal training, bootcamp, and CrossFit environments, FitView resources help to engage and retain members for life.

Manufacturer’s list price: $99.00

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| Innovations | FIT Extra Computer Applications Gantner Electronic GmbH

iGo Figure, Inc. See our ad on Page 14

Information Terminal GAT Info 6800 / Time Control Terminal GAT Time 6800

Check-in/out terminal GAT Access 6350/6500

GANTNER Electronics has expanded The check-in/out terminal GAT Access its product line for access and payment 6350/6500 offers user-friendly control of systems in health clubs, spas, and leisure turnstiles using a chip card or bracelet. It resorts. The Information Terminal GAT features a fully graphic display; resistant Info 6800 is extremely user-friendly, with chrome steel housing with safety glass; its color touch-screen and active user and a large, integrated traffic light disguidance. The display shows all user play. Communications are handled via information, including locker number, Ethernet or an RS 485 interface, with contract details, remaining balance, emergency operation provided in the credits, and more. The line also includes event of a server failure. The terminal check-in/check-out terminals in various can be integrated into pillars and turnconfigurations, which are compatible with stiles, and thereby suits virtually any all existing GANTNER system components. suppliers ad .5requirement. page-0112CBI_suppliers .5pg ad-1011CBI 11/29/11 9:25 PM Page 1 architectural

Welcome New IHRSA Associate Members.

iGo Figure Membership & Business Management Software is easy to use and designed to save health clubs time and money. Payment processing is easy with integrated credit card processing and EFT processing. Scheduling, employee compensation, POS sales, and inventory management are managed through the iGo Figure Software. Plus more than 100 reports and a custom-report generator provide details about one’s business. It also

Advantech Corp 800-866-6008 advantech.com

Jumprope.com 877-870-JUMP jumprope.com

Bold Concepts 813-957-6395 boldconceptsmedia.com

Muscle Up Marketing 800-516-4480 muscleupmarketing.com

Boundless Nutrition 877-330-8446 boundlessnutrition.com

Protech Chemicals Ltd. 514-745-0200 protechpowder.com

California Natural Products 209-858-2525 sveltebrand.com

Seggie Insurance Services, LLC 714-362-1173 seggieinsurance.com

Clear Edge Power 503-214-1777 clearedgepower.com

ST Industries/Rumble Roller 800-273-3843 rumbleroller.com

Core Stix 310-529-6923 corestix.com

The Quick Board, LLC 901-826-2551 quickboard.com

IHRSA welcomes this month's new Associate Members.

These leading companies offer the products and services your business needs to succeed in the rapidly competitive club market.

EKHO Assessments 612-922-3766 ekho.us

XeComm Corporation 703-621-4620 customerwon.com

For information on up-to-date products and services in the health club industry, go to ihrsa.org/products.

Grizzly Fitness 800-265-4504 grizzlyftness.com

Time to get Down to Business!

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| Innovations | FIT Extra Computer Applications offers mass e-mail capabilities, mailing labels, and an integrated retentionmanagement e-mail service. Free upgrades, technical support, and training are unlimited.

Iron Grip Barbell Company

quantities of dumbbells and Olympic bars, and recommends racks when necessary. The eWeight Planner includes equipment from 13 of the top strength-equipment providers.

Links Modular Solutions

Les Mills International, Ltd. See our ad on Page 85

Iron Grip eWeight Planner Iron Grip’s online eWeight Planner is a fast and simple way to calculate the appropriate number of free weights for a fitness facility. The Planner generates suggested weight-plate breakdowns, depending on the type and amount of plate-loaded strength and free-weight equipment selected. It also suggests

Links Modular Solutions Links Modular Solutions provides cutting-edge software solutions for health clubs, including member link, retention link, facility link, POS link, pay link, class link, and Web link. For clubs looking to reduce administration and labor costs, as well as increase revenue, Links is a single-source solution for online memberships, auto pay, program management, marketing, RFID access, inventory control, and self-serve kiosk technology.

CLUBCOUNT Les Mills’ CLUBCOUNT is Web-based software that helps health clubs build profitability by managing their group fitness schedule more effectively. The software provides essential tools to plan, evaluate, schedule, and report on group fitness attendance and performance.

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| Innovations | FIT Extra Member Solutions

NEW Member Management Solution Tightly integrated with a health club’s billing and service functions, this Web-based, PCI-compliant, front-desk application provides quick check-in, automated alerts, member communication, real-time activity tracking, point-of-sale, and credit-card processing to help a club’s management and staff optimize sales, retention, and cash flow. Just $75 a month provides unlimited access to a business location.

Manufacturer’s list price: $75.00

MicroFit

RUBBER FLOORING

Fitness Centers ■ Weight Rooms Budget-Priced 48" x 72" GYMATTS

Single-Piece POWERPADS up to 6' x 16'

Low Nationwide Freight Rates!

Factory-Direct Prices!

TOP MAT II Rolls, Squares or Interlocking Tiles

Linear Rubber Products

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MicroFit Fitness Assessment System Since 1986, fitness facilities have used MicroFit to elevate their business image and increase revenue. When new members experience this high-quality, oneon-one fitness assessment, they benefit from expert knowledge on fitness and wellness, and the staff’s dedication to helping them achieve their personal goals. This typically turns an average member into a loyal member: one who signs up for personal training services and stays with the club for a long time.

| Innovations | FIT Extra Computer Applications MINDBODY, Inc.

NEW MINDBODY, Inc. MINDBODY Health Club Business Management Software is designed to manage all of a club’s business needs online. Trusted by thousands of companies worldwide, MINDBODY helped clubs increase their annual sales by an average of 23% in 2010, employing features such as online scheduling, staff and member management, auto-renewing memberships, and e-commerce solutions. The company also offers a free mobile app, an integrated merchant account, swipeable ID cards and tags, and auto-text and e-mail reminders.

Financial Services Motionsoft offers three managed billing and collections programs—full service, QuickStar (EFT), and Managed QuickStar (EFT). All three seamlessly interface with the company’s award-winning CX and eClubLogic club-management software and the new MoSo cloud solution, to help health clubs operate with financial confidence. The QuickStar line includes secure and PCI-compliant credit card and EFT processing, and customized monthly statements for family, corporate, and third-party billing, allowing operators to focus on serving club members.

Online Member Portal—myClub

myClub is the online portal piece of Motionsoft’s “Get Them, Keep Them, Know Them” strategy for member management. myClub links a health club’s CX, eClubLogic, or MoSo software from Motionsoft to its existing Website, connecting members to the club whenever they want, and freeing up resources and staff to service people onsite. myClub enables prospects to join online, and lets members securely access their accounts to update info, pay balances, purchase personal-training services, and more.

IHRSA - Club Intern Salsbury Ind

Runs in: Jan, Mar, May, July, Sept, Nov

Manufacturer’s list price: $70.00

Motionsoft, Inc. See our ad on Page 5

Club Management Software Motionsoft’s Software-as-a-Service (SaaS) and financial solutions are designed to help health clubs manage their business wisely. The Business Management Suite includes MoSo, CX, and eClub Member Management Software, Quickstar Billing, myClub online member portal, the Data Warehouse for Business Intelligence, and a range of back-office services. Recently recognized in Inc. Magazine’s annual 500/5000 report as one of the fastest-growing private companies in America, Motionsoft serves nearly 2,000 clients in the U.S., Mexico, Canada, and Europe.

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| Innovations | FIT Extra Computer Applications National Fitness Financial

Fitness Software National Fitness Financial’s e-Club Success (ECS) Software helps manage health clubs and their finances. Broad in scope and powerful in delivery, ECS is easy to use and seamlessly integrated into club operations. The comprehensive software includes sales and prospect management, an online scheduler, check-in, personal training management, a digital contract writer, pointof-sale, and an employee time clock.

ECS reports are specifically designed to increase profits by efficiently managing the club, memberships, and employees.

Paramount Acceptance See our ad on Page 18

Club Management Software Solutions For nearly 40 years, Paramount Acceptance has provided computer software solutions and billing services to the health and fitness industry. Paramount’s club-management software offers a robust, flexible platform, and efficient billing services improve accuracy and increase cash flow. The company’s complete software suite includes a digital contract writer, scheduling, personal training, tanning, childcare, prospecting and sales, corporate Web sales, POS, custom commissioning and reporting, front desk management, real-time dashboard reporting, and more.

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Shape.net Software

QClub Enterprise Club Management System

Club Management Software

The QClub Enterprise Club Management System includes intuitive workflows and comprehensive configuration options that enforce business rules and enable authorized employees to process paperless member enrollments, changes, freezes, cancellations, and renewals.

Automated billing and POS–settlement processes, including revenue-deferral and recognition, are integrated with this PCI-compliant payment-processing system. Modules include front desk, point-of-sale, scheduling and session package management, and Web portals.

QComp QComp is a companion application to the QClub Enterprise Club Management System. It provides extended reporting capabilities as well as variable compensation management that enables customers to monitor and maintain sales quotas, commissions, and bonuses for sales and fitness teams. QComp can also be interfaced with existing payroll and time clock systems.

QCRM QCRM is based on Sage CRM, an award-winning, browser-based application.

QuanComm extended its native capabilities to design this CRM application specifically for health and fitness clubs. QCRM provides workflow automation for sales, marketing, and customer care, enabling the capture of every touch point with prospects and members. QCRM is integrated seamlessly with the company’s QClub Enterprise Club Management System, providing a complete, 360-degree view of the membership base.

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Shape.Net has been providing Web-based management technology to the health and fitness industry since 2002. One system can effectively manage the entire business, including personal training management, membership management, EFT, scheduler, fitness assessments, digital contracts, check-in (fingerprint and key tag), point-of-sale, gift cards, member and trainer log-in access, videos (instructional exercises), prospect- and retention-management, expense tracking, collections, and financial reports. Shape.Net also offers free software training.

Technogym See our ad on the back cover

Wellness System The Wellness System is a customerrelationship-management (CRM) platform that combines Technogym equipment with training management, easy-to-use application software, cutting-edge electronics, and facility staff. The Wellness System provides customized and/or pre-programmed workouts that use accountability and feedback to maintain motivation. A wireless Smartkey hosts the user’s program and connects with Wellness System components, including cardiovascular machines, strength equipment, and feedback stations.

Personal trainers can monitor member compliance, attendance, and interests to increase utilization and retention.

| Innovations | FIT Extra Computer Applications management reports. Enhanced Internet-enabled features integrate with the desktop software and provide club-management functionality, all accessible from the Internet. Upgrades, training, and technical support are included.

win Oaks Software T Development, Inc. See our ad on Page 28

Visual Fitness Planner

Wellness System Contact Manager The Wellness System Contact Manager application helps fitness facilities keep in close touch with their members. Among its capabilities: identifying members who have recently joined; those due to renew; and those requiring assistance. Contact Manager also suggests tasks based on membership types, which the facility can prioritize and personalize via a color-coded alert system. The software also provides extensive information about each member, and can communicate with them via e-mail or text messages.

Integrated Billing and Club-Management Software Twin Oaks’ club-management software provides comprehensive tools for managing health clubs, including: PCI-DSS-compliant EFT billing; receivables management; and full-featured, easy-to-use software with integrated member e-mail communication, touch-screen point-of-sale with personal training and gift certificate tracking, booking and scheduling, paperless contracts, reciprocal club check-in with data-sharing capabilities, and

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Visual Fitness Planner — Sales Fusion The Visual Fitness Planner (VFP), through its Sales Fusion turnkey system, provides a lead-tracking CRM system (TouchPoint) and an automated sales presentation technology (Visual Fitness Planner, or VFP). VFP calculates members’ health risks for diseases, predicts

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| Innovations | FIT Extra Computer Applications their “health age,” creates a “before” and “after” 3-D avatar of their body, and calculates the time it will take to achieve their goals. In this process, it helps increase membership sales, personal training sales, and retention.

tion, member profiles, services, classes, appointment schedules, invoices, and payroll. Secure and simple, Volo is ideal for professionals at every level, from independent trainers, to managers of multi-location health club companies.

Manufacturer’s list price: $30.00

Volo Innovations

delivers marketing campaigns within BookNow, which enables club owners and operators to cross-promote products, services, and events to members during the booking process. By combining BookNow and XpironMedia, facilities can maximize each member’s club usage.

Xpiron, Inc.

Missed an Issue?

Did you know you can access the full text of CBI articles from as early as 2001 on IHRSA’s Website?

Volo Innovations Volo offers automated billing, integrated scheduling, member tracking, staff management, inventory, and business reporting in one easy-to-use system.

Volo’s online scheduling and automated billing management software allows users to organize vital information in one integrated place, including staff informa-

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BookNow Xpiron provides online booking and communication services to more than 200 health clubs in North America.

Xpiron BookNow helps clubs increase non-dues revenue and boost utilization by providing self-booking access to club members. In addition, XpironMedia

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You can also download entire past issues, and purchase reprints!

To learn more, visit ihrsa.org/cbi.

Special Advertising Section

| Innovations | BuyersMart

»

Product Profiles The BuyersMart is an effective shopping tool—one that allows you to find out about a wide range of products and services without leaving the comfort of your club. The following companies are also listed on ihrsa.org/buyersmart, where an advanced search function enables you to find the companies and products you are looking for easily. For detailed contact information, please refer to the advertiser index at the end of this section.

SPOTLIGHT

Supreme Audio The Leader in Sound and Entertainment Systems for Gyms New …“The Entertainer” 3-Band (FM, 900 MHz, and 2.4 GHz) Wireless Entertainment System by SupremeVision. Receivers and transmitters are 100% compatible with all your current entertainment system components! FREE “Professional Audio Buyer's Guide” featuring SupremeProAudio, Samson, Shure, Telex, and Audio-Technica wireless microphones, variable speed CD players and tape decks, speakers, and amplifiers. Wireless entertainment systems, personal LCD screens digital signage, and studio lighting. Largest selection of components with 100%-secure online shopping. Competitive prices. Free Lifetime Technical Support. Our experience has made the difference since 1975! » For more information, please contact us at P.O. Box 550, Marlborough, NH 03455, call Jane Plaugher, V.P.- General Manager at 800-445-7398 or visit www.SupremeAudio.com. i h rs a . o rg

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Special Advertising Section

| Innovations | BuyersMart ABC Financial

Aeromat Aeromat/EcoWise 2070 Zanker Road San Jose, CA 95131 Toll-Free: 877-278-6158 Fax: 707-221-4040 info@aeromats.com aeromats.com ecowisefitness.com Aeromat/EcoWise Fitness Products specializes in supplying high quality mats and related fitness products to the fitness, sporting and rehabilitation industries, and offers the market both product innovations and brand name recognition. » For a dealer near you, call today!

Call toll-free: 877-278-6158 or visit aeromats.com or ecowisefitness.com.

ASF International

Fistbells

Let ASF Help You Unlock the Full Potential of Your Business!

Unique Payment Solutions

Cloud Based Software

• EFT & Credit Card Processing • Recurring Payment Systems • Merchant Services

• Intuitive Financial Reporting • Integrated POS Applications • Streamlined Scheduling

Dumbbells, kettlebells, and now introducing FISTBELLS, new patent-pending hand-held free weights with unique weight distribution providing alternative muscle resistance and exercise versatility. FISTBELLS enhance grip and forearm strength and accommodate rotating push-ups differentiating them from dumbbells and kettlebells. FISTBELLS are ideal for strength, cardiovascular, functional, MMA, and box training. Invented and Made in USA.

» asfinternational.com 1-800-227-3859

» Discover! FISTBELLS® @ IHRSA 2012

Fitness EMS

National Posture Institute (NPI) NPI Certified Posture Specialist™ & Resistance Training Professional 7 DVD Series • NPI’s Certified Posture Specialist (CPS) certificate program teaches fitness/health professionals to assess and correct their clients/patients posture and body alignment • NPI’s Resistance Training Professional DVD series teaches professionals scientifically and biomechanically designed resistance training movements to correct their client’s posture and body alignment and teach injury-free exercise movements for the entire body » Visit NPI at npionline.org or call 888-240-2914

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Special Advertising Section

| Innovations | BuyersMart The Quick Board

Tune Belt Cardio Entertainment Accessories & Instructor Supplies • Armbands for iPhones, iPods & More • Microphone Belts & Batteries • Ten Quality Headphones

The Quick Board’s technology requires athletes to focus their eyes on the control panel in front of them – as opposed to their feet – while performing drills. This interaction improves fitness, agility, foot speed and reaction because it replicates game situations when athletes are forced to play with their heads up.

The Quick Board is scientifically proven to improve agility. » TheQuickBoard.com

For free samples & pricing Call: 1-800-860-1175 Visit: tunebelt.com

See your ad here!

Contact Meg Burnham at mb@ihrsa.org to advertise in BuyersMart.

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» ABC Financial Services, Inc. abcfinancial.com | 800-551-9733

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» National Posture Institute (NPI) npionline.org | 888-240-2914

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» Aeromat/EcoWise Fitness Products aeromats.com | 877-278-6158

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» Supreme Audio - Fitness Audio supremeaudio.com | 800-445-7398

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» ASF International asfinternational.com | 800-227-3859

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» The Quick Board thequickboard.com | 901-826-2551

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» Fistbells fistbells.com | 202-286-3110

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» Tune Belt, Inc. tunebelt.com | 800-860-1175

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» Fitness EMS fitnessEMS.com | 770-807-3026

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If you can’t beat ‘em, join ‘em.

Transform your gym and join one of the fastest growing franchises in America.

BEFORE

AFTER

Retro Fitness Average Gross Sales Per Unit of $1.9 Million, and Average Revenue Per Sq. Ft. of $143.24* To learn more call 201.867.5309 or visit RetroFranchising.com

Retro Fitness ranked one of the “Fastest Growing Franchises” for 2011 by Entrepreneur magazine

*The top 10% of Retro Fitness clubs experienced average gross sales per unit of $1.9 million from March 2009-February 2010. Revenue per square foot is derived from average gross sales numbers published in Item 19 of our 2010 FDD. This is not an offer to sell a franchise. Offerings made by prospectus only.

IHRSA Report First Set 103 | In Brief 104 | Ask the Entrepreneurs 106 Member News 108 | Calendar 114 | Coming Soon 114

A new study, conducted at Iowa State University, in Ames, suggests that even short-term exercise can help prevent the flu. Students who exercised for just 90 minutes after receiving a flu shot had about twice the antibody response to the vaccine, reports researcher Marian Kohut, a professor of kinesiology at the university. —|

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| IHRSA Report | First Set

®

The International Health, Racquet & Sportsclub Association is a not-for-profit trade association open to investor-owned and member-owned fitness, racquet, and athletic facilities. Associate memberships are available to manufacturers or suppliers of products and services of use to IHRSA members.

800-228-4772 USA & Canada 617-951-0055 International 617-951-0056 FAX ihrsa.org healthclubs.com E-mail: info@ihrsa.org

IHRSA Board of Directors Art Curtis: Chairperson 617-476-8910 David Hardy: Franvest Capital Partners 780-953-4273 Kilian Fisher: Greinwalder Marketing Services International +353-89-4322125 Chuck Runyon: Anytime Fitness 651-438-5000 Kay Yuspeh: Elite Sports Clubs 262-786-0880 Bill McBride: Club One 415-477-3000 Richard Bilton: Companhia Athletica +55 11-5188-2000 Carol Nalevanko: DMB Sports Clubs 480-609-6979 Brent Darden: TELOS Fitness Center 972-458-2582 Scott Gillespie: Saco Sport & Fitness 207-284-5953 Christian Pierar: De Fitness Organisatie +32 9-232-5036 Jasmin Kirstein: My Sportlady Fitness +49 89-201-4248 Robert Brewster: The Alaska Clubs 907-337-9550 David Patchell-Evans: Ex-officio GoodLife Fitness Clubs 519-661-0190 ext. 238

It’s Time for Prevention!

Approximately 32 years ago, I posed a novel notion to some cardiologists and cardiac surgeons: Wouldn’t it be better to invest more to try to prevent severe coronary conditions or delay the onset of coronary disease rather than focus primarily on repair and rehabilitation after the disease had developed?

The first time I did so was during a two-day meeting for physicians involved with the outpatient cardiac rehabilitation programs at their respective hospitals. I was the only non-physician among the speakers and the last listed on the schedule.

The lineup provided a clear sense of the priorities, then, in healthcare: treat and rehabilitate with little thought given to prevention.

The event began with presentations on some of the latest surgical techniques, and continued with detailed descriptions of the newest drugs for treating cardiac and vascular disorders, Art Curtis followed by the latest information on rehabilitation. Finally, IHRSA Chairperson almost as an afterthought, at the end of the second day, it was my turn to speak about diet and exercise and their role in preventing cardiovascular disease.

I began my talk before this distinguished group by observing that perhaps—just perhaps—we were approaching the problem backwards. Wouldn’t it be more effective, I asked, to put prevention first, in part by developing sound approaches to help patients adopt healthy lifestyles, reducing the incidence of disease and the need for surgical and pharmaceutical interventions?

A few weeks later, at a similar gathering, my address was positioned up-front.

The attitude toward prevention was slowly beginning to change.

Today, prevention has moved to the forefront among policy makers. In the 2011 Moscow Declaration, the world’s health ministers called for more attention to be paid to healthy diets and physical activity. In Preventing Chronic Disease: A Vital Investment 2011, the World Health Organization (WHO) defined the scale and severity of the problem and posited the need for serious action.

IHRSA, as many of you already know, has embarked on a mission to help make the world a healthier, more prosperous place by focusing on prevention; one impressive example of its commitment is its Campaign for a Healthier America (see ihrsa.org/campaign). Together, as an industry, we have a unique opportunity to make a dramatic, telling contribution.

Will you join the movement?

Health-prevention is good for everyone. And it’s also good for your business! —| – Art Curtis, artcurtis31@gmail.com ihrsa.org

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| IHRSA Report | In Brief

The National Physical Activity Plan: What’s at Stake?

T

he most recent World Health Organization (WHO) report on noncommunicable diseases declares that, “Death is inevitable, but a life of protracted ill health is not.” The document goes on to say that “chronic disease prevention and control help people to live longer and healthier lives.”

It would appear, however, that the majority of Americans, as well as populations worldwide, are living lives of extended poor health, often characterized by obesity and chronic disease. According to WHO, chronic diseases are, by far, the leading cause of death in the world, responsible, each year, for 63% of all fatalities worldwide and a shocking 87% in the U.S. In light of what many see as a looming health crisis, leading national and global public health authorities—including the U.S. Centers for Disease Control and Prevention (CDC), the U.S. Surgeon General, and WHO—called upon the U.S. to adopt a unified framework to address chronic disease via primary prevention.

That led, in 2010, to the development of the National Physical Activity Plan (NPAP).

It’s a large plan with many moving parts, aimed at transforming American communities into fitness-friendly environments. “Our country’s first-ever National Physical Activity Plan lays out a vision that, one day, all Americans will be physically active and will live, work, and play in environments that facilitate regular physical activity,” explains Joe Moore, IHRSA’s president and CEO. The plan’s strategies include grassroots advocacy, education, and providing tools and research for program research and implementation.

The ultimate goal of NPAP is not merely to promote physical activity; rather, it’s to save lives—millions of lives—by preventing chronic disease, fighting obesity, and improving the overall health and well-being of every American. More than half of all Americans suffer from one or more chronic diseases.

In September, the United Nations (U.N.) General Assembly held a high-level meeting to discuss the devastating impact that chronic diseases are having around the world. Not surprisingly, they reached the same conclusion that prompted the development, two years ago, of NPAP. The resolution that the U.N. meeting produced recognized “the critical importance of reducing the level of exposure of individuals and populations to the common modifiable risk factors for [chronic diseases], namely, tobacco use, unhealthy diet, physical inactivity, and the harmful use of alcohol, and their determinants, while, at the same time, strengthening the capacity of individuals and populations to make healthier choices and follow lifestyle patterns that foster good health.”

“As U.N. members formulate a coordinated strategy to prevent and control chronic diseases around the globe, we need to consider our own efforts,” suggests Moore. “What can we do to fight back the chronic diseases that we’ve allowed to multiply, out of control, in our own backyards?”

Improving the health and well-being of every American is a goal worthy of the full attention of the country’s leaders and policymakers. And, given the staggering cost of obesity and chronic diseases in this country—coupled with the dismal forecast for the life expectancy of America’s current generation of children—it demands immediate action.

Ultimately, the plan is about cultivating a community effort—if possible, a global effort—to create opportunities so that individuals can take control of their health, manage their weight, and reduce their risk for chronic diseases.

NPAP is about making America strong again, physically and economically. —|

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To learn more about the National Physical Activity Plan, log on to physicalactivityplan.org.

ihrsa.org

| IHRSA Report | Ask the Entrepreneurs

Assorted Advertising Approaches Besides referrals, what method of advertising have you found most cost-effective?

Roger Aaron, Franchisee Anytime Fitness/Iowa, Minnesota, and Nebraska

u

I have 10 clubs in eight different towns, and each one responds differently to different types of advertising. In one community, the best approach used to be coupons sent out in multi-coupon mailer packets; since those have been discontinued, the most effective method of advertising there has been hiring temps to stand on busy street corners with a sign on a pole, promoting various offers. In another town, the best strategy is remote radio broadcast. And, in another, direct mailers work best. —|

Susan Cooper, Owner BodyBusiness Health Club & Spa, Austin, TX

u

The most productive avenue, hands-down, for attracting new members is all-things-online.

We’ve been stressing our social media strategy since 2008, and, in 2010, focused our efforts on creating a revitalized Website. We don’t do paid advertising online. Instead, using our blog (hosted on our Website, which is important) and YouTube, we’ve increased our visibility on search engines. This drives prospects to our new site, which has helped us reach higher-quality prospects, who are more likely to convert. Between 2010 and 2011, we’ve increased the number of prospects and new members who’ve found us online by more than 70%. —|

Tony Rea, Owner Gold’s Gym, Amarillo, Texas

u

We’re fortunate to be located in a secondary market where you can buy a radio ad for $20.

Radio is by far our best medium for advertising our facilities—it’s second only to word-of-mouth via our member-referral program. And since we’re centrally located in Amarillo, advertising to the entire city makes sense. Our Website and social media are probably our fastest-growing media. We’re also using e-mail blasts and, in the near future, would like to try mobile media. —|

Editor’s note: If you’d like to be profiled in this column, please contact Kristen Walsh, IHRSA’s senior editor, at kwalsh@ihrsa.org.

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Save the Date!

March 16, 2012 JW Marriott Los Angeles, Ca

For more information, visit augiesquest.org/bash, or call 858.277.8206.

Presented by Augie and Lynne Nieto Co-Chairs, MDA’s ALS Division

| IHRSA Report | Member News

Value Proposition Paramount Acceptance The search for a better way to handle billing and collections led two club operators to found this sophisticated multi-solutions company

I

n 1973, Ken Melby and Bob Rice, the co-owners of European Heath Spa, a national club chain, were looking for a better way to bill services to their members and handle the contracts they were writing.

Eventually, their quest led them to found Paramount Acceptance, a Salt Lake City, Utah–based company that, today, nearly 40 years later, provides billing and payment services, comprehensive club management software, and sophisticated support to hundreds of club clients nationwide.

While the tech revolution of recent decades has benefited countless firms, it’s been especially good to Paramount.

“There’s no question that we were an early adopter,” observes Glen Bendixen, the CEO of Paramount. “We’ve been in business since ledger cards with colored tabs were considered state-of-the-art.

We were true pioneers in the fitness industry with electronic funds transfer (EFT)—that really took us to the next level. Now, the Internet is doing much the same thing. Technology has enabled us to revolutionize our entire business.”

Technology, along with Paramount’s unique understanding of clubs’ needs, and its determination to meet as many of them as possible, has also transformed it into something much more than a billing and payment company.

Club-culture smarts

Paramount itself is the product of a club culture, a relationship that continues today, giving it a unique perspective on industry needs. “The major partners in our company own a chain of 25 gyms in the Southeast, and we’ve also worked closely with a Gold’s Gym franchise here in Utah,” explains Bendixen. “These connections have helped us to maintain our expertise with respect to the policies, procedures, Automating Security and operations of fitness Over the past few years, compliance with Payment Card facilities of varying Industry Data Security Standards (PCI-DSS) has become sizes and with different increasingly important in the health and fitness industry. With demographics, amerespect to this particular issue, Paramount Acceptance is clearly nities, and budgets. ahead of the curve. “There are few things more important to a “We’ve become so club’s success, longevity, and its ability to establish trust with adept at customizing its members than full PCI-DSS compliance,” insists CEO Glen our software to meet the Bendixen. “We began paying attention to data security long special requirements before the PCI-DSS standards were created. We’re currently at of so many kinds of the highest-possible security compliance—Level 1—and we’ve fitness businesses implemented an encrypted, fully-tokenized system of securing that we now offer the credit card numbers and other sensitive data. It’s a level of service to all of our security that currently isn’t required, but one that we feel clients—customized — compelled to hold ourselves to.” | software programming that responds to their individual needs and desires.”

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CEO Glen Bendixen

»

“We were true pioneers in the fitness industry with electronic funds transfer—that really took us to the next level.

Now,

the Internet is doing much the same thing.

Technology has enabled us to revolutionize our entire business.”

| IHRSA Report | Member News

The theory underlying Paramount’s approach is critical. “It’s a simple matter. We adapt and change our product to meet a club’s needs—not the other way around,” says Bendixen. “If it’s going to be successful, a club can’t utilize an out-of-the-box software solution that requires a club to adjust its operations.

It needs a solution that conforms to the club’s existing systems and procedures.

“If you need it, we have it,” posits Bendixen, “and if we don’t have it, we’ll build it for you.”

Customization is a key component of Paramount’s value proposition, and so, too, is comprehensiveness. While its software encompasses a wide variety of functions—e.g., scheduling, point-ofsale, fitness evaluations, etc.—each module addresses as many specific tasks as possible. For example, its Personal Training module offers session tracking, backend reporting, security features, customized reporting for any metric a trainer might conceivably desire, and the module also ties into the contract-writer function.

Start-to-finish solutions For Paramount, customer service, the true value of the results its products deliver, and the final result—the software solution—are, likewise, key to the growth and success the company has enjoyed.

“Take our support efforts,” Bendixen suggests. “As far as I know, we have more bodies, per client, manning the phones than any other company in our industry. We also have one of the highest collection ratios—the most employees, per club, on the phones collecting day in and day out.”

As an example of the extra possibilities that Paramount’s take on technology affords, he notes that each module has a dashboard function that permits a club operator to drill down deep into the data. “It’s about visibility and

Paramount Acceptance’s Prospect Engine

Paramount Acceptance Pro Forma

accountability,” he explains. “The fact that the dashboard is able to create customized reports allows an owner to be as specific as possible, account for every dollar, and, consequently, decide how to go about collecting each one of those dollars.”

After nearly four decades of developing club-management software, one of the most impressive results of Paramount’s efforts is the full integration of all its products into a single solution. “What this means is real-time reporting, personal training, point-ofsale with inventory management, employee administration, front desk check-in, Sun Station tanning,” plus Bendixen continues, “scheduling, paperless contract writing, childcare management, the gympayment.com scheduling and payment portal—all of them are available in one easy-to-use software platform.

“It’s just one example of the way we attempt to anticipate the needs of our clients by creating software and systems—proactively.” —| ihrsa.org

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Year Founded: 1973 Number of employees: 100 Current revenues: N/A 2008-2009 percentage growth: 22% 2009-2010 percentage growth: 31%. —|

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| IHRSA Report | Member News

Associate Profiles

Associate News

BistroMD

Codelocks

u Created by Caroline J. Cederquist, M.D., BistroMD is a weight-loss program that delivers nutritionally sound, great-tasting meals nationwide. Every meal is handprepared by its chefs, and provides the proper scientific blend of lean adequate protein, complex carbohydrates, and healthy fat ratios to support weight loss.

BistroMD uses quality, natural ingredients, without added hormones, fillers, and unnecessary additives or preservatives, and five-day plans start at $129.95 a week. BistroMD also offers a lucrative referral program for fitness and wellness professionals. For more information, contact the company at 239-514-0700; bistroMD.com. —|

Body ‘n’ Soul Wellness Academy

u Codelocks, a manufacturer of standalone access-control products, has determined a growing need to control access within buildings. As part of a market research program, the company undertook a survey of buying habits that revealed that 57% of respondents require more access control in their buildings today, compared to three years ago. “Electronic and mechanical push-button locks provide a way of implementing access control quickly and cost-effectively,” notes Grant Macdonald, the managing director of Codelocks. “Doing away with keys is flagged up as a major benefit in many applications.” For more information, contact the company at 44-0-1635-239645; codelocks.co.uk. —|

Dinoflex Dinoflex has partnered with the Green Schoolhouse Series to provide shockabsorbent, durable, and low-maintenance recycled rubber surfacing to schools in low-income areas in the U.S. “Because Dinoflex was founded on the principle of environmental stewardship, the Green Schoolhouse Series was a natural choice for our company,” says Terry MacLeod, the CEO of Dinoflex. The Series is a unique collaboration of corporations, foundations, school districts, municipalities, communities, media outlets, and volunteers to build high-performance, environmentally sustainable, LEED-Platinum-designed green schoolhouses at Title 1, low-income public schools. For more information, contact the company at 877-713-1899; dinoflex.com. —| u

Precor, Inc.

u Body ‘n’ Soul Wellness Academy offers health, fitness, and nutrition certification programs, and participants who complete the courses earn diplomas that are recognized worldwide. Marianna Szoke is the owner of the Body ‘n’ Soul Wellness Academy; originally from Europe, she has published two of her own Pilates programs on DVD, and has created the unique Spine Balance Training program.

Body ‘n’ Soul has the proprietary license for teaching The Spine Balance Training course in Europe and in the U.S. For more information, contact the company at 980-322-6160; body-soul.us. —|

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u Precor recently played an important role in Hilton Worldwide’s “Around the World in a Day” fundraising event, which took place in more than 100 hotels in eight countries across Europe. Participants’ goal was to virtually travel the circumference of the earth—24,901.55 miles—running, cycling, swimming, or walking the distance. Teams of four completed the task on Precor fitness equipment in the hotels’ gyms and lobbies.

Participants, from l., Matt Banahan, Funds raised support local children’s charities David Wilson, Lee Mears chosen by each hotel. More than 5,000 people participated, covering a record 39,276 miles. For more information, contact the company at 800-786-8404; precor.com. —|

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ihrsa.org

| IHRSA Report | Member News

< Associate PROFILES

< Associate News

Harbor Linen, LLC

TRX

Harbor Linen has been distributing and manufacturing institutional linens to the hospitality, cruise line, healthcare, and food service industries since 1973. Its products offer quality, comfort, and value in bath towels and terry products, cotton-rich percale bed linen, its patented Wonder Blanket, new and improved mattress pads, luxury pillows, and superb damask table linen. Customers can buy direct and have products shipped from warehouses in New Jersey, California, Georgia, and Florida.

Harbor Linen has 150 customer service and sales personnel, and backs its products with a money-back guarantee. For more information, contact the company at 800-257-7858; harborlinen.com. —| u

Flash UV

Flash UV, an award-winning coating company, offers a unique, patent-pending, ultra-clear coating process that’s appropriate for a wide variety of surfaces. The technique makes use of high-power ultraviolet (UV) technology to instantly cure the new finish. The product is designed to work on all natural hardwood flooring, fine wood furniture, and porous stone, such as concrete and Mexican tile.

The company’s “Spectrum Sport” brand finish for sports floors incorporates a “Slip & Grip” feature that reduces skin abrasions, while providing superior traction for athletic shoes. All Flash Spectrum coat products provide a “Walk On Me Now” instant cure. For more information, contact the company at 888-914-8880; flashuv.com. —| u

u TRX has announced an extension of its sponsorship agreement with USA Water Polo, enabling both the men’s and women’s national teams to continue utilizing TRX Suspension Training to enhance joint stability, core strength, balance, and flexibility. “Both teams have had great successes in the pool since we started adding TRX to our training,” notes Jen Rottenberg, the CMO of USA Water Polo. “The teams are thrilled to have more Suspension Trainers available to use, especially as we go on the road, and as we focus on qualification for next summer’s Olympic Games.” For more information, contact the company at 888-878-5348; trxtraining.com. —|

United Leasing, Inc. u The PGA Tour has added a new tournament to its schedule: the United Leasing Championship at Victoria National Golf Club, to be played June 25–July 1, 2012, at Victoria National Golf Club, near Evansville, Indiana. The tournament features a field of 156 golfers competing over 72 holes of stroke play for a purse of $550,000. Opened in 1998, Victoria National is Indiana’s top-ranked and one of the country’s top-50 golf courses. It’s a 7,239-yard, par-72 layout designed by renowned architect Tom Fazio. United Leasing has signed a three-year agreement with the PGA. For more information, contact the company at 800-742-3928; unitedevv.com. —|

Champions of United Leasing event

United States Professional Tennis Association u The United States Professional Tennis Association (USPTA) installed its new national board of directors during its recent World Conference on Tennis in Wesley Chapel, Florida. The board includes president Tom Daglis; first vice president Randy Mattingley; vice president Nancy Cox; vice president Jeff Hawes; vice president Tom McGraw; vice president Dan Moster; vice president Gary Trost; and immediate past president Harry Gilbert. New board members were elected by a vote of the general membership, and serve until September 2013. The board manages the association’s affairs between meetings of the larger USPTA Executive Committee.

For more information, contact the company at 713-978-7782; uspta.com. —|

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New Members

The Training Room Health & Fitness Center *

Connecticut Snap Fitness

327 W. Washington Millstadt, IL 62260 618-476-9444 Mr. Josh Nimmo

336 Marlborough St. Portland, CT 06480 Mr. Peter Taunton

The Training Room Health & Fitness Center * 357 Market Place Drive Freeburg, IL 62243 618-539-2020 Mr. Josh Nimmo

Georgia 180 Fitness 4-A College Plaza Statesboro, GA 30458 912-871-6622 Ms. Angie Hitchems

IHRSA Membership Eligibility Standards Members of the association must comply with IHRSA’s baseline health, safety, and ethical standards. To learn more, visit ihrsa.org/standards or contact IHRSA at 617-951-0055.

Michigan

Nebraska

Charter Fitness

Nebraska Elite Sports & Fitness

2173 18-Mile Road Sterling Heights, MI 48314 586-997-9230 Mr. Justin Viehman

Charter Fitness

Indiana Cardinal Fitness 3622 Edison Road South Bend, IN 46613 574-234-3400 Mr. Justin Viehman

GoPerformance 105 Depot Court Peachtree City, GA 30269 770-380-5329 Mr. Lane Montgomery

Charter Fitness 4831 E. 81st Ave. Merrillville, IN 46410 219-947-9600 Mr. Justin Viehman

Illinois Cardinal Fitness 1515 Lee St. Des Plaines, IL 60018 847-759-2000 Mr. Justin Viehman

Charter Fitness 8560 E. Ridge Road Hobart, IN 46342 219-962-3461 Mr. Justin Viehman

Cardinal Fitness 2172 Lake Cook Road Algonquin, IL 60102 Mr. Justin Viehman

1642A S. Rte. 41 Schererville, IN 46375 317-774-0900 Mr. Justin Viehman

840 Roosevelt Road Glen Ellyn, IL 60137 Mr. Justin Viehman

Charter Fitness 1805 E. Lincoln Way Ave. Valparaiso, IN 46383 219-548-8881 Mr. Justin Viehman

Charter Fitness 2545 W. 111th St. Chicago, IL 60655 773-445-3700 Mr. Justin Viehman

Maryland Anytime Fitness

Charter Fitness

40 York Road Ste. 110 Towson, MD 21204 410-296-4966

135 W. Army Trail Road Glendale Heights, IL 60139 630-893-1111 Mr. Justin Viehman

Snap Fitness 2026 Parkview Ave. Kalamazoo, MI 49008 Mr. Joe Garcia

Snap Fitness 1153 Washington Ave. Stes. C and D Holland, MI 49423 Mr. Douglas Slagh

Snap Fitness

Charter Fitness

Cardinal Fitness

30726 Hoover Road Warren, MI 48093 586-575-9730 Mr. Justin Viehman

4209 Portage Road Kalamazoo, MI 49001 Mr. Joe Garcia

Minnesota Snap Fitness 1824 Cedar Ave. S Owatonna, MN 55060 507-455-3500 Ms. Brenda Bednar

1212 N. 102nd St. Omaha, NE 68114 402-599-0423

New Jersey Snap Fitness 1515 Rte. 22 W Watchung, NJ 07069 Mr. Rob Schmidt

New Mexico Charter Fitness 6300 San Mateo Blvd. NE Albuquerque, NM 87109 505-821-1882 Mr. Justin Viehman

Charter Fitness 1660 Rio Rancho Drive SE Rio Rancho, NM 87124 505-892-1162 Mr. Justin Viehman

Charter Fitness 1530A Tramway Blvd. NE Albuquerque, NM 87112 505-323-3631 Mr. Justin Viehman

Ohio

Snap Fitness

Cardinal Fitness

92 W. 5th St. Zumbrota, MN 55992 Mr. Aaron Callister

7355 Old Troy Pike Dayton, OH 45424 Mr. Justin Viehman

Snap Fitness

Cardinal Fitness

420 Division St. Rice, MN 56367 Ms. Deb Seifert

8269 Market Exchange Drive Westerville, OH 43081 Mr. Justin Viehman —|

Charter Fitness 6214 S. Cass Ave. Westmont, IL 60559 630-969-3000 Mr. Justin Viehman

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Editor’s Note: Additional Cardinal Fitness and Charter Fitness clubs are members of IHRSA, but, because of space limitations, could not be listed here; those facilities will be acknowledged in future issues of CBI.

|

JANUARY 2012

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ihrsa.org

“

We're always looking for ways of staying ahead of the competition and new ways of enhancing our members' experience. The Webinars have been a valuable resource.

– James Arrington, Anytime Fitness – Conyers, GA Sponsored by

IHRSA Webinars If you have a phone, a computer and a high-speed internet connection, you’re ready for IHRSA webinars!

IHRSA Webinars are an incredibly cost-effective way to learn and remain competitive every month, delivered using the latest technology for a trouble-free experience. They combine interactive onscreen graphics, leader presentation via phone, plus online question and answer period.

IHRSA Webinars are value-priced at $39 each ($79 non-member price). Each webinar purchased will provide you with access to the live presentation of your choice for as many of your staff as you choose, plus all downloadable materials, and unlimited access to the archived webinar for sixty days.

Plan now to participate in our upcoming webinars and enjoy great education, at your fingertips!

JOIN US FOR OUR NEXT WEBINARS: EFFECTIVE SOLUTIONS TO INCREASE MEMBERSHIP SALES Thursday, January 12 | 2:00pm-3:30pm (EST) Presented by Eddie Tock, Partner, REX Roundtables for Executives SUCCESSFUL YOUTH PROGRAMMING FOR YOUR CLUB Thursday, February 2 | 2:00pm-3:30pm (EST) Presented by Marcy Plante, Youth Program Director, Manchester Athletic Club, and Board of Directors, NEHRSA

REGISTER TODAY: 3 EASY WAYS! • Call 800-228-4772 (US/Canada) or +1 617-951-0055 (International) • Visit ihrsa.org/webinars • Email membership@ihrsa.org Missed one? Don’t worry! You may download past webinars at ihrsa.org/store. Simply click on "webinars" to see a complete listing of topics and presenters.

International Health, Racquet & Sportsclub Association | Seaport Center, 70 Fargo Street, Boston, MA 02210 USA

| IHRSA Report | Calendar

Save the date | 2012 IHRSA Events

Coming Soon in

JANUARY 12

MARCH 14–17

Effective Solutions to Increase Membership Sales ihrsa.org/webinars

IHRSA 2012 31st Annual International Convention and Trade Show Los Angeles, California ihrsa.org/convention

January 26 IHRSA 2012 Preview: 3 Topics in 1 Webinar • Viral Marketing - Managing the Spin • Relationships, Results, Retention & Referrals • Building a Simple & Effective Fitness Business Plan for Sales Success ihrsa.org/webinars

MAY 1–2 10th Annual IHRSA Summit for a Healthier America Washington, DC ihrsa.org/summit

AUGUST 30–SEPTEMBER 1 13th Annual IHRSA/Fitness Brasil Latin American Conference and Trade Show São Paulo, Brazil ihrsa.org/meetings —|

FEBRUARY 2 Let The Games Begin! Integrating a Successful Kids Program into Your Club ihrsa.org/webinars

2012 Industry Events MARCH 14–17

MAY 4–5

Los Angeles Fitness Expo Los Angeles, California thefitexpo.com

SPATECSpring North America Grande Lakes, Florida mcleanevents international.com

Mercado Fitness Expo & Conference Buenos Aires, Argentina mercadofitness.com

FISA West Palm Springs, CA fisana.org

FEBRUARY 16–19 IDEA Personal Trainer Institute Alexandria, VA ideafit.com

FEBRUARY 23–25 Forum Club Expo & International Congress Bologna, Italy forumclub.it

MARCH 1–4 The Arnold Sports Festival Columbus, Ohio arnoldsports-festival.com

MAY 29–JUNE 2

MARCH 16–18 Mondial Body Fitness Paris, France vivelaforme.com

MARCH 27–30 ACSM’s Health & Fitness Summit & Exposition Las Vegas, Nevada acsm.org

APRIL 19–22 FIBO 2012 Essen, Germany fibo.de

|

JULY 5–8 2012 IDEA World Fitness Convention San Diego, California ideafit.com

Health + Fitness Business Expo Las Vegas, Nevada healthandfitnessbiz.com —|

Australian Fitness & Health Expo Sydney, Australia fitnessexpo.com.au

Club Business International

ACSM’S 59th Annual Meeting and 3rd World Congress on Exercise is Medicine San Francisco, CA acsm.org

SEPTEMBER 19–21

APRIL 27–29, 2012

.org 114

Leaders, Inc: IHRSA 2012 featured speaker and author Simon Sinek previews his presentation on “How Great Leaders Inspire Action” u

u Big Winner: Marci Crozier, the GM of the Omni Health and Fitness Connection, takes you behind the scenes of The Biggest Loser

Body Great: TRX, Total Gym, and other IHRSA associate members are demonstrating the many benefits of bodyweight training

u

Referral Rx: Christine Thalwitz, of the ACAC Fitness and Wellness Centers, explains how to create a great physician-referral program u

JANUARY 28–29

FEBRUARY 13–15

Club Business International

To obtain complete details about, or to register for, all IHRSA events, log on to ihrsa.org/meetings.

JANUARY 2012

|

ihrsa.org

Group Scoop: F.I.T. Extra considers and catalogs all of the group-exercise offerings that are transforming the look and feel of club classes u

Out of Shape by Stan Tran

“With ACSM-certified staff, my club can provide higher quality service.

That’s good for our members, and it’s good for business, too.”

ACSM certification means your staff will be uniquely qualified to work with a variety of people to improve health, fitness and wellness, even those with health risks. We’ll help by providing your staff with everything they need, from self-study materials to hands-on workshops worldwide.

Go to certification.acsm.org for everything you need to know about ACSM’s health, fitness and clinical certifications. Check out our ACSM Group Instructor Certification!

ACSM CLUB CONNECTION PROGRAM

The ACSM Club Connection Program makes educating and certifying your club’s fitness professionals easier and less expensive by providing study materials and valuable discounts on certification. To learn more, please call 1-800-486-5643.

Don’t Miss Our Signature Fitness Conference!

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&area director drive & direct multi-club revenue

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&general manager Lead & drive club activities.

5-10 years of health club sales & management experience, financial management is a must.

&sales director Drive sales, build & train sales teams.

Implement marketing plans. 3-5 years of industry sales & management experience. &fitness director Train & develop personal training teams. Create a fitness culture that continues to define Sport&Health. 3-5 years of personal training & industry management experience. &benefits Competitive salaries, aggressive bonus & commission plans, great benefits package, 401(k) plan, relocation assistance, ongoing training.

&long term career opportunities. &bonus Ask about our signing bonus!

Apply today at sportandhealth.com/careers

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Visit ihrsa.org/classifieds or e-mail classifieds@ihrsa.org for details.

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Visit ihrsa.org/classifieds or e-mail classifieds@ihrsa.org for details.

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Offer more to your members!

• Easier on the Body • Better Cardio Experience • Faster Workout • Unique Experience

And keep them

happier, longer!

Jacobs Ladder is a patented commercial cardio machine specifically designed for fitness enthusiasts, athletes and professionals. Its unique design is easy on the body, yet delivers a maximum workout to your client! They set the pace, they control the speed, they benefit from a workout that is as impactful as they desire. You

keep them coming through the door.

Call today to order ™one, or two for your facility.

BSLADDER

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phone: 1-866-697-4100 | web: www.jacobsladderexercise.com

| Ad Index | Page

Advertiser

Page

Advertiser

92

» Gym Wipes-2XL Corporation 2xlcorp.com | 888-977-3726

9

» Life Fitness lifefitness.com | 800-634-8637

23

» ABC Financial Services, Inc. abcfinancial.com | 800-551-9733

92

» Linear Rubber Products, Inc. rubbermats.com | 800-558-4040

115

» ACSM Certification certification.acsm.org | 317-637-9200 x115

13

» Aerobics & Fitness Association of America (AFAA) afaa.com | 877-968-7263

53

» Mondo USA mondousa.com | 800-441-6645

80

» Affiliated Acceptance Corporation affiliated.org | 800-233-8483

5

» Motionsoft, Inc. motionsoft.net | 800-829-4321

French

Cover

» ASF International asfinternational.com | 800-227-3859

2 & 3

» MYZONE myzone.org | 312-870-4802

45

» Balanced Body Pilates pilates.com | 800-745-2837

74

» National Academy of Sports Medicine (NASM) nasm.org | 800-460-6276

37

» Big Ass Fans bigassfans.com | 877-244-3267

86

» National Exercise Trainers Association (NETA) netafit.org | 800-237-6242

21

» Celare with Digilock celare.com | 707-766-6000

91

» OPTP optp.com | 800-367-7393

79

» Club Vitals clubvitals.com | 306-530-4653

18

» Paramount Acceptance paramountacceptance.com | 800-316-4444

33

» CSI Software csisoftwareusa.com | 800-247-3431

76

» Pavigym America, Corp. pavigym.com | 866-728-4496

Inside

» CYBEX International, Inc. Back Cover cybexintl.com | 508-533-4300

11

» Precor, Inc. precor.com | 800-786-8404

105

» EZFacility, Inc. ezfacility.com | 866-498-3279

66

» REGUPOL AMERICA, LLC regupolamerica.com | 800-537-8737

7

» Fiserv clubs.fiserv.com | 888-590-0026

100

» Retro Fitness retrofranchising.com | 201-867-5309

96

» Fitmarc fitmarc.com | 800-814-1207

93

» Salsbury Industries lockers.com | 800-562-5377

87

» Fitness Flooring fitnessfloors.com | 800-428-5306

30

» Smart Fitness University smartfitness.com | 866-431-4335 x11

27

» Hampton Fitness hamptonfit.com | 805-339-9733

54

» SPORTSMITH, LLC sportsmith.net | 800-713-2880

95

» Healthy Learning healthylearning.com | 888-229-5745

119

» StarTrac startrac.com | 800-228-6635

65

» Helix Co. helixco.com | 888-435-4926

102

84

» HydroMassage hydromassage.com | 727-536-5566

» Taiwan External Trade Development Council (TAITRA) taispo.com.tw | 886-2-2725-5200 x2865

14

» iGo Figure igofigure.com | 866-532-9588

117

85

118

Inside Front » Matrix Fitness Cover & 1 matrixfitness.com | 866-693-4863

Cover » TECHNOGYM Back technogymusa.com | 303-875-0306

28

» Jacobs Ladder, LLC jacobsladderexercise.com | 866-697-4100

» Twin Oaks Software tosd.com | 866-278-6750

89

» Les Mills International lesmillsusa.com | 888-669-8876

» YogaFit Training Systems yogafit.com | 310-320-0110

25

» Zumba Fitness, LLC zumba.com/toning | 954-925-3755

Club Business International

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JANUARY 2012

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ihrsa.org

INTRODUCING THE NEW SPINNER® BIKES

SPINNER ® BL ADE

SPINNER ® NX T

SPINNER ® PRO

LEAD THE PACK. Success Spinning® started the group cycling revolution with its patented group cycle design and the competition has been trying to catch up ever since. Six years ago the Spinner ® NXT changed the group cycle category and now the next generation Spinner ® bikes continues to maintain its position as the leader in the industry.

Features Improved biomechanics delivers the best rider Q factor in the industry. A patent-pending drive train including new pedal, crank arm and bottom bracket interface will far exceed the current group cycling design standards, all packaged in a new sleek, iconic design.

Power of Package Spinner ® bikes and the Spinning® Program gives you the tools to attract potential members with the fun and effective programming they crave while motivating your current members.

For more information contact Star Trac at 714.669.1660 (800.228.6635) or sales@startrac.com For information about the Spinning® Program contact Mad Dogg Athletics at 310.823.7008 (800.847.7746) or www.spinning.com

©2011 Star Trac. All rights reserved. Star Trac and the Star Trac logo are registered trademarks of Core Industries. SPIN®, Spinning®, Spinner®, the Spinning® logo and eSpinner® are registered trademarks of Mad Dogg Athletics, Inc.

| Last Rep |

Resolution: To Get Contracts In Shape January: Time for New Year’s resolutions, hordes of people inspired to get into shape, and increased traffic at your club. This month, more than any other, provides a great opportunity to showcase your club’s offerings. You and your staff are ready. But is your membership agreement?

I

Tracy Powell

120

t’s not the first thing that might come to mind when you consider a throng of highly motivated prospects arriving at your club’s doors, anxious to pursue the joys, rewards, and benefits of a healthier, more active lifestyle. But the membership agreement is a critical factor in the business equation.

It, too, needs to be in shape.

Health clubs in nearly every state are obliged to comply with very specific contract requirements, and, complicating matters, they may change from year to year. Overlooking or ignoring these regulations may subject your club to severe liability exposure. Failure to adhere to even seemingly trivial requirements, such as the font size employed in contracts, can result in fines Joe Moore for noncompliance.

IHRSA President & CEO No fewer than 40 states, plus the District of Columbia, have passed legislation relating specifically to club membership agreements.

No two statutes are exactly alike, but some requirements appear on a fairly regular basis.

Many states, for example, require clubs to register periodically with a given state agency. It’s also common for a state to require clubs to purchase a surety bond, or to maintain an escrow account.

Other standard stipulations include restrictions on contract renewal; language indicating that the contract will not continue in force if the member moves; and limitations on the maximum length of a contract.

Despite the many common requirements, however, each state, it seems, has taken pains to invent and implement its own unique guidelines:

Club Business International

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JANUARY 2012

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ihrsa.org

In Connecticut, for example, a club is obliged to send a list of all of its equipment and services offered to the Commissioner of Consumer Protection before it’s permitted to sell a membership. The list, accompanied by a copy of the membership agreement, must then be periodically updated and resubmitted.

In Texas, the legislature requires any contract subject to the Truth in Lending Act to include a specific 48-word statement “in at least 10-point type that is boldfaced, capitalized, underlined, or otherwise conspicuously distinguished from surrounding written material.”

And, in California, every contract must include a detailed statement describing the dangers inherent in using steroids.

Those, of course, are just a few examples, but they give you a sense of the sometimes-surprising specifications that states can impose.

I hope you’ll lean on IHRSA to help you navigate through these and other bureaucratic labyrinths.

If you think your contracts are overdue for a thorough review, I’d encourage you to visit ihrsa .org/state to identify the contract requirements currently in effect in your state. You can also contact IHRSA’s experienced government relations team directly at gr@ihrsa.org or 800-228-4772.

And, if you haven’t already done so, I’d highly recommend that you contact IHRSA to sign up for the Legislative Alerts for your state; the Alerts will help keep you updated about any changes in your state’s contract requirements.

You should also, of course, have your own attorney review your membership agreement to ensure that it complies with all federal, state, and local laws and regulations. —| – Joe Moore, jmoore@ihrsa.org

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To download, snap the QR Code with your iOS Device or go to www.cybexintl.com/bravoapp

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TO LEARN MORE, VISIT TRUTHONFITNESS.COM

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The Kinesis Stations line includes six machines that support exceptional training variety, intuitive use, virtually no adjustments and no cable interference.* Motivate your members with new tools that will continually engage and challenge them. Plus, open new business opportunities by providing equipment for your trainer to use with their clients that is perfect for advanced progression applications. * FullGravity Technology, exclusive patent by Technogym.

U.S.A & Canada TECHNOGYM North America Toll free 800-804-0952 Fax 206-623-1898 E-mail: info@technogymusa.com OTHER COUNTRIES TECHNOGYM SpA Ph. +39 0547 650101 Fax +39 0547 650591 E-mail: info@technogym.com

www.technogym.com