It should be noted that the figures reflect the influx generated primarily from the postcard mailer, and include revenue from new members rather than from our existing EFT members. The figures do not include ancillary revenue from personal training and product sales. So what you see listed is pretty much pure membership revenue.
Numbers:
- $3735 - Incoming cash from paid-in-fulls
- $635 - Incoming cash from first EFT payments (pro-rated)
- $735 - Income added to our monthly EFT base
Comments:
First, I am very happy with the numbers. The roughly $4500 cash that was brought in more than covered the cost of the mailer.
But the real success story is the increase in our EFT base. The EFT memberships we sold during this promo were based on a 1-year commitment with auto renew (auto renew means that after the year is up, we continue to draft members' accounts each month until they tell us otherwise).
The potential gross value of the EFT bump over the coming year is $8800! Realizing there are processing fees associated with EFT's, and understanding that some EFT's will go bad, I still think this promotion was a major success! With a few months of this type of growth, we would go a long ways toward covering our overhead and putting some money into the bottom line.
Worthy of note: 35% of the total revenue above came in by way of our website, which was $1500 in cash sales and another $300/month added to the EFT base. That's signigicant! I cannot stress strongly enough the importance of a well-planned web presense for a 24/7 club. You can eliminate a lot of payroll with this type of club, but only if you have an alternate method for collecting money and making new sales. A website provides you with this capability.
For those who are thinking of converting your club, I've got to say that the WG web presence is a huge benefit (and there are many others). Even if you do not plan to convert to a WG, do yourself a favor and hire a web designer who can provide you with the ability to sell online. You can probably accomplish this for $2,000-3,000 dollars. I believe you'll find this is money well spent.
In the upcoming weeks I'll post some pictures of our newly branded club. We think it looks great - stay tuned ...
