ccd news update - California Clubs of Distinction

Transcription

CCD NEWS
N
UPDATE
Second Quarter • 2014
Thank You Sponsors
Of The IHRSA Regional
Associations Reception
GOLD
SPONSOR
Jonas Fitness: Adam Zeitsiff, Jan Harms & Barry Bleuer
GOLD
SPONSOR
GOLD
SPONSOR
Star Trac: Rick Nelson, Mike Westcott & David Summers
Precor: Jason Blair, Jarred Willis & Adam Guier
GOLD
SPONSOR
INSIDE THIS ISSUE
Hanover/Fitness Pak: Tony Posas, Ken McKay, Jim Foley & Matt Bauer
ABC Financial: Steve Ayers & Clay Whittaker
INSIDE THIS ISSUE
SILVER
SPONSOR
Power Systems: Justin Driver, Emily Currence,
Patty Daugherty & Jason Eason
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Transforming Selling Systems In Fitness Facilities
Club Industry Financials: A Continuing Story
Managing Your Workers’ Compensation Risk
Stop Member Churn...Turn Your Club Into A Lifestyle
Implement A First Aid Program To Reduce Workers’ Compensation Costs
Mindful Movement: A New Era In Fitness
GOLD
SPONSOR
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Legislative And Regulatory Round Up
CA Senate Bill 766
Club Babysitting
is bill will not advance in 2014. e bill
would have expanded the TrustLine
requirement for clubs, added additional
training, minimum age requirements for
club staff, staff-to-child ratio requirements,
and mandate the presence, at all times,
of at least one care provider who is 18 years
old or older. ere is a chance that
Lin Conrad
Executive Director legislation on the issue may still be
introduced in 2014. IHRSA’s lobbyist will
continue to closely monitor the proceedings in Sacramento and keep
us informed.
CA Senate Bill 443
Child Care For Camps At Clubs
SB 443, which proposed to regulate children’s day camps differently
than traditional “resident” camps, failed to receive any further
consideration after a hearing on the bill was cancelled at the request
of the sponsor in late August. e bill, which also failed to advance in
the 2011-2012 session, faces an uphill battle to enactment in 2014.
CA Department Of Social Services (DSS) Reveals
New Guidelines For License-Exempt Childcare
DSS recently revealed draft guidelines for unlicensed childcare
providers. IHRSA’s California lobbyist and CCD member clubs are
continuing to work with DSS to provide necessary clarity for health
clubs that operate kids’ camps to ensure that the state is consistent in
its enforcement of the law. e guidelines should appear on the DSS
website soon. Because DSS must rely on the Health and Safety Code
Section 18897 “camp” definition, none of the exemptions apply to
camps at your club. Until that definition includes our industry, your
club could be operating in violation of the regulations of licensure
and could be subject to a $200 per day fine. Please share your concerns
with Tim Sullivan at IHRSA, [email protected].
What Is License-Exempt Child Care?
License-exempt child care is a child care program that can legally
operate without a license, and licensing standards do not apply
to them. DSS lists types of license-exempt categories. Among them is
“Organized Camps” as defined in Health and Safety Code Section
18897, which reads: “Organized camp" means a site with program
and facilities established for the primary purposes of providing an
outdoor group living experience with social, spiritual, educational, or
recreational objectives, for five days or more during one or more
seasons of the year.” Most of our club camps do not meet that
definition. If you are approached by DSS regarding your club camps,
please let IHRSA know. I would personally like to thank Janine
Williams, VP of Human Resources at Leisure Sports, for her
persistence in negotiations with the Department of Social Services on
this subject. She continues to be my heroine.
Did You Know The Affordable Care Act
Imposes A Tax On Indoor Tanning?
In 2010, the Internal Revenue Service revised the federal tax code to
include a ten percent excise tax on indoor tanning services.
Congress enacted the tax as part of health care reform legislation to
help offset the cost of insuring more Americans. e tax is estimated
to raise $2.7 billion by 2019.
Health club operators were understandably concerned about the tax,
not only because it impacts their bottom line. Some clubs bundle
tanning services in with membership dues, which poses an
administrative challenge in calculating the tax. e IRS recognized
this difficulty and provided an exemption for “qualified physical fitness
facilities.” is exemption remained unchanged when the revision was
finalized in June 2013. It is not a blanket exemption, however, and
clubs are advised to verify their status. If you provide tanning and
need clarification, contact me and I will send an explanation.
CCD Webinars
To learn how the Affordable Care Act can work to your club’s
advantage, join us for a webinar on June 11, 12:00 – 1:15 PM by
Mike Rucker. You can register for all CCD webinars by going
to www.califclubs.com, click on “Commit to Learn”, click on
“Calendar of Events”, choose a webinar and click on “Register”.
CCD Members $39, Non Members $109.
Last But Not Least
If you didn’t make it to the IHRSA Regional Associations Reception
at the IHRSA Convention, you missed a spectacular event. It was a
great venue, we had super food, plenty of drinks and provided a good
opportunity to meet other club owners, managers, and vendors.
is event is not possible without the generous sponsorship of our
associate members. My sincere thanks to ABC Financial, Fitness Pak
Insurance & Hanover Insurance Group, Jonas Fitness, Power Systems,
Precor and Star Trac. Next time you speak with a rep from
these companies, please let them know, you, too are grateful for
their support.
●●●●
CCD News Update is published by
California Clubs of Distinction
5382 Coach Dr. • El Sobrante, CA 94803
Editor: Barbara Mathew
(707) 483-4444
[email protected]
Art Director: Corrine Lane
(916) 952-7837
[email protected]
CCD DISCLAIMER: CCD News Update contains facts, views, opinions, statements, recommendations, advertisements,
and other content not owned or controlled by CCD or any of its affiliates. CCD uses reasonable efforts to include
accurate, current information in this publication. However, CCD makes no warranties or representations as to the
accuracy, safety or value of any content in this publication, nor shall CCD be responsible for any non-factual information. CCD assumes no liability or responsibility for errors or omissions in this publication. The content in this
publication does not necessarily reflect the views, opinions, or recommendations of CCD, its employees, officers, or
directors. The opinions expressed in the articles are solely those of the authors. Nothing in this publication may be
reproduced in any form without express written permission from CCD. All contributors must ensure the accuracy of
their claims and that they are submitting original work. CCD does not tolerate the practice of plagiarism.
Any persons attempting to earn credit for work that is not their own will lose all publishing privileges with CCD.
Contents of this publication cannot be reproduced without written permission from CCD.
The Trade Association of Health, Racquet & Fitness Clubs in California
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Come see us on the web at www.califclubs.com
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Transforming Selling Systems In Fitness Facilities
A history of selling in health and fitness
facilities would be rather brief and highly
repetitive. Why? It’s been pretty much the
same for over three decades. e norm for
the industry, generally regardless of club
size, type and price, has been “greet; tour;
present; try to close the membership sale.”
is is an outdated, ineffective method of
selling which should have gone by the
wayside
a long time ago. But it persists.
By Michael Scudder
Why? For years, this type of selling has had
an inappropriate focus. at focus has been“selling memberships.”
Let’s start at the beginning. Assume that the “modern era of health
clubs,” began in the mid-1970’s. is is a generally-accepted time
frame. In those days, people responsible for sales were still involved
primarily in the selling of racquet court time. As the early “fitness
centers” began to evolve, sales personnel were busy trying to sell
“exercise.” Membership was, by-and-large, on a prepaid three-month
fee basis. Occasionally, clubs would sell a one-year prepaid
option - but not often.
In the early 1980’s - when Electronic Funds Transfer came
into the industry - the game changed, and so did the emphasis.
Clubs started to concentrate on monthly-fee, automatically-collected
“memberships.” e sales processes switched from the attempt to get
interested persons to buy into the concept of “exercise inside four
walls” to techniques of getting people to commit to the purchase of
annual memberships in clubs, paid on a monthly basis.
So, what’s the difference between selling exercise and selling
memberships? I often explain it this way. In the 1940’s a young
newspaper reporter interviewed Henry Ford, the man who
single-handedly transformed the personal-transportation industry
with the introduction of the assembly line process of building
automobiles. e interviewer kept asking Mr. Ford, who was known
to be a somewhat petulant soul, various forms of the same question:
What was it that he envisioned that would sell so many cars?
Finally, fed up and out of patience, Ford blurted: “Young man, you do
not understand. It was never my intention to ‘sell cars.’ It was to
provide the average American with the opportunity of affordable,
comfortable, reliable transportation.”
I hope the parallel point is made. We are in the business of providing
people with safe, affordable, reliable, professionally-guided exercise
options. We are not in the business of selling memberships. If that
is all we’re doing, we should take a hard look at our intentions
and commitments. If our concentration, as an industry, continues to
be only membership sales, in this highly-competitive, price-sensitive
modern consumer era, the winner will dominantly and always be the
facility with the lowest prices. Like it or not, proof-positive of that
statement is the phenomenal rise of Planet Fitness, with growth in
just ten years from 4 clubs to over 700 and 300 more in the pipeline.
ey have already spawned “clones” of several varieties that account
for an additional 500-plus clubs nationally.
ere are several misconceptions that accompany the present selling
techniques. Among these are:
(1)Selling is really about having a prospective member tour
the facility and overcoming their objections.
(2) Anyone who shows interest in what we have to offer is a prospect.
(3) ere are “techniques” for getting the customer to decide to buy.
Transformative selling is not about promoting the club and its
“stuff”, nor about showing off your facility, nor about defeating
price objections. Transformative selling is a “discovery
process” - for both the buyer and seller. It is about
fact-finding, relationship-building, and assisting a
prospect to the correct decision for him/her.
In the selling process (and it is a process), it should be remembered
that a person has to exhibit four definite characteristics during
the interview. ey’re often referred to as N-T-M-U.
(1) Need: the person considering buying genuinely has to know
he/she needs/wants this product or service.
(2) Time: the person considering buying is willing to devote specific
time to participate in and use the product or service.
(3) Money: the person considering buying has funds to pay for the
product or service, either up-front in full or on a continuous/
scheduled payment basis.
(4) Urgency: the person considering buying determines enough
value to want to buy now.
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If any of these four qualifiers is not satisfied in the sales interview, you
do not have a prospect! What you have is someone who’s
interested - but not interested enough to buy. (I call them “suspects.”)
A realistic appraisal of the current industry-pervasive selling methods
would ascertain that, of every 100 people who respond by either
walking in your door, calling on the phone, or filling out an interest
form on your website, approximately 70% of them at best will
participate in a sales interview. Of those 70, approximately 60% will
buy in that interview. So the reality is that of every 100 people
showing some interest level, about 42 will end up being members!
Hopefully, what the reader likely recognizes now is that this process
has to change. Why? ere has been little real growth in net
memberships in the national health club industry since the beginning
of the recession six years ago. However, there has been over 15%
growth of facilities in the same time period. e law of supply and
demand has been countermanded. Fewer people are responding to
the average club’s advertising. Retention efforts have been successful,
but are topping out. Some experts even say that our industry
has “reached maturity” and suggest that demand will wane in the
near-future. If so, concerned club operators will seek more effective
ways of selling…and that means “smart selling.”
What Might Transformed Smart Selling Look Like?
(1) Interview: with every prospective member or client; no tour
until the interview has been accomplished.
(2) Fact Find: with no assumptions, ascertain why they’re here,
what motivates/demotivates them, what are their “feeling-importanceresistance” levels regarding their possible participation.
(3) Relationship Building: match up their needs with your
services; establishing baselines from “where to begin;” what will
“progression” and “follow-up” be for them? How will your systems
support them?
(4) Solution Seeking: arrive at the appropriate vehicle for them;
what should they buy? (It might be a short-term premium-priced
guided program, rather than initially a membership.)
One of the flaws in current fitness facility selling is what I label
“verbal vomit.” at is: too much presentation, over-reliance on
personality, and non-attention to the essential question-response
format of dialogical interaction. Health club sales personnel actually
think that they are the ones making the decisions, not the person
sitting in front of them! ey do not recognize that an effective
salesperson asks questions and then shuts up. Often, because so many
salespersons in our industry are young, they don’t have the confidence
to do this. Over-talking is often the killer of a sale. Smart selling
emphasizes the prospective buyer, not the seller. Smart selling includes
use of visual aids which assist the prospective buyer in his/her
decision-making process. (I recommend Visual Fitness Planner as a
tool to professionalize a club’s sales process; for information contact
Ron Alterio ([email protected] www.vfp.us)
Smart selling integrates the new member into the club.
Present selling methods usually schedule the new member for one
or two “orientation” sessions which are usually equipment
demonstrations. is approach actually segregates members. is is
devastating when considering the necessary social aspect for which
over 80% of people join clubs.
CONTINUED ON PAGE 16
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Club Industry Financials: A Continuing Story
Many leaders in the club industry have
put the recession behind them and are
trying to figure out the new norms going
forward. No one is expecting to see the
2007 values any times soon. For many,
2013 was a better year than the
previous one. ere were a few clubs that
closed, fewer than in previous years.
But, the number of new builds continued
to escalate in all segments. Generally, the
By Rick Caro
club industry was still hopeful for an
overall improvement in the U.S. economy and a consistently upward
trend in consumer confidence, but that has not occurred.
2013 Headlines
Once again, the trendline for key club metrics was upward, but only
slightly. IHRSA’s Index showed that same club sales were up slightly
as well as overall net membership totals. e real disappointment was
with ancillary revenue categories, which has been regularly growing in
recent years. In 2013, they were flat compared to the previous year.
e challenge still has been the lack of predictability of new club
membership sales which still does not follow a consistent pattern.
Attrition levels now seem to be under control for most clubs.
EBITDA (Earnings before taxes, depreciation and amortization)
margins are increasing slightly over 2009-2011 levels but are not
reaching the 2006-2007 margins. e number of total club members
for the overall industry grew slightly over the last year along with an
increase in the number of total clubs nationwide. e club industry
has already had an ease of entry, so the ability to create even a small
niche club has not been difficult.
A Continuing Saga
With the number of new builds growing, several segments
saw substantial increases. e studio category, often featuring
single-activity offerings including boot camps, barre classes,
boxing/kickboxing, yoga, Pilates, group cycling and small-group
training, grew substantially. Many of these are part of franchise
companies. e proven franchise companies in other segments
(high-volume/low-price and all-access) saw consistent growth in 2013.
Landlords have recently wooed club operators with more attractive
real estate deals, even for the small operator. For many, the cost of
construction remained flat.
Debt financing exploded last year as existing clubs often re-financed
given very low interest rates. e availability of cash-flow based
lending soared and with a higher leverage opportunity than seen
previously. For start-ups, there still were challenges in gaining local
bank and SBA approvals and often with less attractive loan-to-value
terms. Club leaders of existing clubs are returning to previous levels of
capital re-investment again.
More Club Deals
For years the club industry has heard financial pundits talk of its
highly fragmented nature and the need for consolidation. In 2011,
the first signs of such activity occurred. It continued through 2012.
In 2013, most of the club deals involved either financial entities
buying club companies or buying out previous financial investors.
Some of the most attractive stories involved franchised companies.
Most involved club groups with significant numbers of existing clubs
and a proven business model. A few club companies fully exited
the industry.
e challenge is that independents still are hoping for values last seen
in 2007 and are not committed to transactions at lower levels.
ere are few buyers willing to overpay, so overall there are fewer
club transactions than expected at this point in time. Also, the
independents have not been successful in marketing their story to
outsiders who are currently not immersed in the club industry.
Club Corp had an IPO in 2013, so there are now three public
companies (LifeTime Fitness and Town Sports International).
No others are likely candidates in 2014. No major club owners from
outside the U.S. have entered the market here. Only Equinox has
ventured outside the U.S. into the United Kingdom with a clubowned business. Several franchisors have continued to grow overseas.
e market seems to be ripe for regional players to expand both by
new builds and local acquisitions, especially with the availability of
growth capital. e industry has yet to see any meaningful investment
by strategic partners from analogous industries.
Other Related News
e club industry is always worried about the quick-fix solution to
weight loss. But, commercial diet centers are still lacking long-term
success without an exercise component. e proverbial diet pill has
not been serious threat, as several have gained FDA acceptance or have
gone through various trial stages.
Many in the industry feel the threat of competition from the
non-profit sector. But, during these recent years many of the
components from that sector have seen little to no growth, including
hospital wellness centers, local parks and recreation centers, JCCs and
military base recreation centers. Few new YMCAs have been built but
they have taken over the operation of other failing non-profits in
certain local communities. e one category with meteoric growth is
the advent of the on-campus university fitness centers. ey often
involve $60-$90 million facilities, which are overbuilt for today’s size
of student population. e concern is whether they will then open
them up to the local community at below-market rates.
e key question for the club industry is the potential impact of the
Affordable Care Act (ACA). All elements of the local community are
trying to figure out the opportunities, including insurance companies,
employers, medical practices and hospitals. e club industry may
have a role, but it is not yet clear how it will benefit.
e legislative challenges for the club industry are continuing,
especially at the state level. All clubs need to monitor pending
legislation which may impact them negatively.
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8
Managing Your Workers’ Compensation Risk
Workers’ compensation insurance coverage
is mandatory in the State of California and
is included in the State’s Constitution.
Without appropriate intervention and
oversight, the costs associated with
defending workers’ compensation claims
can skyrocket to the point that some
employers consider it to be cost prohibitive
to do business in California.
e best way to manage Workers’
Compensation risk is to prevent injuries.
Based upon the definition of what an accident is, this is not always
going to be possible. However, there are ways to effectively
engage in loss control and prevention measures to limit injuries
from occurring.
By Robyn Freiberg
Safety First
First, make your work environment safe. is is done by instituting
common sense policies, like putting a “wet floor” sign out if the floor
is wet, stacking weights or materials to the appropriate height, and
removing equipment from public walkways. Just as important is
enforcing the policies you have worked so hard to create like
instituting disciplinary action. ese actions can be positive, by
having a company picnic or catered lunch if there are 100 days
without a work injury. Please note that one never wants to give an
impression that work injuries should not be reported if they have
occurred, rather the emphasis is on safety.
Hiring Practices
Second, keep in mind who you are hiring. Instituting careful
hiring practices can serve to limit the likelihood of injuries. ere are
many red flags that may be demonstrated during the hiring process
that may be harbingers of future workers’ compensation claims.
Examples include those with many short term stints at various places
of employment or employment candidates who have mysterious
employment gaps. ese could be signs of individuals who do not
possess the work ethic or other characteristics you desire from your
work force. Other concerns discoverable during the hiring process
include past histories of disciplinary problems. If the candidate has
never gotten fired from a job it is more likely due to the personality
of the person seated across from you.
Workers’ Compensation Benefits
Once an injury has occurred, your role is vital in managing the costs
that will be incurred in the provision of benefits and defense of the
claim. In exchange for the benefit of quick delivery of compensation
and medical care, Workers’ Compensation is a no-fault system.
Your employees do not need to prove negligence or fault in order to
secure benefits. ey only need to prove that their injury occurred in
the course and scope of their employment for you. is is why an
attorney is not mandatory in Workers’ Compensation claims.
e trade off of the no-fault system for an employee is that their
exclusive remedy for a work related injury is the Workers’
Compensation Appeals Board. ey are prohibited from filing a claim
in civil court where they could secure a higher award, but would have
to then prove duty, negligence, breach of duty, damages, etc.
is trade-off benefits both parties. For employees they have a much
easier burden of proof and a prompt delivery of medical care and wage
replacement benefits (temporary disability benefits). For the employer,
the risks of high civil awards are eliminated. e Workers’
Compensation system is codified in the California Labor Code,
wherein statutory benefits are outlined. It is your insurance company’s
responsibility to administer benefits after first determining if the claim
is compensable. Your participation and investigation is crucial to this
initial determination.
Once the compensability of the injury has been determined, your
insurance company will then assess what benefits your injured
employee is entitled to receive. e core workers’ compensation
benefits include medical care or treatment to cure or relieve the effects
of the industrial injury; temporary disability benefits which
compensate them two-thirds of their wages tax-free while they are
unable to work; permanent disability if they are permanently impaired
as a result of the injury; and a supplemental job displacement voucher
to assist in returning to work.
Your Role – Investigation
Once the appropriate safety and loss control measures have been
instituted, make sure that all incidents and injuries are promptly
reported to trained supervisors. ese supervisors are considered
your agent. ey need to be educated regarding use of the correct
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forms, questions to ask, and ultimately the number to call to
immediately report the injury to your workers’ compensation
insurance carrier.
Once the injury is reported, a meeting with the supervisor,
HR person and the injured worker should ideally occur as part of the
initial investigation. An incident form is completed by the employee
to lock in the story. ese questions should be answered:
What happened? What equipment was being used? When did the
injury occur? Where? What parts of the body have been injured?
As part of this investigation, identify and question any potential
witnesses to help verify the story. If a person has been identified as a
witness to the event, find out what he/she saw. Compare this version
with the version provided by the injured employee. Make a note of
any discrepancies. In addition to finding out who, what, when and
where, make sure the investigator and claims adjuster receives any and
all information that comes to you throughout the claims process.
For example, it would be important to find out that the injury
occured on Monday morning 15 minutes after clocking in and after
a weekend of playing football; the employee was just disciplined last
week; or that he/she has a second job.
Finally, obtain full details regarding how the injury occurred and if it
could be prevented in the future. We must prevent a re-occurrence of
the accident. Have the injured employee provide input on how his/her
injury may have been prevented. Consider a modification of safety
protocol or consultation with a loss prevention expert to address the
safety issues raised following the incident. Most importantly, make
sure that your insurance carrier is aware of the results of your hard
work. Many of these details can help shape the tone and tenor with
which the claim is handled and defended on your behalf.
Direct Medical Care
Once the claim is reported, the injured employee should immediately
be offered medical care at the designated occupational or urgent care
facility. Make sure this information is posted, consistent with your
legal obligation, and readily accessible.
DO NOT CALL AN AMBULANCE, unless there is a concern about
the injury being life-threatening, as the bill from the trip to the
hospital alone will cause you heart failure – just wait until your
insurance carrier receives the Emergency Department bill from the
local hospital. DO NOT LET THE EMPLOYEE GO TO HIS/HER
OWN DOCTOR – medical control is the most important
component of controlling costs once an injury is reported. It is the
physician who determines: if an injury versus an incident has
occurred; if there is a industrial causation for the injury; if your
employee is going to sit at home and watch TV commercials
advertising Workers’ Compensation attorneys or return to work; and
ultimately if there is a permanent disability. Succently put, it is the
physician who determines the cost of the claim. Asserting and
maintaining medical control is crucial to the management of
Workers’ Compensation costs.
Offer Modified Duty
Often, injured employees may not be able to do their regular job while
they are recovering from their injuries. However, they may be able to
perform less physically arduous tasks, known as “modified duty”.
e quickest way to increase the cost of a claim is to pay your
employee tax-free wage loss benefits
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Stop Member Churn...Turn Your Club Into A Lifestyle
Attrition rates are hitting almost 22%
according to the 2013 IHRSA Health Club
Consumer Report. Attrition, more
commonly referred to as “churn”, is the
ongoing loss of membership numbers.
ough this number is improving
(meaning going down) over previous years,
the competition to replace these members
at your club is not getting any easier.
Consumers are turning their attention and
membership dollars to clubs that offer
By Stacey Penney
more than just fitness. What can your club
do to retain current members and attract (and keep) new members?
First, do you know your clubs churn number? How many
new members do you sign up per month compared to how many
leave? According to the numbers cited by IHRSA, for every five new
members you gain, you are losing at least one. One doesn’t seem like
much in this example. Your club could handle that economic impact,
but now expand that to 10 out of 50 or 22 out of 100. It’s a lot of work
and financial investment to bring new or potential members to your
doors, and the consumer pool to pull from seems to be getting smaller.
Speaking of financial investments, according to Health Fitness
Management (M. Bates, Human Kinetics), it costs four to six times
more to get a new member than it does to retain an existing one.
Once you get one or more new members, reach out to
them at regular intervals as they navigate your club.
Just like a new employee, orientation is a crucial aspect that will set the
stage for the new member’s relationship with your club. Make them
feel welcomed and connected from the start. Within the first week, if
not days, contact them by phone (and an email if you didn’t actually
speak with them) and personally invite them to schedule a tour of
your club. Introduce them to the personal training team and set up a
complementary fitness evaluation. Show them the other amenities and
services your club has to offer them, beyond just fitness. is includes
how your club can be a part of their lifestyle and wellness pursuits.
If their goals include weight loss, do you have nutrition consultations
with an RD(registered dietician) available or perhaps monthly healthy
cooking seminars they would find worthwhile?
Follow up with new members to see what they are enjoying, what
questions they may have, and even what criticism they may offer of
your club. Show you care about their experiences at your club, and
what you can do to make them even better. is interaction extends
your marketing efforts through these satisfied members as up to 80%
of new business referrals could be coming from their word of mouth
recommendations (Health Fitness Management).
A member is not considered retained until he/she has
been with your club for at least a year. More than 25% of
members have been with a club for less than a year, rather short term
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when it comes to relationships. On the other end of the spectrum,
five years seems to be a critical time when members become
disillusioned with their club relationship and it ends. Don’t lose sight
of the regular member’s changing needs and interests. If a member no
longer has a fitness goal to attain or a specific reason to keep coming
to your club, why would he/she keep their membership with you?
As with the new member, maintain communication with your
“regulars” and check in with them when their attendance habits
change. Find out why they aren’t using the club as often, or at all.
Is it you or is it them? Consider if there is something your club could
do to save the relationship.
Programming is also a key factor in slowing churn.
Offering a variety of programs concurrently allows members to
explore and grow their skills and interests, but can also offer
something familiar and safe. Adding seasonally themed programs
(summer slim downs, resolution goals), fitness standards (aerobics,
boot camp, yoga, strength circuit classes, TRX, Silver Sneakers), or a
progression of programs (introductory, intermediate, advanced) can
keep members involved and interested in what your club offers. If you
have the right type of facility, adding a bit of friendly competition
with sport leagues could be another tactic to slow churn.
In California, clubs have to contend with our incredible weather and
year-round outdoor activities. Instead of lamenting about the annual
migrations to outdoor activities, embrace the opportunity to offer
programming that accents non-traditional gym activities.
For example, golf, tennis, hiking, stand-up-paddle (SUP) boarding,
surfing, skiing and snowboarding fitness programming can improve
members performance and make these experiences that much more
pleasurable! Start by hosting a free introductory workshop for any of
these activities and use it to promote a four to six week training
program that gets members ready to try the activity or take it to the
next level. is can be a great opportunity to introduce members to
the many benefits of group training, including social interaction with
other members and economic pricing, not to mention, an aspect of
fun (Who says exercise has to be all work!). At the end of the
program, bring the participants together for a “field trip” to the local
marina with an afternoon of SUP’ing or a designated time at the golf
range to see who has improved their drives the farthest. is is also an
opportunity to partner with the other venues your members may
be utilizing and foster these relationships that can benefit
both organizations.
There are many educational programs available that can
give you and your staff the tools to build these types of
successful add-on programs. NASM has specializations that can
meet these needs and get your club up to speed in just weeks.
Consider the Group Personal Training Specialist (GPTS) that takes
personal training beyond the one-on-one model and applies a
structured and progressive training format to effectively meet the
needs of participants (which also increases hourly revenue while
simultaneously decreasing member out-of-pocket fees). ere’s even a
Golf Fitness Specialist (GFS) to lower game scores and increase the
drive distance, and the ever-popular Mixed Martial Arts
Conditioning Specialists (MMACS)
12
Implement A First Aid Program
To Reduce Workers’ Compensation Costs
By Jennifer
Weathersbee
e Worker’s Compensation market in
California is hardening. Rates have been
increasing on an incremental basis and are
expected to continue to rise as the cost of
medical care increases. Employers can
reduce their insurance costs by instituting
strong safety measures and preventing
losses from occurring. In the event of
a small claim, employers can minimize
their costs and reduce their experience
modification factors by implementing a
first aid program.
Under the new experience rating formula instituted by the Workers’
Compensation Insurance Rating Bureau (WCIRB) as of January 1,
2010, all claims under $7001 now go into the modification on a
dollar-for-dollar basis, which means that these claims now impact
employers more heavily than they did in the past. Claims under $2001
have always gone into the formula at full value. When we talk about
instituting a first aid program, we are focusing on these small claims.
e medical costs for any claim that meets the legal criteria for “first
aid” can be paid by the employer, rather than by the insurance
company.
California Labor Code Defines First Aid
Section 5401 states, “any one-time treatment and any follow up visit
for the purpose of observation of minor scratches, cuts, burns and
splinters, or other minor industrial injuries, which do not ordinarily
require medical care. is one-time treatment, and follow-up for the
purpose of observation, is considered first aid even though provided
by a physician or registered professional personnel.”
e distinction between first aid and a “medical claim” that MUST
be paid by the carrier is based on the type of treatment that an
employee receives, not whether or not a physician was seen. It is
generally accepted in California that the OSHA guides for recordable
injuries can help define what claims can be considered “first aid.”
is Cal/OSHA information can be found at: http://www.dir.ca.gov/
dosh/dosh1.html
If a claim meets the definition of “first aid” and there is no
prescription medication and no lost time or work restrictions beyond
the date of the injury, the employer may pay the claim costs directly.
However, it is still recommended that these claims be reported to the
insurance company even if the employer pays the medical costs.
When a physician is involved in treatment of a first aid claim, the
California Department of Insurance, in conjunction with the
Department of Industrial Relations and the Division of Workers’
Compensation reminds employers and physicians that they must
comply with Labor Code Section 6409(a) which states that a
physician who treats a first aid injury must complete and submit a
Doctor’s First Report of Injury or Illness (Form 5021) with the
insurance carrier within five (5) calendar days. With this requirement,
a claim will be reported by the physician or the employer via the
Doctor’s First Report of Injury or Illness, so it is good practice for
employers to be proactive in reporting all claims to their carrier,
especially since claims can escalate at a later date.
Many employers are concerned about the impact of frequency on their
insurance rates if they report all of their claims, even first aid claims,
but a good broker will present a strong case to the carrier at renewal
that there were no costs to the carrier associated with those claims
(because the employer has a good first aid program) and further that
the employer is an even better underwriting risk because they report
all losses to the carrier so there are no surprises down the road.
Remember that all claims under $2001 are grouped together and
submitted to the WCIRB by the carrier at the unit statistical filing
date. e claims go into the experience modification calculation on a
dollar-for-dollar basis and are factored into the experience
modification for the next three years. If there are no costs paid by the
insurance company for some or all of these claims, an employer can
dramatically reduce the modification points associated with these
small losses. As one mod point can equate to one percent of premium,
there is a strong incentive for employers to reduce their experience
modification by paying first aid claims whenever legally permissible.
In an ideal situation, the carrier will review the claim to ensure that it
meets the first aid criteria and can forward any bills to the employer
for payment upon request. Unfortunately, many carriers do not have
the time and resources to do this on consistent basis so it becomes
incumbent on employers to take a proactive approach to working with
their medical clinic and carrier to implement a successful first aid
program. Although it takes some time and coordination, the financial
reward for implementing a First Aid Program is worth the effort.
You can start by discussing the issue with your insurance carrier and
your designated medical clinic. Your broker can also be a resource to
facilitate communication, provide education and help to ensure the
success of your first aid program.
Jennifer Weathersbee is Director of Claims at InterWest Insurance, Inc.
She has been with the insurance company for 11 years. Jennifer can be
reached for questions at [email protected]
●●●●
13
14
Mindful Movement: A New Era In Fitness
By Ken Endelman
One of the questions I get asked a lot by
club managers is if Pilates is still growing.
I tell them that it has progressed from “hot
trend” to “here to stay”. While you’ll always
have members who will wander off to try
the latest fad, Pilates has built a rock solid
foundation in many clubs. Once members
really give it a try, they’re hooked – the
health benefits and results are that obvious.
All in all, Pilates isn’t going anywhere.
Yet, as any club manager knows,
diversification in business is the key. And for some clubs the word
“Pilates” may be limiting. Some members may see it as gender-specific,
expensive or even intimidating. While those are all misconceptions,
they can be hurdles to implementing a successful program.
So, over the last couple of years, Pilates equipment and education
providers have been thinking: “How can we expand what we do?
How can we diversify and bring the benefits of mind-body exercise
like Pilates to more people and different demographics?” e answer
is ushering in what we hope is a new era in commercial fitness: the era
of mindful movement.
What Exactly Is Mindful Movement?
We think of it as exercise with a focus. It can contain components of
strength training, cardio, core training, balance training and more,
but with a mental approach that requires members to think about
how they are moving in order to maximize the body’s potential.
Pilates obviously falls into this category, but now Pilates equipment
providers are developing many other programs that take mindful
movement in a lot of different directions.
Here are some of the mindful movement exercise categories being
developed, all of which can be a source of non-dues revenue in a group
exercise or personal training setting. And for many of these programs,
training can be done on-site over a single weekend, so your
instructors can get going quickly.
It also doesn’t take up much space. Portable Barres are easy to
transport if your area is needed for something else. On the flip side,
you can fit about 3-4 members on a 6’ Barre. So with just five barres
you can have a high-volume class of up to 20 participating members.
Rope Suspension System/Training
Made famous by the fitness company TRX, suspension training is a
form of strength training using ropes that allow members to work
against their own body weight. Exercises include a variety of
multi-planar, compound exercise movements, with the ultimate goal
of developing strength, balance, flexibility, and joint stability
simultaneously. Suspension system training develops physical strength
while using functional movements and dynamic positions
Up until now most suspension systems have been “two point”
systems,” meaning that there is one anchor point for the rope and two
suspension points for arms or legs. However, our company will shortly
introduce an innovative mind-body program with a “four point”
system having two ropes and four suspension points.
e two independent ropes ensure that the joints are in optimal
alignment when working against the resistance of the ropes and
gravity. And the four suspension points can allow the entire body to
be suspended, resulting in an increased variety of exercises.
Suspension systems can be mounted either on the ceiling or wall so
they do not take up a lot of room. (Door-mounted options exist but
are not recommended for commercial use.)
Combination Programs or Apparatus
With the rise of circuit and interval training there has been an effort
on the part of Pilates manufacturers to bring a mind-body element to
these types of workouts. A single piece of easily portable equipment
is highly desirable, as many clubs either can’t fit or can’t afford all of
the equipment needed for circuit/interval training.
Barre
Most clubs have heard of Barre by now, but just in case - a Barre is a
stationary handrail originally used during ballet warm-up exercises.
ese days Barre refers to group exercise programs to music performed
at the Barre and on the floor. Barre studios are popping up everywhere
and now many fitness facilities are offering Barre classes as part of their
group programming with a lot of success.
A lot of its popularity stems from the fact that it is a fun way for
members of all sizes to move and groove along to fast-paced music.
It is a dynamic high-energy class, and now Pilates companies like ours
are taking Barre and incorporating both a mind body element and
dynamic functional movement within the program. is makes a
well-designed Barre program a safe, effective workout. e mind-body
element can be a great marketing tool to attract and retain members.
Balanced Body’s new offering is called MOTR.
15
Balanced Body’s new offering to meet this need is called MOTR, and
will be available in early summer. It looks like a roller but it has a
detachable arm that sets into the end of the roller. Each end of the
arm houses a cord that can be adjusted to different levels of resistance.
is allows users to do a large variety of exercise categories that focus
on functional training, balance, core work, and strength training to
name just some. You can also use it for self-massage and myofascial
release, like a traditional roller.
Products like MOTR are a good fit for clubs because they give group
exercise instructors and personal trainers a large mix of exercise
options, and also the ability to mix and match these categories in a
single workout depending on what the instructor or the member
wants to work on that day. is is a valuable programming tool that,
in the hands of a seasoned instructor, always keeps the program fresh
for members.
Rehab And Post-Rehab Tools
Pilates has always been a natural extension of orthopedic physical
therapy so it is not a surprise that many Pilates equipment
manufacturers have created equipment that can be used both as a
method of rehabilitation and as a post-rehab method of sustaining a
desired fitness level. Many clubs now partner with physical therapists
to provide a 1-2 referral rehab/post-rehab punch. e Pilates Reformer
is a great piece of equipment that both therapists and clubs use for
this reason. But now, new products are available that don’t take as
much floor space.
One of our newer tools in this category is the CoreAlign.
e CoreAlign frame encloses two tracks and carts, which move
independently with smooth resistance (or assistance) created by six
elastic resistance bands on each cart. ere are literally hundreds of
functional movement exercises. ese exercises facilitate
musculoskeletal rehabilitation by stimulating core stability muscles to
fire in perfect timing while performing challenging gait exercises, very
deep stretches and core-controlled aerobic training – meaning it can
work equally well in a physical therapy, group exercise and personal
training setting.
Most CoreAlign exercises require a ladder. We offer wall-mounted and
free-standing ladders, or you can provide your own. For clubs,
wall-mounted ladders may be the best option if storage is a concern.
You can just pick up the carts and stack them out of the way.
We are very excited about mindful movement and we hope clubs will
be, too. Mindful movement will let fitness facilities offer programs to
their members that not only provide a killer workout, but
simultaneously train the body so that it moves optimally through
everyday life and everyday tasks. at’s a win-win for everyone.
Ken Endelman is the founder and CEO of Balanced Body. Balanced Body
thoroughly believes that mindful movement can change people’s lives and
provides clubs and fitness facilities with industry leading Pilates
equipment and education services.
●●●●
16
Stop Member Churn...
Managing Your Workers’...
CONTINUED FROM PAGE 11
program that helps trainers create fun, high-spirited workouts for
those interested in improving their physical performance inside the
ring or out.
while they are at home. Statistically, an employee recovers faster from
the effects of an injury if they do not lose any time from work.
From my own member experience, going from regularly using the
club five days per week for over three years, to not stepping foot
inside their doors for eight months, I felt abandoned by my club.
Seems odd to say since it was me who stopped going, but I felt that
they really don’t care as long as I paid my monthly dues. If they really
cared about me, the member, there should have been some sort of
scheduled outreach for members who are missing in action. Do they
fear that I’ll cancel my membership? Possibly? But they should be
more worried about my feelings of abandonment and that I would
share those with anyone who asked me for a club recommendation
(the 80% word of mouth potential referrals won’t be going to
that club).
Stacey Penney, Contributing Content Strategist with the National
Academy of Sports Medicine (NASM), holds a master’s degree in exercise
science and health promotion from California University of
Pennsylvania, a degree in Athletic Training from San Diego State
University, along with credentials in Health Promotion Management and
Consulting (UCSD), and Instructional Technology (SDSU). She holds
certifications from NASM and ACE in personal training, corrective
exercise, sports performance, group exercise, fitness nutrition, and
health coaching. [email protected]
●●●●
ey will also not be exposed to television ads or statutory language
in benefit letters advising them of their right to retain an attorney, or
neighbors who discuss their settlements and fill your employee’s eyes
with dollar signs. Emotionally, your employees will have an increased
sense of job security as they are still participating and contributing to
the work environment. eir position, promotional opportunities and
senority are all preserved if they stay working. is in turn serves to
motivate their physical recovery.
Squeaky Wheel
Once the claim is reported and your employee is in the system, stay
in touch with him/her. Find out how he/she is doing. Is he/she doing
better? Does he/she like their physician? Is the claims examiner
answering their questions? Likewise, keep in close contact with your
insurance carrier. Make sure you are informed with regard to the
claim’s progress and key events. Just like your employee has a right to
choose their attorney, so do you.
is article is not intended to be a substitute for legal advice and is
informational only. Robyn is a senior associate with Manning & Kass,
with over 17 years of workers’ compensation experience. In her workers’
compensation practice, she regularly advises insurance carriers, claim
professionals and business owners on litigation and claim management,
loss control, the interplay between personnel and human resources with
industrial injuries and risk management concerns. She also is a former
claims examiner, thereby affording her a well-rounded perspective of all
aspects of workers’ compensation systems including reserving and
addressing employer concerns. Robyn is in the San Diego office of Manning
& Kass. For specific questions contact Robyn at [email protected].
●●●●
Transforming Selling Systems...
e 3 M-I-S’s (Most Important Systems) that best integrate members
into the club, and provide greater participation and infinitely more
ongoing ancillary sales are: 1 to 1 Personal Training, Small Group
Training, and Group Exercise classes. Sixty five percent of 1 to 1
“on-boarded” members will stay in membership far longer than
traditionally-oriented customers. Ditto to nearly 80% of Small Group
on-boarded members. Members who are on-boarded into GEX classes
will be among the highest-retained members annually (over 70%).
Yet sadly, only a minority of national clubs point prospective and new
members in these directions.
Smart selling, as contrasted with traditional selling, is customercentric and will provide a greater benefit to consumers and clubs. It is
outcome-based interactivity, not a “menu” or “features” based
one-way selling. Clubs need to to embrace the twenty-first century
paradigms of offering participation opportunities to consumers.
Michael Scudder is Founder and CEO of Fitness Business Council - an
independent-clubs-only national management education/advisory network
of nearly 1000 U.S. facilities. Michael can be contacted at
[email protected] and 575-751-1212.)
●●●●
17
18
19
ASSOCIATE
MEMBER
SPOTLIGHT
Well it’s been a year now and
for both our software and billing
although the Jonas Fitness brand
services. is company has always
might still be somewhat new
been considered the leading provider
to the industry, its predecessor,
of EFT processing and billing
CheckFree/Club Solutions, sure isn’t.
solutions in the health and fitness
In March 2013, Toronto-based Jonas
space, and Jonas Fitness will now be
Software acquired the assets of what
considered the leading software
was once CheckFree/Club Solutions
provider in this industry as well.”
from Fiserv, Inc. and formed a new
company called Jonas Fitness Inc.,
Jonas Fitness will continue to
Adam Zeitsiff - President, Jan Harms - Senior Sales
with offices in Houston, Texas and
integrate and continuously expand on
Executive, Barry Bleuer - Regional Sales Consultant
Columbus, Ohio. Jonas Fitness
the assets that were once part of
maintains the Compete and i4
Club Solutions throughout 2014
software brands, as well as all the unique payment processing, billing
and beyond. Changes or additions already implemented over the last
and member-facing services that have made them a leader in the
12 months include but are not limited to:
industry for the last few decades.
• Hired over a dozen new R&D, Training and Customer
Support employees.
Jonas Fitness and Jonas Software are part of Constellation Software, a
• Expanded our Managed Billing Services department to compliment
leading provider of software and services to a select group of public
the services we offer to our clients through creating partnerships to
and private sector markets. Constellation acquires, manages, and
handle billing and member inquires.
builds industry-specific software businesses that provide specialized,
mission-critical software solutions that address the particular needs of
• Recently relocated and expanded our R&D office in Ohio.
its vertical market customers, encompassing such industries such as
• Just wrapped-up the first phase of re-investing in our i4 software
fitness, golf and private club, construction, food service, public
system to add much-needed functionality and enhance its lifespan.
transit, asset management, utilities, health care, amusement, and other
is first phase includes all new mobile portals and online services.
segments. “We have 30,000-plus customers in more than 30
• Invested significantly in our flagship product, Compete, to ensure it
countries, and a proven track record of solid growth in all those
becomes the leading product for health and fitness clubs.
industries,” says Jonas Fitness president Adam Zeitsiff.
• Relocated and expanded our PCI-compliant data center to support
Beyond building brand recognition and awareness over the last year,
the long-term expansion needs of our customers.
we have been implementing a range of plans to both integrate and
grow this business. “At our core, Jonas is a vertical market software
As you can see, Jonas Fitness will continue to be seen as a dominating
company with 20-plus years of experience to draw upon in order to
force in the club management software and billing space, along with
help improve the overall quality, functionality, and reliability of our
being a trusted advisor in the fitness industry as a whole for many
software systems at Jonas Fitness,” explains Zeitsiff. “We have spent
years to come.
the last 12 months applying best practices and proven systems in order
to enhance the capabilities of our systems to ensure that we meet the
For more information on Jonas Fitness, its 30+ year history and how we
needs of our clients long-term. We have also been working hard to
are a trusted provider of "Software For Life" please visit us at:
listen to our customers and react in a nimble fashion to their needs,
www.jonasfitness.com.
●●●●
20
Club Industry Financials...
Key Conclusions From IHRSA Financial Panel
ere were a wide range of insights from TSG Consumer Partners,
Piper Jaffray, GE Antares Capital and TZP Capital Partners. TSG
owns Planet Fitness, an HV/LP provider (high-volume, low-price).
2014 Event Calendar
All 1 Hour Webinars Begin At 12 PM
Register Online At www.califclubs.com
May 14
May 23
June 11
Sept 10
Oct 8
Oct 29
Nov 12
Dec 10
Legal Webinar: Conducting Workplace Investigations
Jeffery Long, Partner, Prout-LeVangie
LA North Valley Club Meeting
Stevenson Fitness, 12:00 noon – 2:00 p.m. All Welcome.
Webinar: Using Affordable Care Act To Your Clubs Advantage
Mike Rucker, Director of Digital Products, Club One
Webinar: Managing Relations - Interactions With
Members And Employees
Rod Heckelman, Owner, Mt. Tam Racquet Club
Legal Webinar: Managing Your Workers’ Comp Risks
Robyn Park Freiberg, Senior Associate, Manning, Kass, Ellrod,
Ramirez, Trester
Legal Webinar: Code Compliance - “Know e Laws at
Govern Your Industry”
Anthony Ellrod, Partner, Manning, Kass, Ellrod, Ramirez, Trester
Webinar: Designing And Delivering On e
Membership Enrollment Process
Bill McBride, BMC:3
Legal Webinar: Membership Termination:
How Not To Spread e Risk
Jeffery Long, Partner, Prout-LeVangie
Most clubs will need to retrain supervisors
on "Avoiding Sexual Harassment in the
Workplace for Supervisors”.
is is required every two years. If you are in need of a training and have
a minimum of 7 workers to be trained, Lin Conrad will travel to your
club. If you would like to volunteer your location for a training but don't
have 7 workers call Ms. Conrad to establish a date. In-class training has
been proven to be the most effective means of subject comprehension.
It allows for lively discussion and questions.
Contact Lin Conrad for information and registration:
510-243-1532, [email protected]
Webinars are $39 for CCD members and $79 for non-members.
CCD Webinars sponsored by
ey now have over 750 clubs open and serve over 5 million
members. With their existing regional franchises, they see growth of
over 175 new clubs in 2014.
Piper Jaffray studied some of the macro trends. It focused on the
25-54 year old, which represents 67% of the memberships in the club
industry. ey noted that this demographic segment was growing less
in employment than other sectors. However, disposable income was
growing. Consumer confidence was lagging. eir own primary
research indicated that those who did not belong to a club went
elsewhere for cycling, yoga, swimming and group weight training on
a more “pay as you go” basis. ey highlighted the increasing trend
toward wearable technology.
Piper Jaffray emphasized that strong cash flows, high margins on
membership dues and the lack of need for working capital were all
club strengths. However, they also noted the challenges involving high
initial capital costs, high attrition rates and high ongoing maintenance
capital needs.
GE Antares Capital saw the club industry as an attractive source of
borrowing, as it currently lends to 7 of the larger club companies.
It is impressed with the industry’s recurring revenue, strong free cash
flow and positive EBITDA at mature locations. It accepts the fact that
the industry is recession resistant. It highlighted the huge availability
of funds and the need to deploy them. Multiples of EBITDA were
rising, allowing for more debt availability for larger club companies.
TZP Capital Partners bought SNAP Fitness as well as three other
brands (9 Round, Kosama and Steele). ey saw a variety of
advantages in investing in the club industry (e.g., growing market,
investment in different sub-sectors, brand identification, free cash flow
and capitalizing on the entrepreneurial spirit). Some of their issues
involve the lack of consistency of product, an ever evolving industry,
expansion via company-owned stores, need for an active social media
presence and potential safety and liability concerns. ey liked the
amazing trends in small group training, flexible membership options
and technological innovation.
Conclusions
Most financial experts see the club industry as likely to benefit
from a slightly better 2014 than the recent past. However, until
unemployment levels really decrease and until clubs find meaningful
ways to take advantage of the Affordable Care Act, there are no likely
home runs expected. Singles and doubles are more likely. ere is
optimism but no expectations that the industry as a whole will return
to 2007 levels.
Rick Caro is President of Management Vision, Inc., a club consulting
company with expertise in helping clubs with club financials,
club valuations, market feasibility studies, expert witness testimony,
member surveys and club sales/purchases. Management Vision, Inc. can
be reached at (800)778-4411 or [email protected]
●●●●
To be placed on the email list for notification of these events contact
Lin Conrad, tel:510-243-1532 mail to:[email protected].
21
CCD Associate Members
Architects/Interior Design/Club Art
Joel B. Cantor - AIA Architect
415-957-9755 • [email protected]• www.jcantorarchitect.com
Serving the fitness industry since 1977, offers a full range of architectural, planning
& consulting services for new facilities, additions & extensive remodeling.
Fabiano & Associates • www.fabianodesigns.com
Rudy Fabiano • 973-746-5100 • [email protected]
Architects and interior designers providing smart, efficient and creative designs that
will help your club’s project or renovation to be successful and within your budget.
Our services are affordable and our experienced staff of 20 years will develop design
solutions that will satisfy your business plan as well as your programming needs.
Our spaces are designed to keep people motivated, happy and most
importantly healthy.
Maxion Design • www.maxiondesign.com
Cindy Maxion • 619-668-5678 • [email protected]
Maxion Design has designed more than 300 fitness facilities across the country and
abroad. Relying on our vast experience as artists, interior designers, graphic artists
and color specialists, we make clubs real showstoppers. New technology makes it
possible to present everything electronically to our clients from anywhere in the
world. Clients can see what they're buying before they buy it. We have printed on
vinyl, sheer fabric, paper, window film, wood, metal and acrylic. Our art can come
in any size, style or color. It can be three dimensional, integrating play or fitness
equipment, cutting edge lighting and movement.
Associations
FISA (Fitness Industry Suppliers Assoc.) • 858-509-0034
Dave Dinerman, Ex. Director • [email protected]
★ IDEA Health & Fitness Association
Kelly Nakai • 858-535-8979 • [email protected] • For info visit www.Ideafit.com
e world’s leading membership organization of fitness and wellness professionals
with over 23,000 members in over 80 countries. Since 1982, IDEA has provided
personal trainers, group exercise instructors, fitness program directors, mind-body
teachers, health club owners and fitness center managers with pertinent information,
educational opportunities, career development programs and industry leadership.
★ IHRSA • 800-228-4277
Pam O’Donnell, Member Services • info@ ihrsa.org • www.ihrsa.org
e international non-profit association of Health, Racquet and Sports Clubs.
Certification
★ ACE (American Council on Exercise)
Camron Yahyapour • 800-825-3636 ext 771 • [email protected]
ACE is the world’s largest non-profit fitness certifying organization and provider of
fitness education. ACE sets standards and protects the public against unqualified
fitness professionals and unsafe or ineffective fitness products, programs and trends.
Call about our certification classes or contact www.acefitness.org.
National Academy of Sports Medicine (NASM)
800-460-6276 • [email protected]
Brad Tucker, VP Sales • [email protected]
David Correia • 818-595-1210 • [email protected]
NASM also offers a progressive career track with access to specializations in
FitnessNutrition (FNS), Sports Performance (PES), and Injury Prevention (CES),
Continuing Education courses and accredited Bachelor and Master
Degree programs.
Merrithew Health Fitness/STOTT PILATES
Carol Tricoche • 800-910-0001 ext 203. See full listing under Fitness Equipment.
Consulting/Training
Bill McBride (BMC3)
415-299-9482 • [email protected] • www.BMC3.com
BMC3 is an agency specializing in consulting, coaching & club management.
We focus on operational strategy, operational excellence, sales & marketing, fitness
program design, class schedule optimization and staff training. Additionally, we are
building a full club intranet to deliver everything operators need to know about
optimally running their businesses with content and video trainings. We have
strategically partnered with affiliates to deliver a turnkey solution for new and
existing clubs. Our online community offers membership for $15 per month
(Leadership Council) that gives full access to all materials and training programs as
well as a complimentary monthly consult to Leadership Council Members.
★ CCD Partnership discount
22
Consulting/Training
Faust Management Corp. • 858-674-2400
Dr. Gerry Faust • [email protected]
Management consulting, executive coaching, speeches
and seminars, management development programs,
GM and Club Owner Roundtables, all that help
leaders and their teams succeed.
Premium Performance Training • 303-417-0653
Karen Woodard-Chavez • [email protected]
Karen has owned & operated clubs since 1985 and
now consults and trains club staff worldwide in
marketing, selling, service and management skills.
Services available on-site, online, by phone, books,
tapes, and manuals.
Court/Club Equipment
Athletix Products • 610-659-9924
John O’Donnell • [email protected]
Disinfectant Wipes and Sprays (kills MRSA),
Equipment Cleaning Wipes, Lubrication and
Maintenance Wipes, Odor Neutralizers for locker
room environments.
★ First Service • 800-227-1742
Dan Goldblatt • firstservice@clubstuff.com
First Service is privileged to be a longstanding CCD
associate member and preferred supplier. Look to us
for top quality athletic equipment (tennis, basketball,
volleyball, wall padding, gym curtains and scoreboards), specialty flooring (weight room, gymnasium,
aerobic, water draining, locker room and protective
floor covers), and club furnishings (lockers, bleachers,
benches, stools, outdoor tables and benches). Take
advantage of our 35 years of industry experience!
Diet/Nutrition
Communication Consultants WBS, Inc.
Take It Off weight loss • Casey Conrad
401-932-9407 • takeitoff[email protected]
is is a complete, turn-key, in-club weight
loss program.
Diet-to-Go • 800-743-7546
Lauren Hartung • [email protected]
Jennifer Schwarzbach • [email protected]
818-486-9883
Diet-to-Go is a food based, turnkey, nutritional
program offering everything a premier fitness club
needs to launch a lucrative profit center. With commercial kitchens in Virginia and Los Angeles, we have
a 22 year proven track record of providing an effective
and affordable nutrition option for customers
nationwide. We offer Low Fat, Vegetarian or Low Carb
menu options. Diet-to-Go partners with fitness clubs
to deliver their food options to members at the club.
Fitness Equipment
Balanced Body Pilates • 800-Pilates (745-2837)
Dave Littman • [email protected]
Tony Tran x206 • [email protected]
Balanced Body® believes that mindful movement can
change your members’ lives. We are the leading
resource of Pilates and mindful movement equipment,
information and training for CCD member clubs.
Start or expand your program with high quality on-site
training. Mat, Reformer, apparatus, CoreAlign® and
additional courses are available. www.pilates.com
Commercial Fitness Exchange, Inc.
Justin Fortune • 415-246-7841
info@commercialfitnessexchange
Fitness equipment dealer offering new, used and
remanufactured equipment.
Keiser Equipment • 800-253-6568
Gary Klein • [email protected]
Keiser air powered exercise machines create the power
in human performance via strength training and
functional training. We offer group cycling rear wheel
drive bikes, the Total Body Trainer, M5 Strider,
M3+Megnetic bike with front to back adjustable bars
and back-lit display, Air Power Racks, special programs
for senior training (STEP) and athletic performance
plus power testing for athletes. Keiser is known for our
Institute on Aging and Xpress 30 minute workouts.
Life Fitness
Jon orsell ,VP of Sales
Joe Harris, Sales Rep Northern California
925-584-5077 cell • 530-550-8977 office
[email protected]
Michael Pooler, Sales Rep Southern California
714-224-6866 cell • 562-694-0075 office
[email protected]
Nathan Green, Sales Rep Southern California
619-550-6788 cell • [email protected]
Over 30 years of research, development and expertise
in the fitness world has put Life Fitness in the unique
position to offer you what no other company can innovative products with unparalleled support. As the
leader in commercial exercise equipment, we’re able to
provide over 300 different cardiovascular and
strength-training products, including the renowned
Hammer Strength brand.
Nautilus® Commercial Fitness/Med-Fit Systems, Inc.
Bruce Kaplan, Director of National Accounts and GSA
• 760.814.7513 • [email protected]
www.nautiluscommercial.com
For over 40 years, Nautilus® commercial fitness
equipment has been known for superior biomechanics
and better, safer results. Today, we continue to be the
#1 name in fitness equipment. With numerous
international patents, our passion for innovation and
our pursuit of perfection is unmatched by any other
fitness equipment manufacturer. Our commercial
strength and cardio products combine cutting-edge
technology, superb craftsmanship, heavy-duty club
quality materials and are made in the USA. Nautilus®
strength frames carry a lifetime warranty. We apply
permanently bonding, EPA registered antimicrobials to
all strength and cardio equipment surfaces to prevent
cross-contamination by multiple users. Contact us
about our innovative equipment and programming.
Paramount • 800-721-2121
Chris Babecky, Director of Sales North America
[email protected]
Evan Darling, West Coast Sales Mgr. • 206-715-8739
[email protected]
After 56 years, the leading manufacturer of commercial
strength products: single, dual and multi-station
machines; plate-loaded and modular systems; free
weight benches and racks plus functional training
equipment.
Power Systems • 800-321-6975 ext 7893
Patty Daugherty • [email protected]
www.power-systems.com
Power Systems was founded by Bruno and Julie
Pauletto over 25 years ago and we are a leading
supplier of fitness and sports performance training
equipment. Our product line covers over 2000
strength and conditioning products for Health and
Fitness Clubs pertaining to Group Fitness, Functional
Training and Personal Training. We are located in
Knoxville, TN and utilize over 300,000 sq. ft. of office
and warehouse space. Our Mission is to advance
health, fitness and physical performance for everyone.
Precor
Jason Blair (Central Calif )
Jarred Willis, Sr. Key Acct Mgr
Adam Guier (Southern Calif )
619.315.9914 • [email protected]
Precor designs and builds premium fitness equipment
for effective workouts that feel smooth and natural.
Our equipment is chosen by health clubs, hotels, spas,
universities, and individuals all over the world. For
nearly three decades, we've driven fitness forward with
a passionate focus on ergonomic motion, proven
science, and superior engineering. We constantly study
and anticipate the needs of the people and
organizations we serve, and continually redefine the
levels of innovation, quality, and service necessary to
deliver the very best fitness experiences – all with the
goal of improving the ways people improve themselves.
Star Trac
Rick Nelson, Dir. Western Regional Sales
Mike Westcott, Nor CA Territory Manager
714- 936-1027 • [email protected]
David Summers, So CA Territory
Complete line of best-in-class commercial cardio
equipment including treadmills, bikes, crosstrainers,
steppers and Spinner® bikes, and a full range of
strength training equipment.
Total Gym
Bonnie Lee • 858-764-0004 • [email protected]
www.totalgym.com
Total Gym® is the world's leading privately-held
manufacturer of functional and bodyweight training
equipment for home consumers, fitness professionals,
athletic trainers and rehabilitation specialists. Founded
in 1974, the San Diego-based company's Total Gym®
equipment is used in 14,000 physical therapy clinics,
athletic training facilities, hospitals, universities,
professional sports teams and health clubs worldwide.
Total Gym continues to lead the industry with
innovative functional training products and the
award-winning GRAVITYSystem® commercial fitness
program.
TRX (formerly Fitness Anywhere)
Roy Lin, So Cal, NV, AZ, HI Territory Sales Manager
Mike Cole, No Calif Sales Manager
TRX produces and sells Suspension Training
equipment and programs to trainers, clubs, athletes,
physical therapists and the military. Suspension
Training bodyweight exercise develops strength,
balance, flexibility and core stability simultaneously.
23
Health Assessment & Equipment
Fit3D • 888.428.0001
[email protected] • www.fit3d.com
Greg Moore • 650-275-3483 • [email protected]
Are you looking for a turnkey technology to help you
differentiate your services, drive more personal training
sales and retain members? Finally, do you want this
without a heavy operations burden on your already
taxed team? Fit3D is the only safe, affordable, and absolutely motivating 3D Imaging technology and online
platform that gives your club a leg up on your competitors. With our technology you can give your users
a unique set of anthropometric based risk assessments,
track their progress, and literally show them how their
body is changing as a result of your great services. You
can't afford not to differentiate your club in this competitive market! Find out how to become a Fit3D partner today!!
MicroFit, Inc.
Rob Rideout • 559-475-7007 • [email protected]
www.microfit.com
For over 25 years quality fitness centers around the
world have used MicroFit fitness assessment products
to offer a unique member service program not found
in most low cost exercise shops. A MicroFit
fitness/wellness assessment allows trainers to meet new
members, gain their trust, understand their goals,
recommend programs, and track their progress. is
experience helps members achieve better health. Our
fitness assessment software measures over 30 physical
fitness characteristics and can be interfaced to the
testing equipment for computer-controlled assessments
of weight, body fat, blood pressure, flexibility, strength
and cardiovascular fitness.
Insurance
★ FitnessPak: CCD Endorsed Provider
Jim Foley • 800-873-3725 • [email protected]
Ken McKay • 800-444-4134 • [email protected]
Tony Pozas • 530-895-1010 • [email protected]
Matt Bauer • 800-873-3725 • [email protected]
Club insurance specialists.
ISU Insurance Brokers of San Diego
Bart Castellitto • 858-391-0282
[email protected]
ISU Insurance Brokers of San Diego is a full service
insurance broker providing all lines of insurance
products with over 25 years of experience in the fitness
industry. Allow us to be your “risk coach”: we will have
your insurance program in shape in no time.
Legal
Bradley & Gmelich • 818-243-5200
Tom Gmelich • [email protected]
Gary Bradley • [email protected]
General counsel for health and fitness centers
throughout California. Bradley & Gmelich specializes
in membership agreements, employment matters,
business counseling and litigation, and general liability
matters. Our holistic approach to practicing law
benefits your entire operation. Please call for a
free consultation.
General Legal Counsel • 925-558-2786
Joseph Freschi recently opened his own law practice
after 15 years of representing two of the largest fitness
companies in the US - 24 Hour Fitness and Planet
Fitness. After successfully growing and guiding both
companies through majority buyouts, Joseph is
available to represent fitness and health clubs. Joseph's
fitness experience spans three decades and all aspects of
the industry, including owning and operating health
clubs. Joseph can provide a wide range of practical
legal advice including out-sourced general counsel
services. All CCD members are entitled to a
free consultation.
Manning & Kass, Ellrod, Ramirez, Trester LLP
Anthony Ellrod • 213-624-6900 •
[email protected] • manningllp.com
Legal counsel with a focus on the health club industry,
including drafting membership agreements and other
contracts, providing risk management and general
counsel services, and advising on and litigating business, commercial, personal injury, employment, and
workers compensation matters. Offices in Los Angeles,
Orange County, San Diego, San Francisco, and
Phoenix.
★ Prout, LeVangie LLP: CCD Endorsed Provider
916-443-4849
Jeffery Long • jeff[email protected]
Specializing in conducting risk management analysis
for health clubs, preparing valid waiver and releases,
and general health club litigation.
Locker Room Amenities
★ Petra Hygienic Systems: CCD Endorsed Provider
John Mickelson • 877-888-6655 ext 3
[email protected]
Matt Anderson • 877-888-6655 ext 6
[email protected]
Personal care products for the locker room and club.
Marketing
Pronto Marketing
Alma Rodoni • 800-270-3440
[email protected]
www.healthclubs.prontomarketing.com
We create and manage all the moving parts of your
internet presence without it costing a fortune.
Pronto manages a website, social media and all of the
components that go into a well orchestrated internet
presence to meet your business goals. We set up and
take care of all aspects of your online presence:
Website Design and Copywriting; Search Engine
Optimization; Social Media Management; Local
Business Directory Listings.
Reach Sports Group
James Brough
W. Brent Arnold
Reach has its own digital signage network that is in
over 500 athletic, health and fitness clubs, university
fitness and recreation centers, ice arenas, YMCAs and
JCCs throughout the United States. e
advertising-supported Reach Network features large
high-definition flat screen digital televisions, with flash
screen technology, that inform, entertain and educate
members and visitors at partner facilities.
Susan K Bailey • 888-349-4598 • www.clubads.com
MaryBeth Bradley • [email protected]
Creates effective direct marketing pieces that cut
through the clutter and let you target market.
Advertising that works out!
Programming
TRX (formerly Fitness Anywhere)
Roy Lin, So Cal, NV, AZ, HI Territory Sales Manager
Mike Cole, No Calif Sales Manager
TRX produces and sells Suspension Training
equipment and programs to trainers, clubs, athletes,
physical therapists and the military. Suspension
Training bodyweight exercise develops strength,
balance, flexibility and core stability simultaneously.
Retention & Reward Programs
Retention Management • 800-951-8048
John Heppenstall • [email protected]
Retention Management helps fitness centers increase
retention, ancillary revenues, sales and profitability.
Our Email Services deliver automated email targeting
every segment of their membership and marketing
broadcast emails to promote club services and program
utilization. Our Social Media Services create and
actively manage a club’s Social Media presence;
maximizing fan recruitment and interaction,
marketing initiatives and profitability.
Software/Internet Programs
ABC Financial Services • 800.622.6290 ext 1166
Steve Ayers, Vice President of Sales & Marketing
501.515.5066 • [email protected]
ABC Financial is the leading service provider of key
financial services including software, billing, payment
processing, and merchant services for the health and
fitness industry. In addition, ABC provides
comprehensive on-site training and club marketing.
Jonas Fitness
Jan Harms • [email protected]
801-501-9673
A comprehensive and scalable solution that combines
the best of club management software, managed
member data services and payment services. When
these three vital club functions are fully integrated,
your club reaches the peak in profitability and
operational efficiency.
MembersFirst • 508-310-2360
Dawn Taylor • 401-289-0745
[email protected]
Internet-based marketing and member communication
solutions to the Health & Fitness Industry. We build,
design and manage club web sites to support all aspects
of membership from acquisition, activation,
engagement and retention.
Twin Oaks
Carole Oat • 860-829-6000x281 • [email protected]
We developed software and services from a unique
perspective — yours. As former club owners and
operators, we’ve lived through the rewards and
challenges of running a facility, the tedium of
processing billings, and the fine line you walk trying to
collect on declined EFTs while keeping those
members, well… members.
24
California Clubs of Distinction
5382 Coach Drive
El Sobrante, CA 94803
PRSRT STD
U.S. Postage
PAID
Petaluma, CA
Permit #138
Membership Application
Membership in CCD is open to health, racquet, and fitness facilities which pay
property taxes and do not accept tax-deductible contributions of capital or
operating costs, e.g., 501 c(3)’s, government agencies and their subsidiaries.
Applicant facilities must sign the Pledge below to activate a membership. Your club
will be reviewed by the Executive Director upon application, change of ownership,
or if a questionable ethic is brought before the Board. If you have any questions,
please contact Lin Conrad, the Executive Director, at 510-243-1532. CCD reserves
the right to make final decisions on applications for membership.
Membership Pledge
As a member of CCD, I agree to operate my club in the best interest of the
consumer and the industry by: • Assuring that my club is a service driven club
• Abiding by all federal, state, and local consumer protection laws and all other
applicable legislation • Engaging in a positive sales approach
• Opening membership to persons of all races, creeds and places of origin.
I agree to abide by this Membership Pledge:
Signature:
Please mark the appropriate box for annual dues:
Club Name:
Street Address:
City:
State:
Owner:
Zip Code:
Manager:
e-mail address (for CCD use only):
q
q
q
q
q
Date:
1 club with 2,000 sq. ft. or less = $225
1-4 clubs = $360 each facility (all clubs must be members)
15+ clubs = corporate membership (contact CCD for dues)
IHRSA Members receive a 5% discount.
Web site: www.
Telephone:
Fax:
Number of Clubs:
Amount enclosed: $
Mail check to: CCD, 5382 Coach Drive, El Sobrante, CA 94803
CCD, a non-profit association, is the voice of the club industry in California. CCD’s purpose is to
promote responsible growth of the California club industry and to enhance the professionalism, effectiveness
and profitability of its members through networking, education and positive legislative change.

ccd news update - California Clubs of Distinction

Transcription

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