Member Referrals Are Like a Box of Chocolates…Or Are They?
Grant Ian Gamble is a best-selling mindful leadership author and speaker. He has over 30 years of experience in leading teams to create innovative customer experiences, building engaged workforces, and developing leaders who prioritize mindfulness in their approach.
Referrals are the No.1 source of Members in the Fitness and Wellness Industry.
Here are some facts:
- Referrals are the number one source of new members across the fitness and wellness sector.
- $ROI is highest on Referrals when compared to all other marketing sources.
- Three quarters of all referrals come from ‘Promoters’ (high NPS* score) in the fitness and wellness sector.
- The avg. referral rate for Promoters = 58% when offered a referral opportunity.
- Prospective members are 4x more likely to join a gym if they were referred by a friend.
- In the fitness industry, referred members have historically had a 37% higher retention rate as opposed to non-referred members.**
And yet most clubs and club groups do a pretty average job garnering and leveraging referral opportunities. Asking random members for referrals is like ‘a box of chocolates’, you never know what you’ll get.
Whereas asking Promoters is almost guaranteed to be met with a positive response. Every club has its fair share of Detractors and Passively Satisfied members, but the Promoters have stated clearly that, they “Are likely to recommend the club to their friends, family and/or colleagues.”
AFFINITY OS™ automatically provides Promoters with a simple but compelling referral opportunity. The uptake and conversion is significantly higher than mass marketing offers to all club members.
Below are some averages for clubs using the AFFINITY OS Referral System:
- 52 promoters ave. per month = 30 referred prospective members per month
- Average conversion of referred members @ 85% = 25 new referred members per month
- If Ave. Lifetime Value per member = $2,500 those referrals add $62.5k each month
You can do your own math based on your LTV, but as Forrest Gump might say, “Referrals and growth go together like peas and carrots”.
** IHRSA attributes this higher retention rate to the social connections and sense of belonging that often comes with being referred by a friend or acquaintance.
Interested in learning more about how to transform your organization’s approach to team member engagement and customer experience? Reach out to our team at AFFINITY OS, specialists in AI-driven customer experience and team member engagement optimization.
Dive into the heart of exceptional leadership and customer-centric success with AOS Academy. Our certification courses, guided by the “PEOPLE FIRST, ALWAYS” mantra, are designed to support professionals as mindful, effective leaders and service providers.
By integrating key insights from Grant Ian Gamble’s best-selling mindful leadership book, “The Affinity Principle”, we focus on nurturing people-centric cultures of empathy, effective communication, and customer service excellence.
The AOS Academy is more than just training – it’s a journey towards personal and professional transformation, ensuring every interaction and decision is rooted in understanding and valuing people first.
AFFINITY Podcast
Put PEOPLE FIRST, ALWAYS and watch your business flourish.
Dive deep into the latest trends in customer experience and team engagement, mindful leadership and management. Discover practical tools and strategies that you can use to build a people-centric culture, the foundation for sustainable long-term business growth and success.
Led by mindful leadership expert, Grant Ian Gamble, a best-selling author and true visionary with over 30 years of experience in leading teams to create innovative customer experiences, building engaged, inspired and fulfilled workforces, and developing leaders who prioritize genuine connection in their approach.
The guiding principle behind all of Grant’s work is PEOPLE FIRST, ALWAYS.
More Articles:
Unlock the Power of People: Transform Your Business with the AFFINITY Formula and AFFINITY OS
In a world driven by metrics and the relentless pursuit of growth, there’s a principle often overlooked—the essence of human connection. The AFFINITY formula is not just a theory but a realization of what truly drives success in any organization is the people. It’s about acknowledging that businesses don’t operate in isolation. They are living entities, shaped by the relationships between people.
Rediscovering Free Will: The Power of Autonomy and Self-Determination
In the complex tapestry of human existence, the concept of free will holds a prominent position. Victor Frankl, a renowned psychiatrist and Holocaust survivor, and Nir Eyal, a prominent author and behavioral designer, shed light on the significance of free will in our lives. Feeling autonomous and self-determined, that we have the power to exercise free will, is a fundamental psychological need that impacts our mental health. While it is easy to feel swept along by the current of life, believing we lack control over our outcomes, we must recognize our inherent ability to direct and redirect our path. Although we cannot change past decisions, the power to shape our current decisions and determine our direction lies within our grasp.
Cultivating Wise Compassion Leadership: A Necessity in Modern Leadership
I have been pondering on an article I recently came across in the Harvard Business Review, “Compassionate Leadership Is Necessary — but Not Sufficient,” written by Rasmus Hougaard, Jacqueline Carter, and Nick Hobson. I thought it could be of great interest to you as well.
As we navigate through turbulent times, the importance of compassionate leadership is more pronounced than ever. Yet, the authors reveal through their research that compassion on its own is not sufficient for effective leadership. Compassion must be paired with wisdom.