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Post by Pissed off Snap owner on Jul 20, 2016 19:22:28 GMT
I've been a "ZEE" for 8 years. I signed on with Snap because it was a growing concept and VERY user friendly. Today, not so much. I've seen initiative after initiative come and go. All with the proposed intent of making the model better. I start with the $8000 coke machine that was mandatory. Then the easy fit that everyone had to have. Now it's my zone and your zone and who is holding the phone! All these mandatory programs that don't do anything for us the "ZEE'S" our kick ass software package Fitware cost us more now than the easy to use Checkfree system that worked fine. And I understand the cost will increase yet again. The biggest revenue killer is the kick ass program Corporate Snap put together with Healthways. You know the Silver Sneaker - Prime program. All that do was take a paying member and give them reason to pay nothing but still have a membership to our clubs. If a Silver and Fit member does decide to come to the club we get a whopping $2.85 per visit maxing out at 8 visits. Meaning we just took a potential revenue stream from $39.95 to $22.80 assuming they show up and "SWIPE" their card 8 times a month.
Now we have reminders, recovery systems in place that..........you got it cost us more money. Over the last 8 years. I haven't be able to raise my price one nickel. But yet my monthly statement to Corporate Snap has more than doubled! I'm still trying to figure out their end game. Are they trying to put us out of business? Keep grabbing the existing ZEE until there is nothing left to grab!?
They can say what they want, their not selling many new franchises. So the only way to make money is to come back and smack us! The whole system is bull shit. It's no longer the system I signed up for 8 years ago. I ask is it me or is everyone else feeling the pinch. One more thing before I go............how is the $8.95 trail working out?
Dino |
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Post by determined1 on Jul 21, 2016 13:44:42 GMT
Personally, I think things turned very short sighted and how does corporate make a quick buck. The easiest way to do that is to force half baked ideas on your franchisees and force them to pay for them. This was the main issue Curves had. They were growing like gangbusters and then had the brilliant idea to drain their franchisees with all sorts of awful mandatory product rollouts. Corporate initially made millions with those mandatory programs, but over the long haul their franchisees watched their profits dry up and eventually closed. The long term result is that corporate's monthly revenues were decimated and Curves is now a scarce sight out there. We used to have 4 in a 10 mile radius back in 2005. That's now down to 1, and that one continues to struggle. Snap seems to have adopted that model and looks to be going down the same path.
I'd much rather see guidance from corporate about ideas which can actually increase memberships. Even if the immediate ROI to corporate is $0 if the program is successful then the ROI will be recognized by increased memberships. Additionally, the one size fits all mindset has to go. Clubs in resort areas won't necessarily benefit from the same programs as those in sparsely populated areas.
One of the first steps would be to increase retention numbers by automatically updating credit card data. This is a simple fix. If snap doesn't have the talent to do this then they need to hand this over to a company which can provide this and additionally provide a better level of support.
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Post by cheryl on Jul 22, 2016 19:42:57 GMT
You're probably not aware that about 4 or 5 years ago Snap Fitness hired Gary Findley. He left Snap Fitness about a year or so ago. I have no details. Why is the hiring of Gary Findley important? Gary took down Curves and turned them into just a shadow of their former selves. Did he do it by opening a competitive business targeting Curves base? Well, no. He destroyed Curves from within. He started running all sorts of ridiculous programs and forced Curves franchisees to pay for them. We found them useless and typically did nothing but delay and get in the way of the sales process. No one used them, but everyone had to pay for them. Fees more than doubled in the time he was at the company, forcing many franchisees out of business. He has no business sense and sees franchisees as nothing more than a cash register. Not surprisingly he did the same thing when he came to Snap Fitness with the same results.
I have no idea how anyone would hire the guy. Maybe Curves current management touted his (mis)management skills as a way to take down Snap Fitness.
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Post by supercool on Aug 19, 2016 14:52:23 GMT
Like mentioned above, I too am frustrated...I've basically had to DROP prices, rather than raise them, and I've been a franchisee for 10 years. Our official prices are slightly higher than 2006, but we usually have to match the local AF which will undercut us at $29.95/mo. Then of course throw in the various senior discount program members, and our prices are effectively quite a bit lower than they were in 2006. We've tried other avenues to raise revenue, such as PT, supplements, clothing, etc. and nothing seems to really help.
Also, the above poster is absolutely right about Gary Findley. Heard Peter ended up screwing him over, and that is why he left. "There is no honor among thieves," as the old saying goes.
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