The Fitness Dilemma: To ClassPass or Not to ClassPass – A Gym Owner’s Guide
What is ClassPass?
ClassPass is a fitness subscription service that offers its members access to a wide range of fitness classes and activities at various studios and gyms. With a ClassPass membership, individuals can discover and book fitness classes such as martial arts, yoga, spin, pilates, HIIT, and many more, at different locations all across the globe. It provides flexibility and variety for fitness enthusiasts, allowing them to explore different workouts without the need for multiple gym memberships. ClassPass offers various membership plans, making it a convenient and cost-effective way to pursue an active and diverse fitness routine.
So now, back to our question on whether gym owners like yourself should or should not list your classes on ClassPass.
- Enhanced Visibility
By integrating with ClassPass, your fitness studio gains an instant boost in visibility. Your classes become accessible to ClassPass users, many of whom may have never heard of your studio before. This is essentially a form of marketing.
- Revenue Stream
ClassPass pays you for every ClassPass user who attends your classes. It can be an opportunity to monetize otherwise unused class spots.
To Not ClassPass
- Profit Margin Considerations
One of the notable drawbacks of integrating with ClassPass is their revenue-sharing model, where they receive a percentage of your earnings for each member attending your class through their platform. This practice can significantly impact your profit margins, potentially challenging the financial sustainability of your studio. In some cases, the commissions taken by ClassPass can be substantial, with reports indicating that they claim more than 50% of the revenue. As of 2023, it’s worth noting that ClassPass has started to withhold compensation for free trials that members attend, further affecting your studio’s income.
Additionally, the payout process with ClassPass can be somewhat opaque, as their dynamic algorithm determines pricing, making it challenging to precisely track and reconcile your earnings. However, it’s essential to be aware that relying extensively on ClassPass could significantly erode your studio’s profitability.
- Class Availability
The most sought-after time slots tend to get snatched up rapidly by ClassPass users, occasionally putting your loyal members in a predicament as they try to secure their preferred class times. This situation can potentially have a ripple effect on the commitment and loyalty of your long-standing members. When a gym relies heavily on transient visitors through ClassPass, it becomes challenging to cultivate a robust sense of community among regular members. These fleeting connections can compromise the overall member experience for your steadfast clientele.
Pro-tip: Only list class slots on ClassPass that will definitely be vacant.
- Loss of Control
Integrating with ClassPass might also mean giving up control over pricing and scheduling as ClassPass may set its own rates and terms, which might not align with your business model.
Pro-tip: Do discuss and negotiate pricing and scheduling with ClassPass.
Lastly, not all booking systems seamlessly integrate with ClassPass, unlike vibefam! Adopting a measured and strategic approach is crucial for gym owners as it allows balance between effective marketing and safeguarding of profits and studio culture. vibefam offers full integration with ClassPass, allowing you to adjust the number of available spots, making it a top choice for efficiently managing your studio’s ClassPass bookings.
Ultimately, the decision on whether you should integrate with ClassPass should only be made after carefully weighing the pros and cons of your gym’s unique identity and goals. Although it can be a path filled with opportunities for expansion and exposure, there is also the possibility of pitfalls such as lower profit margins.
As a gym owner, you have the power to shape your own destiny. The decision you make today will pave the way for the future of your fitness business. So, will you embrace the ClassPass revolution, or will you steer your gym on an entirely different course? Whatever path you choose, vibefam will be here to provide guidance and support. We wish you nothing but the best on your journey!
This article was written by Jaren Wong.