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As we close out another year, resolutions are coming thick and fast. Not just personal resolutions, but for companies across the UK as well. Sports clubs specifically are reflecting on the last year and are planning for further success next year. This means that the time has come once again to choose how operations are going to be funded.
Funding and rising costs are an ever present challenge across the country, especially for sports clubs. Identifying where funds will come from and how to grow revenue is always difficult. However, in this blog we wanted to discuss how offering a gym can support a club's core activities and provide an additional revenue stream.
How Do Sports Clubs Benefit from a Gym?
In PureGym's UK Fitness Report it showed 14% of the population have a gym membership, with a further 19% planning to join a gym next year. Never has there been a more perfect time to tap into the public's growing interest for healthy living. Demand is clearly on the rise for fitness facilities. This means we know sports clubs could see a range of benefits by having a gym on site.
Building a gym can broaden the clubs reach locally, helping to engage new members who may not have a sporting background or visited before. A gym is a great way of getting them into see the facilities on offer and to establish a relationship. Early stage interaction here lays the groundwork that encourages them to engage with events and classes offered in future.
As well as drawing in new prospective users, a gym undoubtedly adds value for existing members. Bringing in new equipment and training options can have a massive impact on current team's based there. Especially if those teams have lofty seasonal goals to achieve or individual athlete's who need to supercharge their physical performance.
We have seen first hand how crucial this can be during the off-season and colder periods of the year. Especially during winter when outdoor facilities aren't always accessible, games are few and far between, or even cancelled altogether. Offering an indoor solution will keep your club's community, athletes and your finances in top shape.
A Low-Risk Investment
Transforming a space may seem like a daunting task. Clubs often assume there needs to be a large initial investment, which can be a large hurdle to begin with. However, the initial investment could be smaller than you might expect as many clubs will use a finance solution.
To understand the required return for a gym it can be calculated by setting new membership targets. This should occur before going ahead with any purchases. You may find that for the entire new space, you only need 20 monthly members to break even. This doesn't even include additional income from PT's renting the space, or classes you market for a small extra fee.
Leasing is a fantastic option for sports clubs as it's a simple way to finance the temporary use of an expensive product. Technology continuously evolves so by leasing gym equipment, it means you can upgrade it at any time. This ensures the club doesn't fall behind with competitors or technological advances.
Did we mention leasing is tax efficient and can be designed to suit specific budgetary needs. Exploring this option could lead to you discovering that creating a new space isn't as difficult as you once believed. Our strong financial partner links makes it even simpler to tailor the leasing option to your clubs precise equipment needs.
Turn Underutilised Spaces into Functional Training Zones
Bringing something new to the club can start with simply identifying the space itself. We've seen some truly astonishing transformations over the years. From excess changing room spaces, to converted containers on the ground, right through to awkward rooms left under pavilions and stands.
To understand what will work in your space the chosen supplier should use 3D gym design. This helps you see the space properly giving perspective to what it will look and feel like. It also enables you to get creative with any changes before fully committing to a design. If you need design inspiration then check out our other post with top tips for gym design success.
When you start to get creative by thinking outside the box, you may be surprised by the amount of equipment that can fit into a small space, or how little equipment is actually required to offer a modern functional training space. As mentioned previously, using finance is the best approach as equipment can be changed at a later stage. This means you can change the spaces setup if you find something isn't working for the club after a certain period of time.
Community Benefits
This opportunity can be used to break down barriers and welcome new people into the club. At Origin Fitness we have worked with a wide range of sports clubs to achieve this goal. First-hand experience has shown us the value of adding a gym as part of wider facilities for current members and local community:
At Linlithgow Rugby Club success has come from the support of volunteers and committee members. Sporting success has generated funds that finally enabled a strength and conditioning suite to be installed at the facility. Already boasting a 3G pitch and changing facilities, the addition of a gym was perfect for the wider community. Not only is it great for indoor use during the winter months it adds value to any additional facility users.
In Falkirk FC, a previously unused space beneath the stadium's stalls is now a bustling gym. It offers training for all performance levels. Set times are in place when the gym is used only by the club's top athletes, but the public loves training in the same place as their local sports heroes. This has made it a really lucrative investment and revenue stream for the business.
Ways to Increase Your Clubs Revenue
Raising revenue for the sports club you love may seem a difficult task. There are many different ways to approach this task. First, we always recommend tapping into other resources such as Buddle. They offer professional advice on the wider aspects of running a sports club. Secondly, if you're looking for a few additional ideas tap into some of the points below:
| Fundraising: | This will be the main driver for generating income outside of membership fees. Outside of simply raising funds it can be a great way of getting current members together fostering a community vibe. Many different ideas work well here including team collections, working with local charities for a competition, host an event day, or even organise a health related challenge such as a sober October style event to raise funds. |
| Sponsorship: | Getting this right can be tricky, but it really depends on a clubs budget. For smaller clubs it could be more fruitful to work with local businesses in the community in return for exposure. Not only will this be more cost effective compared to some large sponsors, but it could be a better way to raise awareness of the club in the local community leading to new members. |
| Facility Factor: | If you have onsite facilities such as extra rooms or additional spaces sitting unused, consider renting these out. Let these spaces be booked when not in use for parties, meetings, conferences, and social events. Not only could this provide exposure for the club, but regular events could be a great source of additional revenue. |
| Bootcamps: | No we don't mean the army kind, but offering bootcamps could prove popular with regular facility users. If you live close to a school, run an after school club which could be great for busy parents. Run sessions over holiday periods with sport related camps looking after children or to get parents involved in fitness. The facility could even host specialised training sessions with industry expert coaches for sport specific team training or individuals. |
If you'd like to find out more about creating a training facility at your sports club, feel free to get in touch with our team of experts on our contact us page. If you prefer to speak to someone on the phone, you can reach us on 0333 2000 750 or email at [email protected].
