Running clubs

What is member churn?

Member churn is the rate at which members leave over a period, the inverse of retention, and the number that quietly sets the ceiling on how large a fitness business can grow regardless of how well it sells.

The arithmetic is unforgiving

Churn and acquisition work against each other directly. A business losing a meaningful share of its base every year has to replace it before any growth happens at all, which means the marketing budget is funding standing still.

Reducing churn is almost always cheaper than increasing acquisition to cover it, because a retained member needs no sales cost. Churn reduction nonetheless remains routinely under-resourced relative to marketing in most fitness businesses.

Measure it in cohorts, not averages

A single churn percentage across the whole base hides the thing you need to know. New members and members of three years behave completely differently, and blending them produces a number that moves for reasons nobody can explain.

Grouping members by when they joined and following each group separately shows where people actually leave. In most fitness businesses members leave early, which points the work at onboarding rather than at win-back.

Separate the kinds of leaving

Voluntary cancellation, failed payment and contract expiry all show up as churn and have nothing in common. Failed payments are a billing and communication problem with a high recovery rate. Voluntary cancellation is a product and coaching problem. Treating them as one number means working on the wrong one.

Splitting them is usually a reporting change rather than a project, and it frequently reveals that a chunk of apparent churn was recoverable.

Questions operators ask

Four that come up on almost every call about member churn.

Members lost in a period divided by members at the start of it, measured monthly, and reported by join cohort rather than as one blended figure. The blended number is the one that moves without telling you why.

Comparisons across businesses are less useful than they look, because models, contracts and markets differ so much. Your own trend by cohort is the number that should drive decisions, and it is the one you can actually influence.

It belongs in the total and should be reported separately, because much of it is recoverable with better dunning and clearer communication. Businesses that merge it into voluntary cancellation often mistake a billing problem for a product one.

Reasonably well, using attendance decline, app inactivity and missed check-ins. You rarely need anything sophisticated. Weeks since last visit, on its own, identifies most of the at-risk base early enough to act.

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