Our Gym Franchise Model
How The Stepz Model Works
Stepz Fitness has a competitive pricing model and flexible gym options making it appealing to more Australians. Stepz was first in the market to successfully combine a tiered pricing model by incorporating Functional Group Training and 24/7 gym facilities under one roof.
Why A Hybrid Model?
The hybrid model is the solution low-cost high-volume membership trend faced by competitors in the 24/7 gym industry. The new model is now averaging a higher monthly revenue than the most successful 24/7 gyms in the market with half the members.
Common Member Frustrations
Key of frustration for members are expensive memberships, being locked into contracts, restrictive opening hours, overcrowding and feeling intimidated by working out. The majority of gyms are not meeting consumer needs, which is proven by Australia’s growing obesity.
Business Overview
Our two-tiered membership model provides a solution to meet two key consumer drivers:
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The budget conscious and time-poor Australian consumer — 24/7 gym access from $14.95 per week.
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Those who want specific results and are willing to pay a premium – Functional Group Membership from $29.95 per week
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This combination of cost and value is not something consumers have been able to achieve before.
Our Hybrid Model
24/7 Gym Access
There is a strong and continual demand for a network of modern-day fitness clubs offering 24/7 access, no contracts and discounted fees. The size of these fitness clubs is between 200 to 350sqm being smaller than the current average centres in the marketplace. They are also located in more convenient suburban locations for easy accessibility.
Being smaller with lower overheads, gives Stepz Fitness an opportunity to offer members lower gym fees without compromising on the quality of the equipment available. For the business owner there is a lower capital risk compared to its 24/7 competitors to sustain long-term profitability.
The 24/7 fitness centre business model has worked very successfully for years in the USA, offering members much more convenience, lower fees and no contract terms. Further this model is the leading contributor to overall revenue in the Australian Gym and Fitness Industry.
Functional Group Training
Our functional group training membership is value based and returns a higher yield to the business owner. For $29.95 per week, a member will have access to unlimited group classes. Stepz Fitness uses technology to track the results of our members.
This allows us unique data driven insight and maintains quality among our franchise network. Stepz has also developed a web-based software to display the workouts and exercises on 3 TV screens across the gym. This ensures a high-level of fitness programming and results to members leaving them more satisfied as customers.
The lifetime value of a Stepz Fitness member is higher than industry standards averaging 18 months.
Unique Stepz Fitness Features
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Open 24 hours, 7 days a week.
This allows the members to use the premises whenever they like and feel that it is their own gym. Coupled with the Group-training, a “Blue Ocean” of new customers that haven’t been able to have both cost and value.
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Lower membership fees.
Stepz Fitness centres will offer memberships of around half the price of existing larger clubs. This is because we do not have the higher operational cost associated with larger fitness centres.
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No obligatory contracts.
Stepz offers no-contract memberships which attractive to customers who value flexibility. Stepz recognises that customers seek the flexibility of being able to cancel the memberships at any time they like.
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Capped memberships.
Nobody likes going to an overcrowded gym where you have to wait for equipment. Stepz puts a limit on how many members it accepts to keep members happy as well as control the supply and demand.
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Low operating costs.
The Stepz Fitness model minimises the cost of wages by only employing one full time staff person. This cuts the average industry wages cost from 22% down to 10% on gross revenues per centre.
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Hybrid franchise model
With our hybrid model, Stepz differentiates itself from all other players in the market. This model will help increase average membership transaction costs and increase the length of membership.
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Location, location, location
Stepz real estate experts will help guide you through the headaches of finding that perfect location. We have a range of available gym territories.
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Stepping stones
Full head office support including Digital Marketing, Operations, Training & PR to ensure your gym and the network is always stepping forward and up!
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Your own marketing team
We have our own brand strategist and all CMO to support your campaigns, lead generation, digital marketing, rankings and creating attractive offers.
Stunning Aesthetics
Stepz has implemented a carefully curated and holistic interior design approach across our centres to stimulate psychological and physiological responses in our patrons.
This fresh approach differs from other gyms across the industry and can enhance the ability of patrons to exercise in a more peaceful, productive and positive state of mind.
Holistic interior design is concerned with the wellness of the mind, body and spirit of the individuals that inhabit the space. At Stepz we have embraced this even further by adding indoor plants, wooden materials and communal tables near the entry that are welcoming to our members in a non-intimidating and confronting environment.
Floor Plan
We often stick to a standard floor size based on the site. This does change, but a typical floor plan design is made up of:
The Functional Group Fitness Room
Communal Table - Break away space
Private Bathrooms/Shower Facilities
Free Weights Zone
Pin & Machine Loaded
Cardio Zone
Disabled Facilities
MATRIX FITNESS PARTNERSHIPS
We have partnered with Matrix Fitness, you get more than premium performance, approachable design, connected technology and durability that stands up to tough environments. You get an ongoing relationship geared for success. We’ll partner with you to provide forward-thinking solutions and cutting-edge products from our supplier for your grand opening and every day after. Given the strength in our business operations, we can also support you with exclusive equipment finance to take the stress and hassle away and eliminate any barriers.
