What if all your members looked like your top 20%?
How to 3x your revenue by selling what premium clients actually want (hint: it's not just results)
3 minute read
The world is getting richer. Fast. And it's not just coastal cities anymore.
Credit Suisse's 2023 Global Wealth Report tells a shocking story: median wealth per adult jumped 47% in the last decade.
I see this firsthand as I travel the world visiting our gyms. From Columbus to Spokane, Nashville to Albany - every city is starting to feel more like SF or LA than you'd expect. Wealth isn't concentrated anymore. It's everywhere. And everyone wants to participate in "being wealthy."
And this new wealthy wants to act, look, and spend like their older counterparts.
What Do Wealthy People Buy?
Here's the opportunity hiding in plain sight: The wealthy aren't buying things. They're buying results, status, and leisure.
Ever wonder why Soho House maintains waitlists despite $5,000+ initiation fees? Or why people happily drop $500/night at luxury hotels when Motel 6 exists?
Wealthy people see time as their only limited resource - so optimize for this. In fact, a Princeton study has shown that the more money someone has the more of their happiness is derived from access to leisure (time)
The Opportunity Most Gyms Miss
Most gyms are stuck in a results-only mindset. They obsess over programming, equipment, and results. While there’s nothing really wrong about this, but it’s 1/3 of the equation.
The opportunity lies in the other 2/3: status and leisure.
Look at your best members - the ones paying 2x your base rate. They're not just showing up for workouts.
They're hanging out after class. Bringing friends. Never asking about prices. Making your gym their second home.
If you inspect it - they’re all finding a sense of leisure and status in your gym. And they’re willing to pay for it.
Leisure: The Easy First Move
Most of our clients are boutique gyms and we all think about a sense of community as part of our product.
This is an entry point into leisure. So we’re on the right path.
I think most gyms out there however do not go far enough. You need to start thinking like a Soho House or an Airlines Loyalty program. How do place a focus on the leisure aspects of your gym to make this an equal part of the value equation?
This means putting a focus (and priority) on things like lounge areas, internet speeds, amenities, etc.
Status: The Holy Grail
In short status is associated with “limited access”. Things that can be bought or earned, but never given.
I think this is a hard point for most gyms, because most of us operate in a limited mindset and either are afraid to create limitations in their business or they want everyone to experience everything. Noble, but ultimately flawed thinking.
Here’s some examples of easy status markers you can build into your gym:
Here's how smart gyms create status markers:
Founders club
2+ year member club designation
Membership limited time slots / classes
Registration priority based on length of membership
VIP only events and workshops
How this can manifest in your gym really depends on how you want to build this - but just by putting your mind to the fact that people pay for status as much (or more) as anything else should set you on the right path.
Your Move.
I like to think about business as building for where the world is going - not where it is today. And we’re seeing a clear shift in the world towards wealth.
Want to attract clients who'll happily pay 3x market rate? Stop building a better workout factory. Start building the perfect premium escape.
Results might get them in the door. But status and leisure keep them for life. And when you nail all three? They'll pay whatever it costs.