Staff Training and Development: The Core of Pilates Studio Success
Introduction:
Welcome to the eighth of ten focussed articles in our special series on What makes a Pilates studio truly profitable. Drawing from my 20 years of experience in owning, running, and consulting for Pilates studios, I focus here on Staff Training and Development and its importance in developing a profitable Pilates studio.
In the UK, the financial landscape of Pilates studios varies widely. Boutique Pilates studios, typically sized between 800 to 2000 square feet in leased buildings, see turnovers between £200K and £400K, with net profits ranging from a loss to 20%. In contrast, smaller home-based studios, spanning 300 to 700 square feet, have turnovers between £30K and £80K, and net profits range from 10% to 30%. These figures are grounded in the realities of running such businesses, where "turnover is vanity, profit is sanity, but cash is king. "
In the realm of Pilates studios, staff training and development are more than just periodic workshops or certification courses. They are integral components that significantly impact customer satisfaction, retention, and overall studio profitability. Clients align themselves as much, maybe more, with an instructor in a studio as they do with the studio itself and successful studios recognise this and not only invest in staff training but also focus on staff tenure and development, which in turn influences client loyalty and reduces the pressure on constant sales efforts. Let's explore the multi-faceted importance of this aspect.
Staff Training Quality and Job Tenure: Ensuring Consistency and Excellence
Why It’s Essential for Profitable Studios:
Profitable Studios: Place high importance on the quality of staff training and prioritise long-term job tenure. They understand that clients often develop strong loyalty to specific instructors. The departure of a favoured instructor can lead to clients re-evaluating their commitment to the studio, potentially increasing churn rates. By investing in quality training and fostering a positive work environment, these studios not only enhance their service quality but also encourage longer job tenure among staff, thereby maintaining client satisfaction and loyalty.
Why Less Profitable Studios Struggle:
Less Profitable Studios: May overlook the correlation between staff training quality, job tenure, and client retention. Frequent staff turnover can disrupt the client experience and lead to increased churn. This, in turn, puts additional pressure on sales and marketing efforts to continually attract new clients, often at a higher cost than retaining existing ones.
Innovative Remuneration Packages: Motivating and Retaining Quality Staff
Why It Works for Profitable Studios:
Profitable Studios: Implement innovative remuneration packages that reflect the individual performance and contributions of their instructors. This approach not only motivates staff but also aligns their interests with the studio’s goals. More productive instructors, who attract and retain more clients, are rewarded accordingly, creating a merit-based system that encourages excellence.
Why Less Profitable Studios Miss the Opportunity:
Less Profitable Studios: May adopt a one-size-fits-all approach to staff compensation, failing to distinguish between the contributions of different instructors. This lack of differentiation can demotivate high-performing staff and lead to a culture of mediocrity, ultimately affecting client satisfaction and retention.
Training Instructors in Sales Methodology: Beyond Teaching Skills
Why It’s a Game-Changer for Profitable Studios:
Profitable Studios: Recognise that instructors are not just teachers but also key players in the studio’s sales strategy. They provide instructors with training in sales methodologies, enabling them to effectively communicate the value of services to clients. This dual role enhances the client experience and contributes to higher sales conversions, with instructors feeling more invested in the studio’s success.
Why Less Profitable Studios Fall Short:
Less Profitable Studios: Often restrict their instructors’ roles to teaching only giving no incentives to on-sell services or bring in new clients, missing out on the opportunity to leverage their direct interaction with clients for sales purposes. This can lead to a disconnect between the service provided and the studio’s broader business objectives, limiting opportunities for organic growth through client relationships.
Conclusion:
In summary, staff training and development in Pilates studios go beyond mere skill enhancement. They are critical factors that influence customer satisfaction, retention, and the studio’s overall financial health. Profitable studios invest in high-quality staff training, foster long-term job tenure, offer innovative remuneration packages, and train instructors in sales methodologies. This holistic approach not only ensures service excellence but also aligns staff goals with the studio's success, creating a thriving, client-centric environment. In contrast, less profitable studios often overlook these aspects, leading to higher staff turnover, increased client churn, and a reliance on continuous sales efforts for client acquisition. For Pilates studios aiming for long-term success, focusing on staff training and development is not just an operational choice but a strategic necessity. In my Pilates Consultancy work I have successfully combined Pilates Studios for the public with Educational facilities for Instructors, both internal and external. The proximity to ongoing training and staff packages encouraging and incentivising ongoing Professional development has been highly successful and where the company is looking to grow the proximity of newly trained or experienced instructors adding to their skills within the business is a big prize in terms of being in a position to cherry pick the best instructors to expand the business.
Author: Chris Onslow - Pilates Consultant
Chris Onslow, has run Pilates focussed businesses since 1998. He and his team specialise in supporting Pilates entrepreneurs and business owners. With a rich history of owning and running successful Pilates studios in the UK, and supporting others in Europe and the Middle East, Chris has broad expertise in maximising profitability and optimising operational efficiency. His agency provides top-tier advice on selecting new, pre-owned, and hireable Pilates equipment from renowned brands such as Align-Pilates, Balanced Body or Stott-Pilates/Merrithew. As the founder of Mbodies Training Academy, Chris continues to revolutionise Pilates education, offering premier online and hybrid CPD and qualification courses for Pilates apparatus instruction and special population CPD. Discover more about how Chris can support your Pilates Business or home exercise choices at www.pilates-consultant.co.uk