CrossFit Discussion Board  

Go Back   CrossFit Discussion Board > Community > Running a CrossFit Facility
CrossFit Home Forum Site Rules CrossFit FAQ Search Today's Posts Mark Forums Read

Running a CrossFit Facility Tips and guidance on how to open and operate a CrossFit gym.

Reply
 
Thread Tools
Old 05-31-2008, 09:09 PM   #191
Derek Franks
Member Derek Franks is offline
 
Profile:
Join Date: Feb 2008
Location: Durham  NC
Posts: 471
Re: How Does Anyone Afford CF?

Quote:
Originally Posted by Steve Reggio View Post
Joe,
For example if my landlord decided he really liked me and let me have the space rent free that would eliminate my biggest expense and enable me to charge much less. Without having to pay that $3300 per month I could price myself at $50 a month no problem.
If people are willing to pay $150 a month, why on earth would you charge $50 unless you would get more than 3x as many people to sign up?

Last edited by Derek Franks : 05-31-2008 at 09:20 PM.
  Reply With Quote
Old 05-31-2008, 09:22 PM   #192
Emily Mattes
Member Emily Mattes is offline
 
Profile:
Join Date: Apr 2007
Location: Baltimore  MD
Posts: 1,015
Re: How Does Anyone Afford CF?

I disagree there's no market. There is a chorus of voices here that demonstrate there is indeed a market for a gym that has equipment Crossfitters need. I doubt there's a market among middle-aged people with steady jobs who can afford to pay $150/month, but all the people I've introduced to Crossfit--young people in or getting out of college--muddle along in globo-gyms because the prices of affiliates are hopelessly high.
  Reply With Quote
Old 05-31-2008, 09:32 PM   #193
Joe Cavazos
Affiliate Joe Cavazos is offline
 
Joe Cavazos's Avatar
 
Profile:
Join Date: Jul 2007
Location: Houston  Texas
Posts: 775
Re: How Does Anyone Afford CF?

Quote:
Originally Posted by Robert Wolf View Post
When do you go home? Spend time with your family? Pay the bills?
CrossFit Houston runs group classes from 5:00 AM - 9:00 AM, and then from 4:00 PM - 7:00 PM, and they're like 3 people. I could easily see an open gym running a couple of more hours with a couple more staff.

Also, as Emily said, there is a huge market for a cheap place to workout, bonus points if it's near where people live or work. No, they won't all be CrossFitters, but they will be there. Take it from a youth: whenever I go out with friends, the conversation of gyms ALWAYS comes up, and the one factor that is looked at above all else is price (with the exception of me, the CrossFitter, who looks at things like equipment and space).
__________________
My WFS Log || Stats I'm least proud of: Max Muscle-ups: 1 | Max Push-ups: 38 | Max HSPU: 9 | 19" Vertical Leap | Max L-sit: 5 sec.
  Reply With Quote
Old 06-01-2008, 10:17 AM   #194
Robert Wolf
Member Robert Wolf is offline
 
Profile:
Join Date: Oct 2002
Location: Chico  CA
Posts: 2,669
Re: How Does Anyone Afford CF?

Quote:
Originally Posted by Joe Cavazos View Post
CrossFit Houston runs group classes from 5:00 AM - 9:00 AM, and then from 4:00 PM - 7:00 PM, and they're like 3 people. I could easily see an open gym running a couple of more hours with a couple more staff.

Also, as Emily said, there is a huge market for a cheap place to workout, bonus points if it's near where people live or work. No, they won't all be CrossFitters, but they will be there. Take it from a youth: whenever I go out with friends, the conversation of gyms ALWAYS comes up, and the one factor that is looked at above all else is price (with the exception of me, the CrossFitter, who looks at things like equipment and space).
Well...we have quite a number of high school and college students, most of whom pay for it themselves. They eat a little less pizza, drink a little less beer and prioritize their money towards CF. In the past we had folks shake us down for a then $50/month price and then roll up on a new $3,000 road bike...it really comes down to priorities.


Joe, Em-
Open a box, make it cheap...maybe it will work. My experience with the situation says it won't but I've been wrong about more things related to business than I've been right...but i've seen this scenario play out MANY times and the end stage does not seem to support the cheap, open gym environment. Again however, maybe you guys can make it happen.
  Reply With Quote
Old 06-01-2008, 10:40 AM   #195
Dean Bozzano
Member Dean Bozzano is offline
 
Dean Bozzano's Avatar
 
Profile:
Join Date: Apr 2008
Location: Phoenix  AZ
Posts: 125
Re: How Does Anyone Afford CF?

I think the missing link here is the square foot of the facility vs. the volume of clients. Big box is a leverage strategy just like big manufacturing leverages from higher volume and being able to charge lower prices. Most of the affiliates don't have big boxes, maybe 1200-3000 square feet. Most, seem to be in the 1200-1600 sq ft. initially. You can't do any volume in this size of box and must charge more. Additionally, the affiliate specializes in barbells and free weight lifts, the kind that the globo-gyms don't want you to do because if you don't do them right, someone will get hurt. So the model must be supervised and coached to insure everyone is performing the movements properly and safely. Again, not how the globo-gym works. Lastly, if an affiliate were to do only personal training like many personal trainers and fitness studios do, they would charge anywhere from $30-$100 per one-on-one session. With 3 workouts per week that is $360-$1200 per month that the weak-good personal trainer generates. The affiliate model scales down to 4-8 people per class per trainer and charges about $125-$300 per month. Seems to me the market has adjusted to the exact right price for group training services assuming you are a good qualified trainer and you have some good equipment.

I have been in various businesses and industries for over 25 years and this model seems perfectly fair and inline with industry standards. I remember when I came out of college, I could not afford a Lexus or a new home or an expensive suit but I did make sure I paid my Chicago Health Club Dues which were about $99 per month back in the late 70's. There were no globo gyms and that was the going rate in 70's dollars... would have been much more today. I think it is a wonderful model for which one must appreciate the return on their investment and figure out if they can live with a car that cost $150 less per month, or skip a few meals out, or those fancy designer clothes you were going to buy this month. You will get all this stuff in time.

All that being said, there is down time during the day in a fitness center which you can choose to use for private training or other special programs, or to perform your administrative activities. How an owner wants to spend this time is really an individual lifestyle decision, incremental dollars or rest or catch-up on business...I really don't think you can complain about the financial model, as somebody else said, if the value is not there they will lower their prices or close the doors.
  Reply With Quote
Old 06-01-2008, 01:10 PM   #196
Nick Hanson
Member Nick Hanson is offline
 
Nick Hanson's Avatar
 
Profile:
Join Date: Jan 2008
Location: San Francisco  CA
Posts: 399
Re: How Does Anyone Afford CF?

Quote:
Originally Posted by Emily Mattes View Post
There is a chorus of voices here that demonstrate there is indeed a market for a gym that has equipment Crossfitters need.
10 people on a discussion board saying that they want this "open gym" model does not constitute a "chorus of voices". Like Robb said, the model that works best is the group model at the prices that the market will bear. If you can't afford those prices, build your own home gym like Tom Woodward did for under a grand or go to a globo. Otherwise, as I see it, if you view this as a true "chorus of voices" do something about it and open your own to see if it works.

I love the affiliate model and my affiliate in particular, so yes I am biased. However, this debate about whether or not some open gym model will work is just that...a debate. Until there are multiple affiliates with a 'true' open gym model, people will continue to do what has been very successful...opening coaching focused affiliates.
__________________
Nick's Blog- wfs -
  Reply With Quote
Old 06-01-2008, 04:10 PM   #197
Steve Reggio
Member Steve Reggio is offline
 
Steve Reggio's Avatar
 
Profile:
Join Date: Oct 2007
Location: Lorton  VA
Posts: 212
Re: How Does Anyone Afford CF?

10 people on the message board does not a market make. Granted I have only been open for three months but I have had exactly ONE person ask for an open gym.

Joe,
Just getting a couple more staff to open up for a couple more hours is not as easy as you may think.
  Reply With Quote
Old 06-02-2008, 09:04 AM   #198
Robert Wolf
Member Robert Wolf is offline
 
Profile:
Join Date: Oct 2002
Location: Chico  CA
Posts: 2,669
Re: How Does Anyone Afford CF?

Quote:
Originally Posted by Nick Hanson View Post
10 people on a discussion board saying that they want this "open gym" model does not constitute a "chorus of voices". Like Robb said, the model that works best is the group model at the prices that the market will bear. If you can't afford those prices, build your own home gym like Tom Woodward did for under a grand or go to a globo. Otherwise, as I see it, if you view this as a true "chorus of voices" do something about it and open your own to see if it works.

I love the affiliate model and my affiliate in particular, so yes I am biased. However, this debate about whether or not some open gym model will work is just that...a debate. Until there are multiple affiliates with a 'true' open gym model, people will continue to do what has been very successful...opening coaching focused affiliates.

Bravo Nick. Well said and this is at the heart of this entitlement mentality that I see around here. If you see a need, fill it, don't ask for an already easy situation (garage gym, affiliates, gut it out in a globo) to be made easier.
  Reply With Quote
Old 06-02-2008, 09:58 AM   #199
Nick Hanson
Member Nick Hanson is offline
 
Nick Hanson's Avatar
 
Profile:
Join Date: Jan 2008
Location: San Francisco  CA
Posts: 399
Re: How Does Anyone Afford CF?

Quote:
Originally Posted by Robert Wolf View Post
Bravo Nick. Well said and this is at the heart of this entitlement mentality that I see around here. If you see a need, fill it, don't ask for an already easy situation (garage gym, affiliates, gut it out in a globo) to be made easier.
Thanks Robb, I appreciate that coming from you. In general this entire thread has made me kinda disappointed in some of the people doing crossfit. I know that I am luckier than most in having two awesome coaches (kstar and boz) that I see on a daily basis. But, I just can't understand all of the b!tching in this thread. There are a ton of resources for everyone on this website, most of them free. If they aren't free, they are probably worth the money.
__________________
Nick's Blog- wfs -
  Reply With Quote
Old 06-02-2008, 10:42 AM   #200
Richard West
Member Richard West is offline
 
Profile:
Join Date: Mar 2008
Location: Bloomington  IN
Posts: 79
Re: How Does Anyone Afford CF?

Quote:
Originally Posted by Nick Hanson View Post
Thanks Robb, I appreciate that coming from you. In general this entire thread has made me kinda disappointed in some of the people doing crossfit. I know that I am luckier than most in having two awesome coaches (kstar and boz) that I see on a daily basis. But, I just can't understand all of the b!tching in this thread. There are a ton of resources for everyone on this website, most of them free. If they aren't free, they are probably worth the money.
I've been disappointed too in the condescending attitude given to people who dare to say that CF costs a lot. You say here that you're "luckier than most", the fact that you (and others) see anyone that isn't so lucky as "b!tching" is disappointing. That the conversation got so heated and personal was kind of disappointing too. I guess no virtual community will be without topics that people take personally.
  Reply With Quote
Reply


Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is Off
HTML code is Off
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
For those who say they can't afford a gym... Ethan Brooks Equipment 6 01-22-2008 02:58 PM
Can't afford bumper plates, would this substitute work? Matt DeMinico Equipment 12 04-20-2007 08:12 PM
Can't afford a KB or Sandbag, here is an idea Jennifer Conlin Equipment 4 10-25-2006 06:00 AM


All times are GMT -7. The time now is 04:26 PM.


Powered by vBulletin® Version 3.6.8
Copyright ©2000 - 2019, Jelsoft Enterprises Ltd.
CrossFit is a registered trademark of CrossFit Inc.