case study

Cultivating a sales-focused culture

Summary

11%

11% improvement in mbsp dues

51%

51% improvement in EBITDAR in the first year alone

65%

65% improvement in net income

Overview

By implementing a broad scope of our services, including accounting, human resources and marketing, we helped transform our client’s fitness center culture to more sales and service focused. This in turn took them from a six-year downward financial trend to year-over-year financial growth.

Situation

After six years of internal management, our health system client’s health and wellness center had become a significant financial and operational drain.

Action

Midtown Health transitioned the client’s operations-oriented culture to prioritize service and sales. We provided training to fitness center staff along with a marketing strategy which included a website overhaul, new signage, referral programs and a diverse mix of campaigns. We also streamlined management, righted payroll and extended cost savings to our client by using our central purchasing services.

Results

The center realized a 51% improvement in EBITDAR in the first year alone. By Year Two, membership dues increased by 11%, and Net Income improved by 65%. Financial improvements have continued year after year.