The gym you’re signing up for is banking on you failing.
Their business depends on it.
Gyms are inundated with January sign-ups; the thing is, they count on members never using what they pay for.
The numbers:
→ 80% of January joiners cancel within five months.
→ 50% of new members never even set foot in the gym.
→ To remain profitable, most gyms need 10x more members than they can handle.
In other words:
The perfect gym member is someone who pays to work out but never does.
This “breakage model” extends far beyond fitness centers.
Loyalty programs, insurance, home security services, etc.
It’s a lesson in consumer behavior, …
And an interesting look into the economics of motivation.
Had an awesome conversation with John Kraski and Josh McLean
John Kraski—a LinkedIn Top Voice with 90k+ followers—is renowned for
