Know-How Exchange : Strategy

To target motel customers, first identify the motels within a reasonable distance that don't have fitness facilities of their own (or have limited facilities). Then you need to work with the staff at to make it so they will suggest yours. This involves providing them with some sort of incentive, and giving them supporting info they would need to be able to send people your way (something like a flier or brochure).

Ideal incentive is something that will cost you less than it's worth to the recipient. (Example: Positive recognition among peers/community/customers.)

Second choice is something that will have universal appeal and provide instant gratification -- like cash.

The first part of target marketing is getting the target right. When you target motels, you are trying to extract income from people who are in town for a short time, usually with a specific mission or priority that has little to do with fitness, and on a budget (because they’re not at a big hotel).

Are any of these people going to be available during your business hours? Will they have the discretionary budget to spend at the gym instead of on the main purpose of their visit? Will they be tired from travel? And with airline luggage limitations, will they pay extra to pack workout clothes and gym shoes before coming to your city?

One big reason marketers would advise against motel marketing is that it’s not efficient to focus your resources on a segment that, by definition, is within a day or two of leaving your service area. From that point of view, you can see it would be more efficient to spend your energy and money on a more stable market – one that is not too distracted to absorb your marketing message and is capable of coming to your fitness center more than once. This is important because fitness centers make a lot of their money by selling long-term contracts, and they use personal relationships to hold their clientele. Those long-term financial arrangements and loyal relationships require multiple visits.

So, please consider targeting local employers, residents of nearby apartment buildings, and social organizations that are connected to fit lifestyles, such as golf courses, health food stores, hiking clubs, etc. -- people for whom working out produces high-priority benefits (healthy body, better coordination, strong muscles and so forth). Or, offer a membership discount to customers of nearby stores that sell fitness attire, athletic footwear and sporting goods.

Also, pay attention to the basics that invite people in as they happen to pass by, such as attractive signage, meticulous exterior upkeep, and abundant exterior lighting. When the fundamentals aren’t right, it will be hard for any marketing to bring clients through the doors.

I hope these ideas help you re-think your plans.

For some motels, having an associated gym may allow them to move up from 2-stars to 3-stars (for example) because of the additional amenities. If their guests have complained about lack of gym, then you have an obvious solution to their problem. You also need to create a plan for having the motel pay you a flat fee (for use by both their staff & guests), or a guest-only surcharge, or something between the two (a low fee + surcharge).

You could sell motels a corporate membership. They would pay you for a few annual memberships. You would give them reusable cards they can loan to guests who must hand them back to reception after use. So you get additional revenue, they get a number of places at your gym which can be used by any paying motel guest. The motel could charge a deposit which is refundable in full when the card is returned to reception. If the guest doesn't return it, it's like the "stolen bathrobe" model. Hotel lend you a bathrobe, if you take it with you they charge you full price for it.