Chapter 18 – Personal-training Business Fundamentals

    Check out our Audio Lectures, Practice Tests and Study Guide for the ACE CPT to see the specific topics that make it onto the ACE CPT Test from this chapter.

     

    1. Direct-employee model
      1. Commercial setting, corporate setting, private gyms, etc… working under an employer
      2. Advantages
        1. No overhead for equipment (provided by facility)
        2. Healthcare benefits
        3. Promotion opportunities
      3.  Disadvantages
        1. Can be a high-pressure sales environment
    2. Independent-contractor model
      1. Advantages
        1. Freedom to create your own pay-scale according to the market
      2. Disadvantages
        1. Responsible for marketing costs
        2. Traveling to clients homes
        3. May have to rent a space
        4. taxes
    3. Business planning
      1. Executive summary
        1. Business concept
          1. Description of the business
        2. Financial information
          1. Start-up costs for 1st year
          2. Source of capital
          3. Potential for sales revenue and profits
          4. Expected return on investment (ROI)
        3. Current business position
          1. Info about the business owners
        4. Major achievements
      2. Business description
        1. Operating model
        2. Local fitness market
        3. Competitors
        4. Management team
      3. Marketing plan
        1. Communicates how a product/service meets a client’s needs
        2. Develop a target audience
      4. Operational plan
        1. Organizational chart
      5. Risk analysis
        1. Barriers to entry: rental fees, equipment, employees, and marketing
        2. Financial: capital required to start or expand
        3. Competitive
        4. Staffing: managing employees and payroll
        5. SWOT ANALYSIS (strengths, weakness, opportunities, threats)
      6. Decision-making criteria
    4. Creating a brand
      1. Identify your market/target demographic
    5. Communicating the benefits
    6. Marketing for client retention
      1. Use periodization programs
    7. Marketing through general communication
    8. Choosing a business structure
    9. Professional services for starting a business
      1. Attorney
      2. Accountant
      3. Web developer/graphic designer
      4. Insurance broker
      5. Real estate broker
      6. Contractors
    10. Financial plan
      1. Use SMART goal setting
      2. Closing ratio: gets one paying client for every 5 talked to = 20% closing ratio
        1. Use to determine a goal for how many prospective clients to speak to per week
    11. Time management
      1. Working with clients
      2. Client management
      3. Prospecting for new clients
      4. Developing marketing or advertising materials
      5. Other job duties
      6. Exercise
      7. Personal time/home life
    12. How to sell personal training
      1. Marketing to potential clients
      2. Asking for the sale
        1. Identify emotional needs
        2. Effectively address those needs with the client
        3. Become genuinely interested

     

    Check out our Audio Lectures, Practice Tests and Study Guide for the ACE CPT to see the specific topics that make it onto the ACE CPT Test from this chapter.