Introduction
Climbing gyms provide a great environment for people to stay active, challenge themselves, and have a good time with friends and family. But running a successful climbing gym is more than just providing an entertaining place for people to climb. It is important to ensure that the gym meets the needs of its customers, and the key is to understand the performance of the gym. By measuring certain important performance indicators, or KPIs, gym owners can track the success of the gym and take action to improve performance if needed. Here, we’ll take a look at the top seven climbing gym KPIs and how you can track and calculate them.
Average revenue per user
Definition
Average revenue per user (ARPU) measures the amount of revenue generated for each customer or user. This metric is useful for understanding how much money is generated by each user over a given period.
Benefits of Tracking
ARPU tracking is important because it provides insight into the profitability of each customer or user. It allows companies to determine which customers provide the most revenue and which customers provide the least. This information can be used to target the most profitable customers and focus marketing efforts on them.
Industry Benchmarks
The average ARPU for climbing gyms varies by region, size of gym, and type of services offered. Generally, the higher the revenue per user, the more successful the gym. A good benchmark for ARPU is per user per month.
How to calculate
Calculating ARPU is simple. It can be calculated by dividing the total revenue generated in a given period by the number of customers or users. The formula for Arpu is:
Calculation example
For example, if a rock climbing gym generates 0,000 in revenue in a month and has 5,000 customers, the ARPU would be (0,000 / 5,000 = ).
Tips and tricks
- Track ARPU over time to see if it is increasing or decreasing.
- Compare ARPU to industry benchmarks to see if your gym is performing above or below average.
- Focus marketing efforts on customers that provide the most revenue.
- Pay attention to customer spending trends to anticipate future revenue.
Retention rate
Definition
Retention rate is a metric that measures the percentage of customers who remain loyal to a business over a certain period of time. It is a useful tool for measuring customer loyalty and a company’s success in retaining customers.
Benefits of Tracking
Follow-up retention rate is an important metric for any business because it allows them to measure the success of their customer service and marketing efforts. It also helps businesses identify areas where they can improve their customer retention strategy, such as offering more discounts or creating more engaging content.
Industry Benchmarks
The average retention rate for a climbing gym is around 70%. This can vary from gym to gym, so it’s important to track your own retention rate to measure your success.
How to calculate
The retention rate is calculated by dividing the number of retained customers (i.e. those who are still active after a certain period of time) by the total number of customers at the beginning of the period.
Calculation example
For example, if a climbing gym has 200 customers at the start of the month and 180 customers at the end of the month, the retention rate would be calculated as follows:
Tips and Tricks for KPI: Retention Rate
- Track the retention rate regularly, such as monthly.
- Focus on providing great customer service and engaging content to keep customers coming back.
- Analyze why customers leave and identify areas where you can improve.
- Offer discounts and rewards to encourage customer loyalty.
Member Acquisition Cost
Definition
Member Acquisition Cost (MAC) is a KPI metric used to measure the cost associated with acquiring a new member in a climbing gym. This cost includes marketing and advertising resources, staff time and energy, and other related expenses.
Benefits of Tracking
Tracking the cost of acquiring members is important to the success of a climbing gym. It allows the gym to track their spending, identify areas for improvement, and strategize to grow their customer base. Additionally, tracking this metric provides a benchmark to measure the gym’s performance against other similar facilities.
Industry Benchmarks
The average membership acquisition cost for rock climbing gyms is around 0 for each new customer. This figure can vary greatly depending on gym size, location, type of marketing used, and other factors.
How to calculate
The formula for calculating the cost of acquiring members is as follows:
Calculation example
For example, if the total acquisition cost was ,000 and the total number of acquired members was 5, the acquisition cost of members would be 0.
Tips and tricks
- Track member acquisition cost on a monthly basis to identify customer acquisition trends.
- Analyze member acquisition cost in relation to customer lifetime value to determine return on investment.
- Develop strategies to reduce the cost of acquiring members while increasing the customer base.
Average daily visitors
Definition
Average Daily Visitor (ADV) is a metric used to measure the average number of people who visit a climbing gym daily. This metric provides an accurate measure of the total number of gym visitors, which is an important factor in evaluating gym success.
Benefits of Tracking
Tracking average daily visitors is a great way to measure the success of a climbing gym. It is also helpful in understanding gym clientele and the popularity of gym services. By tracking this metric, gym owners can make informed decisions on how to better serve their customers and improve their business.
Industry Benchmarks
The average number of daily visitors to a climbing gym can vary depending on the location, size and type of gym. Generally, a successful gym should have an average daily visitor count of at least 30 people per day.
How to calculate
The average daily metric can be calculated by taking the total number of gym visitors over a specific period, such as a month or a year, and dividing it by the total number of days during that period.
Calculation example
For example, a climbing gym that had a total of 3,000 visitors in a month would have an average daily metric of 100 (3,000/30 days).
Tips and tricks
- Be sure to track average daily visitors over different time periods, like a month, a quarter, and a year, to better understand gym performance over time.
- Compare average daily visitors to industry benchmarks to ensure the gym is performing at an acceptable level.
- Be sure to look at the data in the context of gym location, size and type to get a more accurate picture of performance.
Staff utilization rate
Definition
Staff utilization rate is a key performance indicator (KPI) used to measure the efficiency and effectiveness of staff in a climbing gym. This metric is calculated using the ratio of total staff hours worked to total staff hours available. It measures the amount of staff time spent on productive activities and the amount lost due to idle time or other activities.
Benefits of Tracking
Tracking the staff utilization rate of a climbing gym has many benefits. It helps gym management identify areas of inefficiency and optimize operational costs. It can also help them identify areas where staff could be better utilized. By tracking this KPI, gym owners can identify opportunities to increase staff productivity and reduce labor costs.
Industry Benchmarks
The industry benchmark for staff utilization rate varies depending on the type of climbing gym. Generally, for a recreational gym, the ideal staff utilization rate should be around 70-80%. For a more commercial gym, the staff utilization rate should be around 80-90%.
How to calculate
The personnel utilization rate is calculated using the following formula:
Calculation example
Let’s say a climbing gym has a total of 10 staff members and they are available to work 40 hours per week. In a particular week, they worked a total of 32 hours. The staff utilization rate for that week would be calculated as follows:
KPI Tips and Tricks
- Try to measure staff utilization on a weekly or monthly basis to identify changes or trends.
- Regularly review the staff utilization rate to identify opportunities for improvement.
- Compare staff utilization to industry benchmarks to ensure the gym is running efficiently.
- Encourage staff to take advantage of downtime to improve their skills or learn new ones.
Customer Satisfaction Score
Definition
Customer Satisfaction Score (CSAT) is a metric used to track customer satisfaction with a product or service. This is usually a survey-based measurement of customer satisfaction, which asks customers to rate their experience with a company on a scale of 1 to 5 or 1 to 10.
Benefits of Tracking
Tracking your climbing gym’s customer satisfaction score is important for understanding what customers think of your business. It provides valuable insight into the customer experience and can help you uncover areas for improvement. Tracking customer satisfaction can also help you identify customer loyalty, which can be an important factor in customer retention.
Industry Benchmarks
The average industry benchmark for customer satisfaction score is approximately 8 out of 10. However, it is important to note that customer satisfaction scores vary from industry to industry and will be highly dependent on the type product or service offered.
How to calculate
The formula to calculate the customer satisfaction score is:
Calculation example
For example, if your rock climbing gym has 50 customers and 10 of them are satisfied, your customer satisfaction score would be calculated as follows:
Tips and tricks
- Be sure to include customer feedback in your customer satisfaction surveys.
- Be sure to ask customers to rate their experience on a scale of 1-5 or 1-10.
- Analyze customer feedback closely and use it to make improvements to your customer service.
- Encourage customer feedback by offering incentives to customers who take the time to complete surveys.
Learning curve efficiency
Definition
Learning Curve Effectiveness (LCE) is a Key Performance Indicator (KPI) that quantifies how effective a climbing gym is at teaching its customers how to climb. It is calculated by measuring the number of climbing sessions a client needs to achieve a given skill level, such as being able to climb a specific route.
Benefits of Tracking
By tracking the effectiveness of your gym’s learning curve, you will be able to gauge the effectiveness of your rock climbing teaching programs and identify areas for improvement. Additionally, tracking your LCE can help you optimize your staffing needs and better serve your customers.
Industry Benchmarks
The industry standard for learning curve efficiency is between 1 and 2 climbing sessions per client per skill level. However, this can vary depending on the level of difficulty of the climb, the level of experience of the client and the type of instruction they receive.
How to calculate
The formula for calculating the learning curve efficiency is:
Calculation example
For example, if a client needs 10 climbing sessions to complete a level 5 climb, their learning curve efficiency would be calculated as follows:
Tips and tricks to improve LCE
- Provide clear and detailed instructions for each climb.
- Encourage customers to ask questions and provide feedback.
- Provide frequent opportunities to practice learned techniques.
- Encourage clients to set realistic goals.
- Provide access to quality equipment and safety equipment.
Conclusion
Keeping track of the top seven KPIs for climbing gyms is essential for measuring your gym’s performance and identifying areas for improvement. By using these metrics to track and calculate your gym’s performance, you can better understand how your business is doing and make the necessary adjustments to ensure a successful climb.
If you need help tracking these KPIs or calculating them more accurately, there are plenty of tools online to help. Tracking your KPI performance will regularly ensure that your gym is running smoothly and that you are taking the necessary steps to continue providing a great environment for climbing.
- Home
- Average revenue per user
- Retention rate
- Member Acquisition Cost
- Average daily visitors
- Staff utilization rate
- Customer Satisfaction Score
- Learning curve efficiency