Last year, the pandemic had resulted in the decline of gyms, resulting in most of them filing for bankruptcy and shutting down. But most gym owners are determined in turning around their business and generating revenue again thanks to more people getting vaccinated. Let’s know about Gym Owner Salary.
After going through the tedious tasks of finding a franchisor, agreeing on the terms, scouting for locations, setting up the gym, advertising, hiring employees, finally the gym opens. Are you looking to start your own gym? or are you a franchisee owner concerned about your annual salary? or are you just a curious soul wondering about how much do gym owners make? Worry no more, we have covered it all in this article!
Salaries of Gym Owners
We have compiled a list of salaries of gym owners, please know that most of these are estimates and averages, the income may be subjected to change in the future. The salaries highly vary from state to state, also depending on the franchise and location and also how long it has been operating there.
The countrywide average annual salary is $65,685 which results in $5,473 monthly pay.
The average gym owner’s salary starts from $46,584 and it can go up to $164,576 in New York, this is due to the population and increased cost of living and income there, along with it being one of the states with the highest minimum wage.
Texas is the state with the highest average salary, starting from $64,096, which can scale up to over $182,567. The trainers also get paid handsomely there.
The state with the lowest gym owner salary is Arkansas which is due to the least number of workout facilities per capita. The average pay ranges from $24,485 up to $40,873 annually.
The 25th percentile earns close to $25,000 annually, and the 75th percentile making just short of $75,000.
You can see a rise in revenue if you employ certain schemes and techniques. We have also mentioned them below.
How To Generate Additional Revenue As A Gym Owner?
Ever wonder why do most gyms fail? The answer to that question is little to no planning. People think it is easy to start up a gym, and that all the customers will flock to their ship. This is why without proper planning and attractive schemes, around 8 out of 10 gyms fail. The experienced and successful gym owners have followed the above revenue-generating ideas.
Along with the gym subscription, most gyms charge a one-time fee for signing up. The gyms offer various plans, ranging from monthly to an annual subscription which is designed in a way to fit in the budget of all the potential customers. Discounts for couples are also provided, motivating more people to join the gym and work out.
There has been a rise in the trend of gyms offering a one-day pass or a week pass for a decent price which may vary from $5 to $25 depending on the locality and status of the gym. Established franchises like Gold’s or LA Fitness often offer a “friend pass” for existing customers to bring someone over to work out with them. They also offer a free one-day pass to get potential customers to explore and work out at their facility. This contributes to the overall popularity and henceforth, the increased sales of the gym. If you implement the above plans then you’re guaranteed to see a 15% growth in your revenue.
Along with discounts and endorsements, there are various other ways that you can make sure to earn more through your gym. Some of the methods are mentioned below.
Lots of gym owners lose out on significant potential income due to not set up a store in their gyms. You can set up a small store inside your gym that includes only the necessary items. Some of them are mentioned below:
- Sports apparel like t-shirts, sports shoes, stringers, caps, etc.
- Gym accessories like lifting gloves, straps, and belts.
- Gym bottles or shakers.
- Gym bags.
- Supplements like Whey protein, creatine, pre-workout, BCAAs, etc.
You may partner up with various brands that can assist you in creating unique merchandise for a small cost. Having your personalized gym merchandise creates a sense of community, which may further lead to loyal customers and hence, customer retention. Sports supplement brands also allow gyms to partner up with them, giving special discounts to all their customers and employees. You can also lend gym clothes or shoes for a small fee to the customers that have forgotten them at home.
Kitchen for Customers and Employees
Most people work out early in the morning, right before they go to work. After a high-intensity session, they might be hungry. They won’t have to go all the way back home to prepare food if you have a fully equipped kitchen with all the necessary ingredients. The kitchen may include:
- Stove or Grill
- Coffee Maker
The customers and employees can bring their meals to heat up, or cool in the fridge. Setting up a few comfortable chairs around the kitchen can also prove helpful. You may also employ a full-time chef to cook healthy meals for your customers, creating a different menu for a different month. You can insert the kitchen subscription fees in the gym feels as well.
Spa and Sauna Centre
After an intense workout, some customers need a way to cool down. Offering them an array of options like a relaxing Thai massage or a soothing sauna session. This not only helps in alleviating their mood but relaxing their skin tissues and providing them a rejuvenating experience. You may also include a certain number of spa or sauna sessions per month for a set price.
Content on Social Media
Surprisingly, not many people implement this on their gym’s social media. Constantly engaging with your customers and answering all their questions and queries can lead to potential employees. You can also make content with your trainers, as they provide an essential workout or diet-related information. With the world being online, millions of people wanting to start or even restart their fitness goals, you can take your gym online by offering one-to-one sessions or group sessions, along with weekly free content and educational information on your social media handles. This is guaranteed to take your game to the next level.
Most of the above-mentioned ideas require additional finance to work, but if implemented they can make up to 50% or even more of your total gym income. With enough time and effort, you are guaranteed to generate more revenue.
The pandemic may have affected the gyms tremendously. But with more people getting vaccinated and with the rise in people trying to achieve their fitness goals, the gyms have seen a surge over the past few months. As a gym owner, it may take time to recoup the losses but with sufficient time and interesting plans, you may recover them surprisingly very quickly.
The salaries and revenue of the gym owners largely depend on the area that they’re based in, with some franchisors preferring locations in high-income neighborhoods for an increase in sales and popularity. The annual salaries may vary anywhere from $45,000 to $170,000. With 90th percentile owners earning over $200,000. At the first, glance, setting up a gym may sound like a hard and tiring business, but with adequate planning and execution, along with the above-mentioned tips, you can run a successful gym that generates over $150,000 annually.
The fitness industry may not be for all, but by no means is it a small industry, with over $35 billion market size in the United States alone, it is one of the most booming industries. With fitness influencers becoming mainstream due to social media and some gyms achieving the icon status (Gold’s Gym California Beach), this is only the beginning of a fitness revolution.
Frequently Asked Questions (F.A.Q.) on Salaries of Gym Owners
Q. I have just opened a franchise, how long will it take for me to make some net profit?
A. As mentioned above, it varies on multiple factors, but with good marketing and facilities, it won’t be more than 6-8 months till you start seeing some net income.
Q. Do I need to have business partners to open a franchise gym?
A. It is highly variable, depending on your experience in the fitness industry and your financials. If you lack in these two sectors then it is recommended to find a trustable and experienced partner.
Q. Will I need to hire trainers, are they really required?
A. Yes! Although not every customer of yours may require a trainer, having trainers in your gym shows that you are a beginner-friendly gym, this will surely attract people who want to start their fitness goals and need some guidance.
Q. How can I increase my net income as a gym owner?
A. We have mentioned a few more streams of income above, but you may also try remote online training, selling workout plans, advertising your gym online, or franchising if you have your established gym.
Q. How much will I have to pay the employees if I run my gym?
A. The salary of your gym staff can vary entirely on their position i.e. front desk receptionist or a trainer, along with that it may also depend on their prior work experience, as experienced trainers with the proper certification are expected to get paid way more. The figures are largely different if you run a franchised gym due to the set requirements and standards of the franchisor.