Affiliated Acceptance Corp.

P.O. Box 790001

Sunrise Beach, MO 65079-9001

USA

Website:

https://www.affiliated.org

Phone:(573) 374-9970

Toll Free:(800) 233-8483

Fax:(573) 374-9972

Get in Sync with Management Software

These days, you can do almost anything with a cell phone. Check your email, update your calendar, play solitaire, take photos - all this functionality is crammed into a piece of technology so small that it fits inside your pocket. The best part is, it's an affordable gadget.

Secure Billing

Keeping the personal and financial information of your members safe should be a top priority, and choosing the right management software can help.

Getting Creative with Management Software

Your management software has incredible capabilities for collecting member data. And, fitness facility managers are using that data in creative ways to increase sales and improve retention.

Checking Up on Check-In and Customer Service

Can facilities substitute software for service at check-in? Employees at two facilities -- one independent, one corporate -- give their take on how front desk systems can make or break a member's experience.

Optimizing Front Desk Performance

Facility management software is indispensable to a high-performance fitness center. Member management is one of a fitness center's most vital functions. The front desk is the hub of member management, and an optimal computer software system is crucial for check-in, tracking payments and attendance, scheduling, security and employee management. "Keeping track of this information is critical, and can be used to generate reports to help with sales, retention and facility programming," says Valdez.The front desk also has a powerful effect on service. "Front desk personnel are the first touchstone in greeting members, and are key toward setting the stage for the overall member experience during that visit to the club," says Steven R. Ruth, director of sales for Aphelion Fitness Management Software, Houston, Texas. Front desk personnel are responsible for accurately and efficiently checking in members and guests, for assuring that all who enter the fitness center are on current account status, for personally greeting each member, and for acting as a first resource of information for products, services and facilities. "But the most important thing that good front desk personnel do is deliver a personalized greeting to each member," says Ruth.Training"We provide more than just training on how to use software; we teach our clients how they can apply the software applications to manage the day-to-day operations of their facility," says Valdez. For the first 90 days upon signing up with ASF, facility owners and key staff members go through ASF's Core Training Program one-on-one with a certified ASF Training Specialist. A different feature of the software is presented at each session based on the business needs of the facility. Clients can call if they have questions or need help with any of the applications. Training is via phone and Internet sessions, and is complimentary to all clients.To fully use the management software, front desk staff needs at least some computer literacy. "One of the biggest things when it comes to training is how fluent somebody is in using any kind of computer system," says Nelson. Sound computer skills enable interactive training. Affiliated dials into the client's system and goes through and sets up everything -- from point-of-sale to contract templates and scheduling of items. "We can go in just like we are sitting there with them, and walk them through the configuration of their entire facility," says Nelson. There are also online manuals and documentation for reference.Through training, fitness center management can see an increased return on their investment in management software. "Effective training increases the confidence of all of the club's staff, and allows for much more effective utilization of the software," says Ruth. "Training is so important to us that we have extended our Client Care to 24 hours per day, five days per week." Aphelion clients can speak to staff, participate in telephone training, structured online classes and training at the Houston headquarters, or participate in an Aphelion University two-day program held throughout the United States.BackupAffiliated can write backup files across the network onto floppy drives, CDs or DVDs, and even tape. Clients can also schedule their own backups, and there is an assistant scheduler to do that during the evening hours or off times. "Affiliated gives them quite a few methods, and [they] have options where the software will remind them to back up if they are not doing it on a regular basis," says Nelson. The software also performs other internal backups automatically.EnhancementsASF receives feedback from clients on how existing programs can be enhanced, or on new features that could help them run their business better. "These are evaluated, with ideas that make sense incorporated into the program," says Valdez. ASF also gets inquiries about customization of the software to suit specific needs. "The reporting features are the easiest functions for us to tailor to a specific company; a few tweaks can give clients what they are looking for."Aphelion adds new features to its software on a daily basis through a team of 10 product developers. These are disseminated to the field immediately in the case of Internet versions of the software, and are distributed in a compilation CD to desktop edition users three times each year. Says Ruth, "We take to heart the direction we receive [from our clients]." New product features are implemented quickly, and then individual fitness centers can determine whether the features suit their needs and turn them on or off as desired.Good management software can aid security by popping up photos of members as they check in, verifying that the member and person present are in fact the same person. "Access control capabilities can also be implemented to allow member access on a restricted basis to those entitled to certain facilities," says Ruth. For example, a swimming pool may have a gated entrance that allows only those above a certain age to gain access. A locker room facility can allow only those of the correct gender to enter that locker room. In the case of 24-hour facilities, where they often operate in an unattended mode during non-peak hours, access can be granted only to those who meet stated membership-type restrictions.Nelson says that one of the problem areas in fitness centers is guest pass abuse. Facilities will send out 30-day passes or a one-week pass in the mail, and will have people trying to scam them, often moving from one location to the next. With video imaging, though, you have a positive ID on everybody, for all your facilities. "Instead of trying to file a paper log or go by a name, if somebody comes back a month later to use a one-week pass, boom, you can pull them up and view their picture. That is probably one of the best ways to have positive ID besides [a thumbprint]."Crucially, the front desk information system alerts staff about membership status. "If members are late on their payment, or their membership is about to expire, your staff will be aware of this right at check-in, and can address this on the spot," says Nelson. Full information on correspondence between members and facility staff or members and your billing company is available at your fingertips."This center of information is also invaluable to your club's marketing efforts," says Nelson. You can generate letters, direct mail pieces and emails to your customers based on attendance, usage or any other criteria you have elected to enter and keep track of in the system.ASF InternationalAttendance control with image capture and/or fingerprint scanning. These features are unique to each member and are great tools for keeping non-members out and for determining the status of current and expired members' accounts.Contract entry. Easy way to enter new sales into the system. All information entered at the fitness center is uploaded to ASF offices and stored in its database.Affiliated Acceptance Corp.Online/remote access. This is a tool for employee communication. It allows facility owners to communicate with all their employees as they log in during the day, or send pop-up messages to them from the corporate office. Fitness center owners can log in and view what an employee is doing on their terminal, improving security. Also, it enables amanager to correct any errors an employee might make, or provide on-the-spot training.Personal training. The personal training application enables managers to track the number of sessions available and "no shows," view a member's personal training session information upon check-in and receive notification of sessions used. Users can assign members to specific trainers, view and print a training history for each member, and set trainer session rates and sales commission percentages.Point of sale. The point of sale application handles all retail/pro shop sales and inventory management. Managers can easily make and record sales for both members and non-members.AphelionFront counter module. The front counter module handles all of the requirements for the fitness center's front counter and pro shop areas. The front desk system includes proshop sales, member check-in, an employee time clock, scheduling calendars and class tracking.Personal training. The personal training module sells, tracks, commissions and counts-down each training session as it is used.Scheduling. The scheduling calendars allow staff to schedule any activity or group in the fitness center. Managers can schedule staff members, trainers, courts, tanning beds or other items. They can create calendars for all sorts of uses, each with its own start and stop time, and print calendars of events, activities or employee schedules.

Member Initiation Fees

How to set your member initiation fees, and why they can benefit your business. Setting feesThe question of initiation fees is even harder to figure out. There are no formulas to use, and no formal way of deciding how much to charge. The easiest way to set an initiation fee is to look at what other fitness centers in your area charge, and go from there. It's called market-based pricing. Tour other fitness centers, find out what they offer and what they are charging, then price your facility according to how your equipment, services, available staff, etc., stacks up. It's certainly not scientific, but some feel it's a good way to stay competitive.Caro says that the setting of fees is more art than science. "Intellectually, we think price is a higher obstacle than it really is," he explains. "But the higher the fee collected -- in particular, the higher initiation fee -- the more commitment from members you'll get." Consider the fact that country clubs traditionally have very high fees, yet the best clubs frequently have waiting lists. Also, people don't choose to let their membership lapse when they temporarily don't have time to use it or have an injury, etc. Initiation fees are the glue that keeps members committed. (But, remember, people also get excellent customer service and social interaction at country clubs. Do you offer the same benefits?)So, how can you actually determine what your prices should be? Hire a consultant who will perform an independent market analysis. Join a trade organization and network with other fitness center owners who have facilities similar to yours. Do your homework, and talk to others who have been successful and can advise you.One way fitness centers make additional money on top of membership fees and profit centers is the initiation fee. It may even be the primary way a fitness center's sales team earns their salary.Caro says the biggest plus of an initiation fee is the buy-in of members. Of course, the downsideof an initiation fee is that it can turn potential members away, especially if the fees are too heavy. Caro says, however, not to focus on price and fees when comparing your facility to the competition. "When potential members say, 'Gee, I'm not sure I want to join today,' and the sales staff starts comparing your fitness center's price to others as an incentive, it invites that potential member to consider the competition," Caro explains.Waiving feesWaiving fees can also cheapen your business. If your services are worth the fees you charge, why consider reducing them? This practice also encourages people to wait for your fees to be reduced before they join. Keeping fees the same is called price integrity.Facilities that do not use initiation fees at all will surely need to make up that difference somewhere else. One way to add additional profit to a fitness center is to have revenue centers such as beverages, clothing items, towels, etc. This helps to keep the business more stable, since you don't have to rely just on memberships.DIRECTORY OF BILLING COMPANIES

20 Trends for the Future

While predicting the future is impossible, some leading industry suppliers offer their best guesses as to what will happen in the fitness industry in the years to come.1 Existing fitness centers will expand2 Small facilities will open 3 Competition will heat up4 Location will become more important 5 Niche markets will open up "I would recommend the club owner ... focus on the needs of an older population with various function levels, and on the deconditioned young, so they will be prepared to be a leader in the health and fitness industry of the future," says Steve Sarns, vice president of sales and marketing for NuStep Inc., Ann Arbor, Mich.7 Educated members will look for results 8 New ways to profit will be implemented9 Specialization will set fitness centers apart 10 High-quality staff will be mandatory11 Regulation will increase12 Spa services will raise the bar13 Paperless billing will be here to stay14 Insurance companies will incentivize fitness 15 Information will increase the power to sell 16 The Internet will enhance communication17 Consolidation will continue18 Equipment innovations will stall19 Technology will be less intimidating 20 Business will improve Looking ahead

Software Stories

How four fitness centers are using computer software to turn their businesses around. New Lady Fitness, Indianapolis, Ind.Calvert hired ASF International, Highlands Ranch, Colo., to bring New Lady Fitness into the 21st century, and then steeled himself to meet any challenges posed by the transition. Surprisingly, though New Lady Fitness wasn't hip to new technology, its employees were -- and success was just around the corner. "Our customer service improved a hundred-fold," Calvert states. "But, more importantly, it allowed us to refocus back on the member." That attention to customer service helped New Lady Fitness grow from four to 16 clubs in five states from 2002 to 2003. "Without computer software, there's no way you can do that," Calvert says. "The whole billing process, simply issuing cards, without that technology in place, it stifles growth." By simply keeping pace with the rest of the world, New Lady was able to expand its business and improve customer service. It's exciting to imagine what's next.Tim Hewitt, owner of Socada Health-Fitness Studio, Fla., uses technology to focus less on member issues and more on actually running his fitness centers. Socada Health-Fitness Studios are entirely automated. "The buildings are automated, member check-in is automated, point of sale is automated," says Hewitt. "What I wanted [was a system] to be turnkey, so I could run this thing single-handedly." With the help of Affiliated Acceptance Corp., Sunrise Beach, Mo., all three Socada Health-Fitness Studio locations are successfully running 24 hours a day, seven days a week. Two employees work in the back office entering contracts, managing corporate accounts, etc. "We're able to run this show with very little labor because of the technology," says Hewitt.For the last 12 to 24 months, the fitness centers have averaged 300 new members a month. "The growth is phenomenal, and now that it's automated, it allows me to do what I do best, which is marketing and sales," Hewitt says. "That's what gyms really need to focus on to grow their business and keep making it better. When you have to do it yourself, you have to manage labor, productivity. Through technology, it's an unlimited curve. I can grow as big or as fast as I want."Having a great fitness center is only half the battle; the other half is getting the word out. Clubs can spend thousands of dollarson marketing campaigns to attract new members, but Millennium Sportsclubs, managed by Salutary Sportsclubs Inc., Vacaville, Calif., advertises for next to nothing using the Internet. CheckFree Health & Fitness, Dublin, Ohio, software enables Millennium to send highly specific email blasts to inform members about new services, and also lure prospects into the facility.Getting the word out to prospective members is as easy as purchasing marketing lists and clicking "send." The main target market for the email blasts are new homeowners in the area -- and, the earlier Millennium gets to these prospects, the better. "One location has 13 different competitors within a 6-mile radius," says Salisbury. And the success rate is impressive -- out of 500 email blasts sent, 25 percent of recipients will either join or visit the facility.Gold's Gym International, Venice, Calif.Koenig is excited about the new technology, but is testing the waters before plunging in. "We're trying to take it slowly," hesays. "Before I replace a time-tested technology -- the analog and digital phone systems that everybody uses today -- I want to make sure that it's 100 percent." Avaya phone systems allow Gold's Gym to try voiceover IP technologyat the same time that the digital phone system isrunning. "I can run both of them on the same system side by side," explains Koenig. "If there are any problems, I have the tried-and-true digital system as a backup."

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