RESPONDING TO FITNESS CONSUMERS HELPS SHAPE HEALTHY BUSINESS PLAN

This article is about one of my clients. It's reprinted from the South Florida Sun-Sentinel, May 30, 2011 - Steve Winston, President, WINSTON COMMUNICATIONS (www.winstoncommunications.com)

RESPONDING TO FITNESS CONSUMERS HELPS SHAPE HEALTHY BUSINESS PLAN

'If we're doing everything right, the clubs sell themselves.'-Rick Berks, President, Youfit Health Clubs

May 27, 2011|By Cindy Kent, Sun Sentinel

Who: Rick Berks

What: Berks is founder of the Youfit Health Clubs chain. There are about 25 locations in Florida, including Margate, Pompano Beach and Boca Raton. Customers pay a flat $10 monthly fee.

Understanding the market, demographics and responding to consumers has kept his business plan healthy, fit and on track, says Berks.

Berks based the Youfit profile on his decades-long experience in the health club industry. He owned and operated multiple Gold's Gyms before opening the first Planet Fitness location in 1993.

This time, he's tuned into the growing sector of average consumers looking to be healthy, rather than those focused on body sculpting and bodybuilding, says Berks.

The back story: Berks compiled lessons learned to launch the streamlined Youfit model in 2008.

He rebranded his facilities, upgraded equipment and created smaller footprints with fewer amenities like classrooms and babysitter spaces. There are no sales people pushing membership fees or long-term multiyear commitments; spinning classes or group aerobics.

“The market is shaping itself," said Berks.

People want to spend less money but still have access to an exercise venue, he says. Consumers want flexible hours. They want an offering of equipment that matches their own level of proficiency and interest.

At the same time, businesses have to find ways to cut expenses, too, says Berks.
The clubs are retrofitted with newer energy-efficient air conditioning, LED lighting and tankless water heaters. The floors are made from recycled sneakers.

"Doing the things we are doing isn't just idealistic," said Berks. "It's economics as well. The upfront costs are savings in the end."

Though Berks maintains corporate control of the clubs, "the idea is to make a simple reproducible model," he said. The marketing platform is pretty simple, too, says Berks. The company utilizes direct mail, multimedia and social media.

The take away: "As an entrepreneur, you have to be optimistic or you can't be an entrepreneur," said Berks. "I've had good times and I've had bad times," says Berks, who once asked a mentor what separates successful people from "non successful" people.

"He answered, 'Persistence. If you stick with it, you'll figure it out.'" said Berks.

Knowledge: Achieve mass appeal. Rather than focus on a niche group of fitness consumers, Berks caters to customers that know what they want, a comfortable, low-pressure gym environment while achieving their goals. "Our typical consumer is more committed to being healthy by doing a 45 minute workout," said Berks. "They want to know they will fit in."

Calculate trial and error. Beta test a product or location, says Berks. That way you can be aggressive trying out an idea and at the same time limit potential loss. Expand on what works. "Good judgment comes from a lot of bad judgment," said Berks.

Details: Go to youfithealthclubs.com, 954-968-3481

ckent@tribune.com or 954-356-4662

SOUTH FLORIDA FITNESS PIONEER BRINGING NEW CONCEPT TO BROWARD COUNTY

NEWS FROM WINSTON COMMUNICATIONS

SOUTH FLORIDA FITNESS PIONEER BRINGING A NEW CONCEPT TO BROWARD

The founder of nationally-known Planet Fitness is a native of Broward County. He’s now created a new company - and a new concept in fitness. And he’s bringing it to Broward.

Rick Berks’ new company, Youfit Health Clubs (www.youfithealthclubs.com), already has eight clubs in South Florida (and 25 throughout the state). And now he’s opening new clubs in Margate and North Pompano Beach, as showpieces for his new concept. What, exactly, is this new concept? No long-term contracts, for one thing (you pay by the month). No huge bodybuilders or gym rats. No singles scenes. No used or worn-out equipment (all the machines are brand-new and top-of-the-line). No pressure to join (because there are no contracts). No pushy instructors. And no carbon footprint – these may be the “greenest” gyms in America (the floors are made of recycled sneakers!).

The “Youfit” name is meant to convey a very strong message. These are gyms for people who aren’t planning to enter bodybuilding championships, and who aren’t there to meet a member of the opposite sex. And Rick Berks’ fee structure may be the lowest you’ll ever see for a first-rate fitness facility.

Berks is a graduate of Pompano Beach High School. And he’s a successful entrepreneur, with a very colorful story. We’ll be telling you more soon, as we get closer to opening. In the meantime, please feel free to contact me with any questions, or if you’d like to speak with Rick Berks, at steve@winstoncommunications.com.

Steve Winston
President – WINSTON COMMUNICATIONS
steve@winstoncommunications.com