Return On Investment (ROI) is a measurement of the profitability of something. We try to predict it before making an investment and then we measure afterward to see if it was profitable.
In the fitness realm, businesses invest in equipment, programs, people, etc. in the hopes that the investment more than pays for itself in the end. Members and clients invest in their health and wellness by joining clubs, programs, and hiring personal trainers with the intent that it will pay off with added health and a better quality of life.
Pretty much everything we do has an ROI. Even donating or volunteering for a charity has the ROI of making us feel better about ourselves for having done so. Our ROI decisions aren’t always a conscious thing, but maybe we should start to make these decisions more consciously.
For fitness professionals, I’ve seen too many underinvest in themselves and their careers because “they can’t afford it”. “I can’t afford to go to that conference, take the course, hire that coach, or pay for that system.” But what if you actually looked at the return on those investments?
I had a personal trainer that used to work for me who would complain about doing paperwork(reporting client sessions and payroll) when she could be training and making more money. My suggestion was to hire someone to do it for her. If she paid the individual $15 an hour and the trainer could fill that hour with a client then if the trainer makes $45/hour (just picking a number) she still comes out $30 ahead and saves herself from a task she didn’t like doing. She never did hire the help.
What about conferences, certifications, a programs? What’s the total cost? Would what you learn help you get more clients? How many client sessions would it take to make it profitable? Let’s just say that the personal trainer makes $45/client session and the event or program could yield 2 additional client sessions/week. What kind of income are we talking?
- 1 wk = $90
- 2 wks = $180
- 3 wks = $270
- 4 wks = $360
- 8 wks = $720
- 52 wks = $4,680
How much was that conference, certification, or program again? What’s the ROI on it? Was the return higher than the investment? Rather than just looking at the investment number and letting your gut reaction stop you from making the investment, figure out the potential ROI and let that guide your decision.
Don’t be afraid to invest in yourself and your career if it’s going to give you the return you want.