Stop running two businesses
under one roof. Build one integrated wellness brand.
We work with combined fitness + spa studio owners doing $165K-$3.3M in annual revenue. You have a fitness studio AND a spa/recovery side - but they operate like separate businesses. Our engagement works to integrate them into one wellness membership built for retention. How fast it moves depends on how seriously you work the plan - what you will see from the first meeting is exactly what is holding the business back.
8 patterns we see in most combined fitness + spa studios
Fitness and spa sides operate as separate businesses (different POS, different memberships, different clients)
Root cause: Studio grew organically. Spa was added 2-3 years in. Never integrated. Members of one rarely use the other.
What we do: One platform instance covering both sides, and one integrated wellness membership that spends across them. Cross-sell flow at every touchpoint. Same-client revenue lifts 60-80%.
Membership pricing flat - $99-$129/month commodity zone
Root cause: Priced like a gym, not like an integrated wellness experience. Race to the bottom against Equinox, LifeTime, OrangeTheory.
What we do: Restructure to 3-tier integrated wellness membership: Essentials $149/mo (fitness + 1 spa service/mo), Premium $229/mo (fitness + 2 spa services + recovery), VIP $329/mo (unlimited + concierge). Anchor at premium - 60% of members pick middle tier.
Member retention under 60% at 12 months
Root cause: Pure transactional fitness mindset. No onboarding. No progress tracking. Members ghost after 90 days.
What we do: 30/60/90 onboarding journey (orientation, progress check-in, milestone celebration). Member success manager role (or owner role until $2M). Monthly community events. Retention lifts to 78%+.
Spa side has 30%+ no-show rate
Root cause: Free cancellation policy. Members book aspirationally and ghost. Therapist hours unfilled.
What we do: Late-cancel and no-show policy (48-hour, charge 50%). Auto-rebook waitlist off the booking platform. No-show rate drops to under 8%. Therapist utilization lifts to 75%+.
Therapist/instructor retention crisis (60%+ annual turnover)
Root cause: Hourly pay below market, no benefits, no career growth, no commission on retail/upgrades.
What we do: Hybrid comp: hourly + commission on member upgrades + retail commission + retention bonuses. Tiered progression (junior → senior → lead → director). Quarterly continuing education stipend. Retention lifts to 80%.
Retail (supplements, recovery products, skincare) under 5% of revenue
Root cause: Retail wall is afterthought. Staff doesn't recommend. No commission structure. Inventory dies on shelf.
What we do: Curated retail focused on what staff actually uses and recommends. Trainer/therapist commission on retail (10-15%). Target 12-18% of revenue from retail within 18 months.
Owner doing 50+ hours/week, mostly in operations not strategy
Root cause: No GM. Owner does scheduling, hiring, member complaints, payroll, instructor coverage.
What we do: Hire studio GM (or promote internally) at $65K-$95K depending on region. Define GM responsibilities (operations, P&L) vs owner responsibilities (strategy, growth, culture). Owner hours drop to 25-30 within 9 months.
No corporate wellness B2B revenue stream
Root cause: 100% B2C model. Misses the $15K-$50K/year recurring revenue from local employer wellness contracts.
What we do: Build corporate wellness offering (group classes, recovery memberships, on-site events). Target 3-5 local employers within 12 months. 10-20% of revenue from B2B within 18 months.
The numbers we aim at
These are the targets we work toward in an engagement - a bar to measure against, not an average anyone measured for you.
| KPI | Typical starting point | Plan B target |
|---|---|---|
| Average member monthly value (MMV) | $95-$135 | $200-$280 |
| 12-month member retention | 45-60% | 78%+ |
| Member cross-utilization (fitness AND spa) | 15-25% | 65%+ |
| Therapist/instructor utilization | 45-60% | 75%+ |
| Retail % of revenue | 2-5% | 12-18% |
| % revenue from corporate wellness | 0-3% | 15%+ |
| Owner weekly hours | 50-65 | <30 |
What working with us looks like
- 01
Month 1: Integration audit + financial deep-dive
We map fitness side P&L separately from spa side P&L. We audit the studio platform configuration. We identify cross-utilization (or lack of) between sides. We define the integrated wellness brand positioning.
- 02
Months 2-3: Unified membership + platform rebuild
3-tier integrated wellness membership launches. The platform fully configured - one membership, both sides. Existing members migrated to new tiers (warm conversion 60-70%). Cancellation policy deployed. Onboarding journey live.
- 03
Months 4-6: Retention engine + retail rebuild
Member success function operational. 30/60/90 milestones automated. Retail curated and commission structure live. Therapist/instructor comp restructured. First corporate wellness pilot signed.
- 04
Months 7-12: Operations + ownership freedom
GM hired and ramped. Corporate wellness at 2-4 active accounts. Average member monthly value approaches $200+. Retention stable at 75%+. We shift to quarterly cadence.
Common questions from combined fitness + spa studios owners
What size studio is this for?−
We have yoga + spa, not gym + spa. Same playbook?+
What about state licensing for spa services (massage, esthetics, etc.)?+
Mindbody is expensive. Is it worth it?+
How fast does retention actually improve?+
What about Class Pass and ClassPass-style aggregators?+
What entity structure should I use?+
Do you work with franchise studios (OrangeTheory, F45, etc.)?+
Who does the work?+
Stop running two businesses. Build one integrated wellness brand.
20-minute strategy call. We'll tell you if we're a fit. No pitch. No pressure.