Plan B Business
Wellness

Stop running two businesses
under one roof. Build one integrated wellness brand.

We work with combined fitness + spa studio owners doing $800K-$5M in annual revenue. You have a fitness studio AND a spa/recovery side - but they operate like separate businesses. Our 12-month engagement integrates them into one $150-$300/month wellness membership with 75%+ retention.

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Industry Reality

8 patterns we see in >70% of combined fitness + spa studios

85%
frequency

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: Unified Mindbody (or Glofox, ABC Glofox, Xplor Mariana Tek) instance. Single integrated wellness membership covering both. Cross-sell flow at every touchpoint. Same-client revenue lifts 60-80%.

75%
frequency

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.

80%
frequency

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%+.

70%
frequency

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 via Mindbody. No-show rate drops to under 8%. Therapist utilization lifts to 75%+.

75%
frequency

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%.

70%
frequency

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.

75%
frequency

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.

70%
frequency

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.

Benchmarks

The numbers we hit

KPIMarket avgPlan B targetAfter 12 mo
Average member monthly value (MMV)$95-$135$200-$280$170-$250
12-month member retention45-60%78%+68-80%
Member cross-utilization (fitness AND spa)15-25%65%+50-70%
Therapist/instructor utilization45-60%75%+65-78%
Retail % of revenue2-5%12-18%8-15%
% revenue from corporate wellness0-3%15%+8-18%
Owner weekly hours50-65<3028-40
Engagement Model

What working with us looks like

  1. 01

    Month 1: Integration audit + financial deep-dive

    We map fitness side P&L separately from spa side P&L. We audit Mindbody (or equivalent) configuration. We identify cross-utilization (or lack of) between sides. We define the integrated wellness brand positioning.

  2. 02

    Months 2-3: Unified membership + Mindbody rebuild

    3-tier integrated wellness membership launches. Mindbody fully configured (one membership, both sides). Existing members migrated to new tiers (warm conversion 60-70%). Cancellation policy deployed. Onboarding journey live.

  3. 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.

  4. 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?−
Sweet spot: $800K-$5M revenue with 800-3,000 active members across fitness + spa. Below $800K, you typically need pre-launch or single-side optimization (we offer that at different tiers). Above $5M, you need internal Director of Operations + Director of Member Experience.
We have yoga + spa, not gym + spa. Same playbook?+
Yes, mostly. The integrated wellness membership model works across yoga/pilates/barre/cycling + spa, gym + spa, and CrossFit + recovery. The pricing tiers shift slightly (yoga studios anchor lower, recovery-heavy clubs anchor higher). The core principle - one integrated membership, not two separate ones - applies universally.
What about state licensing for spa services (massage, esthetics, etc.)?+
Massage therapists, estheticians, and nail technicians all require state licensure (varies by state - some states have municipal licensing too). Medical aesthetics (Botox, fillers, lasers) require a licensed medical provider on-site or telehealth supervision (state-specific). We connect you with industry attorneys and state board specialists - we don't provide licensing advice.
Mindbody is expensive. Is it worth it?+
Mindbody dominates the integrated wellness space because it actually handles fitness + spa + memberships + retail + corporate wellness in one platform. Alternatives (Glofox, ABC Mindbody, Vagaro, Xplor Mariana Tek) work for simpler models but require workarounds for true integration. For combined fitness + spa, Mindbody usually wins on total cost of ownership.
How fast does retention actually improve?+
Retention is the slowest metric to move. You don't see real changes until month 6, and full impact at month 12. By month 18, your retention curve is structurally different. Don't expect retention magic in 90 days - that's not how member psychology works.
What about Class Pass and ClassPass-style aggregators?+
Cautious yes. ClassPass can fill slow off-peak hours and introduce new members. But it commoditizes your brand and trains members to value-shop. Cap ClassPass at 10-15% of class capacity and only at off-peak times. Never anchor your business on it.
What entity structure should I use?+
Most fitness + spa studios operate as LLCs (taxed as S-Corp for owner payroll optimization) or as PCs/PLLCs if a licensed medical provider is on staff (med spa side). Multi-location chains often shift to C-Corp for institutional investment. Your CPA + business attorney handle entity structure - we focus on operations and growth.
Do you work with franchise studios (OrangeTheory, F45, etc.)?+
No. Franchise economics, marketing budgets, and operational latitude are dictated by the franchisor. We don't work with franchises - only independent or independently-owned multi-location concepts.
Who does the work?+
Ligal Frish and Eitan Eshtemaker - the two co-founders. Direct access. Fee structure: Diagnostic $1,500 one-time, Advisor $3,500/month, Partner $8,500+/month for multi-location or fast-scale.

Stop running two businesses. Build one integrated wellness brand.

30-minute strategy call. We'll diagnose your top 2 levers and tell you if we're a fit. No pitch. No pressure.

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