evolve fitness -digital acquisition plan (october 2015)
TRANSCRIPT
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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Digital Acquisition Plan
August 2015
Justin Perkins
IDM NO: CB1572126
EVOLVE Fitness Club
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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Contents
Section Page
1 Executive Summary……………………………………………………………………… 3
2 Situation Analysis………………………………………………………………………. 4
2.1 Sector Overview………………………………………………………………………... 4
2.2 Pestle Analysis……………………………………………………………………………… 5
2.3 Current Performance……………………………………………………………………. 6
2.4 Benchmark Analysis……………………………………………………………………… 7
2.5 SWOT Analysis……………………………………………………………………………… 10
2.6 Key Issues…………………………………………………………………..................... 11
3 Objectives………………………………………………………………………………….. 12
3.1 Key Assumptions…………………………………………………………………………… 12
3.2 SMART Objectives………………………………………………………………………… 12
4 Strategy……………………………………………………………………………………… 14
4.1 Audience………………………………………………………………………………………. 14
4.2 Target Personas……………………………………………………………………………. 15
4.3 Benefits & Value Proposition………………………………………………………… 16
4.4 Communication & Touchpoints…………………………………………………….. 17
4.5 Contract Upsell Campaign…………………………………………………………….. 18
5 Tactics……………………………………………………………………………………….. 19
5.1 Controls & Ongoing Improvements………………………………………………. 22
5.2 Timing…………………………………………………………………………………………… 23
6 Budget & Forecasting…………………………………………………………………. 24
7 Appendices………………………………………………………………………………… 26
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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1. Executive Summary
The following plan sets out key digital strategies to attract new members to Evolve Fitness
Club, and thereafter to incentivize newly acquired members to take up annual contracts. In
delivering these strategies we intend to outperform the required 2,500 new member
acquisitions over a 3-month campaign timeframe with the following results:
1. Acquire 3,928 new members, with a total marketing spend of £145,750;
2. To incentivize 491 of new members to sign annual – not monthly – contracts;
3. To deliver a return on marketing investment of £519,640.
To achieve these targets, the plan makes a number of recommendations to improve the
overall effectiveness of current digital assets, including website improvements and a more
defined content strategy. However, the key component of our strategy is the delivery of a
new product designed to extend appeal to an engaged target audience.
The plan does not aim to convert reluctant gym-goers, but instead to convince fitness
enthusiasts and current gym members that Evolve offers them the best environment to suit
their lifestyle preferences. To carry this message we intend to utilize the Evolve app
platform to deliver a new branded product entitled Fit Social.
Fit Social is a (digital) club within the physical club, providing
members with a community-lead environment that enhances their
gym and wider fitness experience.
In this plan we will demonstrate how Fit Social is more than just a platform to attract new
members; it will also become a key component of Evolve’s longer term offer, helping to
cement its reputation amongst target member prospects as the leading low-cost gym brand.
Special offers with
other audience-
relevant brands:
cinema, match day
tickets etc.
FIT SOCIAL
Accessed through the
Evolve app
External fitness activity
programme: group
training for distance
running events,
obstacle courses etc.
Special classes e.g.
music-themed – Ibiza
Classics etc. Plus social
gatherings.
Established app
support: calendars,
videos etc. plus
dedicated forums.
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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2. Situation Analysis
2.1 Sector Overview
The UK health and fitness industry is enjoying a period of record popularity, with more
clubs, more members and a greater market value than ever before.
The 2015 State of the UK Fitness Industry Report reveals a number of key statistics
highlighting the industry’s current good fortune:
Total market value (public and private) estimated at £4.3 billion, up 5.4% on 2014.
13.7% of the UK population registered as members of a private health and fitness club or
a publicly-owned fitness facility, against 13.2% in the previous year.
Total industry membership up 5.8% to 8.8 million over the past 12 months.
Beneath the headline figures there are several significant shifts in the market, with changing
consumer demands driving changes in how products and services are delivered.
One of the most significant developments, according to 2015 State of the UK Fitness
Industry Report, is the rapid growth of low-cost gyms in the private sector, which now
account for 9% of the total number of private clubs, 10% of the private market value and,
perhaps most significantly, 24% of the private sector membership. The gym is being
democratised, as market segments previously unable to afford fees are beginning to
experience gym membership for the first time.
An Oxygen Consulting Report1 offers further insight into changes in consumer demands,
suggesting simplicity, affordability, accessibility and digital infrastructure are the key market
drivers.
1 A Strategic Investigation into a Disruptive New Segment, Oxygen Consulting Report, Ray Algar, 2012
Highlights:
The health & fitness industry is enjoying a period of record returns;
Low-cost gyms are challenging the traditional legacy clubs as the dominant force;
Affordability for consumers is a key issue, but not at the expense of quality or service;
Accessibility, simplicity and digital infrastructure also identified as key attractions.
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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2.2 Pestle Analysis
Table 2.1 Pestle Analysis
POLITICAL
One-party government promises greater continuity.
Long-term policy of successive governments to encourage healthy eating and activity levels.
Increasing pressure to stop zero-hour employee contracts.
ECONOMIC
UK economy continues to grow: by 0.7% to the end of June 20152 - general improvement in consumer confidence but also continued belt-tightening.
Tax breaks for those with charitable / not-for-profit status.
Commercial property prices – both rental and sales – continue to rise3.
SOCIAL
Ageing and growing population4.
Continued pressure (from celeb culture) to look good.
Move towards flexi-time work culture changing work patterns, and by association social patterns.
TECHNOLOGY
Fit-tech market increasingly popular, with proven interest and uptake from gym goers5.
LEGISLATION
Increasing Health and Safety legislation.
ENVIRONMENTAL
Increasing consumer awareness of the green agenda.
Growing demand for organic and natural products, potentially relevant to a fitness club’s food and beverage offer.
2 Office for National Statistics (ONS)
3 Royal Institute of Chartered Surveyors, Commercial Market Survey Report 2015
4 According to KPMG’s report – ‘How will demographic trends affect the retail sector’ – The UK population is
projected to rise to 73.2m by 2035. 5 A Strategic Investigation into a Disruptive New Segment, Oxygen Consulting Report, Ray Algar, 2012
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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2.3 Current Performance
Figure 2.1 Evolve’s Marketing Ps
Product
Extensive gym equipment and original fitness classes;
Minimum frills e.g. no swimming pools;
Strong digital infrastructure: app and iBeacons tech.
Price
Budget pricing;
Member fees from £9.99pm - £14.99pm.
Place
Ten sites across the UK;
Located near out of town retail parks with a 10 mile member catchment area.
Extensive parking facilities.
People
Back office departments, including
national marketing team;
70,000 members;
Limited on-site staff (assumed on basis of
budget operation and in line with other
budget gym operators staffing policy).
Promotion
Broad brand awareness campaign
covering local press, radio and street
teams for each site;
Digital properties include website and key
social media channels but no content
strategy;
Monthly e-mail newsletter.
Process
24 hr access.
Ability to book classes via dedicated app;
Easy-in, easy-out contractual terms.
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2.4 Benchmark Analysis
The following analysis6 compares digital marketing activities for direct, indirect and
replacement competition in the health and fitness sector, providing benchmark targets for
Evolve.
Table 2.2 Summary of Benchmark Analysis Results
Type Brand Score
Direct The Gym Group / www.thegymgroup.com 33
Indirect David Lloyd / www.davidlloyd.co.uk 31
Replacement Nike Plus / https://secure-nikeplus.nike.com/plus/ 33
Table 2.3 Detailed Benchmark Analyses
ACQUISITION
The Gym Group David Lloyd Wii Fit
Reach 250,000 monthly visits and 1.4m page views.
200,000 monthly visits and 2.2m page views.
3.6m monthly visits and 17.6m page views.
SCORE 2 2 3
Display Advertising Yes – 0.78% of traffic to
site. Yes – 0.6% of traffic to
site. Yes - 0.03% of traffic to
site.
SCORE 1 1 0
Organic SEO First page listing (Google) under various keywords.
First page listing under various keywords
First listing under various keywords
SCORE 3 3 3
Paid SEO Yes: extensive list of keywords; 3.62% of
search traffic.
Yes, extensive keywords; 4.28% of
search traffic
Limited keywords; 0.80% of traffic to site
SCORE 2 2 1
6 Supporting analysis from www.similarweb.com // correct as of July 2015
Key: 3 = Excellent 2 = Good 1 = Needs Improvement 0 = Very Poor / Unknown
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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You Tube
Multiple promotional
videos. (1,112 subscribers)
Broad selection but only 567 subscribers
Extensive video selection. (2,940
subscribers)
SCORE 2 1 3
27.4k plus followers. 19.4k
plus tweets.
c. 20k plus followers. 14k plus tweets.
Protected
2 2 0
C. 160k Likes. Regular light-hearted posts.
Delivers c. 40% of social media traffic.
C. 100k + Likes. Regular posts. Delivers c. 69% of social media traffic.
5.5m Likes. Strong content mix. Delivers 85% of social media
traffic
SCORE 2 2 3
Customer Reviews
(Trust Pilot)
3.8 / 10
2.7 / 10
6.4 / 10
SCORE 0 0 2
Mobile Optimised Yes Yes Yes
SCORE 3 3 3
Website-based
Enquiry
FAQs and e-mail form. e-mail form but buried
deep in the site hierarchy.
Extensive FAQs and e-mail form.
SCORE 2 1 3
Blog / Newsletter
Yes, regular posts but could be better presented.
Yes, frequent and broad subject range.
No
SCORE 2 2 0
Call to Action on Website
Yes, free sessions and gym finder, but could be better
defined.
Yes, promotions and gym finder.
Invite to ‘Learn More’ above fold.
SCORE 2 2 1
CONVERSION
Communication of OVP
Snappy and precise. Relevant and concise. Poor description; fails to describe product.
SCORE 2 2 1
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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Online Enquiries
FAQs and e-mail, but e-mail enquiry received no
response 7 days after sending.
e-mail form, but difficult to find.
Extensive FAQs and e-mail form.
SCORE 1 1 2
RETENTION
Customised Customer Area
Yes Yes Yes
SCORE 3 3 3
Apps None None Yes: extensive app
support
SCORE 0 0 3
Blog / Newsletter See Acquisition See Acquisition See Acquisition
SCORE 2 2 0
Social Media Channels
Good use of three channels and solid
follower base.
Yes, good content across various
channels.
Great content, let down only by
protected Twitter status.
SCORE 2 2 2
2.4.1 Conclusions to inform Evolve’s Digital Marketing Strategy
Facebook is the most prominent social media channel with the most activity and
strongest following;
Ensuring platforms and content are mobile-friendly is critical;
Website must carry clear calls to action.
Website contact options could be more defined and supportive e.g. Live Chat.
Customer reviews generally weak, suggesting a high level of member dissatisfaction.
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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2.5 SWOT Analysis
Table 2.4 Swot Analysis
INTE
RN
AL
STRENGTHS: Digital Marketing
Dedicated app providing a range of member support functions;
Newsletter-style monthly e-mail reaching 80% of members;
PPC campaign driving conversion and purchase.
General
Operating in growth market segment with attractive proposition;
Nationwide infrastructure;
Strong offline brand awareness campaigns;
Robust member base.
WEAKNESSES: Digital Marketing
Key social media channels in place but no content strategy;
Data capture strategy identified as a weakness;
Website appears to offer little more than brochure-style detail.
General
Member attrition.
EXTE
RN
AL
OPPORTUNITIES: Digital Marketing
Committed healthy living bloggers;
Fit tech constantly advancing; becoming an integral part of the gym experience;
High use of app and mobile platforms. General
Gym membership rising;
Ageing population, combined with more image-conscious youth, expands potential member base.
THREATS: Digital Marketing
Increasing pressure to implement latest tech and digital infrastructure costly and requires dedicated, expert support.
General
Legacy gyms catching up;
Increasing competition in the budget gym market;
Replacement activity such as outdoor events and Wii Fit / home exercise.
POSITIVE NEGATIVE
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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2.6 Key Issues
Data capture detail insufficient
New app should address this issue, especially in conjunction with iBeacons. Need to
ensure this data is captured according to frequency, preferred activity etc.
No content marketing strategy
More engaging content resource required, with social media amplification and more
considered e-mail marketing.
Current PPC campaign limited
Whilst delivering results, consideration needs to be given to an enhanced PPC / SEO
strategy that embraces more than just generic search terms such as Gym and
Fitness. Is there an opportunity to introduce more specific, long-tail search terms?
Brochure-style website needs developing
The current website appears to offer little more than brochure detail: locations;
classes etc., missing an opportunity to implement clearer calls to action.
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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3. Objectives
Our objective is to outperform the target member acquisition of 2,500 within the budget of
£150,000 and timeframe of 3 months (July 2015 – September 2015 / 92 days).
A secondary but equally important objective is to develop a welcome campaign designed to
encourage newly acquired members who initially sign a monthly contract to switch to an
annual membership plan.
More specifically, we intend to deliver the following campaign returns:
3,928 new members;
Total lifetime7 sales value of £519,640;
Upsell 491 members to annual contracts.
3.1 Key Assumptions
Approximately 50% (35,000) of the current member base are on rolling monthly
contracts, with the balance on fixed annual terms. We assume this ratio will apply to
new members.
Rolling contracts are valued at £14.99 pm with an average lifespan of 8 months (=
£119.92 member value); annual contracts at £9.99 pm and 14 months (=£139.86).
The average cost per acquisition (CPA) is £50.
5% of home page traffic converts into membership purchase. All sign-ups take place
through the home page.
80% of members opt-in to Evolve’s monthly e-mail newsletter. Again, we will assume
this level also applies to newly acquired members.
3.2 SMART Objectives
OBJECTIVE #1: SELL – SEO & PPC
Acquire 2,025 new members within 3 months with a £65,000 budget, achieving a target
ROMI of £263,027.
OBJECTIVE #2: SELL – FACEBOOK CAMPAIGN
Acquire 850 new members within 3 months with a £25,000 budget, achieving a target ROMI
of £110,407
7 Applying Evolve’s average member lifetime of 14 months for annual contracts and 8 months for rolling
contracts.
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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OBJECTIVE #3: SELL – E-MAIL (MEMBERS & SPONSORED)
Acquire 453 new members within 3 months with a £17,800 budget, achieving a target ROMI
of £58,841
OBJECTIVE #4: SELL – MOBILE
Acquire 420 new members within 3 months with a £1,680 budget, achieving a target ROMI
of £54,554.
OBJECTIVE #5: SELL – DISPLAY ADS
Acquire 180 new members within 3 months with a £10,000 budget, achieving a target ROMI
of £23,380
OBJECTIVE #6: (UP)SELL – INCENTIVE PROGRAMME
Upsell 491 new members from a monthly to annual contract within 3 months with a £4,920
budget, achieving a target ROMI of £9,431.
OBJECTIVE #7: SERVE, SPEAK & SIZZLE – FIT SOCIAL
Optimize the Evolve app, creating a community focussed environment that connects
members and enhances longer term member retention.
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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4. Strategy
Our strategy aims to attract 3,928 new members. Of these members, we aim to upsell 491
members from monthly to annual contracts.
4.1 Audience
To deliver these targets we will focus on delivering promotional messages through various
media platforms to two defined audience groups:
1. Segments are already members of legacy gyms and other low-cost gyms;
2. Segments most likely to join a low-cost gym.
The gym market is broad in terms of the age groups it attracts. Adults 70 years and over are
the most frequent gym goers8, but other research suggests younger groups are more
numerous.
For low-cost gyms, the 2014 HAFOS survey9 suggests that people in the 15-24 age group are
most likely (55%) to join a budget gym, compared to 16% of 65-75 year-olds.
For the gym market as a whole, Kantar Media10 suggests of the 2.6 million people that
attended gyms (in 2013), over a quarter are aged 25-34, making them over 60% more likely
than the average to be in this age group.
Kantar identify several other defining characteristics of this (25-34) group:
They are 75% more likely (then the average British adult) to exercise more than 4
hours per week;
They are likely to be members and active participants of other sports clubs, with
rugby clubs particularly prevalent;
They are very image-conscious, with 83% more likely to wear designer clothes;
They are relatively affluent, with average family income nearing £40,000 and
comparatively few financial responsibilities such as children and mortgages;
Enjoy going out at night, especially the cinema.
8 Nuffield Health Clubs Member Survey, 2015
9 The 2014 National Health and Fitness Omnibus Survey (HAFOS)
10 Kantar Media TGI – Fitness Fiends – Who is the British Gym Goer?
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4.2 Target Personas
Table 4.1 ECP’s Target Personas11
Career-minded Cora Rugby Mad Rupert
Demographic Female, 25-39, ABC1, no children,
£500-£999 pm disposable income.
Male, 18-24, ABC1, no children, £500 - £999 monthly disposable
income.
Work HR, Media, Advertising Finance, Insurance.
Geography Hotspots in London but strong
representation nationwide. Strong representation nationwide
with hotspots in the Midlands
Hobbies & Interests Socialising, fashion, cinema,
group fitness. All sports, travel, comedy, cinema,
socialising, gym.
Preferred Media Time Out, The Independent,
Cosmopolitan, Facebook. BBC online, The Daily Star, Sky,
Facebook.
Online Behaviour Online for 16-20 hours per week. Heavy mobile user, responds well
to e-mail marketing.
IT literate. Prefers Mobile. Online for 16 – 20 hours per week.
Responds mostly to e-mail and SMS.
Why fitness and why Evolve?
24 hr access, group classes. 24 hr access and affordability.
Potential barriers to purchase?
Work commitments Time. Other sporting activity.
11
Developed with You Gov profiling tool (https://yougov.co.uk/profiler) and Sport England’s market segmentation tool (http://segments.sportengland.org/), amalgamating the key shared characteristics of the two relevant segments: Helena and Jamie.
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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4.3 Benefits & Value Proposition
With target personas that are both already committed to fitness, our strategy is not to
convert reluctant gym-goers, but instead to convince current fitness enthusiasts and gym
members that Evolve offers them the right environment to suit their lifestyle preferences.
Whilst each of the target personas we have identified is a distinct market, they share a
number of key characteristics that will inform specific tactics:
Active social life. Keen cinema goers;
Like group activities: team sports / group classes;
Limited free time - 24hr accessibility to support lifestyle;
Respond well to e-mail and mobile messages. Embrace tech.
Taking the lead from these shared characteristics, we will appeal through a range of
platforms promoting Evolve’s core USPs: 24/7 accessibility, group classes, tech-forward.
However, to stand out from an increasingly busy marketplace, we intend to further appeal
to our personas’ interests through an enhanced product offering.
Fit Social will be a club within the club that will use the Evolve app to carry messages and
class bookings but with added engagement components:
Figure 4.1 Fit Social Value Proposition
4.4 Communication & Touchpoints
SERVICE
24/7 access, non-invasive but with a genuine club spirit to engage and retain members.
PRODUCT
Original classes with market leading fit tech support. Plus music-themed
classes e.g. Ibiza Classics.
Special offers with other leisure providers: cinema, match tickets.
Non-gym group leisure activities:
local runs, obstacle course events.
IMAGE
Innovative, friendly and modern. Putting the customer in control of
their experience.
PERSONNEL
Enthusiastic and well-qualified instructors with specialist class
knowledge.
FIT SOCIAL
VALUE PROPOSITION
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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4.4 Communication & Touchpoints
The shared characteristics of our target personas allow us to utilize many shared
touchpoints. There are opportunities, however, to reflect persona-specific preferences more
precisely where sponsored e-mails are concerned, as illustrated in the graphic below:
Figure 4.2 Customer Journey
Persona #2
Rupert
Targeting affiliates and
third party brands
specific to Rupert’s lifestyle
preferences e.g. local rugby /
football clubs.
Persona #1
Cora
Targeting affiliates and
third party brands
specific to Cora’s lifestyle
preferences e.g. healthy
living bloggers.
REACH / AWARENESS
Enhanced Local PPC / Organic SEO
Display advertising
Social media (Facebook)
Sponsored (third party) E-mails
Lead Nurturing E-mail (current member database)
Mobile
Video
CONVERSION
Website
Landing Pages
Android / Apple App
Reviews and customer testimonials
Social media
Video
RETENTION
Android / Apple App
Mobile
Social media
Video
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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4.5 Contract Upsell Campaign
Our supporting upsell campaign also targets one of the key shared preferences of both
target personas: Cinema.
Importantly, Evolve also has a shared location strategy (out of town retail parks) with
several large cinema chains.
Our incentive to encourage new members who join on rolling monthly terms to move to
annual terms will therefore be based around the following offer:
Upgrade to an annual contract and receive two free cinema tickets.
Newly acquired members who opt for rolling contracts will be presented with two
opportunities to take advantage of this offer:
1. On the Evolve website sign-up / payment page;
2. Via a welcome e-mail sent to confirm membership following website sign-up.
The Free Cinema Tickets offer will also extend to current members as part of our proposed
Refer a Friend campaign.
Given the shared target persona and location, we intend to approach relevant cinema
brands on the basis of arranging a contra-type deal whereby cinema staff / key customers
can receive benefits at their local Evolve gym, with the objective of achieving a cost-neutral
arrangement between brands. For the purpose of this plan, however, we have applied a
discounted ticket cost (to Evolve) of £10 for two adult tickets.
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5.Tactics
Table 5.1 Media channels, messages and actions to implement the proposed Evolve strategy
REA
CH
/ A
WA
REN
ESS
Channel & Substantiation Message Action & Controls
Google Enhanced Adwords
Local Campaign
Target specific locations – specifically, searches made within a 15 mile radius of
each of the 10 Evolve clubs.
General OVP promotion,
emphasising 24/7 accessibility, affordability,
tech and convenience.
Digital Manager12
Review campaign weekly, evaluating keyword
performance and CTR.
Local SEO
Use geo-targeted terms – budget gyms in York – to reflect Evolve’s physical
locations. Together with long-tail search terms to
accommodate local personas. Searching locally shows a greater readiness to act.
As above, but focus on clear local citation, with accurate
NAP – Name, Address, Phone)
External Management by specialist SEO firm to set-up
local profile and manage.
Weekly reporting.
Facebook Local Awareness
campaign
Target users within a 10 mile radius of each of the 10
Evolve locations.
Our target personas’ social media of choice with an
average 685 minutes a month on Facebook13. Evolve
members are prepared to travel 10 miles.
General OVP promotion, with emphasis on the benefits of
the Evolve App.
Fit Social theme-specific posts, with video promotions showing sample classes and
activities.
Fit Social Manager.
Weekly reporting of new Likes and CTR to website.
12
Evolve have a national marketing team, within which we assume there is a Digital Manager with support team who can oversee this function as part of their daily activities. 13
Kantar Media
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E-mail (Evolve database) Friend Referral Campaign
Established communication
channel reaching 80% (56,000) of members.
Target personas receptive to
e-mails.
Lead with contract upsell message – free cinema tickets
on a successful referral;
Secondary messaging to promote other Evolve USPs, namely: Fit Social and app
benefits.
Fit Social Manager.
Template / analytics support
of a specialist e-mail management service e.g.
Mail Chimp
Send in batches of 5,000, with continued A/B testing to
establish optimum design and content.
E-mail (Sponsored)
Reach target personas
through a tie-in with local, high profile brands that we
know personas identify with e.g. local rugby club: Newcastle Falcons
Fit Social promotion as a unique offering, whilst
highlighting key USPs of Evolve’s tech-friendly,
accessible, social environment.
Fit Social Manager.
Delivered through brand
partner’s e-mail platform.
Request batch delivery to enable A/B testing to
establish optimum design and content.
Display Advertising
Rich media, right of page,
skyscraper above fold with high-traffic cinema websites:
Both Odeon and Vue attract
1.5m visitors pm14
Both target personas are regular cinema goers and
there is further tie-in with our upsell campaign.
Rich media format will allow us to carry engaging content, including proposed Fit Social
ad video
Digital Manager.
External design firm.
A / B test two designs to measure CTR.
Rotate adverts across select websites across one-month
campaigns and evaluate.
14
Similar Web
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Mobile
Current Evolve database.
Details collected on sign-up15.
Target segment is heavy mobile user.
Friend referral campaign detailed in E-mail to current
database.
Digital Manager.
External delivery support,
where lists can be integrated across mobile and e-mail
marketing e.g. Mail Chimp / Call Loop.
Review weekly.
Video
Utilize current You Tube platform.
Promote Fit Social ad video content, together with expert
fitness and nutrition videos planned for app
Digital Manager
You Tube-hosted videos.
Weekly review.
CO
NV
ERSI
ON
Channel Message Action
Website
All sign-ups take place here so optimization essential.
Across a three-part, above
fold banner, introduce calls to action, promoting: app, Fit Social and member friend
referral campaign.
Introduce live web chat facility and detailed FAQs.
Digital Manager lead.
External support for website
changes.
Weekly internal updates through CMS.
Android / Apple App
Heavy Mobile Users
Promote benefits of app functions: calendar, videos
etc.
Digital Manager App already developed.
Reviews & Customer
Testimonials
Opportunity to use as a promotional tool.
Integrate into website.
Digital Manager
Collate and review feedback / scores weekly
15
As with e-mail and here assuming – like e-mail – 80% of members.
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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Social Media
Established Facebook, Twitter
and You Tube Channels
Daily posts and tweets announcing Fit Social events
and other offers, activity.
Social Media Manager.
Weekly review of Retweets, Likes, Shares, feeding into
wider monthly review.
Mobile See Reach.
See Reach. See Reach.
Video See Reach.
See Reach.
See Reach.
RET
ENTI
ON
Channel Message Action
Increase frequency to weekly mail
Updates on Fit Social and other club news.
See Reach
Mobile
Announcements & Special Offers
See Reach
Social Media
Established base on Facebook / Twitter / You Tube
Fit Social Updates, expert video content, general news.
Social Media Manager.
Weekly review of Retweets, Likes, Shares, feeding into
the wider monthly review to establish lesson popularity.
Video See Conversion / Reach
See Conversion / Reach See Conversion / Reach
App Essential tool in the Evolve
offer to keep member engaged and involved.
Delivery of key tools and functions to enhance member experience, plus new expert video uploads and Fit Social.
Digital Manager
4.6 Controls & Ongoing Improvements
Google Analytics, with amendments to ensure new key word tracking;
Whilst weekly reviews have been applied for most of the channels, a detailed monthly
report will be compiled contrasting returns across all campaigns;
Sales figures derived from accounting;
All campaigns subject to an ongoing TIMITI16 review process.
16
Try It! Measure It! Tweak It! – Jim Sterne, Web Metrics
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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4.7 Timing
Table 5.2 Gantt Chart
Channel 1 2 3 4 5
Fit Social
Establish key club components
Teaser Launch
Launch and Manage
Evolve Website
Implement Live Chat and FAQs
Design and implement new banner
PPC – Implement & Track (I/T)
Agree Ad Words and OVP
SEO (I/T)
Identify x3 SEO firms, assess & engage
E-mail – Current Subscribers (I/T)
Prepare Refer A Friend E-mail
Batch delivery- ongoing A / B testing
E-mail – Third Party (I/T)
Identify partners / prepare content
Batch delivery - ongoing A / B testing
Social / Facebook (I/T)
Develop content plan and local ads
Mobile (I/T)
Develop Referral message – A/B test
Display (I/T) A/ B Test
Identify & engage design firm
Identify ad partners
Month Campaign
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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6.Budget & Forecast
The following table shows total new members acquired at 3,928, with a total sales value
across their membership lifetime of £519,640. This equates to an average CPA of £30.42;
comfortably within Evolve’s acceptable CPA of £50.
Table 6.1 Media Mix - Budget & Returns
17
Defined here as the total number across the three month campaign timeframe. 18
Searches for low cost gyms within a 15 mile radius of Evolve’s 10 gym locations. 19
CTR based on search accuracy and applying specific average CTR expectations for health & fitness. (http://www.wordstream.com/blog/ws/2014/02/11/average-click-through-rate 20
Reduced number of clicks against UK figures based on Evolve’s defined coverage. 21
According to data from the Mobile Marketing Association 22
Similar Web (www.odeon.co.uk) 23
Google Benchmarks
MEDIA BUDGET UNIVERSE17 CTR CLICKS CONV. RATE
SALES CPA
PPC £50,000 635,34018 3.4%19 21,602 5% 1,080 £46.30
Search £15,000 n/a n/a 18,90620 5% 945 £15.90
Facebook £25,000 3,400,000 0.5% 17,000 5% 850 £29.40
E-mail (Evolve
database) £2,800 56,000 5% 2,800 5% 140 £20
E-mail (Sponsored)
15,000
1,000,000 (25% open
rate = 250,000)
2.5% 6,250 5% 313 £47.90
Mobile (Evolve
Database) 1,680 56,000 15%21 8,400 5% 420 £4
Display
£10,000
4,500,00022 0.0823 3600 5% 180 £55.55
TOTAL 119,480 8,897,340 n/a 78,558 5% 3,928 £30.42
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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Table 6.2 Total budget allocation & ROMI across all campaign components
MEDIA BUDGET ROMI
PPC £50,000 £140,281
Search £15,000 £122,746
Facebook £25,000 £110,407
E-mail (Evolve Database) £2,800 £18,185
E-mail (Sponsored) £15,000 £40,656
Display £10,000 £23,380
Mobile £1,680 £54,554
£119,480 £510,209
Cinema Tickets Upsell Campaign
£4,92024 £9,43125
Cinema tickets to current members for Refer a Friend
£5,60026 N/A
Fit Social Manager £6,00027 N/A
Website Improvements £5,000 N/A
Content Creation (ads) £5,000 N/A
TOTAL £145,750 £519,640
Table 6.3 Net profit after marketing costs and other operational overheads:
Total Sales Costs Net Profit
£519,640
Campaign Marketing Costs: £145,750
Operational Overheads:28
£51,850
£322,040
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491 members upgrading i.e. half of the total new members on rolling contracts i.e. 3928 / 2 x 25%. £10 cost per referral based on contra deal with local cinema chain. 25
Not accounting for any further up / cross sell on vending machines etc. for longer member duration. 26
560 successful referrals. £10 cost per referral for x2 adult cinema tickets. 27
For three month campaign only. 28
Applied to 3928 new members across 3 months only. Assuming total annual operational overheads of £3.7m / 4 (3 month campaign) = £925,000 / 70,000 (members) = £13.21 cost per member x 3928 (new members) = £51,850
Evolve Fitness Club – Digital Acquisition Plan – August 2015 / Justin Perkins – IDM NO: CB1572126
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7. Appendices
E-Marketing Excellence, Routledge, Dave Chaffey & PR Smith
The SOSTAC Guide to Writing the Perfect Plan, P.R. Smith (2011) Amazon E-book
State of the UK Fitness Industry Report, 2015
The national Health and Fitness Omnibus Survey (HAFOS), 2014
A Strategic Investigation into a Disruptive New Segment – Oxygen Consulting Report, 2012
Nielsen, Les Mills Global Consumer Fitness Survey 2014
Sport England, Affordable Sports Centres Report, 2013
You Gov / PPL Survey – Gym Goers, April 2014
Kantar, Consume, Leisure, Fitness and Gym Statistics, UK, 2014
An ageing population: the untapped potential for hospitality and leisure businesses, 2015, Barclays
Corporate Banking
www.thisismoney.co.uk/money/markets/article-2556681/Fitness-boost-Gym-merger-creates-new-
low-fee-chain-100-clubs.html
ww.mobihealthnews.com/research/
www.smallbusiness.chron.com/target-market-fitness-gyms-3354.html
www.healthclubhandbook.com/
www.leisuremanagement.co.uk
www.healthclubmanagement.co.uk
http://www.leisuredb.com
www.telegraph.co.uk/finance/newsbysector/retailandconsumer/leisure/11338403/How-flagging-
gym-Fitness-First-convinced-you-to-save-it.html