GymNation's Messages Boost LTV by 10.5%
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GymNation conducted a six-month study to explore the benefits of engaging with its members digitally and celebrating their milestones.
The study, carried out by the UAE-based company, aimed to understand the effects of its Gymnation Round-Ups.
These digital updates, which track member progress and are inspired by Spotify's Wrapped, are periodically distributed to members to acknowledge their achievements.
Karl Foster, CTO at Gymnation, explains, “In the fitness industry, we tend to make assumptions about what influences member behavior and their lifetime value, and how fixed these factors are.
Everyone is in pursuit of a genuine understanding of engagement and retention at their core.”
The GymNation Round-Ups sparked a viral reaction, with members sharing their updates on social media.
Using A/B testing, Gymnation selected a random group of 3,500 members from its 50,000-member base (group A) for detailed analysis.
A comparable group of 3,500 members (group B), who didn’t receive the Round-Ups, was also analyzed to observe behavioral differences before and after the Round-Ups.
Findings revealed that members receiving the Round-Ups exhibited a 10.5% increase in Lifetime Value (LTV) compared to those who did not.
Group A maintained a stable visit frequency with just a 0.4% decline, while group B experienced a 16.8% decrease in visit frequency.
Foster states, “Engaging members in this way stabilized visit rates and customer interaction over six months and improved overall lifetime value, unlike group B, which saw a significant decrease in visits and LTV.”
An 11% enhancement in LTV, coupled with noticeable effects on visit frequency, indicates that member engagement through progress tracking, when done right, is effective and beneficial,” he added.
Source: leisureopportunities
The opinions shared in the GymNation blog articles are solely those of the respective authors and may not represent the perspectives of GymNation or any member of the GymNation team.