As a group fitness business owner, late cancellations might feel like a minor inconvenience. Something that just comes with the territory maybe. But what if those last-minute dropouts are silently draining your revenue?
Many owners are shocked when they realise just how much money they're leaving on the table by not enforcing penalties or taking steps to refill those class spaces effectively. The below tool helps you calculate how much revenue you might be losing when clients cancel late and you don't refill their spot. Let’s dive into why this matters and how you can start reclaiming those lost profits.
Why do late cancellations matter?
Late cancellations are more than just an empty spot in your class; they represent lost income and a missed opportunity. When a client cancels it’s often too late to fill their spot with another paying customer, resulting in a direct hit to your bottom line. Over time, these cancellations can add up significantly. Not only do they affect your revenue, but they can also create a negative experience for your good clients, like those who couldn't come to a class they wanted because it was 'fully booked', only for there to end up being spaces on the day. A few no-shows in a row can make your business seem disorganised, ultimately harming your reputation.
How our calculator Works
Our tool is designed to show you how much those late cancellations might be costing you money each month. Just provide a few basic figures and it quickly calculates how much revenue you’re losing, helping you understand the true financial impact of your leniency.
For example, let’s say you run 10 classes a week with an average of 20 clients per class, and you charge £10 per client. With a 5% cancellation rate, you could be losing around £400 a month. Nearly £5,000 a year! That’s money that could be reinvested into your business, your equipment, or even your own salary. Give it a try below now.
How can Striive help?
At Striive we believe there are three main pillars to reclaiming this lost cash.
Cancellation policies
It's time to stop paying the price for being nice. But you don't have to nasty either. By using Striive’s cancellation policy feature you can significantly reduce the number of last-minute cancellations because we a policy for you. When cancelling late clients are told they will forfeit their credit. This means you still get paid. But what tends to happen is a lot come to class after all. This is because many people are simply looking for an easy way out. However, once there is something on the line (such as losing a class credit) they change their mind and decide to attend after all.
Waitlists
Even with cancellation policies in place some clients will still cancel. The waitlist feature means you can resell those empty spots to other eager clients. This ensures that your classes are full and your revenue isn’t lost. Imagine not just avoiding lost revenue but potentially making even more money by filling previously cancelled spots.
Reminders
Believe it or not, some people are just forgetful. When they don't turn up to class they weren't being inconsiderate or disrespectful. They simply got sidetracked a forgot they had enrolled. This is where reminders pay dividends. Every client is sent a notification before class ensuring absentmindedness is no longer a reason to have a space at the back of the room come class time.
The best bit of all is that Striive does all the heavy lifting for you automatically as part of our class enrolment system. Your business will run smoothly with your income steady, all with zero effort from you.
