I work out at a gym near my home and have been a member there for nearly six years. It is a locally-owned operation that has been around for 10 years or so. A lot of people that work out there know others by at least a passing acquaintance and I have been around there long enough to be considered a “regular” known at least by sight to most and by name to many. I also struck up a passing acquaintance with the owners of the gym, two personable guys that are in pretty good shape for what must be their late 50’s. The two seem to around most times and spend a fair amount of time “schmoozing” with their clients.
About eighteen months ago, a brand new national gym chain opened up down the road from this gym. There was a lot of glitz and dazzle to the opening. It’s on a major road, highly visible with a location next to a popular restaurant. The front of the gym has big glass windows that passerbys can see into and see rows and rows of new equipment and weights. When the new gym opened, I asked one of the owners of my gym if he was worried about this new competition that had set up a few blocks away and obviously drew from the same client base that he did. He told me that he was not, that his gym had a comfortable feel, everyone knows everybody and people felt at-home working out here. I nodded and agreed. I didn’t say anything, but was hoping that he would take note of some of the aging equipment that surrounded us at that moment and perhaps make a few strategic investments in new equipment.
Last summer, I got a rotator cuff injury in my left shoulder. Though it did not require surgery, my doctor advised me to lay off any physical activity for a while and I completely stopped going to the gym late last June. After about an eight month layoff, I recently returned to my “comfortable” neighborhood gym. It looked the same as always, but I did note a few changes. First off, there did not seem to be near as many people as what I remembered and though I did recognize a few patrons, there seemed to be many other “regulars” noticeably absent. The second thing I noticed was that there had been NO investment in new equipment and in fact a fair number of machines had been completely removed leaving conspicuous empty slots in areas where they used to be. There were a number of pieces of cardio equipment (treadmills, ellipticals, bikes, stair climbers, etc.) that were not working properly. Of the 25 treadmills, I counted eight that were out of order, signs hanging from them confirming it. Lastly, I have been back now probably a half a dozen times and I’ve not seen either of the owners.
What does any of this have to do with a rental operation? How many of you have been facing increased competition from a national company? Most every national company we know of sets the bar high; nice facilities, late model equipment that looks good and is in good condition, etc. What about your company, your facilities, your equipment, your level of customer service, your involvement in your business as an owner? We often say that local customers prefer to do business with a local company, but only if they receive a comparable level of service and comparable equipment.
My gym contract comes up for renewal in July. Despite an almost six year relationship with my current gym, I feel justified in taking a look at the new, upscale national competitor. I have a feeling when I do take a look down the street, I will likely see a few familiar faces. What about your rental company and your customers? Are you giving any of them reason to take a look at your competitors?
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