So you’ve started a martial arts studio. Now what’s the next step? Are you thinking about how you can enroll as many students as possible? Or how you can maximize your profits and increase your revenue? In this comprehensive guide to growing your martial arts business, you’ll find all the answers you need to grow your martial arts business and take it to the next level.
1. Cross-sell: What products can you sell alongside your classes?
One surefire way to increase your profit margin is to increase the size of your transactions. One way to do this is to sell complementary products to your services, like karate belts or judogis. These products vary depending on the classes you offer, but a good question to ask yourself to determine what you should sell is “What materials do my students need to attend my class?” Another would be “What materials do my students need to practice their skills at home?” You know where to source these products, and it’s convenient for your customers to get everything they need in one place. It’s a win-win!
2. Offer class bundles and memberships.
While this also falls under the category of increasing your profit margin by increasing the size of your transactions, offering class bundles and memberships doesn’t require the extra work of sourcing products. When you offer class bundles and memberships, you are able to take advantage of the work you are already doing. Try offering a parent-child combo class for $10 off! Or try offering a 10-class membership for 10% off. The biggest advantage of offering bundles and memberships is that you’ll get upfront payment, which allows for more flexibility for you to invest in new projects, like location expansion or upgrading your equipment.
3. Offer discounts for word-of-mouth referrals.
While offering discounts may seem counterintuitive, it may lead to significant rewards later down the line. By offering your current customers a special discount that celebrates their relationship with you, you’re actively putting in the extra effort to maintain that relationship, which is incredibly important when you consider the fact that 80% of your future revenue comes from 20% of your current customers. On top of that, you’ll be solidifying your reputation with new customers because they will have heard good things about you already! By taking a smaller profit margin now, you’ll ensure more revenue in the long run.
4. Automating invoicing, accepting recurring payments, and streamlining payment collection.
Regardless of what payment options you accept (here’s a list of the ones you might encounter and their pros and cons), you need to be able to automate the payment collection process because it saves you:
- time, from being able to set your customers up once and be done with it
- money, because setting up recurring payments eliminates the risk of human errors, decreases the amount of uncollected payments, AND upfront payments means you can invest back into your business sooner
- and headaches, because you’ll no longer have to chase down payments or worry about when you’ll get paid.
If that sounds appealing to you, check Finli out! Finli takes care of scheduling and everything payment-related so you can focus on teaching the next Bruce Lees. Starting your own martial arts business is an incredible achievement. Let Finli help you grow your martial arts studio and take your business to the next level. Schedule your demo here.