Best Practices for Gym Membership Pricing

How to Price Gym Memberships in 2021

« Blog | Written by Kathryn Dressler | | (0) Comments |

Once upon a time, gyms were separated into two pricing categories—budget gyms and elite fitness clubs. Over the years, however, fitness businesses began expanding offerings and experiences, creating the need for new membership models and pricing strategies.

Today, many gyms use a variety of pricing models to satisfy their membership base and their bottom line. But with so many to choose from, it can be difficult and overwhelming to figure out which membership options and pricing models are right for you.

In this blog, we’ll compare a few different options to help you determine which best suits your business needs. 

What is a pricing strategy?

A pricing strategy is the approach you take to determine what you should charge for your products and services. It’s one of the most challenging and important decisions you’ll make as a gym owner.

If you set your prices too low, you’ll risk losing money and overcrowding your gym. On the other hand, if you set your prices too high, you’ll risk outpricing a large number of potential clients and may lose existing clients to competitors who charge less.

Popular Membership Options

When determining your pricing structure, keep in mind that cost isn’t the only important factor. Many people are actually willing to pay more if they feel the value and experience is worth the price. Conversely, others may be extremely cost-driven and base their decision solely on the cheapest option.

Below are three common membership options to consider:

  • Monthly membership: A monthly membership fee is one of the most common types of pricing structure. With this model, members pay a set fee every month. Most gyms offer 12-month contracts to be paid monthly, or a set annual fee. Some gyms opt to offer contract-free memberships, but charge initiation fees.
  • Pay as you go: The pay as you go model is an attractive option for gym goers who don’t want to feel tied down. This has become an increasingly popular pricing structure as fewer people want to feel locked into a contract when there are more flexible options available.
  • Hybrid model: When the pandemic hit, fitness businesses had to shift to digital offerings in order to survive. And while restrictions have been lifted in most states, many people have become accustomed to the convenience and flexibility that digital fitness offerings provide—but they still want the option to visit a physical facility.

Under the hybrid model, your digital offerings are meant to complement your brick-and-mortar operations. A hybrid gym offers the best of both worlds, and includes a combination of in-person and online workout options. For example, your gym may offer in-person exercise classes that are also live streamed or available on-demand for members who want to continue with home workouts.


Determining the right pricing strategy for your facility can be the difference between success or failure. Your pricing will impact every aspect of your business, so it’s critical to do your research and invest the time to get it right. There’s no one-size-fits-all approach, so you may want to consider offering a combination of membership options at different price points to figure out what works best for you and your members.

To learn how EZFacility can help you streamline operations—from online gym scheduling and text messaging, to point of sale and automated billing—click here to schedule a free demo and live online demonstration.

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