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Find. Enroll. Retain. What the most profitable studios do differently and why it's not complicated

[SOTI] 2024 F.E.R Method KPI Graph (all profitable studios) - FINALFIND: More Leads For Your Studio

Studios reporting the highest profit margins generate 50+ new leads per month.  As we reported in our State of the Industry report, 45% of high-profit studios meet or exceed this KPI, compared to only 14% of low-profit studios

According to Chris Appiah, the Founder of The Sales Arm“the most successful studios invest in community partnerships and local visibility, creating an organic lead engine that supports long-term growth.”

Filling your top of the funnel is critical to becoming and sustaining a profitable studio.  

[SOTI] Effective source leads chart - all profitable studios - FINAL-1

ENROLL: High-Intent Conversions

Profitable studios relentlessly and consistently implement proven sales-nurturing methods to convert Leads into recurring members & clients.

Specifically, high-performing studios convert 30%+ of leads into first-time visits and then they convert 30%+ of first-time visitors into recurring members & clients. 

These outcomes don’t happen randomly or by accident.  According to Kathleen Ferguson, CEO of Coach 360, your team plays a vital role in developing and implementing your Sales SOPs that drive these results.  “Studios need educators and relationship builders who know how to coach, listen, recommend, and guide each client’s journey, not just sell.” (Watch Her Fireside Chat Here)

Chris Appiah added that great conversion systems treat enrollment as a guided process that includes listening, creating clarity, and helping clients make confident decisions, not pressure. (Watch His Fireside Chat Here)

RETAIN: The LTV Engine

Retention is the lifeline of every studio because it directly impacts monthly recurring revenue and the most profitable businesses:

  • Maintain monthly churn below 5%
  • Achieve Lifetime Value (LTV) of 24+ months

This kind of retention is directly linked to a strong, consistent client experience and it extends beyond the first class to every follow-up and interaction with your member during the Client Journey.  As Ferguson noted, retention is a direct result of your entire team’s performance, from the front desk and instructor to the maintenance team and the marketing team.  Collectively, they must work together to deliver a superior client experience that drives engagement with and connection to your studio. 

Why This Matters

High-performing studios with 20%+ profit margins consistently and rigorously implement the F.E.R. Framework.

Ask yourself:

  • Are we generating enough leads?
  • Are we converting those leads into recurring clients & members?
  • Are we retaining our clients & members?

Studios that answer these questions with clarity and back them up with action are positioned to scale intentionally.

Related Insights

Looking for more real-world examples of how studios are finding, enrolling, and retaining clients at a high level?

  • Cody Sweet on Personalization and Offer Stacking: In this blog, Cody shares how combining paid ads with a personalized sales flow and a clear, compelling offer helped her drive growth while keeping conversion rates high. Read the full breakdown: How Cody Sweet Drives Growth with Paid Ads, Personal Touch & Killer Offer Stack

  • Roxy Borger on What’s Driving Retention: Roxy emphasizes that studios with a strong retention focus not only on the in-class experience but also on tracking client behavior and personalizing post-class communication. It’s a great companion to the Retain section in this blog. Read more here: Why Retention Still Hurts & What You Can Do About It

  • Chris Appiah on Sales Systems That Scale: In this tactical guide, Chris breaks down the “4-Zone” sales framework that helps studio teams move leads confidently from interest to enrollment. His insights reinforce the idea that conversion is a process, not a pitch. Read the full post: From Hello to Membership: Chris Appiah’s 4-Zone Sales Guide



 
 

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