Nondues Pricing Outperforms Pricing for Membership Dues and Fees

Posted April 19, 2011 10:01 pm by

Last year, fees for club lessons and instruction increased by 1.49% over 2009. This accords closely with the increase in fees for “all items,” which rose by 1.64% between 2009 and 2010. However, fees for club dues fell by 1.75% last
year, reflecting intensified competition in terms of dues pricing among competing club businesses.

A month-to-month comparison reveals that, in December ’10, club dues were comparable to those in December ’09,reflecting a negligible increase of just 0.33%. In the previous one-year period, from December ’08 to December ’09,dues had dropped by 1.68%.

Pricing consistency from December ’09 to December ’10 suggests that, by year’s end, club operators had identified the right price point for consumers.

Reflecting the yearly trend, prices for nondues services recorded modest increases in December for the second consecutive month: fees for lessons and instruction were up by 1.07%. Steady-to-increased pricing for nondues items
continues to demonstrate that operators can capitalize on ancillary services while consumers remain sensitive about membership dues.

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