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IHRSA - Mar 2006 CBI Subsidy
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Y Clubs Subsidize Memberships by Jennifer H. McInerney

Among the most frequently cited obstacles to joining a club are the fact that people are intimidated; they don't have enough time; and/or they don't have enough money. While club operators have done much to make workouts appealing and convenient, some have also addressed the financial issue by, when appropriate, offering free or subsidized memberships to those in need.

In fact, according to a recent poll of 194 IHRSA facilities of all shapes, sizes, and geographical locations, 30% already provide this sort of assistance to financially disadvantaged individuals. The clubs do so for a variety of reasons: to boost morale; to generate good will; and to help people pursue a healthy lifestyle regardless of their financial situation.

"It enhances staff morale, creates a sense of caring, and makes our club a real place to belong," says Mike Alpert, the president and CEO of the Claremont Club, in Claremont, California. "Members comment on the program and appreciate what we do. Many have expressed their pleasure at knowing that a part of their dues is being used to help others in the community." To date, Claremont has subsidized more than 155 memberships.

The remaining 70% of the clubs polled don't offer assistance, however, and 58% of that group said that they wouldn't consider doing so in the future, offering a variety of reasons. Underwriting memberships is the responsibility of the country's 2,600 YMCAs, pointed out 16% of the respondents.

"We're a for-profit business," explains Alex Thapar, the fitness manager at Spectrum Clubs-Howard Hughes, in Los Angeles. "We'd have some very irritated investors to deal with if they saw our bottom line was eroding because of free memberships."

Another 28% said that the issue of assistance had never come up in their clubs, and 15% claimed that they didn't have financially disadvantaged people in their market. But 42% of the clubs that don't offer aid said they'd consider doing so in the future. Those that already have programs seemed to feel they were worthwhile. "The people we've helped are very loyal to the club and act as our advocates within the community," says Jan Rubins, the owner and general manager of the LifeCenter Plus Health and Fitness Center, in Hudson, Ohio.

"Assistance does have an impact on the bottom line," acknowledges Alpert, "but it's the cost of doing business the right way."








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