In marketing, the point of sale, the actual transaction of goods for money, may be the hardest thing to achieve. This is especially true for Gold’s Gym in the Village, selling memberships for over $500/year when the Birdcoop next door has it for $50. So how did they get me to buy a membership?
I was stopped in the street by a Gold’s employee offering a free pass. He called me the next day saying my name was put into a draw and I won the second prize of a 30-day membership. I went in to the gym to set up my 30-day pass, expecting that they would try selling me a full membership so ready to stand my ground and say no.
The same guy that stopped me in the street showed me around the gym, discussed my fitness goals and of course, pulled out the membership binder. I knew this was coming. He told me that if I bought a full year membership:
- I could get 2 months free (instead of the 1 that I won)
- He could call his manager to try and get a discount on the other 10 months
- He would wave the $199 initiation fee
- I could put my membership on hold if I am not here over the summer
- I can resell my membership on craigslist if I can’t commit to the full year
I FELL FOR IT!!!
Walking away after signing on the dotted line I felt terrible because I started seeing ALL the red flags
- He probably called everyone who signed up for the free pass, telling them they won a 30-day pass
- When he went into his office to “call his manager” he was out again in 30 seconds…no phone call took place
- NO ONE PAYS THE INITIATION FEE!
- The contract said it would cost me $65 to put my membership on hold over the summer
- The fine print clearly says that no selling of the membership is allowed under any circumstances.
It was clever. As a marketing student I can admire the creativity and execution of that sale but as a customer, I know he did it all wrong. Value based marketing of this era is about creating a trusting relationship with your customers and ensuring they have confidence in your business. It’s about creating long-term relationships with customers that are satisfied with the services and want to keep coming back.
After all the scams and tricks Gold’s played on me I have no faith or trust in that gym, to the point where I will be cancelling my membership and receiving a full refund. They had me as a new customer but with the lack of trust I will not become a regular purchaser, let alone a loyal customer or an advocate.
Gold’s taught me how not to sell a product or service.