Posted by Mike Massie on February 2, 2010
“But I Can’t Do That In My School Because Of…”
Your services are likely worth much more than you think they are. So long as you set your prices lower than your value, you will never experience the true potential of your success.
Last week I sent out an email that listed actual enrollment numbers for three members of the Martial Art School Alliance website.
These are three instructors who are kicking tail despite the down economy. And, one of them actually lives in an area where the unemployment level is 15%.
It just goes to show you can succeed in this economy, and that most of the things we think are holding us back from being successful are internal and self-imposed.
Which bring me to today’s topic…
What To Charge, What To Charge
Earlier today, I received the following question from a reader regarding that email:
“Even with their below average facilities, do you recommend them charging $99 a month?”
People quote me on that $99 a month figure all the time (and the 10% of your gross for marketing – it’s a guideline, people, not an unbreakable rule) and I have to remind them that was the absolute lowest I thought a school should charge…
Back in 2003.
Seven years later, your cost of doing business has increased significantly. You need to be charging at least 20 – 30 % more today than you were seven years ago. That is, you should if you want to have something left over after overhead, taxes, inflation, and the sinking value of the dollar are done with your revenues.
They Are Doing What With What?
For the record, two of those guys have nice schools. Jim is the one teaching out of a warehouse facility, and he is doing phenomenal at it due to having the right mindset and being an awesome teacher and coach. (And actually, I kind of like his school… it takes me back to when I first started training. Who needs heat and AC, anyway?)
But here’s the kicker – all three of these guys charge about $150 a month average in tuition.
Now, I know for some of you out there this isn’t a shocker. You’re already charging that much or more.
But for many of you, you’re thinking that’s an impossible figure to charge your students for lessons.
Some of you are outraged, thinking these guys are ripping their students off (baloney – every one of them is worth that and more). Others of you think they must have something you don’t in order to demand those rates. Still others of you are wondering if I’m even telling the truth.
And that’s why you’re always broke.
You Can Lead A Horse To Water…
I’ve argued and argued this point for years. Well, I’m finally sick of arguing and fighting with instructors about how much to charge.
For those of you who are willing to believe your value merits charging a premium for your services, outstanding. You deserve to be successful and well-respected. Just keep adding value to your services and bringing value to your communities and you’ll continue to be rewarded for it.
But for those of you who don’t want to believe you can charge a premium for your services, for whatever reason, that’s fine by me as well. You can stay broke, while instructors who know their value will have nicer schools, better equipment, higher salaries, and a better quality of living.
Not because they have something you don’t.
No, it’s because they have the proper mindset for success.
Until next time,
Michael D. Massie
P.S.: I am inundated with requests for “free” advice these days. I am simply too busy to give away my valuable time and knowledge for free, as it’s a disservice to my paying clients.
Remember, if you are a MASAI member you can almost always get your questions answered at no additional cost in the member forums. However, if you need to correspond with me by phone or email for help with a pressing business issue, please visit the MASAI online store and order phone or email coaching with me.
Thanks for your understanding!
Posted by Mike Massie on April 29, 2009
Hi, I'm your new instructor...
Has your business been slow lately? Don’t blame the economy just yet… it may be time to look in the mirror and take inventory of the image you’re presenting to potential clients.
I had intended to write this article for my membership site for martial art school owners, but image is so basic to the topic of martial arts business that I decided to share it for everyone’s benefit.
Now, some people may scoff at the topic of presenting a professional image, especially in today’s business environment where guys with full sleeve tattoos and shaved heads are running multi-million dollar companies (there’s a great article in this month’s Entrepreneur about the businesses that serve MMA – pick it up if you get a chance).
I like ink as much as anyone who grew up idolizing outlaw bikers and rebels… but there’s a time, a place, and a market for such things, which I’m going to explain over the course of this article.
But first, let’s start with…
Your School’s Professional Image (Or Lack Thereof)
Now, I’m just going to say it up front – a lot of the stuff I’m going to cover in this article is stuff I’ve been guilty of myself at one time or another. But, I learned the lesson of presenting a professional image through trial, error, and watching other successful business owners, and changed my tune appropriately.
As I explain at length in my book, image is extremely vital to your school’s success, and your school’s image ranks up at the top of the image priority list.
Think about it… if you were a parent, or an executive, or a professional (doctor, lawyer, dentist, etc.) or just someone who is germ-conscious, and you walked into a dark and dreary school where there were dust bunnies floating out from under the chairs in the lobby, the mats were filthy (or obviously about 5 years past due for replacement), it smelled like sweat and feet, the walls were marked and stained (or had holes in them), the bathrooms reeked of urine, and the office looked like a tornado went through it twice -
Would you feel comfortable training there?
I think the answer is clear. It pays to keep a neat, clean, professional-looking school. Failure to do so can mean losing an untold number of potential clients on a daily basis.
And guess what? People talk – especially moms! All it takes is for one person to come into your school when it looks like a pigsty, and before long they’re telling everyone in the PTA that they would never let their child train at that dump you call a dojo.
Trust me – it happens. Clean your school daily, and paint every six months. Your bank account will thank you for it.
Your Marketing Image – Let’s Talk Logos…
Marketing image is just as important as the presentation of your school. This involves the polish and professionalism of your marketing materials, as well as the quality and tone of the marketing copy and images in your ads.
How many times have you seen schools with logos that look like something from a textbook on cult recruitment? Or, they’re so obscure as to be virtually useless for creating any sort of brand recognition at all.
Now, I’ve told you before that “branding” is for the big guys – this is true. But, on the other hand, your business logo should appeal to your market and be easily and readily recognizable for what it is – a visual representation of the services you offer.
Don’t just assume that images and terminology that are familiar to martial artists will be identified by the general populace. More often than not, our images and language create cultural barriers that discourage the uninitiated from exploring what we offer.
So, avoid religious-looking symbology, foreign language or characters, odd looking mythical creatures, and industry-specific terminology in your ads and logos. Save that stuff for the things you use internally in your school… trust me, your black belt club (or whatever you call your diehards) will think it’s cool – and that’s because they understand it (or have been around long enough to want to understand it).
“Man, That’s An Ugly Ad!”
In addition to avoiding cultural barriers, you should also consider the professional presentation of your marketing materials. Considering the fact that printing and graphic design services can be had readily and inexpensively on the internet, there is no reasonable excuse for using lame and amateurish marketing materials.
(Speaking of which, right now you can get 25% to 75% off all products — and upload your own designs at VistaPrint.com. I use them all the time, uploading designs that I’ve had created by a local graphic designer to print-ready specs. It’s cheap, will improve your image, and not as difficult as you might think.
)
Did You Know… Your Website Is Usually The First, First Impression?
Lastly, let’s talk about websites. And yes, I own a web design company so I’m bound to be biased about this topic.
That being said, I’m here to tell you that most of the clients that come to me have already gone the “free” and “low-cost” route. Those services are fine for schools that are just starting out, or when you’re on a tight budget – but I’d suggest that the first place you spend your marketing budget on is your website.
Why? Well, for starters it’s generally the first thing people see with regards to your school – the virtual equivalent of walking in your front door. And, in the same way that your front lobby should be professional and spotless, your website needs to look sharp and professional as well.
Cluttered websites, sites that load slowly, sites with no consistent visual theme or mismatched fonts and colors… all these mistakes will add up to the same thing – lost customers.
And, if you teach women and children, let me tell you – moms and women in general are the ones who are quickest to click the “back” button when they arrive at an unprofessional business website.
Spend some money on your website. If you need help budgeting it, contact me – I routinely set up payment plans on our web design and search engine ranking services for martial art schools.
And To Wrap It Up – Let’s Talk About You
What’s your professional image? Is it even professional? I can’t tell you how many times I’ve spoken with schools owners over the phone that complain about not being able to attract and retain students, then I meet them in person and they’re sloppy, disheveled, and out of shape. (FYI, I’m not perfect by a long shot, and I’m even working on taking a few extra lbs off at the time of this writing. Trust me, I’m just as hard on myself when I get out of shape. No excuses!).
Face it, folks… you MUST look the part if you want to be perceived as a martial arts expert! No one is going to be impressed by a fat, sloppy, out of shape dude in pajamas…
It’s an in-freaking-escapable universal truth – in real life, no one wants to take martial arts from Po the Panda.
Even our heroes (especially our heroes) are beholden to this truth. I mean, come on… does anyone take it seriously when they see Steven Seagal’s fat a$$ back-flipping over a sword in his latest direct-to-DVD movie of the month? Yes, we all know he’s very skilled in real life – but it’s a really hard sell when he has 40 pounds of flab hanging over his belt, and more chins than chops.
In the same vein, you must look neat and clean. This should go without saying, but get a haircut, brush your teeth, and shave everyday – twice a day if necessary. Keep a clean uniform and a toilet kit at your school, and use it when you can’t run home to shower after a hard workout.Replace old uniforms with new ones every few months. If they fade, they’re not “broken-in” – they’re broken. Buy new ones!
Dress the part outside of your school as well. Those krav maga people really had it right when they started running around in dark striped track pants and dark t-shirts or golf shirts with their logo on the front and back. A fit, clean, athletic looking image can go a long way to attracting people who want the same thing into your school.
And about the tats… I totally get the desire to be inked up. But, it really depends on your market whether you can afford to present that image. My advice is, if you want to attract more moms and kids in your school, cover them up until the last mom and kid leaves at night.
Then, when it’s just you and the guys, go ahead and show your sleeves if it makes you happy.
In Closing, If I’ve Offended You… Ask Yourself This
Now, if any of this article has offended you, ask yourself this question:
Would you rather be comfortable, or comfortably wealthy?
Until next time,
Posted by Mike Massie on April 15, 2009
Susan Boyle is obviously not one to let the fear of failure stand in her way. ITV.com
This lady is freaking amazing.
Take a look:
http://www.youtube.com/watch?v=9lp0IWv8QZY
So, what’s this got to do with starting a martial arts school?
In the book, Rhinoceros Success by Scott Alexander, the author talks about how being like a rhino can make you a success.
- Rhinos have thick skin,
- Rhinos take charge,
- Rhinos are audacious,
- And rhinos don’t let anything stand in their way.
There’s a powerful “rhino” lesson here.
Ms. Boyle is a full-on rhino success story.
You think people in her home town laughed at her when she told them she was going to that audition?
I’d say that’s a strong possibility.
Think she heard the tittering and catcalls in the crowd when she walked up on stage?
Yup.
Think she saw the look of thinly veiled contempt on the judges’ faces during her introduction?
You betcha.
Think it bothered her?
Maybe.
But did it do a thing to dampen her performance?
You saw it and heard it – the proof is right there.
To my knowledge the lady’s not a black belt, but she has “success rhino” written all over her.
So, what’s stopping you? Fear of failure? Puh-leeze…
Life is full of potential disappointments. The question is, what do you want to say when you look back on your life?
“I never failed, because I never tried…”
Or…
“I gave it my all, and pursued my dreams – and for that alone, I’ve lived a full and rich life of no regrets.”
I know which one Susan Boyle chose.
Be a rhino starting today, and charge after your dreams.
Posted by Mike Massie on March 25, 2009
Q&A On Finding a Good Location for a Martial Arts School
Jason wrote in recently to ask the following:
Q: “What factors should I consider with location? Do I need to be in the most perfect retail space out there, or could I consider 3rd place and if marketed correctly, can I get students? I don’t have the luxury of being the only guy in town. So, my other question would be what do I need to be concerned about with my competition?”
Finding a good location for your martial arts school can be a confusing process
A: Competition is a fact of life. I once ran a martial art school in a town where there was virtually no competition for the first few years I was in business. Then, I had 3 schools open in a very short period of time.
What I found was that it actually improved my business, because of the increased awareness their marketing created, as well as the fact that it forced me to improve my game. Suddenly, I had to be better than someone else, and it forced me to step things up.
Just make sure you don’t open right around the corner from a competitor. Those situations never turn out well for either party.
Factors that are important to consider when choosing a location include
- How much money there is in the area,
- And how many people there are in that are willing to spend it.
Look for locations within a few miles of at least 2 or 3 elementary schools, a middle school, and a high school, and that are very close to heavily populated residential areas with a higher median income than is typical for your area.
Remember that you want your martial arts school to be located in an area where people have discretionary income, and where there are a lot of kids and families.
You don’t necessarily need to be in the best location, but if you can find a good deal on a prime storefront location that has a lot of foot traffic or a good anchor tenant that brings in a lot of cars and customers, take it.
Bottom line… finding a location is always a process of weighing pros and cons, and then finding the optimum compromise between the two.
