Posted by Mike Massie on April 20, 2010
“The way to succeed is to double your error rate.”
Thomas J. Watson
Definitely worth a read...
Recently, I’ve been reading “Mindset: The New Psychology of Success” 
by Stanford psychology professor and researcher Dr. Carol Dweck.
I’d recommend it for anyone – it’s a clear and well-supported explanation of why your mindset has so much to do with success.
And since I started reading it, it has stirred some serious introspection regarding my own personal outlook on the challenges and failures in my life.
Take, for instance, my early experiences in starting and running a martial art school.
I thought it would be easy to open a school and get students – all I had to do was find a place to teach, run an ad in the paper, and I’d be sitting pretty with a classroom full of students.
I was wrong.
In fact, I failed three times before I finally started my first successful school… a story I detail in the first chapters of my martial arts business manual, Small Dojo Big Profits.
Surprised I’d be so open and public about my early failures?
Well, I am going to go out on a limb here and say I believe that’s one of the big problems in our industry…
That no one wants to admit:
- Their failures -
- When they’ve been wrong -
- When they’ve made mistakes -
- The times when they gave up and called it quits -
Well, I think I’ve mentioned before that I have not had an easy life. Oh, I have been blessed in many ways, but for the most part my life has consisted of a lot of struggles interspersed with some bright spots along the way.
I think it’s because of this that I’ve spent so much time studying people who have overcome adversity.
And, in the course of my observations I’ve noticed there’s a common thread in all stories about people who succeed in the face of great difficulty and disappointment…
The truth is, most people who achieve success fail much more often than they succeed. Or, as someone once put it, they “fail their way to success.”
But in our industry, there is a pervasive negative attitude regarding failure, and I believe it stems from a more deep-seated attitude toward weakness.
Martial artists aren’t supposed to show weakness. They’re not supposed to be “weak”.
Right?
I mean, we eat our own. Just let someone show weakness or be perceived as being weak, and I guarantee you that the jackals will be circling for the kill in no time flat.
So, martial artists get very good at hiding what they perceive to be their “weaknesses”.
And that leads me back to how “known” martial arts figures don’t want anyone to know that they’ve failed or made mistakes.
Maybe it goes back to the old image of the “master” or sensei being an all-knowing figure who is always right.
But, even though we want to believe in that image, we all know it’s just an illusion.
One that gets in the way of learning and growth.
The reason it’s such an issue, is because it leaves no room for error… and therefore, none for experimentation and growth as an industry.
Admit it – it’s darned hard to go out on a limb, when you know what public failure could mean. Ridicule, back-stabbing, and being shunned by the martial arts community.
It happens, you know it and I know it. We’ve all seen it.
But, the important thing to remember is that everyone fails… especially those who are willing to take risks.
And risks are part and parcel of being in business for yourself. It’s actually quite elemental to being an entrepreneur.
Look up “entrepreneur” in the dictionary, and here’s what you’ll find:
en?tre?pre?neur – a person who organizes and manages any enterprise, esp. a business, usually with considerable initiative and risk.
So, what’s the takeaway from this?
First, that there are two ways to look at failure.
- One way is that failure is something to avoid at all costs.
- The other is that every failure is one step closer to success.
The second takeaway is that failure is only a sign of weakness when it can’t be admitted or discussed.
But when it’s out the in open, analyzed, examined, and learned from, it becomes the cornerstone that success is built upon.
Posted by Mike Massie on March 5, 2010
Facing Down Hard Times In Your School?
If you're facing hard times in your martial art school, you're not alone. Here are some tips to help you make it through until things improve.
Facing down hard times? You’re not alone. I’ve heard from more than a few school owners who are feeling the crunch during this recession.
Here are some tips for those of you who may be struggling to keep your school open in the down economy.
The Mental Side – Survival Strategies
First off, focus on the positives – it’s the only way you’ll get through. Just keep doing that – your attitude is what will bring people into your school.
People are attracted to upbeat personalities. If you’re happy and energetic, it will really make you stand out and people will be drawn to it. Remember, your energy drives your school.
The Financial Side – Making It Through
First off, cut back on everything EXCEPT your marketing budget. Anything you don’t need to operate or survive should be cut from your budget.
However, it is imperative that you step-up your marketing activities, rather than slow them down. Those school owners that I coach who are growing in this economy are not doing so because they are lucky, located in “good” areas, or because they are martial arts superstars…
They are growing because they spend 80% of their work hours outside of class on their marketing – and they do this consistently, every single month.
Even so, you still need to make sure you’re spending your marketing dollars wisely. So, go through your marketing expenditures with a fine-tooth comb. If any marketing method is costing you more than it’s bringing in, cancel it and shift those funds to something that is actually giving you a good return on your investment.
A good rule of thumb here is that every dollar you spend on marketing should return $1 in revenue during the same marketing cycle (in out industry, 30 days).
However, I like to get $2 back on every dollar I spend within a 30-day time frame. You need those fast profits and high rates of return on your marketing dollars, because a martial arts school relies on cash flow for survival. So, your every marketing promotion should bring back a return of 200% within 30 days of running it.
Focus your efforts and resources only on those promotions that meet that criteria. And if you’re broke, focus on low-cost and high-return marketing activities like online marketing and door-to-door flier distribution. They take more time to implement, but they’re cheap and effective when done properly.
Keep Your Head In The Game
Finally, be present! If you check out on your school and students because things are not going so well, guess what? They’ll sense it and you’ll only be making the situation worse.
Remain fully invested in your students, regardless of what happens. Loyalty breeds loyalty, and you’ll be surprised at how many of them will be cheering for you and will stick with you, even if things don’t work out…
The Longview – What If Things Don’t Work Out?
“A mistake is a future benefit, the full value of which is yet to be realized.”
- Edwin Land, inventor of the Polaroid camera
First off, it’s not the end of the world if you have to go back to teaching part-time. So, don’t be ashamed of finding a part-time teaching location, ending your lease, and moving your classes somewhere without all the overhead and high rent.
Also, know when to call it quits on having a full-time location. Is it worth it to force yourself into major debt or bankruptcy, just so you don’t feel like a failure?
Well, guess what? All entrepreneurs fail at some point in their careers as business owners. It’s part and parcel for the game. Don’t feel bad if things don’t work out this time around. Just roll with it, regroup, and the next time around you’ll be wiser for your experience.
Remember, there’s ALWAYS another opportunity waiting just around the corner. The past is just a memory, and come tomorrow today will be the past.
You will recover and you will be able to start over again. So, stay positive and just keep looking for those opportunities as you move forward.
Posted by Mike Massie on January 21, 2010
…And What I Plan To Do About It
For nearly all my adult life, I've taught martial arts professionally and operated full-time martial arts schools... so I know EXACTLY what challenges you face, day in and day out.
Yesterday, I told you that the only way to preserve traditional martial arts values in this industry is for like-minded instructors band together.
I’d like you to know, that’s exactly what I’m trying to do through the Martial Art School Alliance International.
But before I tell you how we’re doing that, I feel it’s important to explain to you how I ended up launching this huge project (which has taken me the better part of a year to realize) and how exactly that can benefit you as a school owner.
“Oh No… Not Another Damn Consulting Company!”
Sorry for the strong language, but back when I was just running my schools, do you know how tired I got of people in the industry trying to get into my wallet?
Sure you do – because you probably feel the same way. And that’s why, ten years ago, I could have never, ever imagined myself doing what I do now… running a popular martial arts business blog, providing online coaching to hundreds of school owners, and helping new school owners find their way through a minefield of conflicting information and advice.
The thing is, I didn’t get in this for the money… in fact, I never meant to get in this thing at all. This all started out with me writing a martial arts business manual about doing business honestly and with common-sense fiscal values. But, it ended up with me becoming a weekly advice columnist for thousands of martial arts school owners and instructors.
Why The Martial Art School Alliance?
Not that I’m complaining… and to tell you the truth, I really don’t mind it at all. While I never intended to become a business coach, I have to say I enjoy helping school owners succeed.
But I never intended to do this full-time, even after it took off. So once I started getting a lot of requests for advice and business guidance, I knew I’d have to find a way to deliver information on a mass scale soon… else I’d be spending all my time working with individual clients and I’d never have a life.
Funny thing about that… did you know that there’s a lot more money in doing one-on-one consulting?
Sure, I could make a killing charging people for “consulting packages” (what I call prolonging your pain – consultants make a lot more money when they take a roundabout route to helping you solve your problems).
So, why don’t I do that?
Number one – and I’m being perfectly honest here – I don’t believe that it’s an efficient use of my time. Second, I value my time dearly, and quite frankly most school owners who need solid business advice can’t afford to pay my hourly rates.
So, I figure it’s better for both me and the school owners I help each month to deliver information on a mass scale at a very reasonable price. They get what is very nearly personalized coaching at a fraction of the cost, and I get to go hang out at the bookstore or with my wife any day and time of the week I please. It’s a win-win, all the way around.
So, now you can see why I created the MASAI site, and why I felt it was worth investing the last nine months of my life to realize.
Was It Worth It?
Heck yes. I’d have to say that this project has been as rewarding as promoting one of my students to black belt, if not more so.
And truthfully, I am darn proud of the results. As of today we have nearly 100 information-packed articles and dozens upon dozens of ad templates and resource documents on the site. In addition, I spend considerable time answering questions on our forums, and frequently respond with new content that specifically answers questions our members have posted on the boards.
The great thing is, our members are also more than willing to help each other out by sharing advice and information on the boards. I can’t tell you how many times I’ve gone to answer a member’s request for advice only to find three or four of our members have beat me to the punch.
They’re a great group of people, and it just goes to show what a strong community we’re building through this organization.
Future Plans – Where MASAI Is Headed
One of the issues that’s been bothering me for the last few years is my concern with where the martial arts industry is headed. It seems like every year, we get further and further away from our traditional values, and move more and more toward becoming an industry without a soul or conscience.
“It seems like every year, we get further and further away from our traditional values, and move more and more toward becoming an industry without a soul or conscience.”
Well, I’m not okay with that – at all. And, after reading your responses from last week’s poll, I can’t just stand idly by without doing something about it.
That’s why I’m making it a point to make MASAI a haven for instructors who want to preserve their traditional values while still embracing the future.
You see, there’s just no way we can ignore the sweeping social, economic, and technological trends that are going on around us at breakneck speeds each day. To do that would kill the industry just as surely as abandoning our traditional values would.
Even so, I still strongly believe we need to preserve the heritage of traditional values in the martial arts. And, I believe that the best way to do that is to help like-minded martial arts instructors to be financially successful by providing the highest quality of martial arts business advice possible.
“The best way to do (preserve traditional martial arts values) is to help like-minded martial arts instructors to be financially successful by providing the highest quality of martial arts business advice possible.”
And that’s where MASAI is headed.
We’re Not “Anti-MMA” – We’re Just “Pro-Tradition”
Don’t be mistaken, we’re not trying to “fight” MMA. In fact, I there’s a lot I like about it and I openly encourage MMA instructors to join MASAI. Besides, like it or not, MMA is here to stay.
Moreover, there are a lot of instructors out there who actually want to teach MMA with traditional values; if anything, I want to see more of that, and to support those instructors.
On the other hand, we’re not going to be abandoning our member’s core values just to make a buck; that’s because we’re here to serve our members and to help them preserve the integrity of the industry.
My ultimate goal is to run an organization that is progressive enough to stay ahead of trends, while still staying true to the martial arts industry’s traditional roots.
Of course, I don’t have any delusions about how big this thing can get… I believe that 400 or 500 members is all we’ll ever see as far as growth and membership is concerned.
However, 400 – 500 like-minded martial artists banded together can accomplish a great deal with regards to preserving a legacy for generations to come. That’s my vision, and if you’d like to be a part of it I invite you to join us to be a part of that vision.
Now That You Know How MASAI Came About…
Does it sound like something that you can get behind? I hope so, because with every school that joins we grow stronger, and better able to serve our members.
And in case you’re curious, I’m not asking for much with regards to membership fees (less than the cost of a cup of coffee from your local convenience store each day). And that’s despite the fact that I’ve been told over and over again to raise the membership fees to double, triple, or more that what we’re charging.
But, I want the site to be accessible to all martial arts instructors, even those who are just starting out. And let me be honest about this – we can still deliver quite a lot with regards to business guidance and information, marketing and advertising assistance, and ongoing daily support without charging an arm and a leg for membership.
The Bottom Line…
The bottom line is, this isn’t about me – it’s about you and what your values are. So, I hope you become involved, and also invite others to join in order to help us grow.
Because one thing is certain; if martial arts instructors don’t band together to preserve the traditional values of the martial arts, this industry is going to look entirely different in five or ten years…
…and I have a strong suspicion neither one of us will like how it looks.
—
For more information on the Martial Art School Alliance International, please visit:
Posted by Mike Massie on March 3, 2009
When the sky is falling...
The Sky Is Falling?
So, we keep hearing all this bad news on television, and it seems like every time the president holds a press conference the stock market takes a hit. I opened the New York Times last Saturday (something I rarely do), and I have to say I have never seen so much “bad news” in a newspaper in my life. (No wonder the newspapers are failing financially… who’d want to read that mess?)
Anyway, Sunday’s message at our church was on cynicism, and it got me thinking about how our perception has a lot to do with how we deal with adversity.
And that’s precisely what I want to share with you today – how perception and choice can make all the difference in how your school fares over the next two to three years.
Fear Makes People Do Stupid Things…
Sure, lots of martial arts schools are seeing their students get laid off, transferred, etc. – this is a reality for us right now, and ignoring it won’t help. However, it’s nothing we haven’t seen before. In fact, this is very similar to what we dealt with in 2000 and 2001 when the dot com bubble burst and the bottom fell out of the tech sector.
During that time, my school lost about 1/3 of it’s members, but I didn’t let it affect my thinking to the point of panicking. Oh sure, I had a definite “oh crap” moment, but then I got on the stick and started cranking up our marketing, and also adding some additional revenue streams to the school. Before long, our income had stabilized, we had replaced the students we lost, and we were back at our previous monthly numbers.
Look, fear makes you do stupid things. There’s nothing wrong with cutting back when times are lean, but cutting back on marketing that has been bringing in students is just dumb. Yet, I know there are schools who are doing just that right now, because they are adopting a herd mentality and panicking with all the other sheeple.
The Adult Martial Arts Market Is Booming?
Yes, that appears to be the case. Last week I received the latest newsletter that David Meyer and John Will put out, and they report the following:
“Schools that are overly reliant on kids may experience a wobble or two, if their parents have to find that extra $200 a month to meet their mortgage – but schools who are into BJJ and MMA are usually catering for adults; and in that demographic we see nothing but growth!”
Now, these are guys that deal with hundreds of school owners around the world. I’d say they have an ear to the ground regarding what’s actually going on in the industry… and, my own observations more or less parallel their assessment.
What Smart School Owners Are Doing
...be mindful of what you catch.
- One school that I know of, located in a small town with a very high foreclosure rate, just reported to me that they enrolled five people last week and see no sign of it slowing down. Their competitors are struggling, but they’re thriving. So, what’s so special about this school? They are marketing heavily and not afraid to spend money on advertisement. In addition, they are especially focusing on their web presence and placing ads in local, family-focused media channels.
- I visited another friend’s school last night. His place is in a not-so-great section of town, located in a small, off the beaten path office park with zero street visibility. But let me tell you, it was nothing but wall-to-wall adults in there (and yes, his programs do cater to the adult market; MMA, grappling, and kickboxing). His “secret”? He markets heavily and does a lot of events for his adult students. In addition, the atmosphere at his school is extremely positive, and it’s clear they go out of their way to make people feel welcome. Oh, one more thing – his school has grown 17.6% over the last two years.
These are just two examples, but I know from the posts on our forums and the emails I am getting from the SAMAS members that they’re not the only ones experiencing moderate but steady growth in their schools right now.
A Pattern Emerges…
After reading between the lines, here’s the pattern that I’m seeing in all the schools that are doing well:
- These school owners are pro-active instead of reactive. They are proactively marketing and advertising their schools, stepping it up a notch instead of trying to cut costs by cutting corners in their marketing.
- These schools have been active in creating programs for and marketing to the adult market. They are offering fitness, MMA, and grappling in their schools, even if it’s not their “core” program. A wise person once said, “The secret to success in business is selling what the market is buying.” Even if you don’t want to offer MMA, fitness is an evergreen market, it never goes out of style. At the very least, you should be implementing fitness classes in your school that appeal to hungry buyers in your market.
- These school owners focus on solutions instead of “problems”. Whining about the economy is a waste of time and energy, and it’s not going to do a thing for your bottom line. So, stop whining and start spending that energy instead on tasks that actually provide you with a measurable and positive return… marketing/PR, advertising, and retention.
Coming To Grips With Reality Is Just The First Step
Lets face it; lots of schools became complacent after things settled after the dot com bust and before the gas crunch and mortgage crisis. For a while, it looked like things would return to the days of plenty we had during the mid to late 90’s, but that’s not how things fell out.
So if you’re one of them, coming to grips with reality is only the first step. After that, it’s time to get into gear and deal with the situation in a very real and actionable way.
The bottom line is that you can’t change the economy, but it’s your choice how you’ll approach your business during these so-called lean times.
Will you starve by choice?
Or, will you find a way to not just survive, but maybe even to experience growth over the next few years?
It’s your call.
—
Mike Massie is the author of Small Dojo Big Profits and runs a martial arts business coaching website for new instructors and small school owners, StartingAMartialArtSchool.com.
Questions? Comments? Completely disagree? Let the world know – post your comments below:
Posted by Mike Massie on January 28, 2009
Well, I said I didn’t see it happening anytime soon, but it looks like the UFC may coming to your home town after all.
And it ain’t going to be pretty.
Yesterday, Dana White of the UFC announced the launch of a nationwide chain of UFC branded gyms. White says he’s partnered with a private equity firm to help fund the venture (read: a bunch of people with a lot of freaking money). White’s partner, Mark Mastrov, says they have plans to open between 5 and 10 locations in the next 6-12 months.
Click here to see the interview on CNBC.com
That’s a very aggressive launch, and I don’t doubt that they’ll be able to do just that. In fact, if you operate a school in a large market (like Los Angeles, Chicago, New York, Houston, Las Vegas, etc.) you should probably expect to be competing with the UFC very soon.
Yep, that’s right… you can expect to be going head-to-head with the biggest marketing juggernaut the martial arts industry has ever seen.
So, Should Martial Art School Owners Be Worried?
In a nutshell, yes. The UFC has the power and financial backing to do what no one else has done before – and that’s take martial arts instruction and training into the big box gyms.
Just imagine what it would be like if Bally’s, Gold’s, 24-Hour, or World Gym started hiring martial arts instructors and offered a full compliment of martial arts classes, that their members could take in an a la carte fashion… all incuded for their $20 – $40 a month membership price.
I think you can see where this is going. Even though White and Mastrov say they’re going after all those big-box gyms I just mentioned above, this bears some very bad mojo for martial arts school owners as well.
(And think about this for a second… if you have UFC equipment, hats, t-shirts, heavy bags, mma gloves, etc. on display or for sale in your school, you could very well be advertising for your future competition.)
So, Are There Any School Owners That Don’t Need to Be Concerned?
Yes, and here they are in no particular order:
- Martial art schools that have extremely low overhead and high profit margins; basically, those schools that follow a Small Dojo, Big Profits business model. (If you’ve been doing well during this recession by following such a model, you’re on the right track.)
- Martial art schools that cater to children, or that earn a significant portion of their income from teaching kids -
- Martial art schools that cater to families, and those that offer a family-friendly environment -
- Martial art schools in smaller communities and markets; chiefly those that don’t already have one of the big chain gyms in their area -
- Martial art schools that are owned and operated by savvy instructors who know how to capitalize on the UFC’s popularity (see below).
But, Here’s The Good News…
But, there is an upside to all this. Once again, the UFC is going to be doing something that no one else has been able to do on the same massive scale in the history of the martial arts industry.
And, that’s to introduce martial arts to the masses. So, it’s going to be up to the individual, independent school owner to capitalize on the UFC’s move into the fitness market, and to turn that to their favor.
How?
By doing what I’ve been telling you to do all along… and it’s the exact same thing that the most successful independent personal trainers in the fitness industry have been doing for years:
- Go small.
- Go niche.
- Go personal.
- Go boutique.
- Charge more.
- And, offer a higher quality of service than the big-box gyms can possibly ever offer.
In other words, don’t try to beat Wal-Mart at their own game. Specialize by picking a niche and do it better than anyone else in your market. (And you can bet your bottom dollar I’ll be coaching my clients on how to do exactly that in 2009.)
A Few Parting Thoughts
Overall, since Dana White took over the UFC has been very good for the martial arts industry in general. Dana has taken a sport that had become something of an embarrassment to the industry, and he turned it into a household name.
And, in doing so, he’s helped bring a lot of business to martial arts schools worldwide.
So, if you end up with a UFC gym in your backyard, and you can’t find a way to turn the increased awareness and public interest in the martial arts that it’s going to bring into more business for your school, then don’t blame Dana White.
Instead, blame yourself for not figuring out your game plan now when I first told you about this potentially huge change in the martial arts industry.
—
Mike Massie is the author of Small Dojo Big Profits and runs a martial arts business coaching website for new instructors and small school owners, StartingAMartialArtSchool.com.
