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Assignment on

Healthcare and Fitness (Golds Gym)

Submitted to,
Ms. Pallavi Chandwaskar Ms. Rashmi Nadange

Submitted by: Name Sushant Nadarge Soham Paradkar Abhishek Dhamne Gaurav Samel Nitesh Manikkoth Urvi Bhalla Roll Number P41 P37 P01 P09 P16 P47 Submitted on: 15 Feb. 13

Type of processPeople processing as include tangible action to peoples body. And also active involvement by a member is required.

Service Process:
The service process at gym is as follows : OrientationWhenever a new customer enters the gym he/she introduced to various sections like cardiovascular, weight training, aerobic, yoga, steam bath, shower, massage room, changing room, locker of gym. After showing the gym a customer is introduced with various membership types like annual membership, six months membership, quarterly membership. Information about various membership package, discounts and number of instalments in which a customer can make payment is given. Then formalities like filling of an application form, payment of fees are completed. Then a membership card is given to new member and the following day a customer is called for Body Assessment Test. Depending upon the results of Body Assessment Test trainer, training and diet program is assigned to the member. Workout card which contains the entire workout routine and attendance for a month is handed over to a new member. During very first month of training, a member is introduced with various workout equipments installed in a gym. And introduction about using those equipments is given to avoid accidents. Personal TrainingThe process provides an on call personal training staff for the entire membership. All the trainers are certified, responsible and caring individual. They are referred as Friendly Fitness Professionals Any member can apply for a personal trainer for proper personal training and making, implementing a plan that will help him/her achieve fitness goals.

Market PositioningStarted in 1965 by Joe Gold in Texas Golds gym has become pioneer in health care and fitness industry. In 1975, Golds gym received international attention when it was featured in the major motion picture (Oscar winner) Pumping Iron. It was thus effectively established as the Mecca of Bodybuilding.Golds gym claim to be the largest chain of gyms in the

world with more than 700 locations in 30 countries. It has positioned itself as a premium brand in healthcare and fitness sector. In India they target high profile people. Golds gyms workout area are equipped with state of art workout equipments and offers various group exercises like group cycling, Pilates, Latin dance, yoga and stretching through its Golds Group Exercise program. Golds gym was a first gym in the world to introduce the Cardio Cinema concept, which is an actual movie theatre inside the facility with treadmills instead of seats. Golds gym now has more than 50 Cardio Cinemas throughout the United States of America, more than any competitor. In India, Golds gym started its operations in 2002. The first branch was set up near Nepean Sea Road, Mumbai. In the next few years the number grew to 65 branches in India. Though it has tough competition from local players like Talwalkars, Avenjue, true fitness, The gym, Endurance it is acknowledged for its unrivalled success in providing the finest equipment and fitness knowledge available to help its member achieve their individual fitness goal. It follows a globally proven fitness training module with state of the art infrastructure and delivery methodology and continuous up gradation through training programs. With certified trainers and nutritional counselling, Golds gym provides a comprehensive approach to the health and well being of its member. Whether members goal is to burn fat, gain muscle, build strength, increase flexibility and endurance or improve cardiovascular health, Golds gym has the atmosphere and experience they need.


TaglineInitially tagline for Golds gym was, No-frills gym for serious weightlifters. However over the years they have changed their tagline in order to appeal more broad class of consumers. In 2004 they came up with new tagline-Train Anyway! Currently their tagline is Change your body. Change your life!

5 Service quality dimensions1. Tangibles 2. Reliability 3. Responsiveness 4. Empathy 5. Assurance 1. TangiblesThis dimension includes physical facilities, equipments and appearances of personnel. Each and every branch of Golds gym is equipped with state of art and world class workout equipments. The gym has adequate number of Treadmills, Cycling, Elliptical machines for Cardiovascular exercises. In weight lifting section gym has multi gym, Incline bench, Utility bench, declined bench, shoulder press bench, vertical knee raise dip, Hyper extension, Squat racks, Glut-ham machines, Flat bench, Multipurpose bench, Cable cross over, Compact cable cross over, cable column, plate loaded machine series equipments like supine press, shoulder press, triceps extension, lat pull down, leg extension. Gym also has shower,steam bath, locker(permanent/temporary), massage facilities. The gym also has Body Assessment Test machines that used to analyze percentage of fat, muscle in body. Entire gym is equipped with CCTV cameras for the purpose of video surveillance of area and to keep watch on trainers. Appearance of trainers has significant impact on any gyms ability to get clients. The trainers have to be in proper shape and look healthy. Because members may feel unconfident in being trained by out of shape trainer. Golds gym is aware of this fact and it has skilled, experienced and in shape staff of trainers. Who present themselves as a role model, a personality to be followed. 2.ReliabilityThis includes ability of gym to perform the promised service dependably and accurately. People at Golds gym are truly committed to offering the community an affordable, fun and friendly environment that is managed with uncompromising integrity, reliability and professionalism. The Golds gym provides its new members an unconditional, 30 day, 100% money back guarantee. If any member is not happy with the service being provided by the gym in first

30 days he/she can cancel membership and will get 100% refund. Even the gym will not charge its member for 30 the days. Thats how confident they are that every member who joins them is going to like them. 3. ResponsivenessThis includes willingness to help customers and provide prompt service. The Golds gym is known for its prompt service. Trainers are there to assist gym members any time when they need it. Most important thing in a gym a member looks for is Spotter. When a member cant push further or cant lift those heavy weight and about to give up what he looks for is a spotter. The role of this spotter is carried out efficiently by those professional trainers. 4. AssuranceThis includes knowledge of trainers and their ability to inspire trust and

confidence.(i.e. competence, credibility and security). To ensure that trainers meet all the requirements and possess great knowledge of fitness Golds Gym Fitness Institute offers the most exciting and up-to-date education pathway to gain industry leading qualifications as well as ongoing training in all aspects of the fitness industry. 5. Empathy This includes caring and individual attention that the trainers provides its client. Like discussing with member, knowing area of problem where the member is not making progress, consulting the member regarding diet, training etc.

Service GapsGaps in service are the differences between a present quality of service and the ideal quality of service of a company. They are important factors because Golds Gym need to focus on and should know how to reduce or eliminate those service gaps. If there are a lot of gaps in the service, the Golds Gym will have to face serious problems and it will be difficult for it to survive in such stiff competition. Quality gaps are classified as1. Positioning gap 2. Specification gap 3. Delivery gap 4. Communication gap 5.Perception gap

1. Positioning Gap Pertains to managers perceptions of members expectations and the relative importance consumers attach to the quality of dimensions. 2. Specification Gap The difference between what management believes the client wants and what the members expect the business to provide. 3. Delivery Gap. The difference between the service provided by the trainers and management and the specifications set by Gym management. 4. Communication Gap. Exists when the promises communicated by the Gym Management to the member do not match the members expectations. 5. Perception Gap The difference between the members internal perception and expectations of the services.

Service Guarantee at Golds GymThe Golds gym provides its new members an unconditional, 30 day, 100% money back guarantee. If any member is not happy with the service being provided by the gym in first 30 days he/she can cancel membership and will get 100% refund. Even the gym will not charge its member for 30 the days. Thats how confident they are that every member who joins them is going to like them.

Customer relationship managementUnder their CRM program they have Golds Gym Retention Program(CRM). This email based retention program contains targeted/customized emails that are sent to members based on where they are in the member lifecycle. The program supports new member, existing members and at risk members automatically. The Golds Gym can also create customized emails for any segment of its database and send through the Ad Builder. In 2012 several exciting enhancements to the CRM program rolled out. New features such as prospect nurturing, enhanced ad hoc template and optimized creative will help drive higher retention and engagement rates with its members.

Most focused P of service managementThough Golds gym focuses on 8 Ps of service management like-people, process, product, promotion, price, physical evidence, process and profit, their most focused P of service management is Physical Evidence Gym interior design should ideally reflect the activity, vigor and vibrancy of such a facility. From the tiles on the floor to the colors on the walls- everything should support and enhance the energy levels of the place. Optimal utilization of the space is competitive advantage the Golds Gym has over its competitors. High ceilings and free space ensures theres ample circulation to keep the workout area fresh. Lighting plays an important role in exercise space. The Golds Gym typically uses arrays of luminaires, multi-bulb fixtures with a casing and optics, in its main spaces to shed light. Architects put careful consideration into lighting levels based on the tasks being attempted by exercisers, to set a mood or theme for the activity. The gym also has murals and pictures that are motivating , large life size mirrors add to the environment of the Gym. A hi-fi Music system, large screen televisions, LCD displays in front of treadmill and elliptical machines makes the workout session enjoyable.

Blue Print of Gold Gyms-

Strategies to manage capacity and demandTo increase the capacity, the Golds gym may consider creating some new facilities and upgrading the existing equipment in order to attract potential customers. Constructing a Spa centre is an appropriate situation to attract both business and leisure customers. The gym area should be including sauna, steam, massage and other treatment facilities. On the other hands, they should purchase some extra cardiovascular machines and recruit more trainers. To increase the demand , gym manager can evaluate the results based on those new facilities, establishing potential customer and setting up discount packages. E.g. In off season(Rainy season) 20 %, 40% off on annual membership, discounts on group

admissions, free diet consulting, free trial for a month of personal training service etc.

Pricing strategies of Golds GymDetermining the price for a service can be a significant challenge for any organization. There are number of variables to consider such as will the price be competitive?.What price will optimize gym capacity? Can special event pricing be adopted? The Golds Gym uses premium pricing strategy as its target is high class and higher middle class people. Following are various pricing strategies adopted by Golds Gym1. Free TrialsSome people may not spend their money on annual gym membership until they can try it out first. Every person has a unique set of workout needs, and offering free trial, such as a free membership that lasts a week or a month can give potential customer an opportunity to see if facility suits their needs. The free trial at Golds gym gives management a chance to make a good impression and convince the customer to continue with full membership. 2. Introductory ratesGolds gym uses another tactics to attract potential customer. E.g. In rainy season, on festival occasion like diwali, 31st, Christmas The Golds Gym comes with its introductory offers. It offers 40% off for first 5 months on subscription of annual membership. 3. Discounts for family and friendsFamily and friends often go to gym together, which can make gym membership a group decision. Most of the times 4-5 college friends joins gym together or more than 2 family members joins gym together. And here they expect discount on group admission. The Golds Gym provides 10% off on couple admission. Gold Gyms add extra month in the membership of its existing member on referring the gym to others.

Integrated Marketing communications (Promotion Mix) of Golds Gym1. Advertising

Advertising is a critical component in promoting any business, and an area that Golds Gym has excelled in for nearly 43 years. Their track record of effective, award-winning advertising campaigns has established Golds Gym as the most recognized in the fitness industry worldwide. A. Elevator advertisingStickers showing two muscular arms were pasted outside the lift doors. Another sticker showing the torso of the body builder with arms stretched was pasted on the inside of the lift wall. When the lift door opened, the arms parted and looked as if the man is forcing the door open.

2. Personal SellingSelling the membership of the gym is the core task of sales team in Golds Gym. They have to convince people how Golds gym is better than any other competitor in the market.

3. Sales PromotionThe Golds Gym distributes free coupons, on which coupon holder can get a free trial of the service for a month. The Golds Gym also distributes free samples and trial packs of nutritional supplements like Hydro builder, Whey protein and Weight gainer.