In the fall of 2016, McMahon Group conducted a Pulse Survey on facilities in private clubs to learn about what is being offered and where the industry is trending. Thank you to the 387 clubs that responded to this survey and provided great information about what is happening with facilities.
Key findings are summarized in this article, as well as some comparisons to previous Pulse Surveys. To order a complete copy of this report, please visit mcmahongroup.com and select “Reports & Club Trends.”
GENERAL FACILITY ISSUES
Top Facilities to Attract Members: Managers identified the top three facilities/spaces they feel are the top drivers for attracting members to their club. The most frequent items were:
1. Golf course
2. Casual dining and bar/lounge
3. Pool complex
4. Fitness
5. Clubhouse
Planning for Future: The top steps identified for the most effective ways to improve facilities and ensure adequate capital is available for the future include:
- Educate members on facility needs (63%)
- Develop a clubhouse and grounds master plan (57%)
- Maintain an asset reserve fund (48%)
- Do periodic surveys to test member satisfaction with facilities (48%)
Ongoing Capital Maintenance: Sixty-two percent of respondents can cover their annual maintenance and repair expenditures. The table below shows how clubs are raising funds for their ongoing capital maintenance requirements:
| Aspect |
2016 Pulse |
2013 Pulse |
| Initiation fees |
55% |
53% |
| Monthly charge |
49% |
39% |
| Borrow funds |
27% |
17% |
| Operating dues |
27% |
31% |
| Other |
20% |
22% |
Average annual amount spent on ongoing maintenance: $590,000
Areas Needing Improvement: The list below shows the spaces in most need of improvement, expansion or addition:
| 2016 Pulse Survey | 2013 Pulse Survey |
| 1. Clubhouse interior décor (44%)
2. Kitchen(s) (42%) 3. Casual bar/lounge (37%) 4. Fitness/workout area (37%) 5. Storage (37%) 6. Clubhouse exterior (35%) 7. Men’s Locker Room (33%) 8. Pool and deck areas (32%) 9. Family dining area (30%) 10. Swim support facilities (29%) |
1. Fitness facilities (39%)
2. Clubhouse interior décor (37%) 3. Infrastructure (33%) 4. Kitchen(s) (33%) 5. Pool and deck areas (31%) 6. Bar/lounge (27%) 7. Golf course (24%) 8. Casual dining (24%) 9. Locker rooms (23%) 10. Storage (23%) |
FITNESS
Fitness Center: Fifty-seven percent of respondents stated they have a fitness center at their club. This is up from 49 percent in the 2013 Pulse Survey.
The most popular aspects of fitness include:
| Aspect |
2016 Pulse |
2013 Pulse |
| Cardio/workout area |
48% |
40% |
| Free weights area |
47% |
39% |
| Stretching area |
42% |
36% |
| Personal trainers |
35% |
30% |
| Separate studio space |
30% |
20% |
| Locker rooms |
27% |
23% |
| Sport-specific training area |
20% |
17% |
The most popular fitness programs being offered include:
| Aspect |
2016 Pulse |
2013 Pulse |
| Yoga |
35% |
— |
| Pilates |
29% |
26% |
| Water aerobics |
28% |
23% |
| Zumba |
23% |
20% |
| Boot camp |
21% |
17% |
| Spinning |
19% |
11% |
| Junior programs |
18% |
13% |
| Step |
16% |
13% |
| Bar method |
15% |
7% |
RECENT FACILITY PROJECTS
Last 10 Years: Just over 71 percent have completed a substantial project within the last 10 years. The average overall program cost was just under $6.7 million.
Improvements Included: The list shows the most selected improvements:
| Aspect |
2016 Pulse |
2013 Pulse |
| Casual dining |
42% |
38% |
| Casual bar |
41% |
42% |
| Interior décor |
41% |
49% |
| Kitchen(s) |
27% |
31% |
| Locker rooms |
26% |
24% |
| Family dining |
26% |
25% |
| Infrastructure |
25% |
26% |
| Fitness facilities |
22% |
18% |
| Party space |
21% |
24% |
| Upscale dining |
21% |
25% |
Funding the Project: The most popular funding methods to pay for the capital improvement project include:
· Used existing cash-on-hand (40%)
· Increased monthly dues (21%)
· Non-refundable assessment (17%)
Impact on Membership: The charts below [CV1] show the effect on membership after a club’s facility project was approved, and after the project was completed:
Dining Impact: Clubs also experienced a positive impact on dining usage after their project was complete with 81 percent seeing an increase in usage.
Club Trends Fall 2016