Raising the Bar Issue 8 - Page 13

AI ( artificial intelligence ) is everywhere ; from suggesting what we might listen to ( Spotify ) and watch ( Netflix ), to providing navigation guidance ( Waze ) and diagnosing medical problems ( Health Tensor ). Effectively , it is a prediction machine , taking what we have ( data ) and filling the gaps we don ’ t ( knowledge ).

Based on what they ’ ve listened to , I predict they will like …
Let ’ s bring this to life with some examples .
One UK operator – aware their ability to predict long-term retention was no better than a coin-toss – provided data for the previous two years and held back the current year . The challenge was to identify which members would still be with them in six months ’ time , which we predicted with 82 per cent accuracy , straight out of the gate ( with even higher accuracy later , as AI continued to learn ).
IAN MULLANE
Ian is the Chairmain and Chief Executive Officer of Keepme , an artificial intelligence-powered revenue accelaration platform . To learn more visit www . keepme . ai
unlikely to want anything but a single session , so don ’ t scare her off with a fivepack offer . Bank the one-session sale .
Based on my understanding of the road system and reported traffic conditions , I predict an ETA of …
So , where could AI add value to your gym business ? At the risk of sounding simplistic , the answer is ‘ everywhere ’.
Look at all the business metrics you work with , most of which report on the past . Now ask yourself : “ What could I do with this insight if it were predicting forward ?”
How valuable would it be if , for example , you knew which members would leave you in six months ? What changes might you implement in your retention strategies ?
If you could send a commercial offer to a member , knowing it was highly likely to be of interest , how might that impact your bottom line ?
What about if you could predict ( with 90 per cent accuracy ) your sales figures for the next six months ; if you knew which lead would convert and which would not ; or if you knew which sales channels would decrease in performance next quarter ?
By asking yourself these questions , and others like them , you ’ ll immediately appreciate how the transparency AI provides allows you to take consistent , positive action .
What a tremendous platform to confidently target those at risk – including those who didn ’ t know they were yet ! – in a timeframe where the outcome could still be changed ! And how about class scheduling ? AI can take all the variables , work through millions of scenarios and create an optimised timetable for maximum member satisfaction – even telling you the expected retention improvement for each variation , and which members may be unhappy so you can pre-empt .
One more example : non-dues spend . Say you offer PT as individual sessions , or in packs of five or 10 . Your AI first identifies those who will purchase , then segments further – around your specific packs – to ensure no revenue is left on the table . Andrew would buy a five-pack , but he ’ s just as likely to purchase a 10-pack , so serve him that offer . Cathy is highly
The potential is massive : one customer grew non-dues revenue by 43 per cent in six months . Other AI-driven achievements include :
• A one-year average increase in length of membership in just 18 months .
• 8 per cent increase in lead conversion in three weeks .
• 35 per cent increase in non-dues spend .
• 21 per cent rise in referrals .
As Troy Morgan , Managing Director of Willows Health & Lifestyle Centre in Queensland , says : “ Quite simply , AI is the future . We have high expectations for everything we do now .”
If you ’ re interested in implementing AI in your business , the white paper – Everything You Need to Know About Data & AI – offers further advice . Register here for your free copy . ®

What if you could predict ( with 90 per cent accuracy ) your sales figures for the next six months ; if you knew which lead would convert ; or if you knew which sales channels would decrease in performance ...?

ISSUE 8 / RAISING THE BAR 13