96. The Cost of Chasing Cheap

In Issue #22 of Coffee With Cody, I told you about the opening of Warehouse Gym Co. Well, a lot has happened since then, and much of it plays nicely into what I’d like you to consider today.

If you were here 74 weeks ago, you might recall that I gave an overview of our services. I told you that we were offering personal training, small group training, ICBC active rehab and circuit classes.

If you were to ask me today what we do, I’d tell you just one thing.

Personal training.

Now let me tell you why the change.

Firstly, if you’re unaware, personal training is a premium service unlike a typical gym membership. It’s not cheap. It’s one on one high level coaching entirely geared toward each individual client. What was a cheaper option was small group training.

Interestingly enough, the small group training page on our website had the vast majority of viewership from anyone who stumbled into us on Google. As a result, I had a disproportionate number of conversations and consultations with people interested in small group training versus anything else we were doing. I say disproportionate, because our primary revenue driver was always meant to be one on one personal training.

It seemed that people were picking up on the fact that personal training might be beyond their budget, but perhaps small group training, a discount service, could fit into their ideal investment.

So we nixed the service.

It became clear that people wanted to take advantage of as much of our service as possible without being fully invested into it. They wanted the benefit of private coaching without the price tag. Well, from a business standpoint, that doesn’t work.

Those who wanted the world without the price tag wasted plenty of my time in those early days. It felt like I was pulling teeth telling people why they should buy something I didn’t care if they did or not.

This resulted in us attracting the wrong customer.

Our ideal customer is looking for exactly what we have, and when we said we had an array of options, we attracted an array of customers. Once we stopped that and simply said we offer one thing, the right people started finding us more often.

The consultations became easier, and I no longer had to sell anyone on anything. All I had to do was verify to the customer that what we said we do is actually what we do. They were sold before they walked through the door. This became even easier when we put the prices for personal training on our website.

Anyone coming through the door is prepared to make a premium investment for a premium service. Those looking for something cheap don’t show up because they know they’re looking in the wrong place.

Now let’s talk about where you’re looking for your own investments.

I know you want the best bang for your buck, but let’s be real. The best option won’t be the cheapest, so let’s stop trying to convince ourselves that it is.

If you want something of high value, eliminate the discount options.

The best sandwiches in town aren’t the cheapest ones. The nicest houses on the block aren’t the ones sitting on the market. The most results in the gym aren’t from group training.

It’s more expensive to eat high quality food, get high quality service and live in high quality neighborhoods. Is that the way it should be? I don’t know, but like Morgan Housel frequently says in “Same as Ever”, “it always has been, and it always will be”.

So what then?

Firstly, get clear on your values. If you don’t know what you value, the price you pay for the things you do won’t make any sense. Try having a look at your credit card statements to see if what’s in there reflects what you value. Specifically look at your bigger purchases. How do you feel about making those investments? Rather, how do you feel about the return you’re getting from them?

I know the sting of purchasing all too well, but sometimes progress towards your potential stings. Some of our most loyal clients pay for their personal training by working extra shifts or staying overtime. That can be tough, but they value the investment they’re making into their health and fitness, which makes the sting worth it.

That’s the thing. It’s up to you to determine what’s worth it to you. If something is worth it, don’t hesitate to trade value for value. That, and don’t forget that the best things in life aren’t supposed to come easy.

It’s not easy for someone to step into a stronger, fitter identity. It takes work, pain and commitment to a new set of values. Those people I sat with who wanted to change their lives for $30/week won’t be successful until they’re ready to pay the actual price, and the price doesn’t have to mean personal training.

Money is just one form of currency that can be exchanged for a more valuable life. A half hearted investment can only lead to a half hearted return.

A lack of investment into your marriage will lead to a lousy marriage. Neglecting to invest into your sleep schedule will result in lost opportunities. Without putting effort into what we value, even if we don’t have it yet, we cannot make progress.

If you value being cheap financially, so be it. There are plenty of people leading great, meaningful lives who refuse to spend money. But even if that’s the case, you can’t be cheap across the board and expect a rich life, money aside.

There is a price to pay to become who you were meant to be. If you feel like you’ll never get there, maybe it’s time to stop looking for the discount options.

— Cody

PS: We do, in fact, still offer one group circuit class per week at Warehouse Gym Co. We also now offer nutrition coaching. However, these are additional options to those looking for personal training. If you’re looking for group classes or online coaching, we’re not the gym for you. We help people step into a new identity—strong, committed, and living fit for life. We do that with private personal training.

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See you next Thursday.

Interested in chatting in person over a couple steaming cups? Send me a text!