Paul Wright: A Top Rate Gym for Everybody

I think the rate at which Paul Wright has grown his members is absolutely phenomenal! To go from just 300 when he opened to over 1800 in just 15 months is great. It sounds like he really did a lot of research on his target market. I found it interesting to hear how the name Gold's gym has not only helped his reputation in the business but also may have hurt the business. The name Gold's gym brings people to think of body builders (as do I) and for him to make it more family oriented has probably contributed to his success. I don't think he should change the name of his business as he suggested he might but their logo of the bodybuilder is what leads people to think of them as a bodybuilder gym. The group exercise classes will probably help in attaining more members from the "un-trained" market he has set his sights on. With his gym being near both U-M and EMU campuses, it was a good idea to offer student discounts as an incentive to join. I only hope I can be as successful in my own business venture as Paul has been! Donna Armstrong

I find the speed of Paul wrights success just great. I believe that it has a lot to do with the fact that you did go with a franchise gym. The name though gave him lots to think about, as it should other inspiring entrepreneurs before deciding to go with a franchised company. The franchise name must be look at as if you have no outside beforehand mind set going into the determine process, take the remarks of others about the franchise name, but leave out any of your own thoughts this will help to see what the image of the franchise is to other people. In doing this you can avoid situations like Paul is now in. Paul has in image preset for is company because of the franchise that he now is trying to fight against to give it the image of a family gym, and not just a power house. If Paul would have gone with another gym franchise he may have already had a family image. I do not think that changing the name would be a god idea. Paul has had a huge climb in new members since he opened and changing names now may come back against him. To try and get more of a family interesting the company he should host open house of the gym, with them targeted to kids. If a company can convince a child that they are what the child needs, they have just gained another source of advertising as it is more then likely that the child with annoy the parents into coming back to the gym. Paul has put a solid base of employees down which will then bring the parents around to join. Paul can also offer discounts on family memberships to bring in more family, also family classes, can help to change his image from the inside out, not the outside in. With these and as always the cheapest way to advertise, word of mouth Paul can change his gold gym from a muscle mans gym, to a family fitness center, well retain the benefits of a franchise. Richard Higgins

Hey Paul, My name is Gary Warren and I am a junior at EMU and I am taking a course this semester in Entrepreneurship and for this class we are required to do a business plan on a company that we want to start. The industry I am doing my business plan on is the fitness industry and doing this project I realized how great of a market it is for people to get into, and has you said in your interview you started Gold Gym from scratch and now you have 1800 members and the industry continues to grow and grow. I can relate to you on the fact that when people do hear of Gold Gym they think of body builders and that might steer them away from joining and when I was deciding my business name I wanted to find something that people could relate to and feel comfortable with. You picked a great area to start Gold Gym because there are two major universities in the area and other small colleges that will give you the opportunity to attract college students which will bring you a lot of customers. I also was very interested when you said that you are trying to target people that do not have regular work out routines because they are greater in number then people who normally workout. It is important to make sure that your gym is catered to all type of people because it will brings more and more clients in and it will make your company grow. It is also very important to have a friendly staff so that your customers can feel comfortable about being at the gym and also if they are trying to become fit. I am really impressed that you do not have machines that people have to wait for it and this is to an advantage to you because customers want a gym that has a lot of different variety. I really enjoyed your interview because it made me think about things that I should consider when trying starting my fitness center. What you are doing at Gold’s Gym is very amazing Paul because you are trying to make the name of your company be more appealing to people and you are ensuring that every customer that comes in does not have to wait for a machine which is impressive. Best Regards Gary Warren EMU Student

Hey Paul. My name is Sean Hoffman. I am a Business Management major at Eastern Michigan University. I am on the Eastern baseball team so I was very attracted to your podcast since I work out so regularly. I will be graduating in April of 2009. I was attracted to your podcast for a number of reasons. First of all, like I listed above, I enjoy working out. I also hope to open up some kind of business of my own some day. I thought that it was very interesting how you expressed how you want your business to have more of a family like atmosphere. When I first heard Gold's Gym was on this web site I immediately thought of a power house gym. I can see how people are intimidated by the name. You mentioned that you are thinking about changing the name on the building. I think that this would be a good idea. You could make the gym more original and it would definitely attract more customers. I think what separates Gold's Gym from it's competitors is it's target market and their caring attitude. Paul wants to attract customers of all demographic backgrounds, not just bodybuilders. Changing the name would help with this but so would using word of mouth advertising. There are so many students from Michigan and Eastern Michigan who would work out and spread the word about Gold's Gym. 1800 people is a lot but like you said, people aren't waiting in lines to use the machines so you could definitely add more memberships. I also think the attitude of Gold Gym's staff will help attract customers. I have worked out at so many places where I don't feel important so I don't ever feel like going back. This is a huge competitive advantage. Watching this interview has definitely increased my knowledge about Gold's Gym. It looks very appealing to me, especially because of the attitude of Paul. Thanks for the info. Sean Hoffman

Dear Paul Wright, I am amazed that your membership grew from 300 to 1800 in just 15 months that is so great. Using a franchise like Gold’s Gym was great idea in addition to your drive and passion to succeed. I would agree with your thought of people thinking that Gold’s Gym is targeted for body builders and heavy weightlifters until listening to your interview I always assumed it wasn’t for the whole family. It is great to hear that you want to include the whole family. I have worked in the recreation industry for the past 8 years and noticed that many of the programs and activity are only targets for specific family members. I love to see the whole family doing activities together like rock climbing, or swimming, very few places offer that. It is interesting to hear that you want to change names, I think it might make a difference and bring in the whole family and the un-trained. Most people living in the Ann Arbor and Ypsilanti probably know where Gold’s Gym is located and changing names may not make a difference people may just assume it will always by Gold’s Gym regardless if the name does change. It is great to know that working out at Gold’s Gym will not have anyone waiting in lines for machines, very few places have enough space for that, in addition to the amount of memberships that have come through the door. I think you are doing a great job. It is hard to find great customer service, it is encouraging to know that your staff is friendly, so few people what to go the extra mile to help make someone’s day better. I thinking having friendly staff can contribute to the number membership that come through the door. No would return if the staff treat them badly. Thank you for all that you do to accommodate to students, college is not cheap and knowing students can work out and stay health without draining their bank accounts. Sincerely, M. Hogan Eastern Michigan University Student

Hello Paul my name is Megan Langton and I am a senior at Eastern Michigan University. I am currently taking Intro to Entrepreneurship and am interested in starting my own health facility. After watching your video I am happy that you have been trying to target the untrained population. Michigan hasn’t been known as the fittest state in America and I’m glad that you are trying to change this image. I’ve been to a couple of different gyms and have noticed that you always see the same people working out. It’s interesting to see that you are trying to change this by offering different types of classes and equipment. When I first think of Gold’s Gym the body building image comes to mind, but after watching your video I have a different opinion. I think it takes a creative mind like yours to try to appeal to a wide variety of people. By offering these classes and services that other gyms don’t you will most likely see a rise in gym memberships. Another thing that stood out was that you were putting in a basketball court and a pool. I think those are really good ideas that offer people alternatives to cardio and weight lifting, which would draw in more customers. Another business idea that I thought you really grasped was the fact that you are drawing in customers for other businesses. I know that when I go work out I want it to be convenient for me. So if I can go work out, tan and then do some grocery shopping all in one place I’ll be there. Another perspective that you touched on was location. I’m from the country and it takes at least 15 to 20 minutes to get anywhere and with today’s gas prices location is key. That just strengthens your point that if you find a key location that is located by other facilities people are most opt to use your gym.