May
26
2016

A Banner Year

By Chris 0

By Joey Wilkes, SEC CrossFit

20160513_113938Some of you may have heard of our Banner Program – and I would like to take the opportunity to explain the details in order to help other CrossFit owners to be able to utilize this outreach to their communities. The Banner Program is simply that – soliciting outside companies to purchase banner space in the box that will provide exposure for them, and add some cash flow for you to bring on more programs/beautification or even hire a new helping hand!

Why you should implement it in your gym today:

– ROI is insanely high. We are looking at $10k profit from about 4 hours of ownership work.

– Potential to gain members from the businesses purchasing banners.

– Assists in legitimizing your business in the eyes of the community.

– Yearly/monthly income that is renewable.

– Able to reinvest the monies into other programs. (For us, we are beautifying our front and launching another program.)

– Creates another paid role. Gotta love it when someone can pay their grocery bill due to something you created!

20160524_171027Now that you’ve been properly motivated, let’s discuss the logistics:

Space and Sizing:

First, it’s best to measure your specific space and determine the feasible amount of banner space available—for us that worked out to roughly 20 banners that were 5 feet by 3 feet. This size was chosen as a standard to ensure all would be visible from every distance within the gym, and that they would all match. It’s important to make sure that there isn’t overcrowding of the banners – you want the space to be clean and organized to please the clients.

Pricing:

We thought best to do yearly pricing as most business owners don’t want to have to worry about a monthly bill. Knowing we had 20 slots for the banners, I thought about what it would be worth for me to have another dude’s name on my wall. I decided that price was $50/month or $600 annually.

However, I also didn’t want to have to pay for the banner myself, so I went and asked around for prices of signage (vinyl)—and was quoted from $40-$110 for 5×3 banners, + additional cost if the images on the banners had to be modified, manipulated or made into a higher resolution. We have a staff member who is great with images so I decided I would charge $110 for the banners plus image modifications.

Overall pricing: $110 + $600 = $710

We show the separate charges when presenting to businesses

(Fun Fact: 20 banners @ $710 = $14,200)

Infrastructure:

I proclaim a new role to two-brain business: Banner Program Manager!

Banner Program Manager — their first job will be to create a matrix of business categories that don’t compete with each other.

Second job? Contact businesses. Get one client from each category—obviously in person is best. This sounds really intimidating, but we sent an email, made a phone call, or spent 10 minutes in person – and out of 14 businesses only one has given us push back (but still didn’t flat out reject the idea). In my opinion, it is best to start with business owners that attend your gym already, and give them preference in banner location. (Or charge more for clock spaces/entrance/exit—whatever!)

Next: Collect payment. Take payment in-full only—you’re going to want to take check/cash here and don’t order the banner unless they’ve paid!

Fantastic four: Follow-up with businesses through the entirety of the process. Keep ‘em happy and let them know that the wheels are-a-turnin’!

Five: Convert, edit, or manage images on each banner to give the professional feel each of them deserve. This means the banner program manager will have to help them get high resolution logos. Additionally you will want them to suggest ideas for effective advertisements. (It’s time well-spent: You win when the businesses win with these banners.)

(Advertisement suggestion: A salon customized their banner advert: “What good is a great body without great hair?”)

Six (Finally!): Order them. Use someone local, use someone not—who cares, its easy—make sure they are full color and have a standard size. You can have them put those cute little rings in the corners for easy hangin’.

20160525_155731Payin’ the new role:

4/9ths isn’t best here in my opinion. We are doing the following:

17% per banner ($600 x .17 = $102) + the difference between banner fee paid and the actual banner cost (for us that’s $70).

Our banner program manager makes $172 per banner with the option to increase pricing.

[Fun fact: $538 profit to you! (For us that’s $10,760). ]

Hang those things:

Use pins. Use rope. Twine, old socks—whatever. [New role suggestion: MacGyver]

Conclusion:

Do it—increases your monthly gross revenue by $1183 and might challenge you to network with new businesses!

“But Joey! I am lazy, introverted, and scared!” That’s fine—we will do it for you! Just contact me directly at joey@seccrossfit.com and I will hook you up!

(Fun fact: we will do this for just half the profit per banner)

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