How do I calculate the member retention rate of a fitness gym?

Q&A • Retention

How do I calculate the member retention rate of a fitness gym?

The retention rate shows what share of the members who were due to renew actually stayed. The formula is simple, but 4gym does not compute it: it has no retention or churn analytics. You count it yourself, from the memberships list.

Short answer

  1. The formula is: members renewed in the period divided by members whose membership ended in the period, times 100.
  2. Pick a period, for instance one month, and count the memberships that end in it, from the memberships list.
  3. Count how many of those memberships were renewed, meaning the same member has a new membership starting after them.
  4. Divide the second number by the first and multiply by 100: the result is the retention rate of the period.
  5. 4gym does not calculate retention or churn and does no cohort analysis: you obtain the figures by hand and keep them yourself.

A manually calculated example

March retention, calculated from the memberships list

StepWhat you do in 4gymValue
1. Memberships ending in MarchYou go through the memberships list by end date80
2. Of those, renewedYou check whether the member has a new membership starting after the end56
3. Retention rate56 divided by 80, times 10070%

What data 4gym gives you

  • The overview shows members, active memberships and those ending within the next 7 days.
  • The memberships list shows each member's plan, start and end date and status.
  • A renewal creates a new membership from the same plan and the old one stays in history, so you can count them apart.
  • The date-range report, available on plans with advanced reporting, shows memberships started in the range, not the renewal rate.

Common mistakes

  • Dividing by all active members, not by those whose membership ended in the period, and getting an overly optimistic rate.
  • Counting as renewed a new membership of another member, or one started long after the end, with no clear rule.
  • Comparing different months without allowing for the season: January and July are not directly comparable.

How 4gym helps

  • The base data is in one place: memberships, end dates, statuses and renewals linked to the source membership.
  • The expiring-memberships counter shows you 7 days ahead whom to talk to.
  • History is kept on renewal and cancellation, so you can redo the calculation at any time.