Schedulous Glossary
Member Retention Rate
The percentage of members who remain active over a given period.
Definition
The percentage of members who remain active over a given period.
Why It Matters
Retention rate is the inverse of churn, but framing it positively changes how you think about your business. A 95% monthly retention rate sounds strong. But compounded over a year, that means you keep only about 54% of your members. The math is humbling.
Retention is where long-term gym profitability lives. Acquiring a new member costs 5-10x more than keeping an existing one. Every percentage point of improvement in retention flows almost directly to your bottom line because those members are already acquired and onboarded.
The most actionable way to improve retention is to identify at-risk members before they cancel. Members who stop attending, reduce their visit frequency, or miss payments are sending signals. Gyms that act on those signals early can save memberships that would otherwise quietly disappear.
Formula
(Members at End of Period - New Members) / Members at Start of Period x 100
Industry Benchmark
Top-performing gyms retain 80%+ of members annually. The industry average hovers closer to 60-70%.
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Related Terms
Failed Payment Rate
The percentage of recurring membership payments that fail to process in a billing cycle.
Learn moreMember Lifetime Value (LTV)
The total revenue a single member generates over the entire duration of their membership.
Learn moreAt-Risk Members
Members showing behavioral signals that they may cancel soon, such as declining attendance or missed payments.
Learn moreMonthly Churn Rate
The percentage of members who cancel their membership in a given month.
Learn more