TARGET

BUYING INCENTIVE GYM

Pranay Jindal PGP-11-048 Rupalika Goyel PGP-11-152 Abhineet Rawat PGP-11-093 Poojan Shah PGP-11-136

Below we have described the process of how we have formulated the Target Buying Incentive for a Gym for two very different segments Students and Housewives.

Methodology
Preparation of a TBI is a step wise process.

What feelings/words do you associate with the activity of "gymming"

Do you have a gym membership? Why / Why not? What were your expectations from a gym? Were they met? Why / Why not?

How was the gym experience overall? Rate the parameters in terms of your satisfaction level (Price, Trainer, Equipment, Hygiene, Location). What is most important for you?

Where are gyms failing these days? What problems do you encounter, and how can they be avoided? What features / benefits / services / additional offerings will enhance your gym experience?

Current user perception

Current offering status

Current unmet desires

Thus, through a questionnaire format we were able to identify the information and insights required for each stage of our study. We have divided the same as Perception about Gym, Basic features Without which they wont consider a gym, Advanced features Which would enhance gym experience further and Other key insights which tells us about some different and interesting viewpoints of the TG, not necessarily in line with the majority, ending with the final TBI Target Buying Incentive for that group. For housewives and students both, we conducted a total of 35 interviews, details of which are given paragraph wise below.

For Housewives
About TG
To understand the psyche of housewives, we have to look at their routine schedule. They get up in the morning early to prepare tiffin for their children, and breakfast for the family. After their morning

duties, they get busy with their daily chores which keep them more or less busy till the time the child comes back. Thereafter they get busy with feeding him, and cooking lunch on the side. In the evening, they go to the market for shopping or other small works such as a visit to the tailors, chemist or the neighbourhood grocery. By the time they are back, their husband has returned, and they get busy with dinner and winding up the kitchen for the day. Thus, time and schedule is of prime importance. This is only demonstrative of how busy a housewife is. In the early afternoon or early evening she does get time to herself to pursue a hobby or read some newspapers / magazines. But generally they are overladen with family responsibilities, & want to go that extra mile to keep the husband and kids happy. Other characteristics about housewives: They prefer natural health solutions (walks, aerobics, diet control etc.) Like to be given extra attention, like to be explained (emotional satisfaction) Tend to socialize, be amongst company of other housewives. Not aware of modern health techniques, as neither are they very tech savvy nor are they much interested. Not very price sensitive as a category. Convenience is important. Hence, they look for solutions in the close proximity of their house.

Perception about Gym

They associate the idea of Weight reduction and Looking good to the gym, rather than the idea of Fitness and Activeness. Therefore the housewives that are in good shape already feel that a Gym is not a necessary activity for them, as they are already having a perfectly balanced body. Also, even the ones who feel that a gym can be a solution do not look at it as a long term solution, but rather a transient solution.

Basic features These are must

These are features without which a housewife would not even consider a gym for membership. They are in general descending order of importance. 1) Guidance (Exercises + Motivational) Owing to their lack of knowledge and general work-shy nature, they are not even going to consider a gym unless it has an excellent trainer who can not only give them technical guidance regarding machines and exercises, but also inspire and motivate them to keep coming regularly, keep completing the exercises, adhering to the health plan etc. 2) Hygiene A very important aspect and a key determiner of a bad gym from a good gym. 3) Timings Owing to their schedule as described above, they would prefer a gym that operates at a time that is convenient for them. For this they are even ready to pay a price premium. 4) Location Must be close to their house. Some of them were found saying I would never get into a car and go to a gym 5) Company They would generally join a gym with a friend, and go along with her so that they have company. Thus incase they have not found anyone to go alongwith, in general they would not join.

Advanced features I wish these were there

These are the extra features that a housewife would want to be given the option of choosing from. 1) Gym orientation upon joining Owing to their lack of education of the various options available to them in terms of the machines and exercises, they would prefer a gym orientation upon joining. 2) Customized health consultant solutions They would want to be advised on their overall health plan, which includes food, sleep, lifestyle and exercises. Thus a comprehensive customized health plan if offered at a gym would incentivize housewives to join that gym. 3) Tangible results They would want to see a certain no. of kgs reduced, or inches of the waist trimmed, after a stipulated period of time, and then have a person followup with them with monthly measurements to not only show them the progress, but also motivate them to keep coming till the target was achieved. 4) Group schemes If there is a discount scheme that can be availed if I enroll my friend along with me, or if I am a group of housewives, then that would be an attractive proposition for them to join. 5) Additional services Owing to their non-exercising nature, they would look at ways of how to make their regime interesting and entertaining to sustain their interest. Thus monthly dance classes, Aerobics and other energetic and fun forms of exercise should be encouraged. This would not only introduce a factor of merriment, but also awaken their latent interest towards the gym as a whole. 6) More showers They would want more no. of showers as they take longer to bathe.

Key interesting insights

We have extracted few characteristic snippets of conversation with the TG in this section. These may not be in line with the majority, but are still useful for understanding their varying perspectives to design the communication for a niche segment. I joined the gym because by boyfriend was going there Need for company I do not go to the gym because I hate the sight of fat people, and people in the gym are generally fat Conscious of surroundings and people. A gym should train the person to take care of himself healthwise - Prefer natural ways. Once I went to the gym where the trainer was fat Look for motivation from trainer I need more showers in the gym as girls take longer to bathe Female specific

Thus our TBI for this segment is:

I will go to a gym that is at a convenient location and provides long term and customized health solutions, at a timing of my convenience, in a hygienic environment more than any other gym.

For Students
About TG
Students by nature are price sensitive, as they are not earning, but rather getting monthly / annual cash allowance out of which they need to manage their spending. Also, another face observed is that they will generally wait till the point they are completely Out of shape before they start considering the need for a health solution. There is a certain degree of camaraderie observed amongst students. Staying in hostels usually, they are used to collaborating for the daily activities such as dinners, study sessions and other spontaneous outdoor plans. This partnership is more than just a friendship it helps them motivate each other, support each other, and sometimes collaborate in terms of logistics or spending. While choosing between options, generally they remain very utility focused a general no frills attitude. The thought of frills augments the feeling that there is an extra amount being taken from us for the same service. Another valuable insight regarding this TG was that they have an affinity for control and ownership. Hence, any dependency on anyone, they would want to learn the skill themselves so as to be able to function independently.

Perception about Gym

The general perception amongst the TG was that gym is a dispensable activity it can be easily replaced by jogging, cycling and sports, as was the case observed in many interviews. It is not really associated with the wholesome concept of health and fitness. They also felt that the concept of gym has become commoditized, being only a resource used for achieving a health target. Thus there was no differentiation perceivable in their mind regarding the various gym services available. Hence we had to really press them to innumerate advanced features that they would want in a gym service, as they are completely alien to the concept of gym providing any additional value other than that usually provided. Alternatively, there was a different school of thought for regular gym goers. Gym was a source of energy, strength and positivity for them. But they felt the gym instructor is only necessary for the first few months, and afterwards a simple presence only for off and on support would be sufficient.

Basic features These are must

These are features without which a student would not even consider a gym for membership. They are in general descending order of importance. 1) Location For the student, its all about the convenience, given his unwillingness to gym in the first place.

2) Timings This is particularly important given the unpredictable schedules of students, especially for those in MBA colleges. 3) Price As mentioned, students are price sensitive. No matter how good the gym is, if they simply cant afford it, they cant join. 4) Equipment Students want to know that their gym has the equipment necessary for a good holistic gym. Functionality is the key here. 5) Trainer The trainer becomes important in the first few months of the student joining. He would not only look for knowledge and motivation from a gym instructor, but also the student would judge the level of experience of the instructor, whether he has had any formal training and even the physique of the instructor! Thus, an instructor can potentially inspire the student to continue with a gym at the onset of joining. 6) Hygiene We felt this trend strongly especially amongst female students.

Advanced features I wish these were there

These are the extra features that a student would want to be given the option of choosing from. 1) Density of people and overall ambience Students would ideally want a gym that is spacious, not too crowded, with a good equipment to people ratio. The quality of the gentry is also important for students as well as the general ambience (Music and lighting would play an important role here). 2) Customised health consultation Similar to housewives, some students wished for a diet plan and specific exercise regime as per their body type to be detailed, monitored and updated for them. 3) Discounts for students Student discounts would be a great motivating factor. Also achievement related discounts would be a great benefit - If I lose 10 kgs in 6 months, then for the next 6 months I get a 10% discount. In line with price sensitivity and lackadaisical nature of TG. 4) Per day / Per week plans Owing to time constraints, per day or week plans would mean more number of students willing to commit. 5) High utility leaner packages Unlike housewives, students would like to avail ONLY of the gym services, in line with their general no-frills attitude. This would help them get the best priced package which is suited to their needs. 6) Gym Caf Students would want a caf outside the gym to provide foods of the diet that the trainer has recommended. Eg: Protein shakes. This can also become an additional socializing hot spot, which the students would be interested in.

Key interesting insights

We have extracted few characteristic snippets of conversation with the TG in this section. These may not be in line with the majority, but are still useful for understanding their varying perspectives to design the communication for a niche segment.

Im not a big fan of A/C gyms. Fans and good circulation would be better No-frills attitude The day I do not go to the gym, I feel really low Regular passionate gym goer The need to go to the gym is overhyped Gym becoming unfashionable I would prefer yoga over gymming as it takes care of Internal health as well Externality attached to a gym

Thus our TBI for this segment is:

I will go to a gym that is spacious, closeby, well equipped and provides me with a great ambience to workout at a better price than any other gym.