Do You Discount?

Blue Cross and Blue Shield of Minnesota recently conducted a study that revealed two things: Your facility’s convenience/proximity is important to prospective members, and discount programs fuel memberships.

Check out the article for yourself. It’s OK – I’ll wait. … You’re back? Good. This discount program stuff was news to me, but some facilities are apparently already knee-deep in discounts, like the Southwest Area YMCA, Eagan, Minn. Executive director Gussie Monks says, “We have seen the discount program as a huge incentive driving people to join and work out more, with the support of their jobs.”

The statement is interesting, as is the study, because it doesn’t make much of what is likely a big deal to you: Unless you want to eat the cost yourself, discount programs require the support of a member’s employer.

It sounds like a good deal for the employer. Employees who used a fitness center at least eight times a month for at least nine months throughout the study year were healthier than non-participants. Their claim costs were 17.8 percent lower (after adjusting for health status), emergency room visit rates were 38.7 percent lower and hospital admission rates were 41.4 percent lower.

But, the discount program was also a boon for the facilities. Part of the study involved a survey of Blue Cross’ 4,000-plus employees; 43 percent of responders who said they use the discount program also said they joined a fitness facility because of the discount.

Do you have relationships with local employers to offer discount programs? Has it helped your business? I suspect there is more to this arrangement than meets the eye, but it sure looks good on paper.