This week, on the Fitness + Technology podcast, host Bryan O'Rourke welcomes longtime friend Rick Mayo, founder and CEO of Alloy Personal Training Center. Initially started in 1992, Rick created Alloy in 2010, a consulting and licensing company as a platform for the Alloy personal training systems, with over 1000 clubs licensed worldwide. Rick shares his thoughts on how to effectively implement technology in the fitness realm, as well as the launch of Alloy's new franchise model. Listeners will appreciate Rick's whip-smart sense of humor and he and Bryan's rapport as they discuss the state of the industry today.
One Powerful Quote:
6:00: “In this day and age, you can't ignore [tech]. It's the big disruptor for everyone. You can say what you want about it, but if you talk negatively about it, it's just because you're scared of it.”
4-10 Bullet Points (w/timestamps) - Highlighting key topics discussed:
3:10: Rick shares his journey, from working as a personal trainer to pay his way through college, to growth in the 90s to his current status as an icon in the fitness industry.
5:59: Rick shares how he has used tech to grow and advance his business over the years and how tech can be a vehicle to enhance human-centric activities like coaching.
8:50: Sticking with the theme of tech, Bryan asks Rick why some people seem to get lost when it comes to technology implementation, and how do to so effectively. Rick says most people see it as a way to leverage time and effort, but stresses how it can't be used as a way to replace human beings but a way to scale or enhance services, not an end in and of itself.
17:15: Rick discusses his company's plans to launch as a franchise, how he came to that decision and how it will benefit both the brand and consumers.
19:15 Rick offers some pearls of wisdom for his listeners from his 30+ years in the industry, including the importance of trust.
List of Resources:
http://www.alloypersonaltrainingcenter.com/
https://www.facebook.com/AlloyPersonalTrainingCenter/
https://www.youtube.com/channel/UCj2LnSyAUT8F9GPoXrCB8Pg
Guest Contact Information:
https://www.linkedin.com/in/teamalloy/
https://twitter.com/CoachRMayo
https://www.bryankorourke.com/
https://www.linkedin.com/in/bryankorourke/
http://www.fittechcouncil.org/
https://www.youtube.com/user/bko61163
Podcast:
Host: Welcome to the Fitness Plus Technology podcast for club owners, operators, and fitness professionals. Each week, Host Bryan O'Rourke brings you an expert interview with a global influencer at the crossroads of fitness and technology. You gain the insights, tools, and inspiration you need to stay connected to the pulse for what matters most for your business in the age of exponential technologies.
Bryan: Hello listeners and welcome to the podcast. I'm your host, Bryan O'Rourke. Thanks for joining us. It's getting hot middle of the summer here in the s.tates for international listeners. Those down under a particular, I hope you're enjoying the cooler weather. Today, we have a fantastic guest, a long time friend and colleague, Rick Mayo, for those who might know Rick, well, then, you know what a terrific and enjoyable person he is to visit with and to listen to as he does speeches all over the world. He has grown with his team, the Alloy personal training, royalty model, license model across the world. He's a leader that has been recognized recently. I think this year by the Association of Fitness Studios where they gave him you know, their big annual award which was fantastic. He works with the NFBA, Perform Better, a lot of different organizations and we're going to talk about tech in his business model, what he's done as well as explore his new franchise launch. They're going to launch a, a Alloy Personal Training Center franchise concept. So without further ado let's bring Rick on the podcast. Listeners again, you mentioning in the intro, I had the pleasure today to visit who's now on our phone line, Rick Mayo. Rick as I told you, big speaker, a well known around the worlds, done a lot of work with a solution called Alloy and he's going to talk to us a little bit about technology. Rick, how long have you and I known each other now?
Rick Mayo: Oh, it's gotta be, what, 12 years? 10 years, 12 years?
Bryan: I don't know. I don't know. Gosh, I can't believe you still talking to me. It's amazing.
Rick Mayo: You don't often take the same thing, Bryan.
Bryan: You know, Rick, Rick, for those that know Rick, Rick's got a wicked sense of humor, a very unique wicked sense of humor. What was it, a Chuck we, what was the joke that you're talking about Chuck? The famous,
Rick Mayo: I think you introduced me on a plane as Chuck Norris at one point.
Bryan: Chuck Norris. Yes. That's, that's another inside joke. Rick, you have under Alloy's brand. You, why don't you explain to the listeners a little bit about your background and how you got in the business and if they don't know Alloy we can talk about that. Tell us about that.
Rick Mayo: Yeah, sure. So honestly with, it's just a, I was paying my way through college as a personal trainer you know, sort of hopping around and, and training clients at different locations. This when I was a junior in college and thought, you know, it'd be really neat if I didn't have to drive all over town to train these folks and if I could sort of bring them into one location and create an experience around personal training. And of course in the 90s, you know, there was really no worldwide web as they say. So I can, I can lay claim to at least being the first in Atlanta to open a personal training only facility. And you know, when we opened in 92 we grew pretty well til about 98. We were doing about half a million bucks a year, which does attract numbers. I'll know a lot of you do. That's a lot of revenue out of a small space. Uhad a bit of a hiccup in 99 and then that forced us to take a step back and build some pricing layers and systems around our training and our business functions and then that led to a lot of consulting because we landed on a pretty neat, unique model. And then that eventually led to a licensing model, which is sort of a franchise light. And,uyou know, we've been, we've had the privilege to power lots of, lots of big brands in the industry and lots of independence as well. Probably licensed over 2000 clubs since we started this,uworldwide. So it's been a lot of fun to see something that I essentially started as a mom and pop gym. I mean literal mom and pop gym, you know, it turned into something that we've been able to help,ugym owners and their end users worldwide. It's been a fun ride.
Bryan: Yeah. A lot of our colleagues that we know in the industry use your services and yeah, they're delighted with it. And of course you got an award this year with AFS recognition and you've been, you've been able to speak all over the world, ride your motorcycle all over the world. What were you in New Zealand earlier this year, right?
Rick Mayo: Yeah, I was, I was ever there to launch what we do for Anytime Fitness for their New Zealand market. And then if you're going to go that far away, you might as well have some fun. So spent three weeks or so riding my motorcycle around South Island, New Zealand and it was a, it was a bucket list trip and it was a great excuse to be over there. So I enjoyed the work and enjoyed the motorcycle trip even more.
Bryan: Yeah, like following those pictures of you posting all that. So with respect to this, so being that you've been in the business for a long time, you've seen personal training kind of go through changes, right? I mean that's, it's almost 30 years, right? God, you look too young to have had been that long. Were you 10 when you started your business?
Rick Mayo: Feels like it.
Bryan: But you've seen you, so technology of course we talk a lot about, a lot about technology on this podcast and I know you and I talked in the past about tech and you, you had done some things with tech, with the Alloy licensed model and in your model. Tell us about that. Like what, what have you learned on implementing technology into your business and what are your thoughts on it?
Rick Mayo: Yeah, that's great question. You know, I think this day and age you can't ignore this, the big disruptor for everyone. So you can say what you want about and I think if you talk negatively about it just because you're just scared of it right now. I've certainly been in that situation, but you can't ignore it these days. Everybody gets that at this point. So for us you know, in a coaching model, engagement and human interaction is the most important thing and you don't, those don't really sound like things that would be tech-driven. But when you really start to look at technology and if you look at it through the right lens, the right type of technology can actually drive better customer experience and better human engagement. And quite honestly, and I, Bryan, you probably agree with me, if you're not using it for that, you probably shouldn't be using it, right? I mean, that's the differentiator, right? If you try to lean too hard towards tech and AI and there's no human interaction around it, it kind of falls short. And we've seen that happen with maybe some online platforms or even some wearables in some, some instances, right? How do you, how do you leverage that technology and that data and do it in a meaningful way that drives more human interactions, right? Or at least accountability or coaching interaction. Certainly through the lens of our model. And, and we've been able to do that just, you know, in an app situation where we can hold clients accountable, you can drive workouts for them. So can imagine their training at an Alloy facility and they are going to snowbird for the summer. They're going to leave the Northeast and go down to Florida for a couple of months. You know, your customers are and you say, listen, you know, I'm still your coach. You know, I still want to hold you accountable so I'm going to drive these workouts to you and you're going to record them in this app and I'm going to hold you accountable to those. Well, difference between that and just downloaded a free workout app is that there's a human being behind that who's waiting to see whether or not you execute these workouts. That's the most powerful thing about it. And the tech is just a vehicle, right? But the real key is the accountability from another human being. And so that's just one way that we've used technology, certainly in the coaching model that's been really impactful for us.
Bryan: Yeah. I remember when you were going through the process. Would you say, because you know, in talking with a lot of brands that we advise and some of the businesses we own you know, it's easy to get lost I think sometimes with the shiny new thing. I wrote an article recently about GymKit as an example and the low adoption of that or, or, you know, cause it sounds cool. I think it's, it's really challenging for operators to keep those things in mind that you just mentioned and not get lost. You know, it's you have to kind of understand what you're trying to get as a real outcome and if you just do things to do them without really having that context, that's where I think a lot of people miss the boat. So how are you able to keep that in mind? What you know, you work with a lot of other clubs and brands and why do some people get lost with that, do you think?
Rick Mayo: Well, I think, you know, a lot of people look at technology through the lens of like leveraging time and effort, right? Like if I, if I can implement the sort of automated text messages or followup systems or you know, whatever that may be, that these things will then take the place of this human interaction. And that's not the case. So if you're looking at it to sort of bring your workload down you know, in a literal sense or to take the place of human interaction, you're probably looking at it in the wrong way, right? That's, that's not gonna result in what you want because it's not hard for another human being to decipher a real connected message, you know, driven in the right way from one that's not. And maybe we'll get there eventually technologically. But I think a lot of, at least the folks that we interact with, it's like, will this make my life easier? Listen, in some ways, yes, but it can't take the place of you paying attention to your customers and driving the type of engagement that they crave, right? So if you're looking for it to replace human beings, no. Now if you're looking at a technology to help you scale great service, right, and be a multiple of, of your coaching model or, or your customer interaction, then yes. But that still has to be the impetus of why you're, you know, even searching for tech in the first place is to be able to scale the, the real meat, the real good stuff about your business, which is the human interaction.
Bryan: It's trust. As you know, as we were talking, I think a month ago, we talked about the biggest opportunity right now in business in general is trust. It's very hard to earn trust. And that's why you've seen some of these stats. I know even texts, response rates are going down tremendously. The number of robo calls we're getting on our phones all the time. You know all these different things where brands are trying to automate outreach and it's the customer, they can really ferret that out. Like if you're, you know, to your point, you know, doing those things that used to be low hanging fruit, email campaigns, all that kind of stuff, it's, it's just not nearly as effective. So if you don't have the component of human, because it's really ultimately about trust behind what you're doing around and with folks, they're not, they're going to tune you out.
Rick Mayo: Yeah. 100%. I mean, even if you look at maybe one step higher, which is someone who may be marketing technology to a business owner like me, who am I drawn to? People that seemed to speak the truth and they're a little bit raw and it's like they, you know, their messages is heartfelt and I feel like they're really trying to help my business or that they understand me or my customer, right? And that's a hard thing to articulate. But if you knew that, and then use technology to leverage that right, to, to multiply yourself in that way, it's great. But if you lose that in the process, then you might as well not even do it.
Bryan: That's exactly, exactly. Yeah. You're exactly right in, you know, you, one thing that impressed me about your business and you know, as a guy that may be people wouldn't think you're very tech savvy. And I think this further makes your point is when we spoke, spoken about your business metrics you know, what your cost per lead is and you know what your conversion is. And you know, it's, it's, you know, even when you use tech a lot of times, especially in the marketing environment, people are doing things and they don't really even understand the basic business metrics behind those decisions. It's fascinating to me because that's very impressive because can't tell you the number of, of brands and even our own companies where you're trying to get to the end of bottom line and there's so few that really understand those metrics when you're using tech to do things like getting people to come and try your business out.
Rick Mayo: And if you don't, if you don't know your metrics and you're going to like start plugging in these tech widgets, those aren't free by the way, right? Paying for those and those work against, by the way that your marketing budgets. So that also goes into tracking your numbers. So if you implement a auto voicemail system or a followup text automation or something and it takes like human capital time to put it all together, connect all the dots because all of these widgets are trying to speak to each other these days, right? And you put it all together and you don't know your customer acquisition costs or you don't know what your true engagement percentage is. How will you even know if it worked? And now got an expense and more so than an expense, especially in this day and age, you've added complexity to your business, which costs you. I mean that costs you a lot in efficiency, manpower, you know, again, human capital, there's so many things that go into like what seemed like some simple little cool plugins. They're going to make your life easier. You might be spending more money and getting less engagement than you were before.
Bryan: That's right. It's so true. And then the other thing we find very interesting in our own companies and working with other brands as well to that point is you know, the old measure with a micrometer, mark with a paintbrush, and cut with an ax to, you know, you can really get lost in data that without any context whatsoever to your point. Well, you know, we did this, we reached another three people,10 people. What does that mean to our business? Well, it's like, well, yeah, you don't really know. You have to look and learn over time to know. But I think for a lot of folks it's very difficult for them because they have an expectation around this that you know, isn't really based in anything that's sound. So if you, that's one of the advantages of being in a real business like yours, which you've essentially been operating for 20 something years. You have a lot of contexts. So when you're doing these things, you, you know, you know how to think about them. For a lot of folks, that's all brand new and so, you know, they think that somehow they're going to, you know, put a few tech pieces in and pull a switch and all of a sudden there's going to be a line out their door, right?
Rick Mayo: Yep. Exactly. Yeah, that's the funny part. You know, and, and of course I've been in it for a while, so I'm like the old salty guy now and you know, these, these younger guys come into the industry, guys and girls and you know, there is a little bit of that, right? It's like if I just, if I just stream together this suite of automation and marketing products and with the CRM, then it's going to handle all these things and I can just do what I like, which might just be like working in my business or just take time off. It's like, you know, there really does, it's not that simple. It, technology definitely helps you leverage time and it can definitely make you more effective. But you just have to be really careful because it could just create a lot of complexity and move the needle not far if any at all. You really gotta ask why you are doing it and what your, what is the outcome that you're seeking and are you even measuring that before you are running down any of those rabbit holes.
Bryan: Exactly. And continually to tweak and learn, you know, because it's not something you're going to set up and it's just going to go, you've got to constantly be watching what the hell is going on to understand. Because as you know, those algorithms, they're working all the time and changing constantly. And if you're not on top of it...
Rick Mayo: Facebook marketing, it's not, you know, what are you trying to measure? It's like, oh man, look alike campaign. Nope, those are terrible. Nope, they're the best. Yeah. Next week it's this and it's, you know, engagements where it's that it's like, oh my goodness. You know, it's really tough to keep up with that. And I'm not saying that we shouldn't, but when you really dig deep and you talk for some of the guys that are into it, it's like how effective is it really? Or how much is someone just really into it because they really like being into it, right?
Bryan: Right, all true.
Rick Mayo: Hey, check this out. This is the latest thing. Two weeks later, gone. So I think ultimately that's the nature of technology. But if you can take a step back, look at your business from crop duster height and say, okay, look, we know we need to be advertising on Facebook, right? So here's the, here's the key metrics that we're going to measure. And then yeah, we'll, we'll run down these different rabbit holes a little each time to see if we can move the needle. But if you don't know what you're measuring, you don't know why you're doing it, it's going to be really tough. You're just going to be scattershot, you know, pissing in the wind is, we might say, which is might not be good for the podcast.
Bryan: Well, listeners, listeners, you have to excuse, Rick. He's, he's kidding. That's the reason I like talking to you, Rick. When we do get a chance to chat about business context, context, context, context, and patience, one of the two most lacking assets today. If you could bottle context and patience and really sell it over the counter, it'd be pretty expensive juice. So tell me now, let our listeners know because I know you've mentioned this and I know it's coming out. I think you posted something last week. You're going into franchise model, right?
Rick Mayo: I am. Yeah. I think you know, when we look at our trajectory as a licensed company you know, we've been able to help a lot of different brands. Some of them are in a franchise structure. We're really proud of that. And I think what we've seen is that our, our core customer needs a different vehicle, right? To be successful. And we feel like we're going to give them the best chance to be successful if we can put what we do well into a franchise model because then we can help with a lot of the things that we're talking about today. Like, hey, what is the most effective, simple yet suite of technology products that I can put together to help someone, you know, grow their business and sustain their business. In addition to the fact that now we can load the brand itself and a lot of the things that we've done to build brand equity and trust, we can now use and run that flag on the front door. So yeah, it was not an easy decision, but it's the right decision and we're super happy and excited to, to move in this direction.
Bryan: How long did you contemplate that? I mean, when you've been thinking about it for a long time or?
Rick Mayo: Yeah, probably three to four years. You know, we've been licensing essentially a franchise light and it's not like franchising is easier. Certainly not delusional, but in a lot of the challenges around franchise or a licensing were our lack of ability to kind of say, hey, this is probably where you should go with your business and actually be able to help folks implement it, right?
Bryan: Yeah. Well that's awesome. We're going to be watching you closely as you do that. What advice Rick, as we wrap up our chat and thanks again for making time today. What, what advice would you give to a fitness business, entrepreneurs, or people out there today when it comes to, you know, your, your salty old dog. I am too. But you know, too to what to think about today that's important. What, what, what are some pearls of wisdom you might want to want to put forth for the listeners?
Rick Mayo: Yeah, I would say, you mentioned it earlier in this day and age, it's really about trust. You know, there is a lot of brand, fitness brands on the market. There really are. And this is through the, obviously through the consumer's lens. There's a lot of choices out there. I mean I have 50 studios in my competitive radius. That's a 12 minute drive from my place, you know, 50. So how do I stand out? You know, how am I going to be relevant and really, it's just about be being trustworthy and authentic. And then you know, that that's obviously, you have to have that to even survive. And then I think ultimately you really have to know your numbers. You know, when you look at these independent entrepreneurs that are opening these doors, if you're not in a franchise structure of some sort, you're, you've really got to understand, you know, your metrics, how much marketing money that you're going to need to spend, what the lead acquisition costs is going to be. All these things that aren't provided to you. You're going to have to dig deep and figure these things out. So I think gone are the days when a practitioner, you know, can just open a gym because it's their hobby and put it in a, you know, a dirty old warehouse area or start it in their garage and grow it from there. I don't think that that's really an option these days. You're getting a more sophisticated owner into the fitness space. So I'll say if you're gonna go there, then get your ducks in a row financially, understand what you're really doing and what that's going to look like long term.
Bryan: Yeah. And what about differentiation?
Rick Mayo: Yeah, absolutely. I mean, listen I think right now it's hot, you know, obviously HIT training or group training and certainly in the studio model is hot. Every large club got some type of offering for that. How would you differentiate yourself? You know, if you're going to go into that space, I don't know that it would be that easy right now. You know, to, I think to move into an area and say, hey, I have the best workout in town. It's a bit of an empty claim right now, right? I mean, hell, everyone does a pretty decent workout. So what really is your differentiator? Are you, are you tapping into a population that no one else is tapping into? You know. Do you have a technology proposition that's unique and engaging? You know, really think about that because if you just want to be the next guy doing the same thing, there's just a lot of competitors in that space. So...
Bryan: Yeah, Rick, always a pleasure. I'm so glad you were open to making time for our listeners. You know, we have about 8,000 people around the globe that listen to the podcast every week. I'm sure many of them know you. And I just was very, very delighted to be able to spend some time and your pearls of wisdom with the listeners. Thank you so much Rick, for for visiting with us today.
Rick Mayo: You know, Bryan, it's my pleasure and,ulisten, I love the show. Thanks for having me on and hope your listeners get some use from it.
Bryan: Hello listeners, this is Bryan O'Rourke and thanks so much for listening to the Fitness Plus Technology podcast. The podcast is made possible by the Fitness Industry Technology Council, a consortium of global brands working together to enhance the adoption of technologies in the fitness space. Our company, Vedure Ventures, which has invested in VertiMax, Motosumo, Gold's Gym Houston, Texas, and Fitness 24 Seven Thailand. Also underwrites the podcast along with our service companies, Integerus Advisers, Moon Mission Media, and others. Please feel free to share this podcast with your colleagues, and if I can be of any assistance to you, don't hesitate to reach out bryankorourke@gmail.com or find me on any of the major social networks. Have a great day and thanks for listening.