1. Diploma presentation “Improvement of pricing policy”
Written by
Sidlyk Dmytro Oleksandrovich
Scientific supervisor: Garmider L. D.

2. The purpose of the diploma research is to examine the system of pricing and how these pricing strategies are applied in the fitness center “Energy Fit”.
According to the purpose, the following tasks were set in the diploma project:
To define methodological aspects of pricing and pricing strategies;
To find the most appropriate strategies for different market segments;
To study the existent pricing strategy at the enterprise;
To analyze the current pricing policy of the fitness center “Energy Fit”;
To find new ways for pricing policy improvement;
To develop new pricing policy for entering the new price segments.

3. General theoretic aspects

4. The main types of pricing strategy based on product characteristics
New goods
Cream compilation
Posh prices
Following market leader
Entering the market
Costs recovery
Modernized goods
Variable decreasing prices
Strategy for individual segments
Saving price level with increasing consumer properties of goods
Linked pricing
Goods that sales as a traditional
Flexible pricing
The strategy of lowering prices for complementary goods
Long prices strategy

5. Economical activity of fitness center “Energy Fit”

6. Fitness center structure
Teaching staff
Administration
Service staff
Technical staff
Educational work with clients
Householding
Providing throughput abilities of fitness club
Care about building, equipment, trainers
The development of new effective programs
Managment
Information coordination
Fixing
Implementation of pedagogical control
Marketing
Tools for quality of service
Technical care

7. Market shares on fitness in Dnipropetrovsk

8. SWOT analysis Strengths Weaknesses Opportunities Threats
A lot of space
Modern equipment
Ability to do martial arts
Parking zone
Affordable prices
Fitness experience
High quality service
Weaknesses
Rooms does not meet fitness center standarts
Expensive rent
Strong competitors
Weak creativity
Not first lessons for free
Opportunities
Attraction of additional equipment for advanced features
Esthetical creation
Involvement of fitness experts
Increasing professional level of staff
Creation of new srvices according to customer requests
Entering new market segments
Threats
Losing clients because of competitors
Increasing rent
Loss of population interest in sports
Seasonality of demand
Losing regular clients
Decreasing of peoples ability to pay
Changing needs and demands of buyers in the market

9. Energy Fit gym prices in comparison to other fitness centers in Novomoskovsk

10. 20% price increase

11. Seasonal and daily dynamics of the demand for fitness services

12. CrossFit equipment Total Investments: $817 (9 793 UAH.)
Producer
Name
Price
Roguefitness.
(USA)
Rogue Power Bar
$275.00
Rogue S-25 Fat Boy Sled
$115.00
Dynamax Hoover Medicine Balls - 10"
$42.00
Rogue Training LB Bumper Plates
$126.90
Rogue "Kilo" Bells - American Made
$40.95
Knotted Climbing Rope
$133.05
Rogue Wood Plyoboxes
$65.25
Rogue Gymnastic Wood Rings
$60.00
Total Investments: $817 (9 793 UAH.)
Value of potential clients: 30
Price: 400 UAH per month
Income: 12 000 UAH per month

13. Price calculation for entering to new segment (Costs recovery)
Average client pays: 300 UAH per month
The total value of all costs for service: UAH per year
Average visiting: 500 people a day
Murk-up: 30%
Accordingly, the annual cost of cards per person: /500 = 600 UAH.
The minimum annual cost of the card: 600 * 1.3 = 780 UAH.

14. Thanks for your attention have a nice day