They took over a yoga studio with 35 members, in a year got that to 300 then added another 100 online members during COVID. Increased prices, offered Pilates, improved the value to members and doubled recurring revenue to $360k (Kate Cashman)

Aug 16, 2020

In this episode, I interview Kate Cashman, the co-founder of Mana Movement Studio in Hobart, Tasmania. In early 2019, they took over the lease of one of the oldest yoga studios in Tasmania, increased prices, added Pilates, and pivoted to a membership model. They took it from 35 members to 300 in just over a year and another 100 online when Covid-19 hit, boosting recurring sales, and almost doubling the $360,000 per annum. They researched the customer base and asked them what they wanted before changing the business. 

The Founders invested heavily in systems and procedures, professional development, mentors, and coaches. Kate felt they had succeeded when the old customers felt the new business was totally different, and believes the hardest thing in growing a small business is separating business from wanting to be friends with customers and staff, and managing customer expectations. The advice she would give herself on day one of starting in business is, “You should expect roadblocks” It’s going to be a fun and inspirational episode, so don’t miss out.

This Cast Covers:

• Starting and running the very first heated yoga studio in Tasmania.
• What yoga and Pilates should be all about and the impact they have on people’s health and wellness.
• Exploiting the true power of personal development through yoga.
• Achieving phenomenal growth by shifting from quick sales to a more profitable and scalable business model.
• Honoring new members and their existing community with a one of a kind flash sale.
• Gaining 100 new members during the pandemic because of their efforts in going online.
• Creating a uniqueness in your business by setting up core values and cultures that differentiate you from the competition.
• Developing a team that brings different values, strengths, perspectives, and skills to the business in order to create sustainability.
• Putting up structures, procedures, and processes that help you understand what your customers' needs and wants are.
• The importance of encouraging and rewarding word of mouth marketing from your customer networks.
• Reinvesting profits back into your business as a way to fund business growth and increase its chances of longevity.
• The importance of getting involved in industries and businesses that align with your personal values.
• Creating a business that doesn’t compete just based on price but the quality of service it offers.
• Adopting consistency in the business even when the results aren’t yet visible as a tool to create trust and reliability.
• The importance of clearly defining roles and job descriptions of each team member.
• Having clear and honest communication, and regular check-ins with your staff.
• Investing in personal and professional development through reading books, podcasts, attending training, and having coaches.
• The importance of having a board in a growing business: Creating agendas, governance, making strategies, and having discussions about risks and finances.
• Avoiding procrastination and increasing productivity in your business.

Additional Resources:

• Dare to Lead By Brene Brown
• Profit First By Mike Michalowicz
• The Priestess Podcast

 

Music from https://filmmusic.io "Cold Funk" by Kevin MacLeod (https://incompetech.com). License: CC BY (http://creativecommons.org/licenses/by/4.0/