Tracys Business Up-Date

Monday June 7, 2011

The Karate Kid will open in theaters on June 11th

Notice the film is called the "Karate Kid" even if it is Kung-Fu

Its not Called the Tae Kwon Do Kid, or Krav Maga Kid, or MMA Kid!

The Karate Kid is not a "silver bullet" to save the dying martial arts industry. There will be a sudden interest in the Martial Arts, but it will be only for kids!  How long will their interest last? How long will their Mother's pocket books hold out when the Tae Kwon Do schools want $350 for a complete sparring gear package, which do not even exist in the Karate Kid? What they see in  the movie is not what they will get in 99% of the schools. It will be the old "Bait and Switch". You cannot build a successful studio based upon "Fads"! Plus the film was released at the wrong time of year: Summer, vacations, little league, Soccer. They all cost a lot less then 1-2 year contracts and endless belt test fees.

The old rule still applies 90% of all students drop out in the first 90 days. That is why many studios still push for contracts:

Fact: almost all health studios have eliminated contracts. Why? They were not worth the paper they were written on, They no longer had to pay a large staff just to sell their product! What kind of sales staff do you have to have to tell someone, the price is $19 a month. There are two ways you can pay for it, with an 

For most studios its simply a mater of survival!

The single most important facts is LOCATION!
    For years we always had one landmark to look for: how closes is the nearest McDonalds, Better yet, can you look out of your studio window and see a McDonalds?

Below is a picture of Greg and Becky's location in Chicago. You cannot get much closer to a McDonalds then this! Also note the advertising on their Van. I will be covering this in greater detail.

                 Daytime - This faces McDonalds                                    Night time - they use yellow florescent light to highlight their studio

Notice how they have used their window displays for maximum coverage and impact

Reality: Y.P's as a major for of advertising is a thing of the past, The average studio would pay $300-$500, month after month year after year. That come $4000-$5000 every year.

Signs are a ONE TIME INVESTMENT! And they sell 24 hours a day - 7 days a week - 365 days a year!

Advertisings new face: see below:

Below is a moving Bill Board