lost the corporate contract that was 41% of group revenue. revenue up 14% in 90 days.
seattle group fitness studio owner. 4 years in. small footprint, 312 active monthly members at $169-189/month.
we had a corporate contract with a bellevue software co since 2022. $14k/mo for 2 group classes per week on their floor for their employees. it was 41% of our group class revenue.
they cancelled in march 2026 when they shifted to "wellness reimbursement" instead of direct contracts. cited budget. i think it was actually that nobody was showing up to the classes.
what i did in 90 days. nothing complicated.
opened up the 2 weekly time slots that had been corporate-only to individual members. 18 members signed up for those slots in week 1. by week 4 it was 47.
dropped the trial class offering. people came to the studio more committed when they could not try-then-leave for free.
raised the price 11% for new sign-ups in may. existing members grandfathered.
individual revenue from those slots covered the lost $14k inside 6 weeks. and the studio energy is different now. the corporate class felt like running a class for furniture. the new class has 22 people who are actually trying.
what i would tell another studio owner.
corporate contracts felt safe. they were not. they were just slower to die.
when corporate cancelled i had 14 days of "we cannot survive this" panic. then i opened the calendar and the city showed up. the city is always there. corporate is a layer between you and the city that costs you the energy of your gym.
i thought we had lost 41% of our revenue. we had lost a customer that was teaching us how to be furniture.