Thursday Options

CrossFit NYC Price Increase Effective January 1, 2010
(From Court, Josh, Hari)
While much of CrossFit transcends the annoying details of running a business, we occasionally need to acknowledge that we are constrained by a number of economic realities:
* Our Manhattan rent is probably the highest of any affiliate.
* Our Manhattan rent per square foot is certainly the highest.
* Our insurance company tells us that our premiums are the highest of any affiliate.
* Rent plus utilities, insurance, and related fixed monthly expenses currently exceed $100 per member.
* We provide approximately 2 coaching hours per member per month: (total WOD coaching hours per month) / (total members) = approximately 2.
* Monthly coaching and administrative payroll currently exceeds $80 per member.
* We pay ourselves nothing for running the business.
* We currently lose money.
The inescapable conclusion is that the service we provide costs more than we are charging.
Effective January 1, 2010, we will need to raise our rates as follows:
* Manhattan Regular Monthly Rate: $200
* Manhattan Student, Military, and Family/Couple Monthly Rate: $150
* Manhattan Regular Six-Month Rate: $1000
* Manhattan Student, Military, and Family/Couple Six-Month Rate: $750
* Brooklyn Regular Monthly Rate: $160
* Brooklyn Student, Military, and Family/Couple Monthly Rate: $120
* Brooklyn Regular Six-Month Rate: $800
* Brooklyn Student, Military, and Family/Couple Six-Month Rate $600
(Please note that Manhattan membership confers access to both of our locations, whereas Brooklyn membership only grants access to our Brooklyn location.)
It is our intent to use this rate increase to improve the value we provide to our members. We made significant progress in 2009. Between our two locations, we now run nearly 100 classes (including 80 WOD classes) per week. We have upgraded our Manhattan location, and made significant investments in equipment. We have over a dozen CrossFit-certified instructors on staff.
We plan to grow and improve even more in 2010. Specifically, we intend to:
* Move to a much better Brooklyn facility. (We’re already in negotiations)
* Add more WOD classes at both locations
* Purchase more equipment for both locations
* Sponsor more social events–Rest Day dinners, brunches, fundraisers, competitions
* Improve the overall maintenance and cleanliness of both facilities

As a courtesy to our current members, from now until December 31, we will allow you to purchase as many six-month memberships as you wish at the current rates.
However after January 1, 2010, the above rates will apply.
CLICK HERE FOR FREE BEGINNERS’ CLASS SCHEDULE!
UPCOMING ELEMENTS WORKSHOPS:
In Brooklyn
#14 Mon/Wed @ 8pm, starts October 26 (3 slots left)

In Manhattan
#85 Mon/Wed @ 8pm, starts October 26 (3 slots left)
#86 Tue/Thur @ 6am, starts October 27

New dates/times for #87–info to come later today
Thursday 091022
Black Box WOD:
5 rounds for time:
7 Deadlifts (225# men / 155-185# women)
15 Wallballs (20# men / 14# women)
Post time to comments.

TODAY’S SCHEDULE:
7, 8am; 12:30pm: Instructor’s Choice
5:30 No WOD (Rest Day)
6:00 Weighted Pull-Ups
6:30 Black Box WOD
7:00 Tabata Something Else
7:30 Black Box WOD
8:00 Lunges and Sit-Ups (Skill work: KB swings (2 & 1 arm), High pulls (2 & 1))
Hari’s Rest Day Link:
Small Businesses to NYC: Get Off Our Backs!
CFE-NYC Rowing Workshop on Saturday, November 14th (10am-2pm) ($60 for members, $75 for non-members)–only a few slots left

  • Hari

    The article only begins to capture the essence of how difficult it is to operate a small business in NYC. Having run fairly large companies, I thought I was prepared for whatever we would face at the Box. I was wrong.
    I estimate that this year we will spend at least $15,000 on fines and legal bills, just to deal with the government on issues where we have not knowingly done anything wrong.

  • kj

    Any thoughts about lumping school teachers in with the student/military discount?

  • http://www.crossfitnyc.com Court

    Hey KJ-
    We’ve actually received this question before; while we absolutely value the contribution teachers make to society, the discount is given only to MIL/LEO/FR & students for a couple of reasons. The mil/leo/fr communities rely directly on top fitness for enhanced performance and safety and they were also early adopters in CF. Their promotion of CF helped to bring it public awareness and they also pay a much higher cost in the line of duty. A student discount is standard in many industries and many of the students that come to a CF gym are competitive athletes without any additional financial support for their athletic endeavors. Those are a couple of the reasons we extend a discount to those specific communities.
    I know that may not be the answer you were hoping for but I’d be happy to continue this conversation with you in person.
    Thanks.

  • kj

    No worries, Court. That makes sense.
    I’m just in the unfortunate situation where while I definitely think membership at CFNYC is worth the $200/month, I have to do some math to see whether or not I can personally afford it on my newly down-sized salary. So I figured it was a worthwhile question to at least ask :)

  • Hari

    A member who buys two six-month memberships before the end of the year and charges them on a credit card having an interest rate as high as 21% can pay off $1600 bill with 12 monthly payments of less than $150 per month, which is actually less than making the current monthly payment of $160 per month. Without financing, the current rate for one or more six-months memberships is $133 per month.
    The main reasons we are expensive relative to the typical “globo gyms” rates of $99 per month or less is (1) we spend about $80 per month on coaching salaries per member (this is at our cost; gyms typically charge triple their cost for coaching); (2) our member attendance level is about five times that of typical “globo gyms,” and (3) several of the local and regional “globo gyms” are operating in Chapter 11 bankruptcy, and in my opinion, are basically “zombie” corporations.
    None of this solves anyone of our members personal financial challenges. We can only strive to provide enough value to justify what we know is an optional personal expense for each our members.

  • Natalie

    does that mean the UWS Box was ruled out?

  • Hari

    Upgrading Brooklyn is our immediate priority. Once we do that, we will focus either on a second location in Manhattan or on improving our one location.

  • Kurt

    Not excited about paying more, but I really appreciate the explanation behind the change. As with any business, you should charge what the market will pay.
    Fingers crossed that I will be eligible for the LEO discount by the time I need to re-up the membership.

  • Hari

    To be clear, we are not charging what the market will pay, and we are not charging what will maximize our profit. We are charging what we need to stop losing money. This is an important distinction.
    In fact, I would go a step further and point out that unlike many (perhaps most) small businesses in Manhattan, we are not avoiding or evading the full weight of government taxes. We are not paying people off the books, and we are not dealing in cash.
    Nor are we charging one high published price to those members who will pay it, and then cutting side deals to those who wont. Under that model, our rate would be $250 – $300 for some and significantly less for others.
    If we don’t charge enough to cover our costs, we will not survive. (“If a thing can’t go on, it wont”). If we go away, someone will take our place; and you can be sure that someone will charge even more.

  • http://www.crossfitnyc.com Court

    Kurt, that would be too awesome…we’ll all be pulling for you. We should have a “Countdown-to-Quitday” for you. :)

  • torch

    When I started CrossFit in VA two years ago, the price I paid for membership was the same as the new Jan 1 rate. From what I’ve seen casually, this is typical if not still slightly on the low side for membership in a CrossFit situated in a major metropolitan area. I know this maybe isn’t the most comforting thing.
    Kurt: we all look foreword to having to blur out pictures of your face and referring to you as “”the person who shall herein remain unnamed” as I have been doing with some of your hopefully-soon-to-be peers.

  • Rickke

    Made up weighted pull-ups:
    30-40-42.5-45-47.5-50-52.5(f)
    Then tabata something else: 359 with anchored sit-ups
    Didn’t feel the greatest after making up weighted pull-ups. Thanks for timing/counting, Hari.

  • Mike Mishik

    BB wod. 6:04 rx’d

  • Hari

    Yesterday’s Lunges and Sit-ups:
    9:35
    (68,54), (55, 42), (61, 48), (15, 9)

  • Lenny

    Black box WOD 4:17 as RX’d

  • GabeK

    30 Muscle-Ups in 13:28
    PR from a couple weeks ago by about 16:30!
    Also, figured out double-unders for the first time and started getting a couple at a time.

  • ricardo

    today’s wod 8:24 with 155# deadlifts. Next time, 175#

  • Jai

    Tabata Something Else:
    Pull ups with black band (hich seems about the same as two purple strings): 56
    Push ups from knees: 67
    Sit ups, unanchored: 64 (my poor tailbone)
    Squats: 108
    Total: 295
    I checked my score from August which was 259. I used a thicker band for pull ups back then, but didn’t do push ups from my knees. Sit ups and squats were pretty similar–looks like doing the push ups strictly is what brings down my score, though I should go back to doing them that way.
    Also, found my piece of paper from yesterday for the walking lunges and sit ups, and my time was actually 15:05, so I did a minute better than I remembered.

  • brad s

    8:03, 175#