pricing

So the studio is starting to fill up. Sort of. Most of the evening classes most of the time feel busy and thriving and full.

But they're not. Low cost yoga is a volume business. We have to get about 30% more bodies through the door before I start breathing easy, and we could easily double our current numbers, which would make me really, really happy.

So that's the goal, y'all. Start squishing your mats together, because we're about to have a new definition of full.

But the truth is we don't need 30% more bodies; we need 30% more revenue. Bodies are just one way to do it. Changing pricing is another way. I've been trying to get more bodies in for fifteen months, and while we've had amazing growth, we seem to be at a plateau. I'm still working hard at it, but it would be unwise not to at least consider my pricing structure.

But a lot of people (in fact everyone I've spoken to except the Harvard MBA who first brought the idea to me that my pricing is too low) say that if Square One raises its prices, it will be a complete shift in the core values of the studio. We are a low cost yoga studio, whose mission is to make yoga accessible to everyone. There must be 10,000 postcards out in the world that proclaim in black and white: "we heart $10 yoga."

I have no interest becoming another expensive yoga studio. But as my friend with the MBA pointed out, if the business isn't sustainable, I will not be bringing yoga, low cost or not, to anyone. If the business isn't profitable, we can't grow.

The other thing she pointed out that I know without doubt to be true is that price is a psychological indicator of quality. How many of you buy Aveda or Bumble and Bumble and Bumble or whatever it is instead of the all natural brand at Trader Joe's? Or Tide instead of the generic? I don't anymore, but I certainly have, and I know that even though I could never tell the difference in how my hair looked or felt, I kept buying the expensive products. Maybe square one customers are smarter than that, but could that have something to do with why we're not filled to capacity? I mean, don't you think we should be blowing up? We have awesome teachers and a beautiful space and we're friendly and all the elements are there.

I'm not going to take away "we heart $10 yoga." I heart $10 yoga. But I know that many square one students are coming because they love the teachers and the space and the feeling, not because it's cheap. That may have brought you in, but it's just one reason among many why you stay.

I am thinking creatively about pricing structures that keep drop ins low, but help the business stabilize financially and eventually grow so that we're reaching many, many more people. What I'm leaning toward is a sliding scale structure that starts at Square One's current prices, but that goes up from there. I am also really interested in adding more classes at unusual times that have an even lower price structure. The late night classes now are only $6. I would like to add more classes at off times at prices that make it really, really easy for everyone, even the fashionably broke, to come to yoga.

Here's your homework if you're a loyal square one customer: Help us overcome the fact that price is an indicator of quality by telling everyone you know how great the classes are and what a lovely space it is. Keep spreading the word about yoga with a mission. I know classes are looking fuller these days, but remember that low cost yoga is a volume business. We need numbers. And be patient as our mats start to slide closer and closer together.