Price is the most direct decision a studio owner makes about revenue, positioning and client behaviour. It decides what each class earns, which clients the studio attracts, and how often they return. Studios that set prices by copying a neighbour, or that discount to fill classes, usually discover the effect on their margin only after the first year. This guide sets out a method for deriving prices from the cost of delivering a session, and for structuring packs and memberships so that the realised revenue matches the plan.
Pricing is one part of the Pilates studio business plan. The figures below are formulas, not recommended prices, because the correct price depends on the location, the format, the positioning and the cost base of each studio.
Start with the cost of delivering a session
A price is sustainable only if the average revenue per client visit covers the cost of delivering that visit and a share of the fixed costs of the studio. The calculation has two parts.
- Variable cost per visit: instructor remuneration per class divided by the clients attending, plus payment-processing fees and consumables.
- Fixed-cost share per visit: monthly fixed costs (rent, core payroll, utilities, insurance, software, licence renewals) divided by the planned number of client visits per month.
The sum of the two is the minimum average revenue per visit (the floor). Prices are set above the floor to reflect the positioning of the studio and to leave a margin. If the market will not pay above the floor at the planned occupancy, the concept, the cost base or the capacity must change; a lower price will not solve the problem.
The product range
| Product | Purpose | Principal risk |
|---|---|---|
| Introductory offer | Converts a first visit into a relationship; limited in time and number of sessions | Becoming a permanent discount that sets the reference price too low |
| Drop-in session | Flexibility for occasional clients; carries the highest price per visit | Over-reliance on unpredictable demand |
| Class pack | Prepaid sessions with an expiry date; improves cash flow and commitment | Unused sessions (breakage) and unclear expiry terms |
| Monthly membership | Recurring revenue and predictable attendance | Heavy users lowering the average revenue per visit; cancellation rates |
| Private and semi-private sessions | Individual attention; priced by instructor time and the opportunity cost of the room | Instructor dependence; unused room capacity |
| Workshops and events | Additional revenue and community; showcase for advanced teaching | Low attendance if not scheduled with the core timetable |
Differentiating prices
Prices are differentiated by format, by time and by commitment. A small-group reformer class, a mat class and a private session have different capacity and instructor cost, and therefore different floors. Peak and off-peak slots may be priced differently if off-peak capacity is persistently unfilled. Longer commitments, such as larger packs or longer membership terms, may carry a lower price per visit in exchange for prepayment. Each differentiation should be tested against the floor: a discount that takes the average revenue per visit below the floor reduces the margin on every class sold.
Memberships, packs and breakage
Prepaid products earn revenue only as sessions are delivered or as they expire. The share of sessions that expire unused, often called breakage, should be forecast conservatively and should not be relied upon as a source of planned income. The terms of each product should state clearly its validity period, the rules for cancellation and late cancellation, the conditions for freezing a membership, and whether it can be transferred or refunded. These terms should be written plainly and reviewed by a legal adviser before launch.
Unlimited memberships require particular care in a studio with fixed class capacity. Because each class has a limited number of stations, an unlimited membership caps the revenue per member while allowing attendance that displaces higher-yield clients. Many studios therefore use a fixed number of visits per month, or an unlimited product with a fair-use rule and a booking window.
Testing prices against the market
The prices observed in comparable studios are a reference point for positioning, not a ceiling or a target. The studio should decide whether it will price below, at or above comparable studios and should be able to explain the difference in terms of format, instructor qualification, class size and experience. Introductory and founding-member offers should have a defined end date and a defined number of places, so that they build the first client base without becoming the permanent price.
Metrics to review
- Average revenue per visit: total revenue divided by total client visits, compared with the floor;
- Occupancy: client visits divided by capacity, by class type and time slot;
- Pack utilisation: the share of sold sessions that are used before expiry;
- Retention: the share of members who continue from one month to the next;
- Client lifetime value: average monthly revenue per member multiplied by the average number of months a member is retained.
These indicators connect directly to the profitability drivers discussed in Are Pilates Studios Profitable? and to the break-even calculation in the feasibility study.
A method for setting prices
- Forecast the number of client visits per month at planned occupancy.
- Calculate the floor: variable cost per visit plus the fixed-cost share per visit.
- Decide the positioning relative to the observed market and set the list prices above the floor.
- Design the packs and memberships, with explicit validity and cancellation terms.
- Run the introductory offer for a defined period and record conversion to paid products.
- Review the metrics monthly and the price list at least once a year.
Professional support
Code Pilates Consultancy advises entrepreneurs, investors, gyms, clubs and hotels on studio planning, from the investment decision to the first 90 days. Sessions are led personally by Barış Özdemir, are held online or on site in Dubai, in Turkish or English, and are followed by a written action plan within 48 hours. The pricing and membership model, and for facilities the revenue model, pricing and packages, are part of the strategy session topics. The available topics are listed on the Pilates studio consultancy page.
This guide is general information and does not constitute legal, tax or financial advice. Licensing requirements are determined by the competent authorities and may change.
Frequently asked questions
Begin with the floor: the variable cost of a visit plus its share of the monthly fixed costs at planned occupancy. Set prices above the floor according to positioning, and test them against the observed market and the studio’s own results.
They require care, because class capacity is limited. An unlimited product caps the revenue from each member while allowing attendance that may displace higher-yield clients. Fixed monthly visits, or a fair-use rule, are common alternatives.
The validity period should reflect how often clients are expected to attend and should be stated clearly at the point of sale. The expiry rules also determine the level of unused sessions that the plan assumes.
The metrics should be reviewed monthly and the price list at least once a year, or sooner if occupancy, costs or the competitive position change materially.
Yes. The pricing and membership model is part of the strategy session for studio launch and set-up, and the revenue model, pricing and packages are part of the session for facilities adding Pilates.
About Code Pilates Academy
Prepared by Code Pilates Academy, a private international Pilates teacher-training school and studio consultancy founded by Barış Özdemir, NCPT.
