 In April 1989, LRAC opened its doors with approximately 1,500 members and a staff of 55. Today, the 130,000-square-foot club has more than 4,000 memberships with 10,000 individual members and 200 employees. Situated on nine acres in fast-growing west Little Rock, the Little Rock Athletic Club (LRAC) is not your run-of-the-mill health club. With its tagline, "The Club of Choice," LRAC is a full-service, family-friendly club catering to every age group from infants to 90 year-olds.
In April 1989, LRAC opened its doors with approximately 1,500 members and a staff of 55. Today, the 130,000-square-foot club has more than 4,000 memberships with 10,000 individual members and 200 employees. "Relative to most health clubs, we do very little advertising," Owner and CEO Pat Riley explains. "Almost all of our new members find us by word of mouth. And, contrary to the health club stereotype, we don't believe in pressure sales tactics nor do we sell contracts - all memberships are on a month-to-month basis. That puts the burden on us to keep members happy so they won't leave." LRAC is a subsidiary of Riley's Health and Fitness Centers Inc., which also operates three other health clubs in central Arkansas: Downtown Athletic Club, North Little Rock Athletic Club and Little Rock Racquet Club. Riley recently spoke with Venture about the company's strategy in the market and its keys to success.
Venture: Why did you choose to cater to families and not a specific market like your competition does? Pat Riley: From the beginning, our intention was to be a family-oriented club, and that emphasis has only grown over the years in response to our members' needs. Being located in the suburbs, appealing to families was a natural consequence of serving our primary market. Over the years, though, we learned that we needed our family offerings to increase. In 1995, we converted one indoor tennis court, which is 7,200 square feet, into a wonderful children's facility called the Down Under Center. That center now receives several hundred visits a day and is a favorite of parents and kids, alike.
We have also added two pools specifically designed for family use. And in 2004, we converted an outdoor volleyball court into a colorful aquatic park with fountains and waterfalls [called] Sprayground. We also offer a swim team, junior tennis, sports camps [and] after-school programs. In addition to the expansion of children's programming, there's been a significant amount of growth in our senior member population. As baby boomers age and more awareness is brought to the need for seniors to exercise, our club has responded to that age group's needs, as well.
Venture: How is the local health and fitness market changing? PR: The biggest change in our market has been the proliferation of smaller, niche clubs. Organizations like Curves, for instance, that cater to women [new to exercise]. Actually, I believe these new clubs help expand the overall health and fitness market, and as such could benefit our organization should the time come that members of those facilities wish to join a more comprehensive facility like the LRAC. Our response to any competition is simply to maintain our focus on what we do well, keep trying to improve and listen to what our members want.
Venture: What are you most proud of at LRAC? PR: I am most proud of the positive impact our club has on our community's health. It's very inspiring to be able to offer this service that I believe in and watch people change their lives.
Health clubs, at their best, are life-affirming places where like-minded people come together, make new friends, receive encouragement and then pass that encouragement on to others. People come to our club wishing to lead a healthier life and when they succeed, they tell others and that positive lifestyle is perpetuated. It's gratifying to watch this all unfold day after day. |