Stop Copying Your Competitor’s Prices: The Real Cost of Underpricing Your Parkour Gym

When setting prices for your gym's memberships, it's tempting to look around at what other local businesses are charging. If the gymnastics center down the street charges $120/month, you might feel like you need to match them, or be just under their price to stay competitive.

But this kind of thinking is dangerous for your business. I'm quite confident their low-priced gym is struggling, even if they have been open for 10 years. Why copy a struggling model?

At Motion Mentors, we’ve worked with dozens of parkour gyms. One thing we’ve seen again and again is this: gyms that base their pricing on local competitors tend to stay cash-poor, struggle to hire and retain talent, and burn out their owners.

This article is all about why that happens and how to fix it.

The Trap of Commoditized Pricing

When you set your prices by comparing yourself to other local options, you're falling into what's called commoditized pricing. This means you’re treating your business like a commodity (think milk, eggs, or store-bought items you can get anywhere), where price is the main deciding factor.

Let’s use the egg analogy.

• Store A sells eggs for $5 a carton.

• Store B sells eggs for $10 a carton.
  

If there’s no difference between the two, consumers will obviously choose Store A. But what if Store B offers organic, free-range, locally sourced eggs, packaged with a 50% off coupon for artisanal eggnog? Suddenly, Store B’s eggs are not the same product. They're more valuable to a certain kind of shopper.

Value-to-price comparisons in the auto industry

The same goes for your gym.

If you’re just another kids' after-school program, then yes, you’ll have to compete on price. But if you differentiate your services, you can move out of the commodity game and into the value game.

Real Example: Why Parents Pay $199 at Your Parkour Gym Instead of $120 at the Dojo

Let’s break this down with a side-by-side comparison.

Local Martial Arts Dojo	Your Parkour Gym
$120/month	$199 every four weeks
1 class/week	1 class/week
Untrained teen instructors	Certified, passionate parkour coaches
1 coach per 20 kids	1 coach per 10 kids
Folding chairs for parents: Uncomfortable waiting area	Comfortable, clean lounge space
Mediocre facility	Parkour-specific obstacles
Coaches are disengaged	Coaches act like hospitality pros
No check-ins or progress tracking	Goal-setting calls every 3 months
Nothing outside of class	Members-only meetups & events
No additional membership perks	Membership perks: Events, Open gyms, coupons, guest passes+
No customer service, must ask in person after the session to get help from a teenage coach who likly won't know the answer	Online and in-gym customer support. Easy and responsive.
Awful online experience, hard to use gym app	Useful online experience, online enrollment is made easy
15 other Dojos in town to choose from	You're the only real parkour gym in town
No class make-ups, not flexible for parents	Allows holds, roll-overs, and other accommodations

Despite the higher price, parents are choosing your gym—because you’ve made it clear that your offering isn’t the same product. You're not selling the cheapest option. You're selling transformational experiences, community, and expert instruction.

1 in 15 Americans is now a millionaire

According to a 2024 Fortune report, 1 in 15 Americans is now a millionaire. That means there are likely dozens, if not hundreds, of millionaire families living in your city. And here’s the thing you need to get, dear gym owner: most of them live in regular neighborhoods, drive average cars, and blend in with everyone else. They’re not flashy because their wealth often comes from smart investing, business ownership, or high-income careers, not lavish lifestyles. And many of them are parents. These families are not only able to pay more for premium services, they’re willing to, especially when it comes to enriching experiences for their kids. If your pricing strategy is built on staying affordable for everyone, you’re missing the opportunity to serve the very people who are happy to pay for value. Don't build your pricing model around the assumption that no one can afford you, because many already can.

What about pricing out low-income families?

Many gym owners hesitate to raise their prices out of fear they'll price out the families they set out to serve, especially those from lower-income backgrounds. This is a valid concern, but there’s a sustainable solution. Your gym can create a scholarship program and offer variable pricing for those who express that cost is a genuine obstacle. For example, you might cap scholarships at 10% of your total membership and reserve those spots for families truly in need. Within that framework, you have the freedom to offer reduced rates, payment plans, or even free spots, all without compromising your financial stability. You can also maintain an ultra-affordable open gym membership (say, $40/month or less?) as a last-resort option for families who want access but can’t afford classes. Interestingly, these low-cost memberships typically see far fewer sign-ups than your higher-priced class-based memberships, because most families are looking for structured experiences, not just uncoached play. The bottom line is this: by charging value-based prices, your gym generates enough margin that your wealthier members can subsidize access for those in need, keeping your doors open to everyone without burning out your business.

Price Is a Positioning Tool

Your pricing doesn’t just determine your revenue; it communicates how valuable your services are.

When you charge too little, you signal that your service is on par with the local rec center or karate school. You signal that you don’t invest in top-tier staff. That your facility is probably just okay. That your business is operating on a shoestring.

That’s not the kind of business that earns long-term loyalty.

On the other hand, premium pricing signals premium value. It gives you the margin you need to:

• Hire and retain talented coaches

• Invest in cleaning, maintenance, and aesthetics

• Offer additional services like goal-setting calls and community events

• Create a culture that members love to be part of

It allows your gym to feel more like a high-end training experience than a babysitting service.

What Happens When You Underprice?

Here’s what we’ve seen over and over again from gyms that match the “going rate” in their area:

• Barely break even: You have members, but not enough margin to grow.

• Staff burnout: You can’t afford to pay well or train regularly.

• No upgrades: The gym looks the same every year.

• Owner burnout: You’re working 60 hours a week with little to show for it.

Compare that to the gym that charges $199+, invests in value, and clearly communicates that value to its community. That gym has room to grow, develop staff, offer benefits, and give owners a real salary.

But Will People Actually Pay More?

Yes!... if they understand why your gym is worth it. ( We have proof from MANY parkour gyms who have since taken our advice when crafting their membership perks and pricing)

This requires smart sales training, clear marketing, and a community-driven experience. Just like how Store B has to explain why its eggs are $10, your gym needs to make the case for your price.

And when you do it right? The right families won’t just pay. They’ll be excited to.

Your parkour gym is not a commodity.

You’re not selling babysitting. You’re selling transformation. Confidence. Health. Community. Passion.

Stop pricing yourself like milk and eggs. Some parents are actually LOOKING for the higher-priced programs for their kids because they know it means more value and better staff. These parents treat spending on kids like an investment, not like a babysitting service. What one is your gym? A day care service or a space where your coaches invest in your students?

Start pricing yourself like the powerful, purpose-driven business you are, and then build the systems to back it up.

Get help adjusting membership mixes and gym pricing.

We have helped plenty of gyms adjust their pricing, launch price increases, and come out on the other side with more cash and more members than ever before. Book a call with us and we will tell you exactly how we can help your gym get on a better financial footing.

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