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View Full Version : Do introductory specials really help?


pygmalion
03-02-2006, 09:53 AM
And, if so, whom? This is related to the "ballroom on the cheap" thread, where the topic of introductory specials got mentioned a few times. A lot of studios do have a introductory package, where, for a low cost, you can get some number of lessons, a group class or two and a party. Or something like that. (I'm assuming the studio must be selling the package at cost or more likely, taking a loss, btw.)

In your experience, how does the intro special work? Did it work for you, as a student, giving you enough time to get a feel for the teacher or dance or whatever it was you needed to know before making a commitment?

Or, as a dance studio/teacher, did the intro special really help bring you engaged and interested potential clients? Is it really a good feeder pool for longer term students? Or do you think some other approach could work better?

More questions later. :wink: :lol:

ccc
03-02-2006, 10:31 AM
When I started I got a special 3 hours for $150 package that helped me get over my apprehension. I knew I wanted to learn but I was concerned over whether I could pick up the steps. The teacher made it enjoyable enough that I didn't keel over with shock at the true cost. I've also gotten a couple of other people to start this way.

JoeCZilla
03-02-2006, 10:55 AM
Speaking as a student I'd say yes, it does work. When I took my first introductory lesson/group/social I wasn't even sure if I would like dancing at all, but it only took those 3 times to hook me. And if I had seen the regular prices before taking that intro I'd have probably walked out. (Sneaky chain studio!) :) But as it is, It's a good thing to have to "hook" people who end up really liking it, but would balk at the prices before giving it a try.

I personally feel it's a little sneaky, especially if the regular prices arn't mentioned till after a student has taken an intro offer, but I've recouped my dissatisfaction by taking the intro offers at multiple studios in my area. :) Sorry studio owners and instructors; You offer a deal, I'll take advantage of it. :)

alemana
03-02-2006, 11:08 AM
they "help" get people in the door. what the studio *does* with those people once they're in, is a separate issue.

DanceMentor
03-02-2006, 11:33 AM
If they are too cheap, you get too many prospects that will not continue after the special. Also, it is often difficult to understand the value of a private lesson until you have taken one.

lynn
03-02-2006, 11:33 AM
It gives those who are scared off by the price tag a chance to try something different - after the intro package, they can then make a more fair assessment whether or not the classes are worth it.

pygmalion
03-02-2006, 11:40 AM
If they are too cheap, you get too many prospects that will not continue after the special.

Exactly. I prefer it when the studios give some hint of the price up front. Sticker shock can be pretty bad, from the student end, sometimes. For example, there's one studio here that advertises its intro special, but also gives the value. Meaning (just for example. I'm making up the numbers to protect the innocent. :lol: ) Introductory special. Two half hour lessons, one group lesson, one practice party. $50 (a $175 value.) That way, a prospective student can somewhat do the math beforehand.

pygmalion
03-02-2006, 11:41 AM
but I've recouped my dissatisfaction by taking the intro offers at multiple studios in my area. :) Sorry studio owners and instructors; You offer a deal, I'll take advantage of it. :)

Wow. I'm not going to tell you what I've heard dance teachers say about students who do this. But it ain't good. :?

I can see both sides, though. :cool:

lynn
03-02-2006, 11:48 AM
Exactly. I prefer it when the studios give some hint of the price up front. Sticker shock can be pretty bad, from the student end, sometimes. For example, there's one studio here that advertises its intro special, but also gives the value. Meaning (just for example. I'm making up the numbers to protect the innocent. :lol: ) Introductory special. Two half hour lessons, one group lesson, one practice party. $50 (a $175 value.) That way, a prospective student can somewhat do the math beforehand.

I've often wondered about how much discount is "too much". Pygmalion, in your example, the intro special is about 70% off the sticker price - a great marketing tool to attract new students, but what are the chances of new comers taking up the offer when they see the "actual value"? I remember the first time i walked in the studio where they told me the intro package is 50% off and my immediate reaction is to calculate out the normal rate and whether or not it's actually possible for me to take classes in the long run.

I guess one other thing i'm thinking is if the studio gives such a huge discount, they may very well attract students who are not able to afford the lessons @ full rate - It's great for the students, but should the studio waste their time/effort attract students who are not in their target market? It's really a 2-sided argument....

alemana
03-02-2006, 12:01 PM
Wow. I'm not going to tell you what I've heard dance teachers say about students who do this. But it ain't good. :?



Except in the scenario where this is serial behavior that is supposed to substitute for actual long-term instruction, i can't imagine anything bad with comparison shopping in this way.

If a teacher has a problem with it, they must be insecure about their ability to retain students. Because the shopping-around behavior is rational in a consumer society where studios are competing for bodies.


Even here in NYC, a person would not be able to train very hard by taking intro specials at every studio and switching in between (you can't do it more than once at any given place.) There just aren't enough studios to make this anything other than a short-term activity.

pygmalion
03-02-2006, 12:05 PM
The folks I'm talking about are not the ones comparison shopping, but those out "learning to dance" via serial intro packages. There were several people like that back in my old home town, and the dance teachers knew them by sight. :lol:


What the teachers think of it is secondary, I think. I just have to question the quality and continuity of instruction, if every week's a new teacher at a different studio. :?

I think that the intro package may be viewed totally differently by studios and students. Students seem to see it as a way of comparison shopping; studios seem to see it as a hot sales lead. I guess both can work ... maybe. :?

JoeCZilla
03-02-2006, 12:05 PM
Wow. I'm not going to tell you what I've heard dance teachers say about students who do this. But it ain't good.
Yeah, I figured it wouldn't the most popular thing with owners and instructors, but baiting students without telling them your regular prices isn't so kosher either. Not that everyone does this, but it's not like you can do this over and over or anything and when i'm in the market to switch studios those intro packages will be a big factor in determining where i go. I consider an intro package as introducing me to the studio, not to dance in general. So it isn't as bad as it may seem. I'm very generous with the instructors I decide to take lessons from :)


The folks I'm talking about are not the ones comparison shopping, but those out "learning to dance" via serial intro packages. There were several people like that back in my old home town, and the dance teachers knew them by sight. :lol:

The additional instruction wasn't the main factor when I took the other packages, I was still shopping around for a studio to learn from when i took the intros and I told the studios this. noone seemed to have an issue with it. I probably should not have worded my OP as i did. It was more of a personal jab at the chain studio who didn't enlighten me of their regular prices 2 years previously. No offence to any of the owners and instructors out there :)

lynn
03-02-2006, 12:08 PM
Yeah, I figured it wouldn't the most popular thing with owners and instructors, but baiting students without telling them your regular prices isn't so kosher either. Not that everyone does this, but it's not like you can do this over and over or anything and when i'm in the market to switch studios those intro packages will be a big factor in determining where i go. I consider an intro package as introducing me to the studio, not to dance in general. So it isn't as bad as it may seem. I'm very generous with the instructors I decide to take lessons from :)

So they never tell you what the regular price is :shock: ?? Of the 2 studios i've been to, one explicitly tell the student that the intro is 50% off the regular price. Granted, no numbers quoted, but the students could easily figure out what the regular rate is by doing some simple math. The other studio have group lesson prices listed on their website and a rough range of prices for private lessons so there's no sticker shocker after the intro program.

pygmalion
03-02-2006, 12:09 PM
I consider an intro package as introducing me to the studio, not to dance in general. So it isn't as bad as it may seem.

Exactly. You're comparison shopping. :cool: Doesn't seem bad to me, at all.

But then, I'm not a dance teacher who's dependent on turning those intro packages into a decent living. *shrug* Both sides make sense to me. :cool:

alemana
03-02-2006, 12:12 PM
if they can't convert the students, it's THEIR fault.

pygmalion
03-02-2006, 12:16 PM
Not necessarily, IMO. In a franchise studio, for example, you're talking converting a $29 special into a -- oh how much was that first package? $1200 or something? At least $1000 commitment. That takes some work.

I think it's at least partially a numbers game. Some students will be willing/able to convert; some won't.

Although I do agree with you -- part of it is on them. I think that a big part of it is creating a decent experience for the beginner student and being a good salesperson.

lynn
03-02-2006, 12:19 PM
$29 special intro :shock:?? I think that is way too low compared to what the full rate is. I know our local franchise offers 50% for a intro package - not terribly cheap but @ least it gives the student an idea of what the real sticker tag is.

alemana
03-02-2006, 12:20 PM
in my opinion asking for a thousand-dollar commitment is *by definition* a fault.

lynn
03-02-2006, 12:21 PM
feels like signing my life away :shock: :lol:!!!

Oh, and IIRC, the first package is probably over $1K, maybe somewhere in the neighbourhood of $2.5K???

pygmalion
03-02-2006, 12:21 PM
in my opinion asking for a thousand-dollar commitment is *by definition* a fault.

*giggle* I'm just sayin...

JoeCZilla
03-02-2006, 12:44 PM
So they never tell you what the regular price is :shock: ?? Of the 2 studios i've been to, one explicitly tell the student that the intro is 50% off the regular price. Granted, no numbers quoted, but the students could easily figure out what the regular rate is by doing some simple math. The other studio have group lesson prices listed on their website and a rough range of prices for private lessons so there's no sticker shocker after the intro program.

No, when I first went there, they showed me the prices for the intro package only. There was nowhere they had their regular prices and when I asked about them they told me we could discuss packages after I took the intro and decided if I wanted to continue. I assumed the regular prices were somewhere in the 10-20% more range, but after taking the intro I found out htey were 60% more than the intro, and they only offered 2 packages a semester and a year, which were around $3000 and $6000 respectively. I'll tell you it was an awkward moment. Torn between wanting to continue and that price tag, felt very pressured, ended up telling them I waould have to consider it, and unfortunatly didn't start dancing again for 2 years. Much more apprehensive when I went back to looking :(

lynn
03-02-2006, 12:45 PM
How does a studio advertise its intro special? Is it seasonal or is it ongoing? 2 of the studios i've been to only offer the intro special during September - December period (in sync with back to school specials??) Also, they only put the promo in their brochures in the studio but does not advertise in phone books or send out flyers, which makes me wonder how effective the promo really is.

alemana
03-02-2006, 12:47 PM
No, when I first went there, they showed me the prices for the intro package only. There was nowhere they had their regular prices and when I asked about them they told me we could discuss packages after I took the intro and decided if I wanted to continue. I assumed the regular prices were somewhere in the 10-20% more range, but after taking the intro I found out htey were 60% more than the intro, and they only offered 2 packages a semester and a year, which were around $3000 and $6000 respectively. I'll tell you it was an awkward moment. Torn between wanting to continue and that price tag, felt very pressured, ended up telling them I waould have to consider it, and unfortunatly didn't start dancing again for 2 years. Much more apprehensive when I went back to looking :(


atrocious. studio prices, like competition prices, should not be confidential information.

lynn
03-02-2006, 12:51 PM
No, when I first went there, they showed me the prices for the intro package only. There was nowhere they had their regular prices and when I asked about them they told me we could discuss packages after I took the intro and decided if I wanted to continue. I assumed the regular prices were somewhere in the 10-20% more range, but after taking the intro I found out htey were 60% more than the intro, and they only offered 2 packages a semester and a year, which were around $3000 and $6000 respectively. I'll tell you it was an awkward moment. Torn between wanting to continue and that price tag, felt very pressured, ended up telling them I waould have to consider it, and unfortunatly didn't start dancing again for 2 years. Much more apprehensive when I went back to looking :(

oh, wow, that must've been an awkward moment.... i wonder how many students got pressured into signing and asked for a refund the very next day - not good business practice @ all :( .

pygmalion
03-02-2006, 12:52 PM
atrocious. studio prices, like competition prices, should not be confidential information.

Eh. But they are confidential, in some cases -- something I found out the hard way, too, JoeCZilla. :?

That's why the studios I like are the ones that give you some information up front.

lynn
03-02-2006, 12:53 PM
Eh. But they are confidential, in some cases -- something I found out the hard way, too, JoeCZilla. :?

That's why the studios I like are the ones that give you some information up front.

how can they be confidential? unless you mean the "negotiated price"??

wyllo
03-02-2006, 12:54 PM
I assumed the regular prices were somewhere in the 10-20% more range, but after taking the intro I found out htey were 60% more than the intro, and they only offered 2 packages a semester and a year, which were around $3000 and $6000 respectively. I'll tell you it was an awkward moment. Torn between wanting to continue and that price tag, felt very pressured, ended up telling them I waould have to consider it, and unfortunatly didn't start dancing again for 2 years. Much more apprehensive when I went back to looking :(

Yikes! That would have turned me off too. I don't like a studio not being up front with their regular prices, but to not tell you when you had specifically asked for prices just seems ridiculous.

pygmalion
03-02-2006, 12:54 PM
how can they be confidential? unless you mean the "negotiated price"??


No. I mean that you find out the price after your teachers pull you aside into the conference room and make their sales pitch.

pygmalion
03-02-2006, 12:55 PM
Oh yeah, and don't forget, franchise studios aren't the only ones with intro specials. (Almost) everybody's doing 'em, it seems.

pygmalion
03-02-2006, 12:56 PM
Yikes! That would have turned me off too. I don't like a studio not being up front with their regular prices, but to not tell you when you had specifically asked for prices just seems ridiculous.

It's a sales technique -- you build perceived value in the customer's mind as much as you can before discussing prices.

alemana
03-02-2006, 12:59 PM
i got your perceived value right here.

wyllo
03-02-2006, 01:05 PM
It's a sales technique -- you build perceived value in the customer's mind as much as you can before discussing prices.

I don't think its a technique that works very well on me. :) I find it very annoying to ask a direct question and to not be given an answer.

pygmalion
03-02-2006, 01:15 PM
But does that mean they're open to negotiations? I was quite surprised when a friend who attended a franchised studio shared her story that the owner wouldn't lower the prices even at the risk of losing her as a customer. So from that, i kind of figured maybe the price isn't as flexible as i thought it was.

I really don't want this to turn into another franchises are bad thread. Really!! I don't think franchises are bad. I think they have pluses and minuses, just like independent studios do.

That said, lynn, I'll answer your question from what I've observed. Maybe other folks have other pieces of the picture.

From the franchise lesson "negotiations" I've been in and talked with friends about, I've concluded that there is a certain amount of discretion that the studio owner/manager has to set prices. But, because the cost of running a franchise is quite high (for reasons we've talked about in 6 or 7 other threads) it's very difficult, if not impossible, for them to lower prices below a certain threshold. They have to pay franchise fees, buy insurance, pay for the building, train teachers, pay salaries/stipends even when teachers aren't teaching (in some cases,) and a bunch of other things.

So technically, I guess they could negotiate whatever prices they wanted, almost. They could also go out of business pretty quickly, because their costs exceeded their income. :?

pygmalion
03-02-2006, 01:16 PM
I don't think its a technique that works very well on me. :) I find it very annoying to ask a direct question and to not be given an answer.

I find it annoying, too. It raises a red flag, for me. But, if you read the sales literature, the technique is there. So I guess it must work on somebody. *shrug*

lynn
03-02-2006, 01:22 PM
The teacher I am with now eventhough she participates in the studio's $99/3 private special, she still sets her own pricing when it comes to private lessons. That said, it also means she's a lot more flexible to her students. Now that my exam is getting close, she offered to practice with me for free for 1 hour each week!

JoeCZilla
03-02-2006, 01:25 PM
No. I mean that you find out the price after your teachers pull you aside into the conference room and make their sales pitch.

Yeah, it was just like that. I had been dealing with the instructor up to that point, then she was like, "Wait right here, I'll go get the owner who will explain the packages to you" I was like "why do I need to talk to the owner?" wth.. :(

pygmalion
03-02-2006, 01:27 PM
Yeah, it was just like that. I had been dealing with the instructor up to that point, then she was like, "Wait right here, I'll go get the owner who will explain the packages to you" I was like "why do I need to talk to the owner?" wth.. :(

Yeah. That put a nasty taste in my mouth.

caityrosey
03-02-2006, 01:38 PM
I don't think its a technique that works very well on me. :) I find it very annoying to ask a direct question and to not be given an answer.

And it sort of seems like its verging on "bait and switch" territory

lynn
03-02-2006, 01:38 PM
Let's look it from another perspective, if the ad (or your teacher) tells you that the regular price is $100/private lesson (hypothetically) - how many people would actually give the intro package a try?? Would they even be objective when evaluating the possibility of taking dance classes in the future if their head is fill with how much a lesson costs? I guess the objective of running a intro promo and not discussing the true cost is just so that people can evaluate the intro package from a more objective perspective.

wyllo
03-02-2006, 01:42 PM
I see what you're saying Lynn, but I don't think it does the studio any good to attract people to buy the introductory package if there is no chance they can afford the regular price.

lynn
03-02-2006, 01:47 PM
That's true, but I was just thinking that a dance class, granted is expensive, it's still within the affordable category for most people (and no, i'm not talking about the studios that charge a lesson that's the equivalent price of a month's rent). But if i knew a regular class is $50, i probably would never bother to take up the intro in the first place because I can't find the justification for spending $50/class. Having said that, I do think that if a student specifically asks, the teacher should provide an answer rather than "let's not worry about the price at this point."

pygmalion
03-02-2006, 01:50 PM
I see what you're saying Lynn, but I don't think it does the studio any good to attract people to buy the introductory package if there is no chance they can afford the regular price.

Some of them will be more than willing and able to afford it, though, especially if you choose your print ads carefully, IMO. That's where I think the numbers game comes in. You attract x-number of students, being fully aware that only a percentage of them will buy the package.

I don't see anything fundamentally wrong with that (with some disclaimers, of course. :lol: ) It's the same thing as giving out $5 coupons off a new $10 product, in my mind. When you give out those coupons, you know fully well that some of the people who get a cheap new widget will never buy another one. But you're taking a calculated risk that enough people will buy widgets and get hooked to, not only cover your costs, but help you establish a long term clientele for the future.

lynn
03-02-2006, 01:52 PM
ooh, the cost benefit analysis :lol:!!

caityrosey
03-02-2006, 01:53 PM
Let's look it from another perspective, if the ad (or your teacher) tells you that the regular price is $100/private lesson (hypothetically) - how many people would actually give the intro package a try?? Would they even be objective when evaluating the possibility of taking dance classes in the future if their head is fill with how much a lesson costs? I guess the objective of running a intro promo and not discussing the true cost is just so that people can evaluate the intro package from a more objective perspective.

I like the idea of telling people what the actual value of the discounted package is though. You don't need to actually break down the cost for them unless they ask you for the info. People like to get a a good deal and getting something for $50 that's actually a $250 value might be attractive to a lot of people.

wyllo
03-02-2006, 01:54 PM
I agree that intro deals are a great way to attract students who are a little hesitant about learning to dance. I definately appreciate a discount and end up trying products I might not otherwise buy if there is some sort of incentive. I just don't like the idea of hiding what the cost will be post discount.

pygmalion
03-02-2006, 01:54 PM
I like the idea of telling people what the actual value of the discounted package is though. You don't need to actually break down the cost for them unless they ask you for the info. People like to get a a good deal and getting something for $50 that's actually a $250 value might be attractive to a lot of people.

I like it too. Like the studio I mentioned earlier that gives your both the cost of the intro package and the value of it. No surprises. :cool:

caityrosey
03-02-2006, 01:55 PM
I like it too. Like the studio I mentioned earlier that gives your both the cost of the intro package and the value of it. No surprises. :cool:

A much more attractive carrot :)

saludas
03-02-2006, 01:58 PM
In general, don't you think that the newbie really thinks that they can get to 'learn to dance' in a few lessons - and group lessons at that?

The REAL sticker shock happens after the first month or so...

pygmalion
03-02-2006, 02:08 PM
In general, don't you think that the newbie really thinks that they can get to 'learn to dance' in a few lessons - and group lessons at that?

The REAL sticker shock happens after the first month or so...

When I started dancing, I didn't know group lessons existed. *shrug*

But yeah. I agree. There's some serious sticker shock when you get to the end of that first package, realize you can't dance yet, start to have a clue of much work/time it'll take to get you really dancing, and THEN find out how much it costs.

*giggle* There was one fellow student of mine, a few years ago, who literally came out of the sales conference holding her chest. I think she was about to have a heart attack. It's mean, I know, but the visual was so funny. It is pretty startling. Or at least it was for me.

I wonder how it feels when you're in one of those conferences, really love to dance and want to continue, but know you can't afford to pay. :?

JoeCZilla
03-02-2006, 03:39 PM
Don't wonder. :) It's like wondering what a heart attack feels like, your answer would be... not pleasant. :)

No, that feeling you get when you know your about to get in an auto accident, thats about it... :)

fascination
03-02-2006, 04:14 PM
meh...lessons are sorta like wine...to much of it'll kill ya, but I wouldnt want a day without a glass...cancelled today after 15 minutes....just still in post comp tatters despite doing well, the nerves are frayed...go figger....need some time to absorb it all...pro must think i'm a loon...prolly right....

fascination
03-02-2006, 04:16 PM
our studio offers a great intro package and incentive for students to bring new folks in but it takes an act of God for the renewal to work just right so that you get the credit for it and actually get a free lesson yourself...still its great for the newbies...and yeah...some disappear once they realize the real deal...but others come albeit infrequently

pygmalion
03-02-2006, 05:04 PM
No, that feeling you get when you know your about to get in an auto accident, thats about it... :)

No wonder it took you two years after your "attack" to pursue dancing again. :? :wink:

waltzgirl
03-08-2006, 10:22 PM
I've recouped my dissatisfaction by taking the intro offers at multiple studios in my area.

I think that's a really good idea. I frequently recommend that people do that, not to take financial advantage, but to test out different studios to be sure they are getting the best instruction for their goals rather than just take one and then make a major financial commitment to a studio they've randomly picked out of the phone book just because it's the first and only one they've gone to.

An introductory special got me into the studio. It's the only thing that would have. I had decided before I entered the studio that I wanted to take private lessons for at least a year, but there's no way I would have committed to even a five lesson package without having a chance to sample the product first. The intro package included 2 half-hour lessons, a group class, and a party. At that point, dancing was so foreign, anxiety producing, and physically intimate, it was essential for me to experience the vibes of the place and the teacher before I'd sign on for more than an hour! I just lucked out that the best male teacher in the studio happened to be the one whose turn it was to take the intro student when I happened to walk through the door. I can think of another instructor (fortunately no longer at the studio) who would have chased me right out the door if I had happened to get him.

As I just wrote in another thread, I now contract for 100 lessons at a time, so I think I've covered any loss they took on that package!

standardgirl
03-09-2006, 12:11 AM
The studio that I started dancing at offers one free 30min private lesson to all new students. Their normal privates are 45 min, but they use the extra 15 min at the end of the free lesson to sell you an intro special and to *discuss* what your goals are. Then they showed me all the different packages they have. All their private lesson packages are in multiple of 4 lessons (I guess they assume you take one lesson a week, so a 4 lesson package will get you dancing for about a month). I was shown the FULL price of all the packages and was told that I would only have to pay half of the price since it's my first (intro) package. I picked the 8 lesson package, think that way I will safe more than picking the 4 lesson package which is the smallest one they have.

I like the way this studio has their *intro* set up. I think the idea of getting half off whichever package you buy for one time will actually attract people to go for a slightly larger packages rather than just buying the 4 lesson package. And it was nice that I was given the full price right after my free lesson. :)