Business Diagnostic
STRONG Pilates
The Beach TO
A data-driven analysis of your current business health, revenue leaks, and untapped opportunity.
Location 1939 Queen Street East, Toronto ON
Report Date March 14, 2026
Data Sources Hapana Core + Hapana Grow
01 — Snapshot
Where You Stand Today
A high-level view of your current membership base, revenue, and the intro offer pipeline.
Active Members
246
Recurring memberships
Monthly Revenue
$40.7K
Membership MRR only
Active Intro Offers
223
Currently unconverted
Suspended
59
At risk of cancelling
Unique Members (All Time)
547
702 total membership records
Memberships Cancelled
230
Zero cancellation reasons logged
Active Packages
870
Class packs, casuals, etc.
Cancellation Rate
32.8%
230 of 702 memberships cancelled
02 — The Core Problem
The Intro Offer Conversion Leak
This is where the real problem lives. You're generating intro offer sales — but the vast majority never convert to paying members. The bucket has a hole in the bottom.
282 people bought an intro offer and never became a member. 230 members cancelled — and nobody knows why.
Your business has two compounding leaks. Over half of intro buyers never convert to a membership. And of the ones who do, a third eventually cancel — with zero reasons logged. You can't fix churn you can't see.
56%
Never Convert to Member
The Conversion Funnel
From Hapana Grow contact to paying member — where the drop-off happens
1
CRM Contacts with Email
5,748
Source: Hapana Grow (excludes IG message contacts without email)
↓ 72.6% lost — never created an account
2
Account Created
1,574
Source: Hapana Core — full unique emails across all records
↓ 68% lost — didn't purchase an intro offer
3
Purchased Intro Offer
504
Source: Hapana Core — 504 unique people (547 total records incl. cancelled/completed)
↓ 70.4% lost — never became a member
4
Converted to Membership
149
29.6% conversion rate — 149 of 504 intro buyers became members
↓ 230 cancelled · 59 suspended
5
Still Active
246
Of 702 total membership records: 246 active, 230 cancelled, 59 suspended, 167 other
282
People Left on the Table
282 people paid for an intro offer and never converted to a membership. At $165/month avg membership value, that's $46,500+/month in unrealised recurring revenue sitting in your database right now.
223
Sitting in Intro Offers Right Now
Almost as many people are sitting in active intro offers as you have actual members (246). These are warm, paying prospects who need nurture — not more ads.
03 — The Full Picture
Month-by-Month Activity
Every stage of the customer journey tracked month over month — from first contact to membership purchase. This is the complete pipeline view.
Complete Pipeline — Month by Month
December 2024 — March 2026 (current month partial) · Hapana Grow + Hapana Core
Data context: Dec 2024 (135 intros) and Jan 2025 (244 intros) reflect the grand opening rush. The normalised ongoing rate is 4-34 intros/month. Sep 2025 shows 133 memberships — this appears to be a bulk migration or promotional event, not organic growth. The ongoing monthly average is ~35.
Contacts Created vs. Accounts Created
The gap between CRM contacts (Grow) and actual accounts (Core)
Purchases by Category
Intro Offers vs. Memberships vs. Packages (Hapana Core)
577 → 126
Contact Volume Declining
CRM contacts with email peaked at 577 in Jan 2025 and have dropped to 126 (partial March 2026). But volume isn't the problem — conversion is. 80% of contacts never even create an account.
168 → 24
Account Creation Falling
New Hapana Core accounts peaked at 196 (Dec 2024 launch) and have dropped to 24 this month. Fewer people are making it from contact to account — the top of the funnel is narrowing.
04 — Revenue
Where Your $40.7K/Month Comes From
A breakdown of active membership plans and their monthly revenue contribution. Source: Hapana Core.
Revenue by Plan
Monthly recurring revenue distribution
Plan Breakdown
All active membership plans ranked by revenue
| Plan |
Members |
$/mo |
Revenue |
|
05 — Offer Analysis
The Intro Offer Landscape
What intro offers are active and how they're distributed. Too many offer types creates confusion and dilutes the conversion path. Source: Hapana Core — Package Category = "Intro Offer".
Active Intro Offers by Type
223 people across 14 different offer types
Offer Complexity
Diagnosis
14
Different Intro Offer Types
Ranging from $0 to $99 across 14 different naming conventions. This creates confusion for both the team and the prospect. A simpler, singular intro path with clear next steps would dramatically improve conversion.
Key observation: The top 3 offers (STRONG Experience, 2for50, STRONG Intro Offer) account for 54% of all active intros. The remaining 11 offer types fragment the funnel and make it harder to build a consistent nurture sequence.
06 — Retention Risk
59 Suspended Memberships
These are members who have paused — they're at high risk of cancellation without proactive outreach. And with 230 cancellations already on record (zero reasons logged), churn is a proven pattern here.
Suspended by Plan Type
Which membership plans have the highest suspension rates
59 suspended members = up to $9,735/month at risk.
At an average membership value of $165/month, every suspended member who doesn't return is a direct hit to MRR. A simple reactivation campaign targeting these 59 people could recover a significant chunk of revenue with zero ad spend.
$9.7K
Monthly Revenue at Risk
06b — The Blind Spot
230 Cancellations — Zero Reasons Logged
With full cancelled and completed records from Hapana Core, the churn picture is now visible. 230 members have cancelled — and not a single one has a reason logged. You can't fix what you can't see.
Cancellations by Month
Monthly membership cancellations — January 2025 to March 2026
Net Member Growth
Memberships sold minus cancellations — the real growth picture
December 2025 was net negative — more members cancelled than joined.
16 memberships sold vs. 18 cancellations. When churn exceeds intake, growth reverses. And without cancellation reasons, you're flying blind — is it price? Experience? Competition? Seasonal? Nobody knows.
0 of 230
Cancellations Have a Reason
Every single one of the 230 cancellations has a blank "Cancellation Reason" field. This means every member who left did so without the business knowing why. A simple cancellation survey would transform your ability to reduce churn.
32.8%
Churn Rate
230 of 702 total membership records ended in cancellation. Industry benchmark is under 10%. You're losing a third of the members you work so hard to acquire — and every one represents $165/month walking out the door.
07 — The Real Cost
$44,718 in Ad Spend — What Did It Actually Buy?
We pulled the actual Meta Ads data and cross-referenced it with Hapana Core. We've separated pre-opening (presale) from operating spend so the numbers are fair and accurate.
Total Lifetime Spend
$44,718
Sep 2024 — Mar 2026 (CAD)
Pre-Open Spend
$10,378
Sep–Dec 2024 (presale + opening)
Operating CPL
$20.39
1,684 real leads (Jan 25 — Mar 26)
Cost Per Intro Offer
$83.55
411 intros sold (operating period)
Spend by Period
We understand there was a presale before opening — here's how the spend breaks down
Presale (Sep–Nov 2024)
$4,668
Brand awareness before doors opened. Zero lead tracking — expected for presale phase. This is normal.
Grand Opening (Dec 2024)
$5,710
Opening month. Still no Meta lead tracking, but 196 Hapana accounts created and 34 intro offers sold. The studio was live.
Operating (Jan 2025 — Mar 2026)
$34,340
15 months of operating spend. 1,684 real leads. This is the period we analyse below — fair, post-opening numbers only.
Monthly Ad Spend vs. Real Leads & Purchases
Actual Meta Ads data — operating period highlighted. Pre-open spend shown in faded bars.
The Real Cost Escalation
Every lost intro is $84 in ad spend that never converts to a member
The "Results" number changed meaning 5 times in 15 months.
The conversion event tracked as a "result" shifted from custom pixel events → pixel leads → lead forms → landing page views. In January 2026, 654 of 751 "results" were just page views — not leads. When we strip out page views and count only real leads (forms + pixel + custom events), the total is 1,684 — not 2,476.
$20.39
Operating CPL (Post-Opening)
Once the studio was open and lead tracking was active (Jan 2025+), the real CPL across all lead types (forms, pixel, custom events — excluding page views) is $20.39. That's the fair number to benchmark against.
$83.55 per Intro
The Real Cost of an Intro Offer
Operating spend ($34,340) divided by 411 intro offers sold = $83.55 per intro buyer. 56% of those never become members — that's 230 lost intros at $84 each = $19,320 in ad spend that led nowhere. And of those who do convert, 32.8% cancel. The cost isn't just the CPL — it's the compounding waste at every stage.
Ad Spend by Campaign Type
Grouped by strategy — not individual campaign names
08 — Membership Value
Not All Members Are Created Equal
246 active members sounds healthy — but when you look at what they're actually paying, a significant portion are on low-fee plans that barely move the needle on revenue.
Members by Price Tier
How many members fall into each value bracket
Revenue by Price Tier
What each tier actually contributes to MRR
Every Membership Plan — Price vs. Members
Bubble size = monthly revenue contribution. Excludes 18 trainer accounts ($0).
41 members (18%) are paying under $100/month.
These 41 members contribute just $2,568/month — only 6.3% of your total MRR. Meanwhile, your top tier (132 members at $196+/month) drives 77.8% of all revenue. The opportunity isn't just more members — it's more members on the right plans.
6.3%
Revenue from under-$100 members
STRONG 4 should be a backup option, not the default path.
57 members are on STRONG 4 ($108-118/month). STRONG 8 is $196-219/month. If just half upgraded, that's an additional ~$5,000/month in MRR — with zero new members needed.
+$5K
If half of STRONG 4 upgraded
$53–75/mo
The VIP & Low-Tier Plans
41 members across VIP1 ($59), VIP2 ($64), VIP3 ($69), 2-Session ($53), and STRONG Human ($75) plans. These need to be pathways to higher-value plans, not destinations.
57 on STRONG 4
The Mid-Tier Ceiling
57 members on STRONG 4 ($108–$118/mo) represent 25% of all members but only 15.9% of revenue. Removing STRONG 4 as a primary option and guiding these members toward STRONG 8 ($219/mo) would add significant MRR.
09 — The Opportunity
Where the Money Is Hiding
Your conversion rate is actually 29.6% — not terrible. The real opportunity is two levers: converting more intros AND keeping the members you already have.
If you move intro conversion from 30% to 50% AND cut churn from 33% to 15%...
Lever 1: Conversion
30% → 50%
Intro-to-member conversion
+82 extra members/year at current volume
Lever 2: Retention
33% → 15%
Churn rate halved
~126 fewer cancellations/year
Combined: +208 net members/year at $165/month avg = +$34,320/month in MRR
More intros converting + fewer members leaving = compounding growth. Taking you from $40.7K toward $75K/month.
$412K+
Additional Annual Revenue
208 net members × $165/month × 12 months. This is revenue available from two levers: better conversion AND better retention — both fixable with the right systems.
$0
Additional Ad Spend Required
This growth comes entirely from converting existing leads better and keeping members longer — not from generating more. The 282 unconverted intros and 230 cancelled members are revenue waiting to be recovered.
10 — Case Study
STRONG Pilates Kelowna — 14 Weeks of Results
A STRONG Pilates location that started working with Kaizen Collective in December 2025. Here's what happened when we applied the same principles we're recommending for The Beach TO.
Gross Revenue
$13.1K → $23.7K
+81% in 14 weeks
Total Members
231 → 276
+45 members (+19%)
Intro Offers/Week
1 → 52
Peak week (Jan 5, 2026)
Ad Spend
~$260/wk
$37/day average — not $50-100
Kelowna Weekly Revenue
Gross revenue per week — Dec 8, 2025 to Mar 2, 2026
Kelowna Weekly Intro Offers & New Members
The intake pipeline building over time
Kelowna Cost Per Lead & Contact
Efficient spend = quality leads at low cost
The Kelowna Playbook
Lower spend ($37/day vs $50-100/day). Better lead quality. Proper nurture systems. Focused intro-to-member conversion. The same approach we're recommending for The Beach TO — and it's already working.
Key milestones: Week 1-4 = system setup + first campaigns live. Week 5-8 = intro offers climbing. Week 9-14 = membership conversions accelerating, revenue up 81%.
11 — The Pathway
Your 12-Week Runway to Momentum
This isn't an overnight fix. It's a progressive, structured pathway that builds momentum week by week. Here's exactly what happens and when — no guesswork, no surprises.
First campaign goes live by end of Week 2.
Because we already have access to Hapana Core and Grow, and STRONG HQ sets the offer structure, we can move fast. All we need from you is raw studio media (photos and video) and we handle the rest.
Phase 1
Weeks 1–2
Onramp Fast Track — Foundation & First Campaign Live
Build the marketing ecosystem from scratch. First campaign goes live by end of this phase.
What We Do:
- Full audit of Hapana Grow + Core
- Offer clarity — simplify from 14 intro types to 1-2
- CRM pipeline rebuild — track every stage
- Ad creative design + copywriting
- Nurture sequences built and loaded
- Weekly metrics dashboard set up
- First campaign LIVE
What You'll See:
- Clean, working pipeline in Hapana Grow
- First leads coming in from new campaigns
- Automated nurture sequences firing
- Clear weekly metrics dashboard
- Every lead tracked from ad to account
What We Need from You:
- Raw studio photos (interior, classes, instructors, lifestyle)
- Raw video footage (classes in action, behind the scenes)
- 30-min onboarding call (your goals, your voice, your vibe)
- Confirmation on intro offer pricing
STRONG Advantage: HQ sets the offer + we already have Core & Grow access = 7 days instead of 14.
Phase 2
Weeks 3–6
Attract & Convert — Building the Pipeline
Lower spend, higher quality leads, and a nurture system that actually works.
What We Do:
- Optimise ad campaigns based on live data
- Reduce spend — focus on CPA, not CPL
- Intro offer nurture sequences refined
- Team trained on instant connection systems
- Magic moments framework for intro sessions
- Weekly strategy calls + execution support
What You'll See:
- Intro offer purchases climbing week over week
- Better lead quality (less noise, more intent)
- Team engaging with intros proactively
- First membership conversions from new pipeline
Kelowna at this stage: Intros went from 1/week to 41/week. Revenue climbing from $13K to $15K/week.
What We Need from You:
- Attend weekly strategy calls (30 min)
- Brief your team on the new intro offer flow
- Share feedback on lead quality weekly
- Any new photos/video as they come
Phase 3
Weeks 7–10
Deliver & Retain — Converting Intros to Members
The intro-to-member bridge — where the real revenue lives.
What We Do:
- Intro-to-member conversion systems optimised
- Follow-up cadence for every intro buyer
- Humanised touchpoints at Day 1, 3, 7, 14
- Re-engagement campaigns for 282 unconverted intros
- Reactivation outreach to 59 suspended members
- Cancellation reason tracking system
- Win-back campaigns for 230 cancelled members
- STRONG 4 phase-down strategy
What You'll See:
- Intro-to-member conversion climbing toward 50%
- Membership count growing week over week
- Suspended members reactivating
- Churn rate dropping — cancellation reasons visible
- Revenue growth accelerating
Kelowna at this stage: New members hit 16-17/week. Revenue crossed $20K/week. Members grew from 235 to 274.
What We Need from You:
- Attend weekly strategy calls (30 min)
- Implement team training recommendations
- Ensure instructors follow the magic moments playbook
- Report on intro offer attendance and feedback
Phase 4
Weeks 11–12
Scale & Systematise — Sustainable Growth
Lock in the systems so growth continues without constant effort.
What We Do:
- Quarterly planning + growth sprint
- Ad creative refresh with new performance data
- Advanced segmentation and personalisation
- Team SOPs documented for ongoing execution
- Monthly reporting cadence locked in
Where You Should Be:
- Intro-to-member conversion at 40-50%+ (from 30%)
- CPA cut by 50%+ with same or fewer leads
- MRR trending toward $50K+/month
- A system that runs — not a hustle that exhausts
Kelowna at Week 14: Revenue hit $23.7K/week. Members at 276. Spending just $37/day on ads.
What We Need from You:
- Attend monthly planning session (60 min)
- Fresh creative assets quarterly
- Continue team execution of SOPs
- That's it — the system runs itself
12 — How We Work
Done With You — Not Done For You
We don't just run ads and send reports. We work alongside you — coaching, building, and executing together so the systems become yours.
Weekly Investment
$300
Per week — no lock-in contracts
What's Included
Full DWY
Ads, CRM, copy, design, strategy
STRONG Setup
7 Days
First campaign live within a week
What $300/Week Gets You
The full Kaizen DWY (Done With You) service
Execution
- Meta ad campaign management
- Ad creative design (graphics + video editing)
- Copywriting (ads, emails, SMS, nurture sequences)
- CRM build-out and automation
- Funnel setup and optimisation
Strategy & Support
- Live strategy calls 4x per week
- Monthly growth planning sessions
- Quarterly growth sprints
- Dedicated Slack channel for support
- Weekly metrics tracking and reporting
The math makes itself.
At $300/week ($1,200/month), you need to convert just 8 additional members at $165/month avg to be cash-flow positive on this investment — and the system is designed to deliver multiples of that. Kelowna added 45 members in 14 weeks.
13 — Next Steps
Ready to Fix the Leak?
Here's what happens from here.
1
Confirm & Onboard
Confirm the partnership, get you into our client systems, and schedule your onboarding call.
2
Send Studio Assets
Send us your raw studio photos and video. That's the only thing we need from you to get started.
3
First Campaign Live
Within 7 days, your new marketing ecosystem is built, first campaign is live, and leads start flowing.