Each year, Jackrabbit compiles years of data from different-sized dance studios from around the world. This data makes the Dance Studio Industry Benchmark Report and provides an impactful resource for businesses to base decisions on.
When looking at the 2024 Dance Studio Industry Benchmark Report three big takeaways stand out from any other year’s data. Let’s look at these takeaways and why they are important to your business.
Customer & Staff Loyalty
While a focus on staff happiness has been a trend in previous years’ benchmark reports, this year’s findings saw an enhanced dedication to increasing staff wages and a positive work environment. Studios that invested in staff development and retention strategies fared better than their counterparts. Studios also put a focus on continued investment in digital tools to aid in simplifying their business model. This took some pressure off of teachers and administrators, especially when it came to online payment processing and policy agreements.
Customer loyalty is always at the forefront of a business owner’s mind. This year’s data showed a small increase in tuition with the average increase sitting at 3%. With this increase, business owners and managers put their focus on family engagement. By offering additional options like parent portals, live streaming services and a mobile app dance studios saw the benefits in younger student retention and customer satisfaction.
Enrollment Growth
The words ‘enrollment growth’ are magic to dance owners and managers. This year’s benchmark report found that there was consistent, but stabilized growth across all dance studio sizes. With data showing a high engagement with digital tools, studios everywhere should take note of how diversifying services, special events, and merchandise sales may be the answer to continued revenue growth for smaller and mid-sized studios.
Revenue & Expenses
Like most businesses, dance studios found new ways to maximize their budgets. While tuition fees rose a small percentage in 2023, many dance studios worked to balance rising costs, profitability, and remaining a competitive option in their geographic area. This, coupled with inflation and supply chain issues highlighted the need for financial planning and budget management.
Expect dance studios everywhere to put their tuition, expenses and discount policies under a microscope in the coming months to make sure they are maximizing their revenue potential.
Read the 2024 Dance Studio Industry Benchmark Report to take a deep dive into the data and see how your business measures up against the masses. The key takeaways, trends, and additional insights in the benchmark report will give you ideas on how to make this year your best yet.
