Should your Yoga Studio Charge No-Show Fees?

You made it, you built your yoga studio from the ground up.

But now you have to answer the difficult question plaguing every yoga studio owner: are you going to charge no-show fees?

While canceling plans might be fun for some people, late cancellations and no-shows can be a huge headache for your yoga studio.

No-shows lead to empty spaces in the studio while someone else misses out on a class that they could have enjoyed.

Understanding your clients’ needs is crucial to the success of your business. And one of the best ways to keep your members happy is to let them book all the classes they want to attend.

But is charging your members for no-shows the best way to deal if they decide to cancel?

Read on to find out the pros and cons of charging no-show fees.

What Are No-Show Fees?

Fees for no-shows are fines charged to a client who has failed to turn up to a prearranged appointment.

Dental offices have charged fees for no-shows for a while. And the practice has risen in popularity in recent years, as more businesses such as yoga and wellness studios are starting to implement these fees to deter clients from canceling last minute.

The fee may be a fixed amount, a percentage of the missed service, or the full price of the service booked.

Fees for non-attendance are usually outlined in the business’ cancellation and no-show policy.

Deciding on Your No-Show Policy

Before you consider whether you will charge members for not turning up, you need to establish a clear policy regarding cancellation and no-shows.

To protect your members and inform them of how your business operates, your policy should appear on the contract they sign when they join. It should also be on your website and can be included as a disclaimer in confirmation emails.

Your cancellation and no-show policy should include the following information:

Cancellation window

A cancellation window is a period before classes start during which members can no longer cancel without paying the no-show fee.

It is very possible that a client may need to cancel a yoga class due to anything from illness to work to a personal emergency.

As such, a class cancellation window encourages members to notify the studio in advance, but also offers them some flexibility in case something comes up.

Your studio’s cancellation window is up to you. It’s rare for a cancellation window to be as excessive as 24-hours, but cancellation windows can range from a lenient 1-hour window to a stricter 12-hour window.

Cancellation method

While it is argued that our ability to cancel plans with a simple touch of a button has made bad behaviors socially acceptable, the technology does make life a lot easier.

Many yoga studios no longer accept phone or email cancellations. Instead, they insist that members must cancel their class online or via the studio’s client app.

This makes it easier for members to cancel, meaning that they are more likely to inform you than to just not show up. And, having an automated system in place also makes it easier to notify members on the waiting list that space opened up.

It also frees up reception staff for dealing with other issues. This way they won’t be tied to the phone answering cancellation calls and contacting other members about last-minute spaces in the class.

Fee for no-shows

If you do decide to charge fees for no-shows then your policy needs to be very clear on how much they are.

Typical fees can vary from $10 to as much as $25 for members who fail to show up to a reserved class.

For non-members who have booked a single class, this could mean forfeiting the cost of the class. Or, depending on the cost of a single class, you could take the fee out of the class price and refund the rest.

If you do decide to implement a fee for no-shows, you should make a point of sending out confirmation and reminder emails about a booked class. For transparency, these emails should contain information about the fee for no-shows as well as the cancellation window.

Fee payment

As well as the fee amount, your policy should make it clear how and when you will take the money from the client if they fail to show up to a class.

You might choose to send a reminder notice about the no-show policy so that your client is made aware of the charge again before you take the money.

The easiest way to take the money is via the card they use to pay their monthly membership fees.

If they have booked a one-off class as a non-member then they would most likely have paid for the class already. If not, you can use their payment card to deduct the appropriate fee for their missed class.

The Pros of Charging a Fee for No-Shows

Here are some of the reasons that more and more yoga studios are deciding to charge their members fees for no-shows:

1. Places value on your business

While you want your members to view your studio as a supportive space for all students of yoga, it is also a business.

Charging members a fee for not showing up to a yoga class they have booked highlights the value of the services you offer.

A no-show means that a place in a class taught by one of your highly qualified instructors is going to waste unnecessarily.

If a member fails to turn up for the class, some might argue that the business has already made money from the client through their membership fees. But, an empty space in a yoga class means that another paying member is being kept from participating.

2. Recovers lost revenue

That said, charging a fee for no-shows can help to recuperate money from potential lost income due to skipped classes.

If repeat offenders regularly book up places and fail to show up, this may cause members who often miss out on a place to go to one of your competitors.

And, some of those who missed out might have been non-members looking to book a one-off class. Not only have you lost the cost of a class drop-in charge, but you may have also put off a potential new member.

3. Increases class availability

If you operate a busy yoga studio, charging fees for no-shows can help make sure that there is more class availability for those who are committed to attending the class.

After all, people who are unsure are less likely to reserve a place in a class if they realize they will be charged for missing it.

4. Encourages attendance

Ideally, everyone would attend the classes they book and you would not have to charge anyone a fee for not showing up.

The idea of paying a fee for skipping a yoga class might be enough to motivate your members, and especially your ‘repeat offenders’, to show up.

5. Helps create a more courteous environment

A supportive, nurturing environment is a crucial part of a successful yoga studio.

Charging fees for no-shows should be emphasized to deter behavior that disrupts the harmony of your studio.

By encouraging class-skippers to show courtesy to their fellow students and cancel in good time, it helps create an environment where members are more considerate towards their fellow yoga students.

As a result, this may reduce the frequency of other disruptive behavior, such as arriving late to class.

The Cons of Charging a Fee for No-Shows

Here are some potential disadvantages to charging members a fee when they fail to show up for a class:

1. May cause regular class-skippers to leave

A sudden change in your policy may drive regular no-shows away.

To consider how harmful that would be to your yoga studio, you would need to weigh up the membership-revenue you earn from these repeat offenders against the cost of them missing classes.

If your no-show members generate more money than they cost you, then charging for no-shows might not be the best choice for your yoga studio.

2. Creates resentment

Your members may resent having to pay a fee for skipping a class. These unhappy members may complain to friends and relatives or may write bad reviews online. This, in turn, may affect your ability to attract new members.

Additionally, your employees may have to deal with angry members when they receive notification about being charged a fee for a missed class.

3. May alienate busy members

Charging those who cancel late or fail to show up might make your yoga studio seem inflexible.

If your yoga studio attracts busy parents or those with tough work schedules, then you might run the risk of upsetting most of your members.

Unavoidable problems and schedule conflicts do happen, and often last minute. Members may not even remember that they have a yoga classed booked if an emergency crops up. And even if they do, canceling is probably the last thing on their mind.

Alternative Options for No-Shows

If you are unsure whether charging for no-shows is the right choice for your yoga studio, you might be wondering what your alternative options are.

Here are some other ways to deal with members who fail to turn up to class:

1. Do nothing

Implementing a no-show policy isn’t easy. You may find it difficult to reprimand no-shows, especially if you are still establishing your yoga studio.

For some studio owners, taking no action might seem like the easiest way to avoid upsetting their clients. Or, some may defer to it as an interim option while they are still deciding on how their no-show policy will work.

2. Send a message

If you use an app for bookings and cancellations in your yoga studio then an alternative to fining no-show members is to send a missed class notification.

Or, you could arrange for an automated email or SMS message to be sent when a member fails to show up to class.

It’s important to get the tone right for a message like this, especially as you don’t know the reason for their absence. Make your message polite and caring. But, the message should remind them that they should have given you the appropriate class cancellation notice.

Sending a message offers a good middle ground for some yoga studio owners. It avoids direct confrontation but does enable them to discourage last minute cancellations.

3. Restrict reservation privileges

One way to deter members from not showing up without charging them a fee is to restrict their right to reserve classes in advance.

For example, if a member fails to show up for a certain number of classes, their right to book in advance may be restricted for a certain period of time. This would mean that if they wanted to attend any classes during this period, they can only take a place on stand-by.

Although some yoga studio owners see this as an effective option to deter members from canceling, others see it as potentially damaging to their business.

Taking away a client’s right to book classes in advance might make them reconsider whether they want to continue attending your studio.

And, for someone who was too busy to attend or cancel in time, making their life more complicated might not be the best way to retain their business.

Should I Charge a Fee for No-Shows?

Only you can decide whether the benefits of charging no-show fees outweigh the possibility of putting off some of your members.

But whichever way you decide, it may be time to consider looking into other ways to help make your yoga studio more efficient.

To discover how WellnessLiving can help you improve your business and strengthen the relationship between you and your members, request a demo today.

We’d love to help you take your yoga studio to the next level!