Why Do So Many Hotel Managers Overlook the Value of Their Leisure Clubs?

In many hotels across the UK, the leisure club exists quietly in the background—ticking along, absorbing overhead, occasionally praised in guest reviews but rarely a strategic focus. It’s a paradox that those overseeing complex, multimillion-pound hospitality operations often underappreciate one of the few hotel departments with the potential to generate year-round revenue, boost guest satisfaction, and enhance long-term brand value.

Understanding why this happens—and more importantly, what can be done—requires a deeper look at how hotel leisure clubs are perceived, where their value truly lies, and what opportunities remain untapped.

The Leisure Club as a Cost Centre: A Common Misconception

It’s not unusual to hear hotel managers refer to their leisure facility as “just an amenity.” This mindset is often reinforced by spreadsheets: energy bills, maintenance costs, payroll for lifeguards or gym staff—all of which show up long before revenue does. In the absence of clear P&L reporting or segmented income analysis, the leisure club becomes categorised mentally and financially as a liability.

Compounding this is the siloed nature of hotel departments. Sales, F&B, housekeeping, events—each tends to run with its own objectives, KPIs, and leadership. Leisure often falls outside these core commercial silos, leading to its gradual marginalisation.

But perception doesn’t always align with potential.

What Value Does a Leisure Club Actually Offer?

A well-managed hotel leisure club delivers more than just a pool or a treadmill—it’s an experience, a differentiator, and a revenue engine. Consider the following:

Increased Occupancy: According to Booking.com, over 58% of travellers list “wellness facilities” as a key consideration when selecting a hotel. In luxury and family markets, that percentage rises significantly.
Guest Satisfaction: In TripAdvisor reviews, properties with fitness and wellness amenities score an average of 8–15% higher in overall satisfaction ratings. Even when guests don’t use the facility, its presence adds perceived value.
Ancillary Spend: On-site services such as personal training, spa treatments, and fitness classes increase dwell time and secondary revenue—offering margins that rival F&B in many cases.
Membership Income: External memberships from local residents provide a consistent, predictable revenue stream. A hotel with 250 external members at £50/month generates £150,000+ per annum—often with minimal additional operating costs.
Community Integration: In an era where brand loyalty is built on relationships and reputation, the leisure club is one of the few areas where hotels can truly engage local residents beyond the guest room.

Why Hotel Leisure Clubs Are Uniquely Positioned to Succeed

Hotel leisure clubs have something most high-street gyms and budget chains do not: service culture. From front desk warmth to towel service and environment, hospitality is built into their DNA.

This sets the stage for a unique market position:

Atmosphere Over Intensity: Many consumers are intimidated by conventional gyms. Hotel clubs offer a softer landing—a more inclusive, less competitive environment.
Superior Facilities: Pools, spas, steam rooms, and functional spaces rarely found in high-street gyms make hotel clubs naturally more appealing to mature members, families, and wellness-focused consumers.
Brand Prestige: Even independent hotels have a perception of exclusivity. Positioning the leisure club as part of a premium lifestyle offering—rather than a generic gym—can significantly improve uptake and pricing power.
Cross-Selling Opportunities: Guests who enjoy the leisure facilities are more likely to return, refer others, and engage with ancillary services—from spa treatments to afternoon teas. The club becomes an engine for retention, referrals, and repeat business.

A Shift in Focus Can Deliver Remarkable Results

While many clubs operate passively—serving guests, maintaining equipment, and keeping costs under control—those that take a proactive approach to commercial growth are seeing real, measurable returns.

Consider a few examples:

A 4-star hotel in the Midlands increased external memberships by 42% in 12 months by investing in a digital pre-sale campaign and improved member onboarding. Revenue grew by over £80,000 year-on-year—exceeding the cost of investment by more than 4x.
A boutique hotel in Sussex launched a small group PT programme alongside body analysis services. These low-overhead additions added £2,000/month in net new income and required only minor staffing changes.
A hotel in Devon hired a part-time swim school manager who introduced children’s swimming lessons during off-peak hours. This filled an underutilised pool schedule and delivered £30,000+ annually from non-resident families.

These are not outliers—they’re examples of what’s possible when the leisure club is viewed as a business unit, not a by-product.

Small Changes, Big Impact

Turning your leisure club into a revenue-positive contributor doesn’t require a full refurbishment or a radical restructure. It starts with intention, focus, and support.

Here’s what works:

Define Your Goal: Are you maximising guest value, generating external income, or both? Clarity will guide your resourcing and marketing.
Review the Offer: Consider adding small group personal training, wellness programmes, nutrition partnerships, and member-only events. Think like a commercial operator, not just a hotel service provider.
Optimise Systems: Are leads followed up? Is there an onboarding journey? Do your staff have tools to engage, convert, and retain members?
Reposition the Club: Move away from “hidden amenity” to “community hub.” Your leisure club can—and should—stand proudly beside your bar, restaurant, and spa as a reason to stay, return, and recommend.
Empower the Team: Sales training, marketing support, and performance KPIs shouldn’t be reserved for the front desk or F&B. Your leisure staff are part of the commercial engine—equip them accordingly.

Final Thought: It’s Time to Stop Leaving Revenue on the Table

In a sector where margins are tight and guest expectations are evolving, underutilising a potentially lucrative asset is a risk few hotels can afford.

The leisure club is not just a line item on the cost sheet—it’s a brand amplifier, a revenue generator, and a long-term loyalty driver.

With the right support, strategy, and systems in place, your leisure facility could become one of your hotel’s most valuable assets. But it starts with a shift in mindset: from expense to opportunity.

If you’re ready to unlock the true commercial power of your leisure club, we’re here to help you lead the change.

Inside Health Club

Friday, 20 June 2025