90.2K

Verified Solution

Link Copied!

"Fitness: your way, any way" is the motto of AnyWay Fitness's first Al-assisted, wellbeing consultation programme. Anyway Fitness is a central-city gym that focuses on all aspects of physical wellness. The gym works with a changing roster of fitness instructors and caterers to produce a varied gym schedule and in-house catering. Given the variety of customer needs, instructors, and caterers, the gym is developing a system to help members understand their needs and how they can get the most out of the schedule. Arnaldi Schwartz is Head of Fitness Programs. You are working with him to examine issues around the implementation of the new programme. Having worked with him on a linear programme to plan the membership mix and resource requirements, Arnaldi has several questions relating to pricing, bookings, and duration of consultations.

"Fitness: your way, any way" is the motto of AnyWay Fitness's first Al-assisted, wellbeing consultation programme. Anyway Fitness is a central-city gym that focuses on all aspects of physical wellness. The gym works with a changing roster of fitness instructors and caterers to produce a varied gym schedule and in-house catering. Given the variety of customer nec.ds, instructors, and caterers, the gym is developing a system to help members understand their needs and how they can get the most out of the schedule. Arnaldi Schwartz is Head of Fitness Programs. You are working with him to examine issues around the implementation of the new programme. Having worked with him on a linear programme to plan the membership mix and resource requirements, Arnaldi has several questions relating to pricing, bookings, and duration of consultations. Arnaldi is rethinking his current pricing strategy where current members are charged $880 and new members are charged $640 for an eight-week fitness course. He is concerned that current members paying a higher price will feel cheated as they are getting the same consultation experience for a different price point. He worries that: "they get the same entitlement to 5 meals a week, same 15 minutes a week of consultations, and access to the same gym facilities. How is this fair?" You offer to help him brainstorm pricing approaches for the program. Required: Identify the type of sorting mechanism being used in the current pricing structure. Describe the resource(s) currently needed to differentiate customers using that mechanism

Answer & Explanation Solved by verified expert

See Answer