Podcast Episode Summary

Podcast: Pilates Business Podcast
Host: Seran Glanfield
Guest: Julian Barnes, Co-founder & CEO of BFS
Episode: Small Studio, Big Profit: What the BFS Pilates Industry Report Reveals About Top-Performing Studios
Date: November 17, 2025

Episode Overview

This episode explores findings from the 2024 BFS Pilates Industry Report, focusing on what sets profitable boutique Pilates studios apart from the rest. Host Seran Glanfield and Julian Barnes dissect data-driven insights on revenue, profit margins, management structures, and operational best practices. Studio owners and aspiring entrepreneurs receive actionable benchmarking information, evidence-backed strategies, and validation that sustainable profit is attainable—regardless of studio size or franchise affiliation.

Key Discussion Points & Insights

1. Purpose and Evolution of the BFS Industry Report

• History & Motivation ([03:14]–[05:38])
  • BFS has produced industry reports since 2018, evolving from simple surveys to highly data-driven resources.
  • Post-COVID, reports are more comprehensive and actionable, intended as a "dashboard" to help owners benchmark and make well-informed decisions.
  • The latest report draws from a broad and diverse sample: 500+ studios across US states, Canada, UK, Australia, and more—focusing only on profitable, primarily independently owned studios.
  • Quote: "A report is a dashboard for the business owner. You can't fly blind."
    — Julian Barnes, [04:34]

2. Industry Data Sample Origin

• The report filters out non-profitable or break-even respondents; data thus reflects the realities, challenges, and achievements of profitable studios.
• 71% of participating studios have a single location; most are not franchise or PE-backed.
• Anchor context for listeners: findings are highly relevant for "mom and pop" Pilates studios across urban, suburban, and rural locales.

3. Key Findings: What Drives the Most Profitable Studios?

a. The Power of Dedicated Management

• The 'Dedicated Manager' Discovery ([08:42]–[13:17])
  • Studios with the highest revenues and profit margins consistently have a dedicated manager—not an instructor doing a few extra admin hours, but someone whose primary role is running business systems (Standard Operating Procedures, or SOPs).
  • The FER Framework: Find (new leads), Enroll (convert leads), and Retain (minimize churn, maximize client lifetime value).
  • Quote: "The studios that had the highest total revenue and the highest profit margin have a dedicated manager."
    — Julian Barnes, [08:47]
  • Owner-operators who dedicate significant time to business management (not just teaching) can match or surpass these results, even if they don't hire externally.

b. Studio Models and Goals

• Owner-operators can achieve solid profit margins, but dedicated management correlates with higher total revenue.
• The importance of aligning business structure to personal and financial goals: is your aim maximum income or lifestyle flexibility?

c. Revenue, Profit Margins, and Studio Size Benchmarks

• Headline Results ([14:37]–[17:24])
  • Average profitable Pilates studios report over 20% profit margins (many reaching 35–40%).
  • Approximately 35% of profitable Pilates studios earn over $1 million annually; another 35% earn between $500K–$1M.
  • Reductive conclusion: "You can run a profitable Pilates studio at a half million in revenue and their profit margin was more than 20%."
    — Julian Barnes, [15:16]

d. Pilates vs. Other Boutique Modalities

• Pilates outperforms other modalities:
  • All studios (across modalities): 10–19% margin
  • Strength studios: 10–19%
  • Yoga studios: <10%
  • Pilates: 20%+ margin, with top performers even higher ([17:24])
• Reasons for Pilates' Profitability ([17:30]–[20:47]):
  • Smaller spaces and no-frills buildouts result in lower rent and payroll.
  • Many studios operate without front desk staff; instructors double as customer-facing personnel.
  • Scarcity effect: Limited class sizes (6–12 reformers) enable premium pricing.
  • Luxury amenities unnecessary for high profit.
  • Quote: "Smaller spaces, smaller rent, smaller payroll, higher profits, higher profit margin. It's not rocket science."
    — Julian Barnes, [20:34]

4. Looking Forward: Continuous Assessment & Industry Development

a. The BFS Assessment Tool ([21:15]–[25:17])

• BFS now encourages quarterly assessments rather than annual reports; tool is free and benchmarks users against similar-sized profitable peers.
• Owners receive a scorecard with 5 key KPIs: new leads/month, conversion rates, recurring payments, churn, and lifetime value (LTV).
• Plans for BFS100, a showcase of 100 innovative, profitable studios worldwide (not a ranking, but case study spotlights).

b. The Role of Data & Context

• Emphasis on understanding data in context—case studies and broader narratives matter as much as metrics ([25:17]).
• Quotes:
  • "All data is interesting, but it always makes so much more sense when there's context behind it."
    — Seran Glanfield, [25:31]
  • "There's probably less that's new and shocking and surprising... It's validation that the basic rules of running a profitable business are in effect here."
    — Julian Barnes, [26:31]

Notable Quotes & Memorable Moments

• “It's the dedicated business management time that is the critical piece.”
  — Seran Glanfield, [13:18]

• “The number one most effective lead gen tactic among profitable studios across all modalities is referrals—by far. Like 100% higher than number two, which is paid ads.”
  — Julian Barnes, [29:57]

• “There's no magic bullet in this report ... The basics are: find new leads consistently, primarily through referrals and a little bit of digital ads, implement SOPs ... deliver a phenomenal experience ... convert them into members ... keep them for as long as possible. Those are the basics. And the studios that implement those basics consistently and rigorously have higher total revenue and higher profit margin. It's just that simple.”
  — Julian Barnes, [30:40]

Timestamps for Key Segments

| Segment | Timestamp | |-------------------------------------------|-------------| | Introduction & episode context | 00:00–03:07 | | Why BFS started publishing reports | 03:14–05:38 | | Data origins and participant breakdown | 06:28–08:27 | | Key finding: role of the dedicated manager| 08:42–13:17 | | Owner models & dedication | 13:18–14:37 | | Revenue & profit margin benchmarks | 14:37–17:24 | | Pilates vs. yoga, strength, other modalities|17:24–20:47| | Why Pilates studios excel in profitability| 17:30–20:47 | | Ongoing assessments & BFS100 | 21:15–25:17 | | The value of data + context | 25:17–27:37 | | Focus on independently owned businesses | 28:37–33:14 | | How to get the report and participate | 33:24–34:15 |

Practical Takeaways for Studio Owners

• Dedicated management—either via hiring or owner time allocation—is pivotal for maximizing both revenue and profitability.
• Profitable studios excel through basics executed consistently: strong referral systems, focus on client experience, rigorous SOPs for lead generation and retention.
• High profitability does not require franchise backing, large scale, or luxury amenities.
• Studio size is less relevant than operational focus and disciplined management.
• Quarterly benchmarking via the BFS assessment tool provides actionable KPIs for real-time improvement.

Resources

• Read the full report/take the assessment: bfspilatesreport.com

This summary distills the episode’s major insights, memorable moments, and actionable advice—allowing you to benchmark, strategize, and validate your own Pilates studio business journey.