CrossFit Silicon Valley Team W Chris Cedro Yupeng Gao Kyle Kaido Bob Wang

What is CrossFit? CrossFit is a strength and conditioning system that combines Olympic weightlifting, gymnastics, sprints, and functional movements with little time to rest between sets. Designed for scalability, allowing it to be applicable to individual regardless of experience. Police and fire departments, as well as branches of the military are basing more and more of their physical training on the CrossFit methodology.

CrossFit Silicon Valley (CFSV) Founded in Coaches = 76 years of combined fitness experience and 15 years of CrossFit experience. (2) Level Two certified trainers Classes per week: 42 Current membership: ~100

CFSV Positioning Map

CFSV’s Current Situation Membership growth is flat. Basic marketing program or strategy. –Word of mouth –Membership discount on pre-paid months CrossFit for Kids Sports Specific ProgramMobile Fitness Program

CFSV Total Addressable Market

Company Initiatives to lower Health Care Costs

CFSV Strategies CrossFit for Kids - Requires CrossFit Kids certificated trainers - Requires displace a regular class Sports Specific Program -Contradict with CrossFit’s philosophy - Requires specialized trainer

CFSV Strategies Mobile Fitness Program - Can utilize existing trainer staff - Wouldn’t conflict with existing classes - It is a viable standalone business - Leverage CrossFit Mobile as a marketing tool to create CFSV brand awareness - Leverage CrossFit Mobile to convert new members to core business at the gym

Marketing Strategy Price8 sessions / $70 PlacementSmall businesses with employees within a 5 mile radius of CFSV Promotion1st class is free for trial ProductHealth and fitness PeopleCFSV employs 9 certified trainers Physical Environment Outdoors on company parking lots. Area of 5-7 empty parking spaces is required

Marketing Strategy Hook the trailer Clients stretch and warm up Workout of the day Cool down / Stretch Leave for next location Skill development Drive to location Trainers assist those struggling CFSV Service Flowchart

Implementation Timeline Months

Implementation Companies Sanmina Corporation Bell Microproducts Iron Mountain Synaptics Traits employees Within 5-mile radius of CFSV

Implementation Value Proposition –Happier and healthier employees –Increased productivity –Lower absentee and health insurance costs Concerns –Down economy –Potential injuries

Mobile Conversions Conversions drive growth at current CrossFit facility Success is dependent on company and employee participation rates. Conversions drive growth at current CrossFit facility Success is dependent on company and employee participation rates.

Income Statement

Income Comparison Bottom line growth a result of increased full-time memberships.

How to Measure Success: Session Frequency –Need to keep sessions at 8 per week Employee Participation Rate (15%) Conversion Rate (10%) – Mobile participants to CFSV Operating Margin –Control expenses –Separate Mobile from Classic

Thank You Questions???