top of page

4 Must-Know Numbers for Long-Term BJJ Gym Success



Running a successful BJJ gym takes more than generating new leads, converting new members, and running good classes.


If you want to grow, stay profitable, and build a business that lasts, you need to know your numbers.


While knowing your monthly leads, conversion rate, and monthly sales, understanding the four essential metrics in this article will help pain a clearer picture of your business, especially its long term success potential.


Once you understand them, you'll be able to make smarter decisions, keep members longer, and increase profitability over time.


1. Average Revenue Per Member (ARM)


This metric tells you how much revenue each student brings in, on average, per month.


It gives you a pulse on your pricing strategy, membership tiers, and upsells. If your ARPM is

too low, you're leaving money on the table — even if your mats are full.


Ideally you want to increase your ARM without having to bring on more members. In other words, each member becomes more valuable to you.


How to calculate it:


Total Monthly Revenue ÷ Total Active Members = ARM


How to increase it:


  • Offer tiered memberships (2x/week vs unlimited)

  • Add upsells (private lessons, merch, seminars)

  • Raise rates strategically over time


2. Churn Rate


This is the percentage of members who leave each month.


High churn is the silent killer of BJJ gyms. If you’re constantly replacing members, you’ll burn out and plateau. Lowering churn is usually the fastest way to grow.


How to calculate it:


Members Lost in a Month ÷ Total Members at Start of Month × 100 = % Churn


How to reduce it:

  • Set check-ins at 30, 60, 90 days and yearly after that

  • Use retention-focused email/text automation

  • Build community through buddy systems, belt goals, and events



3. Length of Average Engagement (LEG)


This metric tells you how long your students stick around, on average.


You don’t build a strong academy with trial students — you build it with lifers. The longer people stay, the more value they bring, both financially and culturally.


How to calculate it:


1 ÷ % Churn = LEG


How to increase it:

  • Improve onboarding for white belts

  • Build community

  • Create structured progression paths (curriculum, stripes, belt goals)


4. Lifetime Value (LTV)


This is the real value of each student over the course of their time with your business.


It shows you what a member is worth over the lifetime of their training with you. Knowing this helps you set smarter marketing budgets and decide how much you're willing to spend to acquire a new student.


How to calculate it:


Avg Revenue Per Member (ARM) x Length of Avg. Engagement (LEG) = LTV


Example:


If ARM = $150 and LEG = 24 months, then: $150 × 24 = $3,600 LTV


How to use it:

  • Set a Customer Acquisition Cost (CAC) target (e.g., spend $200–300 to gain $3,600 in return)

  • Forecast revenue more accurately

  • Prioritize retention over short-term lead volume


How These 4 Numbers Work Together


Here's where things get powerful: these numbers aren’t separate — they depend on each other. If you're only focused on one, you're missing the big picture.


Let’s break it down:


ARM × LEG = LTV


You can’t calculate LTV without knowing both. If either number goes up — LTV goes up. That means more profit from every new student.


Churn directly affects LEG


Your churn rate determines how long people stay. High churn = low LEG. Low churn = higher LEG = more revenue, more stability.


Every 1% drop in churn increases your average member lifespan — which boosts your LTV and your monthly revenue.


Most gym owners growth happens with more leads, but thats only half the equation. You need low churn to grow.


LTV determines how much you can spend to get a member


If your LTV is $3,600, you can confidently spend $200–300 to acquire a new student through ads, SEO, referral rewards, or events — and still be highly profitable.


That means:

  • You can scale your ad budget without guessing.

  • You’ll know which lead sources are worth it.

  • You can out-market competitors who don’t know their numbers.


Final Thoughts


These four numbers give you a dashboard for your business. If you're not tracking them, you're flying blind.


Want more revenue? Increase ARM

Want more stability? Reduce churn.

Want more profit per student? Boost LTV.


Want to grow without stress? Know what your numbers allow you to spend to acquire students.


You don’t have to be a spreadsheet nerd to run a successful gym — but if you want to win long-term, you need to treat your academy like a business.


Start with these four metrics. Review them monthly. Improve them systematically. And watch your gym grow — the right way.


If you need help with any of these, book a call.

Comments


bottom of page