What Are The 5 KPIs For Trapeze And Aerial Arts Lessons?
KPI Metrics for Trapeze and Aerial Arts Lessons
For Trapeze and Aerial Arts Lessons in 2026, focus on maximizing occupancy and controlling labor costs You need to track 7 core KPIs weekly, especially your Gross Margin, which should target 920% or higher, given the low 80% COGS structure (30% safety supplies, 50% equipment fund) The key operational lever is increasing the 450% Occupancy Rate forecast for 2026 toward the 800% target by 2030 Fixed costs are substantial, including $12,000/month for the facility lease and $2,500/month for specialized liability insurance Monitoring Customer Lifetime Value (CLV) against a low Customer Acquisition Cost (CAC) is crucial, especially since Digital Marketing is budgeted at 80% of revenue initially Reviewing these metrics monthly ensures profitability
7 KPIs to Track for Trapeze and Aerial Arts Lessons
#
KPI Name
Metric Type
Target / Benchmark
Review Frequency
1
Occupancy Rate
Measures physical asset utilization; calculate as Enrolled Slots / Total Available Slots
450% in 2026
weekly
2
Gross Margin %
Indicates direct profitability after consumable supplies and equipment fund; calculate as (Revenue - 80% COGS) / Revenue
920%
monthly
3
Customer Acquisition Cost (CAC)
Measures cost efficiency of lead generation; calculate as Digital Marketing Spend (80% of revenue) / New Customers
CAC < 1/3 CLV
monthly
4
Revenue Per Available Slot (RevPAS)
Measures pricing and utilization efficiency per class slot; calculate as Total Class Revenue / Total Available Slots
maximization
weekly
5
Staff Labor %
Tracks labor cost efficiency relative to revenue; calculate as Total Wages ($288,000 annual 2026) / Total Revenue ($107M annual 2026)
below 30%
monthly
6
MRR Churn Rate
Measures revenue lost from existing students canceling or not renewing; calculate as Lost MRR / Starting MRR
beloew 50%
monthly
7
Breakeven Enrollment
Determines the minimum number of students needed to cover $42,150 in monthly fixed costs; calculate as Fixed Costs / Average Revenue Per Student Contribution
achieved by January 2026 (1 month)
monthly
What is the most effective revenue lever: price, volume, or mix?
The most effective revenue lever is volume stability within the core offerings, specifically Flying Trapeze, because its low enrollment elasticity allows for minor price increases without significant volume loss, though Corporate events offer the highest per-transaction dollar value. Understanding how these streams interact is key to managing your operating costs, which you can read more about here: What Are Trapeze And Aerial Arts Lessons Operating Costs?
Gross Profit Contribution Levers
Flying Trapeze (FT) classes maintain a solid 75% contribution margin based on current variable costs.
Aerial Silks (AS) classes show a slightly better margin at 80% due to lower equipment wear and tear.
Corporate team-building events yield the highest dollar value per transaction, averaging $1,500 per booking.
However, Corporate events carry a higher effective fixed cost load, dropping their net margin contribution to 65%.
Enrollment Elasticity Snapshot
FT enrollment is defintely inelastic; a 5% price hike only causes a 2.5% drop in filled spots.
AS enrollment is moderately elastic; a 5% price hike results in a 7.5% reduction in daily attendance.
If you raise the AS monthly fee by $15, you lose about 3-4 regular students per class cycle.
Volume is the primary lever for AS; focus on filling the 12-person capacity before testing price increases there.
How efficiently are we utilizing our fixed assets and labor?
Hitting a 450% Occupancy Rate with 50 FTE in 2026 requires precise scheduling to ensure labor isn't idle or overworked. This utilization check determines if your fixed labor cost base can support your aggressive revenue targets, so you must map instructor hours directly to class demand.
Staffing vs. Capacity Target
Calculate total available instructor hours from 50 FTE.
Determine required coverage hours for 450% Occupancy.
Idle time rises if scheduled hours exceed class needs.
Overtime spikes if coverage requires more than 50 FTE.
Asset Throughput and Planning
High occupancy means assets are defintely busy.
Map class load against facility operating hours.
Use fixed labor costs to stress-test scheduling density.
Are we retaining students long enough to maximize Customer Lifetime Value?
Retention is the make-or-break factor for maximizing Customer Lifetime Value (CLV) in your monthly fee structure, and we need hard data to confirm if initial enthusiasm translates past the first quarter. Before you worry about scaling, review the fundamentals of getting started, like How Do I Launch A Trapeze And Aerial Arts Lessons Business? If your Customer Acquisition Cost (CAC) is, say, $200, students must stay for at least 4 months paying $50/month just to break even on acquisition costs before profit starts accruing. Honestly, defintely focus on Month 3.
Pinpoint Early Churn
Track student drop-off at 30, 60, and 90 days.
Month 3 is where novelty fades; watch for spikes here.
Calculate average monthly retention rate precisely.
If retention is below 85% after 3 months, CLV suffers.
Ensure CLV Outpaces CAC
Aim for a CLV to CAC ratio of at least 3:1.
If CAC is $150 and monthly net revenue is $45, you need 3.3 months tenure.
High-value retention means moving students to advanced tiers.
Focus on community building to lock in long-term commitment.
What is the minimum cash buffer needed to cover fixed costs during seasonal dips?
The minimum cash buffer needed is the amount that protects your $995,000 projected cash balance in January 2026 from unexpected operational shortfalls or planned capital expenditures (CapEx) during seasonal lows. Before finalizing this, you must map out the precise monthly cash burn rate, which dictates how long that reserve can sustain operations if revenue drops sharply; this planning is critical, much like when you consider How To Write A Business Plan For Trapeze And Aerial Arts Lessons?
Setting the Safety Floor
The $995,000 minimum cash target for January 2026 must cover at least 6 months of fixed overhead.
Calculate the monthly cash burn rate (total outflows minus inflows) for the slowest quarter.
Ensure this buffer can absorb planned CapEx without dipping below the minimum threshold.
We defintely need to stress-test the model against a 20% drop in class enrollment fees.
Managing Operational Fluctuations
If fixed costs are $50,000 monthly, you need $300,000 for a 6-month safety net.
Identify variable costs tied to class volume, like instructor overtime or specialized equipment maintenance.
Use the buffer to smooth out large, infrequent expenses, such as annual insurance premiums.
Focus on driving corporate team-building revenue during off-peak adult class seasons.
Key Takeaways
The primary financial goal is achieving a 920% Gross Margin by strictly controlling the 80% Cost of Goods Sold allocated to supplies and equipment funding.
Given substantial fixed costs of $18,150/month (OpEx), maximizing asset utilization through an aggressive 450% Occupancy Rate target in 2026 is the most crucial operational lever.
Efficient labor management is essential, requiring close monitoring of Staff Labor % to support high revenue targets without incurring excessive costs against the substantial 2026 wage budget.
Founders must prioritize monitoring Customer Lifetime Value (CLV) against Customer Acquisition Cost (CAC) while ensuring the minimum cash buffer covers fixed costs during any seasonal dips.
KPI 1
: Occupancy Rate
Definition
Occupancy Rate measures how much you use your physical assets, like studio time or equipment. For your aerial arts business, this metric tells you if you're maximizing the teaching time available for flying trapeze and circus skills classes. Hitting the 2026 target of 450% means you're running classes far beyond single capacity, likely through staggered scheduling or high-density booking.
Advantages
Directly links scheduling to revenue potential.
Identifies underutilized class times needing promotion.
Guides decisions on adding new equipment or instructors.
Disadvantages
Can incentivize overbooking leading to instructor burnout.
A high rate might hide low Revenue Per Available Slot (RevPAS).
Doesn't account for student experience quality.
Industry Benchmarks
For standard fitness studios, 100% utilization is often the theoretical max for a single time slot. Reaching 450% suggests a highly efficient, perhaps multi-layered, scheduling system unique to your specialized offering. You must compare your rate against other specialized activity centers, not general gyms, to get a fair read on performance.
How To Improve
Analyze weekly utilization data to find low-performing slots.
Implement dynamic pricing to boost enrollment during off-peak times.
Bundle low-occupancy classes with high-demand workshops.
How To Calculate
You calculate this metric by dividing the total number of spots filled by the total number of spots you made available. This shows your physical asset utilization. You need to track this weekly to stay on course for the 2026 goal.
Occupancy Rate = Enrolled Slots / Total Available Slots
Example of Calculation
Say in a given week, you schedule 100 total slots across all your aerial classes, meaning 100 is your Total Available Slots. If your progressive curriculum allows students to book multiple sessions per slot, you might enroll 450 students into those time blocks. That means you hit your utilization target for that period, even if the raw number seems high.
Occupancy Rate = 450 Enrolled Slots / 100 Total Available Slots = 4.5x or 450%
Tips and Trics
Review this metric weekly, as planned.
Ensure 'Available Slots' reflects actual instructor capacity.
Track utilization by specific equipment type, like trapeze vs. silks.
If utilization lags, immediately review marketing spend defintely.
KPI 2
: Gross Margin %
Definition
Gross Margin Percentage shows your direct profitability. It tells you how much revenue is left after paying for the direct costs tied to delivering your aerial arts lessons. For Soar Circus Arts, this metric isolates the profitability of the core service before you account for rent or marketing spend.
We calculate this metric by subtracting the Cost of Goods Sold (COGS) from revenue. Your target here is 920%, reviewed monthly, based on an assumed 80% COGS structure. Honestly, that target seems high, so we need to watch the inputs closely.
Advantages
Pinpoints efficiency of consumable supplies usage.
Directly measures pricing power against direct costs.
Helps set minimum viable price points for workshops.
Disadvantages
It completely ignores fixed overhead costs like facility lease.
The 80% COGS assumption might lump in non-variable costs.
A high margin doesn't mean you're profitable if volume is too low.
Industry Benchmarks
For specialized fitness and experience centers, Gross Margin often sits between 50% and 75%. If your model relies on 80% COGS, you are operating on the thin edge of the wedge, leaving only 20% for everything else. Achieving the stated target margin requires rigorous control over those direct costs, especially the equipment fund allocation.
How To Improve
Reduce the cost allocated to consumable supplies per student session.
Increase class size slightly without adding direct variable inputs.
Audit the equipment fund calculation monthly to prevent over-reserving funds.
How To Calculate
You calculate Gross Margin by taking total revenue, subtracting the direct costs (COGS), and dividing that result by the revenue. This shows the percentage of every dollar earned that remains after direct costs are covered. Remember, COGS here includes consumable supplies and the equipment fund.
(Revenue - 80% COGS) / Revenue
Example of Calculation
Say your monthly revenue from class fees hits $75,000. If your direct costs, including supplies and the equipment reserve, total $60,000 (which is 80% of revenue), here's the math for your margin.
In this example, you're left with 20 cents on the dollar to cover all your fixed costs and profit. That's a long way from the 920% target, so you'd need to drastically cut that 80% COGS figure.
Tips and Trics
Track consumable supplies separately from the equipment fund reserve.
If margin drops below 20%, pause new marketing spend immediately.
Ensure the 80% COGS assumption is validated against actual spending in Q1.
Use this metric to stress-test your Breakeven Enrollment needs.
KPI 3
: Customer Acquisition Cost (CAC)
Definition
Customer Acquisition Cost (CAC) tells you exactly how much cash you spend to sign up one new student for trapeze lessons. It's the primary measure of how efficiently your marketing dollars turn into paying customers. If this number gets too high, your growth engine stalls, no matter how great the classes are.
Advantages
Shows marketing spend effectiveness versus new enrollments.
Helps set realistic budgets for digital campaigns.
Allows direct comparison against Customer Lifetime Value (CLV).
Disadvantages
It often ignores non-digital acquisition costs, like referrals.
It can fluctuate wildly if new customer volume is low.
It doesn't measure the quality or retention of those new customers.
Industry Benchmarks
For specialized fitness or experience services like aerial arts, a healthy CAC is often benchmarked against the expected CLV. A common rule of thumb is keeping CAC below one-third of the CLV. If your average student stays for a year and pays $150/month, your CLV is $1,800, meaning you should aim for a CAC under $600.
How To Improve
Optimize digital ad targeting to reduce wasted spend.
Focus on high-converting lead magnets, like a cheap intro class.
Improve website conversion rates to capture more leads from existing traffic.
How To Calculate
You calculate CAC by dividing the total amount spent on digital marketing by the number of new customers acquired during that period. For this business, the Digital Marketing Spend used in the calculation should represent 80% of total revenue generated that month. This ratio shows the cost efficiency of your lead generation efforts.
CAC = Digital Marketing Spend / New Customers
Example of Calculation
Let's run a quick example based on the structure provided. If your total revenue for the month was $50,000, the Digital Marketing Spend component is calculated as 80% of $50,000, which equals $40,000. If that $40,000 spend resulted in 100 new students enrolling in classes, here is the math:
CAC = $40,000 / 100 New Customers = $400 per Customer
This $400 CAC must be compared against your target: it must be less than one-third of what that student is expected to spend over their entire time with you (CLV). If the CAC is $400, your CLV needs to be at least $1,200 for this acquisition strategy to be profitable.
Tips and Trics
Track CAC segmented by channel (e.g., Instagram vs. Google Search).
Review the CAC to CLV ratio every single month.
Ensure 'New Customers' only counts first-time paying clients.
If onboarding takes 14+ days, churn risk rises due to cooling interest; defintely track time-to-first-class.
KPI 4
: Revenue Per Available Slot (RevPAS)
Definition
Revenue Per Available Slot (RevPAS) shows how effectively you price and fill every single class spot you offer. This metric combines your pricing strategy with your utilization rate, telling you the actual dollar value generated by one available time slot. You need to maximize this number weekly to ensure you aren't leaving money on the table.
Advantages
Links price setting directly to physical capacity.
Highlights underpriced or under-filled classes fast.
Drives weekly focus on maximizing revenue per hour.
Disadvantages
Ignores the actual cost to run that specific slot.
Can push prices too high, hurting Occupancy Rate.
Doesn't account for high-value one-off workshops vs. recurring fees.
Industry Benchmarks
For specialized instruction like aerial arts, RevPAS benchmarks vary widely based on class size limits. A high RevPAS often means you are successfully commanding premium pricing for specialized instruction, perhaps exceeding $50 to $100+ per slot depending on the instructor seniority and class type. If your RevPAS lags, you're likely leaving revenue on the table or your pricing tiers aren't aligned with demand.
How To Improve
Implement dynamic pricing for peak vs. off-peak slots.
Bundle lower-demand slots with premium offerings.
Raise the base monthly fee if Occupancy Rate hits 80% consistently.
How To Calculate
You calculate RevPAS by dividing your total revenue by the total number of slots you made available for sale. This is the core metric linking your pricing decisions to your physical inventory management. If you are trying to cover $42,150 in monthly fixed costs, maximizing this number is how you get there efficiently.
Total Class Revenue / Total Available Slots
Example of Calculation
Say you generated $15,000 in total class revenue last week, and you offered 100 available slots across all programs, including trapeze and youth workshops. This calculation shows the efficiency of that inventory for the week.
$15,000 / 100 Slots = $150.00 RevPAS
Tips and Trics
Segment RevPAS by class type (e.g., Trapeze vs. Team Building).
Compare weekly RevPAS against the prior month's average.
Use this metric to justify instructor pay tiers.
If utilization is high but RevPAS is low, raise prices now.
KPI 5
: Staff Labor %
Definition
Staff Labor Percentage tracks how much of your revenue you spend on wages. It's your primary measure of labor cost efficiency. If this number is too high, you're paying too much for the revenue you generate; if it's too low, you might be understaffed and risking quality.
Advantages
It directly links payroll spending to sales performance.
It flags when you need to hire more instructors or reduce hours.
It's a key input for forecasting future profitability accurately.
Disadvantages
It doesn't distinguish between high-value instructors and admin staff.
It can be skewed by large, one-time revenue events.
It hides the cost of employee turnover and retraining.
Industry Benchmarks
For specialized fitness and experience providers, labor is usually the largest variable cost. A target below 30% is considered lean and healthy for scaling operations. If you're running a high-touch, premium service, you might see this creep toward 35%, but anything above that needs immediate review.
How To Improve
Increase class size limits up to the safety maximum.
Use technology to automate student check-ins and billing tasks.
Incentivize instructors based on student retention, not just hours taught.
How To Calculate
You calculate Staff Labor Percentage by dividing your total annual wages by your total annual revenue. This gives you the percentage of every dollar earned that pays for your team. You must review this monthly to stay ahead of cost creep.
Example of Calculation
Using the 2026 projections, we take the planned annual wages and divide them by the expected annual revenue. This tells us the efficiency ratio we need to maintain. Honestly, the resulting number is quite low, so focus on hitting that $288,000 wage spend while driving revenue toward $107M.
Ensure wages include all payroll taxes and benefits, not just base salary.
If revenue is volatile, use a 3-month rolling average for wages.
Compare this ratio against your Breakeven Enrollment metric monthly.
If you hire a new manager, track their salary impact immediately on this ratio.
KPI 6
: MRR Churn Rate
Definition
MRR Churn Rate measures the recurring revenue you lose because existing students cancel their monthly fees or do not renew their class packages. This metric is defintely critical because it shows the health of your current customer base, which is your primary asset in a subscription model. You must target keeping this number low to ensure sustainable growth.
Advantages
Pinpoints exact revenue dollars walking out the door monthly.
Acts as an early warning for service quality dips or instructor issues.
Directly feeds into Lifetime Value (LTV) calculations for marketing spend decisions.
Disadvantages
Ignores revenue gained from existing members upgrading classes (expansion).
Doesn't separate voluntary cancellations from involuntary payment failures.
A low rate can mask poor net revenue retention if acquisition stalls completely.
Industry Benchmarks
For specialized, high-touch fitness memberships like aerial arts, healthy monthly churn should ideally be low, often below 8%. Your internal target of below 50% is quite high for a standard monthly rate, so you should aim significantly lower than that figure to build a stable business. Reviewing this metric monthly against other boutique fitness studios helps you gauge retention success.
How To Improve
Streamline the transition from trial student to committed monthly member.
Intensify community events to boost social stickiness beyond the physical class.
Implement proactive outreach 7 days before renewal for students nearing contract end.
How To Calculate
MRR Churn Rate measures the percentage of your starting Monthly Recurring Revenue (MRR) that you lost during the period due to cancellations. This calculation focuses only on lost revenue, not new revenue gained.
MRR Churn Rate = Lost MRR / Starting MRR
Example of Calculation
Say your recurring monthly fees brought in $50,000 in revenue at the start of October. During October, $4,000 in revenue was lost because students canceled their monthly class fees. Here's the quick math to see your churn rate for that month.
This means your business lost 8% of its expected recurring revenue base that month. If your target is below 50%, you are hitting it, but 8% is a much healthier operational result for this type of recurring service.
Tips and Trics
Track churn by the month students first signed up (cohort analysis).
Ask canceling students for the specific reason for leaving immediately.
Monitor involuntary churn caused by expired credit cards closely.
Ensure you're measuring Gross MRR Churn, not Net MRR Churn.
KPI 7
: Breakeven Enrollment
Definition
Breakeven Enrollment tells you the minimum number of paying students required each month to cover all your fixed operating expenses. This metric is the survival threshold; if you fall below it, you lose money regardless of how many classes you run. For your aerial arts school, this number must be hit by January 2026 to validate the business model.
Advantages
Sets the absolute minimum volume needed for survival.
Directly informs hiring and facility expansion planning.
Focuses sales efforts on securing the most profitable students.
Disadvantages
It ignores the time value of money and cash flow timing.
It assumes a stable mix of class types and pricing tiers.
It doesn't account for required reinvestment capital expenditures.
Industry Benchmarks
For specialized fitness studios, achieving breakeven enrollment within the first 12 months is aggressive but achievable if marketing is targeted. Many studios aim for 60% utilization of their core capacity before declaring operational stability. If your fixed costs are high, like yours at $42,150, you need a higher Average Revenue Per Student Contribution (ARPSC) than a standard yoga studio to compensate.
How To Improve
Increase the monthly fee for premium or specialized courses.
Reduce non-essential fixed overhead, like administrative software subscriptions.
Focus marketing spend on retaining existing students to boost contribution.
How To Calculate
You find the required enrollment by dividing your total fixed costs by the net profit you make from each student after covering their direct variable costs. This net profit is the Average Revenue Per Student Contribution (ARPSC). You must hit this number monthly to cover the $42,150 overhead.
Breakeven Enrollment = Fixed Costs / Average Revenue Per Student Contribution
Example of Calculation
Let's say your monthly fixed costs are exactly $42,150. To calculate the required enrollment, you need the ARPSC. If you determine that, after accounting for minor supplies and direct labor allocated per student, each student contributes $150 toward fixed costs, the calculation is straightforward. You need to secure 281 students to cover costs.
Breakeven Enrollment = $42,150 / $150 = 281 Students
Tips and Trics
Track the running total of students needed weekly against the monthly goal.
Model breakeven using the lowest expected ARPSC to be safe.
Review the $42,150 fixed cost baseline every quarter for cuts.
If you miss the January 2026 target, immediately review CAC efficiency.
