Retreats are a great way for wellness professionals to connect with their clients and offer them deeper, more immersive experiences. But it also takes a lot of planning and organization to make them successful.
One of the most important metrics is your retreat’s profitability – you want to make sure you are getting compensated fairly for all of the time and energy you’re putting into it!
Budgeting and pricing go hand in hand. You need to have a clear budget in order to make an informed decision on the right price for your retreat.
Here are three simple steps to budget and price your retreat for success:
1. Outline ALL Of Your Retreat Expenses
You want to do this before you price your retreat. Clarity in your finances is by far one of the most important aspects of planning a retreat.
Lay out all of your expenses in a spreadsheet, including things like cost per participant for lodging, food, travel, extra activities, gifts, etc. Don’t forget to factor in those “sneaky” expenses like gratuities, baggage fees, etc.
2. Do The Math When Setting Your Pricing
You don’t want to just pull a number from the sky to price your retreat. Be sure you cover your
expenses AND pay yourself with the pricing you set. Here’s where being clear on your retreat budget right from the get-go is key.
Many retreat leaders make the mistake of pricing their offerings too low, and are only able to make a profit if it sells out. This, of course, is a recipe for worry and possibly failure; you’ll run the risk of losing money or having to cancel your retreat.
Instead, have a pricing strategy based on a) a clear retreat budget + b) the amount you need to make so that you can avoid overwhelm and stress when promoting your retreat.
3. Focus On Your Minimum Group Size For Profitability
This is so important! If you have, for example, a total of 12 spots open, don’t price your retreat so low that you’ll need 12 people in order to make a profit.
Instead, choose a lower number (like 6-8) for the minimum number of participants you’ll need in order to cover your expenses and pay yourself.
That way, you’ll feel so much less pressure to fill your retreat, you’ll be able to relax earlier in the process (knowing that your costs are covered), and you’ll make a bigger profit for each additional person who signs up.
What Does It Cover?
- Variable costs (those that depend on the size of your group), including expenditures related to transportation, accommodation, catering & foodservice, and supplies
- Fixed costs (those that do not vary with group size) such as insurance policies, sales & marketing spend, and host / facilitator expenses
- Percentage-driven costs like participant payment fees, discounts / promotions, referral / sales commissions, vendor transaction fees, and tips
Simply plug in your numbers for each cost line item on tab 1 and revenue line item on tab 2. Formulas are already set up for you, so it’s easy to explore the profitability of different price points and group sizes.
With this information, you can be confident in pricing your retreat and setting your sales targets, so you can focus more of your energy on creating the best experience possible.
Who Is It For?
We designed this worksheet for companies and professionals who focus on domestic and international retreat offerings. These may be centered on wellness modalities related to:
- Movement & fitness (yoga, Pilates, qi gong, tai chi, dance, barre, running, and cycling…to name just a few)
- Meditation & mindfulness
- Dietary & detox
- Spiritual transformation & trauma recovery
- Holistic healing & therapeutics (including Ayurveda, Traditional Chinese Medicine, acupuncture, acupressure, massage, Reiki, among others)
- Entrepreneurship & coaching
- Other educational programs