ACE Business & Marketing Principles Flashcards

Which type of insurance protects a personal trainer if a client claims injury or harm resulting from the trainer's professional services?

Answer: Professional liability (errors and omissions) insurance

Professional liability insurance, also called errors and omissions insurance, covers claims arising from professional negligence or failure to perform services correctly.

In a SWOT analysis for a personal training business, what does the 'T' represent?

Answer: Threats

SWOT stands for Strengths, Weaknesses, Opportunities, and Threats — Threats are external factors that could negatively impact the business.

Which online marketing tool allows a personal trainer to reach a targeted audience based on demographics, interests, and behaviors?

Answer: Paid social media advertising

Paid social media ads (e.g., Facebook Ads, Instagram Ads) allow precise targeting by age, location, interests, and behaviors to reach prospective clients.

A personal trainer who packages 10 sessions at a discounted rate compared to single-session pricing is using which sales strategy?

Answer: Session package bundling

Bundling multiple sessions at a discount encourages client commitment, improves cash flow, and provides clients with perceived savings.

Which metric measures the total revenue a client generates for a fitness business over the entire duration of their relationship?

Answer: Customer Lifetime Value (CLV)

Customer Lifetime Value estimates the total financial worth of a client relationship from first session to last, informing how much to invest in retention.

Which document should an ACE personal trainer have all new clients sign to confirm they understand and accept the risks associated with exercise?

Answer: Informed consent form

An informed consent form ensures that clients acknowledge and accept the inherent risks of exercise, providing legal protection for the trainer.