The Planet Fitness business model depends on vast amounts of people signing up for the auto-draft option at the low $10 monthly fee. Why? Because most people, even if they aren't actively going to the gym, won't cancel it if it's just $10 a month. For their $10, they have the option to start "going back to the gym" at any time they choose. For every 100 people that join a PF branch, I bet less than 20 attend regularly for any length of time. But those other 80 are likely to let that $10 auto-draft keep rolling. It is good for those members who choose to come regularly, as they get a real bargain.
BTW, the local PF branch here allows you to pay monthly with no contract for a medium-ish rate, pay with a year-long auto-draft contract for the best rate, or pay for the whole year up front for a pretty decent rate.
