I've actually had this experience: My favorite yoga studio, where I was going 3-4 times per week, did a Groupon; suddenly the room was packed and there was less space to move around in. It would have made sense for the studio to do the Groupon when they'd just opened and desperately needed advertising, but I was baffled by their decision to do the Groupon when they were already running at what, to me, seemed like optimal capacity. They attracted new customers, but they also alienated some old ones. (Though the deal wasn't "New Customers Only," so at least I was able to enjoy the discount.)

OTOH, I moved recently, and a studio near my new place did a Groupon. I probably wouldn't have heard of them otherwise (there are other studios that are closer to me). They did a small deal, something like $15 for a 5-class pass, and they did it at a time of year when they're at less than peak capacity (it's summer and the studio is near MIT). So, I'd say that deal made sense.

(As to $130/mo: Actually, I was happily paying that much at my studio. This studio's pricing seems to be in line with most: $15 for a single class, $130 for an unlimited monthly pass.)

$130 is a lot of money, but investing in your health is probably the best investment you can make. Some people spend $130 just on coffee every month.

I'm guess I'm spoiled. I'm used to Mission Cliffs in San Francisco, where a ~$65/month membership got you climbing, cardio, weights, along with spin, kickboxing, and yoga classes.

Honestly, though, I do think the fairly standard $15 per session is way, way too much for yoga. $15 per head with a class size of around 20 is $300 for a one hour session. I visited Yoga Tree (I think) in the Castro once, at an even higher price. The 'advantage' was that the studio was fancier, and they had a couple of really poorly trained lackeys running around making 'corrections'. Honestly, the yoga instruction I got at Mission Cliffs was better, and the instructor bothered to get to know me and my personal limitations.

I agree entirely about investing in health, though, particularly for people in sedentary careers.

I practiced at Yoga Tree Castro for a long time, and found the instruction to be excellent and worth every penny.

Have never been to Mission Cliffs, so I won't claim it's not better still. But my perspective is that any yoga class which is worth my time, my sweat, my hard work, and the trouble of going there, is worth my $15.

And, if you buy the 20-class passes, it comes out at $11 a pop.

I pay $52 per month to a local climbing gym (BRC) in Boulder and get the same thing. I personally wouldn't pay $130 for a yoga membership, but can't fault someone for doing it if that is what keeps them active. So many people in the US have a problem staying active.

It seems like a great application for a Groupon - an up-front investment by the studio can net a long-term customer.

Coffee shops and restaurants seem less suited in comparison; their product is more of a commodity.