Payasugym
Payasugym
Payasugym
Health Club Management

Health Club Management

Follow Health Club Management on Twitter Like Health Club Management on Facebook Follow Health Club Management on Google+ Join the discussion with Health Club Management on LinkedIn Subscribe to Health Club Management Get RSS alerts from Health Club Management magazine
Get the latest news, jobs and features in your inbox
Health Club Management

Health Club Management

features

Industry trends: Mintel UK Health and Fitness Club Report 2017

A new UK private health and fitness club report shows the market is poised for continued growth, but retention rates remain a problem. Mintel’s senior leisure analyst Helen Fricker explains

By Helen Fricker, Mintel | Published in Health Club Management 2017 issue 8
A sociable gym environment is essential for consistent member retention
Image courtesy of The Gym Group.
A sociable gym environment is essential for consistent member retention Image courtesy of The Gym Group.
£3.1bn Estimated UK health and fitness sector revenue for 2017

Growth in the private health club market is strong and steady. It’s estimated that the sector will generate £3.1bn in total revenue this year, rising to £3.9bn by 2022. This is the key finding of the Mintel UK Health and Fitness Club Report 2017, which also shows that private club sites and member numbers are rising. According to Mintel data, approximately 5.7 million Brits will hold a gym membership in 2017, and this will rise to reach 7 million by 2022. But there is still much room for these figures to increase, as many operators’ member numbers currently fall below the expected average per site.

Boosting retention rates
While private health club membership numbers are growing, operators still face the challenges of previous years. Member retention is a longstanding issue: clubs lose around 50 per cent of their members each year. Results from a survey of 708 actual and potential gym users show that 47 per cent would consider cancelling their memberships because of alternative exercise services. Fortunately, technology can minimise cancellations by making the gym experience more enjoyable and rewarding, but operators must work to provide a service that members can’t get from exercising alone or by going elsewhere.

The increasing presence of virtual reality (VR), immersive experiences and video-on-demand (VOD) is one way health and fitness clubs can achieve this goal. Mintel data shows that 44 per cent of UK consumers who use or would consider using health and fitness clubs say they would take part in a VR class while at the gym.

These technologies allow operators to provide content in multiple locations at once, while freeing up instructors. From a member perspective, VOD fitness can be accessed anywhere and at any time – eliminating the need to be at a gym at a certain time, or at all. Apps and online channels also offer operators a way to help members access VOD fitness classes at home or away.

Member interaction
Additional data from the report shows that a friendly environment is important for member retention. Gym-goers who have made a friend at their gym in the last three months are 40 per cent less likely to cancel their membership than those who haven’t. But it is not just interaction with other gym members that improves retention. Half of UK gym members say they regularly experience an annoying ‘hassle’ at the gym, and the biggest hassle reported is staff who don’t speak to them.

The boutique fitness sector is growing rapidly and this is because these studios give consumers something they fail to get from health and fitness clubs. Price is clearly not an issue for these consumers as boutique studio classes typically cost around £20 per session. The report findings suggest it is a sense of community and belonging that keeps people hooked on these classes, in addition to the diverse and often unique exercise methods on offer.

With a clear correlation between the size of a gym and Net Promoter Score (NPS), large traditional gyms need to follow the lead of smaller studios – treating their members in a personalised manner.

Technology today can provide receptionists and personal trainers with a wealth of member information that can be used to improve customer experience. For example, software for sending personal trainers (PT) a notification when one of their clients enters the building now exists. This means that reception staff or PTs should always be on hand to welcome customers arriving at the club by name – even in facilities with PIN or card entry.

In short, the private health and fitness club market is in a highly favourable position, and the next five years look set to provide further growth opportunities. While the increased popularity of the low-cost sector has driven much of the growth seen in recent years, premium clubs are also well-positioned to tap into the market-wide growth. They can do so by investing in their sites to ensure they deliver the service features that health club users believe are necessary for their custom and loyalty.

Correction:
This article was amended on October 3, 2017. The original version made reference to two statistics which were taken from research conducted for (by) The Retention People and not by Mintel, as implied by Mintel, who were authors of the article.

The statistics were drawn from two White Papers, both of which are available for download from The Retention People’s website:

• Making Friends Reduces Risk of Cancellation - http://bit.ly/2xOaICB

• 45% of Members Report Frequent Hassles and the Biggest Hassle is Staff Not Speaking to Them - http://bit.ly/2xVCblc

MARKET VALUE

MEMBERS

Get the Report

The Mintel Health and Fitness Club UK - July 2017 report is available at:
http://store.mintel.com/health-and-fitness-clubs-uk-july-2017

ABOUT THE AUTHOR

Helen Fricker is the senior leisure analyst at Mintel. Her experience spans retail, transportation and, most recently, health and fitness.

http://www.leisureopportunities.com/images/158017_246333.jpg
UK fitness sector revenue is expected to rise from £3.1bn to £3.9bn by 2022, a report from Mintel shows
SportsArt Fitness
SportsArt Fitness
Latest News
More than £346m in "wasted" childcare funding should be used to get children more active ...
Latest News
A new boutique fitness concept has entered the booming London fitness market today (18 September). ...
Latest News
Simon Devane, CEO of sports injury clinic Pure Sports Medicine, has revealed plans to take ...
Latest News
Developer Moda has signed a pioneering partnership with wellness company Hero, which will look to ...
Latest News
A new report has called for a "major culture shift" in order to get older ...
Latest News
Ukactive chair Tanni Grey-Thompson has made a passionate call for the government to finally recognise ...
Latest News
A boutique indoor rowing and personal training studio – described as the first of its ...
Latest News
Jetts Fitness has opened a club in Skipton, Yorkshire, making it the fifth location the ...
Latest News
Work could soon begin on what has been described as one of the first developments ...
Latest News
Independently-owned boutique fitness operator Ten Health and Fitness has reopened its Mayfair studio following a ...
Latest News
Public Health England CEO Duncan Selbie has called on the NHS to prioritise the prevention ...
Catalogue Gallery
Click on a catalogue to view it online
Featured suppliers
Featured supplier: EXF becomes exclusive European manufacturer and UK distributor for Mobile Fitness Equipment
Bespoke equipment manufacturer EXF, has signed an exclusive agreement with Mobile Fitness Equipment to become their European manufacturer.
Featured suppliers
Featured supplier: Taylor Made Designs celebrates 25 years
Back in 1993, James Taylor, the founder and managing director of Taylor Made Designs (TMD), started printing t-shirts for local companies and schools.
Company profiles
Company profile: MiE FitQuest
FitQuest (MiE Medical Research) are specialists in the field of human performance measurement. We have ...
Company profiles
Company profile: DFC
DFC
At DFC, we offer totally transparent revenue management solutions, with clear pricing and no hidden ...
Directory
Member access schemes
Move GB: Member access schemes
Clothing/promotional merchandise
Taylor Made Designs: Clothing/promotional merchandise
Audio visual
Lightmasters UK Ltd: Audio visual
Trade associations
International SPA Association - iSPA: Trade associations
Direct debit solutions
Harlands Group: Direct debit solutions
Spa software
SpaBooker: Spa software
Lockers
Fitlockers: Lockers
Fitness equipment
Dyaco International: Fitness equipment
Exercise equipment
SportsArt Fitness: Exercise equipment
Locking solutions
Ojmar: Locking solutions
Property & Tenders
White Rocks, Hastings
GVA
Property & Tenders
Diary dates
22-23 Sep 2018
Worldwide,
Diary dates
24-27 Sep 2018
Omni La Costa Resort & Spa, Carlsbad, United States
Diary dates
Job search
Payasugym
Payasugym