GET HCM
magazine
Sign up for the FREE digital edition of HCM magazine and also get the HCM ezine and breaking news email alerts.
Not right now, thanksclose this window
Hedgehog Concept Ltd
Hedgehog Concept Ltd
Hedgehog Concept Ltd
Health Club Management

Health Club Management

Follow Health Club Management on Twitter Like Health Club Management on Facebook Join the discussion with Health Club Management on LinkedIn Follow Health Club Management on Instagram
UNITING THE WORLD OF FITNESS
Get the latest news, jobs and features in your inbox
Health Club Management

Health Club Management

features

Ask the experts

As we gear up for 2015, what looks set to drive growth of the sector? What will be the challenges and opportunities over the coming 12 months, and how should we respond?

By Kath Hudson | Published in Health Club Management 2014 issue 11
Way of the future: The Apple Watch marks an evolution in fitness and activity tracking
Way of the future: The Apple Watch marks an evolution in fitness and activity tracking

After a prolonged recession, 2014 has been brighter for most, with the economy finally turning a corner and both consumer confidence and the housing market picking up.

In the fitness industry, the low-cost sector had another strong year, growing 21 per cent according to the latest Mintel research. But will the improvement in the economy mean the affordable clubs will lose their appeal, with people trading up to more expensive brands? Not at all, according to CEO of The Gym Group John Treharne. “I would expect the market to at least double and for there to be some new entrants in 2015,” he says. “I think – as has happened in other markets such as airlines, hotels and retail – there will be more growth at the premium end but also significant growth at the low-cost end of the market.

“Research shows value for money is here to stay: people don’t automatically go for a more expensive brand in good economic times.”

Another feature of 2014 has been the growth of boutique clubs – the so-called microgyms – where members pay premium prices for a small, personal, high spec club that focuses on one discipline. Will we see new entrants into this sector? How will the products evolve and will more niches emerge?

The obesity crisis has never been far from the news headlines this year.

Despite health club penetration levels nudging up very slightly, the nation – and indeed the world – is getting fatter. Will we start to see some progress with this problem next year, with new ideas brought forward on how to effect behaviour change on a mass scale?

Last but definitely not least, on the back of growing consumer interest in wearable technology, the Apple Watch will go on sale in 2015. What impact will such products continue to have on the industry? Will tech-savvy consumers take workouts into their own hands, bypassing the expertise of gyms – and maybe even gyms themselves – or will operators learn to take advantage of the technology? We ask the experts....

Arron Williams,

Special projects,

Life Fitness

Arron Williams
Arron Williams

“Last year we had 13.2 per cent penetration, which was deemed a good year – but this only represents 1.4 per cent growth since 2007, so the industry is relatively stagnant. The Turning the Tide of Inactivity report vividly highlights the extent of chronic disease and inactivity throughout the UK, which suggests the current model isn’t working and something has to change.

The most buoyant section of the market is the boutique gym sector. This is a very urban trend, but next year we might start to see them expand into the suburbs. So far we’ve identified 23 different types of boutique gym, in the main HIIT-based, highly functional, group exercise-based, social and communal. As this trend evolves, we’re likely to see more developments such as the fitness mall model, or the ‘multiple’ boutique model where health clubs are deconstructed and then reconstructed along the lines of a series of specialised packaged boutique gym offerings. With boutiques offering pay as you go and bulk buy, and low-cost clubs offering no contract memberships, the days of being a 12-month contract prisoner have all but gone.

I think club locations will change and, as retail struggles on the high street, we’ll start to see studios and boutique clubs move in, as is already happening in the US and Asia.”

Bryan O’Rourke,

CEO ,

Integrus

Bryan O’Rourke
Bryan O’Rourke

“It has been a robust 2014 and I think 2015 will continue in the same vein. Economic indicators suggest it will be a good year. I think memberships will continue to rise, with more formats, opportunities and content-based programming.

Several developed markets will see further consolidation: I predict a couple of blockbuster transactions in Europe, the US and Asia Pacific. We will see continued growth in India, Asia Pacific, Australia, the US and Eastern Europe, with Poland and Hungary in particular being active.

Digital technology will have an impact: there will be a proliferation of digital competitors related to advancements in wearable technology, apps and smartphone adaptations. This will put pressure on clubs to utilise the technology for payment and engagements. However, although the digital delivery model will grow, there’s no research to suggest this will negatively impact on the bricks and mortar participation.

There will be continued growth in niche format models, both boutiques and low-cost. However, I think we might see some middle-tier players tweak their business model to offer a bit of each, and some hybrid concepts will emerge which can offer a ‘best of both worlds, club within a club’ approach.”

David Minton,

Director ,

The Leisure Database Company

David Minton
David Minton

“Next year the industry is going to have to adapt or lose out. New technology is making the consumer more powerful and clubs are going to have to react. Innovations like the Apple Watch and the iPhone 6 with iOS 8 – which includes the new Health app – will become the most useful repository for all sorts of health and fitness data, with some collected automatically by the barometer inside the new phones.

Harvard has just released a report saying that US waistlines are getting even bigger. The UK is close behind and the industry needs to do something radical – like offering free PT to help people get results – if it’s to be taken seriously.

As the economy picks up, I think the growth of the low-cost sector will slow. People like to pay for a bit of comfort, luxury and broader facilities, otherwise everyone would stay at budget hotels. Microgyms are adding value to the industry with a good product and these will continue to grow as people value unique experiences. However, the biggest growth will come from the public sector, which is embedded in the community and puts the customer first in a way that private sector clubs cannot. Usage of public sector facilities is going up enormously: the top seven operators had almost 100 million visits last year.”

Dave Stalker,

CEO ,

ukactive

Dave Stalker
Dave Stalker

“In 2015, wearable technology will get a hot Apple injection, as the Apple Watch heralds the start of the next evolution in fitness and activity tracking.

The major private institutions on which the industry grew in the 1990s will either have to rediscover a purpose, as we have seen with Fitness First, or drift off into irrelevance. Driven by efficiency drives, enhanced service levels and greater competition, the public sector will continue to thrive and drive growth. The pressure of continuous growth in the low-cost sector will be joined by the imperative to retain, or else implode. Meanwhile the proliferation of specialist microgyms will continue to explode, charging fees previously only dreamt of by mainstream operators. Within the health community, stakeholders will get even harsher in their appraisals of what we offer: show them your evidence or they’ll show you the door, for both leisure and health contracts.

Finally, health clubs, leisure centres and activity providers are now part of a wider ecosystem trying to get the world fit and healthy. Embracing this position, and understanding our role within it, will enable us to dramatically redefine the value and impact of our sector, with a continued growth in our sector’s importance to all stakeholders as a result.”

If you would like to get each issue of HCM magazine sent direct to you for FREE, plus the weekly HCM ezine, sign up now!
http://www.leisureopportunities.com/images/364108_762113.jpg
As we gear up for 2015, what looks set to drive growth for the health and fitness sector?
People
HCM people

Dave Courteen

MD and co-founder of Mosaic Spa and Health Clubs
I set myself the goal that if I found someone famous to write the foreword and a publisher, then I would write the book
People
HCM people

Debra Wein

founder and CEO, Wellness Workdays
I’ve always felt that if individuals had more education and understanding of nutrition and healthy lifestyle principles, we could literally change lives
People
During lockdown, 40% of all spend on live streamed and pre-recorded workouts went to businesses those individuals had never physically visited
Features
The way I see it
As Technogym launches its new virtual and on-demand services, Francesco Arlotti, head of digital solutions, shares his thoughts with HCM
Features
Strength
It’s considered a fundamental part of our fitness routines by medical professionals, but many exercisers, particularly women, are still put off by strength training. We asked leading suppliers what they’re doing to champion strength
Features
Staff welfare
As staff and members prepare to return to the gym, Dr Dane Vishnubala gives advice to operators on gearing up to offer them mental health support
Features
Reopening
David Lloyd Leisure has launched a raft of outdoor classes, including an enhanced role for its Battlebox concept, as Liz Terry reports
Features
Statistics
More than 65,000 people responded to a survey designed to gauge what members want and expect from the sector after lockdown, as Leisure-net’s Dave Monkhouse reports
Features
Consumer culture
Ken Hughes, expert in consumer culture and human behaviour spoke as part of the Technogym Talks series of webinars about how operators can navigate the new consumer landscape
Features
Talking Point
The fitness industry has shown incredible flexibility during lockdown, pivoting to digital to keep people active. But as lockdowns end, we ask what impact the pandemic will have on facility provision
Features
Latest News
Publicly listed operator, The Gym Group (TGG) says it has retained 80 per cent of ...
Latest News
PureGym's operations in Europe have helped the business through the UK lockdown, according to CEO ...
Latest News
Following its announcement that grassroots sport could restart on 11 July and that gyms and ...
Latest News
Industry body ukactive has launched an Independent Operators' Steering Group, catering for members who run ...
Latest News
The UK's fitness industry can finally get back to business on Saturday 25 July, following ...
Latest News
HCM understands a decision on reopening dates for gyms and also for spas will be ...
Latest News
Interest in gym reopening in England is reaching fever pitch, with an announcement expected any ...
Latest News
Exercising increases levels of a protein hormone secreted by the bones which has a powerful ...
Featured supplier news
Featured supplier: Incorpore and MoveGB ink groundbreaking partnership to transform corporate wellness offering
Incorpore and MoveGB have entered into a landmark partnership, combining the UK’s largest provider of corporate gym memberships with the nation’s biggest network of classes.
Featured supplier news
Featured supplier: EGYM presents Corona Gym Solution, for the successful re-opening of fitness studios
Finally, the time has come: fitness and health facilities around the globe are gradually resuming operations.
Video Gallery
Temple Gym - Nautilus Equipment
Core Health & Fitness
Temple Gym - Nautilus Equipment Read more
More videos:
Company profiles
Company profile: Pavigym
PAVIGYM is the premier innovator of flooring and interactive solutions for the global fitness industry....
Company profiles
Company profile: MiE FitQuest
FitQuest (MiE Medical Research) are specialists in the field of human performance measurement. We have ...
Catalogue Gallery
Click on a catalogue to view it online
Directory
Flooring
Total Vibration Solutions / TVS Sports Surfaces: Flooring
Gym flooring
REGUPOL/Berleburger Schaumstoffwerk (BSW): Gym flooring
Independent service & maintenance
Servicesport UK Limited: Independent service & maintenance
Direct debit solutions
Harlands Group: Direct debit solutions
Spa software
SpaBooker: Spa software
Trade associations
International SPA Association - iSPA: Trade associations
Management software
Fisikal: Management software
Fitness equipment
Healthcheck Services Ltd: Fitness equipment
Hydrotherapy / spa fragrances
Kemitron GmbH: Hydrotherapy / spa fragrances
Locking solutions
Monster Padlocks: Locking solutions
Property & Tenders
Greywell, Hampshire
Barnsgrove Health and Wellness Club
Property & Tenders
Derby City Council
Property & Tenders
Diary dates
21-24 Sep 2020
Loews Coronado Bay Resort, Coronado, United States
Diary dates
22-23 Sep 2020
Heythrop Park, United Kingdom
Diary dates
17-23 Oct 2020
Pinggu, Beijing, China
Diary dates
27-30 Oct 2020
Messe Stuttgart, Germany
Diary dates
03-06 Nov 2020
Online,
Diary dates
27-28 Nov 2020
Athena, Leicester, United Kingdom
Diary dates
23-26 Feb 2021
IFEMA, Madrid, Spain
Diary dates
03-04 Mar 2021
NEC, Birmingham, United Kingdom
Diary dates
03-06 Jun 2021
Expo Centre & Riviera di Rimini, Italy
Diary dates
16-17 Jun 2021
ExCeL London, London, United Kingdom
Diary dates

features

Ask the experts

As we gear up for 2015, what looks set to drive growth of the sector? What will be the challenges and opportunities over the coming 12 months, and how should we respond?

By Kath Hudson | Published in Health Club Management 2014 issue 11
Way of the future: The Apple Watch marks an evolution in fitness and activity tracking
Way of the future: The Apple Watch marks an evolution in fitness and activity tracking

After a prolonged recession, 2014 has been brighter for most, with the economy finally turning a corner and both consumer confidence and the housing market picking up.

In the fitness industry, the low-cost sector had another strong year, growing 21 per cent according to the latest Mintel research. But will the improvement in the economy mean the affordable clubs will lose their appeal, with people trading up to more expensive brands? Not at all, according to CEO of The Gym Group John Treharne. “I would expect the market to at least double and for there to be some new entrants in 2015,” he says. “I think – as has happened in other markets such as airlines, hotels and retail – there will be more growth at the premium end but also significant growth at the low-cost end of the market.

“Research shows value for money is here to stay: people don’t automatically go for a more expensive brand in good economic times.”

Another feature of 2014 has been the growth of boutique clubs – the so-called microgyms – where members pay premium prices for a small, personal, high spec club that focuses on one discipline. Will we see new entrants into this sector? How will the products evolve and will more niches emerge?

The obesity crisis has never been far from the news headlines this year.

Despite health club penetration levels nudging up very slightly, the nation – and indeed the world – is getting fatter. Will we start to see some progress with this problem next year, with new ideas brought forward on how to effect behaviour change on a mass scale?

Last but definitely not least, on the back of growing consumer interest in wearable technology, the Apple Watch will go on sale in 2015. What impact will such products continue to have on the industry? Will tech-savvy consumers take workouts into their own hands, bypassing the expertise of gyms – and maybe even gyms themselves – or will operators learn to take advantage of the technology? We ask the experts....

Arron Williams,

Special projects,

Life Fitness

Arron Williams
Arron Williams

“Last year we had 13.2 per cent penetration, which was deemed a good year – but this only represents 1.4 per cent growth since 2007, so the industry is relatively stagnant. The Turning the Tide of Inactivity report vividly highlights the extent of chronic disease and inactivity throughout the UK, which suggests the current model isn’t working and something has to change.

The most buoyant section of the market is the boutique gym sector. This is a very urban trend, but next year we might start to see them expand into the suburbs. So far we’ve identified 23 different types of boutique gym, in the main HIIT-based, highly functional, group exercise-based, social and communal. As this trend evolves, we’re likely to see more developments such as the fitness mall model, or the ‘multiple’ boutique model where health clubs are deconstructed and then reconstructed along the lines of a series of specialised packaged boutique gym offerings. With boutiques offering pay as you go and bulk buy, and low-cost clubs offering no contract memberships, the days of being a 12-month contract prisoner have all but gone.

I think club locations will change and, as retail struggles on the high street, we’ll start to see studios and boutique clubs move in, as is already happening in the US and Asia.”

Bryan O’Rourke,

CEO ,

Integrus

Bryan O’Rourke
Bryan O’Rourke

“It has been a robust 2014 and I think 2015 will continue in the same vein. Economic indicators suggest it will be a good year. I think memberships will continue to rise, with more formats, opportunities and content-based programming.

Several developed markets will see further consolidation: I predict a couple of blockbuster transactions in Europe, the US and Asia Pacific. We will see continued growth in India, Asia Pacific, Australia, the US and Eastern Europe, with Poland and Hungary in particular being active.

Digital technology will have an impact: there will be a proliferation of digital competitors related to advancements in wearable technology, apps and smartphone adaptations. This will put pressure on clubs to utilise the technology for payment and engagements. However, although the digital delivery model will grow, there’s no research to suggest this will negatively impact on the bricks and mortar participation.

There will be continued growth in niche format models, both boutiques and low-cost. However, I think we might see some middle-tier players tweak their business model to offer a bit of each, and some hybrid concepts will emerge which can offer a ‘best of both worlds, club within a club’ approach.”

David Minton,

Director ,

The Leisure Database Company

David Minton
David Minton

“Next year the industry is going to have to adapt or lose out. New technology is making the consumer more powerful and clubs are going to have to react. Innovations like the Apple Watch and the iPhone 6 with iOS 8 – which includes the new Health app – will become the most useful repository for all sorts of health and fitness data, with some collected automatically by the barometer inside the new phones.

Harvard has just released a report saying that US waistlines are getting even bigger. The UK is close behind and the industry needs to do something radical – like offering free PT to help people get results – if it’s to be taken seriously.

As the economy picks up, I think the growth of the low-cost sector will slow. People like to pay for a bit of comfort, luxury and broader facilities, otherwise everyone would stay at budget hotels. Microgyms are adding value to the industry with a good product and these will continue to grow as people value unique experiences. However, the biggest growth will come from the public sector, which is embedded in the community and puts the customer first in a way that private sector clubs cannot. Usage of public sector facilities is going up enormously: the top seven operators had almost 100 million visits last year.”

Dave Stalker,

CEO ,

ukactive

Dave Stalker
Dave Stalker

“In 2015, wearable technology will get a hot Apple injection, as the Apple Watch heralds the start of the next evolution in fitness and activity tracking.

The major private institutions on which the industry grew in the 1990s will either have to rediscover a purpose, as we have seen with Fitness First, or drift off into irrelevance. Driven by efficiency drives, enhanced service levels and greater competition, the public sector will continue to thrive and drive growth. The pressure of continuous growth in the low-cost sector will be joined by the imperative to retain, or else implode. Meanwhile the proliferation of specialist microgyms will continue to explode, charging fees previously only dreamt of by mainstream operators. Within the health community, stakeholders will get even harsher in their appraisals of what we offer: show them your evidence or they’ll show you the door, for both leisure and health contracts.

Finally, health clubs, leisure centres and activity providers are now part of a wider ecosystem trying to get the world fit and healthy. Embracing this position, and understanding our role within it, will enable us to dramatically redefine the value and impact of our sector, with a continued growth in our sector’s importance to all stakeholders as a result.”

If you would like to get each issue of HCM magazine sent direct to you for FREE, plus the weekly HCM ezine, sign up now!
http://www.leisureopportunities.com/images/364108_762113.jpg
As we gear up for 2015, what looks set to drive growth for the health and fitness sector?
Latest News
Publicly listed operator, The Gym Group (TGG) says it has retained 80 per cent of ...
Latest News
PureGym's operations in Europe have helped the business through the UK lockdown, according to CEO ...
Latest News
Following its announcement that grassroots sport could restart on 11 July and that gyms and ...
Latest News
Industry body ukactive has launched an Independent Operators' Steering Group, catering for members who run ...
Latest News
The UK's fitness industry can finally get back to business on Saturday 25 July, following ...
Latest News
HCM understands a decision on reopening dates for gyms and also for spas will be ...
Latest News
Interest in gym reopening in England is reaching fever pitch, with an announcement expected any ...
Latest News
Exercising increases levels of a protein hormone secreted by the bones which has a powerful ...
Latest News
A free-to-access training platform has launched to help the sport and fitness workforce confidently return ...
Latest News
Glasgow Life, which runs leisure and culture facilities on behalf of Glasgow City Council, has ...
Latest News
Fitness equipment firm Nautilus Inc is looking for a buyer for its commercial equipment brand ...
Featured supplier news
Featured supplier: Incorpore and MoveGB ink groundbreaking partnership to transform corporate wellness offering
Incorpore and MoveGB have entered into a landmark partnership, combining the UK’s largest provider of corporate gym memberships with the nation’s biggest network of classes.
Featured supplier news
Featured supplier: EGYM presents Corona Gym Solution, for the successful re-opening of fitness studios
Finally, the time has come: fitness and health facilities around the globe are gradually resuming operations.
Video Gallery
Temple Gym - Nautilus Equipment
Core Health & Fitness
Temple Gym - Nautilus Equipment Read more
More videos:
Company profiles
Company profile: Pavigym
PAVIGYM is the premier innovator of flooring and interactive solutions for the global fitness industry....
Company profiles
Company profile: MiE FitQuest
FitQuest (MiE Medical Research) are specialists in the field of human performance measurement. We have ...
Catalogue Gallery
Click on a catalogue to view it online
Directory
Flooring
Total Vibration Solutions / TVS Sports Surfaces: Flooring
Gym flooring
REGUPOL/Berleburger Schaumstoffwerk (BSW): Gym flooring
Independent service & maintenance
Servicesport UK Limited: Independent service & maintenance
Direct debit solutions
Harlands Group: Direct debit solutions
Spa software
SpaBooker: Spa software
Trade associations
International SPA Association - iSPA: Trade associations
Management software
Fisikal: Management software
Fitness equipment
Healthcheck Services Ltd: Fitness equipment
Hydrotherapy / spa fragrances
Kemitron GmbH: Hydrotherapy / spa fragrances
Locking solutions
Monster Padlocks: Locking solutions
Property & Tenders
Greywell, Hampshire
Barnsgrove Health and Wellness Club
Property & Tenders
Derby City Council
Property & Tenders
Diary dates
21-24 Sep 2020
Loews Coronado Bay Resort, Coronado, United States
Diary dates
22-23 Sep 2020
Heythrop Park, United Kingdom
Diary dates
17-23 Oct 2020
Pinggu, Beijing, China
Diary dates
27-30 Oct 2020
Messe Stuttgart, Germany
Diary dates
03-06 Nov 2020
Online,
Diary dates
27-28 Nov 2020
Athena, Leicester, United Kingdom
Diary dates
23-26 Feb 2021
IFEMA, Madrid, Spain
Diary dates
03-04 Mar 2021
NEC, Birmingham, United Kingdom
Diary dates
03-06 Jun 2021
Expo Centre & Riviera di Rimini, Italy
Diary dates
16-17 Jun 2021
ExCeL London, London, United Kingdom
Diary dates
Search news, features & products:
Find a supplier:
Hedgehog Concept Ltd
Hedgehog Concept Ltd