New insight from Deloitte and Grant Thornton shows record growth, but the real shift is towards identity and perceived value, revealing opportunities to deepen engagement with members

Across Europe, the market is at record highs, according to new research from Deloitte and Europe Active (page 62). Revenues have hit €39.1 billion and memberships have passed 75 million.

In the UK, it’s a similarly positive picture, with penetration reaching 18 per cent – the highest rate recorded – as shown by insight from Grant Thornton and UK Active (page 86).

On paper, the growth trajectory looks clear, with more clubs, more members and more growth, but dig deeper and you find a more nuanced story – one that suggests the next phase of growth will not be driven solely by scale.

Usage is rising faster than membership, for example, with visitation in the UK up 10.3 per cent year-on-year – outpacing member growth.

The next phase of growth will be more complex and depend on rethinking pricing and experience design

This indicates a fundamental change in how value is created and will see the sector moving from a penetration model to an ‘intensity model’, where success is driven by how deeply members engage.

This evolution in the way consumers view our sector presents us with opportunities, but also exposes constraints, because as utilisation rises, ‘ceilings’ such as floor and class capacity could limit success. The question is no longer only about how to attract more members, but also whether the current model can accommodate them (page 52).

Affordability is often cited as a major barrier to participation, yet the data suggests something more complex is going on. Price matters to consumers, but perceived value matters more.

Pricing in the sector remains relatively unsophisticated and while other industries have embraced dynamic and localised pricing, fitness largely remains fixed, with only aggregators giving consumers any kind of flexibility – a factor that is likely to be driving their success. This indicates there may be untapped growth in pricing differently.

Alongside these changes is a cultural shift for younger generations, who report that fitness is no longer simply an activity – it’s part of their personal identity. Clubs are increasingly ‘third spaces’, used not only for training, but also for socialising, working and recovery. Yet many operating models remain anchored in a narrow view of ‘time spent exercising’, rather than broader patterns of use and engagement.

Ultimately, the next phase of growth will be more complex and will depend on rethinking capacity, pricing, experience design and the psychology of members.