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UNITING THE WORLD OF FITNESS
Health Club Management

Health Club Management

features

Editor's letter: Bounceback challenges

The appetite for health clubs is strong among consumers and investors – to take advantage of this, operators must figure out how to meet key challenges in operationally sustainable ways

By Liz Terry, Leisure Media | Published in Health Club Management 2021 issue 8
The Gym Group and Fiit have created in-gym branded pods / photo: The Gym Group
The Gym Group and Fiit have created in-gym branded pods / photo: The Gym Group
Regaining pre-pandemic membership levels is the first step – the next challenge is returning to profitability

It’s great to see the market roaring back in the UK and on page 44 we talk to big box operators about challenges, trading and changing consumer behaviour.

Some, such as David Lloyd Leisure (page 32), are already back to pre-pandemic membership levels only a few months after reopening, with others close to hitting this important target.

However, in a market where investor expectations are high in the private sector and financial pressures great in the public, there are also adaptations that need to be made if the sector is to fully recover.

A major priority is adapting club locations – this is clearly an issue, with city-centre sites and also some rural sites doing less well and we’re seeing operators such as 1Rebel pivoting and opening studios in residential areas (page 26) to rebalance their businesses.

The change to homeworking is seeing operators overhauling their property portfolios to align them with the new reality. This is reshaping the sector and – where sites are disposed of – boosting the independents and giving entrepreneurs and franchises a way into the market.

There’s also an issue with sleepers – members who pay but don’t use the gym. For some operators, pandemic cancellations have stripped away the accumulation of decades of sleeper Direct Debits, so even if attendances recover, the bottom line will be challenged until membership can be regrown to accommodate this.

This challenge is driving the sector to refresh and reinvent itself, making new alliances and partnerships to accelerate market penetration and growth, as we’ve seen this month with the news of Hussle’s partnership with McDonald’s (page 30).

Increased operational costs are also burdening operators – Russell Barnes, CEO at David Lloyd Leisure says COVID-secure operating protocols are costing an additional £800k a month (see our interview on page 32), making this another challenge to work through and streamline as quickly as possible: we need to find cheaper and more environmental ways to continue to deliver these elevated levels of hygiene.

Customers who are fearful of returning are being missed and operators are seeking ways to reassure them or create new services to draw them back into clubs.

On page 64 we look at The Gym Group’s collaboration with Fiit which is linking at-home workouts with new in-club solus workout pods and group studios, blurring the boundaries and helping bring members back.

Regaining pre-pandemic membership levels is the first step on the journey to recovery. The next challenge is to continue to harness creative thinking, forge new partnerships and find solutions to these and other challenges to return to profitability.

Liz Terry, HCM editor
[email protected]
@elizterry
https://www.leisureopportunities.co.uk/images/2021/802481_702413.jpg
The appetite for health clubs is strong among consumers and investors – to take advantage of this, operators must figure out how to meet key challenges in operationally sustainable ways
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Latest News
Wellness tech firm Timeshifter has launched a new circadian app for shift workers, allowing them ...
Latest News
Sport England says it's introducing "new and innovative" ways to increase participation – by doing ...
Latest News
Denmark has been identified as the cheapest country in the world to live a healthy ...
Latest News
Boxx has launched a new generation punch bag and smart punch trackers that work with ...
Latest News
The Global Wellness Institute (GWI) and BBC Storyworks have struck up a partnership to create ...
Latest News
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The Women in Fitness Association (WIFA), is partnering with Sport Alliance to undertake a survey ...
Opinion
promotion
FitnessOnDemand’s divisional vice president Uday Anumalachetty discusses what live fitness really means for clubs and their members today
Opinion: Why we need to reimagine what live fitness really means
Featured supplier news
Featured supplier news: Pulse Fitness appointed as preferred fitness supplier to Telford & Wrekin Leisure
After winning a competitive tender process in 2019, Pulse Fitness was appointed by Telford & Wrekin Leisure as its preferred fitness supplier over the next five years.
Featured supplier news
Featured supplier news: Tanita Body Composition Analysers help attract a more diverse customer base
Code Fitness is co-owned by Steve McClory and Luke Watson and was launched in 2013 to help more people achieve tangible fitness results.
Featured operator news
Featured operator news: Everyone Active successfully reopens exercise referral scheme thanks to EXi partnership
Local authority leisure provider Everyone Active has reopened its essential exercise referral scheme, by joining forces with EXi, the NHS-approved exercise prescription app and data portal.
Featured operator news
Featured operator news: Everyone Active generates £342m in social value
Award-winning leisure operator Everyone Active generated £342million in social value at its sites across the country in 2019/20.
Video Gallery
Total Vibration Solutions / Floors 4 Gyms / TVS Sports Surfaces
Les Mills
Sport Alliance GmbH
Company profiles
Company profile: FIBO Global Fitness
FIBO Global Fitness is the leading international trade show for fitness, wellness & health....
Company profiles
Company profile: Pulse Fitness
With an award-winning portfolio of over 450 pieces of cutting-edge, premium fitness equipment, Pulse Fitness ...
Catalogue Gallery
Click on a catalogue to view it online
Directory
Flooring
Total Vibration Solutions / TVS Sports Surfaces: Flooring
Skincare
Comfort Zone - Davines S.p.A: Skincare
Wearable technology solutions
MyZone: Wearable technology solutions
Lockers/interior design
Crown Sports Lockers: Lockers/interior design
Exercise equipment
Matrix Fitness: Exercise equipment
Whole body cryotherapy
Art of Cryo: Whole body cryotherapy
Management software
Premier Software Solutions: Management software
Spa software
SpaBooker: Spa software
Fitness equipment
Octane Fitness: Fitness equipment
trade associations
International SPA Association - iSPA: trade associations
Property & Tenders
Welwyn Garden City
Welwyn Hatfield Borough Council
Property & Tenders
Newport, Shropshire
Lilleshall Sports Academy
Property & Tenders
Diary dates
01-03 Feb 2022
Coventry Building Society Arena, Coventry, United Kingdom
Diary dates
07-10 Apr 2022
Exhibition Centre , Cologne, Germany
Diary dates
15-16 Jun 2022
ExCeL London, London, United Kingdom
Diary dates
01-07 Dec 2022
tbc, Dunedin, New Zealand
Diary dates

features

Editor's letter: Bounceback challenges

The appetite for health clubs is strong among consumers and investors – to take advantage of this, operators must figure out how to meet key challenges in operationally sustainable ways

By Liz Terry, Leisure Media | Published in Health Club Management 2021 issue 8
The Gym Group and Fiit have created in-gym branded pods / photo: The Gym Group
The Gym Group and Fiit have created in-gym branded pods / photo: The Gym Group
Regaining pre-pandemic membership levels is the first step – the next challenge is returning to profitability

It’s great to see the market roaring back in the UK and on page 44 we talk to big box operators about challenges, trading and changing consumer behaviour.

Some, such as David Lloyd Leisure (page 32), are already back to pre-pandemic membership levels only a few months after reopening, with others close to hitting this important target.

However, in a market where investor expectations are high in the private sector and financial pressures great in the public, there are also adaptations that need to be made if the sector is to fully recover.

A major priority is adapting club locations – this is clearly an issue, with city-centre sites and also some rural sites doing less well and we’re seeing operators such as 1Rebel pivoting and opening studios in residential areas (page 26) to rebalance their businesses.

The change to homeworking is seeing operators overhauling their property portfolios to align them with the new reality. This is reshaping the sector and – where sites are disposed of – boosting the independents and giving entrepreneurs and franchises a way into the market.

There’s also an issue with sleepers – members who pay but don’t use the gym. For some operators, pandemic cancellations have stripped away the accumulation of decades of sleeper Direct Debits, so even if attendances recover, the bottom line will be challenged until membership can be regrown to accommodate this.

This challenge is driving the sector to refresh and reinvent itself, making new alliances and partnerships to accelerate market penetration and growth, as we’ve seen this month with the news of Hussle’s partnership with McDonald’s (page 30).

Increased operational costs are also burdening operators – Russell Barnes, CEO at David Lloyd Leisure says COVID-secure operating protocols are costing an additional £800k a month (see our interview on page 32), making this another challenge to work through and streamline as quickly as possible: we need to find cheaper and more environmental ways to continue to deliver these elevated levels of hygiene.

Customers who are fearful of returning are being missed and operators are seeking ways to reassure them or create new services to draw them back into clubs.

On page 64 we look at The Gym Group’s collaboration with Fiit which is linking at-home workouts with new in-club solus workout pods and group studios, blurring the boundaries and helping bring members back.

Regaining pre-pandemic membership levels is the first step on the journey to recovery. The next challenge is to continue to harness creative thinking, forge new partnerships and find solutions to these and other challenges to return to profitability.

Liz Terry, HCM editor
[email protected]
@elizterry
https://www.leisureopportunities.co.uk/images/2021/802481_702413.jpg
The appetite for health clubs is strong among consumers and investors – to take advantage of this, operators must figure out how to meet key challenges in operationally sustainable ways
Latest News
Wellness tech firm Timeshifter has launched a new circadian app for shift workers, allowing them ...
Latest News
Sport England says it's introducing "new and innovative" ways to increase participation – by doing ...
Latest News
Denmark has been identified as the cheapest country in the world to live a healthy ...
Latest News
Boxx has launched a new generation punch bag and smart punch trackers that work with ...
Latest News
The Global Wellness Institute (GWI) and BBC Storyworks have struck up a partnership to create ...
Latest News
The global wellness economy will grow by 9.9 per cent annually and reach US$7trn by ...
Latest News
Inclusive Fitness Boston, a health club created specifically for those with disabilities and their families, ...
Latest News
The Women in Fitness Association (WIFA), is partnering with Sport Alliance to undertake a survey ...
Latest News
Location and cost are the top considerations for consumers when it comes to choosing a ...
Latest News
Increases in COVID-19 cases across Europe are forcing governments to introduce restrictions, which is having ...
Latest News
Exercise has been found to increase levels of endocannabinoids – cannabis-like substances produced by the ...
Opinion
promotion
FitnessOnDemand’s divisional vice president Uday Anumalachetty discusses what live fitness really means for clubs and their members today
Opinion: Why we need to reimagine what live fitness really means
Featured supplier news
Featured supplier news: Pulse Fitness appointed as preferred fitness supplier to Telford & Wrekin Leisure
After winning a competitive tender process in 2019, Pulse Fitness was appointed by Telford & Wrekin Leisure as its preferred fitness supplier over the next five years.
Featured supplier news
Featured supplier news: Tanita Body Composition Analysers help attract a more diverse customer base
Code Fitness is co-owned by Steve McClory and Luke Watson and was launched in 2013 to help more people achieve tangible fitness results.
Featured operator news
Featured operator news: Everyone Active successfully reopens exercise referral scheme thanks to EXi partnership
Local authority leisure provider Everyone Active has reopened its essential exercise referral scheme, by joining forces with EXi, the NHS-approved exercise prescription app and data portal.
Featured operator news
Featured operator news: Everyone Active generates £342m in social value
Award-winning leisure operator Everyone Active generated £342million in social value at its sites across the country in 2019/20.
Video Gallery
Total Vibration Solutions / Floors 4 Gyms / TVS Sports Surfaces
Les Mills
Sport Alliance GmbH
Company profiles
Company profile: FIBO Global Fitness
FIBO Global Fitness is the leading international trade show for fitness, wellness & health....
Company profiles
Company profile: Pulse Fitness
With an award-winning portfolio of over 450 pieces of cutting-edge, premium fitness equipment, Pulse Fitness ...
Catalogue Gallery
Click on a catalogue to view it online
Directory
Flooring
Total Vibration Solutions / TVS Sports Surfaces: Flooring
Skincare
Comfort Zone - Davines S.p.A: Skincare
Wearable technology solutions
MyZone: Wearable technology solutions
Lockers/interior design
Crown Sports Lockers: Lockers/interior design
Exercise equipment
Matrix Fitness: Exercise equipment
Whole body cryotherapy
Art of Cryo: Whole body cryotherapy
Management software
Premier Software Solutions: Management software
Spa software
SpaBooker: Spa software
Fitness equipment
Octane Fitness: Fitness equipment
trade associations
International SPA Association - iSPA: trade associations
Property & Tenders
Welwyn Garden City
Welwyn Hatfield Borough Council
Property & Tenders
Newport, Shropshire
Lilleshall Sports Academy
Property & Tenders
Diary dates
01-03 Feb 2022
Coventry Building Society Arena, Coventry, United Kingdom
Diary dates
07-10 Apr 2022
Exhibition Centre , Cologne, Germany
Diary dates
15-16 Jun 2022
ExCeL London, London, United Kingdom
Diary dates
01-07 Dec 2022
tbc, Dunedin, New Zealand
Diary dates
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