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Hedgehog Concept Ltd
Hedgehog Concept Ltd
Hedgehog Concept Ltd
Health Club Management

Health Club Management

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UNITING THE WORLD OF FITNESS
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Health Club Management

Health Club Management

features

HCM People: Rich HutsonCEO of CHi Fitness and Co-founder of Fire Fitness

The business wasn’t getting the numbers needed, so I raised the prices by 25 per cent. It worked and we didn’t skip a beat

Published in Health Club Management 2019 issue 8
Rich Hutson is based in Malaysia
Rich Hutson is based in Malaysia

Tell us about your career
I started as a personal trainer in Canada, teaching women to box. I realised early on that helping people better their lives makes me feel really good.

I moved to Australia for a change, found a job at a gym and got into sales, quickly realising it was something I liked.

A stint at Fitness First in Australia followed, where I helped lead our Asia expansion as FF Asia sales director. After two years I was asked to go to Europe to take on the European sales director role and spent five amazing years there and met my future wife.

Fitness First sold Europe and I came back to Asia where I spent another eight years before parting ways in 2015.

I then partnered with my friend Dave Nuku to start Fire Fitness. After opening our second club I made a decision to find another job, because you can’t have two families living off a start-up! I spent six months in Dubai before I was offered my dream role, as CEO at CHi Fitness, which allowed me to come back to Malaysia.

We turned the business around and sold it last September to Evolution Wellness. Now back where I started, working for my old colleagues and friends!

Tell us more about Fire Fitness
We have two clubs in Kuala Lumpur. We were the first boutique fitness operator here. Our marketing and approach were very different – we made a big noise coming into the market and it made people wonder what we were.

Right from the start we had success because of our trainers and the experience that we provide. We run four classes: Stride (HIIT); Ride (cycling); Force (low impact strength); and Strike (boxing).

Our audience is a mix of expats and locals. We have a 70/30 split of female to males and a range of ages from millennials to over 60s, which varies by type of class and the trainer. We love the fact we get such a wide range of ages.

How did you turn CHi around?
I had three offers in front of me and I chose the role with CHi because it was the one that got me the most excited. I felt it was time to take a lead role after being in sales and operations for so long, even though I was nervous. I knew the business and believed it could do better.

I was transparent about my goal: to put some major results on the board so we could attract investors. This was the key to our future and I wanted every GM to be on-board with the goal and not be nervous if they heard rumours. I wanted to empower them to feel as though they were part of it.

When I looked at the strategy, pricing and what the clubs were offering, I couldn’t see how we were going to reach our goals. The business was trying to run a budget model but was a full-service offering.

It wasn’t getting the numbers needed, so I raised the prices by 25 per cent. It worked and we didn’t skip a beat.

This gave the team confidence and confirmed that their clubs were worth it.

We also closed our struggling clubs. We started with 20 and worked our way down to 13 and we make triple the EBITDA. It’s mind blowing how much time you can spend on clubs that are losing money, and this just takes away your time from building the future.

What’s the potential in Asia?
It’s an exciting time to be in here as there’s considerable growth to come.

The greatest challenge is finding a way to cater to the less affluent. In many parts of Asia you see a wide gap between those who can afford fitness and those who can’t. Catering to those less well-off is an opportunity worth pursuing.

The level of instruction in many clubs isn’t yet near the standard it needs to be. In most Asian countries there’s no governing body setting standard for qualifications, so anyone can walk off the street and say they’re a trainer.

What’s your career taught you?
It’s taught me to take chances in life and business. I’ve left what I’d consider ‘home’ more times than I can count and have loved every moment – win or lose.

I’ve worked in 17 countries and lived in a further seven, and don’t regret a single move, as everything has provided me with amazing experiences.

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!
Hutson raised prices and sold struggling clubs to turn CHi around
Hutson raised prices and sold struggling clubs to turn CHi around
Fire Fitness was the first boutique fitness offering in the Malaysian market
Fire Fitness was the first boutique fitness offering in the Malaysian market
CHi Fitness aims to offer a full service at excellent value
CHi Fitness aims to offer a full service at excellent value
Hutson and business partner 
Dave Nuku have two Fire Fitness clubs in Kuala Lumpur
Hutson and business partner Dave Nuku have two Fire Fitness clubs in Kuala Lumpur
Fire offers four group fitness classes: Stride, 
Ride, Force and Strike
Fire offers four group fitness classes: Stride, Ride, Force and Strike
http://www.leisureopportunities.com/images/imagesX/137776_588227.jpg
The CEO of CHi Fitness, in Malaysia, discusses how he turned the business around
Rich Hutson, CHi Fitness, Fire Fitness,Fitness, Malaysia
People
HCM people

Ben Lucas

Founder, Flow Athletic, Sydney
We advise our Flow Athletes to complete classes at a ratio of one yoga class to one strength class to one cardio class. This combination has very positive effects
People
HCM people

Jo Smallwood

general manager, Oldham Leisure Centre
We saw the opportunity to initiate new partnerships with the Oldham Foodbank to help local residents during the COVID-19 crisis. We can’t serve our community in the way we would usually do, so we’ve moved resources to help where people need us most
People
HCM people

Aaron Smith

Founder, KX Pilates
‘KX’ stands for ‘the Kaizen Experience’, which means ‘change for the better’ in Japanese. It’s a philosophy that focuses on continuous improvement. We’re always seeking to improve, not only as a company but as individuals
Features
Training
Balance training is set to become a major fitness trend, with exercisers increasingly appreciating the benefits of having a strong core and good balance, particularly as they age. Lauren Health-Jones rounds up the latest product releases
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
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
Supplier showcase
Working with Precor, Aberdeen Sports Village has undergone a £500k overhaul to strengthen the user experience and put digital connectivity at the core of its offering
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
ukactive, 4global and partners have modelled the likely recovery from the lockdown. Ed Hubbard outlines the numbers
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
Latest News
Fitness equipment firm Nautilus Inc is looking for a buyer for its commercial equipment brand ...
Latest News
Technogym has announced the launch of live streaming and on-demand classes. The new content will ...
Latest News
A number of gym operators are concerned that local lockdowns could come into effect in ...
Latest News
Prime Minister Boris Johnson has announced that gyms may be able to reopen in a ...
Latest News
UK consumer confidence has improved significantly since the beginning of the lockdown, with a fifth ...
Latest News
The PGA Tour has recently bought 1,000 Whoop bands for its golfers, after PGA Tour ...
Latest News
ukactive has announced that Active Uprising and the National Summit are going digital as part ...
Featured supplier news
Featured supplier: Fisikal chosen as tech partner for ‘JP4’; new health app from fitness expert, Jessie Pavelka
Fitness expert and television host, Jessie Pavelka has collaborated with Fisikal, experts in digital management solutions, to create the new JP4 app, a premium 12-week personal health and fitness transformation programme that takes the user on a journey of change through four key elements of health.
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.
Video Gallery
Temple Gym - Nautilus Equipment
Core Health & Fitness
Temple Gym - Nautilus Equipment Read more
More videos:
Company profiles
Company profile: Harlands Group
Harlands Group is the leading provider of membership management services to leisure operators, processing over ...
Company profiles
Company profile: Bungee Super Fly
We have developed our own Bungee harness and cords with CE certificate....
Catalogue Gallery
Click on a catalogue to view it online
Directory
Gym flooring
REGUPOL/Berleburger Schaumstoffwerk (BSW): Gym flooring
Trade associations
International SPA Association - iSPA: Trade associations
Management software
Fisikal: Management software
Direct debit solutions
Harlands Group: Direct debit solutions
Whole body cryotherapy
Zimmer MedizinSysteme GmbH / icelab: Whole body cryotherapy
Hydrotherapy / spa fragrances
Kemitron GmbH: Hydrotherapy / spa fragrances
Lockers/interior design
Crown Sports Lockers: Lockers/interior design
Fitness Software
FunXtion International BV: Fitness Software
Independent service & maintenance
Servicesport UK Limited: Independent service & maintenance
Flooring
Total Vibration Solutions / TVS Sports Surfaces: Flooring
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

HCM People: Rich HutsonCEO of CHi Fitness and Co-founder of Fire Fitness

The business wasn’t getting the numbers needed, so I raised the prices by 25 per cent. It worked and we didn’t skip a beat

Published in Health Club Management 2019 issue 8
Rich Hutson is based in Malaysia
Rich Hutson is based in Malaysia

Tell us about your career
I started as a personal trainer in Canada, teaching women to box. I realised early on that helping people better their lives makes me feel really good.

I moved to Australia for a change, found a job at a gym and got into sales, quickly realising it was something I liked.

A stint at Fitness First in Australia followed, where I helped lead our Asia expansion as FF Asia sales director. After two years I was asked to go to Europe to take on the European sales director role and spent five amazing years there and met my future wife.

Fitness First sold Europe and I came back to Asia where I spent another eight years before parting ways in 2015.

I then partnered with my friend Dave Nuku to start Fire Fitness. After opening our second club I made a decision to find another job, because you can’t have two families living off a start-up! I spent six months in Dubai before I was offered my dream role, as CEO at CHi Fitness, which allowed me to come back to Malaysia.

We turned the business around and sold it last September to Evolution Wellness. Now back where I started, working for my old colleagues and friends!

Tell us more about Fire Fitness
We have two clubs in Kuala Lumpur. We were the first boutique fitness operator here. Our marketing and approach were very different – we made a big noise coming into the market and it made people wonder what we were.

Right from the start we had success because of our trainers and the experience that we provide. We run four classes: Stride (HIIT); Ride (cycling); Force (low impact strength); and Strike (boxing).

Our audience is a mix of expats and locals. We have a 70/30 split of female to males and a range of ages from millennials to over 60s, which varies by type of class and the trainer. We love the fact we get such a wide range of ages.

How did you turn CHi around?
I had three offers in front of me and I chose the role with CHi because it was the one that got me the most excited. I felt it was time to take a lead role after being in sales and operations for so long, even though I was nervous. I knew the business and believed it could do better.

I was transparent about my goal: to put some major results on the board so we could attract investors. This was the key to our future and I wanted every GM to be on-board with the goal and not be nervous if they heard rumours. I wanted to empower them to feel as though they were part of it.

When I looked at the strategy, pricing and what the clubs were offering, I couldn’t see how we were going to reach our goals. The business was trying to run a budget model but was a full-service offering.

It wasn’t getting the numbers needed, so I raised the prices by 25 per cent. It worked and we didn’t skip a beat.

This gave the team confidence and confirmed that their clubs were worth it.

We also closed our struggling clubs. We started with 20 and worked our way down to 13 and we make triple the EBITDA. It’s mind blowing how much time you can spend on clubs that are losing money, and this just takes away your time from building the future.

What’s the potential in Asia?
It’s an exciting time to be in here as there’s considerable growth to come.

The greatest challenge is finding a way to cater to the less affluent. In many parts of Asia you see a wide gap between those who can afford fitness and those who can’t. Catering to those less well-off is an opportunity worth pursuing.

The level of instruction in many clubs isn’t yet near the standard it needs to be. In most Asian countries there’s no governing body setting standard for qualifications, so anyone can walk off the street and say they’re a trainer.

What’s your career taught you?
It’s taught me to take chances in life and business. I’ve left what I’d consider ‘home’ more times than I can count and have loved every moment – win or lose.

I’ve worked in 17 countries and lived in a further seven, and don’t regret a single move, as everything has provided me with amazing experiences.

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!
Hutson raised prices and sold struggling clubs to turn CHi around
Hutson raised prices and sold struggling clubs to turn CHi around
Fire Fitness was the first boutique fitness offering in the Malaysian market
Fire Fitness was the first boutique fitness offering in the Malaysian market
CHi Fitness aims to offer a full service at excellent value
CHi Fitness aims to offer a full service at excellent value
Hutson and business partner 
Dave Nuku have two Fire Fitness clubs in Kuala Lumpur
Hutson and business partner Dave Nuku have two Fire Fitness clubs in Kuala Lumpur
Fire offers four group fitness classes: Stride, 
Ride, Force and Strike
Fire offers four group fitness classes: Stride, Ride, Force and Strike
http://www.leisureopportunities.com/images/imagesX/137776_588227.jpg
The CEO of CHi Fitness, in Malaysia, discusses how he turned the business around
Rich Hutson, CHi Fitness, Fire Fitness,Fitness, Malaysia
Latest News
Fitness equipment firm Nautilus Inc is looking for a buyer for its commercial equipment brand ...
Latest News
Technogym has announced the launch of live streaming and on-demand classes. The new content will ...
Latest News
A number of gym operators are concerned that local lockdowns could come into effect in ...
Latest News
Prime Minister Boris Johnson has announced that gyms may be able to reopen in a ...
Latest News
UK consumer confidence has improved significantly since the beginning of the lockdown, with a fifth ...
Latest News
The PGA Tour has recently bought 1,000 Whoop bands for its golfers, after PGA Tour ...
Latest News
ukactive has announced that Active Uprising and the National Summit are going digital as part ...
Latest News
Industry body ukactive has today (1 July) hosted a delegation of government and public health ...
Latest News
Health and fitness company Ingesport – which operates the GO fit chain of gyms in ...
Latest News
Mountainside Fitness in Arizona has filed a lawsuit against state's governor, Doug Ducey, after he ...
Featured supplier news
Featured supplier: Fisikal chosen as tech partner for ‘JP4’; new health app from fitness expert, Jessie Pavelka
Fitness expert and television host, Jessie Pavelka has collaborated with Fisikal, experts in digital management solutions, to create the new JP4 app, a premium 12-week personal health and fitness transformation programme that takes the user on a journey of change through four key elements of health.
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.
Video Gallery
Temple Gym - Nautilus Equipment
Core Health & Fitness
Temple Gym - Nautilus Equipment Read more
More videos:
Company profiles
Company profile: Harlands Group
Harlands Group is the leading provider of membership management services to leisure operators, processing over ...
Company profiles
Company profile: Bungee Super Fly
We have developed our own Bungee harness and cords with CE certificate....
Catalogue Gallery
Click on a catalogue to view it online
Directory
Gym flooring
REGUPOL/Berleburger Schaumstoffwerk (BSW): Gym flooring
Trade associations
International SPA Association - iSPA: Trade associations
Management software
Fisikal: Management software
Direct debit solutions
Harlands Group: Direct debit solutions
Whole body cryotherapy
Zimmer MedizinSysteme GmbH / icelab: Whole body cryotherapy
Hydrotherapy / spa fragrances
Kemitron GmbH: Hydrotherapy / spa fragrances
Lockers/interior design
Crown Sports Lockers: Lockers/interior design
Fitness Software
FunXtion International BV: Fitness Software
Independent service & maintenance
Servicesport UK Limited: Independent service & maintenance
Flooring
Total Vibration Solutions / TVS Sports Surfaces: Flooring
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
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Hedgehog Concept Ltd
Hedgehog Concept Ltd