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Health Club Management

Health Club Management

features

The Health 'Mega-Trend'

David Stalker, CEO of ukactive, explains how the nation’s declining health is attracting investors back into the fitness sector

Published in Health Club Management 2013 issue 11

The last 20 years haven’t quite lived up to expectations when it comes to investment into our sector.

Yet it seems this investment hiatus is coming to an end, with notable recent transactions including those of Fitness First, Pure Gym, The Gym Group and David Lloyd Leisure. With these transactions in mind, ukactive – along with the global financial advisory institution Rothschild – recently hosted a unique event that brought together members of the Vanguard Group with a number of private equity and venture capitalist organisations.

The event looked at why investors have recently been attracted back to our sector, and the potential the sector holds for growth. Oren Peleg, MD at Oaktree Capital Management, was just one of the experts who identified how a series of ‘mega-trends’ were creating unique opportunities for physical activity provision: the most notable mega-trend being the decline of the nation’s health and the activity sector’s opportunity to provide a solution for this issue.

An emerging role
As I said at this year’s Leisure Industry Week, if our sector is to grow, we must move away from a solely fitness solution towards delivering health outcomes.

Through a mix of technological advancement, changes in behaviour and modern lifestyles, we’ve witnessed a drastic decline of more than 35 per cent in physical activity levels.

Sedentary lifestyles go hand-in-hand with obesity, and we’re now at a point where there are more deaths globally from obesity than from malnutrition.

I’m not being flippant when I say this could bankrupt the NHS: it’s impossible to continue paying out huge sums due to the health problems linked with inactive lifestyles. Reports say the NHS will be bankrupt by 2050 if trends continue.

And this is where our sector comes in, and why investors are looking at us: we have the potential to be a leading vehicle in helping get the nation active and healthy, with physical activity proven to reduce the risk of developing over 20 chronic diseases, improve quality of life and even aid rehabilitation from injury.

Investors are also looking at our sector because of the changes that have been made to the health system, with an emphasis on local commissioning of local delivery for local needs. A new executive agency now exists – Public Health England – with a remit ranging from protecting and improving the nation’s health to building the public health system. It’s also the first time public health funding has ever been ring-fenced in the UK, giving clinicians much more responsibility for spending the £80m budget in England.

Proving our worth
Our local communities need our services, as do the NHS and local authority public health. We now have a route in. However, we can’t simply assume government and health will naturally come to our sector: we have to adapt and change towards a health delivery focus to be considered a worthy partner.

Regarding the public health agenda, we must start by establishing the true impact we’re making, and can make, on the nation’s health. We must provide evidence that competes with existing health service providers. The ukactive Research Institute at the Universities of Greenwich and Aberystwyth is a body to take on this challenge, and is leading the largest study of its kind into the impact of physical activity in prevention, management and treatment of chronic diseases.

We must also must look at the skills of our professionals, at our facilities, and at the outcomes we collect on a daily basis. The investment community is now paying attention due to national trends like obesity. We also know our sector will only grow if we actively capitalise on such trends and opportunities. If we do this, investors will continue to stand up, pay attention, and investment will flow.

FOR MORE INFORMATION

If you would like more information on ukactive’s public affairs and policy work, please contact Stephen Wilson, director of public affairs and policy: [email protected]

David Stalker, CEO of ukactive
David Stalker, CEO of ukactive
Investors are now looking at the fitness sector as a valuable potential solution to the nation’s health issues
Investors are now looking at the fitness sector as a valuable potential solution to the nation’s health issues
http://www.leisureopportunities.com/images/HCM2013_11UK.gif
David Stalker explains how investors are being attracted back to the fitness sector
People
HCM people

Professor Zhen Yan

director of the Center for Skeletal Muscle Research, University of Virginia
Regular exercise may help people survive COVID-19
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The remote personal training service has also been a great success: we’ll maintain around 40% of our PT business for April
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HCM people

Michael Ramsay

Founder and director, STRONG Rowformer
There’s something about the combination of fast-twitch and slow-twitch fibres working together that absolutely destroys you and gives you an almost euphoric feeling at the end of every workout
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Matrix Connected Solutions is more than a collection of hardware, software and connectivity options. It’s a fully integrated digital ecosystem that enhances the way machines are managed, members are motivated and the club brand is promoted
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Premier Global NASM has restructured its education offering to create new career pathways to help personal trainers and individuals entering the sector navigate their way to career success. Dan Rees explains the rationale
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promotion
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    features

    The Health 'Mega-Trend'

    David Stalker, CEO of ukactive, explains how the nation’s declining health is attracting investors back into the fitness sector

    Published in Health Club Management 2013 issue 11

    The last 20 years haven’t quite lived up to expectations when it comes to investment into our sector.

    Yet it seems this investment hiatus is coming to an end, with notable recent transactions including those of Fitness First, Pure Gym, The Gym Group and David Lloyd Leisure. With these transactions in mind, ukactive – along with the global financial advisory institution Rothschild – recently hosted a unique event that brought together members of the Vanguard Group with a number of private equity and venture capitalist organisations.

    The event looked at why investors have recently been attracted back to our sector, and the potential the sector holds for growth. Oren Peleg, MD at Oaktree Capital Management, was just one of the experts who identified how a series of ‘mega-trends’ were creating unique opportunities for physical activity provision: the most notable mega-trend being the decline of the nation’s health and the activity sector’s opportunity to provide a solution for this issue.

    An emerging role
    As I said at this year’s Leisure Industry Week, if our sector is to grow, we must move away from a solely fitness solution towards delivering health outcomes.

    Through a mix of technological advancement, changes in behaviour and modern lifestyles, we’ve witnessed a drastic decline of more than 35 per cent in physical activity levels.

    Sedentary lifestyles go hand-in-hand with obesity, and we’re now at a point where there are more deaths globally from obesity than from malnutrition.

    I’m not being flippant when I say this could bankrupt the NHS: it’s impossible to continue paying out huge sums due to the health problems linked with inactive lifestyles. Reports say the NHS will be bankrupt by 2050 if trends continue.

    And this is where our sector comes in, and why investors are looking at us: we have the potential to be a leading vehicle in helping get the nation active and healthy, with physical activity proven to reduce the risk of developing over 20 chronic diseases, improve quality of life and even aid rehabilitation from injury.

    Investors are also looking at our sector because of the changes that have been made to the health system, with an emphasis on local commissioning of local delivery for local needs. A new executive agency now exists – Public Health England – with a remit ranging from protecting and improving the nation’s health to building the public health system. It’s also the first time public health funding has ever been ring-fenced in the UK, giving clinicians much more responsibility for spending the £80m budget in England.

    Proving our worth
    Our local communities need our services, as do the NHS and local authority public health. We now have a route in. However, we can’t simply assume government and health will naturally come to our sector: we have to adapt and change towards a health delivery focus to be considered a worthy partner.

    Regarding the public health agenda, we must start by establishing the true impact we’re making, and can make, on the nation’s health. We must provide evidence that competes with existing health service providers. The ukactive Research Institute at the Universities of Greenwich and Aberystwyth is a body to take on this challenge, and is leading the largest study of its kind into the impact of physical activity in prevention, management and treatment of chronic diseases.

    We must also must look at the skills of our professionals, at our facilities, and at the outcomes we collect on a daily basis. The investment community is now paying attention due to national trends like obesity. We also know our sector will only grow if we actively capitalise on such trends and opportunities. If we do this, investors will continue to stand up, pay attention, and investment will flow.

    FOR MORE INFORMATION

    If you would like more information on ukactive’s public affairs and policy work, please contact Stephen Wilson, director of public affairs and policy: [email protected]

    David Stalker, CEO of ukactive
    David Stalker, CEO of ukactive
    Investors are now looking at the fitness sector as a valuable potential solution to the nation’s health issues
    Investors are now looking at the fitness sector as a valuable potential solution to the nation’s health issues
    http://www.leisureopportunities.com/images/HCM2013_11UK.gif
    David Stalker explains how investors are being attracted back to the fitness sector
    Latest News
    ukactive has questioned the government's decision to make all employers start paying towards the wages ...
    Latest News
    A study on how exercise changes the body at a molecular level has suggested that ...
    Latest News
    A new industry support association, Fitness United, launches today (1 June) to bring suppliers and ...
    Latest News
    Corporate broking and advisory firm, Peel Hunt, has issued a 'buy' recommendation for shares in ...
    Latest News
    Health club chain 24 Hour Fitness has reopened some of its sites in Texas and ...
    Latest News
    The fitness industry in Europe is uniting today (30 May) to launch #beactivehour, a free ...
    Latest News
    PureGym has become the latest fitness operator to deploy a digital offering in a bid ...
    Latest News
    A new report has revealed the likely timescales and shape of the UK fitness market's ...
    Latest News
    There has been a "surge in appreciation" of exercise during lockdown, with people turning to ...
    Latest News
    Gyms and health clubs in Dubai, UAE, have begun reopening their doors today (27 May) ...
    Job search
    POST YOUR JOB
    Opinion
    promotion
    Hedgehog Concept Ltd has developed software that allows its clients to track usage and customer volume on a minute to minute basis.
    Opinion: Is your software fit for COVID-19?
    Featured supplier news
    Featured supplier: Adidas calls on BLK BOX for flooring solutions at new World of Sports complex
    Adidas believes that creators, just like athletes, need an environment that inspires their employees to perform and believe that through sport, we have the power to change lives.
    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
    Technogym mywellness app
    Technogym
    Improve your training experience. All your data in a single app. Read more
    More videos:
      Company profiles
      Company profile: Focus Training
      Focus Training is a leading provider of Active IQ and YMCA Awards certified Personal Trainer ...
      Company profiles
      Company profile: EXF Fitness
      EXF offer so much more than modular systems and pick and mix installations, they don’t ...
      Catalogue Gallery
      Click on a catalogue to view it online
      Directory
      Gym flooring
      REGUPOL/Berleburger Schaumstoffwerk (BSW): Gym flooring
      Spa software
      SpaBooker: Spa software
      Skincare
      Comfort Zone - Davines S.p.A: Skincare
      Lockers/interior design
      Crown Sports Lockers: Lockers/interior design
      Hydrotherapy / spa fragrances
      Kemitron GmbH: Hydrotherapy / spa fragrances
      Management software
      Fisikal: Management software
      Fitness equipment
      TRX Training: Fitness equipment
      Whole body cryotherapy
      Zimmer MedizinSysteme GmbH / icelab: Whole body cryotherapy
      Direct debit solutions
      Harlands Group: Direct debit solutions
      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
      13 Jun 2020
      Worldwide, Various,
      Diary dates
      06-07 Jul 2020
      Eastwood Hall, Nottingham, United Kingdom
      Diary dates
      28-31 Aug 2020
      Expo Centre & Riviera di Rimini, Italy
      Diary dates
      21-24 Sep 2020
      Loews Coronado Bay Resort, Coronado, United States
      Diary dates
      01-02 Oct 2020
      Whittlebury Hall, Whittlebury, United Kingdom
      Diary dates
      11-12 Oct 2020
      ExCeL London, London, United Kingdom
      Diary dates
      17-23 Oct 2020
      Pinggu, Beijing, China
      Diary dates
      27-30 Oct 2020
      Messe Stuttgart, Germany
      Diary dates
      30-31 Oct 2020
      NEC, Birmingham, United Kingdom
      Diary dates
      27-28 Nov 2020
      Athena, Leicester, United Kingdom
      Diary dates
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