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fibodo Limited
fibodo Limited
fibodo Limited
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

News

Gym Group building pipeline of new openings for 2021 – membership demand remains 'strong' despite lockdowns

The business has traded profitably during the period and we are confident that our strong financial position will provide the platform to resume our growth path once we reopen
– Richard Darwin

The Gym Group will look to further grow its 183-strong portfolio across England, Scotland and Wales during 2021, as the demand for gym memberships has remained strong, despite the disruption caused by COVID-19.

In a trading update, the budget operator said it "continues to see an opportunity to access attractive potential new sites" and is building a pipeline for new openings in 2021.

It has already had leases exchanged on four sites, with "several more under negotiation".

The company revealed that when it reopened its estate on 25 July 2020, it had 658,000 members. 574,000 of these were ongoing paying members – and the figure excludes members who had opted to freeze their membership without charge and students whose fixed term contracts had been extended to October/November 2020 due to the initial lockdown.

Following the reopening, the group saw membership grow up until the second half of September, when the emergence of a second wave of COVID-19 meant member levels started to decline with total membership on 31 October 2020 of 639,000.

Despite this, the number of paying members for the three-month period ongoing is up by 2.4 per cent (at 588,000), compared to the July re-opening level (574,000).

“In the three months since reopening The Gym Group has seen good levels of membership demand reinforcing the beneficial role that affordable fitness makes to physical and mental well-being," said Richard Darwin, The Gym Group CEO.

"Covid-secure measures are working very well across the sector enabling gyms to remain open even with regional Tier 3 restrictions, encouraging us that we should be able reopen quickly once the national lockdown is over.

"The business has traded profitably during the period and we are confident that our strong financial position, with very low levels of net debt and close to £70m of unused facilities, will provide the platform to resume our growth path once we reopen.”

In September, text here Darwin said the company has a cashflow break-even of 520k members on the current estate of 183 clubs.

Revealing the impact of the lockdown on its membership numbers for the first time, he said TGG went into lockdown with 891,000 members (at 29 February), and that this fell to 658,000 by 25 July, with a further 60,000 taking the option of a membership freeze.

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News

Gym Group building pipeline of new openings for 2021 – membership demand remains 'strong' despite lockdowns

The business has traded profitably during the period and we are confident that our strong financial position will provide the platform to resume our growth path once we reopen
– Richard Darwin

The Gym Group will look to further grow its 183-strong portfolio across England, Scotland and Wales during 2021, as the demand for gym memberships has remained strong, despite the disruption caused by COVID-19.

In a trading update, the budget operator said it "continues to see an opportunity to access attractive potential new sites" and is building a pipeline for new openings in 2021.

It has already had leases exchanged on four sites, with "several more under negotiation".

The company revealed that when it reopened its estate on 25 July 2020, it had 658,000 members. 574,000 of these were ongoing paying members – and the figure excludes members who had opted to freeze their membership without charge and students whose fixed term contracts had been extended to October/November 2020 due to the initial lockdown.

Following the reopening, the group saw membership grow up until the second half of September, when the emergence of a second wave of COVID-19 meant member levels started to decline with total membership on 31 October 2020 of 639,000.

Despite this, the number of paying members for the three-month period ongoing is up by 2.4 per cent (at 588,000), compared to the July re-opening level (574,000).

“In the three months since reopening The Gym Group has seen good levels of membership demand reinforcing the beneficial role that affordable fitness makes to physical and mental well-being," said Richard Darwin, The Gym Group CEO.

"Covid-secure measures are working very well across the sector enabling gyms to remain open even with regional Tier 3 restrictions, encouraging us that we should be able reopen quickly once the national lockdown is over.

"The business has traded profitably during the period and we are confident that our strong financial position, with very low levels of net debt and close to £70m of unused facilities, will provide the platform to resume our growth path once we reopen.”

In September, text here Darwin said the company has a cashflow break-even of 520k members on the current estate of 183 clubs.

Revealing the impact of the lockdown on its membership numbers for the first time, he said TGG went into lockdown with 891,000 members (at 29 February), and that this fell to 658,000 by 25 July, with a further 60,000 taking the option of a membership freeze.

Sign up here to get HCM's weekly ezine and every issue of HCM magazine free on digital.
Related news

Gym Group gets through lockdown in good shape

02 Sep 2020
Announcing the company's half-year results today (2 September), Richard Darwin, CEO of The Gym Group ...

Boris Johnson pays secret visit to The Gym Group South Ruislip

07 Aug 2020
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The Gym Group expects to be in profit on reopening

13 Jul 2020
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News

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HCM People

Nick Whitcombe

Founder, Body Tech Fitness
I’ve been in the industry for a decade and it’s the first time I’ve seen it truly unified from the top to the bottom
HCM magazine
The science shows being fit mitigates against COVID-19. We’ve proven we can operate safely under the SAGE COVID-secure Framework. Time to join it up by securing essential service status
HCM magazine
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Opinion
promotion
With January now close on the horizon your thoughts will be firmly focused on sales campaigns to attract new members through your doors in the new year rush.
Opinion: Sealing the Leaky Bucket – 7 Research-Based Tips for Retaining New Members in January 2021
Featured supplier news
Featured supplier: Funxtion collaborates with global experts on white paper exploring digital in the future of fitness
In collaboration with ukactive, FunXtion has driven a global discussion with some of the world’s leading fitness operators and influencers, exploring how digitalisation will influence the delivery of fitness services and products moving forwards.
Featured supplier news
Featured supplier: Converting members in January has never been so simple with Volution’s new Lead Generation tool
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Company profiles
Company profile: Healthcheck Services Ltd
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Hydrotherapy / spa fragrances
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Property & Tenders
11 - 25 Union St, London SE1 1SD
Bankside Open Spaces Trust
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