The US fitness industry is experiencing a historic resurgence. As health and wellness become more of a focus for Americans, more individuals are willing to invest in their physical wellbeing.
Due to this surge in gyms and fitness centres across America, the industry continues to expand. Unfortunately, several factors are impeding its recovery process.
Health and wellness is a holistic concept that encompasses all aspects of someone’s life – social, emotional, physical, occupational, spiritual. The purpose is to promote health by addressing these dimensions at every turn – from diet to exercise – regardless of age or ability level.
Millennials place greater value on health and wellness than other generations, with 46 percent purchasing wellness items compared to 28 percent among other generations.
Black consumers are the most vocal when it comes to wellness products and services, with 47-55% wanting more available compared to 35-39% among Asian Americans and 30-35% among White consumers.
Personalization is becoming a growing trend among many consumers, with 49 percent of millennials and 37 percent of Gen Z expressing a strong preference for products or services that utilize their personal data. Companies are exploring various methods to personalize their offerings, such as quiz-based personalization or biomarker-based targeting.
The COVID-19 Pandemic has had a substantial impact on the US fitness industry. It reduced revenues, closed clubs and studios, required gym owners to fund renovations and equipment purchases, as well as taking trainers’ jobs away.
Furthermore, many who used to exercise at a gym were forced outdoors or do it from home without access to a facility. This transition proved challenging for some and made it harder for them to stay motivated and dedicated throughout the process.
However, an increasing number of consumers are returning to their health and fitness clubs. According to a June survey by IHRSA, nearly 50% of fitness consumers plan to return within six months.
Though the COVID-19 Pandemic has passed, fitness industry still faces numerous obstacles. Clubs and studios must contend with regulatory burdens as well as expenses to abide by regulations. To address these issues, NHFA is encouraging club and studio operators to reach out to Congress in support of the GYMS Act; which would offer financial relief for fitness businesses.
The US fitness industry’s resurgence offers business owners not only a chance to regain pre-pandemic membership losses but also to reinvent its value proposition. To do this, fitness business owners must identify a customer segment that closely mirrors their current customer demographic and tailor their value propositions accordingly.
Digital technologies, such as apps and fitness-oriented devices, AI, and online gyms have revolutionized the traditional brick-and-mortar gym business model. As a result, many gym owners have reshaped their businesses to meet the demands of this rapidly transforming fitness industry.
Fitness clubs across the US have adopted business models that provide on-demand workout classes and video streaming. This convenient approach gives consumers access to a wide variety of exercise classes and trainers, making it one of the most sought-after trends in the US fitness industry.
A hybrid business model is an amalgam of traditional and digital elements within a company. This setup can improve the efficiency of certain processes like sales, marketing, and customer service while saving businesses both time and money.
In the fitness industry, hybrid models offer both onsite training at a gym or studio and remote workouts for members. This is an efficient way to keep members motivated and help them fit fitness into their busy lives.
Clubs have the unique opportunity to build a new community of people who may not be able to visit your physical location. By allowing them to join live streaming or on-demand classes from anywhere, you can extend your brand’s reach and turn your studio into an international platform for exercisers around the world.
In today’s health and wellness sector, diversifying revenue sources is critical for survival. By adopting the hybrid model, businesses will have the chance to build a digitally adept, innovative community that can drive transformation in this growing industry.