FEBRUARY 2021
FITNESS INDUSTRY TRENDS TO WATCH IN 2021 TABLE OF CONTENTS
2021: A WHOLE NEW BALLGAME FOR THE FITNESS INDUSTRY 3 By Pamela Kufahl, director of content, Club Industry A YEAR IN FLUX: 2021 POSES CHALLENGES FOR THE HEALTH CLUB INDUSTRY 4 By Rick Caro, president, Management Vision SURVIVAL IN 2021 REQUIRES GETTING DONE THE JOB OF MEETING CONSUMERS’ 6 NEW DEMANDS By Emmett Williams, CEO Asia Pacific, Myzone BOOST MEMBER ENGAGEMENT WITH THE NETFLIX EFFECT IN 2021 8 By Jeff Esswein, vice-president of strategic accounts and digital content, Freemotion Fitness FOUR TRENDS THAT WILL AFFECT THE FUTURE OF THE HVLP MARKET IN 2021 10 By Art Curtis, president, Curtis Club Advisors LLC DIGITAL FITNESS TRENDS FOR THE NEXT DECADE 12 By Hannah Campbell, content producer, Les Mills THE TRENDS IN PRICING DIGITAL FITNESS IN 2021 14 By Ashley Podoll, CMO, Intelivideo A EUROPEAN PERSPECTIVE ON WHAT’S COMING IN 2021 AND WHERE TO FOCUS YOUR 16 EFFORTS By Jennifer Halsall-de Wit, board member, Europe Active, and COO, Women in Fitness Association DIGITAL FITNESS ACCELERATED IN 2020 – NOW WHAT? 18 By Sharad Mohan, co-founder and managing director, Trainerize powered by ABC THE FUTURE IS HYBRID: HOW TO LEVEL UP YOUR VIRTUAL OFFERING 20 By Clint Gehde, co-founder and head coach, Exer SALES AND MARKETING TRENDS IN A NEW ERA OF THE FITNESS INDUSTRY 22 By Bill McBride, CEO, Active Wellness, and CEO, BMC3 Consulting RESHAPING AND SUPERCHARGING THE MEMBER EXPERIENCE IN 2021 24 By Andrew Evenson, senior director operations and brand strategy, Fitness OnDemand FORECASTING STRONG MARKET GROWTH IN 2021 FOR THE RIGHT FITNESS CONCEPTS 26 By Rick Mayo, founder and CEO, Alloy Personal Training 28 IN 2021 GYMS MUST CAPTURE MEMBERS WHO LOVE TO ‘PLAY OUTSIDE’ By Chris Frankel, head of performance, BeaverFit USA 30 FOUR SOFTWARE AND BILLING TIPS TO HELP YOU THROUGH 2021 By Carole Oat, national sales manager, Twin Oaks Software 32 30 VIEWS ON HEALTH AND WELLNESS INDUSTRY TRENDS TO WATCH IN 2021
FEBRUARY 2021 EDITOR’S LETTER
2021: A WHOLE NEW 685 Third Ave., 21st Floor New York, NY 10017
BALLGAME FOR THE DIRECTOR OF CONTENT FITNESS INDUSTRY Pamela Kufahl MANAGING DIRECTOR ach year’s trends are always impacted by what happened the Marty McCallen year prior, but 2021’s trajectory has been defined by the un- E INTEGRATED MEDIA usual and challenging circumstances of 2020, which makes 2021 ACCOUNT REP a different ballgame. Many of the trends we are experiencing Crystal Wheeler were already percolating prior to 2020, but the challenges of the year pushed many of them further and faster than they might MARKETING MANAGER have gone in any “normal” year. So during the first quarter of Tina Beebe the new year, Club Industry has asked a variety of people in the ART DIRECTOR fitness industry to share their thoughts on trends to watch in Jordino De Los Santos 2021. Club Industry gathered insights from industry consultants Rick SENIOR DIGITAL Caro of Management Vision, Art Curtis of Curtis Club Advisors ADVERTISING SPECIALIST Taylor Gleason and Bill McBride of BMC3 Consulting (and CEO of Active Man- agement) as well as Jennifer Halsall-de Wit, board member of www.clubindustry.com Europe Active and COO of Women in Fitness Association, and Rick Mayo, founder of Alloy Personal Training. Each of these individuals share their thoughts in the first stories of the report,
interspersed with insights from the report sponsors. PHOTOGRAPHY: GETTY IMAGES The last story offers insights from 30 individuals representing commercial clubs, studios, YMCAs, parks and rec facilities and This report is sponsored by: other segments of the industry. Those individuals include Mel Kleist, executive director of East Bank Club; Raj Kumar, execu- tive vice president, international of Self Esteem Brands; Rebecca Lee, vice president of membership & wellness at YMCA of Metro Dallas; Sarah Luna, president of Xponential Fitness; Todd Maga- zine, CEO of Blink Fitness; JoAnna Masloski, COO of Wellbridge; David Rachal III, founder and CEO of Healthefit: Greta Wagner, executive director/executive vice president of Chelsea Piers; and Omar Yunes, CEO of 54D. So sit back, relax and check out these insights to see if they match up with your thoughts on where the fitness industry is headed in 2021.
Sincerely,
Pamela Kufahl Director of Content Club Industry
www.clubindustry.com
3 FEBRUARY 2021 A YEAR IN FLUX: 2021 POSES CHALLENGES FOR THE HEALTH CLUB INDUSTRY Coming off its most devastating year ever, the health club industry is facing challenges in 2021 that will require a marathon effort and forward thinking to overcome. BY RICK CARO, PRESIDENT, MANAGEMENT VISION
n 2020, the fitness industry had the most freeze. Many indicated they will return after they Idevastating year in its history. Clubs were receive both doses of the two-dose vaccine. Many shuttered, sometimes more than once with no adults were told to work from home, and children clear guidance on timing. When allowed to operate, attended school virtually at home. Many people some state and local restrictions were devastating struggled financially. While at home, many people and even prevented clubs from actually invested in home reopening properly. The image of the health club fitness equipment industry was challenged as clubs were labeled “And the positioning of the and sought digital as “super spreaders of COVID-19” and included fitness solutions. as part of the overall indoor spaces (including club as a necessary part No one is bars and restaurants, casinos and indoor sports of one’s lifestyle will take expecting the arenas) rather than being universally viewed as workforce to part of the healthcare continuum. Club owners time to win the day.” resume full-time came together, including with fellow local office use for most competitors, to create state alliances and join in of 2021. Until next the messaging, research, lobbying and funding to fall, youths are still mostly or entirely at home. tell the full industry story. Governments are likely to maintain the same level of restrictions even while more people gain access Club Challenges to the vaccine. And the positioning of the club as Suddenly, the pandemic affected the viability of a necessary part of one’s lifestyle will take time to clubs globally. Governments closed clubs. When win the day. allowed to reopen, they did so with restrictions on capacity permitted, distancing measures in place Business Challenges and required use of masks, often causing many Clubs are facing liquidity challenges. Membership existing members to cancel or go on “freeze.” levels, depending on the segment, are often at 50 Clubs today still have large percentages of percent to 60 percent of last March’s totals. A huge members from the closures of last March still on percentage of members remain on freeze with no
4 FEBRUARY 2021 committed return date. Nondues revenue The question is what that direction looks like categories are often at 25 percent to 30 percent of post-pandemic. Many assume that clubs will need a year ago. Even with severe cost-cutting measures, an omnichannel approach to offer a pure brick- clubs are struggling to break even. So, liquidity and-mortar offer, a digital-only membership and is a major force affecting all clubs. Negotiations a combined one. This could lead to increasing the with landlords have often yielded overall industry membership as a revised rental arrangements, whole. pushing out the missed payments “The club industry is The club industry is not likely to to formulas for future years. Few return to previous levels until the landlords have forgiven missed not likely to return to fourth quarter 2021. And it still may payments. Banks have also been previous levels until the be less than 100 percent at that willing to re-do amortization juncture. It will need to get more schedules. Government assistance fourth quarter 2021. And it medical advisors to give credence in the form of PPP loans on Main still may be less than 100 to the club experience, do more Street bank loans has helped, but research to prove clubs are safe, do it is a temporary fix. percent at that juncture. ” better public relations and overall About 17 percent of all U.S. messaging, ensure compliance clubs have closed permanently. with all regulations, create regular state alliances, Those with access to capital may be able to obtain support IHRSA’s new lobbying efforts for the attractive deals to acquire some of these. The industry and connect to its local communities studio component is struggling with the local in deeper ways. It will be a proverbial marathon distancing requirements for member usage. effort to come back in the near future. Until those are eased—or even eliminated—these businesses cannot operate even at break-even in BIO terms of basic operating costs. The larger clubs, Rick Caro is president of especially those with outdoor components, have cleverly developed regular outdoor usage under consulting firm Management tents and temporary pavilions. The HVLP (high- Vision Inc., which provides volume, low-price) segment is recovering faster management expertise to than most but is heavily weighted to returning 20- clubs, real estate developers, to 40-year-old members. Development of new clubs hospitals, hotels, resorts and has slowed and is tied to available capital levels. appraisers. He also serves Franchises are getting solid support from as an expert witness. He does feasibility studies, franchisors and are likely to survive overall. business plans, loan proposals, valuation of the The mid-tier clubs are sensitive to their worth of clubs, assistance in the buying and selling previous challenge of positioning and need for of clubs, operational analyses of existing clubs and differentiation. Even the largest companies in this financial acumen. Caro has more than 40 years space are reviewing their future options. of experience in the fitness industry, previously running his own health clubs. He is one of the New Influences founders of IHRSA and served as president and New challenges have arisen from digital content director of the trade association for commercial and at-home fitness—both growing meteorically. club operators.
5 FEBRUARY 2021 SPONSOR: MYZONE SURVIVAL IN 2021 REQUIRES GETTING DONE THE JOB OF MEETING CONSUMERS’ NEW DEMAND Whether you are supporting your members in achieving their goals in-person or virtually, your health club must stick to the core job to be done. BY EMMETT WILLIAMS, CEO ASIA PACIFIC, MYZONE
s we settle into 2021, some things are clear: immunity. Whatever the goal, you can help build and A17 percent to 25 percent of clubs are never sustain an exercise routine to achieve it. coming back into operation after pandemic-related Doing so can take several forms. You could require restrictions. About 60 percent to 75 percent of members to book classes via a scheduler because members are returning to clubs, covering operating then they must make a commitment. A calendar expenses but leaving profit margins dry. Big tech reminder would then trigger them to follow through. companies are attempting to substitute for what Classes where members join and follow along clubs offer, and the market cap of digital fitness are easier and reduce resistance. During class, players such as Apple, Google and Amazon is equal acknowledge members by name to recognize their to that of the GDP of Japan. efforts and build community. Commitment to a We also have vaccines on the way to returning us behavior, triggers for an easy action and rewards are to “normal” life and a population hyperaware of their powerful components of sustained routine. general health and immunity to infection. The forces As you offer virtual products, stick to your core job are pushing and pulling in a complex way. to be done. Book members into virtual workouts for If your business has survived, it is time to capture a formal commitment, then remind them to check the commercial treasure on the other side. Not just in. Leverage live video coaching to allow the coach to return to 2019 levels but to capitalize on excess to interact, recognize and reward. Then, overlay demand in the wake of club closures. Consumers’ gamification so a workout at home and a workout at fresh new demand is to help them improve their the gym matter the same. Lastly, position your brand immune system. If you miss helping them meet as the big tent of fitness in a member’s life. Product this demand, you’ll miss the biggest tailwind in our offerings change with the times, but the core “jobs industry’s history. Some operators argue that hybridization will be to be done” remain the same. the macro theme of 2021; others say that strategy was just a 2020 quick fix. I am in the former camp BIO and believe hybridization will be the key trend, but Emmett Williams has worked worldwide in the why? And how to address it? fitness industry, returning recently to Australia after If you are unfamiliar with Clay Christensen’s “jobs nine years in the United States. Having built and to be done” theory, check out this short video on owned gyms on one side of the ledger, to having YouTube; it is as relevant now as it was before the owned and grown international sales and marketing pandemic. The theory suggests we are never selling company CFM on the other side of the ledger, a product to a consumer. Rather, the consumer hires Williams now allocates most of his time as partner us to get a job done, and the trick is establishing in wearable technology company Myzone. He has what that job is. Products change, but jobs often been named to Fitness Australia’s prestigious Roll of remain the same. Honor for excellence in leadership, and he accepted Ask yourself and your members: what is the job IHRSA’s Supplier of the Year award on behalf of to be done? Your job is to help build and sustain an Myzone. Williams is on the board of IHRSA’s Industry exercise routine so members can “fill in the blank” Partner Council as well as the Global Health and -- for example, lose weight, reduce stress, build Fitness Alliance.
6 FEBRUARY 2021 Digital d ne right. Your class experience enjoyed by everyone, at the same time.
In the gym, at home or outside, with MZ-Remote we're stronger together.
myzone.org/mz-remote 7 FEBRUARY 2021 SPONSOR: FREEMOTION BOOST MEMBER ENGAGEMENT WITH THE NETFLIX EFFECT IN 2021 That sense of accomplishment people get after binge-watching a series on Netflix can be replicated for your members with their workouts if you apply these principles. BY JEFF ESSWEIN, VICE-PRESIDENT OF STRATEGIC ACCOUNTS AND DIGITAL CONTENT, FREEMOTION FITNESS
iger King. The Last Dance. Ozark. The Queen’s your excitement after viewing the much-anticipated TGambit. These are just some of the blockbuster final episode. Netflix series you may have marathon-watched over Stoke an intense level of engagement with the past year. immersive digital content that builds a bond Not only has Netflix revolutionized the way we between the member and their coach. Build a library watch movies and shows, but it also has created of progressive, coach-led and studio workouts a new phenomenon: the Netflix effect. That “can’t that members can work through to achieve their stop, won’t stop” feeling you get when you reach the next fitness goal. When a member is supported end of an episode and click to start the next one. in developing a lasting fitness habit, the operator Why does this happen? What’s so addictive about benefits from an engaged, enthusiastic member. Netflix that we neglect sleep, household duties and A progressive workout series doesn’t just mean more in a bid to uncover the secrets of a series we’re giving members multiple workouts in a row. Enable desperate to complete? gym-goers to build up their fitness and confidence Much of the reason we consume a Netflix series levels over time, in the same way a TV series unveils like we have no time to lose comes down to the the story piece by piece with each episode. This is pleasure principle, as explained by Harvard Health. what makes the fitness experience more addictive. When we complete an episode or an entire series, Engage with club members via social channels we feel a sense of accomplishment. This, in turn, and encourage them to share their experiences, triggers a surge of dopamine in our brains. generating that all-important word of mouth that It’s this dopamine hit—and the desire to keep that boosts member referrals. Prompt members to review feeling going—that motivates us to continue seeking and recommend your club’s streaming offerings and out the pleasure source (e.g., the next episode). A suggest additional fitness content that may interest behavior loop is formed that compels us to do more them. of that activity, whatever it may be. If the Netflix effect can keep people hooked on When you succeed in bringing the Netflix effect TV, how can we create the Netflix effect in fitness to to the commercial fitness sector, members will keep members coming back? eagerly swap an evening watching TV for an evening To make fitness something that members can’t get working out with a favorite coach. Once a member enough of, apply some of the principles that Netflix experiences just how incredible a progressive series uses. Why give members an amazing, on-demand is, they want to continue until they reach the end. fitness experience in your facility only to end it after Then—and here’s the crucial part—they’ll want to click a single workout? Instead, provide a progressive “next,” which creates a retention magnet for the workout series that draws members in with the first facility. session, then gradually feed their appetite with more great content—enabling them to continue their BIO journey over several days or months. Jeff Esswein is vice-president of strategic accounts When people reach the end of a series, that’s and digital content for Freemotion Fitness. He has when they receive that dopamine rush, making them experience as a club operator, as president of a hungry for more and enhancing their attendance, sports and entertainment business for an investment engagement and retention. Consider the many times firm, as COO of Velocity World Media, and as founder you compared notes with a friend, colleague or and EVP of ClubCom. Click here to learn more about family member on what episode you’re on, or shared the revolutionary iFit-powered 22 SERIES.
8 FEBRUARY 2021 Italian Dolomites Moab, Utah Mount Kilimanjaro Scottish Highlands Venice Iceland Hawaii Easter Island Antarctica Patagonia Bora Bora New Zealand Egypt Machu Picchu
Today’s Workout Destination Workout Today’s Paris Swiss Alps Grand Canyon Rome INTERACTIVEGlen Coe WORKOUTS Workout in breathtaking locations with world-renowned coaches whoKenya auto-adjust the incline, decline, speed, and resistance of your machineSwiss to create Alps an immersive experience.
9 FREEMOTIONFITNESS.COMFEBRUARY 2021 FOUR TRENDS THAT WILL AFFECT THE FUTURE OF THE HVLP MARKET IN 2021 Despite the downturn in the fitness business due to the COVID-19 pandemic, well-run high-volume, low-price health clubs have the ability to grow during 2021, based on these four trends in this market. BY ART CURTIS, PRESIDENT, CURTIS CLUB ADVISORS LLC
ongratulations to those or you whose gyms Adjusting the cost structure to the new Chave survived the pandemic thus far. You have revenue realities will be critical and probably taken decisive actions to manage your challenging. The original thesis for the HVLP cash, restructure debt in some cases, renegotiated model was predicated on the assumption that in the leases, received PPP funds when eligible, perhaps typical multi-purpose cleaned up a weak balance sheet, reduced costs clubs most people wherever possible, implemented stringent new “Operating in 2021 will used relatively little safety and sanitation protocols, all while trying to of the club. The early keep your gym staffs and management teams in continue to revolve HVLPs scaled down place. Unfortunately, operating in 2021 will continue the club to include to revolve around the ability of club companies, around the ability of club only the basic including high-volume, low price clubs (HVLPs), companies to adapt and elements that were to adapt and operate in an environment shaped used most often by the uncertain course of the virus until there is operate in an environment by most members. widespread vaccination over at least the next 12 The gyms required months. Until then, it is likely that we will continue shaped by the uncertain lower capital, to have to operate in an environment where we course of the virus…” occupancy and will have substantially lower membership levels operating costs. They resulting in substantially less revenue. were targeted to Here are four trends to look for in the HVLP the masses at a low price point and produced high market in 2021. operating margins. Fast forward to the last five years
10 FEBRUARY 2021 where many HVLPs have added back many of the of their digital options, such as low-cost digital amenities, such as group exercise (cycling, HIIT, etc.), memberships as an alternative to cancellations/ cardio theater, childcare, even court sports and pools freezes, or as part of an upgraded membership. in some cases. The boxes have gotten bigger while Several companies have already started and/or are capital, occupancy and operating costs have gone considering adding virtual personal training to their up, requiring higher revenues from both dues and offering. profit centers. Look for operators to revisit some of their assumptions and take a much harder look at Out of crisis comes opportunity, especially the profitability of the larger format HVLP models for the strongest of the HVLP companies. with more amenities and potentially scale back to As a result of the large number of business the biggest profit contributors. failures resulting from the pandemic, there will be a surplus of available space with lower rents that Safety has moved to the forefront along with should persist for several years in many markets, convincing the public and government that making new development attractive. There are also gyms are safe. Gym safety has taken on a whole acquisition opportunities as some companies choose new meaning since the start of the pandemic. Today, to leave certain markets or franchisees who wish to we are as likely to talk to members exit. These favorable dynamics will and prospects about our sanitizing likely lead to additional new capital and cleaning protocols, mask “In 2021 you are likely to being invested into the sector’s requirements, ventilation systems best operators. Although many and social distancing practices as see some HVLPs testing companies will need to take a pause we are about our equipment and or at least slow their growth until programs. The newly released the monetization of their their cash positions are stronger, IHRSA Commitment to Active & digital options…” the HVLP companies with relatively Safe Pledge will further reinforce strong balance sheets and good this messaging and hopefully access to growth capital will have reassure policymakers and public health officials substantial opportunities for growth, both within that gyms are safe and should not be shut down franchised systems as well as company-owned multi- during the pandemic without evidence of being unit businesses. The next 12 to 24 months will see a major source of COVID-19 transmission. HVLPs the strongest operators further strengthen their will widely commit to the active and safe pledge in competitive position. 2021 and continue to emphasize their commitment to member safety in member communications and BIO promotions to prospects. Art Curtis is president of Curtis Club Advisors LLC. If you are not thinking about your digital He also is a member of the strategy, you are not thinking. The pandemic board of directors for Austin has served as a catalyst that has supercharged the Fitness Group LLC, which does development and implementation of a variety of business as Orangetheory digital tools. Members have been kept engaged by Fitness in multiple markets. providing valued content on various topics related Curtis has more than 30 years to exercise, health and wellness as well as with on- of experience as a CEO and COO of several leading demand exercise programs for at-home use. HVLPs health club and spa companies, including Millennium that offer group exercise will continue to offer on- Partners Sports Club Management LLC (dba Sports demand classes as well as live streaming of classes Club/LA and Reebok Sports Club/NY), Stonewater, as an alternative solution when their gyms are shut Wellbridge, Columbia Association and U.S. Health down or capacities reduced or for members who are Inc. He also served as a member of IHRSA’s board not comfortable going to their gyms. In 2021 you are of directors for seven years, including one year as likely to see some HVLPs testing the monetization chairman of the board.
11 FEBRUARY 2021 SPONSOR: LES MILLS DIGITAL FITNESS TRENDS FOR THE NEXT DECADE Club operators will have to adapt to these five trends that will affect the fitness industry for the next decade.
BY HANNAH CAMPBELL, CONTENT PRODUCER, LES MILLS
he fitness market has felt the impact of the creating a competitive environment that can help TCOVID-19 epidemic, and what happens in 2021 clubs attract and retain members. largely depends on the speed and scale of a global Pandemic restrictions also brought an opportunity vaccine rollout. As clubs look forward, exciting new for instructors to upskill and adapt to this new digital ideas and technology have emerged. These key age. Expect more talented instructors who have digital fitness trends will shape the next decade: taken time to develop skills and are eager to teach as restrictions ease. A fully integrated fitness experience. Consumers expect a seamless digital fitness Tech-savvy clientele. The fitness industry grew experience that fits their lifestyle, with a up with baby boomers and Gen X, but the game combination of classes that are live, virtual in-club has changed and so must the approach of clubs. and on-demand. Successful clubs will offer a range Research shows that millennials and Gen Z now of workouts and a wide variety of fitness options make up 80 percent of health club members and online and offline. Tracking changes and trends account for 89 percent of total users of online or for seasonality and class popularity is also vital to app-based workouts. Members of Generation Active keeping schedules fresh. One asset that no big tech have different tastes from their predecessors and players can replicate is the community built into the expect technology as standard to enhance their club environment. Member outreach and driving this workout experience. They prefer working out in community-centric culture across social media will groups, instructors with substance over style and be crucial in member retention. smart integration of technology, which clubs must be During the next decade, expect to see clubs able to offer to win their business during the coming working toward these goals, as those that bridge the decade. gap between the digital and physical world to offer By evaluating and developing your digital fitness seamlessly integrated fitness experiences will be the portfolio, you can reaffirm your position in the big winners in the 2020s. fitness industry in this exciting new era. Although there will be challenges, evidence suggests that this Innovation. The response to COVID-19 restrictions integrated approach is bringing more people into fast-tracked fitness innovation. As digital fitness the fitness world, especially to virtual group fitness becomes the new norm, the biggest determinant of a classes. By bringing the club experience into people’s club’s success will be quality of content they provide. homes, operators have the opportunity to reach YouTube and other sites are overflowing with free the huge untapped market of those who wouldn’t and often mediocre content, so a club’s offering typically visit a club, and help them start their fitness needs to be world-class to retain a paying audience. journey. In the short term, expect more innovative virtual and live experiences, including holographic BIO technology. Longer term, the hope is to create an Les Mills is a New Zealand-based fitness company interactive, augmented reality workout that touches aimed at creating a fitter planet. Its 140,000 on multiple senses, allowing the participant to be instructors across more than 100 countries offer completely immersed. a world-class group fitness experience every day. Hannah Campbell is part of the Les Mills New Zealand Instructors adapting. As the demand for digital team and helps bring the company’s content to life. fitness grows, inspirational individuals remain a For more information about Les Mills, visit unique selling point that rivals can’t copy. High- www.lesmills.com/us/clubs-and-facilities or email quality instructors are more in-demand than ever, them at [email protected].
12 FEBRUARY 2021 THE ULTIMATE GROUP FITNESS SOLUTION LIVE — STREAMING — CONTENT — VIRTUAL
+18 MORE WORLD CLASS WORKOUTS
LIVE — deliver live workouts in club STREAM — stream your instructors teaching Les Mills classes VIRTUAL — screen virtual Les Mills classes in club LES MILLS CONTENT — s tream Les Mills content from your app or website INCREDIBLE OFFERS IN 2021! CONTACT US FOR DETAILS: LESMILLS.COM/US/ULTIMATE13 — TEL: 844-LES-MILLSFEBRUARY 2021 SPONSOR: INTELIVIDEO THE TRENDS IN PRICING DIGITAL FITNESS IN 2021 As more health club operators offer online fitness, the need to set appropriate pricing for those offerings takes center stage. BY ASHLEY PODOLL, CMO, INTELIVIDEO
fter a volatile year in fitness, as digital On-demand. On-demand workout content reigns Aexploration and integration continue to supreme. Although certain members appreciate the accelerate, appropriate pricing is on operators’ structure and accountability of livestream, most minds. To understand your business’s best pricing, online fitness enthusiasts prefer the flexibility and it’s important to understand where you fit in the convenience of on-demand workouts. overall digital fitness market. On-demand memberships for many stand-alone Digital fitness is an approximately $1 billion market brands are $15 to $30 per month depending on today and is expected to grow to $10 billion to $15 the workout library’s size and, again, a one- to billion, suggesting only a 7 percent to 10 percent two-month discount for annual plans. A sweet spot penetration to date. A recent report by L.E.K. for audio, video and even some integrated fitness Consulting noted that nearly 60 percent of digital memberships is $20 per month. On-demand price fitness subscribers who are also commercial gym points have changed little during the past few years. members increased time spent at the gym as a result of consuming digital fitness products. A Mindbody Bundled Pricing survey found that 46 percent of respondents plan Depending on your offerings, you most likely want to make virtual fitness classes a regular part of to bundle your membership. Whether you include their routine, and 40 percent are trying new studios digital fitness within established price points or they’ve never physically attended. charge more depends on factors such as the volume The data supports adopting a hybrid fitness model. of workouts in your library, how often new content is Digital will be a complement to in-person options released and app functionality. (versus a substitution) as well as a potential stand- Gyms have two common approaches: bundle digital alone product that leads to member acquisition. fitness with existing in-club memberships for slightly A product plan and pricing structure that allows higher membership rates or offer digital fitness plans subscribers to benefit from combining digital with an as an add-on option. Many clubs adopting a hybrid in-person experience or as a stand-alone product will model offer both. Prices range from $4.99 to $14.99 serve you best. for add-on memberships, while bundled rates either There are two options for product plan and pricing remain the same for all-access members or increase structures: stand-alone pricing and bundled pricing. between $4.99 to $9.99 per plan. Ultimately, 2021 will be another critical year with Stand-Alone Pricing fitness clubs, gyms and studios evolving to engage Two content delivery options exist for stand-alone members in innovative ways. A long-term digital pricing: livestream and on-demand. strategy is essential to capture more of the market Livestream. In 2020, livestreaming was an demand. Digital content sparks engagement in your immediate solution to replace revenue, provide in-club business, serving to extend memberships workouts and create community. Although many in addition to attracting new members. Price clubs initially offered free workouts, pricing evolved accordingly. to offer monthly or annual subscriptions, or paying per class. Leveraging both offerings works well in BIO hybrid models. Ashley Podoll is CMO at Intelivideo, a digital video Monthly livestream memberships began at $20 platform that enables fitness operators to transform but quickly increased to as much as $60 per month their business into a hybrid model. In her role as for niche studio offerings. Annual memberships a leading marketing executive, Podoll works with usually discount one or two months to incentivize international and national fitness franchises, social longer-term commitments. Pay-per-class rates media influencers, gyms and health clubs, boutique began at $20 per class but are trending down fitness studios and coaching businesses to build a toward a $10 to $15 fee. healthy, sustainable digital fitness offering.
14 FEBRUARY 2021 GLOBAL LEADER IN DIGITAL FITNESS EXPERIENCES Intelivideo is a digital video plaaorm enabling fitness operators to transform their business into a hybrid fitness model.
TECHNOLOGY
SERVICES
CONTENT 15 FEBRUARY 2021 VISIT US AT WWW.INTELIVIDEO.COM A EUROPEAN PERSPECTIVE ON WHAT’S COMING IN 2021 AND WHERE TO FOCUS YOUR EFFORTS Four factors will drive trends in 2021: health, digital, community and standards. BY JENNIFER HALSALL-DE WIT, BOARD MEMBER, EUROPE ACTIVE, AND COO, WOMEN IN FITNESS ASSOCIATION
e have either started to surf the waves in the looking for more integrated solutions to manage Wconstant tide of change or we have gotten their greater health strategies. caught in the undertow. So, what has changed and is What’s coming: changing for our sector now and in the near future? • Better communication with the medical community Everything and nothing. • Cooperative initiatives with insurance companies The trends that were in place are still there, just • New fitness profession profiles will emerge, such as accelerated to a pace that we never previously fitness and health specialist would have thought possible. For our sector, looking • New services should be added to the club through the eyes of our members is the most operator’s product roadmap, such as wellness, important key to predict our future. Keeping a good coaching, nutrition, stress management, meditation balance of looking outwards and reflecting inwards will help us to maintain our perspective as we move Digital. If COVID-19 never happened, we would be forward. stuck with the early adopters slowly trickling toward The four interlocking domains that will drive the our digital service offerings. A global lockdown trends for 2021 and beyond are also the four areas of forced customers to find new ways to get their focus and commitment for Europe Active. exercise. Many fitness professionals and companies raced to launch online options, compounding the Health. The factors that increased the risk of not messaging about the availability of this service. Our surviving COVID reinforced the importance of being members tried our services, and we reached new healthy and the fact that being healthy is to a large audiences because our ability to scale our service. extent under a person’s control. Health and wellness For many members, the digital service will never will become a bigger driver than fitness alone. replace their in-person experience, but they are Fitness will become part of the bigger whole but no enjoying the flexibility of the added options. longer a stand-alone solution. Our members will be What’s coming:
16 FEBRUARY 2021 • Using digital fitness services to access hard- look for and ask about when it comes to signing up to-reach markets: people with disabilities, new to for a service or hiring a coach or trainer. Medical fitness, children, people with medical conditions professionals will need trust in our service before • Seamless integration of online/offline services— they will refer patients to us. think NIKE in-store/app experience The COVID crisis has shown us just how important • Sharing customers nicely by understanding that it is to prove that our facilities are safe places and customers will often try different wellness services are not contributing to the spread of infectious together and playing nicely in the sandbox together outbreaks. To this end, the CEN work that is already • Europe Active’s Digital Council will play a key being done on health and safety standards will be role in sharing trends, learnings and best expanded and extended to protect our practices from all different sectors to ours sector from scrutiny and unnecessary “A health check closures. This work and focus on these Community. For many of our members measures will continue to raise our and customers, being cut off from their is coming for credibility. community was the heaviest burden to This is the part of our future that is bear. Because of the huge digital leaps many sectors, truly in our hands at this moment. Making that were made, some communities including ours.” a commitment to the standards of our were successfully preserved in new sector can help us accelerate our step channels. The importance of the in-person from fitness to health and wellness as experience has been a void for many of us for many quickly as we were able to make the digital pivot months, and it will be a huge opportunity for club during the COVID crisis. operators to focus on their in-club experience when To help more people to be more active more often our doors are open again for good. we must make a commitment to our standards. A health check is coming for many sectors, What’s coming: including ours. This health check will look at what • An ISO-CEN Technical Specification providing unifies our communities. Inclusivity is a cornerstone guidelines on how our sector can stay open during for community. Diversity, equality and inclusion an infectious outbreak. (DEI) will be at the heart of our sector’s community • Continued work on an ISO-CEN Health and strategy for both members and employees alike. Safety Standard for the fitness sector that will The second community health check will look at our define requirements for staffing and fitness club commitment to our world and will inspect our efforts supervision and initiatives to help make it a better place. • Thousands more fitness professionals seeking What’s coming: accredited education and joining the E-REPS register • More gender balance in our sector in senior leadership roles BIO • Global action towards DEI awareness and Jennifer Halsall-de Wit is chief initiatives such as Europe Active’s Sectoral Charter operating officer of Women on Inclusivity, Anti-Discrimination and Equal- in Fitness Association by day Treatment and is a Europe Active board • More open dialogue, training and development for member for many of the hours our leaders and employees on this topic in between. About 20 years ago, she started her career Standards. Standards are invisible to many of as a personal trainer and turned her passion into our members, but this has to change in order to a career by leading two of the Canadian market’s make impactful steps for the coming years. We largest personal training departments (Bally Total can no longer afford to operate in a place where Fitness and GoodLife Fitness). She joined Basic-Fit anyone can call themselves a fitness professional. in 2011 where she led the product team at HealthCity If we really want to be a part of the greater health and Basic-Fit as well as the member retention strategy, this will start with our commitment to the department before leaving to join WIFA. At WIFA, professionalization of our sector. Our existing and she is co-creator of the WIFA L.E.A.D. Program potential customers need to know where to go for (Leadership through Elevation Awareness and trusted information. They need to know what to Discovery) program.
17 FEBRUARY 2021 SPONSOR: ABC FITNESS SOLUTIONS DIGITAL FITNESS ACCELERATED IN 2020 – NOW WHAT? Today’s health club members demand more from their workout experience, and forward-thinking club operators will need to take a more holistic approach to deliver a personalized and memorable experience. BY SHARAD MOHAN, CO-FOUNDER AND MANAGING DIRECTOR, TRAINERIZE POWERED BY ABC he pre-pandemic tailwinds that accelerated digital a virtual group class, you are limited only by your Tfitness are the same trends now driving members’ creativity. expectations. Clubs recognized long ago that operating without club management and billing technology would Keep Adding Tech? not produce the results members wanted. Forward- If you are delivering value to members but putting thinking clubs created offerings to meet the demand hours of work on your front desk and back office to for digital exercise and found themselves ahead in manage, maintain, secure and reconcile data from a 2020. The competition is catching up and addressing handful of disparate software solutions, you’re creating more holistic services through digital, including undue strain on your club. habit and nutrition coaching. What’s next? In 2021, a The good news? Software ecosystems continually comprehensive approach to digitally delivering unique increase their level of sophistication and integration, value is a necessity. but not all are created equal. Forward-thinking club operators will take a more holistic view of their Hit the Reset Button technology stack’s impact on the bottom line and their When you first thought about adding digital to your ability to deliver an incredible member experience. club as a value-add or a new paid package, you likely To meet evolved member demands in 2021 and started with the member journey and experience. beyond, clubs must: Members are savvy to digital-only fitness through • Consider which digital engagement solutions truly options from Apple Fitness+ and Peloton to free bring value to members YouTube videos. Expectations in 2021 are far higher • Learn how and where to implement technology to than previous years. maximize staff effectiveness Consider if your additions reflect your brand and • Look critically at the technology ecosystem to find have made a difference to member loyalty. Do your efficient solutions members respond to personalized interactions and Above all, be a core part of members’ daily fitness accountability? Should you focus on in-club tech and journeys from the moment they wake up. Drive this adding value for your personal training team? Your with a branded mobile fitness app, tied to consumer competitors also are assessing this, and you need to wearables and devices, to give members daily stand out. motivation to be active, inspire healthy food choices and influence positive behavioral change. Imagine if a The Year of Force Multipliers club member wakes up, and the first thing their Apple Members crave a personalized experience, which Watch (with your brand!) tells them is: “Remember to hinges on a staff hyperaware of member needs. This have that first glass of water.” This builds an emotional is tough when staff turnover is at 50-70 percent, with connection to your brand. Embrace optionality—beyond the pandemic pushing many above that average. Your the ways you are a part of your members’ choices team is working with less bandwidth, while members today, consider how to influence when and through have more fitness options. Are your digital options a what channels they engage with those choices. force multiplier helping every team member be more effective? BIO Your members believe in health and wellness, and Sharad Mohan is the co-founder and managing director community breeds engagement and accountability. of Trainerize powered by ABC and the driving force Contrast this with their experience with their at-home behind its mission to make fitness accessible. As part of stationary bike or an on-demand fitness class. Consider the ABC Fitness Solutions team, Mohan helps fitness ways you can connect with them throughout their businesses leverage technology to stay relevant in the fitness journey and which digital programs deliver digital age and engage people in new ways using mobile fitness and boost motivation. Whether through hosted and wearable devices. Connect with Mohan and stay challenges in an app, nutrition tips or an e-mail after up to speed with fitness industry innovation.
18 FEBRUARY 2021 19 FEBRUARY 2021 SPONSOR: EXER THE FUTURE IS HYBRID: HOW TO LEVEL UP YOUR VIRTUAL OFFERING To succeed in a new digital fitness world, health club operators must craft digital fitness experiences that deliver the same value of in-person classes. These three keys will help you do so. BY CLINT GEHDE, CO-FOUNDER AND HEAD COACH, EXER
he $94 billion fitness industry is undergoing a use data-powered tools to enhance the experience. Tdigital transformation, with the digital fitness sector alone forecast to reach $27.4 billion in 2022. Brands 2. Evolve into a creative streaming professional, and are capitalizing on the opportunity, as seen in Apple’s hone that craft to stay ahead of the competition. Pay recent introduction of Fitness+, Lululemon’s acquisition attention to all the details that go into streaming a pro- of Mirror, and the rise of smart home gyms such as style workout: choosing locations and backgrounds, Tempo and Tonal. and optimizing lighting, music selection and audio Consumer preferences are changing, with exploding broadcast levels. Live workouts can be broadcast to interest in livestreamed workouts, new fitness apps and multiple social platforms at once, and real-time timer wearable technology. Since March 2020, 85 percent visuals can delineate segment lengths and indicate of Mindbody consumers have attended livestreamed what exercises are coming next. Breakout rooms, classes weekly versus 7 percent in 2019. As a result of athlete spotlights and group competitions offer novel pandemic-related restrictions worldwide, people can ways to engage participants. work out more frequently from the comfort of their homes. With 46 percent of participants intending to 3. Leverage artificial intelligence to simulate the make virtual classes part of their weekly routine even in-person studio experience and enhance your ability after studios reopen, a virtual arm will be essential for to connect with your community. AI-powered tools gyms and studios to thrive. can enhance virtual workouts by providing real-time In a hybrid world, fitness professionals and gym/ metrics that coaches can use to personalize every studio owners must build a virtual side of their business athlete’s experience, deliver accountability and that complements the in-person experience. This will feedback, and monitor progress over time. AI can give help retain current members, but it is also how growth you a second set of eyes on every athlete in your group will happen: A recent Mindbody survey revealed that sessions, and it can even augment the experience with 40 percent of consumers are booking virtual workouts automatic rep counting and real-time form correction. with studios they have never physically visited, allowing those businesses to reach “digital-first” clients. Taking Ultimately, the coaches who will thrive in our virtual fitness seriously gives businesses the concrete increasingly hybridized world will be those who advantage of reaching consumers where they make leverage the tools at their disposal. These platforms, buying decisions. tools and innovations can engage and strengthen To truly succeed, coaches need to craft digital fitness fitness communities and enhance the virtual experiences that deliver the same value that in-person experience, leading to a strong and growing business. classes gave consumers in the past. This is possible by leveraging the right toolset—one that includes best-of- BIO breed streaming platforms and artificial intelligence- Clint Gehde is the co-founder and head coach at powered engagement enhancements. Exer, a fitness AI startup building tools to empower The three keys to driving success are: coaches and practitioners. Exer’s Studio app delivers motion tracking, accountability and engagement 1. Deliver a virtual coaching experience that meets tools to virtual fitness workouts using the devices consumer expectations formed in person. A coach people already own. Exer’s PT app (in beta testing) must bring energy, draw out motivation from athletes enhances patient sessions, both in and out of and monitor progress over time. Coaches are a critical the clinic, to increase adherence to protocol and source of accountability, and they will need to become maximize positive patient outcomes. For more fluent in livestreaming and on-demand platforms and information, email [email protected].
20 FEBRUARY 2021 21 FEBRUARY 2021 SALES AND MARKETING TRENDS IN A NEW ERA OF THE FITNESS INDUSTRY Sales and marketing are even more vital for the fitness industry as COVID-19 continues to impact the industry and make people hesitant to join or rejoin health clubs. BY BILL MCBRIDE, CEO, ACTIVE WELLNESS, AND CEO, BMC3 CONSULTING
n 2021, the fitness industry will need to focus on Benefits are specific to the individual. For some, Isales and marketing for an evolved consumer. it is feeling safe (or at least safer than just about Consumers always evolve in how they process, any other place). For others, it is getting their analyze and decide on the products they buy. desired health and fitness results or boosting Some things remain the same: immunity. For yet others, it is having emotion is what triggers buying; fun and enjoying social engagement. logic justifies decisions to buy or not “Emotion is what Many operators view membership to buy. triggers buying; logic sales as a part of the service desk, We have to revisit our core MOD and other staff responsibilities. features, advantages and benefits justifies decisions to Consumers are more educated than paradigm within our industry. ever. They typically have researched Features now include cleaning, buy or not to buy. ” us online, may have talked to other sanitizing and disinfecting; members and fundamentally know transparency; equipment spacing; about us before they visit for a tour. member social distancing; professionalism; We need to treat them with the intellectual respect outdoor fitness areas; personal training spaces/ they deserve and not “sell.” We are buyers’ helpers, pods and events, etc. coaches, influencers and friends who are creating win- Advantages include reduction of risk, knowledge win relationships. I’m not advocating eliminating your to make personal decisions, trust, comfort, sales team; I’m talking about augmenting dedicated confidence, expectation of results and human membership sales functions and evolving into overall energy. team approaches to deliver for our consumers.
22 FEBRUARY 2021 Selling is Solving. Selling is Serving. members what to expect. Highlight member We have to have a team approach to getting and testimonials about your facility’s attention to keeping members. This is a revisit to the roots detail and professionalism. Videos and testimonials or our industry. We all have two jobs. Part of tell a compelling story, but they must be short and keeping members is making sure they get results. to the point at about 30 to 90 seconds each. Programs that benefit our consumers are equally I’m a big believer in the voice of the customer, important. Consider ancillary revenue programs member experience management and utilizing for member results. data for profitability. Find a system that gives you The old school membership a daily pulse on your facilities with sales approach is no longer valid. regard to net promoter scores, Our membership enrollment “Our messaging must those likely to quit, those you process has to evolve to our should target for ancillary revenue consumers’ current, evolved change to be more and real-time feedback that you needs and requirements. professional, safe, can operationalize. It also should The foundational system of give you the ability within the membership sales is a solid trustworthy or credible.” portal to get your net promoters to sales CRM. Look for a program review you on Google with high star that helps manage leads and ratings and the ability for your net prospects A-Z while also having a social input feed promoters to refer members directly with a special that allows you to see your prospect’s social media VIP guest membership trial offer. profile before they show up, giving you additional I love sales and marketing technologies that valuable information. This also ties into your generate revenue. marketing outbound initiatives and measurement My point is that in 2021, you will need to use for marketing ROI. systems to convert information to data and data to profitability. Marketing Our messaging must change to be more BIO professional, safe, trustworthy or credible. At the Bill McBride is co-founder, core they must focus on fitness, health, wellness president and CEO of Active and social. Wellness, and he is founder, We have to rely less on promotion and more on president and CEO of BMC3 value. For years, the industry has preached that Consulting. He has served you need a “hook” to get people to act—I agree. as the chairman of the But what that hook is may have changed. Today, board of directors for IHRSA we need an emotional hook. Promotions are and MACMA (Mid-Atlantic valuable and still relevant, but they shouldn’t be Club Management Association) and has been a the dominant message. They should be a value-add board member on ACE’s Industry Advisory Panel to the dominant marketing message of: and an editor for ACSM’s Facility Standards & • Here’s why Guidelines 5th Edition. He is an international • Here’s why us presenter and industry recognized expert in sales, • Here’s why now (promotion or sense of urgency) sales management, marketing, retention, club • Here’s how – easily operations, customer service, member experience Additionally, marketing in materials and on your and leadership. McBride has presented at IHRSA, website should contain current realities—masks, IHRSA Institute, IHRSA Profitability Conference, social distancing, cleaning protocols, etc. And not IHRSA Asia-Pacific Forum, IHRSA European just on the cover pages, but in the depth of the Conference, FitLife, CCD, NEHRSA, Club Industry, site. Videos are more important than ever, showing FILEX, Russian Fitness Festival, FIA & ChinaFit.
23 FEBRUARY 2021 SPONSOR: FITNESSONDEMAND RESHAPING AND SUPERCHARGING THE MEMBER EXPERIENCE IN 2021 To create a better member experience in 2021, you will need to keep these four important things in mind. BY ANDREW EVENSON, SENIOR DIRECTOR OPERATIONS AND BRAND STRATEGY, FITNESS ON DEMAND
020 was a year of problem solving, as club Indoor/outdoor workout experiences. We will 2operators pivoted operations during mandated see growing member interest in an indoor/outdoor shutdowns and weathered financial challenges club experience. First, member engagement in club- totaling $15 billion in industry losses. 2021 is quite organized outdoor running and walking clubs will different. A primary goal for club operators now is to return, blending opportunities to socialize with other reshape and supercharge the member experience in runners with pre-and post-run club facilities and a rapidly evolving fitness landscape that has shifted instructor-led runs. Second, the outdoor group classes member expectations. and workout spaces that many clubs experimented Here are four important things for operators to with during the pandemic created ongoing interest consider: in an indoor-outdoor club model. Take advantage of Parity between in-club and at-home flexible club areas that open to the outside, converted experience. Working out at home and accessing exterior parking lots and other spaces that enable club fitness content on a device cannot be treated as outdoor group fitness or solo workouts. a secondary option or as an offering of lesser value than an in-club offering. If the pandemic taught us Socialized experiences. Members are eager to anything, it’s that members have an appetite for re-establish routines of working out and engaging streaming content from their club, and streaming with their club communities. Club operators must offers many ways to serve members. As clubs have recognize and encourage this need for connection. reopened after mandated shutdowns, at-home Share highly usable content via email and social streaming numbers have not significantly diminished. channels: nutrition tips, diet plans, workouts from In 2021, club success will increasingly come down instructors, classes to stream at home, promotion to the adoption of a truly hybrid model of operations, of new classes and club updates. Going forward, it ensuring that members who stream a class at home is important to integrate all virtual, social and in- feel the same quality experience or intense workout that they do in an instructor-led class at the club. club opportunities for members to engage with your Total experiential parity means investing the same staff, instructors and others in a truly 360-degree resources, time and care into on-premises and on-the- experiential environment. go member offerings. BIO Focus on small group experiences. Large group Andrew Evenson is senior director operations fitness classes may be slow to return to pre-pandemic and brand strategy at FitnessOnDemand, a world levels. Expect both a continued focus on small group leader in curated fitness content. FitnessOnDemand training as well as a surge in members returning to partners with world-leading fitness brands, content gain access to cardio equipment, machines and free creators and specialist instructors to bring the best weights unavailable at home. The six- to 10-person in HIIT, core strength, cycling, specialty and other in-studio group classes necessary during pandemic fitness classes to managers of clubs and fitness restrictions will continue to be popular, with members facilities across the world. FitnessOnDemand is appreciating the personalized attention that a small available in studio, on any club display system and class size enables. This will have an impact on class via FLEX by FitnessOnDemand, streaming to member scheduling, instructor bookings and availability, with smartphones, tablets and other devices in club, at an ultimate need for more classes to cater to demand. home or on the go. For more information visit Plan for increased interest in both on-site and virtual www.fitnessondemand247.com or email aevenson@ instructor training for one-on-one sessions. fitnessondemand247.com.
24 FEBRUARY 2021 VIRTUALLY ANYWHERE $0 ACTIVATION FEE Sign up for FitnessOnDemand $ during March and pay ( 895 VALUE) $ 0 Activation Fee $895 VALUE! *Offer valid on new Platinum memberships Offer Ends with a 24 month agreement. March 31, 2021
FitnessOnDemand puts your users in control, Offer Ends November 30th giving them instant access to the workout they want, when they want, where they want.
Whether your users are on-site at your facility, at home, or on-the-go, convenience and variety of premium fitness programming is a key ingredient to keeping your users engaged. Contact us to take advantage Our GROUP platform allows you to activate your on-site fitness of this limited-time offer! studio 24/7, while FLEX allows you to extend your fitness 877-474-0505 offerings to your users via mobile and web for anywhere access. fitnessondemand247.com
25 FEBRUARY 2021 FORECASTING STRONG MARKET GROWTH IN 2021 FOR THE RIGHT FITNESS CONCEPTS A cultural shift is happening in the fitness landscape as gym operators adapt, change and alter their offerings to cater to customers.
BY RICK MAYO, FOUNDER AND CEO, ALLOY PERSONAL TRAINING
he fitness industry has been changing for likely to grow the most in the next few years? Tthe better over the last several years. For Here are a few growth areas to be aware of: example, healthy foods have become more popular, 1. Higher-end fitness classes and personalized more affordable and more available. On-demand offerings. Personalization is everything for the training is more widespread, and niche gyms and modern consumer. Just take a look at our daily studios have emerged to deliver unique classes for lives: 71 percent of customers feel frustrated during consumers in virtually every fitness segment. impersonal shopping experiences, 91 percent of Despite the challenges of COVID-19 lingering customers are more likely to shop with brands that in 2021, the fitness industry will grow this year, provide personalized offerings, and 98 percent of with strong market growth trends in a few main marketers say personalization advances customer areas. Whether you are an investor or a trainer, relationships. here’s what you need to know about the fitness In fact, personalization is visible in virtually every landscape, as it looks right now. aspect of commerce, including the fitness world. Although budget gyms have been around forever, Three Main Growth Concepts high-end fitness offerings have emerged to carve The health club industry is worth more than $96 out a new niche in the fitness world. billion globally with about 174 million clubs spread Designed to cater to discerning customers out around the world, according to Statista. In who want a personalized, high-quality fitness the United States, membership fees at health experience, high-end fitness establishments allow clubs account for about 60.4 percent of the fitness enthusiasts to enjoy boutique wellness total industry, and there are about 41,370 clubs experiences, and the specialization they demand in throughout the country. What’s more, a whopping virtually every other aspect of their shopping lives. 39 percent of U.S. citizens are currently members This personalization aspect is especially critical of a gym. when we consider the future of the fitness industry. So, what’s going on? Why is the fitness industry As people migrate to gyms and boutique studios growing so rapidly, and which aspects of it are with varying goals, injuries, priorities and desires,
26 FEBRUARY 2021 it will become especially important for gyms to blend of technology and personalized advice. One- cater to these personalized and specific desires. on-one training via digital courses or pre-recorded The gyms that do this best will be the ones that classes are another example. continue to grow in the coming years. As the fitness organization continues to shift and change, the marriage between technology and 2. Convenient offerings. Once upon a time, there personalization continues to grow and adapt, as was nothing convenient about going to the gym. well. As this marriage becomes more tailored and Most gyms were out of the way, located in mildly established, customers and fitness franchises alike industrial parts of a given city and offered a rigid, will benefit from the ongoing partnership. set schedule of courses. Today, though, that has all changed. Looking Forward: The Future Growth of the Thanks to things such as on-demand fitness Fitness Industry offerings, digital courses and personal training, The fitness industry has undergone some serious gyms have become amazingly convenient. In fact, shifts in recent years. In addition to industry- most gyms today go out of their way to cater wide health trend changes (such as shifts from to customers rather than it being the other way measuring illness to measuring prevention and around. wellness) and bone-deep changes in the systemic Here’s an example: Gym patrons who are 50 organization of health care and fitness offerings, years old or older with a history of knee surgery there is a wider, cultural shift happening in the and an unwillingness fitness landscape. to visit a gym’s Today, people want to work out how and when “In a world where physical location they want. Customers demand highly technological because of the offerings that tailor to their needs and preferences customers expect COVID-19 pandemic and allow them to focus on their unique goals. And have more options as the 50+ market continues to grow, gyms around convenience, health club today than they have the country are adapting, changing and altering operators are delivering.“ ever had before. They their offerings to cater to customers accordingly. can access live or pre-recorded classes BIO with their trainer, which they can take from the Fitness business entrepreneur comfort of their own home, or one-on-one personal Rick Mayo is founder and CEO training sessions in their home or the empty gym. of the Alloy Personal Training Many gyms also offer personalized apps, dietary Franchise system. His business recommendations and more for their customers. journey began with his original In a world where customers expect convenience, personal training studio, which health club operators are delivering. opened in Roswell, Georgia, in 1992 and is still going strong. 3. Blends of technology and human-to-human In 2010, Mayo started Alloy, a personal training interaction. Gyms used to be all about one-on-one business platform. Alloy’s customized client human training. Although there’s a lot to be said programs, business systems and technology tools for that, there’s also a lot to be said for technology. grew to serve over 1,000 licensed fitness facilities Fortunately, today’s gyms are combining the two. worldwide. Mayo then launched Alloy Personal Today’s fitness franchises take the approach Training franchise in 2019 to deliver a turnkey that customers are experts about their bodies. franchise opportunity encompassing the entire They know what they need and what they want personal training business model from build-out to focus on. The function of gyms is to deliver a design, through equipment, business systems, combination of personalized training and tech- technology platforms, marketing and more. He assisted convenience that can help customers has been an advisor to organizations such as the reach their goals. Gold’s Gym Franchise Association and the American In practice, most gym operators are doing this Council on Exercise, among others. In 2019 he in a few ways. Apps, for example, are a popular was named Fitness Business of the Year by the illustration. Apps are convenient and a helpful Association of Fitness Studios.
27 FEBRUARY 2021 SPONSOR: BEAVERFIT USA IN 2021 GYMS MUST CAPTURE MEMBERS WHO LOVE TO ‘PLAY OUTSIDE’
The COVID-19 pandemic has led more people outside for their fitness, a reality that health club operators must adapt to. Consider these four aspects to implementing a long-term outdoor fitness aspect to your facility.
BY CHRIS FRANKEL, HEAD OF PERFORMANCE, BEAVERFIT USA
our parents were on to something when they cardio, HIIT, functional, mobility/recovery) and how Ytold you to go play outside. Exercising outdoors many members will train together at one time. What leads people to feel increased energy, reduced stress products and layout will be needed to deliver that and even lower perceived exertion, and sunlight functionality in the space you’ve chosen? triggers the body’s ability to produce vitamin D and • Mobility. Do you have multiple locations? Do creates a dopamine release. you want to create unique experiences around your Increased energy and reduced stress? Maybe those community? Mobile outdoor fitness solutions can weren’t the benefits your parents had in mind. But provide an outdoor exercise space on-site, as well as another interesting aspect of playing (or exercising) one that you can bring to multiple locations, events outdoors is the positive impact on eyesight and vision and parks to create unique experiences and attract health, when the small intrinsic muscles of the eye new members. adjust when switching focus from something nearby, • Sustainability. Your solution must deliver like a ball, to something farther away like a tree, a premium experience that doesn’t feel like a building or the horizon. That’s a benefit most kids and temporary reaction to current challenges but is adults could use with all the screens in our lives. an added experience built to last in the outdoor Youth activities often focus on sports, but elements. Investing in the right equipment is key activities such as hiking, walking, gardening, biking, to providing a quality experience to members while climbing, skiing and surfing continue to provide the making the most of your investment. benefits of outdoor activity in adulthood. Traditional In building a unique and safe outdoor training exercises such as running, biking, rucking and experience, you’ll be prepared to support the swimming continue to grow in popularity, and boot evolving fitness interests of your current members, camps and obstacle-course racing offer fresh options attract new members looking for something for outdoor exercise, training and competition. different, and position your facility as a leader in Pandemic-related restrictions have spurred greater your community. adoption of outdoor exercise, with some studies suggesting that even post-COVID, fitness members And when the space is ready to go, we hope you want to train outside, showing a potential lasting have a great time playing outside. shift in how and where people exercise. Are you prepared to capture this interest from BIO current and future members? Thinking through how Chris Frankel is head of performance at BeaverFit your facility can create new and engaging outdoor USA, the leaders in outdoor fitness solutions. fitness experiences is key to ensuring your facility Frankel is focused on building upon BeaverFit’s offers a fitness experience that keeps members success in the military creating durable, effective coming back. outdoor training solutions, and to continue applying To set your facility up for success, consider: lessons from his career to optimize equipment • Space. Identify underutilized outdoor spaces design and performance training for commercial that can be transformed as training locations, such facilities and end users of all kinds. Frankel earned as rooftops, common areas, parks and parking lots. his doctorate in health, exercise, and sports Determine what improvements you may need to science from the University of New Mexico and has make in terms of shade, flooring surface, storage, developed and delivered evidence-based fitness training equipment and rigs. education worldwide. For more information on • Experience. Consider the types of classes BeaverFit solutions, contact the team at and workouts you plan to offer (strength training, [email protected].
28 FEBRUARY 2021 29 FEBRUARY 2021 SPONSOR: TWIN OAKS SOFTWARE FOUR SOFTWARE AND BILLING TIPS TO HELP YOU THROUGH 2021 The challenging times the industry continues to face in 2021 requires flexibility, adaptability, automation and engagement. BY CAROLE OAT, NATIONAL SALES MANAGER, TWIN OAKS SOFTWARE
n the software and billing world of club member. Offer sign-ups for specific time slots for Imanagement, there are productive ways to members to use the gym. Consider implementing respond and react to these challenging times as club limited staffing hours and/or adding a door access operators work to retain business and generate new control to either limit hours or go 24/7/365. revenue. Here are some tips to help you through 2021. Go paperless. Scan in your COVID-19 waivers and past documents, clean out file cabinets and make it Be flexible. First and foremost, be as flexible and quick and easy to access past information. Automate forgiving as possible with members who request reports to be emailed to managers and owners daily, cancellation or to freeze their memberships. For the weekly or monthly. Follow up on delinquent accounts best chance of keeping their business, offer to put and charge-backs. Email a link directly to members a hold on their plan at no charge, retaining their for making payments online. current rate. To be more profitable, incentivize members to Offer unique personal training and virtual workouts have monthly dues automatically billed to a checking for varying lengths of time: 15-, 30- or a max of a or savings account. Benefit by receiving the full 40-minute session. Short workouts have impact and 100 percent of the value, versus being subject are great for those concerned about time. Re-market to merchant fees. There will be fewer delinquent to members who have engaged in personal training accounts as more billing goes through. sessions in the past. Offer smaller packages such as four visits or one to two sessions per week to get Keep in touch. An integrated website, with the started. CMS for online enrollment and member portal, If your facility was closed, work with your CMS increases operational efficiencies and allows provider to possibly extend paid-in-full expiration prospects to enroll without coming in. This alone will dates or consider pro-rated billing to adjust for time increase new members by 10 to 15 percent, and even away. Typically, annual maintenance fees have stayed more if promoted well. Items available for online the same or are billed later. purchase, such as gift certificates, training, classes or day passes, also generate income. Make adjustments. Consider a rate increase, Communicate regularly with email blasts and even if it’s $1 to $5 per month to cover added costs. other marketing outreach for key opening dates, Amazingly, many members will be in favor of the promoting training and encouraging community. increase, knowing the gym is cleaner and there Promote corporate and group memberships. are minimal wait times for equipment. Most people Consider offering a free guest pass or an exciting realize operating expenses for staff have increased. initial offer to get started, but note that it’s not At least do it for new members, and perhaps uncommon to reduce or eliminate trial options. grandfather existing ones. Then the facility is only being used by true paying Reducing retail inventory items or utilizing members. touchless self-scanning can be beneficial, as well as the option to have these purchases added to a BIO monthly EFT amount or allowing for a prepaid house Carole Oat is the national sales manager for Twin account. For example, allow members to put money Oaks Software. She is a former club operator for 15 in an account to charge against when they come in years and has written numerous industry articles. for drinks, shakes, bars, etc. There’s no risk at all to Twin Oaks has been serving fitness facilities since the business. 1991 and provides software and billing services Implement a head-count capacity meter visible throughout the United States, Canada and beyond. at the front desk that is easily managed by a staff Oat can be reached at [email protected].
30 FEBRUARY 2021 Twin Oaks Twin Oaks Cloud Desktop Competitor 1 Competitor 2
Free, Complete, Data Conversion
Cloud Based Web Software
Reliable Desktop Software
Unlimited Training and Support
Low, Competitive Merchant Processing
Returns Management
Built in CRM
31 FEBRUARY 2021 30 VIEWS ON HEALTH AND WELLNESS INDUSTRY TRENDS TO WATCH IN 2021 Much of what the health and wellness industry is seeing as trends in 2021 stemmed from the effects of the COVID-19 pandemic in 2020.
lub Industry reached out to fitness business renovation of our facility, capitalizing on an unusual Cowners, operators and fitness professionals to break in member traffic. Our members and staff gather their thoughts on how the turbulent past year were delighted with the results. In 2021, we feel that impacted the trends we are seeing in 2021—and what reimagining your club with member retention and those trends are. safety in mind will be a trend. We heard back from 30 individuals at multipurpose Shifting program offerings. commercial clubs, studios, YMCAs, parks and rec As large class attendance declined, even with safe facilities, medical wellness facilities and consulting physical distancing measures in place, we moved companies. quickly to adapt by offering small group instruction, Some of the trends, such as virtual fitness and more personal and semi-private options, and outdoor training, may seem obvious, but others may substantially increased the club’s ancillary income surprise you. stream. This is where shifting program offerings becomes all about the depth of your fitness staff. Kay Aplin Their talent is a key resource for brand and image in Founder and Owner the community. Shifts in programming will continue Family Fitness in 2021. Lake Jackson, Texas Political awareness for the fitness industry. The trends that will be The reality that our industry is not being recognized important to the fitness industry by government entities as part of the solution to in 2021 are those that began healthy lifestyles is alarming, and deserves collective in 2020, much of it stemming involvement. This problem has become paramount from the effects of the COVID-19 to club operators, especially those still in shutdown. pandemic. For Family Fitness, we experienced the They have my heart. following three trends in 2020, and we feel these What a wake-up call for all of us. Being part of trends will continue in 2021: the community fabric also means participating in Reimagining your club. Family Fitness was larger decisions as well. In 2021, it will be even more fortunate to have only been shut down for two important to get to know your local government months in 2020. During that mandatory shutdown, officials and communicate with them about our our staff and contractors completed a top-to-bottom role in wellness. Invite them to visit your facility and
32 FEBRUARY 2021 experience the healthy minds and bodies of your club Experiential fitness, which had already been on the culture. You are your own brand and face of fitness. rise, will continue to grow as will the studio culture that goes with it. Exercisers are more wired for fun Julian Barnes and Nt Etuk than they are for getting in shape. People will want Co-Founders to re-socialize. To that end, sports will see a surge as Boutique Fitness Solutions participating in sports offers socialization and group Two of the trends that we fun. Outdoor fitness took off during COVID-19 and expect to see in 2021 are: could be here to stay. What this looks like will vary Studios fight back. There based on local climate. has been much ado about Equipment manufacturers should be thinking the studio business being less about what their equipment looks like or how obliterated by the rise of virtual effective it is and more about how it gets used. fitness. Ask the now battle- Creating programs hand in glove with equipment will hardened studio owners who create new opportunities for smart manufacturers. made it through last year and Across the board, we are developing programs and that will elicit an eye-roll. The scripts to create greater engagement between our reality is that in areas, such as staff and our members as well as between members. the Asia-Pacific region where Connecting to clients through apps has become studios have reopened, class crucial. URBN’s member app was reorganized during attendance is higher than the pandemic to help schedule fitness centers and before. People still want their community, so owners other amenity usage. But the greater number of are determined to make it back to that place where eyeballs increased overall ancillary sales for us to their studios are packed. levels higher than they were pre-COVID. We are Studio new openings and greater customer now redoubling our efforts to focus on our user- service. With the wave of studios that will reopen experience with the app and seeing immediate as vaccines get distributed, studios with multiple results. locations will need to hire back staff almost like Overall, we are feeling quite optimistic about the they were opening for new. This will lead to a wave future of fitness in the (relatively) near future. of hiring experienced people from the hospitality industry who know how to build caring, supportive Akaylah Jaeke brands. The “new” studio will be much more Faculty, Fitness, Recreation customer-oriented because they will attract people & Wellness Programs with far greater training on how to be just that. Madison Area Technical For more on studio trends in 2021, watch this College Boutique Fitness Studios video here. Madison, Wisconsin As we embark on a new year, I, Amy Blitz like many others, believe that Co-founder our health is more important Urbn Playground than ever. But what does that look like from the New York college or university perspective? What trends are There has been much discussion we seeing when it comes to educating our future over the past year looking at trainers and club operators? how to respond to COVID-19. At Madison College, we are known for our What trends will continue and innovative and futuristic thinking, and the year 2020 what will go away? At URBN has pushed us to think even more outside the box. Playground, we anticipate many of the key trends How can we meet our students where they are, so we identified pre-pandemic are likely to be hyper- that no matter their circumstances they can further charged as we reach the other side. Heading into their education? How can we get our students late-2021 and early 2022 with a vaccine in wide certified to go out and get people moving, while distribution, we expect to see a mentality shift in thinking about their clients in a holistic manner? fitness and wellness from how we adapt as a result How can we teach our students about best business of COVID-19 to how we forget about COVID-19 and practices so they can become entrepreneurs? Last move on. but not least, how can we teach our students to put
33 FEBRUARY 2021 their own health first so they can better serve their Ellie Kempton clients? Functional Dietitian At Madison College, we’re answering these Simply Nourished questions by redesigning our curriculum to fit Because of COVID-19, people the needs of the industry. That means instead of have a greater focus on recycling old content, we’re thinking about how we their wellness, a focus that can change our class formats to meet our students’ health club operators need availability, access and needs. We have partnered to address in 2021 to remain with companies such as Precision Nutrition to help relevant and a step ahead of our students gain certifications that better equip their competitors. One area of wellness is a focus them to serve the whole client. We also created a lab on women’s wellness, particularly as it relates to class where students get hands-on experience about functional fitness. By functional fitness, I mean peripheral and comprehensive elements of fitness that include consistent nutrition patterns, hormone balance, gut health, inflammation and emotional wellness. When these more comprehensive elements are considered integral to the fitness regimen (especially for women whose biochemistry is more heavily hinged upon hormonal cycles), the “cogs” align and click into place on a deep biochemical level and tangible transformation ensues. Meeting these needs will build loyalty to your club, particularly for women entering perimenopause and in menopause. These women are often left on their own to figure out why the exercise they used to do no longer works for them. When you have experts on staff who can help women rehabilitate their adrenal function, improve their gut health, nourish their thyroid, recalibrate hormonal harmony and master mindset, you are a resource that these women are seeking and not finding many other places. They will remember you the online world of our industry. Lastly, we allow and refer their female friends to you. students to coach clients virtually by applying their group fitness, personal training, health coaching and Terry King nutrition skills over a 12-week period. Independent Fitness It also means partnering with organizations such Professional as American Council on Exercise and the Women in New York Fitness Association to expose our students to the While biking this past summer, most cutting-edge research and content. It means I remarked to a fellow cyclist focusing on learning outcomes that teach students how the park drive, crowded about business, leadership, communication, and during warmer months, would diversity, equity and inclusion. And as a technical not be as busy once the college, it means being “all-in” when advocating for weather turned chilly. We would have the roadway to higher education that’s accessible for all. As such, we ourselves again, as is usually the case in the winter. work hard to find funding and scholarships and build He disagreed. He was right. relationships for our students to get their degrees Like many older adults, my wife and I have put our and credentials in the industry. gym memberships on hold, despite the distancing The future of the industry is bright, and the people guidelines required by the state and the enhanced who make up the industry are even brighter. As we disinfecting regimes that were adopted industry- embark on a new year in higher education, we must wide. We have joined other like-minded individuals be agile, we must be driven, we must have purpose, who are exercising outdoors in increasing numbers, we must be diligent, and we must be resilient to even in the middle of the winter. Many of these folks ensure ultimate student success. are fellow gym members—who I would regularly
34 FEBRUARY 2021 see in a group cycling class, and the cardio or health club and broadens our reach to potential weight rooms. Now, we’re running, cycling, skating members of all races and ethnicities. COVID-19 and participating in outdoor group fitness classes, has highlighted long-standing health disparities despite the colder temperatures. among communities of color, and our mission Another trend is the increased usage of the is to help our members live well. We intend to park by more diverse groups of people. This do so by supporting our employees in making a new wrinkle might be driven, in part, by the difference and being the difference. expansion of the New York City bike share program. It’s a trend likely to continue as Citi Ellen Koelsch Bike, the New York City bike-share program Owner owned by Lyft, pushes further into the boroughs. Club Fit They plan to double the service area by 35 Briarcliff Manor, New York square miles and increase the total number of Here are some of the most bikes available from 12,000 to 40,000 by 2023. important things we learned Two benefits of the program are the elimination at Club Fit in 2020 and trends of the need to purchase a new bike and not that I believe will carry over having to lug your bike up three or four flights into 2021. of stairs if you don’t live in an elevator building. Exercise is medicine. Our most important The program also makes it easier for families to industry trend will be the illustration of exercise get out and ride together. being medicine when preparing to fight illness and Anyone who exercises outdoors consistently in disease. Let’s use this time as a call to action to the winter will tell you once you get started that help people be more focused on getting stronger. it’s not so bad. So, once the weather warms up, 2020 was difficult in so many ways. some health club members may be asking why they Getting creative. As a business, we stretched should go back inside. Health clubs and studios will our creative problem solving, re-thought our need to find a way to reach them outside or give business purpose and considered our ideal member them a reason to go back indoors—at least for some experience. Our general managers, Ted Gilsinger of their workouts. and Lynne Welling, expanded our available workout space by creating outdoor fitness areas. We look Mel Kleist forward to bringing this back as the weather warms Executive Director up this spring. East Bank Club Reservations. In addition, new technology Chicago reservation solutions allow us to improve our I believe the isolation caused understanding of how members like to use our by this pandemic has caused clubs and ensure safe physical distance for club our society to more fully usage. appreciate the opportunities Virtual. Launching virtual classes with our to socialize and exercise instructors helps members feel more connected as it becomes safe to do so. As we begin to with our clubs. Class participants can find time reintroduce many past members to our clubs, for exercise whether they are in the club or out. it is imperative we continue to greet everyone Implementing this new way for our instructors to with a warm welcome upon their return and communicate, encourage, and guide helps people acknowledge each as an important person we are work together to get more exercise and make smart honored to serve. fitness choices. Now more than ever, our commitment to This pandemic created an awareness that regular diversity, inclusion and belonging (DI&B) is exercise in addition to smart sleep habits and focus intended to strengthen our bond with and among on healthy eating habits are the best medicine. We employees. We know the more authentic and look forward to reinforcing this message strongly in engaged our employees are at work the better our communities. We will help each other get more able they are to deliver an innovative, top-notch of this natural medicine to ensure all are stronger and inclusive experience for members – both when medical crisis happens and have more time returning and new. Our work in DI&B also helps with family and friends. Our focus is on providing us better serve many of the 80 percent of tools to encourage stronger relationships to our society that do not presently belong to a support communities of improved health.
35 FEBRUARY 2021 Raj Kumar of us are finding an efficient way to open to the Executive Vice President, outside and explore options, including retractable International walls, doors, etc. You will see more indoor/outdoor Self Esteem Brands LLC facilities that allow fresh air flow and expand Woodbury, Minnesota for additional space. Airflow/HVAC/air filtration As the uncertainty around considerations will also be a continued discussion COVID-19 continues into 2021, when building or renovating a facility as reassurance this year will be a continued to members for their safety. Even as we anticipate challenge for the industry. the pandemic slowing down this year, members However, like in the last year, these challenges will have gotten used to physical spacing, frequent also create long-term opportunities triggered by disinfecting and proper air flow. positive global trends, including some that may be considered a major shift in the sector. The key opportunity trends for 2021 are: Survival. In the immediate term, the industry players are going to have to be opportunistic to access the support systems available to them in their respective markets (including their own access to financial resources), differentiate from the offers in the sector, hold on to their consumers, and make it through this crisis. Health. The awareness of health and the role of regular fitness to build immunity against a virus like COVID-19 is here to stay. The opportunity is to make active fitness modalities be the preferred method of delivery for as much of the world’s population as possible. Digital fitness. In delivering this improvement in the health index of the world, digital fitness exclusively or in combination with its offline modality will be a major opportunity trend for providers and consumers. Virtual fitness. Virtual fitness is here to stay, Social distancing. The concept of social but physical presence and community are also distancing or, in other words, showing respect for the essential for mental health. Virtual was happening health of your fellow citizens, will become a norm. All pre-COVID, but the pandemic not only sped it along, forms of retail, including fitness, are going to have it also propelled it. On-demand, streaming classes, the opportunity to enhance their value proposition app accessibility for fitness needs, virtual personal to include this phenomenon. training sessions, virtual membership, virtual tours Regulation. As the enforcement of COVID-19 and gamification for fitness are all trends that are related regulation eases, the industry leaders exploding. It’s going to be important for organizations will have the opportunity to ensure that the with physical spaces to incorporate virtual options more permanent regulations, of which there in conjunction with their in-person operations. It’s will be more due to the increased awareness of important to not lose who you are in the process, but fitness facilities, are fair and beneficial to the as people have adapted to different ways of achieving stakeholders in the sector. their goals, providers need to as well. This also means that virtual options wouldn’t Rebecca Lee only be virtual and physical spaces such as fitness Vice President of facilities wouldn’t solely be physical. You will see Membership & Wellness more virtual technology in businesses and pricing YMCA of Metropolitan Dallas models to incorporate or add on these choices. Think Irving, Texas of on-demand workouts and individual or group Some of the biggest trends I see training accessed in a physical space. for 2021 are: When at home, we would be remiss to not consider Fresh outdoor space. Many the virtual reality technology tapping more into the
36 FEBRUARY 2021 fitness space where one would be able to work out Shift in service. The fitness industry will need to with others, enhancing their entire experience. This ensure it offers white glove service, communication may be a trend we will see more in 2022. like never before with members and staff (constant The additional resources that have been developed emails, updates, service offerings) and a place to go or enhanced during this time to improving our health to heighten social experiences. This level of service are great, but not everyone can afford equipment at extends to the floor and to sanitation. home and many may want a workout using different Digital space. If you have not figured out how to equipment or technology. live in the digital space on your own with your own Many people are at home longing for community products, services and offering, you are missing and connection as it is vital for their mental health. out. Do it yourself. If you can run a fitness club, you We hear from members daily about how they miss can develop your own platform that is specific to their family, their friends and being among people. In your brand. Keep your members. Do not give them some instances, places of fitness and health are all away to all the third-party companies that come to they have for belonging. you with solutions. A large population of the fitness Fitness equipment will need to adapt. My club users are living happily at home in the digital hope is fitness equipment will be better able to space. Yes, many will come back, but many have withstand repeated disinfecting. Most functional just become comfortable because home workouts equipment is extremely porous in their handles, require less travel time and offer workouts at their ropes and straps. During the pandemic, we fingertips. Get comfortable in that space. learned we cannot use or properly disinfect many Yoga. This is my biggest shift. People are going to of these pieces. We also learned even when you want mindfulness, yoga and yoga-specific workouts follow manufacturer cleaning guidelines, constant more than ever before. Beef up your yoga offerings disinfecting still deteriorated some equipment. because yoga is huge. Cardio/strength equipment was spaced out as Nutrition services and meal services. This is gyms re-opened, and we anticipate a slow transition going to be huge for your members. Members want with spacing out and expectations with physical attention. They want to sit with someone and talk distancing. However, equipment manufacturers have about themselves and their bodies. They want to be also taken a hit through the pandemic, and many focused on. Nutrition and meal planning can provide facilities may not be able to purchase new equipment a service that keeps members coming back for more in bulk for a while and may require less equipment and keeps them on track. due to spacing. Reinvent yourself. I have completely reinvented As the pandemic continues to evolve, the fitness myself during the past five years, but this past industry is working together to ensure gyms are year was a game changer. My husband, Jeremy, as safe as possible for members. Even with virtual and I (along with our partner) developed an online resources popping up, physical fitness in the most 200-hour and 300-hour yoga teacher training, on- literal sense is still a need. Many people long for demand yoga platform, yoga clothing and music the sense of community and the social and physio production. It took off in March and is still going social aspects that help with mental health. Like so strong. We have trainees from all over the world, and many aspects of our lives, going to the gym in 2021 it has completely changed our mindset on how to and beyond may not look like it once did pre-COVID, develop staff, create online platforms for education, as many new health and safety measures are here create an on-demand platform and create a brand to stay. following. It has resulted in an impressive income with little overhead. Lori Lowell Co-owner Sarah Luna Lowell Management President Company LLC Xponential Fitness Aspen, Colorado Irvine, California During the 2020 pandemic, Overall, the outlook for our I have watched, assessed, industry is bright. Ninety-one reinvented and researched percent of Xponential’s studios behavior. Based on this, my have successfully reopened thoughts about trends moving forward are as and continue to follow their follows: respective state guidelines, as well as the CDC’s
37 FEBRUARY 2021 Although we know it will take time for studios to rebuild, they will certainly come back stronger than they were before, given what we are seeing in our brands’ new membership sales so far this year, bolstered by outdoor workouts and pop-up events that our studios are delivering. Like many fitness brands, many of the studios across our brands began offering consistent outdoor classes in 2020. Initially implemented as a quick way to keep members engaged, our outdoor classes ended up being far more rewarding than expected for many studios, creating an impressive, streamlined experience for members and prospects. We anticipate this will continue to be integrated into studio offerings in 2021, particularly where there are ongoing COVID-19 restrictions in place. It is also a great option for members who are most comfortable working out in the fresh air. Although it was anticipated that technology would be a widely disruptive component in the fitness safety protocols. Continuing to safely reopen studios industry, the circumstances of the pandemic limited will remain at the forefront of our minds. The its accessibility to people. Nonetheless, those that obstacles and challenges created by the pandemic could afford to access products and services such have brought a lot of uncertainty for many people as Alexa, virtual coaches and fitness tracking apps, and mental health concerns, but it has also created demonstrated an affinity for them that will expand to an increased opportunity to refocus priorities, such more people in 2021. We anticipate many companies as physical health. will respond to this demand by offering easily One of the major takeaways of this pandemic is accessible, personalized and engaging technology the importance of allowing health and fitness to be to help people track and hold themselves more the focus in our lifestyles, not just something we do accountable for their health and fitness progress. for an hour a few times a week. People want to take charge of their well-being in a more broad-reaching Todd Magazine way. This change in attitude will certainly be CEO reflected in the way people choose to become more Blink Fitness physically active to improve their lifestyles in 2021. New York We also anticipate people will increasingly need The fitness and wellness trends ways to feel connected to their community after we see for 2021 are: a year when many felt incredibly disconnected Self-care. We know all too from their friends and loved ones. Xponential’s well that many of the people partnership with UnitedHealthcare Insurance is who lost their lives to COVID-19 one of the many unique opportunities for members had underlying health issues. This has been a wake- to find a larger community to bond within their up call to the majority of people who don’t exercise fitness outlets. We see strategic partnerships like or belong to a gym. Although much has been this taking place more often in 2021. It increases made about all the digital and at-home workout the opportunity for more business, and it improves options that became popular during COVID-19, the an individual’s ability to get engaged. This aspect vast majority of people need a place outside their of boutique fitness is what makes in-studio classes home for motivation and variety. Gyms with highly so desirable. The community of people encourages accessible prices and a welcoming environment are them to stay committed to their health and fitness a perfect solution for people who want to start their goals. Although we understand the importance and self-care journey. And for those times when people popularity of offering virtual classes to members, can’t get to the gym, having digital workouts, such it is only a component of our offering that cannot as the hundreds of on-demand classes and workouts replace being in-studio. Our in-studio, community- that Blink offers via its app, is a great supplement. driven classes offer a uniquely engaging experience. Gym safety. Feeling safe will not go out of vogue
38 FEBRUARY 2021 post-pandemic as a result of the PTSD that is likely we were in March 2020 if we don’t skip past the to stay with society for years to come. I fully expect opportunity. mask wearing, hand sanitizing, social distancing, etc. From live classes that dropped the audio, clubs to continue for many people, much like we saw in that were open one day and closed the next, as well many Asian countries well before COVID-19. Although as requiring members to register for gym access, we all gyms were forced to up their safety standards likely all heard our fair share of complaints in 2020, to meet government regulations as a result of but people also gave us a lot of grace because of the pandemic, gyms that have had operational the “unprecedented situation.” As we move forward excellence and cleanliness as part of their DNA from in 2021, customers will look to companies that have day one will be the winners in this area. perfected those ad-hoc systems that helped us get Mental health. The challenges of the past year, through 2020, especially those that seamlessly including being cooped up, job losses, political strife connect all aspects of an active lifestyle. For some and racial injustice, have taken their toll on people’s health club operators, this will be accomplished mental health, arguably more than their physical within their current brand, but for many others, it health. The statistics about the levels of depression will mean partnering with like-brands in the name of skyrocketing across society are mind-blowing. a bigger pie for all. Research shows that physical activity, including exercise, is the best non-medicinal way to combat Greg Maurer depression and feeling blue. For far too long the gym Vice President of Fitness industry has focused solely on the physical benefits Training & Education of exercise. This has alienated a sizeable portion Workout Anytime of society and misses a great opportunity to invite Alpharetta, Georgia more people into gyms. At Blink, we recognized this 2020 ushered in rapid change early on and adopted a philosophy of putting mood and innovation in the fitness above muscle, focusing more on how exercise makes industry marked by a dramatic people feel than how it makes them look. acceleration of home fitness and virtual fitness options. This acceleration JoAnna Masloski included growth of existing options such as Peloton COO and Mirror and the entry of many new providers Wellbridge including individual health clubs and chains. Greenwood Village, Colorado These offerings can be grouped into three areas: Although we want our health Video on-demand workouts. Existing providers and wellness businesses to fast such as Fitness on Demand, Wexer and Les Mills forward into growth mode, we have continued to have accelerated growth, and need to keep an eye out for new platforms have allowed individual clubs and approximately 50 percent of instructors to create, host and deliver their own on- consumers who are still waiting until it is “safe to demand video content. come out into the world.” These consumers likely Live virtual one-on-one workouts. The launch have experienced some form of virtual fitness, of many easy-to-use, inexpensive platforms designed watched us on social media, heard research about for the sale and delivery of live personal training the importance of exercise, but they continue to be have been launched successfully, including Gymgo, fearful. So, although we are all tired of messages LiftSession, MindBody’s Virtual Platform, Dotfit’s about safety, we must not lose focus on their Pinpoint Fit, Flexit and several others. These options necessity in re-introducing ourselves to the broader have allowed clubs, studios and individual instructors market. We also need to double down on messages to sell and deliver virtual one-on-one services. about the importance of exercise in a like-community Live virtual small and large group classes. As and the positive impact that it can have on mental with one-on-one services, many platforms (including and physical health. The people who need that several of those above) allow clubs, studios and message most are the ones who will start peering instructors to sell and deliver live virtual small and out, hopefully sooner rather than later, in 2021. If large group training easily and affordably. you agree, then it’s time to evaluate and improve our These services will not go away at the end of the best campaigns from 2020 and be ready to deploy pandemic. Many people have learned to love these on a larger scale. Although the timing may not be services, and many more will want to have access in our control, we are much better prepared than to a hybrid blend of in-club one-on-one and group
39 FEBRUARY 2021 programming along with the option to access virtual Nadia Murdock training including all three options above. Founder Nadia Murdock Fit Anthony Montalbano New York Vice President, Strategic With home workouts being a Initiatives fundamental part of the future YMCA of Long Island – of fitness, finding ways to keep Association Services clients engaged when far apart Glen Cove, New York can be a challenge. One thing Below are 10 trends I believe that has proven to be popular and continues to grow are relevant for 2021 and are fitness challenges. They create a sense of unity, areas we will be focusing on keep clients encouraged while working out at home at our YMCA. and create a sense of accountability at the same The hybrid gym model. Offer a mix of indoor time. Whether it’s Pilates, dance or HIIT, you can fitness, outdoor fitness options and virtual fitness find and recommend a challenge that best suits you (group fitness classes, personal training, mental and your clients. The type of workout allows a lot health counseling, family programming, etc.) of versatility as well as the length of the challenge. Focus on engagement. Today, more than Some challenges are as short as five days and ever, we need to provide exceptional customer some last up to 30 days. The options are endless. service (clean facilities, friendly faces, welcoming Keep participants accountable by having them send environment) images and/or videos as a form of check in to make Focus on cleanliness. Cleanliness has always sure they completed the challenge for the day. This been important, but today, it is critical. The truly helps to build a strong wellness community. Y branded our program YCare&Clean. This is Tons of new online opportunities can make these prevalent in all of our facilities. challenges more frequent and accessible. Focus on the health benefits of exercise. We need to look beyond losing weight and focus Mark A. Nutting on building our immune system, the mental health Co-owner benefits of exercise, and the Y’s Chronic Disease Jiva Fitness Prevention & Recovery programs. Easton, Pennsylvania Mental health and restorative group fitness. Having been in the health and 2020 was a very stressful year. The Y is addressing fitness industry for more than this through our counseling center and re- 40 years and keeping an eye on evaluating our group fitness lineup. new entries into our field, I’ve Building staff team morale. This may not made a few predictions about appear on many fitness trends, but it should. Many what I believe will be the trends for 2021. of the fitness industry staff was furloughed or Live-streaming personal training and group worse in 2020. We need to do all we can (with little fitness. Although most of us were forced online by or no budget) to build our staff team morale, let mandatory closings, smart club and studio operators them know they are appreciated and that they are will continue to offer live-streaming workouts even essential to our recovery. after restrictions are completely lifted. Consumers Focus on the power of positive thinking. were also pushed into using live-streaming training It’s easy to get caught up in the negative chatter. and classes and have now grown comfortable with Remain positive and create a positive environment— it. It’s in the privacy of their own home. There’s no good things happen. commute time. It still offers direct interaction with Desire to be with others. Home workouts are the instructor or trainer. Many consumers are finding OK, but members will return to the gym. People are this option to be preferable and may never return to craving the social component. A strong acquisition the fitness facility or will make use of in-person and and engagement strategy is key. live-streaming workouts. Focus on socialization. Create a safe Health and wellness-based fitness. More and environment to foster this at your Y/gym. more people are realizing that fitness is about a lot Family programming. Families are looking for more than just looking good. Being healthy, feeling things to do. They need to get out of the house or good and being able to move with ease will get more sign up for a virtual program. Capture this market. people moving in 2021.
40 FEBRUARY 2021 Older adult fitness programs. With the average an excellent way for coaches to understand how age of the population continuing to skew older, the their time is being spent, to organize/remove the demand for training and programs that help keep tasks that are wasting their time, and to ensure them active and independent is also increasing. that they are completing all of their work priorities On-demand fitness. On-demand fitness has each week while leading their ideal life. Countless increased and will continue to do so as many new technologies are available to coaches for consumers turned to that option in 2020, but I don’t streamlining their operations, reducing their time think it will be huge or sustained. We have been spent on administrative tasks, and managing their there before with Jane Fonda VHS tapes. Although scheduling and accounting. Lastly, independent on-demand will always have an audience (with the coaches are realizing that they cannot do their best option of live streaming, interactive workouts), this work alone and are turning to virtual assistants to will be a short-term surge. Technology. Consumers have access to all kinds of new fitness technology items, and those devices will continue to improve. This is great news for people who love technology—all kinds of cool stuff to be had. However, if fitness professionals are afraid that this will replace them, fear not. For most people, this trend will end up like the equipment in many home gyms: just something to hang your clothes on or put in a closet. So, that’s my top five. There are certainly other areas of health and fitness that I would like to see become trends, such as more wellness coaching, more outdoor fitness trails and more youth fitness programs, but while they are out there, they aren’t catching on as rapidly as they could.
Billy Polson Fitness Entrepreneur and Consultant The Business Movement free up more time for focusing on their strengths and Diakadi Fitness and what they love to do—coaching and fitness. San Francisco Consistent adaptability in marketing. Every As a fitness entrepreneur and day we wake up to a new reality for the fitness consultant in the industry, I see industry in 2021. One day training sessions are several trends for 2021, but permitted indoors with masks and distancing; the these two stand out to me. next day training sessions are moved completely Coaches are becoming smarter business outdoors and masks are not required. These changes owners. As fitness clients are experiencing a wide are difficult enough for fitness professionals range of comfort levels in navigating the concerns of to follow, much less our clients and potential the pandemic, coaches and trainers are faced with customers. Therefore, every element of your juggling multiple training styles (indoor, outdoor, marketing must stay in the moment for the protocols virtual, etc.) throughout each workday. A typical day and services that are currently being offered. Our can start with two hours of indoor private sessions, customers are looking for leaders right now, so followed by an hour virtual session, before driving make sure that you are stepping up to the plate. across town to the park for a group outdoor session, At a minimum, most fitness business owners are followed by another virtual session, and finally at least keeping their social media up to date, but heading back indoors for evening clients. While the days of having a stagnant website homepage some coaches are facing burnout and exhaustion for your facility or training practice are over. If you from these constant gear switches, individuals that expect potential clients to find your services and feel have set aside the time to focus and organize their inspired and comfortable with making a purchase, business are surviving and thriving as a fitness then you must consistently adapt every element business owner. A simple time tracker exercise is of your marketing strategy to portray the exact
41 FEBRUARY 2021 customer experience they can expect to receive difficulty in real time. Other industry players are at this time. At a minimum, all COVID-19 safety hyper-personalizing fitness via biometric tracking. protocols and guidelines must be highlighted on Whoop’s wearables aim to make fitness routines your website homepage and in all business listings more optimized by gathering physiological data (i.e. Yelp, Google Business, etc.). But businesses that related to recovery, strain and sleep. One-on-one live are going above and beyond simple text updates on instruction by a personal trainer is offered by Mirror, their website by using up-to-date, high-resolution a popular company that produces an at-home fitness photos and videos (i.e. clients working out in masks), device that displays the instructor. in addition to fresh testimonials from clients about Interconnected fitness and wellness powered by their current experiences, are better connecting with data, personalization and community is here, and it’s new clients and rising to the lead in their markets. just getting warmed up.
David Rachal III Eric Schmitz Founder and CEO President HealtheFit California Athletic Clubs Richmond, Virginia Santa Barbara, California The paradigm shift we have all With the challenges of COVID longed for has finally occurred continuing well into 2021, and holistic health has become operators in the fitness industry more important to individuals will have to change some of of all ages due to the pandemic. the ways they operate to stay Within the virtual world that has taken over the relevant for their customers. Below are some of the fitness industry, technology is the highest priority for trends that I see increasing in 2021: reaching members and clients. Despite the boon of Dedicated outdoor exercise space. With the online training and classes during the pandemic, the indoor restrictions in many gyms continuing in 2021, real innovation will involve virtual exercise supported clubs will need to have a well-designed and engaging by artificial intelligence. Wearables have become the outdoor experience. The outdoor space and new normal and are testaments to people craving programs should reflect the needs of your members more accurate and accessible health data. and be comprised of equipment and accessories that The combination of wearables and smart phone can withstand whatever elements your area has. apps allows users to: Interior spaces will continue to include • Choose an exercise from an extensive list and increased spacing, cleaning and enhanced get the app to detect, track and record the vital air filtration. Safety is the number one concern of exercise metrics including calories burned and count members coming back to the gym. The demand for repetitions as well as recommend how users can wide open spaces that have filtered air will continue perfect it through progressive motion analytics well into the future. • Set a personalized training routine and tweak it as Hybrid membership offerings. Offering diverse needed programming virtually will be an important part of • Access public routines of other users and follow every membership in 2021. Staying engaged with them members’ total wellness online will be the standard • Challenge and compete with other users moving forward. worldwide Personalized communication. Delivering • Assess exercise history, assess progress and get personalized electronic communication to the rewards members that is driven by artificial intelligence will • Access a personalized dashboard and data-driven become commonplace. newsfeed Versatile service staff. Many of the service • Make accomplishments, routines and positions such as front desk, membership, childcare, performances public or share with healthcare and housekeeping will be handled by the same team providers of cross-trained employees. • Get healthcare provider recommendations based Social events that are COVID safe will grow on user data in a big way. One of the biggest strengths for most Industry players such as Tonal, an IoT fitness clubs is their social experience. The demand for this will device with an AI-powered personal trainer, use increase as COVID numbers decrease. Being creative electromagnetic resistance to calibrate the exercise with this programming will pay off big for clubs.
42 FEBRUARY 2021 Reserving club resources will remain. Be it a by those who had underlying conditions—and those swim lane, a tennis court, a group exercise class or whose health was affected directly or indirectly by a piece of exercise equipment, the COVID-inspired the virus—will last. The messaging about how being reservation requirement will stay. Members love the active can help with and prevent chronic conditions, ability to lock in exactly when and what they are improve immunity and aid in mental health are doing. hitting home during this pandemic. The realization that activity, even in small amounts, can provide Leah Seacrest major benefits is here to stay. Vice President of Fitness • Movement is Medicine. Less focus on abs and REGYMEN Fitness buns and more focus on heart and lungs. All health Huntsville, Alabama professionals agree that physical activity is essential What 2021 has in store for the to one’s well-being. No longer is fitness viewed fitness industry is difficult to primarily as a body transformation activity. Instead, predict, but here are five trends the aesthetic results achieved through fitness is now I believe we will see this year: secondary. Well-being (current and future health 1. Fitness delivered digitally will status) and improved performance (productivity, continue to play a role in health and fitness routines energy, mood) are equally as valued from those due to its convenience and flexibility. who participate or intend to participate. This shift in 2. With immunity and health more in focus, mind/ perspective will be a key message in attracting the body connection and recovery concepts will rise to right clientele to your facility. achieve positive well-being and life. • More people moving. Walking is a great 3. Because of its efficiency in blasting calories, HIIT starting point for the inactive population (no prep, training will be the go-to training model to get an no learning curve or special equipment) and during effective workout. the lockdown people wanted and needed to get 4. Wearable technology will continue to become out of the house, so many people began walking. more sophisticated and more accessible to help in Beyond walking, the pandemic has also broken down personalizing one’s progress and goals. physical activity barriers for many with a plethora 5. Home gym equipment sales will continue to of online fitness options. People can participate in climb as people carve out space in their homes for the comfort and anonymity of their home without workouts avoiding public gym spaces. feeling self-conscious. The opportunities to explore and try a variety of activities online without buying Greg Simmons a membership or specific equipment has been General Manager Atlantic extensive. More inactive people being introduced Liv North to activities, building confidence and realizing Etobicoke, Ontario, Canada the benefits moving more provides will translate The impact of 2020 has to an expanded market. This emerging untapped reshaped how we live, play demographic will be purchasing professional fitness and work. The imposed services/memberships both online and in-person in restrictions put in place due to 2021 contributing to the rebound for many facilities. the pandemic have created a 2. Social connection is vital. We have an new reality that we have had to adapt to—and will innate need to belong and to be part of a community continue to adapt to. Some of these new behaviors that provides a sense of acceptance, inclusivity and will stick beyond COVID-19 while others will fade. sharing common interests and goals. The social Although we know that restrictions will extend connection has long been a key reason for many deep into 2021 in some form, there is a light at the fitness participants to attend—it’s fun, it’s motivating end of the tunnel. Change exposes us to different and it feels good to sweat and accomplish with perspectives, new opportunities and time to reflect others. on what we need and what we truly value. • The social aspect is the key to virtual Here are some of my thoughts about trends that success. The emergence of virtual fitness have evolved from the pandemic and will continue to skyrocketed in 2020. The need for people to feel evolve post pandemic. connected to a familiar instructor or workout 1. A larger portion of the population will group was evident as people flocked to Zoom and make activity a higher priority. Although recorded workouts. For many facilities, this began COVID-19 will eventually fade, the vulnerability felt as a temporary solution until the return of in-
43 FEBRUARY 2021 person fitness could resume, but there is no doubt ingenuity by renting equipment, offering existing that virtual fitness will remain as a permanent and and new services remotely, and staying connected to popular option even after all restrictions have been their members. lifted. Although Zoom fatigue and excess of screen • Flexible memberships. No one is looking time are challenges, facilities and professionals who for long-term commitments. Month-to-month continue to embrace the social aspect of online options will become the new norm. It will not be workouts and refine ways to connect with people uncommon for members to have memberships at online will separate themselves from the crowded multiple facilities simultaneously or throughout the field of virtual fitness options. year. Assessing the convenience of a facility, when • Working out (together) in-person will working at home and/or when at the office, along return and thrive. The impact of social distancing with considering the interest in different activities and lockdowns became and remains a heavy and needs throughout the year, will shift consumers’ burden for many people. The lack of connection purchasing decisions. and social interaction due to working from home • Structure and atmosphere. “Working out at home isn’t the same” is a phrase I keep hearing. The value of having a dedicated time and place to work out has proven to be critical for many. Working out alone at home with distractions is hard to adhere to. The structure, atmosphere and social aspect will be a major factor in the return of members to facilities. • Access to equipment. Although we have been exposed to creative and effective bodyweight and minimal equipment workouts, the love of using equipment to get more from a workout will remain. Some people have purchased equipment for home but notice the quality of their treadmill/elliptical doesn’t compare to commercial equipment. It is hard to stay motivated doing activities that don’t feel good or don’t feel the same way you remember them. To progress toward goals, people need to be challenged in different ways; however, purchasing high-quality equipment and a variety of weights for home may not be reasonable (space considerations) or affordable, making the existing fitness centers the most viable option. is a major dilemma. The need for a hub to provide 4. Professional instruction. There are an a space for people to come together will heighten, abundance of fitness “coaches” online; however, a and fitness facilities will become a popular option. fit Instagrammer, athlete, celebrity or someone who During the lockdown, people who valued and relied has had a successful body transformation does not on this in-person element and did not make the qualify them to competently coach others. Reports switch to stay connected online struggled with from participants doing generic online workouts consistency. Whether it is working out and bumping that are either too easy, too hard or unsafe are into fellow members, planning a workout with a unfortunate but not surprising. Certified fitness friend or attending a scheduled group workout, professionals in clubs and studios have extensive the positive reinforcement, shared challenge and training and several have many years of experience. accomplishment in a place that you are comfortable The realization is now more apparent than ever that and feel you belong is a much more powerful trained professionals offer an abundance of value element than the actual workout itself. including being able to identify appropriate intensity, 3. In-person facility experience gets a provide necessary adjustments to technique, modify reboot. It has been a devastating year for the for injuries, identify weakness/imbalances, provide fitness industry, the lockdowns and safety protocols timely motivation boosts, and create personalized have made it difficult for studios and clubs to stay workout design and instruction. All of these offerings afloat. During the shutdown phases, fitness facility will lead to improved results, reduce risk of injury owners and operators quickly pivoted showing and provide a better experience overall.
44 FEBRUARY 2021 Chris Stevenson Candace Sweatt Owner Senior Director of Be Military Fit Los Angeles Enterprise Solutions Los Angeles Crunch A major trend that I see New York coming in 2021 and beyond In 2021, I believe we’ll see the is a renewed focus on an digital fitness space continue excellent member experience to grow. Although streaming and diversified member platforms, remote training and engagement. Consumers learned a few things related fitness options previously existed, necessity during this pandemic. Some realized that has certainly proved to be the mother of invention they could work out at home. Many found that during the past 10 or more months. The effects of they enjoyed exercising outdoors. A large the pandemic have hastened the need for companies percentage of exercisers got involved in virtual to either create or increase their footprint within programming. All the while, facility operators all the digital realm. Not only will we continue to see over the world had to find ways to deal with on more digital-only fitness options come to light, but and off closures, new and constantly changing I suspect we also will see an increased shift to a guidelines and restrictions, as well as consumer more hybrid approach for existing gyms and studios. fears. For facilities to survive and thrive in the Digital enhancements to the customer experience as post-pandemic era, it is essential that operators well as brand-centric digital alternatives to in-person create an experience that consumers truly fitness options will be key to moving forward and desire and simply can’t get anywhere else. To enhancing customer loyalty in a post-pandemic era. make this happen, organizations will have to instill member experience as part of their Greta Wagner culture, hire and train staff to exceed member Executive Director/ expectations at all times, and create diverse Executive Vice President programming and engagement opportunities to Chelsea Piers Connecticut engage members when and where they want, as Stamford, Connecticut well as how they want. Some trends that I see in 2021 In practice, this means having a team that include the following: builds real relationships with members by getting Integrative health and to know members, consistently using names, wellness programs vs. proactively owning questions, sincere greetings fitness. Living through the COVID-19 pandemic and farewells, and continuously finding ways has made more people aware of their health in new to surprise and delight. These practices, when ways, and we have seen a shift in focus to physical delivered well, cannot be effectively duplicated and mental health as a form of preventive care, in any of the other alternative workout solutions not just in being fit. This will continue through 2021 mentioned above. Synthesizing the members’ and beyond the pandemic. Wearables and apps for engagement with the facility goes hand in hand tracking health and progress will continue to be with the perceived experience. If members important. The fitness industry should be mindful come to the premises for only one reason, their of programming that is more integrative and membership longevity will likely be short. When specific in preventive healthcare benefits. Classes, you diversify the engagement through offering education and health solutions will continue to virtual and outdoor programming, unique emerge in the industry to meet the growing need programming such as stress management and for primary prevention via fitness, proper nutrition family exercise classes, social and charity events, and mindfulness. This market will continue to be a and frequent communication and engagement growing one that operators will want to serve. through emails, texts, phone calls and social At-home and outdoor workouts will media, you give members a ton of reasons to continue to be an important part of stay engaged and value the experience within the member experience. During COVID-19, your club. This combination of super service working and working out from home became a and diverse engagement is the formula for necessity. Home cardio equipment was purchased successfully moving forward and will be a trend (or unearthed), new apps were downloaded, and used by facilities for years to come. furniture was moved to create workout spaces in
45 FEBRUARY 2021 living rooms. People learned the joy of taking a safer and seek social interaction after prolonged long walk, got back into running and played tennis isolation, we will see safety and sanitation emerge outdoors, among other activities. If, and when, as even more of a priority when choosing a facility. things get back to normal, people will not necessarily Although establishing safety and cleaning protocols jump right back into daily life as we knew it before is important, fitness centers must effectively COVID-19. It will take time. In 2021 and beyond, communicate these standards. They must be willing club operators will need to continue to engage to adapt as new information about the pandemic with members both in and outside of their homes becomes available, but they must be cautious not to stay relevant. Offering outdoor, on-demand and to change policies and protocols too quickly or too live virtual classes and virtual training programs as often. In 2021, the need for club operators to pivot part of ongoing programs will be a necessity as will and think outside of the box will continue. be finding ways to use wearables and technology to track at-home workouts, offer guided running Kia Williams programs and offer lifestyle experiences through the Fitness Educator and club community. Programmer A stronger sense of community. Community Host of Fit and Fierce on has always been the top motivator for consumers to the Mic podcast go to gyms. Even with virtual programs remaining Here are my thoughts on trends important, members will begin to crave the social to watch in 2021: interaction that a club offers. Let’s be honest: we Social media as a vehicle crave human interaction. We want community. We for building community, want to look around and be around. We want smiles. communication, and program/product We want fist pumps. We want our intellect and all our promotion. Many existing social media platforms— senses engaged. We want a change in scenery. We and those entering the market regularly—have been want a destination. That is what our clubs offer. used as means or tools for marketing, advertising Beyond togetherness, people will be looking for and capturing engagement and attention. This meaningful connections. After COVID-19, successful past year, we witnessed nearly every industry and club operators will find ways to increase a sense service make a shift in some way to enable quality of community. Finding ways to involve members in experiences through social technologies. This allows something (i.e., clean up a park, volunteer at a soup for an instantaneous and more direct touchpoint and kitchen, get involved with local schools, etc.) will interaction with the consumer nearly anywhere— make your membership sticky. sometimes for a much cheaper cost. Digital and virtual fitness options. Though Sandy Wiedmeyer not new, digital and virtual fitness options have Fitness Manager grown during the past year. These technological Pleasant Prairie Rec Plex offerings (apps, smart devices, smart equipment, Pleasant Prairie, Wisconsin wearable technology, electronic gaming systems, COVID-19 forced many changes virtual chat rooms, live streaming, etc.) allow self- in 2020 and will continue to reporting, personal/private interaction, autonomy, influence trends into 2021. convenience, and sometimes social and competitive Virtual fitness will continue options with people from around the world. Informal to be a popular option among reports and anecdotal evidence shared from those who want to social distance or enjoy the some fitness service providers suggest that live convenience of working out at home. The ability to streaming and videos on-demand have increased track data and connect with others will continue exercise motivation and adherence among their to grow, whether it is wearable technology or clientele. Clients are taking their trainers, teachers equipment with connective capabilities. Even as and workouts wherever a smart device functions. consumers return to the gym, they have become Service providers are optimizing their time and the accustomed to the convenience of app-based fitness virtual medium for more frequent and sustainable and feedback that is data driven from smart devices. engagement with clients, not just by shifting in- HIIT training will continue to grow because it is quick person classes and one-on-one sessions online but and effective and it can be done with or without by creating content stockpiles and fitness catalogs equipment, so it is easy to move to an outdoor space to be used and reused by many clients at any given or can be done at home. As people begin to feel time. It allows for greater brand reach, good use of
46 FEBRUARY 2021 resources, time savings and creative thinking outside really big and really small brands, such as owner- of the facility’s four walls. When facilities can safely managed gyms. reopen in their entirety, I foresee virtual and in- Medium-size boutique chains will have to be much person programming being complimentary services more selective when it comes to figuring out their for studio and gym membership options. daily operations. Those surviving this crisis will be the ones with a component of their business in both Omar Yunes brick-and-mortar and online. People will go from CEO online to in-person more seamlessly, the same way 54D they will go to the office a couple days a week and Coral Gables, Florida work remotely the rest of the week. The growth of fitness within The surviving fitness businesses will not be profit- the online vertical will continue driven only. In many cases, the online workout to exponentially grow in 2021. offerings are profit-driven and don’t focus on But I do believe at the same actually measuring or tracking results. People will time that the market will reach start being much more selective when it comes to a saturation point. We are now in a place where it picking the best online program for their needs, and is generally believed that all things online will work, they will demand results. They will look for someone and we will see that that is not the case. There needs who actually worries about their overall wellness and to be added value to generating content for online. how to build around them a true community they can We are seeing that today with the current price rely on to keep pushing them. war within the fitness industry. The ones that will continue the momentum and have sustained success will be those delivering measurable results and generating a certain sense of community. When the current situation fades and things slowly go back to normal, we will see that people will once again want to connect face to face. We are seeing this need not only in our brick-and-mortar locations but also in the online world. People are looking to train and sweat but also to see a positive impact on their mental health. Being part of a community is a key factor in generating that emotional well-being. If you don’t feel like you belong somewhere, the current isolation is felt even more. You can offer the best content possible to work out from home, but if you don’t offer a sense of community, you won’t be able to achieve the wanted holistic emotional health. We are successfully building that bridge between emotional and physical wellness with 54D. Brick and mortar will continue to be fundamental, due to this same social component. The experience People are looking for value. If they don’t feel like that people get in a physical location will never be they are getting that, through fitness or community, fully replicated in the online world, and that is why they will leave and go looking for it somewhere many people are still going to want to wake up every else. This has been part of our DNA from day one. day and drive to one of our studios. Consumers are looking for wellness brands that Some brands within this brick-and-mortar space care. They need to know that someone actually will cease to exist, but other well-established brands worries about their health and the results they that have a clear concept of who they are and what want to achieve. It’s not about monetizing the fact they represent, with a cost structure that allows that everyone is staying home and now they need them to continue to operate, will become a central to do many things under one roof without going part of the fitness industry. We are seeing many anywhere. As an example, we have offered a daily, big box gyms starting a restructuring process, free Instagram Live training since the start of the something that will happen on both extremes of pandemic, something that we still do today.
47 FEBRUARY 2021