I would argue that we are rapidly reaching the point where small, independent fitness operators have the most significant opportunity they have had in years. However, it is equally the time of biggest risk. Consequently, it has had me thinking about where best to focus our business to maximise what we bring to the sector.
When I founded Quoox and entered the sector several years ago, it turns out to have been under false pretences… I trained with my friend and former business partner, Ben Brand, for years. He was, and still is, an excellent trainer. Ben has always embraced the broader aspects of wellness – particularly mental health, mindfulness, restfulness etc. I didn’t realise that he was a rare beast in the world of small independents, and that was something he conveniently neglected to mention when I initially went “all in” with the company!
For years, thought leaders in our industry have discussed the pivot from fitness to health and wellbeing. As we conclude the 2024 summer season of events and conferences, I am 100% resolute that inevitable evolution is now firmly underway.
The larger chains have significantly improved their performance. The focus is now very much on longevity and health, and rightly so. Not only are their products becoming more rounded, but they are also attractive to a greater percentage of the population. None of the big players talk about weight loss, few mention fitness, and there isn’t a “challenge” or “summer shred” anywhere in sight within their product portfolios. This doesn’t mean they have got it 100% right, but they deserve credit for their actions so far.
Much of the industry has come out of the shadows of the COVID pandemic and has returned to their sweet spot of strength and conditioning, with an occasional nutritional “bolt-on”. The leading brands have carved a strong position within this niche and will continue to thrive. However, many others who doubled down on strength, body appearance, and weight loss are now starting to struggle. They have to shove through ever-increasing numbers of leads to balance the increase in attrition.
The data shows that increasing numbers of private gym members are gravitating back towards the larger chains. These facilities could never compete with 25-metre pools, spas, etc. That wasn’t their unique selling point. Their USP was, and still is, superior service that can only come through personalisation and attention to the individual.
Currently, blame is being levied in all directions—the summer downturn, the economy, etc. But that is all really “head in the sand “stuff. The fact is that, for many, unless they start to evolve and do it now, they may not be in business for very much longer. Some are getting desperate and backfilling with crazy deals, begging for scraps through ClassPass, etc., but the death knell may have already sounded for them. I am aware of a scary number of gyms that have gone bust or voluntarily ceased trading in the last 6 months.
The current opportunities are immense, and it doesn’t take a rocket surgeon to figure out how to capitalise on them… You deliver the product that the consumer wants and needs. Demand will only rise, as our poor NHS is broken, and the public will increasingly need the services of independent wellness providers.
I anticipate that there will be several directions facility owners will take, with only a couple of groups being among the survivors:
Offering a premium wellness product at a budget price point is not commercially viable. The numbers don’t add up. It requires a truly personalised service, and personal attention costs money to service. A 10-minute check-in with a member once a month doesn’t even begin to hit the mark. It never really did.
The fact is that owning a gym is hard and stressful, and the expectations are ever-greater in this evolving world. It can be very lonely, and natural ego and bravado within our sector often compound matters.
Initially a pure specialist software provider, Quoox's services have expanded in line with the industry's needs. We identified early on that our software product's extensive capabilities are irrelevant and of limited benefit if not implemented as part of a cohesive set of business processes. Even a “silver bullet” must be loaded, aimed, and fired!
Where we have worked with our clients in an effective partnership, helping them shape and realise their vision whilst imparting our knowledge and expertise, their businesses have thrived. They have high lead conversion, strong member retention, and excellent product quality. Moreover, they enjoy premium ticket prices, such a product commands and requirements.
While others have also successfully implemented their own processes, and both they and their members similarly enjoy the benefits, many facility owners are too busy or unsure. Yes, they have an excellent, solid management system, but their businesses and members are far from realising the extent of the benefits within arm’s reach.
Upon reflection, it became clear that Quoox achieves the most significant positive impact for its clients and their members when we work as a virtual extension of their team, equally motivated by a “mutual pledge” for their business to grow and thrive.
To ensure that Quoox delivers the best results for its clients and the industry more broadly, our Gym Mastery product (underpinned by our best-in-class Quoox Ultimate software) will be our sole offering to new clients as of August 2024.
To avoid doubt, we will continue providing, supporting and enhancing the core software product for our existing clients.
Gym Mastery is a wholly unique offering within the marketplace. It is one that we know can help independent, premium service providers within the wellness sector maximise their business potential and the quality of service they provide their members.
In line with our commitment to our own quality of service, we will take on a limited number of new “client partners” every month. Those partners we choose to work with shall be committed to furthering services within our sector, keen to embrace solid business practices, grow their business, and be amongst the leaders in the next generation of independent wellness facilities. A core focus shall be professionalism, integrity, and evolving the sector to meet the needs of future generations.
Change is here. It’s time to grow.
