Health And Fitness Club Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)
The global health and fitness club market was valued USD at USD 81 billion in 2020 and is projected to witness a CAGR of 7.21% during the forecast period (2021 - 2026).
The fitness industry particularly brick-and-mortar gyms were among the hardest hit at the onset of COVID-19. Gyms and fitness studios were the first businesses to undergo forced shutdowns in the United States and various other countries from the threat of coronavirus spread. As 'work from home' has become the new normal for any other establishment, virtual access or 'workout from home' made gyms and studios are increasing consistency, which provides a safer exercise regime to the consumer at the comfort of their home, thus restraining the market studied.
However, it is undoubtedly much more alarming for the smaller players with less or no budget to go virtual or invest in digital advertising or creating a digital platform. However, hundreds of big and small fitness businesses joined in with Omnify's Zoom Integration' to enable the booking of live classes thereby supporting gyms and studios through live streaming of their services.
Consumers are willing to spend more on health and fitness clubs, with the health aspects playing a key role in driving market growth across the world. The rising number of health clubs and gym with personal training and the latest fitness equipment is attracting consumers to join the health and fitness clubs, which is likely to influence the market growth in upcoming years.
Increasing equipment and facility spaces in fitness clubs, such as hot yoga studios, high altitude training rooms, metabolic testing equipment, medical exercise areas, and day spas are gaining popularity among the consumers, which is further supporting the market growth. Attractive membership fees offered by fitness clubs, increasing spending on marketing and advertisement, are helping the health and fitness clubs to generate more revenue.
Increasing Inclination Toward Health Clubs for Fitness
Globally, increased consumption of unhealthy food and sugar is causing obesity, which leads to diabetes, heart disease, and high blood pressure. The rise in awareness among millennials has resulted in an increase in expenditure on healthy lifestyle and fitness activities, which is encouraging them to join fitness clubs. Moreover, Gen X is more likely to be the consumer of health clubs than any other demographic, so health clubs are focusing to keep this consumer segment engaged, and continuing to invest in their gym and health memberships by offering personalized service offerings. Due to intense competition in the market, key players are trying to distinguish their service offerings by providing a unique value proposition and benefits to survive in the highly competitive environment, which is encouraging more people to join the fitness and health clubs.
North America Dominates the Global Health and Fitness Club Market
Rising health awareness and increasing obesity among consumers in the United States are likely to support the market growth in the region. The number of adults aged from 20 to 64, who are the largest gym-going demographic, has increased, spurring demand for gym memberships in the recent past in the United States. As a result, many baby boomers are expected to sign up for health club memberships, as they become more health-conscious with age. Most multipurpose health/fitness facilities offer a wide variety of specialty exercise services, equipment, and programs designed to encourage people of all ages and fitness levels to participate in a regular exercise that drives the health and fitness club market in the United States. Some examples are LA Fitness Irvine and Life Time Fitness Chanhassen, MN, and many more.
The most active companies in the health and fitness club market, globally, include Planet Fitness, Town Sports International Holdings Inc, UFC GYM, Crunch Fitness, Gold's Gym International Inc., 24 Hour Fitness USA Inc, and Self Esteem Brand among others. Further, the major strategies adopted by the companies operating in the global health and fitness club market are expansions and mergers & acquisitions. Major players are focusing on expanding their geographical presence, in order to cater to the interests of the consumers and gain market. Thus, expansion is the most preferred strategy in the health and fitness club market.