
Despite experiencing solid growth during the past decade (with the exception of the past two years), the market has not yet reached saturation. As a result, the Gym, Health and Fitness Clubs industry is expected to remain in a growth phase, with revenue expected to rise at an average annual rate of 2.6% to $28.2 billion in the five years to 2016, according to IBISWorld, the nation’s largest publisher of industry research. During this period, demand is expected to improve as the US economy stabilizes and unemployment declines. According to IBISWorld’s latest report, the Gym, Health and Fitness Clubs industry has benefited greatly from the vast array of marketing campaigns and ensuing consumer trends for fighting obesity and improving health. Gym membership numbers have increased considerably over the past 10 years, rising from 36.3 million in 2002 to more than 42.8 million by 2011. This trend has resulted in soaring demand for fitness activities, and industry operators have capitalized on this growth by expanding establishments in both size and number.However, the industry has not been recession-proof. In 2008 and 2009, demand for gyms and health clubs weakened as consumers cut back on discretionary spending. But compared with other industries, the Gym, Health and Fitness Clubs industry has remained remarkably resilient, as increased leisure time and boosts in health and morale from exercise have kept the industry highly competitive. Gyms and health clubs have broadened their markets and are offering value to gym-goers in a bid to retain membership numbers throughout the recession’s aftermath. The downturn has also favored the growth of small-budget gyms with fewer amenities over more expensive, all-inclusive clubs. In fact, many smaller operators have expanded over the past two years despite the economic climate. Overall, industry revenue is expected to grow at an average annualized rate of 1.7% to $24.8 billion over the five years to 2011, including growth of 2.3% in 2011.According to IBISWorld analyst, Mary Gotaas, over the next five years, the industry will benefit from increased youth and baby boomer memberships. “Revenue will expand at an average annualized rate of 2.6% to $28.2 billion over the five years to 2016,” says Gotaas. “Firms will profit from growing interest in staying fit, and the industry will transition toward larger and all-inclusive clubs.” With total health club memberships expected to reach 47.5 million in 2016, players will capitalize on this growth and provide members with additional services in a bid to increase registration and retention rates.Due to the fragmented nature of the Gym, Health and Fitness Clubs industry, no players hold a market share larger than 5.0%. IBISWorld’s latest report findings discusses major players like 24 Hour Fitness Worldwide Inc., Life Time Fitness, Bally Total Fitness Holding Corporation, Curves International Inc., Town Sports International Holdings Inc., and Gold’s Gym International Inc., a chain with more than 600 facilities in 40 US states and 30 countries.
Survival of the fittest
Even in the midst of the economic downturn, the industry has maintained steady growth, with membership rates growing consistently and profit remaining solid. Demand for gyms and health and fitness clubs will continue to rise over the next five years, as the general public becomes more health-conscious and the aging population places a greater emphasis on staying fit. Additionally, the amount of leisure time and growth in household incomes will positively affect businesses, leading operators to expand into larger facilities.In-depth industry market research presented in a logical and consistent format. Including pages of insights covering industry conditions, key statistics, competitor analysis and market share, product and customer segmentation and a 5 year forecast. Gym membership numbers have increased considerably over the past 10 years, rising from 36.3 million in 2002 to more than 42.8 million by 2011
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Despite experiencing solid growth during the past decade (with the exception of the past two years), the market has not yet reached saturation. As a result, the Gym, Health and Fitness Clubs industry is expected to remain in a growth phase, with revenue expected to rise at an average annual rate of 2.6% to $28.2 billion in the five years to 2016, according to IBISWorld, the nation’s largest publisher of industry research. During this period, demand is expected to improve as the US economy stabilizes and unemployment declines. According to IBISWorld’s latest report, the Gym, Health and Fitness Clubs industry has benefited greatly from the vast array of marketing campaigns and ensuing consumer trends for fighting obesity and improving health. Gym membership numbers have increased considerably over the past 10 years, rising from 36.3 million in 2002 to more than 42.8 million by 2011. This trend has resulted in soaring demand for fitness activities, and industry operators have capitalized on this growth by expanding establishments in both size and number.However, the industry has not been recession-proof. In 2008 and 2009, demand for gyms and health clubs weakened as consumers cut back on discretionary spending. But compared with other industries, the Gym, Health and Fitness Clubs industry has remained remarkably resilient, as increased leisure time and boosts in health and morale from exercise have kept the industry highly competitive. Gyms and health clubs have broadened their markets and are offering value to gym-goers in a bid to retain membership numbers throughout the recession’s aftermath. The downturn has also favored the growth of small-budget gyms with fewer amenities over more expensive, all-inclusive clubs. In fact, many smaller operators have expanded over the past two years despite the economic climate. Overall, industry revenue is expected to grow at an average annualized rate of 1.7% to $24.8 billion over the five years to 2011, including growth of 2.3% in 2011.According to IBISWorld analyst, Mary Gotaas, over the next five years, the industry will benefit from increased youth and baby boomer memberships. “Revenue will expand at an average annualized rate of 2.6% to $28.2 billion over the five years to 2016,” says Gotaas. “Firms will profit from growing interest in staying fit, and the industry will transition toward larger and all-inclusive clubs.” With total health club memberships expected to reach 47.5 million in 2016, players will capitalize on this growth and provide members with additional services in a bid to increase registration and retention rates.Due to the fragmented nature of the Gym, Health and Fitness Clubs industry, no players hold a market share larger than 5.0%. IBISWorld’s latest report findings discusses major players like 24 Hour Fitness Worldwide Inc., Life Time Fitness, Bally Total Fitness Holding Corporation, Curves International Inc., Town Sports International Holdings Inc., and Gold’s Gym International Inc., a chain with more than 600 facilities in 40 US states and 30 countries.
Survival of the fittest
Even in the midst of the economic downturn, the industry has maintained steady growth, with membership rates growing consistently and profit remaining solid. Demand for gyms and health and fitness clubs will continue to rise over the next five years, as the general public becomes more health-conscious and the aging population places a greater emphasis on staying fit. Additionally, the amount of leisure time and growth in household incomes will positively affect businesses, leading operators to expand into larger facilities.In-depth industry market research presented in a logical and consistent format. Including pages of insights covering industry conditions, key statistics, competitor analysis and market share, product and customer segmentation and a 5 year forecast. Gym membership numbers have increased considerably over the past 10 years, rising from 36.3 million in 2002 to more than 42.8 million by 2011
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189
Health Club News: …. Brought to you by courtesy of http://fitnesslifemarketing.com/

Gym Operator to Invest $20M in San Diego Fitness Clubs
24 Hour Fitness will make an investment of more than $20 million in its facilities in San Diego, Calif. within the next 24 months. This will be one of the most substantial market investments the firm has made over the past five years. 24 Hour Fitness operates more than 30 clubs in out of 420 clubs nationwide.
The investment program will involve relocations and upgrades to the clubs in Balboa, at University Towne Center and at Westfield Plaza Camino Real.
The Balboa club will relocate from its current location at 7620 Balboa Avenue into a former Albertson’s space at Vista Balboa Center in Kearny Mesa. The new club will feature more than 65,000 square feet of workout space, a full-sized basketball court and an indoor lap pool, among other amenities. The club at 4405 La Jolla Village Drive will move to a new space within Westfield University Towne Center. It will contain more than 45,000 square feet and feature a full-sized basketball court. The club in Carlsbad will relocate from 2213 South El Camino Real to a former Robinsons May space in Oceanside. The club will contain more than 56,000 square feet of space and will feature a full-sized basketball court, a four-lane lap pool, a whirlpool and an extensive outdoor aquatic area, among other things.
“Expansion is always exciting for our company, but even more so today because we have such deep ties to the residents of San Diego, many of whom have been members for more than 20 years,” said Jim McPhail, executive vice president of real estate and chief development officer with 24 Hour Fitness in a statement. “We’re confident these relocations and upgrades will greatly improve our members’ club experience, while also continuing to provide them with the access, convenience and value they’ve come to expect from 24 Hour Fitness.”

Gym Operator to Invest $20M in San Diego Fitness Clubs
24 Hour Fitness will make an investment of more than $20 million in its facilities in San Diego, Calif. within the next 24 months. This will be one of the most substantial market investments the firm has made over the past five years. 24 Hour Fitness operates more than 30 clubs in out of 420 clubs nationwide.
The investment program will involve relocations and upgrades to the clubs in Balboa, at University Towne Center and at Westfield Plaza Camino Real.
The Balboa club will relocate from its current location at 7620 Balboa Avenue into a former Albertson’s space at Vista Balboa Center in Kearny Mesa. The new club will feature more than 65,000 square feet of workout space, a full-sized basketball court and an indoor lap pool, among other amenities. The club at 4405 La Jolla Village Drive will move to a new space within Westfield University Towne Center. It will contain more than 45,000 square feet and feature a full-sized basketball court. The club in Carlsbad will relocate from 2213 South El Camino Real to a former Robinsons May space in Oceanside. The club will contain more than 56,000 square feet of space and will feature a full-sized basketball court, a four-lane lap pool, a whirlpool and an extensive outdoor aquatic area, among other things.
“Expansion is always exciting for our company, but even more so today because we have such deep ties to the residents of San Diego, many of whom have been members for more than 20 years,” said Jim McPhail, executive vice president of real estate and chief development officer with 24 Hour Fitness in a statement. “We’re confident these relocations and upgrades will greatly improve our members’ club experience, while also continuing to provide them with the access, convenience and value they’ve come to expect from 24 Hour Fitness.”
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