The document discusses key consumer and business trends in the fitness industry and what JCCs can do to adapt. It identifies trends in technology, changing consumer preferences, and globalization that are transforming business models. The slides recommend that JCCs embrace these changes rather than fearing them, and highlight opportunities to engage millennials and leverage tools like health apps and geodemographic profiles to attract new types of members.
2013 EHFA International Standards Meeting November 2013Bryan K. O'Rourke
This presentation was made at the European Health and Fitness International Standards Meeting in November of 2013. The content shares a view that health and fitness has entered a new era requiring the industry and leadership to see the world through the lense of the present day future and not the past. The #NewEra is here and we should embrace to be successful and make a difference.
European Health and Fitness Market Study 2016 presented by Karsten Hollasch, Deloitte.
Fitness strengthens its position as the #1 European sports activity – over 52 million members in Europe in 2015
• European health and fitness club memberships grew by 3.9% to 52.4 million in 2015 versus 2014
• Total fitness club revenues increased by 4.9% to €26.7 billion in 2015 versus 2014
• The top 30 European fitness operators account for approximately 11 million members, representing 20.9% of all memberships
• The top 10 operators increased revenues by 4.2% to €2.8 billion, representing 10.3% of the total European market
• Merger and acquisition activity remained high in 2015 with 19 transactions, including the first European fitness IPO in 13 years
2016 FIT-C Fitness Industry Technology Trend Report Bryan K. O'Rourke
The Fitness Industry Technology Council Shares Its Annual Report On Key Trends Impacting The Fitness Industry As They Pertain To Technology. Please Join Us At www.fittechcouncil.org.
Technologies Impact On The Fitness Industry - Bryan O'RourkeBryan K. O'Rourke
This content on the impact of technology on the fitness industry was presented at the 2011 Orlando, Florida Athletic Business Convention by Bryan O'Rourke. It addresses key trends that will create a new future for the fitness business.
Technology and the Future of Fitness | Fitlife Club Network 2011 Bryan K. O'Rourke
Presented at the 2011 summer conference in Bend, Oregon for the FitLife Club Network, this presentation provides a view to the future of the health club and fitness industries.
VIPR 2013 Conference In Miami Florida - Fitness TrendsBryan K. O'Rourke
This conference was presented at the 2013 ViPR global distributor conference in Miami. The information addresses key change drivers in the fitness industry in the context of ViPR and other product and services.
2013 EHFA International Standards Meeting November 2013Bryan K. O'Rourke
This presentation was made at the European Health and Fitness International Standards Meeting in November of 2013. The content shares a view that health and fitness has entered a new era requiring the industry and leadership to see the world through the lense of the present day future and not the past. The #NewEra is here and we should embrace to be successful and make a difference.
European Health and Fitness Market Study 2016 presented by Karsten Hollasch, Deloitte.
Fitness strengthens its position as the #1 European sports activity – over 52 million members in Europe in 2015
• European health and fitness club memberships grew by 3.9% to 52.4 million in 2015 versus 2014
• Total fitness club revenues increased by 4.9% to €26.7 billion in 2015 versus 2014
• The top 30 European fitness operators account for approximately 11 million members, representing 20.9% of all memberships
• The top 10 operators increased revenues by 4.2% to €2.8 billion, representing 10.3% of the total European market
• Merger and acquisition activity remained high in 2015 with 19 transactions, including the first European fitness IPO in 13 years
2016 FIT-C Fitness Industry Technology Trend Report Bryan K. O'Rourke
The Fitness Industry Technology Council Shares Its Annual Report On Key Trends Impacting The Fitness Industry As They Pertain To Technology. Please Join Us At www.fittechcouncil.org.
Technologies Impact On The Fitness Industry - Bryan O'RourkeBryan K. O'Rourke
This content on the impact of technology on the fitness industry was presented at the 2011 Orlando, Florida Athletic Business Convention by Bryan O'Rourke. It addresses key trends that will create a new future for the fitness business.
Technology and the Future of Fitness | Fitlife Club Network 2011 Bryan K. O'Rourke
Presented at the 2011 summer conference in Bend, Oregon for the FitLife Club Network, this presentation provides a view to the future of the health club and fitness industries.
VIPR 2013 Conference In Miami Florida - Fitness TrendsBryan K. O'Rourke
This conference was presented at the 2013 ViPR global distributor conference in Miami. The information addresses key change drivers in the fitness industry in the context of ViPR and other product and services.
Technologies Impact On The Future Of Fitness - FILEX 2011Bryan K. O'Rourke
Bryan O'Rourke shared this presentation at FILEX 2011 in Sydney, Australia on the impact technology will and is having on the fitness and health club industry. To learn more visit bryankorourke.com .
iDirect is the confluence of digital and direct marketing. It is interactive, information-driven, insightful, innovative and iterative. This presentation highlights the imperative for iDirect and its 4 fundamental tenets.
Social Media for the Confectionery IndustryPete Healy
How candy companies can use social media to build business, from New Product Development to retail merchandising. Presented at the 65th annual PCMA Industry Conference, April 2011.
Sample of the 2016 edition of the Megatrend Fact Sheets. The full document will save you hours of research time, and will help you to:
- prepare your team for long-term planning sessions;
- understand the long-term challenges for your business and industry;
- discover new opportunities and innovative ideas;
- engage in meaningful discussions with your clients and partners.
People are the Media (DDB Edmonton Edition)Eric Weaver
EDMONTON, AB, CANADA - April 28, 2010 - This is a revised edition of the keynote I gave at the Microsoft Social Media 201 Conference, with updates for DDB Edmonton clients.
AUDIENCE: Marketers, advertisers, brand managers
OPPORTUNITY: To rethink traditional approaches to marketing to leverage both traditional AND social means, to create engagement, influence and activation, rather than mere "awareness" or conversation.
"The Total Impossibility of Customer Experience Management." Abridged version of Tim Walters' 115 slide keynote presentation at the JBoye15 conference, 5 November 2015 in Aarhus, Denmark.
The Total Impossibility of Customer Experience Management (CEM)Digital Clarity Group
Today, we’re told, customer experience management (CEM) is an inescapable imperative, the primary determinant of organizational success or failure, and the sole means of sustainable competitive advantage. The experience, moreover, concerns the entire customer lifecycle, from the first inkling of a desire until (hopefully) ongoing loyalty. And since “you’re only as good as your last interaction,” no exchange can be neglected, no matter how trivial.
There’s only one minor problem: Based on how it is normally defined and described, customer experience management is impossible. Because it is impossible, many if not most of the current efforts to achieve it are futile and, worse, dangerous and wasteful distractions. In this presentation we’ll look at why it’s crucial to understand what CEM is and is not (and cannot be); where the imperative for CEM comes from, why this can and should inform your CEM strategy, and how your early, relatively simple steps can already be a huge advance in the journey to CEM excellence.
Today, we’re told, customer experience management (CEM) is an inescapable imperative, the primary determinant of organizational success or failure, and the sole means of sustainable competitive advantage. The experience, moreover, concerns the entire customer lifecycle, from the first inkling of a desire until (hopefully) ongoing loyalty. And since “you’re only as good as your last interaction,” no exchange can be neglected, no matter how trivial.
There’s only one minor problem: Based on how it is normally defined and described, customer experience management is impossible. Because it is impossible, many if not most of the current efforts to achieve it are futile and, worse, dangerous and wasteful distractions. In this presentation we’ll look at why it’s crucial to understand what CEM is and is not (and cannot be); where the imperative for CEM comes from, why this can and should inform your CEM strategy, and how your early, relatively simple steps can already be a huge advance in the journey to CEM excellence.
The Fitness Trend Report on NEWISM for 2013 and BeyondBryan K. O'Rourke
What is new is hot in the fitness business. Six drivers are making NEWISM an important trend in the fitness industry and major brands are taking advantage of it. From Fresh Fitness to Les Mills, the industry is being reshaped and NEWISM is a big part of it.
AI And User Experience In Fitness FITC Webinar 2023Bryan K. O'Rourke
Bryan O'Rourke and Ian Houghton from Shosabi share insights on the impact of AI on User Experience in the Fitness space. The presentation recording can be found on Bryan's Fitness + Technology Podcast as well and addresses examples of AI tools and the impact this is having on UX for the fitness industry. From Netflix to Wexer and from Uber to Amazon, AI is already impacting our user experience. In health clubs, gyms and other fitness facilities this impact will continue to evolve in the years ahead as AI serves to address the keys to great UX including hyper-personalization as well as addressing the means to execute great UX.
Bryan O'Rourke outlines what is next for the future of fitness at the 2023 IHRSA Convention. From trends in consumers and technology to AI and demographics. Bryan O'Rourke touches on the key drivers of the future of fitness and health.
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Today, we’re told, customer experience management (CEM) is an inescapable imperative, the primary determinant of organizational success or failure, and the sole means of sustainable competitive advantage. The experience, moreover, concerns the entire customer lifecycle, from the first inkling of a desire until (hopefully) ongoing loyalty. And since “you’re only as good as your last interaction,” no exchange can be neglected, no matter how trivial.
There’s only one minor problem: Based on how it is normally defined and described, customer experience management is impossible. Because it is impossible, many if not most of the current efforts to achieve it are futile and, worse, dangerous and wasteful distractions. In this presentation we’ll look at why it’s crucial to understand what CEM is and is not (and cannot be); where the imperative for CEM comes from, why this can and should inform your CEM strategy, and how your early, relatively simple steps can already be a huge advance in the journey to CEM excellence.
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There’s only one minor problem: Based on how it is normally defined and described, customer experience management is impossible. Because it is impossible, many if not most of the current efforts to achieve it are futile and, worse, dangerous and wasteful distractions. In this presentation we’ll look at why it’s crucial to understand what CEM is and is not (and cannot be); where the imperative for CEM comes from, why this can and should inform your CEM strategy, and how your early, relatively simple steps can already be a huge advance in the journey to CEM excellence.
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JCC 2012 Biennial - How The Fitness Industry Is Changing And What To Do About It
1. JCC Biennial 2012
Bryan K. O’Rourke
bryankorourke.com
Key Consumer & Business Trends
How The Fitness Industry Is Changing And
What JCC’s Can And Should Do About It JCC Bienial 2012 - New Orleans, LA 1
5. 1
Trends = Change
st
change across all industries How is the World
JCC’s Are No Exception To The Change
Changing ?
the change is not cyclical its fundamental
5
4
33. 5
4
Gamification
“Nearly 62 million US internet users,
or 27% of the online audience, will
play at least one game on a social
network monthly this year, up from
53 million in 2010. Their numbers
will continue to grow”
33
40. 2. Human http://www.slideshare.net/Bryankorourke/
“83% of US
consumers want
products, services
and retailers to
support more
causes.”
CONSUMER TRENDS
Generation G - Insights
41. 3. City Lights
CONSUMER TRENDS
http://www.slideshare.net/Bryankorourke/ 41
61. Emerging Consumer Factors - Michael Silverstein
Treasure Hunt - Inside the Mind of the New Consumer
C o m p a n i e s w i l l t h ri v e ,
Silverstein a rgues, by
catering to the penny-
pinching impulses of
consumers, or by "spanning
the poles" and appealing to
both the high and low ends
while avoiding anything else-
there's only "death in the
middle."
56
62. Emerging Consumer Factors
Health club consumer & PRIZM profiles
IHRSA’s completes a nationwide survey of U.S. households. A total of 15,013 individual and 26,487
household surveys were completed to create reliable profiles of members including PRIZM
segmentation.
PRIZM means “Potential
Rating Index for Zip
Marketers”
Health Club Consumer Report
57
63. Emerging Consumer Factors
Health club consumer & PRIZM profiles
Report Includes:
•Trends in Club Membership
•Attendance
•Activity Participation
•Member Profiles
•Typical Consumers
•Profiles By Club
•Profiles By Activity
•Club Fees
•Cluster Analysis
•PRIZM Profiles
Health Club Consumer Report
58
64. Emerging Consumer Factors
Health club consumer & PRIZM profiles
•PRIZM is a geodemographic profiling
system developed by Claritas. Each PRIZM
divides the U.S. consumer into 14 different
groups and 66 different segments. As the
classification is household based, we can
compare different areas according to the
likelihood of joining a health club. For
example, the highest indexed PRIZM
segment is “Blue Blood Estates,” so we can
target “Blue Blood Estates” households
within the health club’s immediate vicinity to
recruit likely members.
•PRIZM analysis is more valuable than
generic demographic data and provides
more meaningful insights into membership
profiles.
59
67. Emerging Consumer Factors
Share of Current US Health Club Market
Urban Uptown Elite Suburbs
Affluentials Landed Gentry
Country Comfort Middleburbs
All Eight Others
11%
33%
13%
6 of 14 Segments
10%
Represent 67%
7% of the Market
14%
11%
Health Club Consumer Report 62
68. Emerging Consumer Factors
Share of current US health club market
Penetration Rates = 17% Overall
0.5000
42%
Combined 6 of 14 Segments
0.3750
Represent 67% of the Market
0.2500
25% 25%
23%
21%
16%
0.1250
11%
0
Urban Uptown Elite Suburbs Affluentials Landed Gentry Country Comfort Middleburbs All Eight Others
Health Club Consumer Report
63
69. Emerging Consumer Factors“Price” is main
objection or “perception of value”
Too expensive 61
Exercise elsewhere 52
Feel out of place 18
No available club 13
Don't exercise 16
Too crowded 12
Don’t know anybody 12
0 18 35 53 70
Health Club Consumer Report 64
70. Emerging Consumer Factors - Existing Customers
Report ID’s 5 key clusters
Predominantly Male:
Focus on strength & resistance - 84% Male
Mixed Low Use:
59% use club less than 1 time a week - Less affluent
25% non-members - Even male female mix
Predominantly 50+:
Slightly more female - most affluent - 60% over 50 years of age
Super Avid Hi Spend User:
67% female - Highest participation especially group exercise
Female Low Spend:
80% female - 67% participate in group exercise
65
71. Emerging Economic Factors
Mixed low usage largest share of
members
11%
18% Male Strength
7% Mixed Low Usage
50+ Group
Super Avid High Spend
Female Low Spend
22%
42%
largest group of existing consumers
least affluent and least participative
66
72. Emerging Consumer Factors - Markets Maturing
Acquisition focus alone - avoid this space
40% quit
in 30 days
67
73. Emerging Economic FactorsWhat are
customers telling us ?
24% Left the Industry
50000
46,668 45,570
37500
25000
12500
10,268
0
-11,386
-12500
-25000
Total 2007 New 2008 Left 2008 Total 2008
Health Club Consumer Report
73
74. Emerging Economic Factors
National growth has stalled for several years now
Stagnant
2009 $19.9 Billion
2009 45.3 Million Members
2008 $19.1 Billion
2008 45.5 Million Members
Related to economic factors
Limited supply increase
Restricted financial
environment
Profiles of Success 72
75. Emerging Consumer Factors - Michael Silverstein
Treasure Hunt - Inside the Mind of the New Consumer
The “New Consumer” Seen in All Industries.
Important to Understand “Value”
68
76. Our Digital Culture
Alternative fitness options - digital technologies
Consumers are getting accustomed to the
“long tail” affect - anytime, anyplace, anywhere.
Estimate 2 million in US utilize some type.
69
77. Emerging Consumer Factors
Prevention - monetizing wellness
The emerging health care mess is creating new customer needs
to reduce costs of traditional care via prevention
70
78. Emerging Consumer Factors
Consumer’s don’t trust advertising
The Days of Traditional “Sales” and “Marketing”
in Health Clubs is Coming to An End
71
79. Michael Silverstein
Treasure Hunt - Market “Bifurcation”
“I have seen that
consumers will always
trade down and buy the
cheapest product in a
category if suppliers fail
to deliver a stream of
innovation a nd build
loyalty based on product
superiority.”
74
80. Business Models & Trends - Core Economics
Average membership dues flat since 1980
2009 Profiles of Success
Today = $49.95
1980 = About $40.00
75
81. Business Models & Trends - Core Economics
Average membership dues fairly flat since 1980
Car Today = $28,400 | Car 1980 = $7,210
76
82. Business Models & Trends - Core Economics
Development & operating costs nearly
quadrupled since 1980
77
83. Business Models & Trends - Core Economics
ROI in the “average” model under pressure
What drives growth in any industry are ROI’s
that sustain growth and attract capital
The “average” is feeling most pressure
this is driving “bifurcation trend”
78
84. Business Models & Trends - Core Economics
Economics has driven discounting for certain brands
capacity strategy = asset turnover focus
79
85. Business Models and Trends - Competitive Landscape
Bifurcation of the market - Ray Algar Model
http://www.oxygen-consulting.co.uk/
80
86. Prevalent Business Models & Trends - Emerging
Ray Algar - UK Budget Market
http://www.oxygen-consulting.co.uk/
81
87. Business Models and Trends - Competitive Landscape
Bifurcation of the market - Ray Algar Model
http://www.oxygen-consulting.co.uk/
82
92. Prevalent Business Models & Trends - Emerging
On line retail continues surge - fitness models follow
"People are just shifting their dollars to the
Web," said Sucharita Mulpuru, vice president
and principal analyst for Forrester Research
Inc. Online retail sales will grow 10% a year for
the next five years, accounting for 53% of all
U.S. retail sales by 2014, according to Forrester
Research.
87
93. Prevalent Business Models & Trends
Wellness Model - potential to dwarf extant fitness
•Huge $2.7 Trillion Opportunity
•Health care spending is
unsustainable.
•Prevention as a strategic position
for employers and ultimately
governments is inevitable.
•Key is outcomes and integration.
88
94. Prevalent Business Models & Trends
Growth - new emerging niches and models
requiring new ways of doing things....
89
95. What are you going
to do about it ?
#3 Evaluate Your
Competitive Position
Think Strategically 90
96. What are you going to do about it ?
http://www.slideshare.net/Bryankorourke 90
97. 3 Evaluating Your
Competitive Position
•SWOT
•Internal - capabilities and
resources
•External - market
opportunities and threats
91
98. Evaluating Your Competitive Position
Conduct a SWOT analysis of your club business
Internal Review:
•Current position
•KPI’S - member execution
•What is your niche?
•What is your technology
platform ?
•How are you marketing ?
92
99. Evaluating Your Competitive Position - Internal SWOT
What is your niche ? How do you differentiate ?
•Price
•Features
•Competitive abilities
•Wellness Option
93
100. Evaluating Your Competitive Position - Internal
SWOTCompare numbers to industry figures -
benchmark
Profiles of Success
94
101. Evaluating Your Competitive Position - Internal SWOT
What is your technology platform ?
Technology Platform:
•CRM or just billing ?
•Cloud based ?
•Web site integrated ?
•Mobility ?
95
102. Evaluating Your Competitive Position - Internal SWOT
Technology Platform & Customer Experience
A big opportunity is leveraging the strength of
tradition into the future
95
104. Evaluating Your Competitive Position - Internal SWOT
How do you market ? Social media !
The “NEW” Marketing:
•Social media strategy ?
•What is your spend ?
•Campaign effectiveness ?
•Google Grants !!!!!
97
105. Evaluating Your Competitive Position
Conduct a SWOT analysis of your club business
External Review:
•Calculate Demand
•Calculate Supply
•Evaluate Pricing
•Review Existing Members
98
106. Evaluating Your Competitive Position - External SWOT
Determine Demand - www.sitereports.com
Eliminate your “gut” - quantify !
99
107. Evaluating Your Competitive Position - External SWOT
Market assessment drive time - www.sitereports.com
Drive Times
Run 10 minutes
Might want to adjust
101
109. Evaluating Your Competitive Position - External SWOT
Estimate Market Demand - Use IHRSA research !
Fictional Trade Area
Households
Estimated
Urban % of HH National % IHRSA % 2009 Households HH Demand
U1 - Urban Uptown 6.81% 8.30% 25.10% 7,000 1,757
U2 - Midtown Mix 21.37% 4.33% 16.90% 5,000 845
U3 - Urban Cores 25.46% 4.96% 7.10% 3,000 213
Total Urbans 53.64% 4.96% 17.40% 15,000 2,610
2nd City
Use the IHRSA Consumer C1 - 2nd City Society 6.24% 4.63% 30.10% 15,000 4,515
C2 - 2nd City Centers 7.04% 7.85% 11.70% 7,000 819
Report to calculate estimated C3 - Micro City Blues 4.16% 6.64% 9.00% 3,000 270
demand Total Second City 17.44% 19.12% 15.59% 25,000 3,898
Suburbs
This provides you a good S1 - Elites 2.60% 5.21% 41.70% 8,000 3,336
estimate for your market S2 - Affluentials
S3 - Middleburbs
6.86% 7.71% 23.20% 7,000 1,624
7.23% 6.15% 20.70% 4,000 828
potential S4 - Inner Suburbs 12.21% 4.53% 8.50% 2,000 170
Total Suburbs 28.90% 23.60% 32.76% 21,000 6,880
Total Estimated Market 13,387
103
110. Evaluating Your Competitive Position - External SWOT
Estimate Market Supply - Under-serviced ? Change ?
Shop the Competition
Web Research
Estimate Memberships
Evaluate Offering
Demand = 13,387
Supply = 5,075
GROWTH POTENTIAL !
Brand Location Estimated HH Percentage of Adjusted Trade Estimated
Trade Share
24 Hour ABC Drive 2,645 50.00% 1,323 26.06%
Anytime Sierra Lane 820 75.00% 615 12.12%
Anytime Veterans Blvd 735 50.00% 368 7.24%
Snap Fitness Jone Road 640 50.00% 320 6.31%
Bally’s Laredo Ave 1,300 50.00% 650 12.81%
Jane’s PT Studio MPT 300 100.00% 300 5.91%
Your Club Your Club 1,500 100.00% 1,500 29.56%
Total Total 5,075
104
111. Evaluating Your Competitive Position - Internal SWOT
Who are your existing members ? PRIZM
Membership Mix by Psychographic Segments
by uploading household addresses
U! Urban Uptown 170
U2 Midtown Mix 80
U3 Urban Cores 75
S! Elite Suburbs 497
S2 Affluentials 249
S3 Middleburbs 107
S4 Inner Suburbs 104
C1 Second City 397
C2 City Centers 127
C3 Micro-City Blues 25
T1 Landed Gentry 80
T2 Country Comfort 12
T3 Middle America 8
T4 Rustic Living 6
0 125 250 375 500
105
113. 4 Plan Your Course
of Action
•Develop Your Plan
•Resource & Execute
108
114. Plan Your Course of Action
SWOT gives many answers If you decide to reposition
doing it and executing it is
SWOT Delivers This hardest
109
115. Plan Your Course of Action - Where do you want to be ?
What must you add or take away ? Analyze ROI
•Proforma
•Capital
•Realignment
•Expertise
110
116. Plan Your Course of Action R=G - Prahalad
Orchestration = Franchise Model
There are a large number of
experts, products, services and
solutions from vendors able to
support and advise
you on your fitness business.
“Executives are constrained not by
resources, but by their imagination.”
-CK Prahalad, Ph.D.
111
117. Plan Your Course of Action Seek guidance from
experienced professionals
112
118. Recap - What to Do About Change
Evaluate Your Competitive Position:
•Use SWOT approach
•Use JCC, RMA, FDD, SEC and other resources to benchmark
•Evaluate your current market offering including pricing, features, service
•Assess your technology platform - customer facing & integrated
•Assess marketing practices - spend, return and the “new” methods
•Calculate market demand in trade area using PRIZM
•Calculate market supply in trade area
•Evaluate current base of membership and changes
•Think strategically
Plan & Act:
•SWOT generates road map
•Conduct in-depth proforma analysis
•Prioritize actions - do nothing or reposition
•SEEK HELP - JCC, global vendor pool, expertise
•Implement and execute
JCC’s Hold Great Promise
113
85