Health and Fitness Clubs - UK - July 2017

OVERVIEW
What you need to know
Products covered in this Report
EXECUTIVE SUMMARY
The market
Health and fitness club market set for continued growth
Figure 1: Value of the UK private health and fitness club market, 2012-22
Member numbers rise alongside site numbers
Figure 2: Volume of the UK private health and fitness club market, 2012-22
Companies and brands
PureGym dominates
Figure 3: Leading private health and fitness club operators, by number of sites, June 2017
The consumer
Usage is stable and indicates retention is improving
Figure 4: Trends in use of health and fitness clubs, April 2014 - May 2017
What we think
ISSUES AND INSIGHTS
How can gym operators use technology to increase member retention rates?
The facts
The implications
How can gym operators use technology to increase member and staff interaction?
The facts
The implications
THE MARKET – WHAT YOU NEED TO KNOW
Health and Fitness club market set for continued growth
Additional services highlight new opportunities
Continued focus on health and fitness
Increased access to health and fitness
Drop in consumer confidence may hit gyms
Technological developments
Doing more to understand data
MARKET SIZE AND FORECAST
Health and fitness club market set for continued growth
Figure 5: Value of the UK private health and fitness club market, 2012-22
Forecast
Figure 6: Value of the UK private health and fitness club market, 2012-22
Member numbers rise alongside site numbers
Figure 7: Volume of the UK private health and fitness club market, 2012-22
Forecast
Figure 8: Volume of the UK private health and fitness club market, 2012-22
Forecast methodology
MARKET SEGMENTATION
Additional services highlight new opportunities
Figure 9: Consumer spending in private health and fitness clubs, 2014-2017
MARKET DRIVERS
Continued focus on health and fitness
Increased access to health and fitness
Big names move into fitness space
Drop in consumer confidence may hit gyms
Technological developments
Doing more to understand data
COMPANIES AND BRANDS – WHAT YOU NEED TO KNOW
PureGym continues to dominate market…
…with one million members in sight
More mergers and acquisitions shake up market
Boutiques expanding
Immersive fitness evolution
Digital negates the need for humans…
…and increases connectivity
The merging of food and fitness
David Lloyd invests most on ATL ad spend
MARKET SHARE
PureGym continues to dominate market…
Figure 10: Leading private health and fitness club operators, by number of sites, June 2017
…with one million members in site
Figure 11: Leading private health and fitness operators, by estimated membership numbers, June 2017
More mergers and acquisitions shake up market
LAUNCH ACTIVITY AND INNOVATION
Boutiques expanding
Immersive fitness evolution
Digital negates the need for humans…
…and increases connectivity
Fitness is popping up everywhere
The merging of food and fitness
Rewarding exercise
Mental health and sleep gaining more focus
ADVERTISING AND MARKETING ACTIVITY
David Lloyd invests most in ATL ad spend
Figure 12: Total above-the line, online display and direct mail advertising expenditure of top 10 health and fitness club advertisers, 2013-16
Nielsen Ad Intel coverage
THE CONSUMER – WHAT YOU NEED TO KNOW
Usage is stable and indicates retention is improving
Anytime Fitness most used but Fitness First most considered
Annual contracts remain most common but increase in pay as you go
High membership fees the greatest barrier to gym usage
Membership with inclusive classes most popular
Virtual reality classes most appealing to males
Operators under threat from new ways of keeping fit
Move online or miss out
Keep up with technology or lose members
Nutritional advice and diet planning appeals most to young women
Additional services still win over stripped back facilities
HEALTH AND FITNESS CLUB USAGE
Usage is stable and indicates retention is improving
Figure 13: Trends in use of health and fitness clubs, April 2014-May 2017
Figure 14: Trends in use of health and fitness clubs, April 2014-May 2017
Tackling gym rejectors
Treat experienced users and newbies accordingly
Figure 15: Attitudes towards health and fitness clubs, by experienced and non-experienced gym users, May 2017
HEALTH AND FITNESS CLUB BRAND USAGE AND CONSIDERATION
Anytime Fitness most used but Fitness First most considered
Figure 16: Use and consideration of health and fitness clubs in gym users and considerers, by brand, May 2017
Multiple demographic influences on gym use and consideration
Figure 17: Health and Fitness Club consideration in Gym Considerers, by brand, May 2017
PAYMENT METHODS
Annual contracts remain most common but increase in pay as you go
Figure 18: Methods of payment for use of health and fitness clubs, May 2017
A monthly membership fee with no contract is preferred
Figure 19: Preference for membership type, May 2017
BARRIERS TO HEALTH AND FITNESS CLUB USAGE
High membership fees the greatest barrier to gym usage
Figure 20: Barriers to health and fitness club usage, May 2017
Females more put off by costs while men prefer outdoor activities and sports
A lack of interest in fitness the single biggest barrier
Figure 21: Reasons for not using a health and fitness club by number of reasons given, May 2017
CLASS PREFERENCES
Membership with inclusive classes most popular
Females prefer a familiar class timetable
Class types need to cater to all tastes
Figure 22: Preference for class payment method, class choice and class type, May 2017
ATTITUDES TOWARDS DEVELOPMENTS IN THE HEALTH AND FITNESS INDUSTRY
Virtual reality classes most appealing to males
Traditional gyms could be under threat from new ways of keeping fit
Figure 23: Attitudes towards developments in the health and fitness club sector, May 2017
ONLINE SERVICES AND CAPABILITIES
Operators need to be moving online
Figure 24: Online preferences for joining and class bookings, May 2017
Users want to manage their membership online
Figure 25: Attitude towards online membership management, May 2017
THE ROLE OF TECHNOLOGY AND MEDIA IN HEALTH AND FITNESS
Wi-Fi is a must for health and fitness clubs
Keep up with technology or lose members
Sports on TV appeals to young males
Figure 26: Attitudes towards technology and media in health and fitness clubs, May 2017
Exercise users spend less time watching TV
Figure 27: TV viewing and exercise behaviour, May 2017
ADDITIONAL ADVICE AND SERVICES 
Nutritional advice and diet planning appeals most to young women
Figure 28: Gym experience classification and preference for additional advice, May 2017
Additional services still win over stripped back facilities
Figure 29: Preference for additional facilities and services, May 2017
APPENDIX – DATA SOURCES, ABBREVIATIONS AND SUPPORTING INFORMATION
Abbreviations
Consumer research methodology
APPENDIX – MARKET SIZE AND FORECAST
Market value
Figure 30: Forecast of consumer expenditure on private health and fitness clubs, 2017-22
Market volume
Figure 31: Forecast of private health and fitness club user numbers, 2017-22
Forecast methodology