Fitness Industry Update: Pandemic Edition
COVID-19 has been a disruption that has and will continue to dramatically affect the fitness industry. While the overwhelming majority of the workout studios, physical trainers, and gym enterprises have suffered profoundly, a select few’s businesses have been BOOMING. Which players have actually seen growth rather than ruin, and why!?
Some states have begun the process of reopening non-essential businesses, and others are soon to follow suit. This will mean many of the gyms and boutique studios which were forced to close in March will now begin to open their doors and resume classes. But will enough members and clients return under the circumstances and without a vaccine? In a recent survey conducted by ClassPass, ⅔ of respondents indicated that although it would depend upon class capacity and cleaning routines, they would be likely to visit their gyms within a month of their reopening. ClassPass’s data also revealed that out of 300 fitness studios surveyed, 31% aim to try out outdoor class models and close to 50% were planning on capping their class sizes at 50% of original capacity.
So, What exactly has happened since the industry was uprooted in March?
More on Classpass..
ClassPass has been making MOVES, with 50,000 live streams available per week (some free, some up to $20/class.)While pre-pandemic, the majority of ClassPass members took classes at locations near their homes, more than 50% of subscribers have participated in classes hosted by studios based in different cities across the U.S.
Equinox and Variis
The gym chain, which happens to own brands such as SoulCycle and PureYoga, launched Variis as “a world of unlimited fitness”, and an app which allows clients to stream video and audio content from the named brands. Offering spinning, yoga, running, and meditation, this acts as a competitor to Peloton.
Free Classes
IG LIVE and studios offering free trials have been a great way to engage in classes without having to dish out disposable income. Studios are desperately trying to maintain their customer bases, sometimes by using free classes as a way to solicit new subscribers. However, as much as we may appreciate them, this leads to various consequences for the industry. Free classes are a great way to find free stress relief, BUT, not so great for the studios struggling to stay afloat without enough customers and sales.
Layoffs
Like too many other industries, layoffs have been ubiquitous. Popular pilates studio Solidcore, let go of 98% of its employees in Mid March.
Partnerships
A win-win relationship has blossomed between instagram influencers, celebrities, and personal fitness trainers. The influencer and their followers get a free workout class, and the trainer gets exposure to new clients. Vanessa Hudgens, who had received widespread backlash for insensitive comments about Coronavirus in March, teamed up/went live with @issacboots on instagram, raising money for No Kid Hungry. (Good move V, good move)
Home Equipment Sales
As soon as more and more people caught on to the fact it may be a while before they get to return to their YMCA or Equinox’s treadmill and squat rack (which who would’ve thought, we we’d eventually come to… miss…?) Amazon’s online fitness equipment essentially sold out. The demand for at home dumbbells, mats, and ankle weights skyrocketed, and could not be met quickly enough. Even before the majority of formal lockdowns took place, sales of such equipment rose 55% throughout January and March.
Industry experts say that logically, small studios have been the hardest hit, and many are likely not to survive through the Pandemic.
so, Who ISN’T suffering?
Mirror, a home exercise system, which offers “every type of workout”, 10,000+ on demand classes and 70+ weekly live classes, 1:1 personal training, and claimed “world-class instructors”, seems like the perfect quarantine solution to fitness. However, priced at $1495, it’s definitely not the most accessible. According to founder Bryan Putnam, Mirror has seen “a fivefold increase in exercise frequency relative to years past over the previous several months.”
Peloton, with its popular home spinning bike and live stream classes, has seen a dramatic increase in sales and a 66% increase in revenue during its fiscal third quarter.
P.volve, which offers subscribers live and on-demand videos and customizable training and nutrition programs has had to shut down in person-studios, but done well online due to their relatively low-noise/impact classes offered.
Certain Individuals/Trainers, Melissa Wood Health, creator of the MWHmethod™ and fitness influencer, has seen an increase in her base of followers and subscribers throughout quarantine. According to Forbes, Wood saw a 48.7% increase on her online platform for exercise training during the month of March.
*Data gathered from Forbes* (https://www.forbes.com/sites/yolarobert1/2020/04/29/is-the-online-fitness-boom-here-to-stay/#2d0e68287080)
What is the “new normal” for gyms and studios? What standards should we expect to see?
Cleaning: Gyms will likely increase the amount times per day equipment is disinfected. Hours may be changed/shortened to adjust for additional/more thorough cleaning.
Lower capacity; Some gyms such as Equinox, will require members to book work-outs in advance to avoid having crowded spaces. We may no longer just be able to go work out ~casually~
Temperatures will be checked among entering facilities, members will have to report if they have any symptoms of sickness
Showers, saunas, and locker-rooms may stay closed
Encouragement and sometimes requirement of using hand sanitizer upon entry and throughout workouts
Use of face-masks throughout work-outs
Spacing out of equipment