h e alt h & fi t n e s s fr an c hi s ing fe at u r e
FEATURE ACTICLE: RICK BISIO
Health and Fitness Franchises Look to Rebound in 2022 and Beyond Businesses in every industry were impacted by the pandemic in some way over the past two years. Some faced subtle changes while others, like home service franchises, saw increased revenues due to more people choosing to do work on their home. Those in sectors such as restaurants and health and fitness suffered the most, primarily due to extended closures. Before we forecast how business will look in the new year as we continue to recover from the pandemic, let’s assess the damage and the toll that it has taken on the health and fitness industry. Certainly, the biggest impact is on their business operation came during the outset of the pandemic with the closing of their facilities. Large, public gatherings were banned to prevent the spread of the virus and like many other 28 Franchising MAGAZINE USA
public, non-essential businesses, gyms had to close. In some cases, they had to close for several months or even half a year depending on the location and local regulations. But here’s what speaks to the power of a franchise model. Many brands made adjustments and survived. Interestingly enough, some reached out to their customers and asked if they would continue with their membership. Even though the locations were closed, some customers continued to pay their monthly fees because they wanted to help support them and keep them in business. The recurring revenue model proved to be valuable. Some fitness centers moved their classes online allowing members to log on from the safety of their home. That worked well for some classes that didn’t require much equipment. Other locations moved classes and some equipment outside. Since people couldn’t congregate inside, the fitness centers held classes in their parking lot
or a nearby park. They were temporary solutions that helped fitness centers bridge that gap. It was actually very encouraging to see the their creativity and adaptability in the face of adversity.
Looking Forward in 2022 Almost all fitness franchises increased their sanitizing practices based on CDC guidelines and took extra precautions in cleaning their materials and equipment. I suspect we will see those practices remain in place, coupled with permanent sanitation practices like touchless check-ins. Keep in mind, gyms and fitness are part of a larger health and wellness umbrella. It is a $52 billion industry here in the U.S. that encompasses everything from spas to hair salons and medical clinics. The commonality among these businesses is that they are service related and dependent on on-site customers for survival. Which stands to reason that they would be attentive to stringent sanitation details amid a pandemic. I expect many of these
