Industry Overview
Franchise North America offers Health and Fitness franchises in all regions of the United States. We only offer those franchises for sale that meet our high internal standards of excellence, integrity, and quality. Health and fitness franchises include not only gym concepts, but spa and med spa concepts, plus nutritional concepts.
Major services include facilities for aerobic exercise and weightlifting. Running, swimming, racquet sports, yoga, karate, basketball, and swimming may also be offered. Small studios may cover just a few thousand square feet while multi-activity operations can cover 200,000 square feet. The operations of all fitness centers are similar: the operator makes space and equipment available for customers to engage in various types of fitness activities, provides staff to help customers properly use the equipment, maintains the facilities, and provides various other services such as professional trainers and class instructors, child care, food and drinks, and sometimes showers and lockers.
Demand is partly linked to income levels and partly to market demographics. The profitability of individual companies depends on good marketing. Large companies have economies of scale in advertising and buying equipment. Small companies can compete effectively if they have favorable locations.
Facts about Health & Fitness franchises
- In the US, about 15,000 companies and non-profits operate over 26,000 fitness and recreation centers, with combined annual revenue of $15 billion*
- Large companies include Bally Total Fitness and 24 Hour Fitness; about 5,000 centers are operated by non-profits like YMCAs*
- The industry is extremely fragmented: the 50 largest companies hold only about 30 percent of the market, and only a few dozen companies own more than ten centers*
- A typical large fitness center has $3 million of annual revenue and 65 employees*
- As for spas, slightly more than 1/3 of spa-goers consider spa experiences as a mix of indulgence to healing work**
- Around 48% of spa goers reports that they go to relieve or reduce stress**
- Spa goers report that 77% of them have gone to a day spa, while 64% to a hotel or resort spa**
* According to First Research
** According to the International Spa Association
Lifestyle Considerations
- Management and supervisory experience is helpful; ability to recruit and motivate employees
- Familiarity with P&L, budgeting, and financial analysis tools
- Owners with sales ability and people oriented are more successful
- Industry experience in not required
- The industry is hospitality oriented, therefore the days / hours will mirror your customers non-working time