Emerging Fitness Trends to Watch in 2019

The fitness industry has one of the fastest-growing franchise networks globally. According to the 2018 IBISWorld Gym & Fitness Franchises Report, gym and fitness franchises generate $4 billion in revenue, while the entire industry in the United States is valued at around $30 billion. Despite economic challenges, the industry has thrived by tapping into current market trends, making it a popular choice for entrepreneurs.

With increased awareness about obesity and the importance of a healthy lifestyle, coupled with the demand for low-risk business opportunities, the fitness industry saw significant success in 2018 and is poised for continued growth in 2019. But why is it so appealing to aspiring small business owners? Let’s explore the key trends driving this 4.9% annual growth over the past five years.

A major trend in fitness franchising is the adoption of a straightforward business model. These models are so user-friendly that even individuals with little to no business or franchising experience can quickly get the hang of it. Many fitness companies operate on the principle of “if you’re willing to learn, we can teach you,” requiring minimal staff and equipment, making space and inventory easy to manage.

Fitness franchises, whether run by an owner or a manager, typically operate as small-scale studios that are easy to oversee. Franchisees also benefit from existing marketing resources to promote their business locally using a well-established brand name.

Because fitness franchises don’t require large spaces, they’re perfect for city centers and small buildings that might not be suitable for other businesses. This location advantage makes them convenient for city dwellers or workers who prefer not to commute far for their workouts. California and New York, for instance, have the highest concentrations of fitness franchises, with 10.8% and 7.1% of the nation’s franchises, respectively. This location convenience benefits both franchisees and their customers.

The fitness industry is projected to keep growing steadily, with an annual increase rate of 5.4% by 2020. As Americans become more health-conscious, the demand for fitness solutions will continue to rise, encouraging more supply. The fitness franchise industry offers a reliable and resilient business option for entrepreneurs. Currently, the U.S. market generates about $31 billion annually, with franchises accounting for 10% of that revenue. In recent years, franchise growth has even outpaced the overall industry growth.

Franchisors have worked hard to reduce the costs associated with starting a franchise, making it more affordable for franchisees. The trend towards smaller studios with minimal equipment keeps startup costs relatively low. Additionally, investing in a franchise provides access to in-house marketing and training resources from a well-known brand.

With industry profits expected to grow to 9% by 2020, the potential for a high return on investment is strong, with minimal risk during setup. For instance, F45 requires a total investment between $100,000 and $300,000 and a franchise fee of $50,000, with financing assistance available. Franchisees also have continual access to extensive marketing assets and training support.