Fitness industry In India to exceed US$ 2B by 2025

In India, revenue in the Fitness segment amounts to USD 1,469 million in 2018. Fitness centers are growing as per capita income rises and inactive lifestyles lower immunity amongst today’s youth. Body Building training has increased amongst men and aerobics and strength training amongst women.

• Definition / Scope
• Market Overview
• Top Market Opportunities
• Market Drivers
• Industry Challenges
• Technology Trends
• Pricing Trends
• Other Key Market Trends
• Market Size and Forecast
• Market Outlook
• Technology Roadmap
• Distribution Chain Analysis
• Competitive Landscape
• Competitive Factors
• Key Market Players
• Strategic Conclusion

Definition / Scope

There is a segment of the population in India that still prefers traditional ways such as walking, running or sports over gyms in order to maintain their fitness levels. Almost half the population above 30 years of age prefers walking. While from rest of the population most of them have been adopting the fitness culture either by joining gym clubs or setting up a home gym for physical exercise.

Market Overview

The fitness industry in India is controlled by the majority of unorganized players with only a few branded franchise models. Bodybuilding and weightlifting championships were used to be considered as a professional fitness. But today fitness industry in India is going towards health, well-being, good looks and confidence. Resistance training, aerobics, Zumba, aerial yoga, Pilates, MMA, kickboxing etc. have become the fitness trends over a few years in India.

The market is looking up to India with today’s fast and hectic lifestyles which allow a person to work out actively or follow a fitness routine. Nowadays gyms and fitness studios are on smartphones. This has made people do anything they can to keep themselves fit.

Healthy ingredients are some of the lines we see appearing in product packaging these days. Muscular bodies of celebrities and icons mixed with healthy lifestyles are making Indians embrace fitness. The trend is making people take out time from their busy schedules and visit the gym and take personal training services.

In India, revenue in the Fitness segment amounts to USD 1,469 million in 2018. Fitness centers are growing as per capita income rises and inactive lifestyles lower immunity amongst today’s youth. Body Building training has increased amongst men and aerobics and strength training amongst women.

Spending on gym was earlier seen as a luxury, but now it is a way of life. Also in tier 2, tier 3 cities, people are increasingly going for wellness and fitness.

Many global corporations have already installed in-house fitness centers and health clubs within their office premises. The hospitality industry is also following the trend. Hotels in smaller cities are providing gyms to customers. Residential society’s complexes nowadays host a gym. International fitness chains and gyms are taking the franchise route to enter India.

Fitness regimes like aerobics, Zumba, martial arts, kickboxing, cross-functional and bodyweight training have been whooping for some time now in the market. On the contrary, high-intensity interval training, cardio pilates, aqua fitness and body combat are still on the rise in the awareness index. Crawling workout and TRX suspension is fairly new and still haven’t reached the masses as such.

According to a survey, more than 80% of the total fitness enthusiasts who have either joined fitness centers or working regularly at home are aged between 20-30 years.

Only 28% are above 30 years. Since professional life is quite stressed, 50% of the total members who join gym or aerobics or other fitness activities are working professionals.

It is followed by college students who comprise 40% of the total club members since they tend to stay and maintain a fit and lean personality. Talking about gender, a number of women around 40% out of the total fitness enthusiast is concerned about the body image and taking part in fitness exercises while men constitute 60% in the race.

From Milind Soman to Alia Bhatt, the fitness movement has been a driving force in the Indian culture for more than a decade.

About 117 fitness startups, which are marketplaces for discovery and booking of fitness centers, coaches and membership pass for various gyms and fitness classes, have been founded since 2015 in India. While the sector has been largely un-organized until now, it is on the verge of being consolidated into an organized entity with more global players stepping in.

Homegrown startups, as well as online and mobile marketplace models of business, structured around the ‘gyming’ and fitness domains, are also coming up in a big way. Now gyms and fitness studios, even coaches and nutritionists, are easily accessible on people’s smartphones.

Multinational fitness chains and gyms are taking the franchise route to enter the Indian subcontinent, and as a result, Tier 2 & Tier 3 cities have become home to a dozen gyms and fitness centers. The hospitality sector is complementing this growth as domestic and international hotel chains offer health club memberships to people.

Sports Medicine is also an interesting offshoot of the fitness revolution. According to Data Bridge Market Research report, Indian Sports Medicine Market is expected to reach USD 554.2 million by 2022, from USD 201.7 million in 2015 growing at a CAGR of 15.5 percent from 2016 to 2022.

The smart wearables primarily function in the ‘lose weight’ category of people who are either already overweight or worried about becoming overweight. The task for these brands at hand is to stand out from the clutter as most devices offer the same features. Brands are now offering distinguished features in their products.

For instance, the Mi Band 2 is equipped with the lighter and flexible OLED display that lets one view more in a glance. Apart from specifications, competitive pricing from Chinese vendors also has to be kept in mind.

User penetration is 4.5% in 2019 and is expected to hit 4.6% by 2023. In India, basic wearables account for over 85 percent of the total number of shipments. A fitness tracker acts to monitor health and health activity. It can constantly measure vitals, quality of sleep and step count effortlessly and accurately.

The differentiating factor that’s used to judge a fitness band is its accuracy and usability. In India, the fitness band market is filled with devices, where almost all of them can do a fair job tracking basic activities.

Top Market Opportunities

1. Improve penetration rate: Only 0.15% of the Indian population aged between 15-64 years belongs to a health club. The penetration rate for India is the lowest in the world among other markets, behind Thailand (0.50%), Honduras (0.36%), El Salvador (0.31%), and the Philippines (0.18%). One of the reasons India has the lowest penetration rate mainly has to do with the large population of India and the supply of clubs mostly concentrated in larger urban areas and top-tier cities. As leading branded club operators to expand into tier-two and tier-three cities, access to health clubs across the country has a huge demand.
2. Attract consumers of all ages: According to a report, approximately 70% of health club consumers in India are between the ages of 20 and 40. Attracting older members and children into utilizing health clubs and fitness centers may help the industry in India grow.
3. Address lifestyle-related conditions: Increasing rates of obesity, diabetes, high blood pressure, and other lifestyle-related conditions have raised awareness of health and fitness among Indian consumers. Over 20% of all adults and over 14.4 million children and adolescents are considered obese. Unhealthy lifestyles such as consuming junk food, sedentary work environments, and increased mobility automation have significantly contributed to lifestyle-related diseases. Health club operators could uniquely be positioned as wellness centers to help Indians exercise regularly and engage in healthy behavior to reduce the cases of such health impacts.

Market Drivers

These days, the gym and fitness industry is booming in the country with many national and international brands mushrooming in the segment. To some extent, the credit for this boom goes to the Bollywood actors flaunt their well-groomed bodies and muscles on screen and inspire many youngsters. However, there are various other growth drivers behind the fitness gyms trend in the country.

Growing Health and Fitness Awareness

Today, an increasing number of individuals are going to gyms so as to counter the side-effects of their hectic urban lifestyles. To strengthen cardiovascular fitness and boosts overall health, reducing stress, anxiety and depression and other diseases affecting health, youngsters and old age population are actively engaged in fitness.

Age is No Bar for Fitness

People of every age group, from the 20s through the 60s and beyond have realized the fact that keeping their body physically fit alienates many health problems and revitalize from aging.

Penetration of International Brands

Increased cases of obesity and diabetes have led to a revolution in the Indian fitness industry. This is one of the main reasons behind the growth of health clubs and wellness centers in the country.

Big and established fitness chains and gyms are expanding their products and services portfolios to tap into the market in each and every possible manner and reach out to the potential customers. Multinational fitness chains and gyms are increasingly taking the franchisee route to enter the Indian market.

The Growth of Gym Culture

The nascent gym culture which is growing at a very fast pace as more and more people are joining the gym movement for great health and long life. In fact, a large number of Indians in metros and Tier-II cities are fast becoming health conscious and have started hitting the gyms.

Access to a Variety of Equipment

People join a gym as it holds the availability of a wide array of equipment including cardio machines, strength machines, weights, boxing kits and various functional training gears (TRX, fit balls, resistance bands etc.) that aid in the regular exercise which they can’t install at their home considering the space limitation. It is this primary reason that drives many fitness freaks to the gym.

Availability of Personalized Fitness Training Programmes

In the present times, people don’t hesitate in spending quite a sizeable amount for looking and feeling good. However, not everyone knows what exercise to do, how to do, when to do, what to eat etc. Here the role of personalized fitness training program comes to play. One of the other most important reasons why people need a personal trainer is that they help bring in accountability and sincerity.

Also, personalized training helps one to keep up to the target and follow a systematic workout module to suit their respective fitness needs and goals. Now, working out with a personal fitness trainer has gone digital where fitness enthusiasts follow fitness Youtubers or they perform various cardio exercises by watching it on personalized applications for Abs, Chest, Biceps, etc.

The rise in Personal Disposable Income

Earlier, spending on fitness and taking gym membership was seen as a luxury, but now it has become a part of people’s lifestyle. Growing urbanization, rising middle class, and increasing disposable incomes are boosting the need for gyms.

Government Allocation on Health and Fitness has increased drastically

In recent years, healthcare has become one of India’s largest sectors, both in terms of revenue and employment. Healthcare comprises hospitals, medical devices, clinical trials, outsourcing, telemedicine, medical tourism, health insurance, and medical equipment. Fitness equipment also forms a major segment in focus.

This segment comprises of retail and wholesale sellers of gym equipment like dumbbells, treadmill etc. Even fitness service in the form of gyms has got a major boost from the government. Prime Minister Narendra Modi’s recently launched fitness campaign ‘HumFitTohIndiaFit’ is likely to boost the country’s fitness industry.

Within moments of its launch, the fitness campaign became viral on social media platforms as scores of celebrities from Bollywood to sports started uploading short videos of their exercise regimen on social media.

The following names have emerged as influencers who are truly inspiring to look good, feel good and be healthy and fit:

• PM Narendra Modi
• Baba Ramdev-Yoga Guru
• Akshay Kumar-Actor
• Deepika Padukone, Actress
• Virat Kohli: Sportsman (Cricket)
• Shilpa Shetty, Actress
• PV Sindhu-Sports Woman (Badminton)
• Sanjeev Kapoor- Chef
• Milind Soman- Ironman and Ultraman
• Bipasha Basu-Actress

Industry Challenges

The fitness industry continues to face a talent crunch. The organized fitness market is concentrated in top eight cities of India (NCR, Mumbai, Bangalore, Chennai, Kolkata, Pune, Hyderabad, Ahmedabad) with more than 60 percent of outlets of top dozen chains located in these cities. However, given the high real estate costs in these cities, players will increasingly tend to hike the price.

The key challenges are:

• Real estate cost: Location of fitness centers is critical. They need to be close to neighborhoods or near offices. Most consumers are unwilling to travel more than 15-20 minutes for the fitness center, hence catchment for a center is limited. Increasing rentals in key locations in large cities is one of the biggest challenges in an expansion of centers.
• Manpower: Well-trained instructors and trainers in this industry are critical (and a big differentiator) and at the same time, they are scarce given the nascent nature of the sector.
• Service standardization: In the service industry, achieving standardization across different outlets is challenging and even more so where human intervention is high as in the case of fitness centers.
• Adapt proposition to smaller cities: Organized chains will have to tailor their services and pricing for markets in smaller cities of the country.

Technology Trends

Fitness has gone wearable where an individual could get data on activities such as steps taken, sleep logged, calories burned, maybe even your heart rate from the applications installed on the smart phone.

These days, people are obsessed to post their daily fitness goal achievement. Apps and wearable have transformed personal fitness in recent years, with advanced technology and innovation that is shaping active lifestyles.

Pricing Trends

Unorganized players adopt competitive pricing strategy since they provide the same level of basic fitness services. The monthly price varies between the ranges USD 10 to USD 30. They are targeting middle-class population. Their business model is a low-cost service provider since they don’t have personal trainers for each person in the gym club.

Value-based pricing strategy is followed by big brands as their customers are non-price sensitive and such brands operate as focused differentiation of service. They sell subscription plans weekly, monthly, quarterly, and yearly.

The subscription includes bundled set of services including full access to gym facilities and other nutritional related counseling and price varies from gym to gym based on their unique selling proposition but yearly subscription fee ranges between USD 100 to USD 1,500.

Other Key Market Trends

• Rise in Gym franchise hybrid route- Many investors are entering in the sector by using the hybrid route and by buying franchises of successful and famous gyms like Talwalkar, Gold Gym etc.
• The rise in female gym member- Almost 45percentage of the members of the gym are female taking fitness and gyming seriously. Various health problems namely osteoporosis, arthritis, depression reduction of bone density led women fitness very seriously. Breast cancer takes the lives of many women and is the second most widespread kind of cancer in India.
• Reign of the Unorganised sector- Almost 72% of the gym and fitness centers are run by the unorganized sector while the organized sector has a market share of just about 28%.
• Adoption of Power Yoga and Strength Training- People are moving towards power yoga practice which increases flexibility, strength and stamina and strength training which makes one fitter, stronger and develops better body mechanics.
• Adoption of diet plans- Apparently, a diet plays 70% of the role in weight loss and healthy living. Thus, we can see a movement of Indians toward healthy food options like salads and fruits.

Market Size and Forecast

The fitness market in India is among the largest in the Asia-Pacific region. India ranks fifth in market size among Asia-Pacific health club markets at USD 1,469 million in annual revenue. The ranking is based on the size and number of fitness centers all over India.

The number of health club locations ranks third in the region at 3,813 locations, while the country’s 2 million members rank fifth among Asian markets. Revenue in the Wearables segment amounts to USD1,330 million in 2018.

Further growth in the segment, expected at a CAGR of 9.3% between 2018 and 2022, is expected to take the total market value to a whopping USD 2,083 million in 2023.

However, a fact worth noting is that a major portion of these revenues will be driven by the consumption of fitness wearable. Simultaneously, the number of upscale fitness centers is growing at a pace similar to the rapid rise in disposable income among consumers between the ages of 20 to 45 years old.

The Indian fitness industry is also helping bring about a much-needed revolution in the country that’s triggered by the increasing number of cases of obesity, diabetes, and heart disease.

This is also one of the key reasons behind the sudden surge in the number of weight loss products available in the market, as well as the spike in a health club and gym memberships. Spending money on gym memberships, which was earlier perceived to be a luxury, is now becoming a way of life for several people.

Furthermore, there is an increasing number of people in tier 2 and tier 3 cities looking for wellness and fitness solutions, with most men opting for muscle-building training and women for cardiovascular and strength training.

Market Outlook

According to a recent report released at the TiE Delhi-NCR Sports and Fitness Summit, the three businesses comprising sports, fitness, and wellness in India are expected to post a compound annual growth rate (CAGR) of 17 percent to USD 90 billion by 2020. Fitness alone is expected to reach USD 2083 million by 2023.

Revenue is expected to show an annual growth rate (CAGR 2019-2023) of 5.8%, resulting in a market volume of USD 1,814 million by 2023.

People’s perception of sports have changed and it has become a lucrative career option for youngsters. Even parents have opened up to the idea of their children pursuing sports as a serious career option. The brand association has added the much-needed glamour and popularity to these new kinds of sports that are getting the limelight these days.

A new corporate culture wherein companies provide fully-equipped gyms and health clubs to employees in the office is enabling many people to look at fitness in a new light as a fun way to distress after a long day at work rather than a task that must be completed.

The hospitality industry is also following the trend, with hotels in smaller cities providing gym facilities to guests. Organized players, global companies, and home-grown start-ups in the fitness segment are affecting greater consolidation in the market, and giving rise to newer business models and revenue streams.

The unique combination of digitization and fitness is allowing Indian consumers today to enjoy easier access to convenient tech-driven services and products. Moreover, people are also increasingly becoming aware of the many merits of working out regularly, such as reducing stress, anxiety, and depression.

E-Sport is another area that has been growing significantly in the country. E-sports is a USD 70 million industry in India but it is growing rapidly.

Technology Roadmap

The future of fitness is going to be data driven from activity trackers such as wrist wearable that generates data on an individual’s metabolism rate, heart rate, etc. In the next 10 years, every fitness company will have a data scientist to process and analyze such data.

Consumers will have increased access to personal health and wellness data through wearable. Wearable alone are projected to reach 105 million unit shipments valuing USD 3.33 billion in revenue by 2022.

Similarly, fitness testing will be commercialized to the mass which was once reserved for professional athletes and elite sports labs. A fitness club will use the member’s data to prescribe a training or nutrition plan, or even just to personalize the member’s interaction with the health club to provide better value.

The fitness in the future will put more emphasis on the importance of what happens before and after working out as well as during with real-time data output. Monitoring fitness data gives a better understanding of health performance over time and within a workout.

Resting metabolic rate or RMR which measures the minimum number of calories a person needs to perform basic functions, such as maintaining heart rate and body heat, breathing and keeping up brain activity will be mainstream in every fitness company.

Distribution Chain Analysis

Fitness Trainers:

Fitness trainers possess knowledge of different lifestyles, different types of diet, and the working of the human body. They help people achieve and maintain good physical health, plan and implement exercise routines as well as giving advice on diets, nutrition, and other important areas.

Fitness trainers work in either gym or come especially to their client’s houses and provide motivation for people to remain on their fitness regime. Qualifications are an important part of being a fitness instructor for securing a job. Employers usually require a qualification from a recognized body such as the REP (Register of Exercise Professionals).

Fitness trainers also need certificates in first aid to show that they know how to perform CPR as well as public liability insurance. In India, trainers usually earn in the range of USD 700 to USD 17,000 per month if they are established, trainers.

Fitness Centres:

Fitness centers commonly referred to as Gym is a place equipped with lifting and cardio machines for the purpose of physical exercise. Fitness centers require large investment unlike any other wellness centers typically more than USD 1, 50,000 depending on the location, size, and equipment category.

Fitness Diet:

Indian dietary supplement is expected to grow at a CAGR 15% till 2023. A Dietary Supplement is intended to provide nutrients that may otherwise not be consumed in sufficient quantities. Supplements as generally understood include vitamins, minerals, fiber, Fatty acids or amino acids, among other substances.

Customers:

More than 80% of the total fitness enthusiasts are aged between 20-30 years. 50% of the total members who join gym or aerobics or other fitness activities are working professionals.

60% of customers are men while women count just 40% out of total customers. Gradually, the age range of people joining the gym is widening and people of every profession are taking fitness as a key regular activity.

Other supporting factors in the distribution chain include equipment, wearable, and influencer group.

Competitive Landscape

Fitness industry in India is worth USD 1469 million and is growing at a CAGR of 16-18% annually. The industry is fragmented with a majority of the market dominated by unorganized and independent players. The organized market constitutes just 28% of the total market size.

There are over 25,000 wellness centers including fitness clubs in India. Top five branded players cover 15% of the total market share compared to 40% in Japan. These organized players have a huge opportunity of consolidation in the coming days while there is ample opportunity for even new players that enter in the market with a differentiation strategy both in product and service delivery.

Competitive Factors

Certifications and accreditations are some of the tools available to players in order to build credibility

Wellness centers are recognized and accreditated under National Accreditation Board for Hospitals and Healthcare (NABH) that had been put in place a national set of guidelines, back in 2008-09. Accredited centers are recognized by a ‘mark of excellence’, publicized by the Ministry of Tourism at various forums and are provided financial support.

Fitness training players such as BFY Sports and Fitness offer international certifications such as the American Council on Exercise (ACE) for fitness trainers, while domestic players like VLCC have launched certification courses in association with IGNOU.

Players are providing an increasing amount of information to customers in an attempt to earn their trust

Leading fitness product companies have focused on backing their claims with verifiable and quantified data from publicized clinical trials. Product players are also making detailed nutritional information available on product packaging including details of ingredients, calories, carbohydrates, fat content (MUFA, PUFA, and transfat), protein, etc. per serving.

Players are improving their customer complaint grievance systems to ensure a better customer experience

Players are setting up effective consumer complaint grievance systems in order to address consumer concerns and assure them of quality products and services. Some wellness operators have constituted refund policies in case customers are not fully satisfied with their services. Product companies include information on customer feedback and complaint channels as a part of their packaging. Redressal mechanisms include the refund or replacement of defective products at no cost to the consumer.

Players are increasingly investing in consumer education and increasing the visibility of their wellness offerings

Wellness product players have been investing in educating consumers about the benefits of specific wellness ingredients in order to mould customer preference towards their products.

Key Market Players

Fitness wearable market players: The Indian wearables market witnessed impressive growth in 2018 as the overall wearables market grew 66% year-over-year (YOY) and 40% sequentially, making it the biggest quarter for the wearables category in India.

• Xiaomi Xiaomi maintained its leadership of the market with 46% market share in 2018. Although, its share had reduced marginally from the previous quarter. Most of its devices are still sold by the e-tailers. However, the brand has now well diversified into retail channel by selling its devices from its preferred partner stores, selective large format retail stores, and its exclusive retail stores in the country.
• GOQii It remained at 2nd position with 19% market share. The vendor has taken its engagement beyond the basic application monitoring when it comes to engaging with its user base. Interactive live video sessions by experts, starting a health store and adding brain training games on its platform are some of the initiatives introduced by the vendor.
• Titan with its Fastrack’s Reflex range saw a healthy 56% sequential increase in its overall shipments and maintained its position with around 8% market share. However, its shipments saw a 45% decline in its annual growth as it channelized its inventory before launching new devices to the market. The brand has an aggressive intent to go ahead with high marketing spend on traditional media to educate users about the fitness bands in the coming quarters.
• Fitbit Fitbit replaced Fossil as the 4th largest wearables company as its shipments got quadrupled in 2018 when compared to the previous quarter. Fitbit introduced the Versa watch, adding one more device in its watch portfolio in 2018. However, bands remain the top-selling category for the brand with Flex 2 contributing more than half to its overall shipments in this quarter. The company maintains almost 4% of the Indian wearable market share.
• Lenovo It was able to secure a position in the top five after three quarters. It launched three new models to strengthen its position in the fitness band category, which helped the brand to register strong triple-digit growth in 2018.

Gym club market players:

1. Nitrro Bespoke Fitness, Mumbai: Nitrro Bespoke Fitness offers aerobics, dance, yoga, spinning, sports rehab, nutrition, physiotherapy, and personal training. A Crèche facility is also available for moms or dads who do not have help at home and need to get their kids along to the gym. The ambiance has a nightclub vibe to it with purple velvet walls, gold fashioned iron frames with huge mirrors (for the self-obsessed) and a huge disco ball themed DJ booth. Nitrro is SoBo’s largest gym in 20,000 sq ft. Annual Membership Fee: Around USD 500
2. CrossFitOM, Mumbai: CrossfitOM is India’s first Crossfit gym founded by Elite Crossfit trainer and athlete Dheepesh Bhatt. The workouts in CrossFitOM are a mixture of gymnastics, weight lifting, and strength conditioning. Unlike regular gyms, CrossFitOM has no benches or machines and is packed with body weight equipments like Olympic rings, Olympic bars, plates, and squat racks. Annual Membership Fee: Around USD 500
3. Muscle & Beach Gym, Goa: Sahil Khan and Dennis Shivani opened India’s first open air beach gym at Baga, North Goa. It’s located at walking distance from the sea and offers yoga, martial arts, free weight training, Zumba classes, spa and personal training amenities. Annual Membership Fee: Around USD 300
4. Gold’s Gym, Delhi: As an already established brand across the globe, Gold’s Gym entered India under franchise mpde. This health centre is a one-stop-shop for any health freak and also has a swimming pool, squash court, spinning studio, a massage centre, along with an in-house physiotherapist. Annual Membership Fee: Around USD 300
5. Fitness First, gurgaon: It has a massive weight training area, a studio offering Les Mills programme, and a cardio theatre to make that 5-mile run enjoyable. Annual Membership Fee: Around USD 1100
6. Reebok Crossfit, Delhi: Reebok Crossfit in Gurgaon included running, rowing, jumping, body weight exercises, gymnastic skills, jump rope skills, lifting and throwing objects, and squatting. Annual Membership Free: Around USD 1000
7. Talwalkars Gym, Hyderabad: Talwalkars is India’s largest chain of fitness centers. The equipments available in Hyderbad is world class with add-on facilities like cardio training, weight training, steam/sauna, aerobics, yoga, spin cycle studio, and a full fledged spa. Monthly Membership: Around USD 1000
8. Steel Gym, Hyderabad: Steel is a massive 12,000 sq ft gym located in posh Jubilee Hills. Their personal training regimen is one of the most sought after in the city. Steel is home to various celebrities including Rana Daggubati, Sudheer Babu, Tamannah, among others. So if you want to work out with the stars, you know where to head! Annual Membership Fee: Around USD 1100
9. Snap Fitness, Bengaluru: Snap Fitness is a one-of-a-kind fitness health club in Bengaluru that’s open 24/7, 365 days a year. Fitness has certified trainers and qualified nutritionists to assist their members. Annual Membership Fee: USD 200
10. Club Solaris, Pune: Solaris is a sports facility in Pune providing superlative fitness programmes. Club Solaris is spread out over 2 acres with a 50-ft rock climbing wall, 11 station high-wire adventure, 4 tennis courts, 3 badminton courts, 1 squash court, 6 table tennis tables, along with the usual gym, swimming pool, jogging and cycling tracks, a bouldering wall, and a cafe where you can chill out post an intense workout. Annual Membership Fee: Daily basis

Application brands: As presented in the second figure, India has more than 12 million online fitness users registered in various fitness guide applications both in android and ios. Such applications earn Average Revenue Per User (ARPU) around USD 6 while total revenue generation reaches more than USD 79 million. India stands at third place in terms of digital users for fitness after China and USA. India benefits from the large pool of young population aged between 20-30 years.

The market for mobile fitness apps is evolving in large part due to the fact that more and more people seek a healthy lifestyle. As a result, new devices helping people stay in shape have appeared and the Internet of Things is growing.

Despite the fact that the market for fitness bracelets, trackers, smart clothes and watches is larger in volume than the fitness apps market, the latter is growing faster and is projected to catch up with the physical devices market in 2021.

The third picture depicts the top brands that are tapping the market into a fitness application.

Application market:

India ranks the third based on the number of users for fitness applications as shown on the third figure. There are 12.69 active users for such apps in India generating USD 6.24 per user.

• Sweat: Kayla Itsines Fitness by The Bikini Body Training Company It is owned by Australian fitness trainer and entrepreneur Kayla Itsines, number 51 in the list of the richest young entrepreneurs of Australia. The app provides nutrition recommendations and a series of aerobic exercises in the Bikini Body Guide (BBG) to practice at home.
• Calorie Counter & Diet Tracker by MyFitnessPal It is the revenue leader in the shops of mobile apps among a vast list of apps of this company. The MyFitnessPal platform is owned by an American manufacturer of Under Armour sportswear and footwear. The app makes it easier to count the calorie content of dishes and make a plan to reduce calories for weight loss.
• Headspace: Guided Meditation and Mindfulness by the US company Headspace The company was founded in 2010 in the UK by Rich Pierson and Andy Puddicombe, a former Buddhist monk and meditation expert. The Android version of the app wasn’t launched until in 2016, but the company managed to earn $5.78m by the end of the year. The app contains auxiliary materials for home meditation, nutrition recommendations and materials for dealing with depression and anxiety (especially during pregnancy). According to the Facebook Audience tool, 70% of followers on the company’s Facebook page are women.
• Runtastic Results: Workout & Strength Training by the Austrian company Runtastic (bought by Adidas in 2015 for $239m). The company has 20 different mobile apps, and Runtastic Results is the leader among them in terms of revenue. In 2015, the company earned €11m (according to the annual Adidas report). The revenue of the entire Adidas company was €19.291bn in 2016. The app contains a set of exercises for working out at home without special equipment and recommendations for nutrition.

Best Gym Equipment Brands:

• True True is one of the most reliable and most used brands in India. They produce one of the best quality gym equipment for the customer. It was formed in 1981 and from that day onwards they produce advanced and innovative gym equipment. They are leaders in cardio section gym equipment. They also offer various types of equipment like the indoor cycle, treadmills, stretches and so on. Most of the Multinational Companies Gym have this brand of equipment for their employee because they are very durable.
• Star Trac Star Trac was one of the leaders of manufacturing Gym equipment in the world. They produce one of the finest gym equipment. The design of this brand is unparalleled. This company offers various equipment from abs crunches to treadmills. Star Trac has one of the widest range of high-quality equipment for cardio, strength and for entertainment. Star Trac was working on their design based on the customer’s feedback. They respect customer’s suggestion and that’s why it is one of the leaders in the World.
• Paramount Paramount is one of the finest manufacturers of gym equipment all over the world. It was established in the year 1954. It has its own reputation and name in the world market. They provide one of the best services to customers after sales also. They produce high-quality treadmill and indoor cycle. True fitness bought this paramount company in 2015 and now Paramount is the sub-brand under True fitness.
• Body Solid Body Solid is also one of the leading manufacturer gym equipment all over the world. They also offer a wide variety of gym equipment, from cardio to gym systems. They intend to produce every type of equipment that available in the Gym. Most of the gyms in India use this brand of equipment for their gyms. They produce high-quality indoor cycles that have the lifetime warranty from them. This product has their working factory in over 10 countries and also distributes its product to more than 100 countries.
• Precor Precor is the most trusted gym equipment not only in India but also in the whole world. It was ranked as No.1 by IHRSA bench marking report in 2009 based on 12 categories including materials used, consumer support, reliability, easy-to-use, etc., it slightly has a higher price than many other brands but it is worth to buy even at that price. It was established in 1980 by Amer Sports group. This is one of the most profitable companies in Gym equipment manufacturing companies.
• Life Fitness Life Fitness was established in the year 1977 and it was acquired by Brunswick Corporation in the year 1997. Life fitness produces one of the high-quality equipment for Gym. They provide best customer support to their users even after the purchase. Life Fitness is the backbone of Brunswick Corporation, based on their net income. It increases approximately increase 10% every year.
• Steel Flex It is one of the leading manufacturers of cardiovascular Gym equipment. They are designed for particularly for Sportsmen’s. They have more than four registered dealers in India and also more than 100 retail stores to distribute its products. They produce varies range Gym equipment from treadmills, indoor cycles, seated row machines, weight systems and so on. They also produce elliptical cross trainers for home and commercial use. This brand acclaimed many awards for their quality and performance.
• Fitness Fitness is one of the manufacturers that follows international quality standard rules for their machines. It was used in more than 1000’s of Gyms in India. They also produce one of the finest and best quality machines for commercial uses in schools, colleges and other corporate Gyms available in most of MNC companies all over the world. These machines from Fitnex have the long lifeline and a lifetime warranty from them. They produce one of the best quality treadmills, exercise bikes for their customers all over India.
• Syndicate The Syndicate is an Indian manufacturer of Gym equipment. They produce one of the best and reliable Gym equipment for the past 8 to 10 years. They offer the widest range of equipment based on the Gym’s location, such as treadmills for both commercial and home, commercial dumbbells, Olympic bars, massage chairs, and other mild equipment for Home Gyms. This company is based on Punjab state and also one of the most used equipment in North Indian states like U.P, M.P, Delhi, Gujarat, and Punjab.
• Sunsai Sunsai is the leader of Gym equipment manufacturing company based on from the state of Maharastra. They also import and distributes many foreign brands of Gym equipment in India. It is one of the top3 manufacturer and distributor of Gym equipment in India. It has the widest network of dealers and retailers all over the country. These brands are the most trusted and well-known Gym equipment manufacturers and distributors in India. They all have some unique features based upon their usage, performance, and their qualities.

Strategic Conclusion

Fitness sector is converging into a consumer product and is gaining popularity in the Indian market as consumer spending on health and fitness is gradually increasing. Various domestic and international brands are making positions in the fitness industry. Moreover, new entrants with their differentiated service are establishing each day.

Since the fitness segment is a fragmented market, players in this market need to augment their core competency and competitive advantage with an innovative service offering to retain their customers. Fitness is such a sensitive issue for people that they tend to have the price inelastic nature when selecting health service.

In an industry that is growing significantly each year, all the players, no matter of their brand reputation, need to keep eye on the market trend and what new entrants are providing to sustain in the long run.