» Interview 2013
Ahead YEAR
The
Survival of the Fittest I
I see both challenges and opportunities ahead for club owners in 2013.
BY ANDRE LEITERT
believe that traditional club mod- els will continue to be challenged by non-traditional models that are competing for the same con-
sumer dollar. These non-traditional alternatives will be facilities such as CrossFit, hot yoga studios and non- facility-based boot camps. There are more choices than ever for the con- sumer with low-priced, low-service offerings, like Anytime Fitness, and full-service American chains, like LA Fitness and LifeTime Fitness, entering the Canadian market. These competitive challenges will
require club facilities to refine and im- prove their products. And they will re- quire operators to focus more closely on who their clients and target pros- pects are, while providing superior service. To stay competitive, independent
operators can do everything from cus- tomer satisfaction audits to focusing on properly engaging their front line staff. Facilities will need to be adaptive and astute. They will need to add new ser- vices, new equipment or new program- ming that their competitors don’t have to help position themselves with a long term competitive advantage. Price is simply not a competitive ad-
vantage anymore and can be changed with the stroke of a pen. The most obvious change in
Andre Leitert is president of National Fitness Products of Canada Inc. Contact him at
www.nationalfitnessproducts.com.
Canadian demographics is that our population is aging. The average age of our members is increasing, and this re- quires shifts in services, programming and equipment purchases. In addition, people with disabilities, who are one in seven and growing, will be a group that all facilities need to adjust to. (In fact, if you have more than 20 employees, the government of Ontario, for example,
24 Fitness Business Canada January/February 2013
has legislated that organizations must submit a plan by yearend 2012.) Other trends that will continue to
change our industry will be in the ar- eas of internet and social media mar- keting. Retirees will be seeking social activities and opportunities. Social marketing will certainly play a role in connecting and engaging members. Contests, milestones and facility so- cial events will increase membership retention. Other emerging opportunities are
in the areas of athletic and sports spe- cific training for weekend warriors and youth. More middle-aged people than ever are doing their first marathons and Ironmans, playing more sports and participating in adventure trips. These people are prime candidates for personal athletic training specific to their needs. In terms of youth athletic training, the demand for quality ser- vices, I believe, is out pacing supply. More and more youth are living less active lives, while remaining active in sports. When I played competitive soc- cer our training consisted of practices. That's not the case anymore. In terms of the economy, there are
no shortages of doom-and-gloom sto- ries in the media. However, the sup- ply of money is very cheap compared to historical rates. Facility operators need to see this as an opportunity to upgrade their equipment and/or fa- cilities. Consumers seem willing to maintain their memberships in hard times, and they see their well being as an important part of surviving. The old adage "penny wise, pound foolish" applies if your members are asking for improvements, particularly if they can garner a long term competitive advantage.
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