This page contains a Flash digital edition of a book.
interview Indeed, it was this acquisition – the

sudden infl ux of a large number of clubs – that prompted the introduction of the new Premium category. The branding of existing sites may also now be reshuffl ed as the portfolio continues to expand. Management will also be split to create separate teams responsible for each of the sub-brands.

brand swapping Although the low prices mean it’s easier to close a sale for a BasicFit membership than for a Premium club, Moos stresses that the member profile is similar across all HealthCity sites. So is there a risk – particularly as the chain continues to grow, with multiple sites in a number of cities – that the budget clubs will cannibalise members from the all- inclusive and premium clubs? And is this a risk to the business given that the higher-end clubs are, as Moos confirms, still the most profitable for the company? “We don’t really experience much

cannibalisation. Premium members get a lot more than they would at BasicFit, which really is just an equipment-based offering. Premium clubs include group exercise, swimming pools, climbing walls, tennis, squash, daycare and so

HealthCity is keen to develop more of a community feel to its clubs

on. If we open a BasicFit club near a HealthCity site, there will be a bit of movement between the two but it will go both ways – if people haven’t been to a gym before, they’re more likely to try a budget club fi rst and then maybe trade up if they enjoy it. “We also keep an eye on the market.

We’ve changed a budget club into an all-inclusive HealthCity club before now, and vice versa. They’re a similar size, so we can switch things around if the market asks for it. “This ability to swap club models

around has played a role in our success. Our clubs are all a similar size,

so we can switch models around if the market asks for it

If something isn’t working at one of our facilities, we have the option to change the model and turn it around into a profi table site. “And there are learnings you can apply

both ways. Our luxury clubs always had a lot of staff, compared to just one in the budget clubs, but we noticed that members still received a lot of attention in the basic clubs. We learnt that it’s not about the number of people, but more the kind of people you put in.”

expansion plans HealthCity currently operates in three markets: the Netherlands, Belgium and Germany. Expansion plans going forward will continue to focus on these markets, with the overall aim of doubling the number of clubs over the next two years; Waterland’s seven-year investment period ends in 2012. However, as HealthCity is the only remaining company in that particular Waterland fund, Moos believes the investors could withdraw as early as this year, and he is keen to reach this goal before then. Meanwhile a fourth market – France

– is also being considered, due both to geographical proximity and the availability of French marketing collateral already used in the company’s Belgian clubs. Growth is likely to occur primarily

through acquisition, funded by the company, its shareholders and via bank loan. “We can only grow through new builds at a rate of one club a month,” says Moos. “We’ve done exactly that in recent years and I’m sure we can continue over the next couple of years – we have enough clubs in our pipeline. But to grow faster than that, we have to look at takeovers. “The mid-market is experiencing a lot

HealthCity’s luxury clubs provide the main income for the company 28 Read Health Club Management online at

of problems at the moment; we get a lot of offers to buy mid-market clubs.”

february 2011 © cybertrek 2011

Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64  |  Page 65  |  Page 66  |  Page 67  |  Page 68  |  Page 69  |  Page 70  |  Page 71  |  Page 72  |  Page 73  |  Page 74  |  Page 75  |  Page 76  |  Page 77  |  Page 78  |  Page 79  |  Page 80  |  Page 81  |  Page 82  |  Page 83  |  Page 84