Gym

Introduction

Indian Fitness & Slimming Industry constitutes about 8% of the wellness market. Presently, the fitness industry is in its nascent stages. Organized fitness services account for merely 25% of the overall fitness industry.

Latest Trends in the Industry

  • Franchising
  • Burgeoning Investments
  • Innovative Formats
  • Training Trends

The Indian Fitness & Slimming Industry is set to ride high with all levers in place. Growing disposable income of the people coupled with rising awareness of a healthy body augur well for the Industry. Significant changes in lifestyle related to lack of physical activity and increased consumption of fast food among both affluent and working class population has led to greater need for healthy lifestyles.

Indian fitness & slimming industry currently pegged at USD 0.78 billion is stated to grow at a CAGR of 25% to reach USD 2.4 Billion by 2015. We would not be surprised if the industry outperforms our ballpark figure.

The demand for wellness is growing. the size of the wellness industry ₹70,000 crore in 2012, and projected it at ₹100,000 crore by 2015. The growing interest in yoga, meditation, running and gymming all reflect the trend.

The Fitness industry in India, viz Gyms, is experiencing healthy growth rates and currently has an estimated market size of USD 113million. With a population of around a billion, which is growing at a rate of about 1.7%; the age group 20-44 can be mainly identified as prime market for fitness clubs.

The proportion of people in the age group of 20-44 is projected to go up from 37% in 2006 to 39% in 2011 and 40% in 2016. This is an addition of approximately another 4.6cr and 4.2cr in terms of population between 2006-11 and 2011-16 respectively.

About 16 per cent of the US population has fitness club memberships in contrast to a mere 0.4 per cent for Indian markets in top seven cities. The numbers indicate that the industry is in a nascent stage and would take time to evolve.

SWOT Analysis

STRENGTHS
  • Large Customer Base
WEAKNESS
  • Lack of Standardization
  • Seasonality of Business
  • Lack of Government Focus
  • Capital Intensive
OPPORTUNITIES
  • Evolving Demographics
  • Rising Health Consciousness
  • Surge in Disposable Incomes
  • Shift in Spending Pattern
  • Under Penetrated Industry
THREATS
  • High Input Costs
  • Lack of Qualified Manpower
  • Macroeconomic Factors
  • Competition

Till now in India the fitness industry is unregulated, and even scarier is the total lack of self-regulation in the industry with most gyms employing people who have no basic training or knowledge of fitness. Unqualified programs compromise the integrity of the industry, creating problems for qualified personal trainers, health clubs and the general public.