There is no doubt that 2020 was a rough year for national economies worldwide. Consequently, one industry that is specifically suffering from the coronavirus pandemic is the fitness industry. Gyms and fitness clubs around the world had to close their doors to comply with national regulations to prevent the spread of COVID-19. These closures had a detrimental effect on fitness brands’ financial ability to continue operating. Some fitness companies lost the battle, while others learned to adapt to the evolving situation.
Since March of 2020, there has been a huge jump in consumers accessing virtual content. Mindbody, a fitness booking platform, surveyed its consumer base and found that 73% of consumers are using pre-recorded video versus 17% in 2019; 85% are using live stream classes weekly versus 7% in 2019. Virtual workouts existed even before the pandemic with two prominent brands; Peloton and MIRROR. These fitness brands offer workout content embedded in their machines. Demand for Peloton’s internet-connected bike soared during the spring and summer as gyms were shuttered.
Several large fitness brands like Gold’s Gym, 24-Hour Fitness, and Town Sports International all filed for bankruptcy protection in 2020. Other fitness brands such as Equinox and Planet Fitness have responded to the lockdowns by launching workout apps in the early weeks of the lockdowns to keep their customers engaged. Equinox launched “Variis” - a streaming app that offers on-demand fitness content, while Planet Fitness partnered with fitness platform “iFit” to develop premium workout content on its app.
These changes in the fitness industry come as a result of consumers’ changing lifestyles during the pandemic. Virtual workouts offer consumers a more convenient workout schedule; they could work out for an hour in between a Zoom meeting and family responsibilities, for example. Mindbody’s data shows that 56% of respondents are exercising five times per week, thanks to the rapid accessibility of online training. However, the industry is heading towards a hybrid experience in the future, offering in-person and virtual workouts. That is because a lot of fitness brands are likely to re-open once the pandemic recedes and some consumers are ready to go back to the gym.
Resources that might be helpful:
Peloton fitness: https://www.onepeloton.ca/
MIRROR fitness: https://www.mirror.co/
References:
1) Cording, J. (2020, July 13). How COVID-19 Is Transforming The Fitness Industry. Retrieved January 19, 2021, from https://www.forbes.com/sites/jesscording/2020/07/13/covid-19-transforming-fitness-industry/?sh=6d3e0bd330a7
2) Davalos, J. (2021, January 19). How COVID-19 has permanently changed the fitness industry. Retrieved January 19, 2021, from https://www.bloomberg.com/news/articles/2021-01-19/fitness-industry-may-never-return-to-its-old-ways-after-covid-19
3) Palumbo, J. (2020, April 01). Is this AI-powered 'mirror gym' the future of home exercise? Retrieved January 19, 2021, from https://www.cnn.com/style/article/yves-behar-home-gym-forme-wellness/index.html
4) Shaban, H. (2021, January 08). The pandemic's home-workout revolution may be here to stay. Retrieved January 19, 2021, from https://www.washingtonpost.com/road-to-recovery/2021/01/07/home-fitness-boom/
5) Smith, B. (2020, September 08). Peloton Announces New Bike+, Cheaper Tread, and Bootcamp Classes. Retrieved January 19, 2021, from https://www.mensjournal.com/health-fitness/peloton-announces-new-bike-a-cheaper-tread-and-bootcamp-classes/
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