They are also planning to develop the direction of online training in the network of clubs OrangeFitness and CityFitness. The company is working on issues of monetization (previously classes were only free), the quality of content, and ensuring the club’s copyright, because it is confident that the direction will become the trend of the coming year. “Monetization of online is an extremely incomprehensible question at the moment. Advertising or sponsorship of manufacturers of clothing, shoes, food additives is one way. Subscriptions and pay-per-view are different, ”said Anastasia Yusina, the head and founder of the club network.
Other market participants believe that monetizing online training will be extremely difficult. Alex Fitness Kovalev, president of Alex Fitness chain of fitness clubs, is convinced that online will be profitable, but now it’s impossible to compare the revenue of the entire direction with the turnover of even one offline club: “Mostly online is the retention of existing customers and the involvement of a new audience. It’s too early to talk about earnings in the next year or two. ” Clubs, according to Kovalev, will be able to become interesting for advertisers if their videos collect more than half a million views per month. Nevertheless, the company will continue to develop online training.
VTB reported an increase in purchases in fitness clubs 8 times after opening
The director general of the Territory of Fitness clubs network, Alexander Kolmykov, said that the network viewed online training as a temporary free service at the time the clubs stopped working and the company does not plan to develop this area. The same opinion is shared by World Gym.
In Sochi’s Forward Fitness, they note that over the three months of quarantine, interest in online training has noticeably decreased, which has affected the number of views of training videos. Although now there are still some clients who prefer to engage online personally, the club does not plan a significant development of the direction, says its manager Marina Mandzyuk. “Free online training will appear in our lineup in the case of the second wave, until we plan to develop this area: this is not about monetization, only about maintaining loyalty,” she explained.
According to the Association of Fitness Industry Operators of Russia, many clubs tried to monetize online training when they realized that a pandemic would last longer than three weeks. However, according to the president of the association, Olga Kiseleva, a very small number of players did it – even if successful, it brought only 1-2% of the revenue.
Masks, bottled water and markup: how fitness clubs will work now
In general, the way out of self-isolation for fitness clubs will not be easy: according to the results of the first working week, according to the Association of Fitness Industry Operators of Russia, sales of the largest players in the Moscow fitness market fell by 50%. At the same time, renewal of old memberships now occupies 70% of the sales volume, and only 30% – purchase of membership from new customers. Before the pandemic, the ratio of new and old customers in the dynamics of sales looked different: in the premium business, 40% were new customers, and in the economy, up to 60%.
The drop in sales is due to the crisis, a decrease in purchasing power, and the low season, which is traditionally the summer period for the fitness industry, explains Kiseleva.
“Over the 27 years of the company’s existence, there have been no such crises. Separate clubs closed, there were repairs and reconstructions, but the entire network of 100 clubs, including franchised ones, never closed, ”Pryanishnikov stated in an interview with RBC.
The previous World Class strategy included a plan to open ten new clubs in 2020, but part of them will be delayed. The company opened only four points that were highly prepared before the coronavirus. The average club network with a total area of 3.5 thousand square meters. m requires investment of 200 million rubles.