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  • Essay / Which gym business model is best for changing obese people...

    IntroductionAustralians have long been renowned for being an obese country and now, for the first time in recent years, there has been a irresistible desire for the nation to live healthier, more active lifestyles, fueling a thirst for the long-forgotten fitness industry. Fitness niches that are non-traditional forms of exercise, taking the "work" out of training, previously growing robustly, are now being exploited by easy-to-access 24/7 gyms, which attract the majority of serious and profitable Australians (Brown Gibbons Lang & Company, 2013). Jett's vs. Fitness FirstIncreasingly, a healthy lifestyle has now become the mantra of many Australians, with the outlook for Australia's fitness industry in 2014 being one of good fortune. With two of the country's best-known fitness franchises, Jett's and Fitness First, locked in an escalating battle for fitness club recruitment, launching various clubs across Australia in a bid to attract as many consumers as possible. Jetts started with humble beginnings, starting with a Gold Coast Gym in 2007 and now has over 200 clubs, including 159 in Australia and 41 in New Zealand, totaling an ever-growing membership of 200,000 (Jetts, 2014) . Jetts, through the use of a revolutionized version of the Porters model of generic cost leadership strategy, has allowed them to reach second place in the 2013 Fast Franchise list, with average annual revenue growth by 219 percent over the last three years (BRW, 2013). ).As for Fitness First, it remains the largest private fitness club group in the world, made up of more than 540 Fitness First clubs worldwide, with a total of more than one million members in 21 different countries (FitnessFirst , 2014). Through its groundbreaking activities... middle of paper ...... available at: http://www.brw.com.au/p/entrepreneurs/top_fast_franchises_laser_clinics_Ve7re7fN5H9bEKszvcqC8H [Accessed: March 23, 2014].BRW. 2013. Fast Franchises 2013. [online] Available at: http://www.brw.com.au/lists/fast-franchises/2013/ [Accessed: March 23, 2014].FitnessFirst. 2014. Fitness First Gyms, Get a Free Gym Day Pass - Fitness First Australia. [online] Available at: http://www.fitnessfirst.com.au/ [Accessed: March 23, 2014].Jetts. 2014. Jetts Fitness Australia | Jetts fitness centers open 24 hours a day, fitness clubs. [online] Available at: http://www.jetts.com.au/ [Accessed March 23, 2014]. Thomson, J. 2012. Fitness First wants to lose weight by selling 24 clubs, while gyms at low prices monopolize market share. . [online] Available at: http://www.smartcompany.com.au/growth/economy/26165-fitness-first-to-slim-down-by-writing-24-clubs--as-low-cost- gyms -grab-market-share.html# [Accessed March 23 2014].