Club Business May 2007 > > > The magazine of the International Health, Racquet & Sportsclub Association www.ihrsa.org International David Schnabel, Gold’s Gym International’s new CEO, is prepared to lead the worldfamous chain into a new period of progress ›35 Spa-Tacular! ›38 Long considered a luxury, spa services are quickly becoming a necessity in clubs Franchise Frenzy ›50 Fitness-franchise systems’ fiveyear growth has been an impressive 144%! $7 Mining Gold’s Promise www.startrac.com Editor’s Welcome Our ‘message’ is getting out in an impressive way. Clubs Approach A Tipping Point Club Business International The mission of IHRSA is to grow, protect, and promote the industry, and to provide its members with benefits that will help them be more successful. PUBLISHING Editor-In-Chief: Craig R. Waters Publisher: Jay M. Ablondi Managing Editor: Rebecca K. Waters S Tracy Powell 4 ometimes, it seems, things appear to come together perfectly. Paths cross. Stars align. Trends converge. And that certainly is the case today: I’ve just returned, this morning, from IHRSA’s 26th Annual International Convention and Trade Show, which brought nearly 13,000 fitness professionals together in San Francisco. A proof of the May issue of CBI—filled with details about auspicious developments—sits on my desk. So, too, does a new study from the Mercanti Group, a Minneapolis-based investment bank, that’s titled “Health Clubs Flex Their Muscles.” And the cover story of the new issue of Newsweek lying on a nearby table bears the headline “Exercise and the Brain.” The Newsweek article focuses specifically on the link between cognition and physical activity—“We know that working out is good for the body, but now research says it also makes us smarter,” the cover proclaims—but the special 23-page section is a virtual compendium of the countless benefits of exercise. The piece describes the positive effect it can have on, among other things, Alzheimer’s, cancer, heart disease, and, predictably, obesity. Newsweek, I should point out, is a magazine that’s read by more than 23 million people. Our message is getting out! That, in turn, is having a distinct, profitable, and persistent impact on the industry, as the Mercanti Group reports. It notes that the sector generated $17.6 billion in revenue in 2006, a 10.7% increase Craig R. Waters over 2005, and has enjoyed an 8% compound annual growth rate since 1993. The study acknowledges IHRSA’s pivotal role, and pays tribute to the achievements of many of the club companies that appear regularly in these pages, including Life Time Fitness (NYSE: LTM), Town Sports International Holdings, Inc. (Nasdaq: CLUB), 24 Hour Fitness Worldwide, Gold’s Gym International, Inc. (GGI), and Curves International, Inc. “The U.S. health club industry has sustained annual growth in excess of GDP (gross domestic product) growth for an extended period of time,” writes Mercanti analyst Dave Remick, “and is expected to continue on that pace for the foreseeable future.” The flattering facts offered by Newsweek and Remick are, of course, ones that are chronicled each month in CBI, and this issue is no exception. The subject of our Q&A, David Schnabel, the new CEO of GGI, is the first with a non-fitness background to head up that company. His impressive financial and management-consulting credentials speak clearly and strongly about the industry’s growing sophistication. Our fifth annual review of fitness franchises, which encompasses many of the success stories cited by Mercanti, finds that they’re growing faster than virtually any other franchise category… There have never been so many great reasons for those of us in the health and fitness club industry to get out of bed in the morning. n Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g Editor: Jennifer H. McInerney Associate Editor: Patricia Glynn Contributing Editors: Patricia Amend, Jon Feld, Julie M. King, Catherine Larner, Lesley Mahoney, Jean Suffin, Stephen Wallenfels, Kristen A. Walsh Associate Director of Advertising: Michele Eynon Advertising Account Executives: Jessica Gutstein, Donna Garrity, Christine Paterson Advertising Business Development William Finn Advertising Assistant: Katie Noonan Art Direction, Design, Production: tpgcreative, Boston, MA CLUB BUSINESS INTERNATIONAL EDITORIAL & ADVERTISING OFFICES: c/o IHRSA 263 Summer St., Boston, MA 02210 800-228-4772 USA & Canada 617-951-0055 • 617-951-0056 FAX E-mail: cbi@ihrsa.org www.ihrsa.org To order reprints of articles: Call (toll-free) 203-226-5780 or visit www.ihrsa.org/cbimagazine Club Business International (ISSN 1043-9692, USPS 766-570) is published monthly ©2006 by the International Health, Racquet & Sportsclub Association, 263 Summer St., Boston, MA 02210. All rights reserved. Periodicals postage paid at Boston, Massachusetts, and additional mailing offices. Canadian Sales Agreement #40767601. Subscription rate for members is $48 per year, which is included in the dues. Additional subscriptions $48 per year (USA) and $75 (International). Nonmember subscription rates are $72 (USA) and $120 (International). POSTMASTER: Please send change of address to Club Business International, c/o IHRSA, 263 Summer St., Boston, Massachusetts 02210 VOLUME 28, ISSUE 5 Club Business The IHR SA International Features Report 17 Tennis scoring growth points 35 Mining Gold’s Promise 18 Courting club members David Schnabel, Gold’s Gym International’s new CEO, is prepared to lead the world-famous chain into a new period of progress 18 Exercise gets its due Short Takes 38 Spa-Tacular! 29 Fit for Life Time Long considered a luxury, spa services are quickly becoming a necessity in clubs 29 R-Gyms taking off? page 17 45 A GAA! First As part of this year’s Get Active America! campaign, IHRSA is partnering with the U.S. Department of Health and Human Services to promote health and fitness 50 Franchise Frenzy Fitness-franchise systems’ five-year growth has been an impressive 144%! 61 Compensation Counts IHRSA’s annual Employee Compensation and Benefits Survey helps operators make sense of compensation 65 MultiFUNctional Multistation strength-training equipment meets clubs’, and members’, many needs News and Know How The IHRSA Report page 85 30 Indian market activity 30 Girl from Ipanema endangered 33 The power of Pilates 33 Belly blast In Every Issue 4 Editor’s Welcome The IHRSA Report 87 From the Desk of the Chairperson The association that you and I belong to is a critical contributor to industry growth. By Michael S. Levy 88 In Brief 8 This Month on www.ihrsa.org IHRSA initiatives send healthy message to Congress and public… Tax exempt rulings strengthen unfair competition precedent… 11 Letters 90 Inside IHRSA 23 On the Move IdeaCast is Premier Sponsor of Get Active America! 2007… Announcing new ActiveCareers Featured Employers Editor-in-chief Craig R. Waters on tipping points Reader Services 114 Marketplace 92 IHRSA Spotlight 13 CBI’s book club pick An update on people, companies, and developments that CBI has covered in the past. By Jon Feld 13 Anti-obesity incentives 95 What’s New 14 Online fitness infiltration 99 News from Associates 119 Advertisers’ Index 103 New IHRSA Associates 14 Ali’s one-two punch 17 Some exercisers don’t ‘Keep Going’ page 29 107 New IHRSA Clubs 113 Calendar of Events 120 CEO Briefing Triathlete feat Hunter Kemper Photography (cover): Graham Hobart Photography Photography (right): © XsMP.com Our ultimate aspiration is to position our industry as an integral part of the healthcare continuum. By Joe Moore MAY 2007 ihrsa.org This Month on About the Industry Running Your Business Professional Development Marketplace To Grow, Protect and Promote the Industry News Room Industry Calendar Publications Get Inspired at IHRSA’s Institute! Second Annual IHRSA University Convenes Next Month The second annual IHRSA University—which is being sponsored this year by Cybex, FIA (UK), Precor, Star Trac, and Technogym—will again be held at the prestigious IESE Business School in Barcelona, Spain, June 4-8. Designed to include plenty of interaction and group work, the week-long program is limited to 40 participants to ensure maximum benefit for all. While no specific education level is necessary, participants should have at least eight years of management experience, and either already be general managers or be on track for that position. Spring Sale: 25% Off All Make plans now to be IHRSA Store Publications among the industry leadNow on sale at IHRSA’s ers who will be attending redesigned and dramatically the 19th Annual IHRSA improved online store, Institute for Professional you’ll find reports on the Club Management, which industry, operations, and takes place August 6-10. Inspirational Institute consumer research; publicaThe Institute returns to tions about the benefits of the Babson Executive Conference Center, a comprehensive exercise; IHRSA magazines; meetings facility on the campus of world-renowned Babson and much more! Visit College, located only 20 minutes from downtown Boston. www.ihrsastore.com in Its exceptional curriculum, graduate-level class sizes, May or June and save at least unparalleled peer networking and social opportunities, 25% on your purchases! and expert faculty are second to none. While you’re “Whether we were learning from industry browsing the userS SS BUSINES OPEN A FITNE Y DOING IT leaders, or sharing ideas with fellow attendees, NE friendly IHRSA AND MAKE MO the Institute was enjoyable from start to finish,” store, don’t miss reports Bill Craig, general manager at Colorado these new spring Athletic Club, in Denver, and a member of the releases: Open Class of 2006. “Highlights from my week in Boston a Fitness Business included listening to Rick Caro speak about financial and Make management; discussing practical club-management Money Doing It! issues in a roundtable session led by Julie Main; and by Thomas learning about strategic planning from Gerry Faust. Plummer; and In the weeks since the conference, I’ve already The Health/Fitness Club applied many of the ideas and concepts that I acquired Operator’s Guide to Recruiting there. Most importantly, the event reignited my passion and Retaining GREAT for this industry and increased my understanding of EMPLOYEES, by Stephen what we do and why we do it!” Tharrett and James Peterson. Find out more at www.ihrsa.org/institute. n Also available are DVDs and MP3s of select IHRSA Road Show Seminar Series Continues… sessions from IHRSA’s 2007 Coming to a City Near You! International Convention. Independent club operators nationwide are invited If you weren’t to experience an IHRSA educational and networking able to attend event—without having to travel across the country. IHRSA the convenhits the road with the legendary Thomas Plummer behind tion in San the wheel for a series of two-day seminars and trade shows, Francisco, presented by The National Fitness Business Alliance. or if you Upcoming dates include May 9-10 in Detroit, Michigan, just couldn’t and June 20-21 in Atlanta, Georgia. Seminar topics make it to every session on include “Competing in Tough Markets,” “Getting the your wish list—check out Most Out of Sales,” “Marketing That Works,” “Retention is Your Financial Future,” “Profit Centers,” and “Why www.ihrsastore.com today! n the Next Five Years Will Be Your Best Five.” Learn more at www.ihrsa.org/ontheroad. n n With In Cooperatio mer Thomas Plum Erwin Korst, national sales and marketing manager for Health City in The Netherlands, had this to say about his experience at IHRSA University 2006: “That week was the best thing that ever happened to me in the fitness industry, in terms of learning new things about the business and about myself!” Visit www.ihrsa.org/ university to register before this event sells out! n 8 Club Business International n Membership M AY 2 0 0 7 n w w w. i h r s a . o r g Letters “We need to come up with new and fresh approaches… to breaking the seductive grip of a sedentary lifestyle.” REQUIRED READING © Thanks to IHRSA for the compilation, Best of John McCarthy: Thoughts on Industry Growth, Competition, and the Club Business. This outstanding publication has become required reading for my management team, and I’d recommend it to anyone working in the club business. Bob Shoulders Owner Fayetteville Athletic Club Fayetteville, AR [Editor’s note: The print and PDF version of Best of John McCarthy: Thoughts on Industry Growth, Competition, and the Club Business can be ordered at www.ihrsastore.com for $30.] CREATIVE CONCEPT © I’d like to concur with the ideas set forth in the February installment of the Editor’s Welcome (see “An Exercise in seductive grip of a sedentary lifestyle. As suggested in the Editor’s Welcome, creativity is the oxygen that breathes life into what we do. Recognizing and studying Cirque du Soleil and other organizations like it, which honor creativity as a precious resource, are vital and necessary steps in our battle against the formidable forces of boredom and antipathy. Creativity,” pg. 4) regarding Cirque du Soleil. The author did an excellent job of articulating the importance of creativity, both in the remarkable performances of Cirque du Soleil and in relating it our industry. Creativity is one of the cornerstones of the fitness business, seeing as boredom is among—if not the—greatest threat to a successful exercise outcome. We need to institute some kind of law against pairing the words “exercise” and “routine” in the same sentence. In fact, even the term “regular” exercise is pushing the tedium envelope. Anything that implies “same old, same old” might as well be considered an invitation to quit. As in any industry that’s maturing, we, in the club business, are faced with a population that’s increasingly difficult to impress. We need to come up with new and fresh approaches—performances may be a better word—to breaking the w w w. i h r s a . o r g Stephen Wallenfels Marketing Director Tri-City Court Club Kennewick, WA Editor’s note: Letters may have been edited for reasons of space or clarity. HOW TO WRITE If you would like to submit a letter for publication, please address it to CBI c/o IHRSA, 263 Summer St., Boston, MA 02210, or e-mail cbi@ihrsa.org. n M AY 2 0 0 7 n Club Business International 11 News&KnowHow Writing the Book on Men’s Fitness Cuts produces guide to healthy lifestyles > Just in time for Father’s Day: Cuts Fitness for Men, the dynamic fitness-franchise company based in Clark, New Jersey, has just published a book about its express workouts that encourages men everywhere to embrace exercise and a healthy lifestyle. To produce the book— The Cuts Fitness For Men Guide to Exercise and Healthy Lifestyles—John Gennaro, the company’s founder, and partner Steven Haase, its managing director, enlisted the help of Myatt Murphy, a former editor of Men’s Health magazine. The foreword was authored by Dr. Mehmet Oz, a surgeon and educator affiliated with Columbia University and New York Presbyterian Hospital. The entry-level guide, priced at $17.95, is designed for individuals who are new to exercise or who haven’t been exercising regularly. “So many books are for hardcore workout enthusiasts,” observes Haase. “When we looked at the market, we didn’t really see much for the average guy.” The Cuts book, he explains, was created to fill the gap. The book encompasses the Cuts franchise workout, “Cuts at Home,” “Cuts on the Road,” and stretching regimens, as well as general information about exercise, nutrition, and other healthrelated topics. It will be sold at Cuts clubs and through major retail distribution outlets. Founded in 2003, Cuts Fitness for Men has about 75 franchise locations in 22 states and five countries. n In Obesity Battle, Discounts Talk Peer Ksmer/Deutsch Presse Agentur States work with Weight Watchers to make low-cost services available Broadening attack on obesity >The possibilities inherent in public/private initiatives to combat obesity are now being demonstrated, in a dramatic way, in Tennessee and West Virginia. In Tennessee, TennCare, the state’s Medicaid agency, made it possible for 1,400 Medicaid recipients to take advantage of low-cost Weight Watchers classes. Over a six-month period, the participants lost a total of 8,000 pounds. Recognizing that financial incentives may be more effective than medical alarums in prompting people to take responsibility for their health, West Virginia has since followed Tennessee’s lead. Working with UniCare, the state’s largest Medicare provider, it’s offering free Weight Watchers classes to 75,000 people. West Virginia has the third-highest percentage of obese residents in the U.S., and the new program, it’s hoped, will minimize the associated financial impact. In fiscal 2002, the state spent an estimated $140 million on obesity-related medical costs. “It’s not just a West Virginia problem—it’s a national problem,” noted John Monahan, the president of state-sponsored w w w. i h r s a . o r g n M AY 2 0 0 7 programs for Wellpoint, Inc., the corporate parent of UniCare. “It’s (obesity is) like smoking was years ago,” he told the Associated Press. “I think all states are going to have to start addressing this.” Monahan said that, if the West Virginia project proves successful, Wellpoint may consider launching similar programs in the 14 other states where it administers benefits. Those are California, Colorado, Connecticut, Georgia, Indiana, Kentucky, Maine, Missouri, Nevada, New Hampshire, New York, Ohio, Virginia, and Wisconsin. n n Club Business International 13 NEWS Nickelodeon is challenging children to turn off the tube and head outdoors for some good old-fashioned exercise. continued Clubs’ Online Competition Is Proliferating > The number of business entities offering fitness advice and services continues to grow, and, depending on one’s perspective, that’s either good—or bad—for the health club industry. The category of options that seems to be proliferating most rapidly is that of Internet-based programs, many of them launched by established media operations. Recently, Newsweek founded an interactive health and fitness community, inviting its subscribers to assess their fitness level via a special online feature. And Nickelodeon, the children’s television network, challenged youngsters to turn off the tube and head outdoors for some good, old-fashioned exercise with its Let’s Just Play Go Healthy Challenge—an interactive program designed to inspire healthy lifestyle changes. The challenge is part of Nickelodeon’s Let’s Just Play initiative, which promotes good nutrition, physical activity, and other healthy behaviors. The network has also entered intro strategic partnerships with food companies and sporting-goods manufacturers, lending its signature television characters for use on their products. “I think health and wellness has come to the forefront, and as a company, that is a focus,” Leigh Anne Brodsky, the president of Nickelodeon and Viacom Consumer Products, told Newsday. “Where it makes sense, we will do products that give kids the message to get up and go and have fun with the characters.” n John Lee/Getty Images/Newscom Newsweek and Nickelodeon introduce fitness-promotion programming Game on! Nickelodeon challenges kids to get off the couch Muhammad Ali is Latest Champion of Healthy Habits Boxer’s new line of high-energy, reduced-calorie snacks packs a one-two punch > Float like a butterfly… Sting like a bee… And eat like a champ! Bigger-than-life boxing legend Muhammad Ali is back in the ring, but this time he’s swinging to help Americans defeat obesity. The three-time world heavyweight champion recently introduced a new line of reduced-calorie snacks, branded G.O.A.T.— an acronym for Ali’s designation of himself as the “Greatest Of All Time.” College students got the first taste of the product when 14 Club Business International n Power-packed snacks from Ali it was introduced at select campuses last January 17, on Ali’s 65th birthday. The M AY 2 0 0 7 n w w w. i h r s a . o r g snacks, which are produced by Mars, Inc., the candy giant, include fruit bars, chips, and crunch mixes. Packing a high-energy, lowcalorie (150 or less) punch, the treats are loaded with vitamins, minerals, calcium, and protein. Inspired by the foods that Ali ate when training, the items in the line are named for his boxing moves and packaged in packets shaped like boxing gloves, speed bags, and medicine balls. Flavors include: Fruit Fight, Slammin’ Salsa, Holy Guacamole, Who’s the Mango, and Thrilla-Dill-a. The G.O.A.T. snacks will arrive at 20 college campuses this spring, and are expected to land on consumer store shelves by the fall. “This is an opportunity for me to help everyone better themselves, body and soul… to empower people to eat like champions,” Ali explained to the Philadelphia Daily News. n NEWS continued After only two weeks, 22% of the people faltered on their fitness intentions, and, after one month, 33% called it quits. Going, Going… Gone! David Cooper/ZUMA Press/Newscom Study uncovers weaknesses in exercisers’ best intentions > “It keeps going, and going, and going… ” While that familiar phrase is clearly appropriate as Energizer’s slogan, the battery manufacturer recently discovered that the opposite is true when it comes to people’s New Year’s fitness resolutions. In short: when it comes to workouts—they don’t keep going and going. The company, which dubbed its alkaline offering “the official battery of 2007 New Year’s fitness resolutions,” recently conducted a “Keep Going” survey—an online poll of 319 fitness trainers, selected at random, throughout the U.S. While the principal goal of the survey was to find out how trainers were using batteries, it also yielded a host of information about people’s fitness patterns, particularly, their ability—or in most cases, their inability—to maintain their exerciserelated resolve. The findings revealed that, after only two weeks, 22% of the people faltered on their fitness intentions. After one month, 33% called it quits. And after two months, 32% abandoned their quest for fitness. But the survey’s results weren’t all discouraging. When asked to share their suggestions about achieving one’s fitness goals, the trainers offered some helpful ideas. Nearly 40% of them cited the importance of establishing a routine, and close to 35% noted how important enjoyable workouts are to success— both of which are facilitated by the health club environment. What about the club members who are keeping their New Year’s resolutions? The trainers reported that the majority (58%) are pursuing weight-loss goals, while the rest are hoping to improve their health and/ or improve muscle tone. n Tennis Scores Growth Industry-wide TIA initiatives continue to drive financial and membership gains > The tennis industry continues to improve on what’s already a great game—attracting more and more players to the court, thanks, in large part, to two innovative outreach initiatives: Tennis Welcome Centers and Cardio Tennis. The Tennis Industry Association (TIA), which created the programs, recently reported that the clubs that made use of them posted positive growth figures last year. The Tennis Welcome Centers, introduced in 2003 to attract new players to the game, have performed as planned—producing both financial and membership dividends. The TIA notes that more than half of the approximately 2,000 participating facilities made progress on both fronts in 2006, averaging 31 new and 29 returning players. Cardio Tennis, a program of cardio drills designed to enhance players’ workouts that was launched in 2005, yielded similar results. In ’06, 74% of the participating facilities recorded an increase in revenues, averaging 13%, and 64% reported w w w. i h r s a . o r g n M AY 2 0 0 7 an increase in membership, averaging 31 new players. The industry’s strength is also attested to by strong equipment sales and growing interest in events, such as the US Open. The Sporting Goods Manufacturers Association (SGMA) notes that tennis is the only traditional sport that grew, in terms of participation—more than 10%— between 2000 and 2005. “All parts of our sport are working together to grow the game,” observes Jolyn de Boer, the executive director of the TIA. “Manufacturers, organizations, and teaching pros realize that, when we grow participation, good things happen. n n Club Business International 17 Programming Their many virtues have earned court sports a permanent and important club role. Court Sports’ Renewed Promise By John R. Birks I n the late ’80s, when, pressured by clubs’ need to allocate more space to aerobics and fitness, the number of racquetball courts in the U.S. began to fall, many court-sport enthusiasts began to wring their hands, prematurely, in despair. Since then, however, court sports have demonstrated that they’re hardly an endangered club species. Rather, their many positive attributes have earned them a permanent role as an important part of many facilities’ programming—one that, given current market conditions, holds fresh promise. The number of racquetball players has held steady, at about 5.6 million, since the ’80s. Similarly, for the past several years, the percentage of IHRSA clubs offering racquetball (37%), Wallyball (26%), and squash (17%) has remained constant. No, court sports aren’t going away. In fact, they’re still successfully courting club members. What special assets do these sports possess? The list, already long, continues to grow. They provide excellent balance, flexibility, cardio, strength, and core conditioning. They burn calories like crazy. They’re both social and competitive in nature, fostering member interaction and, therefore, retention. They’re never boring—a grievance frequently leveled at other types of exercise. They come in an increasing number of interesting, innovative forms. And each of them has an eager, committed constituency. At the moment, clubs can choose from among: • Racquetball: USA Racquetball, the national governing body, actively promotes collegiate and high school programs, and recently introduced an online member-management program to improve communication. 18 Club Business International n M AY 2 0 0 7 n • Wallyball: This fast-paced sport, which can be played by four, six, or eight players at a time, helps maximize court usage. It has an estimated base of more than 2 million registered players worldwide. • Squash: Once regarded as the most “elite” of court sports, squash is now one with universal appeal, played on some 50,000 courts in 153 countries. It’s governed and promoted, in the U.S., by the United States Squash Racquets Association. • Handball: The US Handball Association, anxious to expand the game’s impact, has announced its intention to raise $5 million—half to be invested in communication, public-awareness, and player-development initiatives, and half to endow a fund to ensure handball’s future. • Squish: Invented in 1999 by CBI Contributing Editor Stephen Wallenfels, Squish combines elements of racquetball, squash, tennis, and, even, ping pong, and has already yielded leagues and tournaments. • International Court Soccer: Combine the appeal of soccer, which has more than 20 million players in the U.S. and Canada, with the ambience of a racquetball or squash court, and you have International Court Soccer, a copyrighted game that I’ve been closely involved with. • And then there’s Tracketball, and Pickleball, and Wallyminton… Today, club operators, when they consider the new upside of court sports, are wringing their hands with anticipation. n J OHN R. B IRKS is the founder and president of International Court Soccer and can be reached at jb@internationalcourtsoccer.com. w w w. i h r s a . o r g NEWS continued Exercise Gains Ground in Fight Against Pounds > For decades, many dieters have mistakenly believed that eating less was the most effective—in fact, only way— to shed unwanted pounds. Now, however, a new study produced by the Pennington Medical Research Center at Louisiana State University, in Baton Rouge, documents that exercise is equally essential to successful weight loss. The study, described in a recent issue of the Journal of Clinical Endocrinology & Metabolism, tracked a group of 24 volunteers over a six-month period. Twelve of the subjects ate a calorierestricted diet, while the other 12 dieted and exercised five times a week. Those who simply dieted ate 25% less than normal; those who dieted and exercised ate 12.5% less, and increased their exercise levels to burn an extra 12.5% in calories. Each group lost approximately the same amount of weight, fat mass, and visceral fat. Another new study, conducted by the Duke University Medical Center, in Durham, North Carolina, indicates that a majority of Americans support changes in public policy to incentivize healthier lifestyles: Some 85% endorse tax breaks for companies that provide exercise space for their employees; 72% want the government to require insurers to cover obesity prevention and treatment programs; and 73% want it to provide incentives for companies that offer lower health insurance costs for employees with healthy lifestyles. n NEWS continued Late Breaking Dream team Pausing for a photo op during the 26th Annual International Convention and Trade Show, held in March in San Francisco, were members of IHRSA’s board of directors. The impressive gathering included: back row, from l., Gene LaMott, Art Curtis, Mike Raymond, Tony de Leede, David Patchell-Evans, Bob Shoulders, Frank Napolitano; middle row, from l., Susan Cooper, Lloyd Gainsboro, Cyrus Oskoui, Mike Motta, Lynne Brick; and front row, from l., Sandy Hoeffer, Ed Williams, Julie Main, Chairperson Michael Levy, Debra Siena, Rick Beusman, and Laurie Smith. Not pictured: Phil Wendel and Harold Morgan. Public Companies Bally Confronts Chapter 11, NYSE Delisting > In mid-March, Bally Total Fitness (NYSE: BFT) announced that it may file to reorganize its operations under Chapter 11 bankruptcy protection, and, a few weeks later, on March 30, acknowledged that it may be delisted from the New York Stock Exchange—in part, because of its failure to file its 2006 annual report on time. Trading in Bally’s shares had been suspended on March 16 because the stock was set to open at, or below, $1.05 per share, the minimum bid permitted by the NYSE. Shares, which had traded at a 52-week high of $9.92 in March of 2006, were valued at $0.68 on April 11. In order to avoid delisting, Bally must promptly file a business plan with the exchange describing how the company intends to regain compliance with respect to all regulatory requirements within 18 months. If it is delisted, Bally indicates, it will arrange to be quoted on the OTC Bulletin or a similar system. In unrelated news, last month, the company announced it had entered into a partnership with drugstore.com, a leading online retailer, to distribute Bally-branded products, including energy, nutritional, and performance supplements, as well as exercise equipment. Bally, based in Chicago, operates nearly 390 clubs in 26 states, Canada, Mexico, China, Korea, and the Caribbean. n Breaking News Technogym’s Olympic Win provided equipment for the Games in Sydney, Australia, in 2000; Athens, Greece, in 2004; and Turin, Italy, in 2006. In Beijing, more than 12,000 athletes, from over 200 countries, competing in 28 sports categories, will employ some 1,000 pieces of Technogym cardiovascular and strength-training equipment distributed among 10 separate facilities. The company will also provide wellness centers for members of the Beijing Organizing Committee for the Olympic Games (BOCOG) and nearly 20,000 journalists. The Chinese Olympic Committee (COC) has also selected Technogym as the supplier for its own teams. Liu Jun, the deputy director of marketing for BOCOG, explains that the company was chosen because of “the quality of its vast and complete range of products and services, as well as for the experience it’s accumulated in previous Olympic Games.” Power pair Liu Jun, l., of BOCOG, and Alberto Pacchioni, the public-relations director for Technogym, at signing ceremony > In late March, Technogym, one of the world’s premier manufacturers of fitness equipment, announced that it had been named the exclusive official supplier of fitness equipment for the next Olympic Games, which will take place in Beijing August 8-24, 2008. It is the fourth Olympic win for Technogym, which also w w w. i h r s a . o r g n M AY 2 0 0 7 “We’re very proud to have been chosen, for the fourth time, as the official supplier of the Olympic Games,” notes Nerio Alessandri, the founder and president of Technogym. “The Games represent a unique opportunity to promote a wellness lifestyle, and to attract more people to regular physical activity.” n n Club Business International 21 On The Move Acquisitions founder and CEO of GoodLife. “We feel that he’ll bring a keen insight to the table in terms of the fitness industry, the financial industry, and his ability to draw upon his experience with large club operations.” Smith, once a professional squash player, joined Town Sports International (TSI) in 1985, and retired as chairman in March 2006, two months before the chain went public. GoodLife is Canada’s largest privately held chain, with 123 facilities throughout the country. Halabi Trust Acquires Esporta For $905 Million > In what qualifies as a true blockbuster deal, Duke Street Capital (DSC), the private-equity fund manager, has sold the Berkshire, U.K.-based Esporta chain to the Halabi family trust for an estimated $905 million. DSC offered the 52-club company for sale at auction after having received several unsolicited offers to purchase it last summer. The Halabi family trust, overseen by property investor Simon Halabi, was among 10 suitors who entered bids: among the others were the private-equity firms Apax and Blackstone. The Halabis currently own a number of high-end properties in England, including Aviva Tower in London, and Mentmore Towers in Buckinghamshire. During the transaction, DSC was advised by Citigroup, and the Halabi family by Buckingham Securities Holdings. n Award Winning Staples Named USTA Trainer Of the Year > Chicago’s Midtown Tennis Club has long been an industry standard-bearer with respect to both its amenities and its people. Recently, it earned yet another mark of distinction: Butch Staples, its head tennis pro, received the United Tennis clout Midtown’s Butch Staples, USTA trainer of the year States Tennis Association’s (USTA’s) first-ever Recreational Coaches Workshop (RCW) “Trainer of the Year” award. This honor recognizes tennis pros for their extraordinary contributions in training new coaches and promoting the sport. “It seemed only fitting that Staples be the first to win this award,” observes Kirk Anderson, USTA’s director of recreational coaches and programs. “He’s one of 10 master trainers in the country, and has been with us since the program began in 2000. He’s been a big proponent and supporter of the RCW. Even with a busy schedule, he always takes time to give back, and works with those who are just starting out.” Staples has taught 28 workshops over the past six years, and helped train many of the 23,000 coaches who’ve gone through the RCW program. “The USTA award truly exemplifies excellence in the tennis industry, and I’m pleased that he’s been recognized in this way,” says Steven Schwartz, the president and CEO of the Midtown Athletic Clubs (MAC), which owns the Chicago facility. “His ongoing commitment to the sport of tennis is exemplary, and we’re privileged to have him as a head pro.” MAC—formerly the Tennis Corporation of America (TCA)—operates 12 facilities in Illinois, Indiana, Kansas, New York, Georgia, and Florida. n LVAC’s FitzGerald Goes Back to School Career Moves TSI’s Smith Named to GoodLife Board Professor Bret FitzGerald > Bret FitzGerald, the vice president of communications for the Las Vegas Athletic Clubs (LVAC), has accepted an offer to join the faculty of his alma mater, the University of Nevada, Las Vegas (UNLV), as an adjunct professor in its School of Public Health. He earned his master’s degree in health promotion from UNLV in 2005. As an adjunct profes- © > Mark Smith, the former chairman of Town Sports International Holdings, Inc. (NASDAQ: CLUB), has been appointed to the board of directors of GoodLife Fitness, based in Ontario, Canada. “GoodLife’s executive team is looking forward to working closely with Smith to build more fitness options,” says David Patchell-Evans, the w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 23 On The Move Lifestyle Family Fitness now operates a total of 43 locations in Florida, Ohio, and North Carolina. continued sor, FitzGerald, a 29-year fitness industry veteran, will teach undergraduate health-education courses, while maintaining his current responsibilities at LVAC. LVAC operates five clubs throughout Las Vegas. Lifestyle Names Salemi and Busby To SVP Posts LFF real estate: Chris Salemi technology, Busby was the founder and chief information officer of AdvanTech Solutions, a human-resources management service provider. Before starting AdvanTech, he was a founding member of the ADP TotalSource management team. Based in St. Petersburg, Florida, LFF operates 43 locations in Florida, Ohio, and North Carolina. n > Developing senior management from within, Lifestyle Family Fitness (LFF) has promoted Chris Salemi to the position of senior vice president of real estate development, and named Scott Busby senior vice president and chief information officer. Club Openings Gold’s Gym Makes Its Debut In the U.K. LFF information: Scott Busby Salemi, who joined LFF in 2006 as vice president of real estate, has worked in the industry for 25 years. A CPA, his prior experience includes serving as a development officer for DeBartolo Development and as vice president of real estate for the Eckerd Corporation. Before coming to LFF in 2005 as senior vice president of information 24 Club Business International n > Gold’s Gym International, Inc. (GGI), which has clubs worldwide, recently opened its first franchise in Great Britain—a 30,000-squarefoot facility in Royal Park, London. The new unit boasts a wide range of cardiovascular and resistance equipment, as well as a 2,500square-foot free-weight section and four groupexercise areas. The club also offers amenities not generally associated with GGI, such as a wet room with a 15-seat hydrotherapy M AY 2 0 0 7 n w w w. i h r s a . o r g pool, steam rooms and saunas, a foot spa, and a salt cave (an enclosed “healing area” popular in Eastern and Central Europe). The U.K. franchise was launched by the ABM Group, a consortium of West London businesspeople. ABM, which holds a master franchise, plans to open 10 more Gold’s Gyms in the London market over the next 12-18 months. Based in Dallas, GGI has more than 600 locations in 41 states and 27 countries. ‘Hola!’ to Holmes Place Academy > The Holmes PlaceEuropolis group (Iberia) has extended its Holmes Place Academy concept to Spain, making it the first chain to offer both internal and external industryspecific training there. The academy, which Holmes Place first launched in Portugal in 2002, offers fitness training; personal-training courses; Pilates, management and leadership workshops; sales training; and more. All of the programs are based on the company’s internal training modules. Once trainees have worked their way through the modules, they become eligible to become Holmes Place employees. While it was originally designed as an internal project to develop employees and ensure consistent standards of professionalism and customer service, the academy is now open to anyone involved in fitness. “We want to encourage more young people to become educated in the area of health and fitness,” explains Josep Viladot, the group manager of the Europolis clubs and director of the academy. “We’d like them to receive our training © Fast track The Holmes Place Academy in Spain sources employees 175+ presenters World-class presenters include Victor Brick • Mike Chaet • Colin Milner • Maureen Hagan • Peggy Buchanan • Paul Chek • Len Kravitz • David Patchell-Evans • Four-time Olympian Silken Laumann and many more! 400+ sessions Cutting-edge topics include: Fitness industry trends • Retention strategies • Sales/closing techniques • Profitable programming • Marketing strategies • Service and more SIZE MATTERS 6,000+ attendees Network with top Club Owners • Managers • Program Directors • Fitness Supervisors • Personal Trainers • Front Desk Staff • Group Exercise Instructors and Allied Health Professionals! 200,000+ sq. ft. Canada’s largest fitness trade show where you can shop for Cardio and Strength equipment, Yoga and Pilates equipment • Software solutions • Aquatic products • Sport-specific products • Spa products • Music • Books • Clothing and more! register today! International Fitness and Club Business Conference and Trade Show August 16-19, 2007 Metro Toronto Convention Centre Toronto, Ontario Canada www.canfitpro.com 1-800-667-5622 3 3 % ) . 3 " 5 !$ 3% 9 2 / 6)3 43 #2% 2% ! 6% ,%$ On The Move courses, and, if they’d like, to stay with us, working in one of our clubs.” Based in the U.K., Holmes Place operates nearly 70 clubs in Great Britain, Austria, the Czech Republic, Germany, Greece, Hungary, Israel, Poland, Portugal, Spain, Switzerland, and the U.S. n Strategic Strategic Partnerships Synergy Provides Training for Ela Soccer > As the popularity of soccer grows, and as the sport becomes increasingly competitive, players in the U.S. are looking for an edge. The Ela Soccer Club, based in Lake Zurich, Illinois, has found just that at a local club, Synergy Fitness and Sports, in nearby Lake Forest. Ela, a leader in the development of soccer players ages 8-19 for the past 20 years, is relying on Synergy to help train its young athletes. “We’re very excited to partner with Synergy Fitness and Sports to add another level of training to our program, which will complement the soccer training our Room to grow Beautiful facilities helped fitness dk sell 4,200 memberships in a single day professional staff currently provides,” says Gin Sharma, the director of training and development for Ela. Synergy will utilize the UltraFit (or EvoSport) Athletic Mastery Training system, a licensed program designed to improve overall fitness and performance training, in working with the soccer club. “Forming an alliance with Ela provides an exciting opportunity for both parties,” notes Synergy CEO John McNulty. “We feel strongly that the UltraFit system will benefit Ela players, not just by improving fitness and performance levels, but also by educating Linesmen Synergy Fitness and Sports helps train soccer stars kids and parents about proper human movement, while reducing the risk of injury.” n Promotions fitness dk Signs Up 4,200 In a Single Day > It was a record-breaking achievement for fitness dk, Denmark’s largest club chain. Thanks to a unique promotion, it signed up 4,200 new members in a single day. The impressive numbers were the result of a one-day-only initiative, which offered prospective members a discount based on their body weight. To make the deal appealing to individuals at both ends of the weight scale, the minimum discount available was $52, and the maximum, $174—paid at $0.86 per kilo, per member. For example: a new member weighing approximately 80 kilos, or 176 pounds, received a discount of about $69. w w w. i h r s a . o r g n M AY 2 0 0 7 The promotion, held on a Saturday in January, attracted new members weighing a total of 731,494 pounds, who received an overall discount of $284,187. Record-breaker Ingerslev “Very few initiatives before this have been able to succeed, to this extent, in activating the Danish population on a national level,” observes Rasmus Ingerslev, the cofounder and CEO of fitness dk, which operates 36 clubs throughout the country. n n Club Business International 27 ShortTakes HUNTER KEMPER Comes on Strong! LIFE TIME FITNESS TRIATHLON WINNER IS CBI’S FITNESS ROLE MODEL FOR MAY A © XsMP.com 3.1-mile swim, followed, first, by a two-hour, 40-mile bike ride, and, then, by an hour-long, nine-mile run. Sound exhausting? Very nearly impossible? Well, it’s just an average training day for Hunter Kemper, the U.S. Olympic Committee’s 2006 Sportsman of the year, and the first American male to win the Life Time Fitness Triathlon. In addition to his grueling daily schedule, this two-time Olympian also spends 45 minutes, three times a week, in the gym, engaged in heavy-duty core and weight work. Kemper’s commitment to fitness extends to nutrition: he dines, five to six times a day, on energy-boosting carbs, such as waffles, bagels, and bananas, along with proteinrich foods, such as eggs, peanut butter, and nuts. His intense dedication and unflinching perseverance have helped him to rack up some impressive achievements. He competed in the 2000 and 2004 Olympic triathlons, and, last year, came in first in the Life Time event, which is sponsored by Life Time Fitness (NYSE: LTM), the Eden Prairie, Minnesota-based club chain. After completing the 1.5-kilometer swim, 40-kilometer bike ride, and 10-kilometer run, Kemper emerged victorious, prevailing over 2,500 other competitors, including some of the world’s finest elite athletes. In honor of Kemper’s 31st birthday, on the 4th of this month, CBI would like to add yet another title to his ever-growing list—that of fitness role model of the month for May. n Triple threat Hunter Kemper ‘Would You Like Some Exercise With Those French Fries?’ MCDONALD’S CONTINUES TESTING ITS KIDS’ GYM CONCEPT The early reviews of McDonald’s new R-Gyms—exercise-oriented activity centers that are intended to replace the chain’s 20-year-old PlayPlace jungle gyms—have been both positive and negative. Parents and children who have had the opportunity to experiment with the concept at the seven McDonald’s sites in California, Oklahoma, and Illinois where it’s being tested have generally been enthusiastic, but some educators and other professionals are skeptical. The R-Gyms feature age-specific activity “zones” that facilitate such activities as rope-climbing, stationary cycling, jumping, dancing, and a slalom challenge. Whether the R-Gyms take off, becoming either a competitor or a feeder for health clubs, remains to be seen. If it decides to launch the mini-gyms chain-wide, it could result in the conversion of as many as 5,500 PlayPlaces at its more than 13,000 U.S. outlets. While the R-Gym may seem promising to some, Susan Linn, a psychologist at Harvard Medical School, and the cofounder of the Campaign for a Commercial-Free Childhood, predicts that the new product will do little to curb childhood obesity. “It takes hours to work off the calories from a Big Mac,” she told the Chicago Tribune. “What it does is make it appear as if McDonald’s is addressing the issue [of childhood obesity], but it is not.” n w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 29 ShortTakes Sultry Brazilians INDIAN FITNESS Industry Poised for Rapid Growth an Endangered Species Anorexia, liposuction, and diet pills threaten full-figured aesthetic Indigenous and international firms tap one of world’s hottest emerging markets i n Brazil, where curvaceous figures were once regarded as the epitome of beauty, women are now embracing a sleeker, leaner, more European look—and, increasingly, taking weight-loss efforts to an unhealthy extreme, reports The New York Times. Inspired by outside influences—including, notes the Times, “the Barbie aesthetic, celebrity models, satellite television, and medical makeovers”—Brazilians have fallen victim to many of the evils associated with excessive weight-loss practices. Among the disturbing results: a dramatic increase in anorexia (which has led to the death of several Brazilian models); a proliferation of gastric bypass procedures; and a rapid rise in the consumption of appetitesuppressant drugs (their use for aesthetic reasons more than doubled between 2001 and 2005). The most recent body-reshaping fad: the liposuction of one’s toes. The “girl from Ipanema” ideal, which endorsed a fuller, guitar-shaped body, has been replaced by that of individuals such as super model Gisele Bündchen, who, by comparison, seems nearly emaciated. “Hers is a globalized beauty that has nothing to do with the Brazilian biotype,” psychologist Joana de Vilhena Novaes, the author of The Intolerable Weight of Ugliness: On Women and Their Bodies, observed of Bündchen. “She has very little in the way of hips, thighs, or fanny. She’s a Barbie.” Historian Mary del Priore, the author of The History of Private Life in Brazil, told the Times that, by “upgrading to international standards of beauty,” Brazilians were abandoning their long-held belief that “plumpness is a sign of beauty, and thinness is to be dreaded… Today, it’s the rich in Brazil who are thin, and the poor who are fat.” n 30 Club Business International n M AY 2 0 0 7 Bruno Domingos/Reuters Photo Archive/Newscom Over the past two years, India’s fitness industry has grown dramatically, with both local and international companies jockeying for position in this huge, dynamic, and increasingly affluent emerging market. In terms of indigenous operations, Talwalkar Fitness Solutions Pvt., Ltd., profiled in the October issue of CBI (see “No. 1 in India,” pg. 42), is the country’s largest chain. It already has 40 facilities, and Rahul Talwalkar, the company’s director, plans to have 100 open by 2010. Another local venture, the Abs Fitness and Wellness Club, a relative newcomer, also attests to the market’s promise. In less than one year of operation, it’s opened three locations in Pune, and is on schedule to have 10 facilities within the next three years. In terms of multinationals: Gold’s Gym International, Inc. (GGI), and Powerhouse Gym International, LLC, have both set up shop, and GGI’s master franchisor, Gold’s Gym India, is now planning to develop 20 additional sites. Meanwhile, representing the U.K., Fitness First, the world’s largest club chain, has also made its interest and intentions clear: it plans to open 20 facilities throughout the country. Abhimanyu Sable, the founder of the Abs Fitness and Wellness Club, tells CBI, “The Indian club industry has evolved from local, hardcore, gym-centered facilities into ones that are on par with Western clubs in terms of size, equipment, amenities, and services. Over the next five years, the industry is going to enjoy its very best time.” n Downsized model Gisele Bündchen n w w w. i h r s a . o r g ShortTakes The Transforming POWER OF PILATES An instructor-to-the-stars packages services to serve low-income clients Let’s face it—Pilates is an amazing, transfiguring form of exercise that delivers mind/body benefits from head to toe, but it can be expensive. And, because it’s cost-prohibitive for many people, the practice can become exclusive. But, in South-Central Los Angeles, that’s no longer the case. Pilates instructor Kim Carruthers, who works with celebrity clients such as model Tyra Banks and actress Patricia Arquette, has taken Pilates beyond her private studio, offering free and reduced-price classes to lowincome clients. It all started when a high school senior, who couldn’t afford Pilates sessions, sought her out, hoping to get into shape so she could fit into her prom dress. Carruthers offered the girl discounted Soon thereafter, she came up with the concept of Pilates in the ’Hood—a chain of affordable Pilates studios where small groups could take classes for a small portion of her standard $80 fee. This summer, Carruthers plans to open the first of at least 10 such studios throughout California. She’s also exploring the possibility of eventually franchising the business model. Pilates in the ’Hood facilities will feature a fully-equipped Pilates studio, plus a selection of cardiovascular equipment, and will offer mat classes. “For me, it’s important that I’m giving people the opportunity and the chance to change their life through Pilates,” Carruthers, a certified personal trainer and a former Alvin Ailey dancer, tells CBI. “It’s not only about fitness, but about developing self-esteem and self-respect.” n Step forward Kim Carruthers cuts costs classes and helped her reach her goal. Carruthers then began teaching free weekly Pilates classes at a local school and at a Boys & Girls Club. Belly-Dancing Diva Shakes Up Workouts BELLY BLAST BY SHARQUI OFFERS NEW TWISTS, AND TURNS, ON GROUP EXERCISE CBI FREQUENTLY REPORTS on fitnessprofessionals-turned-entrepreneurs who have identified, addressed, and mastered yet another novel niche in the constantly expanding world of group exercise. This month, the innovation in our spotlight is an advanced belly-dancing workout, called Belly Blast by SharQui, that incorporates weighted belts to add resistance and make things more challenging. The program is the latest addition to a growing repertoire— officially known as SharQui, the Bellydance Workout—that’s the brainchild of Oreet Jehassi, a dancer, choreographer, and certified aerobics instructor. In 1996, Jehassi, who goes by the single name of Oreet, developed SharQui to optimize the cardiovascular and toning benefits of belly dancing in a fitnessclass format. The total-body workout focuses on core strength, stamina, isola- facilities as the New York Health and Racquet Club, Gold’s Gym, Bally Total Fitness, and the Sports Club LA. n tion, and speed, and helps develop a positive self-image on the part of participants. “I grew frustrated when I saw that women—despite the fact that they were exercising—were still unhappy with their bodies,” Oreet tells CBI. “ I decided to incorporate belly dancing, a cultural tradition I’d studied as a hobby for years.” Oreet holds the titles of Bellydance Entertainer of the Year 2006, reigning Middle Eastern Dance Champion of North America, and Champion Bellydance Diva 2005. Her sold-out classes are taught at such w w w. i h r s a . o r g Belly beauty Oreet Jehassi n M AY 2 0 0 7 n Club Business International 33 CBI Interview “Gold’s Gym has a colorful history and a powerful brand that no amount of marketing money can buy.” David Schnabel hopes to usher in a new era of progress as the incoming CEO of Gold’s Gym International, Inc. By Jon Feld CBI: Gene LaMott, the former CEO of Gold’s Gym International, Inc. (GGI), was perhaps the last vestige of the “pre-TRT” era—the period before TRT Holdings acquired the company. What does your appointment to the position signal? Graham Hobart Photography DAVID SCHNABEL: First off, I’d like to say that, during his time here, Gene accomplished some amazing things and led the company through some of the biggest transitions in its history to date. We’re grateful for his contributions. It was an incredible honor to take the helm of one of the world’s greatest brands and be given a chance to work with such a talented team. As we’ve filled key roles in the company, we’ve looked to find people who could build off the accomplishIn CEO David Schnabel, ments of their predecessor and 34, Gold’s Gym International, help take Gold’s Gym to new Inc. (GGI), has its first leader heights. We’re committed to from outside the fitness combining the best minds from industry. Schnabel, who holds outside the industry with the an undergraduate degree most talented people from from Stanford University and within it. For example, our a graduate degree from the executive team encompasses a Harvard Business School, wealth of experience from a has a solid history in the variety of industries, including financial sector. Previously, fitness (Gold’s, Bally Total Fithe was vice president of ness, and 24 Hour Fitness), acquisitions at GGI’s parent retail (CompUSA, Blockbuster), company, TRT Holdings, and multi-unit franchise modwhere he identified GGI as an els (CiCi’s, Blimpie’s). opportunity for acquisition. He also served as a member CBI: You’re the first person of GGI’s board following from outside the industry—and the 2004 purchase. Before the first non-franchise owner— joining TRT, Schnabel held to head Gold’s. What strengths positions at Goldman Sachs do you bring to the table? and McKinsey, the financial and management-consultDS: I’ve been fortunate to have ing firms. Schnabel lives in had the opportunity to work Dallas with his wife, Paige. n Q&A Highlights: • Outsider at the helm • International expansion • More corporate clubs • Working with franchisees with and analyze some of the most interesting and fastest-growing businesses in the world. I’ve seen how different companies have met and tackled various challenges, whether they’re related to growth or existing operations. I think I can apply some of the lessons and best practices of those companies to what we’re doing here at Gold’s. CBI: You were credited as “sourcing” the Gold’s acquisition for TRT in 2004. What did you see in the company that made it attractive to you? DS: There are a lot of things about Gold’s Gym that made it so attractive to TRT. Gold’s Gym has a colorful history and a powerful brand that no amount of marketing money can buy. It has an international footprint that gives it unique competitive advantages. And we have people, on both the franchise and corporate sides, who are incredibly pas- © Gold’s go-getter David Schnabel Interview “Today, Gold’s Gym is attracting men and women with a real skill for making money by providing a sought-after service.” grew up in the fitness industry to individuals with MBAs? sionate about what they do for a living. It also happens to be a very profitable company in a rapidly growing industry. That’s a pretty rare combination in business. There’s another element that shouldn’t be overlooked: The fact that we truly get to change people’s lives every day. When I hear about a member at one of our gyms who was able to tackle a severe weight problem, or who managed to control their diabetes through fitness, or who simply thanked us for helping them get in shape for their wedding—it puts everything into perspective. DS: While the industry may be becoming more sophisticated, I think it’s important to retain a little bit of that “T-shirt” mentality, because that’s what got us here. And frankly, there are a lot of people still wearing T-shirts who are incredibly talented. This industry was built on the great relationship between a gym owner/manager and the member. No matter how much we grow, or how complex the business becomes, we can’t lose sight of that. That’s why we encourage our employees to spend time at our gyms—so they can live and breathe the member experience. At CBI: What do you think about the trend, in this industry, to move from T-shirts to “suits” in terms of management—from people who the end of the day, everything we do should be done with the member relationship in mind. CBI: When TRT first took over, there was a strong focus on international development and master franchises. How has the company fared with respect to those goals? DS: The international market is one of the most exciting areas of growth for the company. We opened more than 30 international locations in 2006 and are on pace to have 500 gyms outside of the U.S. by 2010. Last year, we celebrated 10 years in Japan and Russia, and saw new Gold’s Gym locations open in cities like São Paulo, Brazil; Jakarta, Change in Perception, Change in Brand C hanging a brand that’s been a part of the public consciousness for more than 40 years isn’t easy, but, under the aegis of TRT Holdings, its parent company, the Gold’s Gym International, Inc. (GGI), team seems ready to tackle the task at hand. Given GGI’s increasing growth and desire to stake out more global territory, updating the brand’s perception represents an understandable, critical, step forward. “Our own statistics tell us that 57% of our overall membership is in the 18-34-year-old demographic segment, and only 7% of our membership is 55-plus,” notes Joe Flanigan, GGI’s chief marketing officer. “By comparison, IHRSA’s national numbers are 29% and 25%, respectively, so we recognize that we need more balance.” Like any other industry player, GGI is acutely aware of the fact that it needs to leverage the baby-boomer market. One way it’s been addressing that challenge is by building more 40,000-50,000-square-foot clubs with much more than a lot of free weights, adding pools, basketball courts, cardio theater studios, and other more accessible amenities. But Flanigan understands that creating these new facilities is only part of the answer. GGI can’t back into brand evolution; it must confront it proactively. To that end, it’s researched its current brand perception, and developed an entirely new “platform” that it intends to use to reach out to new audiences. “Our research in several geographically diverse U.S. cities painted a very clear and consistent picture of both the best and worst aspects of our brand perception,” reports Flanigan. “It currently places us somewhere between being known as a place for ‘muscle-heads and body-building’ that some people 36 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g are ‘too intimidated to go inside,’ and being known as, ‘the experts on fitness, and the place for fitness results.’” GGI’s revised brand-positioning strives to downplay the latter, while actively promoting the former—a strategy embodied in its new tagline: “Gold’s Gym. Change Your Body. Change Your Life.” “It signifies our evolution from gym to fitness club,” explains Flanigan. “It means that, regardless of your age, race, sex, or stage of life, Gold’s expertise and experience can deliver life-changing results.” GGI has taken other steps to revamp its public persona, such as entering into a number of new strategic alliances and retail promotional partnerships to better leverage its national advertising dollars. For example, it’s currently running a national “Change Your Body, Change Your Life” sweepstakes in two demographically targeted magazines, SELF and Men’s Fitness. The campaign includes advertising, online sign-ups, in-gym point-of-purchase displays, magazine subscriptions with new memberships, over $10,000 in prizes, and ongoing magazine coverage. GGI is also working with Verizon/Motorola RAZR on a national phone membership incentive, and is involved in several movie premiere promotions, including ones for Blades of Glory and Fantastic Four II. On the “life-changing” front, GGI recently became one of the first national strategic partners of the American Diabetes Association (ADA). Last year, it raised more than $600,000 for the ADA’s “Tour de Cure” event, with more than 300 clubs and 1,600 cyclists taking part, and, this year, will expand the program to include the Gold’s Gym national Spin-a-Thon. Interview “We’re committed to combining the best minds from outside the industry with the most talented people from within it.” Indonesia; Lima, Peru; and Manila, Philippines. We also held our secondannual master franchisee summit in the Dominican Republic. CBI: GGI just opened its first club in the U.K. What sort of ambitions does it have there? What other countries does GGI regard as being strong prospects for rapid expansion? CBI: What do you think is the most significant challenge now facing GGI? DS: Finding great people. As we proceed with implementing all the growth plans we have in mind, we’re making it our mission to attract, hire, and train the best and brightest people in the business. To facilitate that, we’re investing heavily in training and development. We want Gold’s Gym to be the best place in the industry to work, and for it to be a career, not just a job. CBI: A while ago, GGI announced its intention to focus more intently on corporate-owned clubs. Has that initiative been successful? DS: We’re very committed to growing both sides of our business—corporateowned clubs and franchised locations. Our corporate growth has been strong. In the first month of 2007, we opened four new clubs and, currently, have a total of 52 corporate-owned locations. To give you an idea of how quickly that side of the business has ramped up: In 1999, we had just one corporate site, in Venice, California. We’re enthusiastic about our corporate stores and expect significant growth through both new club development and acquisitions. Graham Hobart Photography DS: The U.K. is a great market for fitness and represents a substantial growth opportunity for the Gold’s Gym brand. We’re employing a direct franchise model, rather than our traditional master-franchise model, and, last year, sent one of our regional field managers there to manage the growth. We currently have five clubs open in the U.K., and have several more under development. We believe there are similar opportunities in other countries around the globe. Rebranding goal is reflected in new tagline ‘Change Your Body. Change Your Life.’ CBI: GGI is rather unique with respect to its relationship with the Gold’s Gym Franchisee Association (GGFA). How do you intend to work with the GGFA? coming to us from a wide range of industries, and many have both the desire and the funds to open multiple units fairly quickly. CBI: Does TRT have an exit strategy for Gold’s? DS: In fact, when I became CEO, the first call I made was to the GGFA board. They’re an invaluable partner and have been tremendously supportive during the transition. As we continue to grow this brand and our franchise operations, it’s critical to have their support and input. A major example of our increased collaboration with the GGFA was the formation of the National Franchise Council (NFC); in addition to meeting to address matters that affect the entire brand, the NFC will serve as a forum to resolve issues among Gold’s Gym franchisees. DS: TRT is focusing its efforts on building a company that will have great long-term value. When you look at TRT’s other investments, you’ll see that it doesn’t subscribe to a cookie-cutter, five- or seven-year plan just to turn a profit. For example, it’s owned the Omni Hotels since 1996 and is still investing heavily to improve an already great brand. CBI: Which Gold’s Gym do you make use of? What are your personal impressions of it? CBI: How is the makeup of franchisees changing? DS: I work out at the Gold’s Gym in the Uptown section of Dallas. It’s got a great atmosphere, with tremendous energy, and really represents where we’re going as a brand. I have an incredible trainer who takes a little too much pleasure in putting me through the ringer, but there’s nothing more gratifying than being sore after a high-intensity workout. n DS: Fifteen or twenty years ago, Gold’s Gym facilities were typically opened by “gym guys” who wanted to create a job for themselves doing something that they enjoyed. Our franchisee profile has evolved in recent years, just as it has for many franchised brand names in other industries. Today, Gold’s Gym is attracting men and women with a real skill for making money by providing a sought-after service. They’re w w w. i h r s a . o r g J ON F ELD is a contributing editor for CBI and can be reached at jon@trendline-co.com. n M AY 2 0 0 7 n Club Business International 37 THE (MARKET) Appeal of Club-Based Long considered a luxury, SPA SERVICES are quickly becoming a necessity SPAS By Jean Suffin AS OUR LIVES CONTINUE to accelerate toward a constantly busy, perpetually stressed- out state, a growing number of people are coming to recognize—and appreciate— the untold, as well as obvious, virtues of indulging in spa treatments. Given the health and fitness industry’s expanding, evolving role in the pursuit of health, wellness, balance, and serenity, club members across the country and around the world are asking themselves an important, telling question: Is a massage a luxury… or a necessity? < Refreshing The O Spa at Franco’s To help them decide, many clubs are now offering à la carte spa services, such as facials and massages, to complement their lineups of personalized services. An equally popular trend is the emergence of comprehensive in-club day spa operations offering a range of treatments, from massages and facials, to more sophisticated medical applications, such as microdermabrasion, peels, and botox injections. According to the International Spa Association’s (ISPA’s) 2006 Spa-goer Study, there were 13,757 spas in the United States as of August 2006, representing an average annual growth of 16%. In 2005, spas were a $9.7 billion business, with revenue growing by 18% annually. © w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 39 Club-Based SPAS continued But perhaps the most enlightening statistic is that more than one in 10 spa-goers treat their visits to spas as an integral, vital part of their larger health and wellness regimen, according to ISPA. And many of them are doing so at one of the more than 484 club-based spas throughout the country, accounting for $209 million in revenue in 2006. In addition, 4% of IHRSA member clubs offer some form of day spa services. According to the association, club-based spas and day-spa services fulfill a critical function in the overall spa industry: 5% of U.S. spa-goers visited a club spa as their first— initiatory—experience. Primary benefits “A club spa offers guests the opportunity to focus on complete health, wellness, and stress-reduction—all under one roof,” Lynne Walker McNees, ISPA’s president, tells CBI. “It’s the obvious complement to a healthy lifestyle.” In addition to their profitability, club-based spas are effective in both enlisting new members and increasing member retention, according to operators. Nonmembers who visit the spa get exposure to the club and often become members, partially to take advantage of the discounts in spa services that many clubs offer. Likewise, club members are apt to visit a spa if it is part of the overall club facility. Janice Nichols, vice president of the Sport & Health Company’s spa division, notes that, at each of its three Serenity Day Spa locations in Virginia and Washington, D.C., a massage has become a necessary part of many members’ workouts; the convenience of an on-site spa makes it easy to integrate a massage, and other services, into their routine, much like personal training. Sales appeal Franco’s O Spa markets services and spa products treatments to meet their needs, from a $15 brow wax, to a $225 facial with microdermabrasion and peels.” This variety of personalized services is exactly what spa-goers are after, according to ISPA’s Walker McNees. “Consumers today are busier than ever before,” she observes. “They are looking to simplify their lives and create opportunities to recharge and find balance. When someone visits a health club, a resort hotel, or even a salon, they want a place where they can ‘get it all’— and that usually includes having a spa treatment.” This expectation is one that most clubs with spas have anticipated. According to Brian Lynch, the director of sales “ THE REVENUE PER SQUARE FOOT IN THE SPA IS DOUBLE THAT OF… THE CLUB. The metrics at Serenity support this notion. Nichols points out: “The revenue per square foot in the spa ($310) is double that of the revenue per square foot in the club.” The company’s three spas boast a 15% profit margin, and generate more than $4 million in annual revenues. A similarly profitable scenario is playing out at Sanctuary Spa, located at Western Athletic Club’s (WAC) San Francisco Bay Club, in San Francisco. There, spa services and personal training are the top profit centers in the club. “The day spa industry has skyrocketed!” reports Gina Raiola, spa director. “By visiting both the club and the spa, members can come here to take care of their body inside and out, with a range of 40 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g ” and marketing at the upscale Bosse Sports Club and its spa, SOMA, in Sudbury, Massachusetts, the impetus behind adding a day spa to the club was not to increase membership; it already has a waiting list of prospective members, and limits its membership to about 600. Rather, the goal was to increase the exclusivity of the club while providing its members with a one-stop shop. “It’s easy to get into the spa—and easy to get addicted to it once you’ve experienced it,” Lynch asserts. In addition, offering a spa element inside a fitness environment allows club operators to take pampering to a new level. “It’s not just about the body; it’s about the mind,” relates Sandy Franco, co-owner of Franco’s Athletic Club in Mandeville, Louisiana, which recently opened its O Spa. “Adding the spa component completely changed our image from that of a fitness club to that of a lifestyle club.” During its first nine months of operation, the O Spa generated $405,000 in revenues, and, as at Serenity, the spa significantly outperformed the club component on a revenue-per-square foot basis, this time by a factor of more than three; while the club posted $58/square foot, the spa racked up $184. Glam demand Services yield an attractive margin at O Spa Secondary sales Club-based spas have also found a way to “pamper” their bottom lines with product sales, which create another successful revenue stream by allowing patrons to bring a little bit of the spa home with them. At Franco’s O Spa, for instance, Franco studied the hotel industry as a model, and then began selling everything that was offered in the spa, including robes, luxury linens, and skin-care products. “The boutique sells everything that contributes to that feel-good spa experience—anything that smells good, feels good, or tastes good.” And sales have been “off the charts!” she reports. Similarly, at the Sanctuary Club, 25% of the revenue from the spa derives from product sales. At the O Spa, retail sales produced 24.7% of the total revenues ($100,000 for nine months) and spa gift cards, 23.5% ($95,000). Franco estimates that the spa’s retail profit margin should continue to run somewhere between 20% and 30%. “It’s a bit too soon to pin it down more precisely,” she says. Because spa services are so personal and tend to create loyalty toward a particular service technician, clients return regularly, and this becomes a strong pull for them to renew their club memberships. “We see them every week,” says Raiola, of WAC. “We know their families, their jobs. We’ve become a part of their lives.” Nichols, of Sport & Health, agrees. “The spa helps to build a deeper bond with members. If they should lose their favorite group-exercise instructor, they still have people they connect with in the spa. People are very dedicated to an individual provider. It makes them think twice about moving on to another health club.” SPA SUCCESS Fine Times at Wellbridge W hile the spa business can be a lucrative one for clubs, opening an onsite spa is not without its challenges. Finding a professional, experienced staff to both manage the spa and provide specialized services to clients can be the most daunting one. Since the spa and club have become formally linked, the spa staff’s customer service must reflect the club’s high standards. But, as the Wellbridge Company clearly demonstrates, it can be done. Of the 20 clubs that Wellbridge owns and manages nationwide, seven feature a full-service day spa. They are: Colorado Athletic Club-DTC, Greenwood Village, Colorado; Honolulu Club, Honolulu, Hawaii; Bel Air Athletic Club, Bel Air, Maryland; Wellbridge Athletic Club and Spa, Clayton, Missouri; Wellbridge Athletic Club and Spa, Town & Country, Missouri; Harbour Island Athletic Club and Spa, Tampa, Florida; and Concord Athletic Club and Spa, San Antonio, Texas. In addition, 90% of its clubs provide massage services. “A spa provides an added amenity to the overall experience, and it attracts a higher-end market,” says John Satir, east regional director and director of spa development for Wellbridge. Wellbridge opted to open spas at these seven locations because they had adequate space for the desired offerings. While all of the locations encompass the same core elements, each spa is customized to match its club’s décor, and offers a branded menu with signature services particular to the club’s geographical region. “In Florida, the spa may offer a mango facial, whereas, in the northeast, it may offer a pumpkin-cranberry facial,” Satir says. Ideally, club staff and spa technicians can work hand in hand to promote business across both hemispheres of the facility. “Our certified personal trainers can perform the function of strength training and toning. However, to obtain maximum results, the body must rest and rejuvenate post-workout through massage,” notes Satir. “This full circle of wellness is exactly what Wellbridge prides itself on providing to its members.” Some 30% of the three spas’ clients are club members, while the bulk of the remainder (64%) are nonmembers. Similar figures prevail at the O Spa: 46% of its customers are club members, while the remainder are nonmembers. Surprisingly, 35%-40% of them are men. Based on these operators’ accounts, it’s clear that spa services only add to a club’s profitability, prestige, prospects, and promise, in terms of both revenue and membership growth. Even better, they enhance the members’ experience as well. n J EAN S UFFIN is a contributing editor for CBI and can be reached at jsuffin@comcast.net. w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 41 Club-Based SPAS continued The Little Touches Make a Huge Difference to the Bottom Line SUCCESSFUL OPERATORS will tell you that it’s the little touches—fresh towels, attractively displayed soaps and shampoos, massage services, etc.—that make a big impact in a club’s day spa or locker room environment. Give your members the VIP treatment with the following IHRSA Associate Members’ products, and watch those little touches generate big profits! A-1 Textiles and Hospitality Products Busy clubs need towels that can withstand washing, bleaching, and drying on a daily basis, yet still remain comfortable and soft to the touch. A-1 manufactures its towels on high-tech looms and uses cotton that stays soft and durable despite constant usage. The company offers towels for any budget; its lines include lowcost imports, mid-price premium house towels, high-quality domestics, jogging towels, sensormatic tags, mesh laundry bags, and more. “Price shopping is important to all club owners, but if your towels fall apart after a few washings, you’re clearly losing money,” says Carol Moran, A-1’s president. “Our quality starts high and runs through all six levels of our imported and domestic towels. And with seven distribution points nationwide, we can get our towels to any club quickly.” Contact: www.a1athletictowels.com, 800-351-1819. See our ad on page 67 HydroTher (Advanced Commercial Pool & Spa) HydroTher Dry Therapy Massage Beds incorporate heat, massage, and full-body floatation to relieve users’ pain and stress. Users float on a bed of heated water— dry and separated from the water by a thin membrane—as high-volume, high-pressure therapy jets massage away their soreness and stiffness. The beds have applications for chronic conditions, sports injuries, and wellness, and benefit virtually every system in the body, including the skeletal, muscular, nervous, and digestive systems. “After just 20 minutes on a HydroTher bed, members feel like they’ve had a full-body massage—without disrobing or getting wet,” asserts Jennifer Mercieca, HydroTher’s marketing director. “A wellness program that includes regular massage can improve your members’ long-term health and well-being.” Contact: www.hydrother.com, 800-891-5811. See our ad on page 68 42 Ready Care Industries Ready Care Industries offers premium locker room amenities, along with a variety of massage and manicure supplies, and private label retail products, to name a few. The company manufactures the Body Eclipse Professional Spa line, a collection that includes shampoos, conditioners, bath gels, and body lotions in a number of luxurious fragrances. Ready Care’s dispensing systems can be customized with silk-screened logos for use in shower, vanity, and spa applications. “We’re known for serving health clubs, and more of them are offering spa treatment services,” states Gary Robie, Ready Care’s CEO. “We offer solutions for them in that area, too. We use only the best ingredients, including botanical extracts, vitamins, and minerals, to live up to our reputation for quality. And our spa amenities, like our locker room amenities, are in stock and ready to ship the same business day, eliminating the hassle of back-ordered items.” Contact: www.readycare.com, 800-477-4283. See our ad on page 78 Sports Solutions, Inc. Sports Solutions offers a range of locker room, shower, and vanity presentation amenities. The company has six different lines of aloe and vitamin-enriched spa and sports products. Its vanity containers are available in marble, travertine, steel, acrylic, metals, and Corian. In addition, Sports Solutions provides robes, linens, and 600 more spa and locker room essentials. “A spa requires high-end accessories, and natural stone provides an upscale look,” says Laurie Schmidt, president of Sports Solutions. “When you’re ready to update your locker rooms, you can create a beautiful shower and vanity presentation, choosing from six colors of natural stone, marble, and travertine dispensers and accessories. We offer bottle and bracket systems, dispensers with metal pumps, multiple sizes and styles of storage jars, trays, towel holders, and tissue covers.” Contact: www.sportssolutionsinc.com, 800-969-8008. See our ad on page 43 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g It’s Time, Again, To… Get Active America! By Patricia Amend IHRSA’s 2007 outreach campaign boasts exciting new offerings It’s a sure sign of spring: The Get Active America! campaign, IHRSA’s annual outreach effort to help combat the colossal human and financial costs associated with sedentary lifestyles and obesity, is upon us. If this year’s campaign is anything like those of previous years, it will undoubtedly make its share of headlines from coast to coast. In 2006, an estimated 70,600 consumers visited some 1,200 participating clubs. Major media outlets as varied as Prevention, Shape, Family Circle, and Diabetes Self Management magazines highlighted the event, as did daily newspapers across the country, including The New York Times, Atlanta Journal Constitution, and Rocky Mountain News. Forbes.com, About.com, Yahoo.com, and broadcast news stations from Detroit to Raleigh covered GAA! Since the program’s inception in 2004, Get Active America! has accounted for more than 143 million media impressions. During Get Active America! Week 2007, which begins Monday, May 14, participating clubs will open their doors, for free, encouraging members to “bring a friend”— a child, spouse, parent, grandparent, coworker, neighbor. In doing so, clubs may also help give their existing members a needed jumpstart for their own fitness programs. By signing up, Get Active America! clubs also agree to participate in the campaign’s industry-wide Open House, which takes place Friday, Saturday, and Sunday, May 18-20. During that event, operators are asked to schedule events that will attract uninitiated, inactive, and overweight or obese individuals to help them experience a health club, and realize that clubs are for everyone—for people just like them—and not only for people who are already fit. “Get Active America! 2007 will carry the theme ‘Back to Basics,’ to encourage clubs to focus on Americans who are new to exercise, or who have been away from it for a long time,” says Sara Lehrhoff, IHRSA’s health promotion manager. “In addition, to encourage more people to exercise, Get Active America! 2007 will focus on two main groups, or tracks—the family and the corporation.” The GAA! Family program is right for clubs looking to: • Reach out to the entire family; • Expand their youth programming; • Introduce families to the health benefits of exercise; • Offer family-focused programming. © w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 45 Get Active America! continued The GAA! Corporate track will be helpful to clubs seeking to: • Reach out to working professionals and help them make time in their busy lives for fitness; • Break into the corporate market; • Improve existing relations with existing corporate clients; • Promote early-morning, lunchtime, and after-work programming. IHRSA will supplement these offerings with an outreach campaign, the theme of which will be “Get Active America! Helping Americans create an exercise habit.” “We need to keep trying, year after year, to help more people in our local communities start a regular exercise program to benefit their health and well-being and to prevent a long list of diseases,” insists Joe Moore, IHRSA’s president and CEO. “We have a unique opportunity to help people discover the vast benefits of exercise in our clubs. We can, and should, show them that it is fun.” Also new this year is IHRSA’s partnership with the U.S. Department of Health and Human Services’ Office on Women’s Health, which is promoting Women’s Health Week (see sidebar). It kicks off on Mother’s Day, and runs the same week as GAA! “This partnership—a first in the four-year history of GAA!—is bound to give IHRSA’s program more credibility and visibility than ever before,” says Lerhoff. “It’s a boon for all GAA! participants, but also for family-oriented and women-only clubs, in particular.” CBI checked in with two clubs that have experienced phenomenal results with GAA! in the past, and have big plans for 2007. 46 Healthy fare Visitor checks out Sportsclub’s options The Corporate Option For GAA! 2007, Provost plans to focus more on the corporate market. She has hired a corporate salesperson who has been doing onsite “lunch and learn” seminars. “We want to show that we can support companies by being their resource for health seminars, rather than them having to do their own.” She sees her GAA! Open House/Health Fair—which will feature a local bloodmobile and screenings by local physicians and other healthcare providers—as an opportunity to attract more corporations as well as the general population. “With a third location opening up, we want to show our corporate clients that we now have locations that are ideally situated where employees work and where they live. Our goal this year is to increase traffic during GAA! Week.” To gain even more visibility in the community and further attract the attention of local companies, Provost will ask the mayors of Greenville and Simpsonville to issue Get Active America! proclamations. “It helps that we just signed the City of Simpsonville as a corporate client. Local firefighters and police officers make use of our club.” Sportsclub Greenville and Simpsonville, South Carolina New Name/Approach Sportsclub has been a proud participant in IHRSA’s Get Active America! initiative since it began in 2004, says Mary Beth Provost, vice president of operations. “IHRSA has done a wonderful job of preparing programming and marketing templates for us so that we have the tools to promote this national program in our local community.” She has leveraged those materials extremely well to gain the attention of her local media. In addition to news stories that appeared in print and on the radio in 2006, Sportsclub had a radio station carry a live remote broadcast from each club during its GAA! Open House/Health Fair. In addition, one TV station and two newspapers did stories on the event. In 2005, a local TV weatherman did his show live from the Greenville club during GAA! Week. Established in 1986, the Eau Claire Athletic Club changed its name to Unity Health & Fitness in January, 2006. “This allows us to broaden and unify our approach to health and fitness for everyone,” says manager Jeff Sauter. “Our vision is to encourage 100% of the population to be physically active.” Rather than a sudden change, the transformation has been an evolution, he points out. In October of 2005, the club began offering a calendar of health and wellness seminars every few months that are open to the public. It now offers 10 to 12 such presentations each month. For National Physical Fitness and Sports Month (also in May), and for Get Active America! 2007, Unity will offer as Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g Unity Health & Fitness Eau Claire, Wisconsin many as 30 seminars, which will be presented by local physicians, chiropractors, nutritionists and other health experts. These events will be conducted in partnership with the Continuing Education Department of the University of Wisconsin-Eau Claire, where Sauter is a member of a continuing education subcommittee. “Through community partnerships with other health professionals, Unity Health & Fitness goes beyond the traditional exercise approach by ‘unifying’ the services of dietitians, physicians, chiropractors, physical activity coaches, nurse practitioners, and other healthcare professionals. The result is a whole-health approach targeted at improving one’s physical condition, which in turn, will allow healthcare spending to be reallocated toward improving health rather than merely sustaining it,” he says. Community leaders also hope this approach will encourage both businesses and individuals to relocate to the area, Sauter explains. “With employers and taxpayers bearing the brunt of the cost of rising healthcare, we offer healthpromotion programs tailored to addressing the No. 1 driver of healthcare costs—the individual. Working in concert with societal drivers, such as insurance companies, health providers, and government agencies, we deliver programs that facilitate behavior change. Individuals will achieve a healthier quality of life, employers will achieve a healthier, more productive workforce, and the ‘commUnity’gains a vibrant, dynamic nature. We all win.” Indeed, GAA! is a winning proposition for all IHRSA clubs that participate. To enroll, log on to www.ihrsa.org/gaa. n PATRICIA A MEND is a contributing editor to CBI, and can be reached at pamend@aol.com. A GAA! FIRST: PARTNERING WITH HHS T his year, Get Active America! is certain to generate even more buzz than in years past. For the first time, IHRSA has partnered with a unit of the U.S. Department of Health and Human Services (HHS), a move that is bound to increase both the visibility and credibility of GAA! like never before. The natural partnership will draw attention to the health fairs and open house that GAA! will be offering. And the timing couldn’t be better: National Women’s Health Week (www.womens health.gov/WHW), sponsored by the Office of Women’s Health at HHS, kicks off on Mother’s Day, and runs concurrently with GAA! Week. Likewise, the goal of this event dovetails nicely with GAA!’s mission. “We want women to know that overall well-being includes physical, mental, emotional and spiritual health,” says Sharon L. Ricks, M.A., senior public health advisor on regional women’s health at the Office on Women’s Health at HHS. “This year’s theme is ‘It’s Your Time: Pamper Your Mind, Body, and Spirit.’ We will encourage women to get regular check-ups, educate them about the importance of physical fitness, and promote women’s health issues. The goal is to encourage women to improve their health and become more active.” Last year, Women’s Health Week was a tremendous success, reports Ricks. “We were able to reach millions of women across the country and encourage them to ‘Reconnect to Your Connect! with GAA! and HHS Health.’ The President and First Lady acknowledged the importance of the week, and the U.S. Senate and the House of Representatives issued resolutions recognizing the week. In addition, thousands of women took advantage of free or reduced-fee health screenings. More than 600 organizations joined forces to make this possible.” In addition, Ricks and her staff are promoting the WOMAN Challenge, an eight-week physical fitness challenge that encourages women to take 10,000 steps or partake of 30 minutes of moderate exercise each day. It, too, kicks off on Mother’s Day, and allows women to track their steps online (www.womenshealth.gov/whw/woman). “This is a great opportunity to promote physical fitness and activity among women and their families,” Ricks says. “You can register your events or activities online at www.womenshealth.gov/whw/participate/register. In 2006, 17,699 women and girls participated in the WOMAN Challenge across the nation. With the help of IHRSA clubs, we will surpass this number in 2007.” w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 47 ✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧ WHO SHOULD ATTEND? Owners, operators and developers of independently-owned clubs • Franchise owners, operators of express workout > Make plans now to attend the 3rd Annual IHRSA Club Business Entrepreneur Conference September 4-7, 2007 • Rio All-Suite Hotel • Las Vegas, Nevada Presented in conjunction with the THREE YEARS AGO, the Club Business Entrepreneur Conference 26th Annual National Fitness Trade Show and the 2nd Annual ACE International Fitness Symposium was created with one goal in mind: to provide industry entrepreneurs and independent club operators with the necessary resources, information, and motivation to jumpstart their businesses, increase sales and grow profits. This year’s event features another powerful lineup of presenters who will cut through to the core issues facing today’s independent club operators. These are highly successful entrepreneurs who are known for giving the most useful and relevant operating information. © ✧✧✧✧✧✧✧✧✧✧✧✧✧✧ ✧✧✧✧✧✧✧✧✧✧✧✧✧✧ ✧✧✧✧✧✧✧✧✧✧✧✧✧✧ ✧✧✧✧✧✧✧✧✧✧✧✧✧✧ “ Once again, IHRSA has given us, as attendees, a comprehensive program and a very diverse speaker and topic selection. The material was usable the very first day back to work at our fitness club. The conference flavor, staff assistance, the city location and the hotel were all ‘5 star!’ ” Kevin Ward, President Pinnacle Fitness & Performance Centers, Inc. ✧ ✧ ✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧✧ GENERAL SESSION CONCURRENT SESSIONS Failure is Not an Option: What it takes to succeed as an independent owner in today’s market Featuring Thomas Plummer, the Thomas Plummer Company Skills, Tools & Systems to Successfully Sell Health Club Memberships Casey Conrad, Healthy Inspirations Management Training & Motivation for Independent Club Success Karen Woodard-Chavez, Premium Performance Training The future still belongs to the independent club owner, but what it takes to be financially successful has changed. Acclaimed speaker and author Thomas Plummer— undoubtedly one of the most influential people in the fitness industry —will share his thoughts on what it takes to make money over time, to build a successful business and to fight hard for your place in crowded and changing markets. These lessons of life and business reflect Plummer’s 30+ years of experience working with club owners and staff from all >over the world. This session will help anyone who desires a long-term career in the fitness industry become more successful. Never Ending Motivation: Learn 7 Secrets to Ignite, Achieve & Maintain Motivation Donna Krech, Thin & Healthy’s Total Solution Marketing for Success! Nicki Anderson, Reality Fitness, Inc. “ Working ON the Business or IN the Business: Selling Solutions That Make a Bottom-Line Difference Ed Tock, Sales Makers Playing for Keeps Paul Brown, Face2Face Retention Systems The conference was great! I had a great time and learned a lot. The lunches were spectacular and a nice touch.” Tony Dr. Lawrence Zeff, Operations Manager Renaissance Health Club Develop & Analyze the Health Club Budget... Where Should Your Money be Spent and How Does it Compare to Other Clubs? Terry Vandermark, HealthClubSupport.com Luxury Cruise or Shipwreck— A Bold New Approach to Club Management for the Independent Club Operator Mike Chaet, CMS International Getting & Protecting Your Competitive Edge Through Technology Michael Scott Scudder, MMA FitBiz Connection™ < and/or single-sex facilities • Any club owners and operators who want to jump-start their businesses, increase sales and make more money! “ I am in the process of opening my own club, and I found the time spent at the Conference to be extremely helpful. I attended several key seminars and was impressed by the quality of each speaker. I came home with a ton of information and strategies which I could immediately put to use. I plan to attend this event every year!” Randy DeLue, Owner Breathe Fitness for Women ✧✧✧✧✧ ✧✧✧✧✧ In addition to these valuable sessions, you’ll have several opportunities to meet and network with other attendees—the independent operators of facilities like yours—who are facing many of the same business challenges you deal with every day. Of course, you’ll stay in top shape during the fun early morning workouts. Conference attendees will enjoy free access to the 26th Annual National Fitness Trade Show—it’s where the deals get done! Here, top industry manufacturers and suppliers will provide you with the opportunity to see, try and buy the equipment and programs that will keep your members coming back for more (and telling their friends). In pursuit of growing the industry together, the American Council on Exercise will again join IHRSA to offer its International Fitness Symposium for certified health and fitness professionals. Symposium attendees can earn CECs, view the latest in fitness equipment and network with IHRSA’s Club Business Entrepreneur Conference attendees through shared social events. Also taking place that weekend at the Rio are the 2008 SupplementsToGo.com Ms. Fitness USA and Ms. Fitness World contests. Don’t delay—make your travel plans now! In just a few months, you will leave Las Vegas with real tools and strategies that will have you making more money the very next day. n Log on to www.ihrsa.org/conference for the latest agenda or to register! Registrations can also be taken over the phone at (800) 228-4772. Rates go up after June 15th! SYSTEMS CONTINUE TO GROW UNABATED. THE REASON? IT’S THE BUSINESS MODEL, OF COURSE! FITNESS FRANCHISES Continue to Flourish By Jon Feld For the past four years, CBI has diligently reported on the persistent expansion of fitness franchises. Entrepreneur magazine’s “Top 500” list of franchises for 2007 now contains 15 different health club entries—second only to restaurants in terms of industry representation. To put the development in clearer focus, comparative figures from FRANdata, an independent research firm, show that, while the average annual growth for all franchise systems stands at 20%, the fitness sector’s five-year growth has been an impressive 144% (see Charts 1 and 2). 50 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g So what’s behind this seemingly unstoppable expansion? Well, one reason is middle-age spread. “The key factor at play is related to—what else?—the aging baby-boomer generation,” explains Michael J. McDermott, the editor of The Franchise Handbook. “This generation has sometimes been described as ‘the rat in the snake’ because of the tremendous influence it has as it passes through the successive stages of life. Just as a swallowed rat is clearly discernible as it passes through a snake’s body, so, too, the boomers have a visible, palpable, impact on everything around them. There’s a greater degree of segmentation in this sector than ever before, and it’s due, at least in part, to businesses springing up to meet the needs of aging, but fitness-minded, baby boomers.” Boomers are better educated than ever before about the benefits of regular exercise and, increasingly, inclined to purchase club memberships; their growing interest is fed, and fanned, by fitness services tailored to their specific needs. The same holds true for other cohorts—e.g., children, women, seniors, elite athletes, rehab patients—all of whom are attracted to franchise models designed with them in mind. “In the mid-1980s, IHRSA’s figures indicated that about 2% of the population was making use of fitness centers,” notes Jeff Klinger, the president of Anytime Fitness. “Currently, the number stands at about 16%, and, by 2020, it will likely be in the 40s. Most of that growth has come from the boomers.” © TOTAL YEAR FITNESS FRANCHISE UNIT GROWTH 20,000 15,000 10,000 5,000 0 2000 2001 2002 2003 2004 Year # Franchised Units 2005 18,468 2004 15,668 2003 14,677 2002 11,494 2001 9,091 2000 7,572 2005 Note: yellow line reflects consistency of growth w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 51 FITNESS FRANCHISES continued Right model, right time A Snap! Founder Peter Taunton’s fresh concept is succeeding Industry veterans such as Klinger, who’s been involved with clubs for more than two decades, and Peter Taunton, the founder of Snap Fitness, who has an equally extensive background, have found the key to making fitness franchising pay, and take, off. Both have owned “big-box” facilities with all the amenities—cardiovascular and strength-training areas, group-exercise studios, pools, racquet-sport courts, cafés, etc.—and both have been able to devise a new approach with distinct advantages. Among the goals that Klinger and Taunton strove for were: lower fees; greater convenience; increased access; ease of use; maximum space utilization; and reduced overhead. Their solution: express clubs. “I owned six facilities, ranging in size from 15,000 to 45,000 square feet, and had about 350 employees,” recalls Taunton. “In considering what I wanted in terms of a new busi- According to FRANdata, an independent franchise research firm, the growth in fitness franchising has been both vertical and horizontal. While there’s been a 144% increase in the number of franchise concepts, in general, since 2000, there’s been a 187% uptick in the number of fitness-franchise concepts during the same period. And, mirroring the fitness industry as a whole, the franchise sector has experienced increased segmentation. NUMBER AND TYPE OF HEALTH CENTER CLUBS AND SERVICES 25 20 FitnessRelated Services 15 Health Center Clubs Health Center Clubs FitnessRelated Services Children Health Clubs 5 3 8 Female Health Clubs 19 4 23 8 0 8 23 1 24 3 0 3 58 8 64 Target Male Health Clubs 10 Mixed Sports-Related 5 Total 0 Children Health Clubs Male Health Clubs Female Health Clubs Mixed Sports Related Source for all charts: FRANdata, 2007 Notes:“Fitness-Related Services” are concepts that aren’t health clubs, but provide fitness-related services Two of the fitness-related services concepts targeting women are specifically focused on mothers with babies and involve stroller activities “Mixed” are concepts that target the general public, i.e. both men and women Two of the mixed health clubs primarily target people over the age of 50 “Sports-Related” refers to health clubs focused on sports activities; two are focused on boxing and one on yoga 52 Total Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g Supermodel Snap floor plan ness, I analyzed every club area to determine what members really used and what clearly drove revenue. Pools, for instance, cost too much—for buildout and labor—to yield a decent return. “At the end of the day,” he indicates, “it came down to two things—convenience and well-appointed cardio and fitness areas. Our Snap Fitness facilities are 2,000-3,000 square feet in size, boast the latest cardio and weight equipment, and are situated in large and small markets throughout the country. Approximately 90% of our members live or work within two miles of their club.” Klinger’s research led him to much the same results. While, in the past, he’d operated units averaging 40,000 square feet in space, he concluded that he’d do better with clubs one-tenth the size and a dramatically reduced labor overhead. Anytime’s business model relies on a fool-proof access system that permits members to work out safely, 24 hours a day, without the need for staff; the same holds true for Snap Fitness. The system is tied to the members’ payment history— Cutting edge Anytime has sold some 1,108 franchises since 2002 if they’re not current on their dues, they’re not admitted. The 24-hour, employee-free process makes absentee ownership common and, even, preferable. Next year, Anytime intends to introduce the ultimate in memberaccess technology—a facial-recognition system. “Because of the high level of security we’re able to provide, our insurance provider considers our clubs a better risk than convenience stores,” points out Klinger. Automated member entry and Web-based tracking and management systems make absentee ownership both attractive and Anytime! Jeff Klinger practical. “You can track virtually everything you need to know, and our online programs make it possible to operate without cash ever changing hands,” says Taunton. Some 85% of his franchisees are absentee operators, he reports, and, during the past three years of operation, there’s never been an instance of violence or theft, and none of Snap’s 269 units have gone out of business. Anytime Fitness and Snap Fitness personify the opportunity and impressive upside posed by fitness franchises. Anytime, launched in 2002, has already sold 1,108 franchises and opened 410 centers, which, last year, generated revenues of $10.5 million. Snap, which debuted two years later, in ’04, has sold 630 franchises and brought 269 units on line, which recorded sales of $5.4 million in ’06. McDermott, of The Franchise Handbook, doesn’t see the trend abating anytime soon. “Fitness-franchise providers,” he observes, “have hit on the perfect solution—a relatively modest upfront investment; a simple, easy-to-implement business model; and the appeal of earning a living at the level of involvement the franchisee chooses.” n JON FELD is a contributing editor for CBI and can be reached at jon@trendline-co.com. w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 53 FITNESS FRANCHISES continued FITNESS FRANCHISE PREMIERES traditional fitness regimens. Clients can take classes, offered at 10 different levels, that, while based on pole dancing, incorporate elements of yoga and Pilates. “The physical benefits that can be obtained from pole dancing are amazing,” attests Tracy Gray, the cofounder of Aradia. Among the benefits: increased strength; a more toned physique; and improved flexibility, balance, and rhythm. Aradia also offers specialized workshops, dropin classes, and bachelorette parties. Gray notes that fitness-pole-dancing is growing in popularity worldwide, and already has a large celebrity following, including such well-known sirens as Paris Hilton, Lindsay Lohan, Terri Hatcher, Kate Hudson, and Pamela Anderson. The pace of fitness-franchise innovation may have slowed, just a bit, last year, but the rate of expansion seems, if anything, to have accelerated. Last year, CBI introduced 14 fitness-franchise companies that we’d heard about for the very first time; this year, there are 12 more that are new to these pages. Last year, the accompanying chart listed 48 distinct fitnessfranchise companies; this year, despite the disappearance of a few, there are 55, a 17% increase. And, if you study the chart carefully, you’ll note that many of the franchisers have managed doubledigit—or greater—growth in terms of number of units. Anytime Fitness, for example, has nearly tripled its presence in one year, going from 335 to 996 units; and Snap Fitness has more than tripled in size, shooting from 64 to 202 sites. One thing is unequivocally clear: Fitness franchising is not only here to stay. It is also assuming a greater and greater role in the industry each year. BodyAccess Franchise Organization, Inc. BodyAccess offers “smart exercise to an aging population,” explains founder Dorianne Walkama Rosa. In addition to providing cycling and Pilates programs, BodyAccess attempts to educate its members about flexibility, proper nutrition, and sensible training, all of which are required to deal with busy lifestyles. BodyAccess’ approach allows individuals to either work out on their own or with a supervised group. Its Circuit Access Pilates (CAP) training offers fast, flexible training options, and its Pedal On Demand (POD) program permits members to cycle on their own or in a group setting, making use of an instructional video. 1-2-3 Fit Franchising, L.L.C. 1-2-3 Fit is a new fitness center concept designed for individuals in search of an enjoyable, fast, and effective exercise experience. Recently recognized by the American Council on Exercise (ACE), 1-2-3 Fit offers a proven, personalized, 30-minute workout. According to the company, what makes 1-2-3 Fit different is its Membership Promise, which includes a free one-week trial program; unique Simbio equipment, which utilizes both positive and negative resistance, minimizing the soreness that’s often associated with traditional weight stacks; neighborhood locations; and supportive staff. 1-2-3 Fit claims its approach makes it easier and more convenient than ever for people to achieve the fitness results they desire. CATZ (Competitive Athlete Training Zone) Since opening its first training center in Pasadena, California, in 1996, CATZ has helped tens of thousands of athletes to improve their athletic performance and reduce the risk of injury. CATZ specializes in serving the needs of athletes between the ages of eight and 18. Its sport-specific training programs are designed by certified strength and conditioning specialists and physical therapists to enhance each client’s speed, agility, strength, power, and quickness, while avoiding injuries. Each CATZ workout Aradia Fitness, Inc. Aradia Fitness is North America’s largest pole-dancing-for-fitness company. Its classes cater to women who are looking for an exciting, entertaining alternative to 54 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g was developed by studying the movement patterns, rest periods, reaction needs, muscular power, endurance requirements, and common sites of injury specific to each sport. Express Train Fitness for Men Express Train Fitness for Men utilizes a 30-minute program that’s designed to help men achieve their fitness goals systematically and effectively. “The sound exercise, supervised motivation, and nutritional information that we provide helps our members make a positive lifestyle change, embracing health and wellness,” explains Scott Habraken, the company’s founder and president. “We offer a nonintimidating atmosphere in which the nonathlete can pursue a complete program.” Express Train makes use of a 15-station hydraulic-resistance circuit to enhance cardiovascular condition and build muscle strength. “Our systems adapt to the member’s level of fitness by allowing them to work at their own level of performance and strength,” notes Habraken. The company also provides nutritional planning based on such risks as diabetes, heart disease, and high cholesterol and blood pressure. Fit Zone For Women International, Inc. The Fit Zone for Women concept was developed by Gretchen Shannon, the firm’s founder, and a team of experts with more than 100 years of combined club experience, much of it having to do with the way that women work out. Fit Zone clubs offer state-of-the-art equipment, extensive exercise options, and personalized fitness counseling and workout regimens. The facilities’ unique layout creates a “synergistic momentum,” according to Shannon. Members who are using the Nautilus For Women strength circuit, guided by Fit Zone’s patented CircuitLight timing system, can view other members working out on the aerobics/group-exercise floor. That, says Shannon, creates excitement and encourages participation. The clubs’ cardiovascular equipment is complemented with television screens. Jump ’n Play Gym (registered as JNPG Corporation) Jump ’n Play Gym is a parent/child learning program that’s been specifically designed to stimulate development in infants, toddlers, and preschoolers. The years from birth to age five are regarded as the “early development years” and considered the most important period of growth and learning in a person’s entire life. Recognizing the importance of this time, and understanding that children learn through play, the company offers structured play classes that emphasize self-confidence, and social, cognitive, and motor skills. Sessions take place in a clean, safe, and inviting 1,900-square-foot play area complete with gymnastic flooring, soft gym pieces, and other equipment. The program has been endorsed by doctors and childhood experts, as well as parents and their children, says Tracey Howard, the founder of Jump ’n Play Gym. Mavericks Franchise Group, L.L.C. Building on its success as the operator of eight West Coast Mavericks clubs, this company has recently introduced a franchised version of its concept, which, it explains, is “designed for people who are serious about their workouts and equally serious about their fun.” Founded by industry veterans Gene Campbell and Jerry Cunningham, the firm offers franchisees sophisticated “bigbox” operating systems; Thomas Plummer’s proven training programs; best-in-industry vendor programs; significant marketing muscle; and a close “mentoring” relationship. The resulting product, Mavericks says, is a strong brand, at an attractive price, that delivers high prospect appeal and member satisfaction. Personal Training Institute The Personal Training Institute (PTI) was founded in 1987 and began franchising in 2005. Because PTI specializes in providing personalized, one-on-one training services, the facilities require only 10% of the space demanded by a standard fitness center. The units average 2,0002,500 square feet in size, and are often located in retail strip centers in upscale neighborhoods, but are appropriate for either suburban or urban locations. They’re equipped with 19 Nautilus strength machines, as well as treadmills, elliptical trainers, and both upright and recumbent exercise bikes. PTI’s modest capital-expenditure requirements, lower client-acquisition costs, and higher revenue per square foot support rapid growth and sustained profitability, claims President Evan Kaplan. of-the-art equipment, can operate with only one part-time employee, and can be profitable with less than 220 members. Snap Fitness helps franchisees manage the start-up process, assisting with site selection, lease negotiation, build-out, training, and the grand opening. SuperSlow Zone, LLC SuperSlow Zone (SSZ) opened its first facility in 2005 and, that same year, managed to bring 42 locations on line in the U.S., Canada, the Bahamas, and Puerto Rico. SSZ positions itself as a “health and exercise franchise—not a gym,” explains CEO Madeline Ross. SuperSlow strength training—a high-intensity, low-forceexercise strengthening protocol—is offered by appointment only, with a SuperSlow Instructor accredited by the International Association for Continuing Education Training. Sessions consist of an approximately 20-minute-long strength-training workout, which is performed 1-2 times a week. Ross reports that one-third of SSZ owner/operators are medical professionals (MDs, physical therapists, chiropractors, etc.), while two-thirds are general entrepreneurs. She notes that SSZ franchises average a 75%-80% customer-retention rate. RetroFitness Corp. Eric Casaburi, the founder of Retro Fitness, describes his concept as being all about “more, but less expensive, fitness.” Each facility features 50-60 pieces of cardiovascular equipment, each with its own LCD screen; a Retro Movie Theatre, where members can watch their favorite 1980s flicks; three different types of circuit-training equipment; free weights; locker rooms; tanning; and RetroBlends Juice bars. “We’re actively looking for qualified entrepreneurs with the motivation and determination to build a successful business,” says Casaburi. “A qualified RetroFitness franchise candidate would appreciate and understand excellent customer service, enjoy interacting with the general public, have a general understanding of management/ budgets, have significant financial resources, and be comfortable operating within established business parameters.” VERT Fitness VERT—an acronym for Velocity Enhanced Resistance Training—is a system that combines computer-controlled isokinetic exercise and trainer-supervised instruction to offer athletic and fitness programs designed to enhance human performance. “Utilizing technology to deliver streamlined workouts and obtain immediate feedback on clients’ efforts helps us to meet their needs consistently,” says cofounder Walter Theis, MD. VERT Fitness originally concentrated on working with athletes, but now focuses, equally, on a general fitness population. “The VERT equipment offers a distinct advantage for individuals who want to increase their speed and power,” Theis explains. “Because bidirectional (double concentric) isokinetics is such a safe and effective way to exercise more intensely, clients like it because they can get more accomplished in less time.” n Snap Fitness 24/7, Inc. Snap Fitness opened its first franchise club in 2004. Today, it has more than 230 locations nationwide and expects to open another 260 over the next six months. Founder Peter Taunton describes Snap Fitness as “an alternative to the ‘big box’ facilities characterized by crowded parking lots, long waiting lines, and high turnover rates.” Snap facilities, he explains, offer convenient locations, affordable pricing, 24-hour access, state- w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 55 FITNESS FRANCHISES continued FITNESS FRANCHISES Franchise Company Year Founded Start-up Costs/Annual Royalties or Fees 1-2-3 Fit 2005 $20,000/ weeks 1-52, royalty fee is $95, and weeks 53 and on is the greater of $115 per week or 5% of gross revenue 21 Minute Fitness 2003 365 Fitness Number of Units in 2005 Number of Units in 2006 12 27 N/A N/A N/A 2006 $375,000 to $725,000/ annual royalties or fees: $8,OOO per year+C13 N/A 4 2002 $ 8 ,999/$ 4,788 335 996 Aradia Fitness, Inc. 2004 monthly royalties Bally Total Fitness 1962 $40,000 for 10-year term/3% of gross revenues The Blitz 2002 $39,500/$4,740 BodyAccess Franchise Organization, Inc. 2005 Anytime Fitness See our ad on page 76 CATZ (Competitive Athlete Training Zone) 1996 (began franchising in 2004) 0 10 28 35 211 305 initial franchise fee: $25,000; 6% royalty 1 1 $40,000 for first franchise, $25,000 for each additional unit; 8% of the first $1 million of gross revenues, 7% of the second $1 million of gross revenues, and 6% of all gross revenues thereafter 2 5 Club 50 Fitness 2003 $24,900/$395 month Contours Express 1998 $18,000/$4,740 23 29 475 650 Curves International, Inc. 1992 $39,900/5% capped at $795 a month 9,500 10,038 Cuts Fitness for Men 2003 $39,950/$4,800 105 81 elements for women 2003 $175,000+/$15,000+ 12 41 EncouraGym 2001 N/A Express Train Fitness for Men 2005 $37,950/283% monthly royalty N/A N/A 0 1 It Figures 1997 Fit After 50 2003 $23,000 (includes equipment) 900 N/A N/A N/A N/A Fitness Together 1996 $34,000 franchise fee / 6% royalty 210 301 Fitniks (Moore-Lange, Inc.) 2004 N/A N/A N/A Fitwize 4 Kids 2004 set-up costs $30,000- $40,000/franchise fee $39,000/ royalty, $495 per month 5 13 Fit Zone For Women International, Inc. 2003 $25,000; monthly royalty fee is $395 or 5% of the previous month’s installment 10 membership payments. (10 licensed) Fun Bus Fitness on Wheels 2003 $30,000 Gold's Gym International, Inc. 1965 Head Over Heels See our ad on page 64 49 (14 licensed/ 35 franchised) 9 25 $25,000/3% 640 N/A 1990 N/A N/A N/A Healthy Inspirations 2000 $15,000/$5,940 78 135 HIT Centers, Inc. 2003 $40,000 6 N/A IM=X Pilates Studios (Xercize Studio, LLC) 2004 $24,000/$18,000 or 6% of gross revenues 8 8 6,300 6,800 16 24 0 0 Jazzercise, Inc. 1969 $3,000-$33,100/ 20% JumpBunch, Inc. 2002 $30,000/8% royalty Jump 'n Play Gym (registered as JNPG Corporation) 2005 initial franchise fee: $34,200; royalties to be paid on gross sales. Graduated scale. Years 1-2: 2% of gross sales; years 3-4: 4% of gross sales; years 5 and on: 6% of gross sales Support Legend: R=Real estate selection; M=Marketing/advertising; E=Equipment purchasing; T=Training Membership in 2005 Current Membership 2005 Revenues N/A N/A N/A N/A N/A N/A 100,000 2006 Revenues Support Offered* Contact N/A R, M, E, T Franchising Department, contactus@123fit.com, 888-OUT-IN-30, www.123fit.com N/A N/A M,T gregt@21minutefitness.com, 925-280-8211, 800-997-0096, www.21minutefitness.com 21,000 N/A N/A R, M, E, T Paul Grymkowski, 365 Fitness Licensing, P.O. Box 281, Topanga, CA 90290, 800-955-4365, paul@365fitnesscenter.com, www.365fitnesscenter.com 315,000 N/A N/A R, M, E, T Debra Griffith, 800-704-5004, info@anytimefitness.com, www.anytimefitness.com 900 1,500 120,000 N/A M, E, T Tracy Gray, tracy@aradiafitness.com, 866-833-2550, www.aradiafitness.com 4 million+ 4 million $1 billion+ $1 billion R, M, E, T 800-410-2582, www.ballyfitness.com/franchising N/A N/A N/A N/A R, M, E, T Blitz Sales, 866-968-2548, blitzinfo@timetoblitz.com, www.timetoblitz.com 400 600 N/A 240,000 N/A N/A N/A N/A R, M, E, T Dorianne Walkama Rosa, walkama@bodyaccess.com, 781-454-8153, (third party) www.bodyaccess.com R, M, E, T franchise@catzsports.com, 888-664-2289, www.catzsports.com N/A N/A N/A N/A R, M, E, T 877-425-8250, info@club50fitness.com, www.club50fitness.com 187,000 209,000 $4.8 million $6.3 million R, M, E, T Bill Helton, 877-227-2282, bill@contoursexpress.com 4 million+ $1 billion+ $1.48 million M, E, T 800-Curves-30, www.buycurves.com 16,000 17,000 $3.5 million $2 million M, E, T Steven Haase, Managing Director, 732-381-9300, steven.haase@cutsfitness.com www.cutsfitness.com N/A N/A N/A N/A R, M, E, T Christopher Palumbo, 866-893-9603, 305-531-0580, chris@elementsforwomen.com, www.elementsforwomen.com N/A N/A N/A N/A M, E, T licensing@encouragym.com, 317-334-1966, www.encouragym.com 0 50 N/A N/A R , M, E, T Scott Habraken, shabraken@expresstrainonline.com, 407-327-3012, www.expresstrainonline.com 4 million+ Equipment is included in franchise fee 225,000 N/A N/A N/A R, M, E, T N/A N/A N/A N/A N/A fitafter50@se.rr.com, 877-305-0899, www.fitafterfiftyinc.com 13,650 19,565 $43.4 million $62.2 million R, M, E, T Rick Sikorski, 877-663-0880, ext. 11, ricksikorski@fitnesstogether.com, www.fitnesstogether.com N/A N/A N/A N/A N/A Donna Moore, donna@donnamoore.com 396 1274 N/A N/A R, M, E, T 877-348-9493, 415-883-1798, info@fitwize4kids.com, www.fitwize4kids.com N/A 35,000 N/A N/A R, M, E, T Rick Romeo, Rick@FitZoneForWomen.com, 866-615-6600, www.FitZoneForWomen.com, www.FitZoneFranchising.com N/A N/A N/A N/A M, E, T funbus@funbuses.com, 732-578-1287, www.funbuses.com N/A N/A R, M, E, T Courtney Minor, 214-296-5035, 125 E. John Carpenter Fwy., Ste. 1300, Irving, TX 75305, cminor@goldsgym.com, www.goldsgym.com 3 million+ 3 million+ N/A N/A N/A N/A N/A 205-940-3547, 800-850-3547, www.headoverheelsgyms.com 27,000 N/A $1.8 million N/A R, M, E, T 800-725-6147, casey@healthyinspirations.us, www.healthyinspirations.us N/A N/A N/A N/A R, M, E, T Mike Berridge, 614-793-8065, ext. 101, info@hitcentersinc.com, www.hitcentersinc.com N/A N/A N/A N/A M, E, T 800-469-1336, franchise@xercizestudio.com, www.imxpilatesstudio.com N/A N/A $19.3 million $20.4 million M, T 800-348-4748, 760-476-1750, info@jazzercise.com, www.jazzercise.com N/A N/A N/A N/A M, E, T Thomas Bunchman, tbunchman@jumpbunch.com, 410-703-2300, 866-826-5645, www.jumpbunch.com 190 250 N/A N/A M, E, T Tracey L. Howard, jumpnplaygym@sbcglobal.net, 810-714-4202, www.jumpnplaygym.com (will provide assistance with real estate selection if desired) FITNESS FRANCHISES continued FITNESS FRANCHISES Franchise Company J.W. Tumbles Year Founded Start-up Costs/Annual Royalties or Fees 1994 $42,850/5% Ladies Workout Express/Lady of America/Workout Express/Health Clubs of America/ LOA Fitness for Women Number of Units in 2005 Number of Units in 2006 19 30 1984 Ladies Workout Express, $20,000 franchise fee and 5% or $500 (whichever greater) monthly royalty; LOA Fitness For Women, $30,000 franchisee fee and 8% monthly royalty of member dues; Workout Express, $20,000 Franchise fee and 5% or $500 (whichever greater)+C42 650 485 Liberty Fitness 2002 $180,000-$225,000, including franchise fee of $30,600/6% of revenues N/A 30 open and over 200 committed to area developer deals The Little Gym International 1992 N/A 194 N/A Mavericks Franchise Group LLC 2007 $10,000 franchise fee / $500 monthly recurring 0 0 My Gym Enterprises 1983 $49,500/ 6% royalty, plus 1% advertising fund Nitro Fitness 2004 $9,750 franchise fee $5,976/ year royalties 2005 model A: initial fee $29,900/ $1,000 per month flat fee; model B: initial fee $15,000 / $400 per month flat fee Pee Wee Workout 1986 Personal Training Institute See our ad on page 97 Parisi Speed School 145 23/units sold, 11 open franchises 160 N/A 8 16 $2,000/ 10% monthly 11 N/A 1987 $19,500/5% royalties 7 company, 4 franchises Planet Fitness 1992 $25,000 franchise fee, due at signing and $25,000 performance fee, due when EFT at $50,000/royalties are paid monthly, on a sliding scale (starting at $500), based on EFT Powerhouse Gym International, Inc. 1974 start-up varies from $175,000 to $2.4 million, depending on size, amenities, and compensation from landlord if any/$16,000 initial fee/$6,000 annual renewal RetroFitness Corp. See our ad on page 91 2005 Shapeup Sisters, Inc. See our ad on page 105 7 company, 6 franchises 75 135 315 330 $35,000; 5% of gross monthly revenues 2 8 2003 $24,900/$4,500 2 4 Slim and Tone, LLC. 2002 $34,500 140 101 Snap Fitness 24/7, Inc. 2004 $15,000 for a single, $40,000 for a 3-pack / $399 monthly 64 269 StrollerFit 1997 $3,500 franchisee fee/15% royalties on class revenue, no royalties on product sales/start-up fees vary from franchise to franchise 70 100 SuperSlow Zone, LLC 2004 $30,000/monthly royalty (flat fee, not a percentage of gross); royalty is based on the size of the net training area 27 15 Ultimate Woman 20 Minute Fitness 2004 $39,500/$4,740 N/A N/A Velocity Sports Performance 1999 $30,000 initial franchise fee/6%-8% of annual gross revenues 45 78 1998 $12,500-$30,000/royalties of 6% 1 3 N/A 240 40 46 2 2 See our ad on page 106 See our ad on page 94 VERT Fitness See our ad on page 60 World Gym International, Inc. 1976, $25,000 franchise fee, due at signing and $25,000 performance fee, acquired in due when EFT at $50,000/royalties are paid monthly, on a sliding scale November, (starting at $500), based on EFT 2006 WoW! Work Out World 1991 $6,500-$10,000 Your Time Fitness 2006 $35,000-$189,000 /$399 flat monthly fee Membership in 2005 Current Membership 2005 Revenues 2006 Revenues Support Offered* Contact $7.5 million R, M, E, T Ash Robinson, ash@jwtumbles.com, 858-794-0484, www.jwtumbles.com 10,000 16,000 $4.5 million 350,000 300,000 N/A N/A M, E, T Gerry Weber, President/CEO, gweber@ladyofamerica.com, www.ladyofamerica.com, www.ladiesworkoutexpress.com, www.workoutexpress.com, www.healthclubsofamerica.com N/A N/A N/A N/A R, M, E, T Larry Lerner, 512-623-3660, ext. 12, Larry@libertyfitness.com, www.libertyfitness.com 65,000+ 100,000 $60.1 million $72 million R, M, E, T Ruk Adams, 1-888-228-2878, ruk@thelittlegym.com, www.thelittlegym.com 0 8,000 N/A N/A N/A N/A 1,349 4,103 $592,000 10,000 20,000 N/A N/A N/A N/A R, M, E, T 800-4MYGYMS, 800-469-4967, 818-907-0735 (FAX), info@my-gym.com, www.my-gym.com $725,000 R, M, E, T Larry Bedell or Chuck Rappe, 913-495-5550, larrybedell@aol.com, chuckrappe@msn.com, www.nitrofitnessformen.com N/A N/A R, M, E, T info@parisischool.com, 201-847-1939, www.parisischool.com N/A N/A N/A M, T Margaret J. Carr, peeweework@aol.com, 800-356-6261, www.peeweeworkout.com 1,500 2,000 N/A N/A R, M, E, T Evan A. Kaplan, ekaplan@personaltraininginstitute.com 516-342-9064, ext. 12, www.personaltraininginstitute.com 305,762 556,176 $11.1 million 843,000 1.02 million $244 million 4,800 32,000 500 Planet Fitness R, M, E, T and World Gym combined, $33.6 million 603-750-0001, ext. 2, info@planetfitness.com, www.planetfitness.com/ownagym $265 million R, M, E, T CEO, 248-476-2888, ext. 14, Henry@powerhousegym.com , www.powerhousegym.com Jim Pullman, Licensing Director, 248-476-2888, ext. 12, jpullman@powerhousegym.com, www.powerhousegym.com N/A N/A R, M, E, T franchising@retrofitness.net, 800-738-7604, www.retrofitness.net 1100 N/A N/A M, E, T John C. Crowley or Maria I. Rodriguez, 866-774-2738, john@shapeupsisters.com, maria@shapeupsisters.com, www.shapeupsisters.com N/A N/A N/A N/A R, M, E, T Betsy Ludlow, 215-346-8111, betsy@slimandtone.com, www.slimandtone.com 35,000 105,000 945,000 $ 5.4 million R, M, E, T Snap Fitness 24/7, info@snapfitness.com, www.snapfitness.com, 877-474-5422, Peter Taunton, President/CEO N/A N/A N/A N/A M, T Mary Beth Knight, service@strollerfit.com, 513-489-2920, 866-222-9348, www.strollerfit.com N/A N/A N/A N/A R, M,E,T Madeline Ross, mross@superslowzone.com, 407-740-8779, www.superslowzone.com N/A N/A N/A N/A R, M, E, T Neysa Smith, neysa24@aol.com, www.ulitmatewomanfitness.com 66,000 78,000 N/A N/A R, M, E, T Russell Stinnett, 972-839-9741, russell.stinnett@velocitysp.com, www.velocitysp.com N/A N/A N/A N/A R, M, E, T Chad Emerson, chade@vertinc.com, 888-460-VERT, www.vertinc.com N/A 600,000 N/A 96,000 110,400 $29.1 million N/A N/A N/A Planet Fitness R, M, E, T and World Gym combined, $33.6 million $32.7 million N/A 603-742-4443, ext. 2, info@worldgym.com, www.worldgym.com/ownagym R, M, E, T Stephen P. Roma, 732-477-5400, ext. 11, sproma@workoutworld.com, www.workoutworld.com R, T info@yourtimefitness.com, 800-975-6955, www.yourtimefitness.com Making $ense of Compensation The right rewards attract and motivate talented club employees By Jennifer H. McInerney F or many club owners and operators, one of the most difficult—yet critical—aspects of their jobs is figuring out how much to pay their employees, and how to structure their remuneration, in terms of commission, bonuses, and other benefits. “We get several calls a week on this issue!” reports Suzanne Berthay, the president of HR Pro Shop, a Burke, Virginia-based consulting firm that provides human-resources services to the fitness industry. “Finding an employee compensation plan that works for their company is often the single-most confusing and frustrating part of a club owner’s job.” And it’s no wonder! Payroll is one of the largest expenses an operator can have (40%-50% of total revenues, according to IHRSA statistics), and there are so many factors—and so many questions—involved in developing compensation packages that are fair, and attractive, to employees, particularly in such a competitive industry. Some of the questions club owners typically ask include: Am I paying employees too much? Too little? Can I withhold commission for inadequate performance? Should I set monthly quotas or goals? What are acceptable bonuses? That’s why, each year, IHRSA publishes its annual Employee Compensation & Benefits Survey Results for the Commercial Health & Fitness Industry. This report strives to clarify, and simplify, the issues, and help club companies of all types and sizes determine whether or not they’re in line with current compensation standards and trends, both industry-wide and in their own markets. (To order the report, call 800-228-4772 or log on to www.ihrsastore.com. Orders placed during the association’s annual sale, which ends in June, enjoy a 25% discount on all IHRSA publications.) One of the most important considerations, notes Berthay—whose experience includes five years as the human-resources director for Gold’s Gym International, Inc. (GGI)—is to avoid a cookie-cutter approach when addressing compensation. “Each department within a club’s organization is staffed with people of different skill sets and mind sets, and, therefore, they’ll respond differently to incentives,” she says. © w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 61 Making $ense of Compensation continued Berthay suggests evaluating each department individually to ascertain the most practical, and productive, compensation options. “For example, if your sales team is focusing on member sales by getting out into the community and generating leads and developing relationships with a wide audience of prospects, their compensation should be designed to promote and reward this behavior with commissions,” she explains. “On the other hand, for personal trainers, who need to foster one-on-one relationships with new and existing members, perhaps their compensation should focus on customer-satisfaction ratings or training-renewal percentages.” To help put all of the possibilities into perspective, the association’s compensation report offers a breakdown of how IHRSA club companies pay their employees by total annual sales, geographic region, type of operation, and number of clubs (owned or managed). It provides the most accurate, up-to-date compensation data for 50 common job titles in the industry, including senior management, salaried club-level employees, and hourly club-level staff. The report represents salary figures on nearly 31,000 employees from more than 1,000 clubs, as well as information on benefits offerings, health insurance practices, retirement plans, and vacation and sick leave policies. In this year’s report, several interesting trends have emerged, Berthay observes. • The largest wage increases, over the previous year, occurred in specialty-area positions, such as yoga instructors (20%), Pilates instructors (20%), group cycling instructors (10%), and spa directors (54%). “These areas are very popular and growing rapidly,” Berthay acknowledges. “The need to recruit and hire experienced staff in these areas is driving salaries up quickly.” According to the report, which reflects responses from different companies year to year, pay scales for seniorlevel management positions are also on the rise. CEOs earned 36.8% more, year over year; regional club managers’ stock rose 42.9%; and sales and marketing salaries increased by 32.9%. The category of “Development” saw the largest increase, 112%. “As club companies expand and open new locations, owners are seeking talented people with valuable industry experience to oversee, and ensure the success of, multiple operations,” she observes. Berthay recommends reviewing the report’s results and measuring one’s own compensation data against that of comparable club companies to gauge conformity with industry standards. A final bit of advice from the HR expert? “Check out the competition in your area—and not just fitness facilities,” she advises. “Clubs compete against all sorts of retail and service establishments for many of their hourly positions. Offering competitive compensation will give clubs the edge.” n • In terms of sales commissions, the majority of survey respondents (45.5%) indicated that they base commission on a J ENNIFER M C I NERNEY is the editor of CBI and can be reached set fee per contract sold. “This approach is straight-forward, easy at j.mcinerney@fit-etc.com. to explain and understand, and generates a high motivation level,” she says. Compensation Trends for Hourly Club Level Employees (Full Time) Berthay attributes this trend, in part, to the influx, over the last five years, of % Change % Change 2004 2005 2006 2004 to 2005 2005 to 2006 people entering the fitness industry from other professions. Particularly in $13.44 $14.00 $14.00 4.20% 0.00% Aquatics Instructor the case of newcomers to the business, it’s especially important for $20.00 $24.00 $23.50 20.00% -2.10 Personal Trainer employers to present a simple, clear $10.00 $10.00 $10.08 0.00% 0.80% Fitness Center compensation arrangement. Personnel/Instructor • With respect to personal-trainer $25.00 $25.00 $30.00 0.00% 20.00% Tennis Instructor commissions, survey participants were essentially split between a percentage* * * * Racquetball Instructor $15.00 of-revenue (46.2%) and flat-fee-persession (41.5%) payout. Among the 75 Group Exercise/ $21.83 $22.00 $23.76 0.80% 8.00% clients her firm serves, Berthay has Aerobic Instructor observed a move toward percentage$26.00 $25.00 $30.00 -3.80% 20.00% Pilates Instructor of-revenue compensation. “With the recent boom in personal training, $25.00 $25.00 $30.00 0.00% 20.00% Yoga Instructor we’re seeing more and more excellent trainers pulling in very high revenue $24.00 $25.00 14.30% 4.20% Martial Arts Instructor $21.00 numbers. As a result, the trainers want $20.00 $22.00 0.00% 10.00% Group Cycling Instructor $20.00 to be rewarded for producing a continual revenue stream, and owners are happy to accommodate because it benefits their business as well.” She also points out that, in the case of trainers working strictly for commission, clubs should pay careful attention to wage/ hour law violations to avoid liability. 62 Club Business International n M AY 2 0 0 7 Front-Desk Personnel $9.00 $9.00 $10.00 0.00% 11.10% Bookkeeper $15.00 $14.00 $15.87 -6.70% 13.40% Office Staff (Admin. or Clerical) $12.00 $12.65 $13.00 5.40% 2.80% * Insufficient data n w w w. i h r s a . o r g ** Job position was not reported in this year F I T Fitness Industry Technology May 2007 Photo sponsored by Fitness Equipment Source INSIDE > Social strengths > Maximizing efficiencies > Multistation multitasking F I T Fitness Industry Technology May 2007 continued EXTRA Multifunctional FUN! Multistation STRENGTH-TRAINING equipment MEETS clubs’, and members’, MANY NEEDS w WALK into any IHRSA facility during prime time, and you’ll find a fitness floor that’s literally humming with all sorts of activity. While many members work out, solo, on impressive rows of stand-alone machines, others take advantage of a type of strength-training equipment that creates a sense of community. Two, three, four, or as many as eight users congregate on or around these units, adjusting weight stacks, extending cables, exercising their bodies by defying gravity—rep, after rep, after rep. The overall effect is reminiscent of a big multifeature jungle gym on a school playground during recess, but, in this case, we’re talking about multipurpose resistance training via multistations (or multigyms). At a time when studies show that Americans feel lonelier and more isolated than ever, fitness equipment that complements clubs’ social role has special value, but that’s just one of the many attractive attributes of multistations. > At a time when Americans feel lonelier than ever, equipment that complements clubs’ social role has special value, and that’s just one of multistations’ many virtues. Greg Highsmith, the vice president of strength and product management for Life Fitness, regards its two Multi-Jungles (MJ 4 and 8) as a club gathering point. “The multigym category,” he explains, “is very approachable and tends to draw people together.” Highsmith points out that, depending on a unit’s configuration, up to eight people can exercise simultaneously. That not only increases personal 66 F I T Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g interaction, but also makes for efficient use both of the club’s floor space and the members’ training time. Multistations are also effective in minimizing the intimidation effect that other types of strength-training equipment may inspire. Many exercisers—particularly beginners—find resistance-training machines complex and, therefore, unapproachable. “We recognize that intimidation is a concern for club operators,” acknowledges Steve Suchanek, the director of product management for CYBEX International, Inc. “Our modular systems enclose the weight stack, producing a more aesthetic appearance, while increasing safety.” CYBEX’s systems can be arranged to provide up to eight stations in a workout area measuring less than 14' x 14'. Michael Benso, the strength-product manager for Matrix Fitness Systems, which sells multistations in 4-, 5- and 8-stack configurations, notes that flexibility is another key selling point for this category of equipment. “Club operators like to be able to tailor machines to their needs—both in terms of number of stations and available exercises. One club, for example, might want a four-station unit with all the stations being lat pull-downs, while another might prefer a six-station unit with three lat pull-downs, two low rows, and one triceps press.” Multistations are also popular with trainers, particular when their client’s goals include increased power and functional strength, points out Darrin Pelkey, the vice president of sales and marketing for Keiser. The company’s Infinity Series caters to this trend by providing additional feedback, i.e., on power output. “Extra information,” he says, “enhances the overall impact of the workout.” Sociability, flexibility, approachability, utility— when it comes to strength training, multistations are clearly master multitaskers. n S TEPHEN WALLENFELS is a contributing editor for CBI and can be reached at stevewall@charter.net. F I T Fitness Industry Technology May 2007 continued EXTRA MULTISTATIONS AMERICAN TOTAL FITNESS The Circuit Master Multistation 8 XT 476 The Multistation 8 XT 476, from American Total Fitness (ATF), makes use of eight separate weight stacks to accommodate the same number of users—simultaneously. The comprehensive unit includes two lat-pulldown stations, two adjustable low-row stations, two triceps-pushdown stations (with upholstered, back-stabilizing, support cushions), and one adjustable, multiangle cable crossover, with a choice of handles. This space-efficient gym measures 90" H x 101" L x 77" W. ATF also offers multistation equipment with four and six stations. The Circuit Master allows club owners to select from 20 different exercise stations, and create a circuit configuration that meets their own specific requirements and objectives; virtually any configuration is possible, from circuits with leg stations only, to ones with upper-body stations only, to complete total-body circuits. Among the stations recently added to the circuit are the abductor, adductor, lateral raise, prone leg curl, and seated lever arm curl. Each of the available stations features radial modular construction, its own weight stack, and a compact, spaceefficient design. BODY-SOLID, INC. BODY MASTERS SPORTS INDUSTRIES, INC. NEW Pro Dual Line MT8 Multi-Trainer The Body Masters MT8 Multi-Trainer utilizes eight independent weight stacks to allow eight users to exercise simultaneously, and permits them to choose from conventional (single- pulley) or functional (dual-pulley) setups. Multiple tower configurations offer a dual hi/lo pulley, dual lat pulldown, dual low row, conventional hi/lo pulley, lat pulldown, low row, and triceps pushdown. Constructed from oval tubing, the MT8 maintains a uniform look with the company’s Premier and FW Series. Body-Solid provides a modular approach to multistation training, with its Pro Dual Line of 10 dual-function stations that can be used in single or multiple stack arrangements. The combinations are endless, allowing health clubs to customize the equipment to best suit members’ training needs. The anchor of the multi-station system is the 4 Stack Weight Tower. With positions for two, three, or four stations, the spacesaving 4 Stack Tower provides a solid foundation for any of the 10 different Pro Dual stations. It includes four independent weight stations; four universal upper- and lower-station mounts; four universal upper- and lower-pulley stations; four easy-mount chrome guide rods; and weight-stack options of 210 and 310 pounds. w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International F I T 67 F I T EXTRA BRUDDEN TECHNOLOGY Movement Multimotion The Multimotion from Movement offers more than 60 exercises, making use of a modular concept that allows club operators to create a variety of customized configurations in small areas. The unit comes as either one module with four selected stations, or two modules with eight stations; each station includes multiple adjustments to suit every exerciser. Developed with the assistance of the biomechanical department at the University of São Paulo in Brazil, the Movement Multimotion is ideal for studios, small gyms, fitness centers, clinics, spas, and even residences. Movement strives for quality and cutting-edge technology in all of the equipment’s details. CYBEX INTERNATIONAL SEE OUR AD ON THE INSIDE FRONT COVER AND ON PAGE 5 MG 500 Multi Gym Designed to be versatile, space-efficient, and safe, this three-station multigym facilitates over 30 biomechanically correct and ergonomically precise exercises. Among its various features: a versatile, user-defined fly apparatus; a horizontal pressing arm with a 10position, detachable bench; and an optional, adjustable cable column to permit the addition of a fourth weight stack. Complying with all EN 957 requirements and backed by one of the industry’s most comprehensive warranties, the MG 500 is a cost-effective multistation unit that promises a memorable exercise experience. Manufacturer’s list price: $6,820-$7,030 68 F I T Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g F I T Fitness Industry Technology May 2007 continued EXTRA shoulder presses. A traditional pressing arm provides a fixed path of motion and permits users to adjust their range for beginning stretch preference. Proper body positioning is facilitated by the dual-adjusting back pad and patented adjustable rollers. SIZE MATTERS Modular Strength System The CYBEX Modular Strength System is a highly flexible, space-efficient multistation unit that delivers many of the benefits offered by variableresistance single stations without sacrificing quality, presentation, or performance. Easily configured to provide total-body conditioning within a compact footprint, the Modular Strength System affords significant versatility. With more than 20 exercise stations, some utilizing weight stacks and some using the exerciser’s body weight as resistance, it permits facilities to custom-design the equipment layout that best meets their particular needs. HOIST FITNESS SYSTEMS H-4400 Multi-Gym The H-4400 Multi-Gym allows as many as four people to work out in just 68 square feet of space. The rigid arm pull down makes use of self-aligning handles that automatically adjust to the size and movement of users, and a 2:1 cable ratio on the leg press provides up to 400 pounds of resistance. An adjustable cable column affords exercise variety, and split-weight cabling permits users to reduce resistance to one-half of the elected weight; this facilitates smaller weight increments and a smoother feel. The H-4400’s pressing station utilizes a traditional fixed arc and a patented, three-dimensional articulating pressing arm, which provides greater control and a free-weight feel. Telescoping back pads stabilize the torso, and a self-aligning roller on the leg extension automatically adjusts to the user’s leg length. GROWTH PERFORMANCE TRENDS EQUIPMENT H-2200 Multi-Gym With its L-shaped design and two weight stacks, the H-2200 makes it possible for two club members to perform all major upper- and lower-body exercises with ease, making minimal adjustments. The exercise possibilities include a rigid arm pull down, leg press, chest press, mid row, leg extension, and standing leg curl; a high pulley allows for triceps pressdowns, and mid and low pulleys accommodate rows, abduction, and adduction. A patented, articulating pressing arm allows three-dimensional movement, so users can control both the arc and the angle of the exercise path—creating a free-weight feel for flies or bench, decline, incline, and 3 3 % ) . 3 " 5 HD-1900 Dual Function Crossover !$ The HD-1900 Dual Function Crossover features dual graduated Silent Steel weight stacks and 28 pulley positions at 2" increments to facilitate both unilateral and bilateral exercises. The machine comes with strap handles, an ankle w w w. i h r s a . o r g n M AY 2 0 0 7 3%# n 9 2 / 6)3 2%4 3 %! 2%6 Club Business International ,%$ F I T 69 F I T Fitness Industry Technology May 2007 continued EXTRA strap, an integrated accessory rack, and instructional exercise placards. Options include a biceps-triceps bar, an aluminum straight bar, and an aluminum long bar. The spaceefficient HD-1900 is fully shielded, ensuring safety, and fits conveniently into a corner. the company’s HD and HS strength machines, the HMG-4000 creates a modular system that can be tailored to current and future needs. The system includes a main frame that allows clubs to choose any HMD and HMS stations for a customized gym, which can start as a three-station module and be expanded up to a 12-station gym. INFLIGHT FITNESS lat pulldown, low row, chest press, shoulder press, biceps curl, overhead extension, leg extension, supine leg curl, and abdominal crunch. The unit ensures safe, smooth, quiet, and reliable operation by utilizing 4,000-pound cables, 6" and 4.5" pulleys, bearings at every pivot point, and an open-yoke lat station. The space-efficient, three-stack gym requires less than 48 square feet of floor space; an optional fourth stack, for the leg press, takes it to 61 square feet. The Liberator’s stylish colors complement today’s cardiovascular equipment. LIFE FITNESS SEE OUR AD ON THE BACK COVER NEW HMG-4000 Modular Multi-Stack The Liberator The HMG-4000 can be configured to meet the space and fitness requirements of virtually any health club. Using the same technology found on The Liberator is a compact and rugged gym that allows members to perform a wide range of exercises, including the Cable Motion Multi-Jungles Life Fitness’ Cable Motion Multi-Jungles permit club owners and operators to configure strength-training units to accommodate their members’ needs while conforming to space constraints. Unlimited tower configurations with up to four customizable stations per tower allow for eight different exercises: adjustable crossover, adjustable pulley, dual-pulley row, dual-pulley pulldown, fixed crossover, lat pulldown, low row, and triceps pushdown. An independent weight stack for each exercise makes it possible for users to work out independently, but simultaneously. The Multi-Jungles feature a contemporary design that complements other Life Fitness strength lines. 70 F I T Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g F I T Fitness Industry Technology May 2007 continued EXTRA M103 AdvAntage Trainer MAGNUM FITNESS SYSTEMS The four-stack, commercial-quality AdvAntage Trainer is fully wheelchairaccessible, and allows four people to train simultaneously, while making use of wheelchairs or seats on wheels. All adjustments can be made conveniently from a seated position. The stations include pec deck, lat pulldown with Expandable Tower System Magnum Fitness’ Expandable Tower System is one of the most versatile cable jungle systems available. It allows club operators to customdesign a multistation tower (jungle) system that meets their specific space and budget restrictions. Magnum also offers single-cable machines, such as the lat pulldown, low row, triceps pushdown, adjustable pulley, and adjustable cable crossover that can be utilized to construct a multistation, over time, by adding up to three other stations to any one of these machines. A four-station pod can be linked together for a custom multistation. MST 500 Total-body strength training in a limited space is what the MST 500 does best. This compact unit incorporates four work stations and three weight stacks to facilitate more than 30 different exercises. Magnum’s patented Biangular converging axis technology offers two chest movement patterns, three back patterns, and one shoulder pattern; the pressing station for chest and shoulders converts into a pulling station that accommodates three different back exercises. The dualhandle adjustable pulley system allows users to define their own path of motion for many exercises, and, on the pec deck/ rear deltoid station, the free-arm design provides resistance in only one path, while also allowing users to select their own motion. Patented seat adjustments provide precise biomechanics. The MST 500 is backed by Magnum’s standard commercial warranty. w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International F I T 71 F I T Fitness Industry Technology May 2007 continued EXTRA arm curl, pressing with a back row, and an adjustable cable/pulley system, permitting users to perform more than 20 different exercises, utilizing a variety of movement patterns, for the chest, back, shoulders, biceps, triceps, and abdominals. Multiple-grip handles on the pressing station accommodate wide, narrow, neutral, high, and lower barbell positions, while the cable/pulley station boasts 16 positions for maximum customization and exercise variety. The AdvAntage measures just 5' x 7', and meets the requirements of the Americans with Disabilities Act for equal program access. MATRIX FITNESS SYSTEMS SEE OUR AD ON PAGE 10 Multistations Matrix Fitness System’s Multistations consist of four configurations: 4-stack, 5-stack, 8-stack, and an adjustable cable crossover. The unique method of attaching the stations together facilitates the ultimate interchangeability of any exercise. Stations are designed to accommodate the most popular gym exercises, including the low row, lat pulldown, adjustable cable column, and triceps pressdown. The low row and lat pulldown use dual-pulley configurations to enable user-defined paths of motion, and a pull-up bar is integrated into the 5-stack, 8-stack, and cable-crossover models. MULTISPORTS, INC. MS-2000 (optional leg press) The versatile, space-efficient MS-2000 puts a lot of power in a club member’s hands. The unit’s reinforced nylon pulleys, with sealed, steel ball bearings, provide smooth, quiet operation. Nyloncoated, 2,000-pound test aircraft cables guarantee long-lasting performance, and high-density, stitched-seam, foam upholstery offers support, comfort, and durability. The MS-2000 has an extra-heavy-gauge steel frame with a spider-white, wrinkle-coat finish that resists rust and scratches. An optional leg-press attachment is also available. Manufacturer’s list price: $1,700 72 F I T Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g F I T Fitness Industry Technology May 2007 continued EXTRA roller pad ensures proper knee positioning during leg curls and extensions. On the pressing and pec stations, rangeof-motion adjustments and adjustable back pads provide variable starting positions. The MS-5000 makes use of reinforced nylon pulleys with sealed steel bearings along with Americanmade nylon-coated 2,000-pound test aircraft cables for an extended life of the unit. tion; and high-density, stitched-seam, foam upholstery offers support, comfort, and durability. Manufacturer’s list price: $2,450 MS-3200 The heavy-duty Muscle System 3200 has three workout stations and a unique leg-press attachment that offers up to 400 pounds of resistance. A movable pressing arm with an adjustable, tilting back pad accommodates a variety of positions for chest, back, and shoulder exercises; the pec deck boasts an adjustable range of motion that facilitates maximum concentration during pectoral and rear-deltoid exercises. Extra-heavy-gauge steel, reinforced, nylon pulleys and sealed, steel ball bearings ensure smooth, quiet opera- Manufacturer’s list price: $3,950 MS-5000 Designed for light-commercial use, the MS-5000 affords multi-possibilities, including a pressing station, pec deck, leg press, leg extension, leg curl, preacher curl, mid-row, abdominal crunch, and back hyperextension. High and low pulleys and dual 200-pound weight stacks also facilitate a number of other exercises. The unit’s unique leg press design offers more than 400 pounds of resistance, and an adjustable w w w. i h r s a . o r g n M AY 2 0 0 7 MX-500 (with optional leg press) The MX-500 is designed both to satisfy and to last. The unit is constructed from 2" x 3" 11-gauge steel tubing, and has n Club Business International F I T 73 F I T Fitness Industry Technology May 2007 continued EXTRA solid steel guide rods, 4.5" diameter, heavy-duty, reinforced, fiberglassimpregnated nylon pulleys, with sealed steel roller ball bearings, and premiumgrade vinyl upholstery with a protective finish. It utilizes a 200-pound weight stack, in increments of five, 10, and 15 pounds. Among its many other features are: a swivel seat that can be adjusted to a variety of positions; a contoured back pad that provides solid lumbar support; multi-angled, self-leveling footplates; an abdominal crunch cable; and a press arm and pec deck that include a range-of-motion adjuster. MUSCLE DYNAMICS Manufacturer’s list price: $2,450 Dynamax Pro The Dynamax Pro multistations, the DX-3 and DX-4LP, come with three and four steel weight stacks, respectively. Both units boast a host of professional features, including: a solid 11-gauge steel frame; standard weight shrouds; pre-stretch range adjusters; user- friendly EZ Glide seat posts; anatomically designed steel cams to provide precise biomechanics; and comprehensive instructional placards. Manufacturer’s list price: $3,995-$5,795 Maxicam The Maxicam Crossover/Jungle Gyms come in 10 different configurations, making it possible to customize them to meet the needs of any facility. The units have 11-gauge steel frames, are constructed from durable 2" x 2"square tubing, and boast steel weight stacks with a special pin-retaining system. Manufacturer’s list price: $2,590-$10,990 Multi-Max Compact Trainer The Multi-Max is a versatile, spaceefficient, 13-station machine that boasts biomechanically precise, 74 F I T Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g F I T Fitness Industry Technology May 2007 continued EXTRA variable-resistance cams; a unique 4-in-1 multi-press station for flat, incline, and shoulder presses; and an optional squat bar attachment. Constructed from 11-gauge steel and rugged 2" x 2" square tubing, it comes with either three or four steel weight stacks that make use of a special pin-retaining system. Manufacturer’s list price: $3,980-$5,480 NAUTILUS, INC. and Steel commercial strength lines. All of the exercises facilitated are based on traditional movements, and, as a result, require few adjustments and minimal set-up to move from one exercise to the next, which makes for time-efficient workouts. The S912’s new CX Elite press arm makes use of an advanced, patented press arm technology, which matches the movement pattern of the Nitro line, but can be adjusted for multiple users. all-inclusive strength system. Equipped with four, fully shrouded, 200-pound weight stacks, it permits four users to exercise simultaneously. All adjustments are color-coded to facilitate ease of use. Each exercise station includes instructional placards that illustrate machine set-up, proper form, and muscle group(s) targeted. Manufacturer’s list price: $6,999 PARAMOUNT FITNESS CORPORATION Manufacturer’s list price: $5,499 S912 Strength System NS4000 Paramount Modular System This two-stack strength system is ideal for light commercial settings, and its design, biomechanics, and construction are all based on the company’s Nitro This Nautilus four-stack commercial weight machine combines all of the features and technology of the company’s new single-station Nitro line in one To meet the needs of different fitness facilities, the new Modular System, from Paramount, offers a wide selection of possible configurations. w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International F I T 75 F I T Fitness Industry Technology May 2007 continued EXTRA In addition to the Cable Crossover station, the line consists of five machines—the single cable column, biceps curl, triceps extension, lat pulldown, and seated low row—that fit onto a four-sided modular frame. Each of the Modular System units is designed to provide optimal training results, occupy minimal floor space, and meet the ASTM guidelines for fitness equipment safety standards. attractive weight-stack enclosures, quick adjustments, and large color-coded instruction labels. With commercialquality construction and proper biomechanics, MP is ideally suited for corporate fitness centers, hotels and resorts, police and fire agencies, apartment and condominium complexes, and the residential market. POWER SYSTEMS SEE OUR OUTSERT NEW Muscle Maxx—7-Station NEW MP Series Paramount offers modern styling and optimum function in its new MP Series. These value-priced, two-, three-, and four-stack multi-purpose units feature 76 F I T Club Business International downs, two high/low pulleys, a low row, triceps extension, and chinning station. The three 220-pound and three 170-pound cast iron weight stacks come fully assembled, and the seat bolts on. The powder-coated, 11-gauge steel gym is fully welded for durability in commercial settings. Six frame colors and four upholstery colors are available. The 7-Station gym is backed by a lifetime warranty on the frame, four years on moving parts, and 90 days on cables, upholstery, handgrips, and weight stacks. n This multi-station gym from Power Systems maximizes training space while allowing multiple users to simultaneously perform lat pull-downs, seated rows, curls, extensions, chin-ups, and more. The unit includes two lat pull- M AY 2 0 0 7 n w w w. i h r s a . o r g NEW Pro Power Pro Trainer—6-Station The 6-Station gym from Power Systems offers countless exercise options to club members in one space-efficient com- F I T Fitness Industry Technology May 2007 continued EXTRA mercial unit. It includes a cable crossover, two lat pulls with adjustable knee roller pads, two low rows with a 12" x 32" elevated seat, and a chin-up bar. The cable crossover has two fully assembled 200-pound weight stacks, and the lat pull and low row each use a 225pound, fully assembled weight stack. The gym comes equipped with two 48" lat bars, two low row double handles, two single handles, and two ankle straps. The 11-gauge steel tubing frames have a baked-on, powder-coated finish for maximum durability. The unit is available in two frame colors and 25 upholstery colors, as well as a custom-embroidered upholstery option. stations via a wide variety of configurations. The modular stations include an adjustable cable column, lat pull-down, seated cable row, triceps press, leg curl/leg extension, and seated leg press. Combining a compact, modern appearance with superior biomechanics, the Multi Training System is designed to complement the company’s new Raptor Line. Missed an Issue? Did you know you can access the full text of CBI articles from as early as 2001 on IHRSA’s Website? You can also download entire past issues, and purchase reprints! To learn more, visit www.ihrsa.org/cbi. PRECOR, INC. SEE OUR AD ON PAGE 19 Precor Icarian Modular System Precor Icarian’s Modular System multistack unit can be customized to meet space and budget requirements. It offers more than 100 possible configurations, ranging from two stacks to 12 or more, and one or more Cable Crossover stations can be incorporated into the design. The modular stations include pulldown, longpull, pushdown, adjustable high/ low pulley, and assisted dip/chin. The Modular System is constructed of 2" x 4" bent steel frames and high-quality pulleys and cables. PROMAXIMA FITNESS NEW Modular Multi Training System The Promaxima Modular Multi Training System is a space-efficient gym that can be customized with two to eight w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International F I T 77 F I T Fitness Industry Technology May 2007 continued EXTRA STAR TRAC FOR MORE INFORMATION SEE OUR PAGE ON PAGE 1 See the advertisers’ index on pg. 119 or search at www.ihrsa.org/buyersmart NEW Multistation Configurations Star Trac multistations are available in a variety of configurations to meet the needs of any commercial fitness facility. For larger health clubs, the 14-station and the 9-station options, which include adjustable cable crossovers, provide maximum utilization and exercise variety in a space-saving, cost-efficient package. For smaller facilities, the Fitness Center Multi-Station delivers a commercial-quality workout with premium aesthetics in a spaceefficient configuration. TECHNOGYM SEE OUR AD ON THE FRENCH COVER Radiant With a minimal footprint, the Radiant, by TECHNOGYM, provides the ultimate in free movement and core training for versatile, effective workouts. A virtually unlimited number of exercises can be performed with this machine—by itself, or using numerous accessories and the folding bench that come with it. The Radiant is ideal for personal training with its enormous range of movements and corresponding exercise progressions. w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International F I T 79 F I T Fitness Industry Technology May 2007 continued EXTRA TUFF STUFF FITNESS EQUIPMENT, INC. the safety and control of a machine for the precise, smooth, safe training results. Turbo’s affordable equipment features a sleek structural design and high-quality workmanship, and it is virtually maintenance free because it does not utilize any cables or pulleys. tion to help users to adjust and properly use the equipment. The Apollo 4500 series features steel weight enclosures, steel weight stacks, and premium Boltaflex upholstery. Polished solid aluminum pulleys and wear covers are available with deluxe versions of the Apollo. Manufacturer’s list price: $2,495 TURBO STRENGTH VECTRA FITNESS, INC. NEW Multi Gym Series VX Turbo Strength recently introduced plate-loaded leverage machines for commercial fitness centers, including a Multi Gym. Leverage machines combine the natural feel and resistance of a barbell or dumbbells, while also providing Vectra’s Series VX is a modular line of multi-gyms consisting of five sleek models: the VX-11, VX-18, VX-28, VX-38, and VX-48. Each features an attractive design, exceptional biomechanics, intelligent engineering, and high-quality parts and materials. Made Apollo Modular Gym System The Apollo Gym System is a unique modular gym that facilitates threeweight-stack or four-weight-stack gyms within the same modular system. The Apollo also features the option of either a vertical press system or a horizontal press system and four other modular exercise stations to suit clubs’ floor plans and equipment needs. A special option that’s available for unsupervised environments is the new Apollo 5.1 Personal Trainer. This TV/DVD system employs videos and on-screen instruc- w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International F I T 81 F I T Fitness Industry Technology May 2007 continued EXTRA VORTEX FITNESS EQUIPMENT in the U.S.A., the units combine heavyduty, welded-steel construction with seamless upholstery to ensure full support and long life. Adjustments are simple, convenient, and made in the exercise position. Features such as linear polished stainless steel guide rods and high-quality ball bearings— up to 71 per machine—make for smooth operation. Manufacturer’s list price: $2,895 (VX-11); $4,995 (VX-18); $7,890 (VX-28); $6,995 (VX-38); $9,595 (VX-48 Pro-Trainer System II The Pro-Trainer System II utilizes two independent, 235-pound steel weight stacks, set at a standard 2:1 ratio, to 82 F I T Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g facilitate a variety of exercises, while minimizing inertia and maximizing the possibilities for high-speed training. The longer cable stroke length permits virtually unlimited multiplanar movements; and a starting weight of 6.5 pounds, which can be increased in increments of 2.5-10 pounds, accommodates exercisers of every fitness level. The Pro-Trainer System II has a built-in chinning station and accessory rack, is wheelchair-accessible and ADA-compliant, requires little maintenance, and is easy to learn how to use ARE YOU FIT MEMORIAL DAY WEEKEND EVENT TO BE TIED... $299.00 $69.99! Includes FREE Study Material with the High Cost of Certifications & CECs? (Available via In-Home format, while supplies last) FiTOUR listens by designing and bringing you & your staff high-quality, affordable Fitness Certifications & CECs. ® Member of Event Pricing Available 5:00 am May 25 - 12:00 pm May 28 Only! • Certifications Accredited by American Council on Fitness Education • All Certification courses are Nationally Recognized! • SAVE OVER $200 during this Certification Event! • Replace costly CECs with FREE Certification Renewal Exam! • Certifications include a 1-year IDEA® e-Membership!* • Visit www.Fitour.com to order! *Certain restrictions apply. FiTOUR® Certification courses available in Personal Training, Pilates, Yoga, Kickbox, Group Exercise, Indoor Cycling, Youth Fitness, Senior Fitness, Aqua, Stability Ball, Group Barbell, Core, Step, and more! ACE Approved CECs for ONLY $5! • No Travel Costs • All Your CECs for ACE Renewal only $100 • $5 per In-Home ACE Approved CEC • ALL Course Study Materials Included Four IDEA World Fitness Convention® Registrations FREE! Visit Fitour.com for more details and to register. ©2007 FiTOUR The IHRSA Report INSIDE 387 From the Desk of the Chairperson 388 In Brief 390 Inside IHRSA 392 IHRSA Spotlight 395 What’s New 399 News From Associates 103 New IHRSA Associates 107 New IHRSA Clubs 113 Calendar of Events 120 CEO Briefing From the Desk of the Chairperson The International Health, Racquet & Sportsclub Association is a not-for-profit trade association open to investor-owned and member-owned fitness, racquet and athletic facilities. Associate memberships are available to manufacturers or suppliers of products and services of use to IHRSA members. IHRSA BOARD OF DIRECTORS Michael Levy: Chairperson Casaral Inc. 416-961-5556, ext. 242 Debra Siena: TCA 773-463-1234, ext. 249 Cy Oskoui Columbia Athletic Clubs 425-814-5300 Tony de Leede: Fitness First Australia (61) 2-9387-5266 Lloyd Gainsboro: Dedham Health & Athletic Complex 781-326-2900 Mike Motta: Plus One Fitness 646-312-6200 Ed Williams: The Wellbridge Company 303-866-0800 Laurie Smith: Leisure Sports 925-600-1966 Gene LaMott: The Lamott Companies 360-877-3915 Phil Wendel: ACAC Fitness & Wellness Centers 434-978-3800 Harold Morgan: Bally Total Fitness 773-380-3000 Lynne Brick Brick Bodies Fitness 410-252-8058 David Patchell-Evans Goodlife Fitness Clubs 519-661-0190 ext. 238 Rick Beusman Saw Mill Club 914-241-0797 Bob Shoulders Fayetteville Athletic Club 479-587-0500 Frank Napolitano GlobalFit Fitness Solutions 215-751-1992 Julie Main: Ex-officio Santa Barbara Athletic Club 805-966-6147 One Source: Many Successes G rowth is an illusory concept and means many different things to different people. New business models, proven approaches, expansion, added services, untapped markets— IHRSA operators are capitalizing on all of these, and other, opportunities. Jeff Klinger and Chuck Runyon, the visionaries behind Anytime Fitness, have created a club concept that blazes a new path for industry growth— facilities that can be accessed 24 hours a day via a keycard. By doing so, they’ve made it possible for people with unusual work habits and hours to exercise whenever it’s convenient for them. Anytime has already sold more than 1,000 franchises! Up “north” where I live, David Patchell-Evans is now utilizing his established GoodLife model—good facilities, great service, and affordable prices—to Michael S. Levy bring fitness to small and midsize communities across IHRSA Chairperson Canada that, in the past, have had no clubs at all. And these restless entrepreneurs aren’t alone: Last year, Greg Lappin, the co-owner and general manager of the Rochester Athletic Club (RAC), in Rochester, Minnesota, completed a major innovative addition, known as “The Neighborhood,” that’s made RAC virtually irresistible to families in the area. Julie Main, the creator of the groundbreaking Cancer WellFit Program, has finalized the purchase of four Santa Barbara, California-area clubs, and is now upscaling their member services. Phil Wendel, a principal at Legacy Management, which owns the Atlantic Coast Athletic Clubs, has introduced separate “youth” facilities and partnered with medical groups to provide patients with more “comfortable” club access and use. Geoffrey Dyer’s Lifestyle Family Fitness, formerly a Florida-only success story, is moving into Ohio and other markets aggressively. Similarly, Don Morrissey’s X Sport Fitness is venturing beyond its Chicago base. Ambition, invention, testing, development, nurturing, efficiencies, diversity—an eclectic, exciting mix of qualities and contributions fire our business. But what is the thread common to all of these examples, and so many others, of industry growth? I’m proud to suggest that it’s IHRSA. The association that you, and I, and all of the clubs mentioned belong to offers a long menu of services, providing, among other things, motivation, education, publications, original research, networking opportunities, and public- and government-relations initiatives. IHRSA is the industry driver in the U.S., and, increasingly, worldwide. The Photo Group 800-228-4772 USA & Canada 617-951-0055 International 617-951-0056 FAX www.ihrsa.org www.healthclubs.com E-mail: info@ihrsa.org A single critical factor contributes to all industry growth. Yours in good health, SPECIAL ADVISORS Michael Lamb Fitness First - Asia 603-2093 7980 Harm Tegelaars Cannons Health & Fitness Ltd (44) 208-336-2288 Michael S. Levy Executive Director, Spa Chakra Fitness President, Casaral, Inc. w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 87 In Brief Legal and Legislative Update Leading America to Healthy Lifestyles IHRSA initiatives send the message of regular exercise to pols and the public > Since 1983, May has been observed as National Physical Fitness and Sports Month in the United States. The intention of this month-long celebration is to promote awareness of the value of physical activity in the pursuit of happier, healthier, more productive lives. In the last few years, IHRSA has fully embraced the idea through its annual Legislative Summit and Get Active America! events, which are also conducted in May, coinciding with National Physical Fitness and Sports Month. Both initiatives help to solidify the health club industry’s growing reputation as an instrument of positive change for the health and well-being of Americans and as the solution to the nation’s obesity and healthcare crises. These efforts represent not only a large but also an important undertaking for the industry. While IHRSA clubs do an excellent job of serving the members that come through their doors, the industry, as a whole, has not yet reached a critical penetration rate that would allow clubs to make a major impact on the health of the nation. For the last few years, even with skyrocketing obesity rates, club memberships have hovered at around 17% of the total U.S. population. Though this is a significant number—one that allows thousands of clubs across the country to prosper—there is a much bigger pool of potential members waiting to be tapped. One of the most effective ways to capitalize on that untapped potential is to reach out to the community and to Congress. By working together to educate decisionmakers and the public about the positive health benefits of regular exercise in a health club, IHRSA clubs can grow the industry and ultimately become the ones Americans rely on to fulfill their health and wellness needs. To help make a difference, both locally and globally, join IHRSA staff, lobbyists, industry leaders, and fitness professionals from across the country in supporting the Personal Health Investment Today (PHIT) Bill and the Workforce Health Improvement Program (WHIP) Act during the upcoming Legislative Summit on May 16-17. Visit www.ihrsa.org/summit for more information. To involve your club in Get Active America!, visit www.ihrsa.org/ gaa or call 800-228-4772. n Tax-Exempt Rulings Strengthen Unfair Competition Precedent Examples build case for leveling playing field > Two recent rulings pertaining to the abuse of tax-exempt status outside of the health club industry are strengthening the body of legal precedents that support IHRSA clubs’ longstanding grievance relating to the operation of taxexempt health clubs. Taken together, these two rulings also offer insight for crafting compelling arguments that will persuade both a judicial court and the court of public opinion to reject tax-exempt fitness centers that fail to pursue and fulfill a charitable mission. In Miriam Osborn Memorial Home Association v. Assessor of the City of Rye, the New 88 Club Business International n York Supreme Court of Westchester County ruled that a retirement community, originally established to mitigate “the tragedy of the destitute single woman and the widow of the 1880s when there were no pensions or organized support whatever except for the few voluntary homes for the aging,” is not entitled to a charitable use tax exemption for property the court described as an “extraordinary, state-of-theart [continuing care retirement community] serving the needs of health and wealthy senior citizens.” The case may be found at N.Y. Sup. Ct., 2006 Slip Op. 52461. M AY 2 0 0 7 n w w w. i h r s a . o r g More recently, the Colorado State Board of Assessment Appeals ruled that the YMCA of the Rockies could not claim a tax exemption on religious grounds for two recreational camps set high in the mountains. While describing a scenario that undoubtedly sounds familiar to most club operators, the board’s ruling notes that “both facilities offer a wide variety of recreational activities, including… volleyball… basketball… swimming… and fitness rooms.” The Board also pointed out that the “YMCA program materials list Bible studies and worship services among the many activities offered at the facilities. However, guests are not required to participate in any of the activities or religious services.” In addition to fighting unfair competition, such as that threatened by non-profit organizations seeking taxexemptions on for-profit fitness centers, the fitness club business must also consider how it can attract a broad range of audiences— through extensive programming, and other appealing amenities—to clubs via financial incentives that encourage healthy lifestyles. n Inside IHRSA IdeaCast is Premier Sponsor of Get Active America! 2007 > IdeaCast, Inc., which provides free satellite programming exclusively to IHRSA member health clubs, is this year’s premier industry sponsor of Get Active America! (GAA!). GAA! is a national fitness industry initiative coordinated by IHRSA to combat chronic lifestyle diseases and make it easier for all Americans to make exercise a part of their lives. GAA! 2007 takes place this month, May 14-20, at clubs across the country. “IHRSA is very pleased to have IdeaCast on board for this year’s Get Active America! Careers Announcing New ActiveCareers Featured Employers > Three more prestigious companies have signed on as ActiveCareers Featured Employers. They are: Club Business International clubs will host an “Open House” event. For three days, clubs will open their doors to their communities, free of charge, to educate Americans about the health benefits that regular exercise confers. During “Bring a Friend” and “Open House” days, guests can take exercise classes, make use of the equipment, and work with professional trainers free of charge.“IdeaCast is excited to support this important and timely health initiative,” said Fred Smith, founder and CEO of IdeaCast. “Through our network, we can reach a wide audience with news about Get Active America! and help ensure that as many Americans as possible benefit from this year’s program.” As part of its sponsorship of Get Active America!, IdeaCast will promote the campaign through its media network, which is viewed by thousands of health club members in facilities nationwide. Headquartered in Chicago, IdeaCast delivers to its clients some of television’s most popular national programming, cuttingedge local content distribution solutions, and an innovative out-of-home advertising platform. IdeaCast provides free satellite programming to health clubs, and offers cash toward their existing cable bills. With IdeaCast’s National HealthClub Network, clubs can get the nation’s most popular programming— including CNN, MSNBC, and CNBC—free of charge! There’s no cost for programming, equipment, or installation. For more information, visit www.ideacast.net. To learn more about this year’s GAA! event, log on to www.ihrsa.org/ getactiveamerica. n • Crunch Fitness, which bills itself as a “tasty blend of fitness, fashion, music, entertainment, and style,” is based in New York City, with 32 state-of-the-art gyms in New York, Atlanta, Miami, Chicago, Los Angeles, San Francisco, and more to come. impressive list of long-term clients; the newest technology; and established worldwide networks. JLR Associates places both nationally and internationally. Featured Employers enjoy unlimited job postings, unlimited access to the ActiveCareers résumé bank, additional exposure online and in print, and much more. Visit www.ActiveCareers.com/ employer for more information or to sign up! While there, sign up for ActiveCareers Digest, a free monthly e-newsletter offering HR assistance to fitness industry employers. ActiveCareers is the premier resource for fitness industry professionals. In addition to job postings and more than 1,200 résumés, the site contains sample job descriptions, compensation data, IHRSA Tips on HR topics, guest articles, fitness industry employee testimonials, and much more. n • JLR Associates is an executive search and recruitment company exclusively serving the health, fitness, and wellness industry. The company offers expedited searches by accessing its extensive database of candidates; an • Wellbridge, based in Denver, Colorado, owns and manages 20 upscale athletic clubs and spas in 11 markets across the United States. 90 campaign,” said Joe Moore, president and CEO of IHRSA. “Get Active America! is a great example of the kinds of programs the health and fitness industry is initiating to help address our country’s current health crisis. Exercise is a readily available preventive healthcare tool that can help millions of Americans. We are heartened that IdeaCast is working with us to encourage more Americans to engage in physical activity as part of a healthy lifestyle that can help reduce the risk of chronic disease.” From May 14 through May 17, health clubs participating in GAA! will host “Bring a Friend” days. Current club members can bring in their friends, family members, neighbors, and co-workers—free of charge— to help them embark on an exercise regimen. From May 18 through May 20, participating health n M AY 2 0 0 7 n w w w. i h r s a . o r g IHRSA Spotlight “We had 60 employees who lost everything, and now they’re working all over the U.S.” Déjà Vu: Some Updates For You By Jon Feld O ccasionally, we like to update our readers about some of the people, companies, or developments that we’ve covered in past issues of CBI. Over time, both the protagonists and plot lines change. Things work out better or worse than expected or not at all; plans are executed or revised; goals are achieved or abandoned. June 2006: “A Job Extremely Well Done: John McCarthy, IHRSA’s executive director emeritus, sits down with CBI on the eve of his retirement” Since leaving office last year, John McCarthy has discovered that he’s rather adept at the retirement thing. “I do a lot of reading and a great deal of exercise now,” he says, “and, because I’m traveling much less, I’m able to spend more time at home with my family. At some point, I plan to take a transatlantic cruise.” McCarthy also spends one day a week volunteering at the Massachusetts General Hospital in Boston, and sits on the board of directors of a Chicago bank and CYBEX International, Inc. “The thing I truly miss about my job is the people I worked with, and worked for, on a daily basis,” he reflects. “They were, and are, very close to my heart.” June 2006: “After the Storm: A post-Katrina report on the recovery efforts of Gulf Coast clubs” Hurricanes Katrina and Rita devastated a number of IHRSA facilities, including the Franco’s Athletic Clubs in Lakeview and Mandeville, Louisiana. As it turns out, the Lakeview club, which was just two miles from the breached levee, will never reopen. “The town was very nearly destroyed, and the money promised by the federal government hasn’t begun to flow into the community,” reports Larry Connor, the club’s general manager. “Today, Lakeview simply isn’t strong enough to support a club.” Connor is quick to credit others who came to the club’s aid. “We got help from operators throughout the country,” he says. “We had 60 employees who lost everything, and now they’re working all over the U.S.—thanks to those other clubs.” Ironically, because of the storms, the Mandeville facility has experienced a surge—possibly temporary— in business. While it suffered about $500,000 in damages, mostly from high winds, reconstruction 92 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g was fairly straightforward, and the reopened club has attracted new residents driven out of their own towns. “Right after the hurricane, 100,000 people moved into Mandeville— literally overnight,” explains owner Sandy Franco. “For the first seven months after Katrina, our sales were running 150% above what they’d averaged for the past few years. New memberships were going through the roof. “Now,” she adds, “things are beginning to settle down. People who came here from Fine again at Franco’s St. Bernard Parish, for example, are going back, so we’re losing them.” Recently, the club opened a new O Spa and Lifestyle Boutique (see “The [Market] Appeal of Club-Based Spas, pg. 38). September 2004: “Bahram Akradi: He has succeeded, dramatically, at taking his club company, Life Time Fitness, public. Now comes the hard part!” When Life Time Fitness (NYSE: LTM) went public, Akradi identified a simple, three-pronged growth strategy for his company: (1) open more units in the continental U.S.; (2) ramp up membership and maximize dues-structure results; and (3) increase in-club businesses. Ken Cooper, the chain’s senior director of finance, brings things up to date: 1. Open more units: In July 2004, the company had 34 clubs in eight states. At the end of 2006, it had 60 centers operating in 13 states. “We’ve done it through a combination of organic growth and opportunistic acquisition via assumption of leases,” explains Cooper. 2. Ramp up membership: At the end of the second quarter of 2004, Life Time had a total of 278,000 memberships (including family, couples, and singles memberships). That number now stands at 428,000. 3. Increase in-center business: Two-and-a-half years ago, in-center revenue per member (from personal training, spa, café, and other member activities) was $68, compared to the present figure of $91. “And we’ve recently introduced tennis,” notes Cooper. When Life Time went public, shares began trading at $21.75, and revenues were $76.6 million. Recently, a single share was worth nearly $55, giving the company a market cap of nearly $2 billion; the company’s gross revenues for 2006 eclipsed $140 million. n Products What’s New Pumped Up © The ProStep 6000 from Healthcare International provides a functional, lowimpact, full-body cardiovascular workout that eliminates jarring on the feet, knees, and hips. The user-friendly design features a control panel that prompts exercisers through every program. An electroProStep by magnetic resistance system Healthcare acts as a braking mechanism to slow the rpm rate, which controls the speed of the machine. The weight of the user automatically activates and powers the ProStep 6000. For more information, contact the company at 1723 West Nickerson St., Seattle, WA 98119; 206-285-5219; 206-285-3628 (FAX); www.hcifitness.com. © The second edition of Resistance Training Instruction, now available from Human Kinetics, gives personal trainers © PumpOne, LLC, now offers health clubs and fitness professionals access to its extensive exercise image library, where they can drag and drop color images into a digital workout routine that can be downloaded to exercisers’ iPods, MP3 players, and other personal digital assistants (PDAs). Health clubs and personal trainers can sell the programs to create an additional revenue source, to recruit new clients, and to help keep clients on track between sessions. Clients can follow the workouts while listening to their own music playlists. PumpOne is the creator of the first image-based personal training programs for handheld devices. For more information, contact the company at 34 West Ninth St., 2nd Floor, New York, NY 10011; 212-982-5050; www.pumpone.com. the tools they need to help improve their clients’ performance and appearance. Detailed illustrations, combined with expert technical guidance, demonstrate how to target specific muscles, using the most efficient alignment, positioning, and lifting techniques. Exercises are organized by movement function, and each includes instructions for set-up and guidance on monitoring, cueing, spotting, and coaching clients. Also included are sample periodized programs, along with information on when and how to vary intensity, volume, recovery, and exercise sequencing. The 264-page book is written by Everett Aaberg, a personal trainer and international presenter and consultant. For more information, contact the company at 1607 North Market St., Champaign, IL 61820; 800-747-4457; 217-351-5076; 217-351-2674 (FAX); www.humankinetics.com. © With lower back pain increasingly common in the United States, the latest version of Treat Your Own Back—8th Edition, available exclusively from OPTP, is a must-have reference for fitness professionals and club members. This international best-seller, written by Robin McKenzie, includes revised and updated content; new and additional research studies; many new photos; and a simplified layout. For more information, contact the company at 3800 Annapolis Lane, Ste.165, Minneapolis, MN 55447-0009; 800-367-7393; 763-553-0452; 763-553-9355 (FAX); www.optp.com. © The new heavy-duty 12-gauge steel Drive Sled from Perform Better is ideal for pushing and pulling exercises. A rear handle lets trainers drive the sled from two different heights, and multiple plate-storage stations facilitate overload strength training while keeping the sled evenly balanced. Its durable harness enables elite athletes and inexperienced exercisers alike to comfortably and safely handle heavy loads for challenging training. For more information, contact the company at P.O. Box 8090, Cranston, RI 02920-0090; 800-556-7464; 800-682-6950 (FAX); www.performbetter.com. w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 95 Products What’s New continued © Power Systems now carries top-of-the-line aquatic exercise equipment, including premium water dumbbells, water flotation belts, and water cuffs. The dumbbells are triangular-shaped for Body buoy variable resistance in shallow or by Power Systems deep water; they also feature textured grips, and end caps that can be removed to add water for additional resistance. The flotation belt is designed to comfortably contour to the body to ensure buoyancy, support, and resistance; it adjusts to fit exercisers from 120-220 pounds. And the water cuffs are non-abrasive, closed-cell EVA foam cuffs that can be worn on the ankles or wrists to add buoyancy without bulk. For more information, contact the company at 2527 Westcott Blvd., Knoxville, TN 37931; 800-321-6975; 865-769-8223; 865-769-3034 (FAX); www.power-systems.com. © To encourage fitness among adults and children, Quantum Fitness has introduced a new Adult Circuit and a new Kids Circuit, which deliver fast, effective workouts to the entire family. The circuit programs are comprised of hydraulic resistance machines that are easy to use and non-intimidating, and each works two opposing Sized circuits muscle groups simultaneously with via Quantam minimal delayed muscle soreness. Adjustable resistance enables exercisers to progress according to their own ability, and each circuit comes with a thorough, interactive program to maximize the benefits for all participants. The compact units are portable as well. For more information, contact the company at 10245 West Airport Blvd., Stafford, TX 77477; 800937-2282; 281-495-3003; 282-495-7542 (FAX); www.quantumfitness.com. Stagestep/Aeson Flooring has simplified installations of floating wood sub floors with the introduction of the 3" foam block. This peel-andstick block, which measures 3/4" thick, lowers the overall height of the sub floor to facilitate easier transitions. It can be used with the company’s © 96 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g Springstep II and Springstep IV sub floors, and offers the same absorbency and resiliency as the company’s traditional 2" x 2" x 2" cubed blocks. For more information, contact the company at 4701 Bath St., #46, Philadelphia, PA 19137; 800-523-0960; 215-636-9000; 267-672-2912 (FAX); www.stagestep.com. © The Sunburst from Sunlight Saunas is the first stand-alone Solocarbon far infrared heater that can transform virtually any space into a Sunlight Sauna. Designed for use in saunas that seat five to 10 people, Sunburst generates therapeutic warmth using infrared light—without the maintenance issues associated with a steam or hot rock heating source. Sunburst comes in multiple sizes that revitalize an existing hot rock or steam sauna, or can be built into a custom cabin. Far infrared light has been shown to boost circulation; promote weight loss; and lower blood pressure, blood sugar, cholesterol, and triglycerides. For more information, contact the company at 14119 Marshall Drive, Lenexa, KS 66215; 877-292-0020; 913-754-0831; 775-5144314 (FAX); www.sunlightsaunas.com. Taraflex Sports Flooring by Gerflor now offers Taraflex Locker © and Taraflex Fitness Tile. Taraflex Locker is 2.2 mm thick with a grained surface that incorporates slip-resistant particles that make it safe for barefoot traffic. It is treated to resist stains, and prevent bacteria and fungus growth, and it comes in seven Appearance Enhancement Designs (AED) from neutral to vibrant colors. Taraflex Fitness Tile, which measures 5 mm thick and comes in eight AED vivid and earth tones, is semi-flexible with a calf texture and resistant to Tara-flexing scratches and indentation. The on Gerflor tile anti-static tile’s dovetail joint design connects tiles tightly so they will not move. For more information, contact the company at 3715 Northcrest Road, Ste. 23, Atlanta, GA 30340-2830; 800-727-7505; 770-455-7072; 770-455-4577 (FAX); www.gerflortaraflex.com. n Companies News from Associates es Helping Hand © After nine years serving the fitness industry in other capacities, Gary McCoy is returning to CYBEX International, Inc., as territory manager for the Rocky Mountain region. McCoy is credited with background development of the CYBEX brand in the mid-1990s, and with the establishment of The CYBEX Institute. Following the Trotter-CYBEX merger in 1998, McCoy became the vice president of education, sales, and marketing at IDEA. From 2000 to 2006, McCoy developed the award-winning gravity training system for Total Gym, launched New Leaf Health and Fitness Products, and developed three training programs for the Free Motion Fitness circuit. “While some of the faces and products have changed at CYBEX, the brand promise remains the same…that’s why I’m here, and that’s what ignites me every day,” notes McCoy. © Stephanie Maio has ASF International, the Denver-based billing and software company, demonstrated its charitable spirit with a donation drive during the 2006 holiday season to benefit a local charity called Family Tree. Each year, Family Tree, which assists the homeless and women in crisis and runs House of Hope shelters, helps more than 25,000 people overcome abuse, domestic violence, and homelessness to become safe, strong, and self-reliant. The ASF staff generously donated hundreds of dollars’ worth of household items, toys, clothing, and other supplies, and the company also made a sizable cash donation to help the organization purchase washing machines and dryers, among other much-needed expensive items. © joined efi Sports Medicine as part of its event marketing team, where she acts as a consultant to plan and develop sales and marketing strategies for efi corporate events and trade shows. Maio selects venues, negotiates sponsorship efi’s Stephanie Maio contracts, drives educational programming, and recommends independent contractors. Previously, Maio spent six years as the event marketing manager for STOTT Pilates and worked with TRC Fitness, a Canadian distributor of fitness equipment, as a trade show and sales and marketing coordinator. Maio is currently finalizing her Certified Trade Show Marketer (CTSM) certificate. She has a bachelor’s degree in physical education from York University in Ontario, Canada, and earned a Provincial silver medal in women’s beach volleyball. © Iron Grip Barbell Company has been named to the Jewish Community Center (JCC) Association’s Continental Preferred Vendors program, which includes a select group of suppliers whose products meet the needs of JCC health, fitness, and athletic facilities. As a Preferred Vendor, Iron Grip is recommended to the JCC’s network of more than 275 facilities, and the company will also sponsor the JCC Professional and Biennial Conferences. “After having worked with so many great JCC customers over the years, we’re happy to solidify our partnership and continue to work together toward the success of current and future JCC facilities,” notes Donna McCallum, the vice president of sales for Iron Grip. Nautilus, Inc., has partnered with the National Academy of Sports Medicine © (NASM) to provide research and training support for new fitness products and to introduce new education programs for fitness professionals. According to Tim Hawkins, the president of the Nautilus Fitness Equipment Business, the partnership will accelerate offerings from the Nautilus Institute, a research, education, and training resource that the company founded two years ago. “By collaborating with NASM, our equipment innovations will emerge from a significant collection of evidence-based research and will be complemented by educational materials and support,” Hawkins adds. Dr. Michael Clark, the w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 99 Companies News from Associates continued president and CEO of NASM, explains, “We will open new gateways to engage many more people and provide them with the tools and knowledge to live healthier lives.” © The National Federation of Professional Trainers (NFPT) is providing its certified personal trainers full access to all listing services offered through the online Personal Trainer Listing Service (www.personaltrainer.cc). Ron Clark, the president of the NFPT, recognizes the value of this independent service that rates trainers on a scale of 1-5 based on combined certifications, education, and experience. According to Dan Gaita, the president of the Personal Trainer Listing Service, the company’s goal is to create a single location for people to seek and contact qualified personal trainers. Trainers who are listed on the site can continually update their information, including Website links and photos. Octane Fitness, which recently earned Best Buy designations from Consumers Digest for its new Q37e and Q37ce elliptical cross trainers for home use. According to the review, “The Q37e couples a solid feel and heft with more comfort, performance, and style than costlier brands.” In addition, the Best buy from Octane magazine highlights the “smooth, long-stride pedal motion (20.5") and the unprecedented Converging Path handlebars that mimic the arms’ natural motion. Plus, “The Q37e has an excellent control panel/display screen, heart-rate control (via a chest strap) and a unique ArmBlaster mode that emphasizes the upper body.” Dennis Lee, the president of Octane Fitness, notes, “Being named a Best Buy underscores the innovation, performance, and quality of these machines, which are loaded with unprecedented features.” © Kudos to Power-Plate International is now offering personal trainers 10 Continuing Personal Development (CPD) points for completing the Register of Exercise Professionals (REPS) accredited Power-Plate Academy Training (Level 1) course. The Power-Plate is a vibration training unit that delivers the equivalent © Date with Power Plate 100 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g of a one-hour low-impact workout in a fraction of the time, and is suitable for all ages and fitness levels. The daylong course covers the fundamental principles in vibration; human physiology; exercise prescription; and physiological adaptations. It also includes a practical workshop that reviews safety of the Power-Plate; demonstrates basic exercises; and highlights exercise variations. Evaluation is by practical assessment and a multiple-choice written examination, and the course is licensed and verified by Performance Training Solutions, Ltd., an independent training provider. The training is conducted at the Power-Plate headquarters in London or at a client’s site. United States Professional Tennis Association, Inc. (USPTA), which © Congratulations to the is celebrating its 80th anniversary of serving tennis professionals with certifications and education. In 1970, the USPTA was the first to administer a tennis-teacher certification exam; the organization currently has 14,500 members worldwide, and offers more than 300 days of educational opportunities each year. The multimedia department at USPTA has produced approximately 100 educational DVDs, and the association began producing the On Court with USPTA series for The Tennis Channel in 2003. In addition, beginning in 2004, USPTA was the first tennis organization to form player-development programs and to provide free education tools on modern tennis through inserts in its ADDvantage magazine for members. © Town Sports International Holdings, Inc. (TSI), has selected IdeaCast, Inc., to deliver CNN, CNBC, and MSNBC to all 144 TSI locations via IdeaCast’s place-based National HealthClub Network (NHN). IdeaCast is a satellite provider of entertainment and business services, and its NHN is currently operating in numerous health clubs throughout North America. “TSI is always looking for new, innovative ways to enhance our members’ in-club experience, and IdeaCast will help us do this with its suite of quality products,” explains Bob Giardina, the CEO of TSI. Adds Fred Smith, the founder and CEO of IdeaCast, “IdeaCast is excited to offer TSI and its members the best in service and technology.” n Companies New IHRSA Associates Raising the Bar © Elite Performance Management, Inc., offers consulting services to elite and professional athletes who are interested in performance enhancement and injury reduction. Through the coordinated efforts of a team of highly skilled professionals offering functional training, physical therapy, nutrition, and sports performance psychology, the company is singularly focused on elevating and lengthening its clients’ careers while increasing their value in the sports marketplace. For more information, contact the company at 1467 East 1300 South, Unit B, Salt Lake City, CA 80541; 801-953-0751; 310-356-3648 (FAX); www.performancemgmt.org. © Known for its specialization and © ExtendBar is a long-acting, low glycemic index snack bar that has been clinically proven to stabilize blood sugar for up to nine hours. The bar was invented by Dr. Francine Kaufman, an endocrinologist at Children’s Hospital Los Angeles, the recent president of the American Diabetes Association, and the author of Diabesity. By helping stabilize blood sugar levels, ExtendBar can increase energy, control hunger, burn excess fat, and manage diabetes/pre-diabetes. When eaten as a snack between meals, the 150-calorie ExtendBar can reduce the calories consumed at meals by 21%. The ExtendBar, which comes in five flavors, has a 40/30/30 nutrient ratio of protein, carbohydrates, and fats, respectively. For more information, contact the company at 2200 Westport Plaza Dr., Ste. 316, St. Louis, MO 63146; 314-336-0588; 314-453-0300 (FAX); www.extendbar.com. high-quality products for the fitness industry, Fitness Audio Scandinavia offers total audiovisual solutions for commercial clubs. Among these products are wireless microphone systems, Aeromix (voice-over music mixers), Cardio Theater entertainment systems, Numark CD players and amplifiers, Ecler speakers and line systems, Martin lights, pouch belts, earphones, and various products from Sony and SoundEar 2000. For more information, contact the company at v/Knud Danielsen A/S, Bybjergvej 8, DK-3060 Espergærde; 45-4913-0120; 45-49130125 (FAX); www.fitnessaudio.net. © With more than 20 years of experience as an American manufacturer, HardKore, Inc., designs and produces ergonomic, visually appealing, extreme-grade strength and fitness equipment. To deliver a smooth range of movement, HardKore equipment has highspeed precision roller bearings at pivot points, and high-end, industrial linear bearings on shafts. Special bushings in the selectorized stack plates produce a quiet, smooth motion even with minimal weight. The drive system cables are extrude-coated to minimize friction and wear. The pads on HardKore equipment are made out of HyperCell rubber and covered with Mellohide to provide superior support and comfort to the body under pressure and to withstand extreme use without breaking down. The space-saving HardKore Maximizer offers a small footprint with multiple configuration options. For more information, contact the company at P.O. Box 20828, Cheyenne, WY 82003; 630-882-6277; 630-882-6255 (FAX); www.HKgear.com. IntelliFITNESS, an integrated management solution, offers Healthy Business, a program that enables club owners to track prospects and members from initial contact through payment processing and fitness and diet progress. Healthy Business also includes © w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 103 Companies New IHRSA Associates continued membership management; front desk and check-in; POS and inventory control; employee and facility scheduling and rostering; sales and prospecting; management scorecard; notifications; and payment processing. IntelliFITNESS Personal enables fitness professionals, members, and administration to communicate, create, and track personal fitness and diet history, manage schedules, and publish events and news. And IntelliFITNESS Web lets members communicate with their facility or trainer from existing Websites or from one custom-created by the company. For more information, contact the company at 2550 Haas St., Escondido, CA 92025; 760-742-5158; 760-781-3767 (FAX); www.intellifitness.com. Since 1978, Thomas J. Klc (pronounced kelch) & Associates has been the principal legal counsel for many health and fitness industry leaders. Klc’s expertise includes reviewing and setting up business organizations; creating, negotiating, and reviewing fitness center leases; preparing and reviewing business documents, membership contracts, and consulting agreements; and serving as lead attorney for business reorganizations and fitness company acquisitions. Klc has been an expert witness and served as special counsel in many jurisdictions with respect to standards of the fitness industry, specialized valuation, and legal strategies. He has experience dealing with governmental regulatory agencies, state attorneys general, departments of consumer affairs, and legislative committees. For more information, contact the firm at 4725 South Holladay Blvd., Salt Lake City, UT, 84117; 801-2773033; 801-424-0258 (FAX); www.fitness-law.com. © © New Lifestyles, Inc., strives to motivate more people to be more active, more often. To that end, the company offers individuals, schools, worksites, and other organizations affordable stepcounters and activity monitors (pedometers and accelerometers), along with materials to launch a complete walking wellness or pedometer program. Its line of NL-series products range from simple to sophisticated, but not complicated, such as its accelerometer line (NL-2200, NL-2000, NL-1000, and NL-800), which takes monitoring of daily physical activity to the next level, measuring intensity and, in the case of the NL-1000, recording minutes spent engaging in moderate-to-vigorous 104 Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g physical activity. And its accelerometers are value-priced at $40-$60. For more information, contact the company at 5201 NE Maybrook Road, Lee’s Summit, MO 64064; 816-373-9969; 816-373-9929 (FAX); www.new-lifestyles.com. © With more than 20 years of experience in the frozen beverage industry, the Royale Interna- tional Beverage Company now offers health clubs real fruit, shelf-stable concentrates made with crystalline fructose, which is a natural sugar. The company’s high-quality products do not contain high fructose corn syrup, cane sugar, or beet sugar. Royale Smoothie Company also provides nutritional additive formulas to blend into beverages. This efficient turnkey solution has no marketing or franchise fees and no hidden costs; health clubs keep 100% of their revenues. For more information, contact the company at 5315 Tremont Ave., Davenport, IA 52807; 888-426-9222; 563-386-5222; 563-386-1352 (FAX); www.royalebrands.com. © Established in 1936, Salsbury Industries is an experienced manufacturer and distributor of lockers and mailboxes. The company’s products include standard, designer, wood grain designer, plastic, vented, extra-wide, extra-wide vented, open-access, and storage lockers; aluminum and wood benches; commercial and residential mailboxes; and custom signage. Salsbury Industries’ products are premium quality and can be found in schools, universities, private gyms, government agencies, businesses, apartments, mailrooms, and homes throughout the world. Knowledgeable customer service representatives can offer expert guidance when ordering, and most products are in stock and ship within 24 hours. For more information, contact the company at 1010 East 62nd St., Los Angeles, CA 90001; 800-562-5377; 323-846-6700; 800-562-5399 (FAX); www.lockers.com. © SpeedFIT, the innovative adaptation of track-and-field techniques for the fitness industry, produces a natural way to burn fat and lose weight. The SpeedFIT routine is based on a single, simple idea: de-emphasizing distance in exercise and, instead, promoting speed via low-impact running on the balls of the feet. The company measures each Companies continued New IHRSA Associates individual’s fitness level to create customized programs that change frequently and workouts that are short and effective. Following the program can lead to fat-burning and weight loss, along with enhanced cardiovascular conditioning, and participants can chart their progress along the way. For more information, contact the company at 323 Georgica Road, East Hampton, NY 11937; 866-577-3331; 631-3249152; 631-324-9148 (FAX); www.speedfit.com. © [TC]2 develops 3-D body-scanning equipment, shape analysis, and measurement extraction software. Its scanners are used in the health and fitness industry, medical applications, and the creation of an anthropometric database for military clothing and equipment. Major apparel companies use the equipment for custom-fit/made-to-measure clothing. The low-cast [TC]2 scanner is an easy-touse, safe, white light, 3-D body-scanning system. [TC]2 software automatically extracts hundreds of body measurements, and users can customize measurement definitions to match their application needs through a simple wizard interface. The 3-D Body Tracker program tracks body changes— including body fat and muscularity index—during exercise programs. For more information, contact the company at 211 Gregson Drive, Cary, NC 27511; 800-786-9889; 919-380-2156; 919-380-2181 (FAX); www.tc2.com. n w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 105 Members Alabama Anytime Fitness 2501 Oakwood Ave. Stes. 1 & 2 Huntsville, AL 35801 256-489-4348 Mr. Robert McAdory Anytime Fitness 4955 McAdory School Road Ste. 101 Mccalla, AL 35111 205-428-9115 Anytime Fitness 15041 Hwy. 43 Florence, AL 35633 888-572-2847 Riviera Fitness Center for Women 161 Bessemer Super Hwy. Midfield, AL 35228 205-788-2345 Mr. Tracy Childress Snap Fitness 2401 Stemley Bridge Road Pell City, AL 35125 205-338-7666 Snap Fitness 300 Springville Blvd. Ste. 100 Springville, AL 35146 205-467-0303 Arkansas Fuse Wellness 1400 S.E. Walton Blvd. Bentonville, AR 72712 479-273-7583 Ms. Brenda Spencer Snap Fitness 2113 E. Prkwy. Russellville, AR 72801 479-890-7627 Arizona Anytime Fitness 6715 E. 2nd St. Prescott Valley, AZ 86314 928-443-5701 Mr. Steve Beach New IHRSA Clubs Anytime Fitness 20924 N. John Wayne Prkwy. Maricopa, AZ 85239 520-568-5226 Mr. Brian Mullins Anytime Fitness 9649 E. Navarro Ave. Mesa, AZ 85209 480-332-9713 Mr. Dan Briggs Snap Fitness 4705 E. Carefree Hwy. Ste. 131 Cave Creek, AZ 85331 480-710-7893 Snap Fitness 8816 E. Broadway Blvd. Tucson, AZ 85710 520-546-1114 Snap Fitness 2025 S. Alma School Road Mesa, AZ 85210 602-315-0781 Tumbleweed Tennis Complex 2250 S. McQueen Road Chandler, AZ 85244 480-782-2650 Ms. Sara Rathsack California Anytime Fitness 883D Island Drive Alameda, CA 94502 510-864-2030 Mr. Milt Fulas Anytime Fitness 2600 Plaza Court Ste. D Dixon, CA 95620 707-693-9500 Anytime Fitness 153 S. Auburn St. Grass Valley, CA 95945 530-477-2946 Mr. Stephen Matthews IHRSA Membership Eligibility Standards Members of the association must comply with IHRSA’s baseline health, safety, and ethical standards. 1. The club will open its membership to persons of all races, creeds, places of national origin, and physical abilities. 2. The club will respond to and endeavor to resolve, within 60 days, any consumer complaints made to the Better Business Bureau or to state or local consumer protection agencies (or other such agencies). 3. The club will comply with all relevant laws concerning pre-sell membership fees. 4. The club will not sell prepaid, lifetime memberships, and will not guarantee membership or renewal fees beyond a three-year period or the period permitted by applicable law. 5. The club will not engage in illegal membership sales tactics. 6. The club will conform to all relevant laws, regulations, and published standards. 7. The club will respond in a timely manner to any reasonably foreseeable emergency event that threatens the health and safety of the club users. Toward this end, the club will have an appropriate emergency plan that can be executed by qualified personnel in a timely manner. 8. The club will offer each adult member a pre-activity screening appropriate to the physical activities to be performed by the member. 9. Each person who has supervisory responsibility for a physical activity program or area at the club will have demonstrable professional competence in that physical activity program or area. 10. The club will post appropriate signage alerting users to risks involved in their use of those areas of the club that present potential increased risk(s). 11. A club that offers youth services or programs will provide appropriate supervision. 12. The club will be kept clean and equipment will be maintained in working order. If any club has evidence that a member club is not abiding by the IHRSA Membership Standards, contact IHRSA at pod@ihrsa.org or write to: IHRSA, 263 Summer Street, Boston, MA 02210. *Indicates clubs participating in the IHRSA Passport program. Hiltons Hotel Corporation Marketing Department 9336 Civic Center Drive Beverly Hills, CA 90209 310-205-4347 Ms. Jodi Sullivan L.A. Fitness * 39716 Winchester Road Temecula, CA 92589 951-296-9200 Club One at Embarcadero Center Mission Cliffs Climbing Center 2 Embarcadero Center San Francisco, CA 94111 415-788-1010 Ms. Louise Howard 2295 Harrison St. San Francisco, CA 94110 415-550-0515 Ms. Donna Dunlap No Xcuses Training Snap Fitness 905 Middlefield Road Ste. A Palo Alto, CA 94301 650-325-1273 Mr. Dave DeGeronimo 621 Alhambra Ave. Martinez, CA 94553 925-370-0700 Snap Fitness PowerZone Fitness 7648 E. Hollow Oak Road Anaheim, CA 92808 905-702-1774 Mr. Brian Hayward 5030 Business Ste. 150 Center Drive Fairfield, CA 94534 707-864-8020 n M AY 2 0 0 7 The Studio Fitness for Women 3930 Broad St. San Luis Obispo, CA 93401 805-541-1100 Mr. David Pomfret Snap Fitness w w w. i h r s a . o r g 1145-1147 S. DeAnza Blvd. San Jose, CA 95129 408-252-SNAP n Club Business International 107 Members New IHRSA Clubs continued Topanga Training & Fitness 5441 Topanga Canyon Blvd. Woodland Hills, CA 91367 818-347-9500 Mr. Allen Saltzman Touchstone Concord 1220 Diamond Way Ste. 140 Concord, CA 94520 925-602-1000 Ms. Lyn Verinsky Touchstone San Jose 200 S. First St. San Jose, CA 95113 408-920-6000 Mr. Justen Sjong Colorado Anytime Fitness 200 W. Foothills Prkwy. Ste. B Fort Collins, CO 80524 970-223-2248 Mr. David Haase District of Columbia 41 N. 42nd Ave. Brighton, CO 80601 303-659-1261 Vida Fitness Snap Fitness 18240 E. 104th Ave. Commerce City, CO 80022 303-289-7333 201 S. Elm Eaton, CO 80615 303-961-3960 Anytime Fitness 108 Bartrum Oaks Walk Jacksonville, FL 32259 904-230-6700 Connecticut Anytime Fitness 281-B Berlin Turnpike Berlin, CT 06037 860-770-6013 Mr. Wayne Dottor Anytime Fitness 195 Federal Road Brookfield, CT 06804 203-740-7771 Mr. Peter Mei 4731 W. 10th St. Ste. G Greeley, CO 80634 970-353-1200 Mr. Andy Murphy 521 Riverside Drive Westport, CT 06880 203-221-7475 Mr. Howard Winklevoss Anytime Fitness 8227 S. Holly St. Centennial, CO 80015 303-220-0205 Mr. Larry Sarjeant Anytime Fitness 393 N. Washington Ave. Golden, CO 80403 720-746-1000 Club Colorado Fitness * 3755 Precision Drive Ste. 100 Loveland, CO 80538 970-744-8923 Mr. Ryan Conover Delaware 1312 S. Marshall St. Boone, IA 50036 515-432-9400 Mr. Roger Aaron Valley Isle Fitness 29 Iliwai Loop Kihei, HI 96753 808-874-2844 Mr. James Moser Idaho Snap Fitness 50 N.W. Point Blvd. Elk Grove, IL 60007 224-222-2509 Mr. Jason Amore Georgia Snap Fitness 2 Town Road Ocean View, DE 19970 302-539-8282 Mr. Pete Brooks 920 Glenwood Ave. Ste. 102/103 Atlanta, GA 30316 404-627-8000 Snap Fitness 2512 Redwine Road Fayettevilee, GA 30215 770-632-4444 Snap Fitness 1190 King George Blvd. Savannah, GA 31419 912-652-9624 n Illinois 13058 Race Track Road Tampa, FL 33626 727-251-2990 Dupont Country Club Fitness Center World Gym 205 Stockham Blvd. Rigby, ID 83442 208-745-8292 Citigroup 433 Canton Road Ste. 105 Cumming, GA 30040 770-853-8651 Black Gates Road Wilmington, DE 19803 302-421-1728 Mr. Larry Hampton 2926 E. Greenhurst Road Nampa, ID 83686 208-461-6655 Ms. Genesis Nelson Snap Fitness Anytime Fitness M AY 2 0 0 7 1040 S. King St. Ste. 210 Honolulu, HI 96814 808-228-6208 Dr. Richard Ridao Bank of America - Medifit Corporate Services 1100 N. King St. Wilmington, DE 19884 302-432-2090 Ms. Sarah Frahm n Anytime Fitness Anytime Fitness 9000 Southside Blvd. Bldg. 500 Jacksonville, FL 32256 904-464-3901 Mr. Matt Kelley w w w. i h r s a . o r g Iowa Club 50 of Oahu 8206 Philips Hwy. Unit 1 Jacksonville, FL 32256 904-737-1286 Mr. Kevin Craig Bank of America - Medifit Corporate Services Club Business International Hawaii Bally Total Fitness Saugatuck Rowing Club 701 Delaware Ave. Longmont, CO 80501 303-776-2633 Mr. Chris Berger 601 F St. NW Washington, DC 20004 202-393-8432 Mr. David N. Von Storch Florida Snap Fitness Anytime Fitness Anytime Fitness 108 Snap Fitness Snap Fitness 1042 E. Algonquin Road Algonquin, IL 60102 847-854-3481 Anytime Fitness 1818 Fawcett Prkwy. Nevada, IA 50201 515-382-2424 Mr. Roger Aaron Snap Fitness 1810 S.W. White Birch Circle Ste. 107 Ankeny, IA 50023 515-965-8778 Snap Fitness 905 Hwy. 30 E, #2 Carroll, IA 51401 712-792-0101 Snap Fitness 7085 C Ave. NE Ste. A6 Cedar Rapids, IA 52404 319-393-3632 Snap Fitness 2200 N.W. 159th St., #200 Clive, IA 50325 515-987-7777 Snap Fitness 4123 University Ave. Des Moines, IA 50311 515-255-SNAP Indiana Snap Fitness Plummer Blvd. Chathum, IL 62629 217-891-3006 Snap Fitness 380 Bank Drive McHenry, IL 60050 815-385-5526 Snap Fitness 23836 135th St. Plainfield, IL 60544 815-254-9888 Snap Fitness 11009 Allison Road Fishers, IN 46083 317-594-1200 Kansas Snap Fitness 5424 Roberts St. Shawnee, KS 66226 913-441-5182 Kentucky Snap Fitness 147 E. Lincoln Trail Radcliff, KY 40160 270-351-1348 Members New IHRSA Clubs continued Louisiana North Cypress Fitness Studio 113 N. Cypress St. Hammond, LA 70401 985-542-3121 Mr. Olaf K. Ross Snap Fitness 14241 Coursey Blvd. Baton Rouge, LA 70809 225-751-1979 Maine Snap Fitness 747 Broadway S Portland, ME 97229 207-799-0864 Maryland Anytime Fitness 9130 Piscataway Road Clinton, MD 20735 240-605-7939 KINETIX Health Club * First Floor 957 National Hwy. Lavale, MD 21502 301-729-9755 Mr. Rommel Gonzaga Massachusetts Anytime Fitness 20 Andrews Prkwy. Devens, MA 01434 Anytime Fitness 138 Industrial Park Road Plymouth, MA 02360 508-747-7677 Mr. Scott H. Ruisi Bank of America - Medifit Corporate Services 100 Federal St. Boston, MA 02110 617-434-2348 Ms. Meghan Carroll Medifit 25 Greenfield Road South Deerfield, MA 01373 Ms. Stephanie Esdale 110 Snap Fitness Michigan 1641 Blake Ave. Albert Lea, MN 56007 507-377-1290 Anytime Fitness 1030 S. Main St. Chelsea, MI 48118 734-433-3333 Ms. Hayon Stewart Snap Fitness 5262 Kyler Ave. NE Albertville, MN 55301 763-391-7627 Anytime Fitness 5169 Northland NE Plainfield, MI 49525 616-364-3100 Snap Fitness 1804 S. Broadway St. Alexandria, MN 56308 320-762-8879 Fitness Connections 2930 W. Main St. Kalamazoo, MI 49006 269-488-2700 Mr. Bryan Heisler Snap Fitness Flex Fitness Center * 474 Century Lane Holland, MI 49423 616-396-2901 Mr. Shawn Miller Nakomis Square 307 N. Nokomis St. Alexandria, MN 56308 320-762-8879 Mississippi 24-7 Fitness Studio Snap Fitness 850 Forest Hill Road Grand Rapids, MI 49525 616-957-3560 Snap Fitness 950 W. Norton Ave. Norton Shores, MI 49441 231-343-9443 Snap Fitness 2902 Hardy St. Hattiesburg, MS 39401 601-447-6933 Mr. David Aiena Snap Fitness 3906 Hardy St. Hattiesburg, MS 39402 504-338-8180 Snap Fitness 123 Grandview Blvd. Madison, MS 39110 651-484-0428 723 E. Savage Ste. F Spring Lake, MI 49456 616-846-7627 Montana Snap Fitness 2913 Crooks Road Rochester Hills, MI 48309 Minnesota Snap Fitness 3906 Hardy St. Hattiesburg, MT 39402 504-338-8180 Snap Fitness Anytime Fitness 38873 14th Ave. North Branch, MN 55056 651-674-0580 Ms. Jennifer Stromquist 3150 N. Montana Ave. Helena, MT 59602 406-442-4530 Nebraska Anytime Fitness 975 Frontenan Drive NE Winona, MN 55987 Ms. Abby Riewe Club Business International n M AY 2 0 0 7 n Snap Fitness 3503 Samson Way, #112 Bellevue, NE 68123 402-991-7881 w w w. i h r s a . o r g Nevada New York Powerhouse Gym & Aerobics Setauket Tennis & Fitness * 2900 Clear Acre Lane Ste. S Reno, NV 89512 775-337-2800 Mr. Wayne Moon 5 S. Jersey Ave. East Setauket, NY 11733 631-751-6767 Ms. Susan Lasorsa Snap Fitness 3350 Novat St. Ste. 155 Las Vegas, NV 89128 702-731-4100 Snap Fitness Snap Fitness 1388 E. Genesee St. Skaneateles, NY 13152 315-406-0575 North Carolina Anytime Fitness 8390 DeCatur Blvd. North Las Vegas, NV 89085 702-731-4100 2980 Kildaire Farm Road Cary, NC 27518 919-387-7077 Snap Fitness Healthtrax Fitness and Wellness 1675 Robb Drive Unit 1 Reno, NV 89523 775-746-5700 New Jersey Achieve 24 Fitness * 199 Main St. Hackettstown, NJ 07840 908-813-1966 Mr. Benjamin Krymis Anytime Fitness 141 Rte. 46 E Budd Lake, NJ 07828 973-426-0909 Mr. Joe Nordquist Club H Fitness * 110 Sinatra Drive Hoboken, NJ 07030 888-640-2582 Mr. Craig Laskow Snap Fitness 1468 Blackwood Gloucester, NJ 8021 856-346-1800 New Mexico Anytime Fitness 11500 Menaul Blvd. NE, F-2 Albuquerque, NM 87120 505-332-3493 8300 Health Park Way Raleigh, NC 27615 919-847-2393 Ms. Lisa LaGanke Snap Fitness 1052 Alamance Church Road Greensboro, NC 27406 336-676-9990 Snap Fitness 217 Hwy. 64 W Ste. 1 Lexington, NC 27292 336-243-7627 Snap Fitness 705 W. Main St. Jamestown, NC 27282 336-682-9549 Snap Fitness 11914 Elm Lane Charlotte, NC 28277 North Dakota Snap Fitness 3200 Sheyenne St. West Fargo, ND 58078 701-356-3650 Snap Fitness 4950 13th Ave. S Fargo, ND 58103 701-356-0012 Members continued Ohio Anytime Fitness 5119 W. Tuscarawas Canton, OH 44708 330-477-5000 Anytime Fitness 26611 N. Dixie Hwy. Perrysburg, OH 43551 419-872-0002 Ms. Karen Beamish New IHRSA Clubs L.A. Fitness * Snap Fitness 351 Loucks Road York, PA 17404 717-848-6910 69 E. Main Unit 1 Erie, PA 16428 814-725-2000 Volant Fitness * Puerto Rico Citigroup Minillas Industrial Park Calle 174 KM 2.2, #111 Bayamon, PR 00959 787-995-4099 Ms. Maria Bonilla 981 E. Lancaster Ave. Downington, PA 19335 610-518-7680 Mr. Steve Main Bank of America Medifit Corporate Services 25875 Science Park Drive Cleveland, OH 44122 Ms. Michelle Custer Citigroup 9997 Carver Road Cincinnati, OH 45242 Mr. Brian Parnell Snap Fitness 230 State St. Conneaut, OH 44030 Oregon Snap Fitness 18335 N.W. West Union Road Portland, OR 97229 503-397-9563 US SportsPlex 4540 Commerce St. Eugene, OR 97402 541-484-7451 Mr. John Kraft Snap Fitness 5349 W. Baseline Road Hillsboro, OR 97212 Pennsylvania Bank of America - Medifit Corporate Services 1 Fleet Way Scranton, PA 18507 570-330-3144 Ms. Patricia Miller Cornerstone Health and Fitness 415 S. York Road New Hope, PA 18938 Mr. Jim Bishop w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 111 Members New IHRSA Clubs continued Rhode Island Bank of America 111 Westminster St. Providence, RI 02903 401-473-2920 Mr. Kyle Froberg Tennessee 50 and Fit 3161 Southern Memphis, TN 38111 901-848-4348 Mr. Mel Baddorf Anytime Fitness 8390 Hwy. 51 N Ste. 102 Millington, TN 38053 901-491-6283 Mr. Terry Dukes 112 Anytime Fitness Gold’s Gym Snap Fitness 7648 Stout Road Germantown, TN 38138 662-893-3355 Ms. Pam Parnell 16233 Clay Road Houston, TX 77084 832-593-9333 Mr. Bill Windschief 205 S. Main St. Red Oak, TX 75154 972-576-0388 Snap Fitness 5201 S. Colony Blvd. The Colony, TX 75056 972-625-8994 Gold’s Gym Texas 2213 N. Park Drive Kingwood, TX 77339 281-359-9911 Mr. Tony Mazurkewicz Anytime Fitness 13730 Alice Road Ste. D Tomball, TX 77377 281-255-2300 Mr. Jason Bramlett Bank of America - Medifit Corporate Services 16001 N. Dallas Prkwy. Dallas, TX 75001 469-201-4781 Ms. Lisa Wood Club Business International n M AY 2 0 0 7 n Utah L.A. Fitness * Anytime Fitness 20127 Interstate 45 N Spring, TX 77388 281-350-4298 1330 E. Hwy. 193, #C2 Layton, UT 84040 801-771-5100 Mr. Curtis Peterson Medifit 220 E. Las Colinas Irving, TX 75039 972-830-6899 Ms. Susan Bell w w w. i h r s a . o r g The Wellness Institute 1055 N. 500 W Provo, UT 84604 801-429-0610 Mr. Brett Mortensen Virginia Snap Fitness 16609-16609 Montain Road Montpelier, VA 23192 804-883-0190 Washington Gold’s Gym 1504 Iowa St. Bellingham, WA 98225 360-671-4653 Ms. Tamara J. McClellan Snap Fitness 11523 Avondale Road NE Redmond, WA 98052 425-605-2241 Calendar of Events Coming Soon in CBI 2007 May 9-10 IHRSA Traveling Seminar & Showcase Detroit, MI www.ihrsa.org/ontheroad May 14-16 Fitness Industry Suppliers Association N.A. Program Director Forum San Diego, CA 858-508-0034 www.fisana.org May 16-17 IHRSA Legislative Summit Washington, D.C. 800-228-4772 (U.S. & Canada) 617-951-0055 www.ihrsa.org June 4-8 2nd Annual IHRSA University Barcelona, Spain 800-228-4772 (U.S. & Canada) 617-951-0055 www.ihrsa.org June 6-9 Club Industry East Orlando, FL www.clubindustryshow.com June 20-21 IHRSA Traveling Seminar & Showcase Atlanta, GA www.ihrsa.org/ontheroad August 6-10 19th Annual IHRSA Institute for Professional Club Management September 4-7 3rd Annual IHRSA Club Business Entrepreneur Conference Presented in conjunction with the National Fitness Trade Show & the ACE International Symposium Las Vegas, Nevada 800-228-4772 (U.S. & Canada) 617-951-0055 www.ihrsa.org/coference September 4-7 ACE International Symposium Presented in conjunction with the IHRSA Club Business Entrepreneur Conference & the National Fitness Trade Show Las Vegas, Nevada 858-576-6502 www.acefitness.org September 5-7 26th Annual National Fitness Trade Show Presented in conjunction with the IHRSA Club Business Entrepreneur Conference & the ACE International Symposium Las Vegas, Nevada 541-830-0400 www.msfitness.com September 5-7 September 27-30 SIBEC Scottsdale, AZ Www.sibecna.com October 4-6 8th Annual IHRSA / Fitness Brasil Latin American Conference & Trade Show São Paulo, Brazil 800-228-4772 (U.S. & Canada) 617-951-0055 www.ihrsa.org/meetings www.fitnessbrasil.com.br • Global 25: CBI’s annual ranking of the biggest and boldest club companies in the world October 10-13 Club Industry • Rising Sums: Our correspondent, Tomoko Iwai, describes industry advances in Japan Chicago, IL Www.clubindustryshow.com November 1-4 6th Annual IHRSA Asia-Pacific Forum • The Governator: Schwarzenegger and 24 Hour Fitness are promoting healthcare reform Kuala Lumpur, Malaysia www.ihrsa.org November 12-14 • At Liberty: We talk with the women who are empowering the Liberty Fitness franchise 7th Annual IHRSA European Congress Paris, France 800-228-4772 (US & Canada) 617-951-0055 www.ihrsa.org/congress • Nice Touch: These clever little details make for a rewarding locker-room experience Fitness Industry Suppliers Association N.A. FISA-East Orlando, FL 858-508-0034 www.fisana.org • Teen Scene: We check out the action at O2 MAX, Overtime Fitness, and other teen-only clubs Out of Shape by Stan Tran • Board Beat: Members of IHRSA’s board of directors explain why they’ve chosen to serve Wellesley, Massachusetts 800-228-4772 (U.S. & Canada) 617-951-0055 www.ihrsa.org/institute • Tech Trek: F.I.T. Extra takes a stroll through the virtual world of club computer options August 16-19 Can-Fit-Pro 2007 Toronto, ON, Canada 800-667-5622 ext. 242 www.canfitpro.com August 22-23 Club Business IHRSA Traveling Seminar & Showcase International Phoenix, AZ www.ihrsa.org/ontheroad w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 113 Marketplace PRODUCTS FOR SALE Work in Luxury • Sell • Buy • Recondition •Broker • Lease • Trade In Millennium Partners Sports Club Management LLC is the owner and operator of six luxury Like–New Fitness Equipment at Wholesale Prices sports, fitness, and wellness clubs that operate under the brands “The Sports Club/LA” and “Reebok Sports Club/NY” in New York City, San Francisco, Miami, Washington DC, and 800-922-3488 unrivaled amenities to meet our Members’ lifestyle needs. If you possess exceptional skills and experience and want to grow with the industry leader, we would like to talk to you Boston. With personalized, five-star service, the Clubs provide an urban resort with www.firstfitnessequipment.com about the following opportunities: Club Management EMPLOYMENT Fitness Management Membership Sales Private Trainers Yoga & Pilates Instructors We offer our employees a warm, friendly, and team-oriented work environment, as well as excellent compensation and benefits. FIND STRENGTH IN PEOPLE WHO CARE ABOUT YOU! For consideration, please send your resume and cover letter indicating Working together to achieve great things has made Lifestyle Family Fitness a fast-growing leader in the competitive fitness industry. Here on our team, there’s always someone to carry the weight! position and location preference(s) to careers@mp-sportsclub.com. JLR 36 locations in Florida and Ohio, we have the following immediate opportunities available: ASSOCIATES • District and Area O pe r a ti o n s M a n a g e r s • District and Area Sale s Managers • Club Sales Managers • C l u b O p e r a t i o n s M a n a ge r s • Personal Trainers • Sales Consultants • G r o u p F i t n e ss I n s t r u c t o r s Call Jeff Randall Sport & Health, DC’s premiere provider of over 20 multipurpose health clubs, is in search of business & sales minded General Managers! Ideal managers will have 5-10 yrs of direct industry experience, an entrepreneur attitude and a passion for success. WE HAVE IMMEDIATE OPENINGS! People are our business and we are proud to work with some of the best. Exercise your ability to succeed, when you apply online now at www.lff.com. Click on Employment Opportunities to apply to a club of your choice. EOE Club Business International DRIVE Sales? MANAGE Operations & Facilities? SUPPORT Programming? OPERATE Financial Budgets? You are the General Manager we want! Tel: 781-251-0094 jr@jlrassoc.com Or Dennie Noecker Tel: 609-430-8455 dennie@jlrassoc.com Competitive salaries, bonus & commission programs and great benefits package offered! 114 Executive Search, Recruitment and Placement – Helping You Find the Right People www.jlrassoc.com We offer an aggressive compensation & bonus plan, full medical/dental plan, 401(k) plan, an upbeat & enriching work environment and long term growth opportunities! Send resume and salary requirements to jobs@sportandhealth.com or fax to (703) 893-8487. Visit us at www.sportandhealth.com visit www.ihrsa.org n M AY 2 0 0 7 n w w w. i h r s a . o r g Marketplace As one of the most elite athletic club organizations in Maryland we are expanding our team of professionals and are looking for an ALL STAR to join us on our path to success. Merritt Athletic Club is looking for: • a highly qualified, naturally interpersonal Regional Sales Director • a self confident, persistent, pro-active individual that can inspire others and will be able to build relationships through written and verbal communication. • a person who thinks outside the box and has the innovation and drive to motivate a sales staff to the next level • an individual with 3 years of sales experience as a manager We offer competitive compensation and great benefits package. If you feel qualified for this position please email your resume to tbennington@merrittclubs.com Global Fitness Holdings, the largest and fastest growing fitness company in Ohio, Kentucky & Tennessee, has immediate openings for District Managers, Operating Partners, General Managers and Fitness Consultants. 8 new super clubs opening in 2007. Would you like to be part of that growth? Paying top dollar for the best. We offer salary, bonus & commissions. Medical, dental, life, vision & retirement. Relocation package. WORK WHERE YOU PLAY Matrix Fitness Systems, one of the fastest growing companies in the commercial fitness industry, is looking for dynamic individuals to join our sales team. We are looking for experienced sales managers in various territories across the U.S. and Canada. Wellbridge owns and operates 20 premier athletic clubs and spas nationwide under the mission of “improving quality of life through fitness, wellness, sports and fun.” If you are motivated and seeking a position where you can utilize your passion to exceed your career expectations, we want you to join our team. • • • • For additional information including current positions & qualifications, visit our website at www.wellbridge.com or send your resume to resumes@wellbridge.com Qualifications include: • Bachelor’s degree preferred • 3+ years industry experience • Proven producer • Computer savvy • Excellent organizational and communication skills • Extensive travel required • Health & fitness enthusiast Regional Sales Managers Expresso Fitness, the industry leader in commercial extertainment systems, is hiring regional sales managers with a minimum of 5 years of industry sales experience. Reporting to the VP of Worldwide Sales, they will initiate and drive sales of Expresso’s interactive cardiovascular fitness systems to area health clubs and fitness facilities. Candidates should have excellent communication and organizational skills, an active interest in health and fitness and a positive, friendly demeanor. For motivated team players, this is a tremendous opportunity in a rapidly growing company. Please send resume with cover letter to: hr@jhtna.com Johnson Health Tech North America 1600 Landmark Drive Cottage Grove, WI 53527 www.matrixfitness.com http://www.johnsonfitness.com Looking for a Job in the Fitness Industry? ActiveCareers is the Answer! This opportunity is only for the committed, hard-working fitness professional. Qualified candidates: eMail your resume, cover letter and desired geography to employment@ expressofitness.com or apply online at ActiveCareers.com. Send resume to resume@ggtko.com or fax to 859-977-3091 Visit our website, www.ggtko.com Call 1-866-GO-GGTK www.ActiveCareers.com w w w. i h r s a . o r g n M AY 2 0 0 7 Club Management Membership Sales Representatives Personal Training Managers Personal Trainers n Club Business International 115 Marketplace Join Our Team of Professionals! Opportunities Available Throughout the Southeast WANTED AMERICAN CLUB SYSTEMS, INC. NOW HIRING Earn $100,000.00+ Per Year General Managers Sales Managers Personal Training Directors Personal Trainers (Positions available in Coed & Women’s Only Clubs) MMC® is looking for Independent Contractors to run protected territories throughout the US, Canada, Europe, Asia, Australia and South America. MMC® specializes in raising immediate CASH and MONTHLY RECEIVABLES for health clubs. We have a proven success track record for more than fifteen (15) years. Our programs are no risk to the health club owners because they completely pay for themselves. If you love Sales and Marketing, want to be your own boss, work from your home office and have the potential to earn more than $100,000.00 per year then you want to contact us at 1-877620-8135 or visit our website at www.healthclubconsultant.com $75K to $100K earnings potential! If you are Career-Oriented, Self-Motivated, Energetic and interested in developing the skills and knowledge to succeed in an exciting industry Fax resume to Fitness Centers/Gyms Business For Sale SW Florida (706) 322-4123 or e-mail resume to recruiting@ ★ 2 locations: 13,500 / 15,000 sq.ft. americanclubsystems.com ATTN: Jack Letz Phone: 800-640-5161 ★ Great leasehold improvements and extensive gym equipment ★ Pro shop, tanning, juice shop BUSINESS OPPORTUNITIES ★ Convenient to major roadways and interstate highway UP AND RUNNING – HEALTH CLUB FOR SALE Full Service, 25,000 Sq-Ft Health and Fitness Club, 1400 current members, $42,000 monthly EFT, $500,000 annual membership sales base. Located in upscale Fairfield County, CT. Email: newtowngym@comcast.net or call 203-994-2987 for more information. Facility is expandable to 35,000 Sq-Ft. 116 Club Business International ★ $750K & $1,250K or $1,900,000 for both Contact Broker: Karl T. Lippek, CCIM Colliers Arnold 239-418-0300 x205 Fax: 239-418-1937 cwoosley@colliersarnold.com n M AY 2 0 0 7 n w w w. i h r s a . o r g We are looking for existing fitness center locations! Minimum Requirements: 20,000 sq. ft. facility Adequate Parking Minimum 10 year lease with 5 year option We are looking to expand in all counties of Massachusetts, New Hampshire and Rhode Island Please contact: William Silvestri 1-603-893-4324 ext.11 fax: 1-603-893-8216 Bill@SilvestriCorp.com CONSULTING %P :PV ,OPX 8IBU :PVS )FBMUI $MVC *T 8PSUI r #SPLFSBHF r "DRVJTJUJPO $POTVMUJOH r 7BMVBUJPOT $BMM DPGGFZPXFOTDPN Missed an Issue? Did you know you can access the full text of CBI articles from as early as 2001 on IHRSA’s web site? To learn more, visit www.ihrsa.org/cbi. CBI Advertisers Index Company Page # A-1 Textiles 67 Aerobics and Fitness Association of America 77 Affiliated Acceptance Corporation 80 Airex distributed by SPRI Products, Inc. 71 American Council on Exercise 11 Anytime Fitness, Inc. 76 ASF International 2&3 Axios LLC 118 BOSU by Fitness Quest 28 Can-Fit-Pro 26 & 69 CheckFree Corporation 7 Club Industry Insert Concept2 73 Creative Agency Group 117 CSI Software 15 CYBEX International, Inc. Inside Front Cover & 5 DIRECTV 16 eFit Financial 102 Electronic Billing & Collecting Services 101 EVERLAST Performance Flooring 34 Fit Zone For Women International, Inc. 64 Fitness Equipment Source, Inc. 65 Fitour 83 Go Figure 44 HardKore Inc. 32 HydroTher Commercial Spa & Wellness Equipment 68 IDEACAST 22 Iron Grip Barbell Company 9 Ivanko Barbell Company 31 K & K Insurance 72 Keiser 12 Life Fitness Back Cover Matrix Fitness Systems, Corp. 10 Mavericks Franchise 97 MembersFirst, Inc. 63 National Academy of Sports Medicine 75 National Exercise & Sports Trainers Association (NESTA) 79 OPTP 74 Parisi Speed School 105 Peak Pilates Inside Back Cover 101 Perform Better 20 Power Blendz (Island Oasis) Power Systems Outsert Precor Commercial Division 19 Private Label Fitness 86 Ready Care Industries 78 Retro Fitness Franchising 91 70 Salsbury Industries Snap Fitness 106 68 Special Projects Audio SPEEDFIT 93 Sports & Fitness Insurance Corporation 98 Sports Solutions, Inc. 43 Sportsmith 111, 117 112 Sportwall International, Inc. 1 Star Trac Stott Pilates 78 TECHNOGYM French Cover Thin & Healthy's Total Solution 89 True Fitness Technology, Inc. 25 United States Professional Tennis Association 80 Velocity Sports 94 60 VERT Worldwide, Inc. 82 Visual Fitness Planner WaterRower, Inc. 81 Phone # Contact E-mail/Website 800-351-1819 800-225-2322 800-233-8483 800-222-7774 800-825-3636 800-704-5004 800-227-3859 800-748-5125 800-497-8281 800-667-5622 x234 800-242-9522 610-238-9306 800-245-5676 800-888-8381 800-247-3431 508-533-4300 888-200-4388 877-772-3348 800-766-1918 888-383-7655 269-226-9564 800-748-5125 800-348-6873 281-207-0018 630 882 6277 Customer Service Tom Ivicevic Sid Nelson Customer Service Customer Service Jeff Thames Sean Kirby Mark Clayton Suzanna West Victoria Goncharenko Ron Poliseno Herb Greenebaum Bill Patton Jon Denley Andy Wigderson Deb Cowell DIRECTV Dudley Exstrom Gerald Hamm John Aten Todd Sullivan Mark Clayton Robert Ottis Sales Mark Spangler www.a1athletictowels.com www.afaa.com www.affiliated.org www.spriproducts.com www.acefitness.org www.anytimefitness.com www.asfinternational.com www.endlessrope.com www.bosu.com www.canfitpro.com www.checkfreeclubmanager.com www.clubindustry.com www.concept2.com www.creativeagency.com www.csisoftwareusa.com www.cybexinternational.com www.DIRECTV.COM/BUSINESS www.efitfinancial.com www.achbilling.com www.everlastflooring.com www.FitZoneForWomen.com www.fitnessequipmentsource.com www.fitour.com www.igofigure.com www.hkgear.com 800-891-5811 312-988-4121 800-664-4766 310-514-1155 800-637-4757 800-336-8133 800-634-8637 866-693-4863 541-593-2500 866-636-3477 800-460-6276 x5501 Jennifer Mercieca Fred Smith Donna McCallum Chet Groskreutz Sandee Howle Darrin Pelkey Mike Rotz Tiffany Hoeye Jerry Cunningham Pete Diffendal Education Advisor jen@hydrother.com www.ideacast.net www.irongrip.com www.ivankobarbell.com www.kandkinsurance.com www.keiser.com www.lifefitness.com www.matrix-fitness.com www.maverickssports.com www.memfirst.com www.nasm.org 877-348-6692 x210 800-367-7393 888-GET-FAST 800-925-3674 800-556-7464 800-999-5674 800-321-6975 800-786-8404 800-340-7011 800-477-4283 800-RETRO-04 800-562-5377 877-474-5422 866-491-2677 866 5+SPEED+1 888-276-8392 800-969-8008 800-713-2880 800-695-5056 x118 800-228-6635 800-910-0001 800-804-0952 419-991-1223 877-712-7209 800-877-8248 949-330-6231 239-530-3163 877-VFP-1212 800-852-2210 Mark Baines Customer Service Laurie Plaza Julie Lobdell Chris Poirier Mark Malkin Customer Service Larry Domingo Art Rothafel Kevin Hedican Franchising Department Ricardo Alva Michael Wickman Tracy Clay Alex Astilean Jennifer Urmston Lowe Laurie Schmidt Brad Schupp Sarah Funkhouser Paul Ireland Sales Department Ivo Grossi Marcia Bigler Keith Hankins Tim Heckler Kerri Sonenshine Ed Torkelson Daron Allen Colin Shaw www.NESTAcertified.com www.optp.com www.parisischool.com www.peakpilates.com www.performbetter.com www.powerblendz.com www.power-systems.com www.precor.com www.privatelabelfitness.com www.readycare.com www.retrofitness.net www.lockers.com www.snapfitness.com www.specialprojectsaudio.com www.speedfit.com www.sportsfitness.com www.sportssolutionsinc.com www.sportsmith.net www.sportwall.com www.startrac.com www.stottpilates.com www.technogymusa.com www.thinandhealthy.com www.truefitness.com www.uspta.com www.velocitysp.com edtork@comcast.net www.vfp.us www.waterrower.com w w w. i h r s a . o r g n M AY 2 0 0 7 n Club Business International 119 CEO Briefing The goal: to have our industry recognized as the entity that ‘dispenses exercise as medicine.’ Healthcare: A Healthier Policy E very day, it seems, there’s more bad news about the healthcare crisis. We’ve all heard that this generation of children may be the first to have a shorter average lifespan than that of their parents. The medical costs associated with being overweight or obese continue to skyrocket. Only 40% of the diabetics who are told to exercise by their doctors actually do so. Only about 50% of heart patients complete their prescribed therapy following surgery. According to several recent studies, the U.S. is also facing a potential shortage of 85,000–200,000 physicians by the year 2020. So… the cost of healthcare is increasing; people are becoming sicker, in part because of inactivity; many patients aren’t heeding their physician’s advice; and we’re heading toward a serious shortage of physicians. Joe Moore Does this sound like a formula for disaster? IHRSA President & CEO As alarming and disheartening as it may seem, this situation can—and must—be changed. As health club owners and operators, the fundamental question before us is simply: What can we do? As IHRSA grows in size and sophistication, its public-policy goals must be carefully defined and developed. We’re now at a critical juncture in our history—a point at which, for the first time, we can take decisive actions to achieve our short- and long-term federal public-policy objectives. Our ultimate aspiration is to solidly position our industry as part of the healthcare continuum by making club-based exercise an integral part of every phase of healthcare— beginning with prevention, and continuing through to disease intervention and rehabilitation. Reaching that goal will require an ongoing commitment from IHRSA, individual clubs, and the industry as a whole, but we firmly believe it’s one that we can—and will—attain. We’re also convinced that, by doing so, we’ll do much to grow our business. Charting a course to reach that grand destination, IHRSA has identified four major interim objectives that we’ll be working toward. They are: • To have IHRSA recognized as one of the most active leaders and most valuable resources dealing with America’s healthcare crisis—particularly with respect to obesity, wellness, and the health and economic costs of sedentary lifestyles. • To increase the involvement of IHRSA in collaborative federal initiatives—with the government and other influential stakeholders—to help solve the current crisis. • To inform, influence, and help shape legislation that affects the healthcare industry, particular with respect to related tax measures. • To have the health club industry recognized as the entity that “dispenses exercise as medicine.” One Hundred Twenty Million Members by 2010 120 If we can convince the government and the public of the incredible value of making use of our clubs, and if they take the appropriate, positive action, maybe—just maybe—people will become healthier, and we can stop worrying about a shortage of physicians. Only by making exercise a core component of the proposed solution can we transform the healthcare crisis into healthy opportunities. Learn more about how you can become involved in this major initiative to improve the health of Americans and grow the health club industry, by visiting www.ihrsa.org/grassroots. n Club Business International n M AY 2 0 0 7 n w w w. i h r s a . o r g Club Business International May 2007 David Schnabel