1. Matrix Expands Distribution Channels to Public and Non-Profit Sectors
Matrix, a leading brand under Johnson Health Tech, has signed a three-year national contract with Omnia Partners. This agreement aims to make Matrix's fitness equipment more accessible to K-12 schools, universities, local governments, healthcare institutions, YMCAs, and other non-profit organizations. Marc Loomer, Matrix's University and Recreation Sales Manager, highlighted this partnership as a significant milestone, streamlining the procurement process and increasing access to high-quality fitness products.
2. Japan's Largest Fitness Expo, SPORTEC 2024, Kicks Off
SPORTEC 2024, Japan's most influential sports and fitness exhibition, commenced on July 16th in Tokyo. With over 600 exhibitors and 42,000 attendees, the event showcases the latest in sports equipment, fitness technology, health products, and rehabilitation devices. SPORTEC offers a comprehensive industry perspective through diverse exhibits, 90+ seminars, and a robust business networking platform.
3. Japanese Fitness Market Grows Amidst High Bankruptcy Rates
Japan's fitness market is experiencing a dichotomy: while overall market size is growing, the number of bankruptcies among fitness clubs has hit a record high. In 2023, 28 clubs declared bankruptcy, surpassing the previous year's 16. This trend highlights the industry's restructuring, with high-end clubs and budget-friendly local gyms dominating the market. Factors like rising utility costs and increased competition from low-cost gym chains like chocoZAP contribute to the financial strain on smaller operators.
4. Pickleball Gains Momentum in the Fitness Sector
Pickleball is rapidly becoming a new investment hotspot in the fitness industry:
- Crunch Fitness has introduced an eight-week high-intensity “Pickleballers” course in partnership with Break the Love, targeting New York, New Jersey, and Los Angeles.
- The Picklr, backed by former NFL star Drew Brees, is expanding rapidly with 30 locations in the Midwest and plans for over 500 locations by 2025.
- Grupo Nexa in Spain is adding six pickleball courts to its Ego Sport Center in Almería, enhancing its racquet sports facilities.
- Pickleball Kingdom is opening a new facility in Poulsbo, Washington, near the sport's birthplace, featuring 12 indoor courts and historical memorabilia.
5. Fitness Equipment Brands, EGYM Enters Australian Market
German fitness equipment brand EGYM has partnered with Novofit to distribute its products in Australia. This strategic move was introduced at a Sydney conference, where Australian gym managers explored EGYM’s intelligent ecosystem for strength training and wellness. This collaboration marks a significant step in EGYM’s international expansion.
6. BH Fitness Anticipates 15% Revenue Growth in 2024
BH Fitness, a renowned Spanish fitness equipment brand, expects to reach €40 million in revenue for 2024, a 15% increase from the previous year. The company reported a 25% revenue growth in the first half of 2024, driven by the reactivation of gyms and other markets such as hotels. BH Fitness is focusing on expanding its high-end product range and strengthening its presence in key international markets like Portugal, Germany, and France.
7. Fitnessdigital Projects 15% Growth for 2024
Fitnessdigital, Spain’s premier fitness equipment retailer, aims to achieve €19.5 million in revenue in 2024, a 15% increase from €17 million in 2023. Despite facing challenges like increased shipping costs, the company remains optimistic about the home fitness trend. Fitnessdigital’s expansion into over 10 European countries and Mexico has solidified its market presence, with 65% of its revenue coming from exports.
By Roger Yao (cs01@fitqs.com) from Shanghai, China
Stay tuned for more updates and insights from the fitness equipment industry in next week's report.
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