MKTG1265: A company taking advantage of the trend towards increased physical activity in Singapore is Anytime Fitness: Applied Marketing Management Case Study, RMIT, Singapore

A company taking advantage of the trend towards increased physical activity in Singapore is Anytime Fitness.

The company was founded in the United States in 2002 with their first gym in Cambridge, Minnesota. Anytime Fitness now operates more than 4,000 gyms in over 30 countries. The company has been ranked the #1 Top Global Franchise by Entrepreneur magazine in the fitness category.

Open 24 hours a day and 365 days a year, Anytime Fitness is always accessible. Members can also use any of their gyms worldwide at no extra charge. Anytime Fitness seeks to differentiate itself from budget gym operators, typically charging mid-market rates but operating smaller and more intimate clubs – it also prides itself on offering private bathrooms, as opposed to shared locker rooms.

The founders understood that consumers were looking for convenience and affordability. Yet, they were not willing to accept substandard equipment or lacklustre environments. This knowledge led to the development of a 24-hour, co-ed fitness franchise where members can exercise even when the club is not staffed. Plus, they offer the exclusive benefit of Anywhere Club Access, which allows members to use all Anytime Fitness centres worldwide with one standard membership. Many gyms also offer certified personal training as a convenience for their members.

The fitness industry in Singapore has undergone significant changes during COVID, with the entire industry hit by restrictions on face-to-face classes and attendance. The industry had to pivot to alternative delivery models, notably online, to survive. Since opening back up, the industry is finally beginning to show signs of health, with attendance figures exceeding pre-COVID numbers. However, consumer behaviours have altered considerably, with consumers showing a preference for a mix of online and face-to-face options.

Anytime Fitness is keen to exploit these new opportunities and has set a strong growth agenda for Singapore and neighbouring APAC markets.

Task 1

• Based on research, describe what you believe are the three most relevant macroenvironmental trends for Anytime Fitness and its industry.
• What are the implications of each of these trends for the company’s marketing strategy?

Task 2

• Anytime Fitness is competing primarily in the Health, Fitness & Wellness industry. Focusing on the Health, Fitness & Wellness industry, undertake Porter’s Five Forces analysis for the Fitness segment of that industry.
• Based on your analysis, discuss three implications for Anytime Fitness’s marketing strategy.

Task 3

• Your rationale for selecting this competitor, including a brief analysis of the competitor and identification of its competitive strategy.
• Discuss two major strengths and two weaknesses of Anytime Fitness compared to the competitor.
• Considering either Porter’s competitive strategies or Treacy and Wiersema’s value disciplines, recommend the strategy you think Anytime Fitness should follow and provide a rationale for why they should follow that strategy.