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(Citrix Systems, 2003)
Overview Global Nature of the industry
On a global scale, issues such as the Middle East crisis and the war in Iraq are all problems in the fitness industry. World oil prices and many unstable economies put consumers at a disadvantage as they try to make ends meet. But the industry on a global scale has gotten a boost out of Asia and other developing regions such as South America. "In the fast growing $12.2 billion health and fitness industry, Gold's Gym rules supreme. As the gym of preference for amateur and pro-athletes, the entertainment industry, and everyone else, Gold's has become the largest co-ed health club chain in the world, with nearly three million members in 43 states and 26 countries." (Citrix Systems, 2003)
The best news for the industry has been the recovery in the United States market. The health and fitness club industry has been on the road to recovery on a global scale compared to the 1990's slow down in growth. During the early stages of the twenty-first century, there have been new international club brands that have emerged which have tightened competition. Memberships have been on a rise but only to a point of modest global growth. "Total health and fitness club membership at the end of 2003 is estimated to be almost 38 million, or 18% of adults 18 and over. The total number of clubs has grown too, an estimated 10% from 2002 to 2003. Total owned club revenues have increased 13% from 2000...
With 59 million adults, or 31% of the adult population, considered obese, it would appear that the market has considerable room to expand." (marketresearch.com, 2004)
References
Citrix Systems, Inc. (2003). "From Flab to Fab -- Gold's Goes for an Extreme it Makeover." Retrieved on November 24, 2004, at http://www.citrix.com/site/aboutCitrix/caseStudies/caseStudy.asp?storyID=11967
Gold's Gym International, Inc. (2004, April 1). Gold's Gym - Home. Retrieved November 24, 2004, at http://www.goldsgym.com
Lance C. Dalleck, M.S., Lance C., & Kravitz, Ph.D., Len. (n.d.). The History of Fitness. Retrieved November 24, 2004, at http://www.unm.edu/~lkravitz/Article%20folder/history.html marketresearch.com. (January 1, 2004). "Health and Fitness Clubs - U.S.." Retrieved on November 24, 2004, at http://www.marketresearch.com/researchindex/957680.html
PR Newswire (2004). "Gold's Gym International to Be Acquired by TRT Holdings; Brockway Moran & Partners Signs Definitive Agreement to Sell Most Recognized Name in Fitness." PR Newswire, 6/14/2004.
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