“Health is Wellness, Relieve Stress and Feel Better Today” is an adage that most people are adopting today to find relief from the stress and strains of a hard day in the workplace. More and more people are increasingly realizing the importance of exercise and mental well being in their daily lives. The growing number of people opting for memberships to health clubs and local gyms are an indicator of changing lifestyle and health awareness. Unwinding in the gym at the end of a stressful day is catching on.
The fact that people are well informed about the ills of an unhealthy lifestyle and the repercussions that it may have on the body is one of the major factors contributing to the mushrooming of fitness and wellness services across the world. High stress levels at work and multi-tasking roles and responsibilities assumed by an individual are weaning away the energy levels and coping abilities. These are some of the other factors that have led people to join the fitness and wellness centers.
Exercising can not only help maintain weight, avoid health problems that infect millions in the world today, relieve stress but also infuse a feel good and look good attitude. A positive outlook to life and high energy levels to do things better are some of the side effects of following a strict fitness routine. The term wellness indicates the willingness to manage stress, a good health score, and a positive attitude to life.
Moreover the gym provides a platform for social interactions that bring up the motivational levels for daily exercising. The gyms and spas that were considered a luxury lifestyle yesterday have become a part of the lifestyle today. The extra cost is not an important factor to those who believe in the wellness of the inner self. The health and wellness industry is a billion dollar industry having a simple product that appeals to all – a healthy lifestyle.
The high revenue earning potential of this industry has offset many enterprises to launch healthcare and wellness service centers across the globe. Small local gyms to luxurious health resorts have paved their success stories by enticing millions of clients with their personalized health and wellness programs. The changing dynamics of the industry has redefined the health and wellness concept. The industry now offers a total image change to its clients who want an overall improvement in their looks and physique.
The Company Background
Health to Wealth Associates is one such facility located in the heart of the Kansas City provides health solutions and fitness regimes for all age groups. The facility employs well-trained, certified staff with fitness equipment catering to the wide-ranging consumer needs. The company has invested in attractive interiors and latest gym equipment in a wide spread out area where clients can feel the relaxing ambience of the place. The facility offers –
Spa and massage services
Personalized fitness programs with personal trainers
Exercising in groups for higher motivational levels
Diet and nutrition plans
Gym equipment for cardio and weight training
The company motto “Health is Wellness, Relieve Stress and Feel Better Today” relates easily to the consumers and has helped tremendously in gaining popularity and attracting more clients. The company has witnessed an overall increase of 6% in revenue earnings in the past five years of operation. The company endeavors to open two more locations in the next five-year period as part of its expansion program. Great location, high quality service from well-trained staff and an aggressive market penetration strategy has given this company a competitive edge over the other players in the industry.
Market SWOT Analysis
A SWOT analysis of the Health to Wealth Associates reveals the market dynamics that govern the industry trends.
Well-trained staff providing excellent customer service.
The state of the art equipment catering to wide variety of client exercising requirements with personal trainers and fitness programs
A well-designed spa with wide range of massages services with diet and nutritional counseling.
The facility can cater to only 30 clients at a time.
The premium pricing of the services and membership fees as opposed to local gyms.
Non-existent baby-sitting facilities for women with children.
Plans for expansion with more outlets opening in different geographical areas.
A well-planned brand positioning and awareness marketing strategy using advertising and publicity campaigns.
Tie up with other leading nutritional supplements shops to entice the customers.
Introduction of family-oriented fitness training programs to attract more customers
Addition of baby-sitting facility or children’s play area.
Local gyms and massage parlors offering services at cheaper rates.
Entry of leading brands and outlets in the vicinity.
Enrolling enough members at the onset.
Getting a steady supply of qualified and well-trained employees.
This SWOT analysis highlights the issues and concerns that face the company along with the competitive and operational advantages that will steer the company in its aggressive marketing and promotional strategy.
A health and wellness center that offers holistic and healthy lifestyle and one that encompasses the three facets of health – physical, emotional, and spiritual is required for a successful venture. The rising attraction of consumers towards gyms and spas has inculcated a healthy lifestyle that has become synonymous with healthy profits in the industry. It has been observed that people are not averse to paying more for quality and personalized services in this sector.
This is one of the most attractive elements of the industry – a high market demand and high revenue prospects. But the industry is capital-intensive. The high profile equipment and gadgets are essential capital investment items and cannot be compromised in terms of quality. The business requires substantial funds for start up though the returns are high.
The key ingredients to running a successful venture is –
Well-trained and certified employees to ensure quality service.
An aggressive and effective advertising campaign to create consumer awareness and entice more clients.
As part of its market expansion strategy Health to Wealth Associates plan to adopt the following strategy to penetrate the market segment:
Employ health experts to counsel the needs and requirements of the clients.
Rolling out membership schemes that provide the members with discounted services and free consultations.
Introduction of guest passes that will enable non-members to enjoy the services of the facility based on their income.
Promotional campaigns for healthier lifestyle using the company slogan “Health is Wellness, Relieve Stress and Feel Better Today.”
Health and wellness workshops for promoting the client base.
A web site promoting the services of the facility.
Tie up with nutritional supplement provider as a strategy for client retention.
The company has reported a 6% annual increase in revenues. Based on the last few years’ performance and the implementation of the above-mentioned strategies the company projects an annual increase of 10% in the revenues earned in the next five years. The company envisages an increase of 8% in the net profit in the next two years’ of operation.
The company should endeavor to capitalize on the growing fitness and wellness concept in the industry. Adopting changes in the service delivery, offering wide range of choices to the customer, and an aggressive advertising campaign to push the company’s products will lure the consumer senses. The essence of success in this industry lies in identification of niche markets, use of updated technology and strategic partnerships with influential and well-known brands in the industry.
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