Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

The German health and fitness market

11.06.2003



The German health and fitness market is the second largest in Europe and it ’s still growing - but what does the future hold?

There are many different facets of the German health and fitness market. It has four different trade associations and generated total sales of just € 3.16bn in 2002 (Source: DSSV), which is less than Porsche AG’s annual turnover.

Until now, there hasn’t been any accurate data of the total size of this market. However, since 1999, Deloitte & Touche has been engaged in this market segment and committed to increasing its transparency by issuing several studies about the current and future market situation.



Deloitte & Touche also provides consulting and auditing services to some of the largest fitness operators in Germany. Therefore, this article aims to give the reader a general overview of the German fitness market, the main players and potential trends.

overall market

The health and fitness industry in Germany, as the second largest in Europe, has experienced continuous growth over the last 10 years.

Overall membership increased by 155 per cent from 1992 to 2002, with a yearly average growth rate of 11 per cent (CAGR). Therefore, at the end of 2002, approximately 5.1m people in Germany were a member of a fitness club, accounting for 6.2 per cent of the total population.

Furthermore, the number of clubs increased from 4,750 in 1992 to 6,500 in 2002, an increase of 36.8 per cent, or a yearly average growth rate of 3.5 per cent (CAGR).

On the one hand, the strong growth reflects the increasing professionalism of the clubs in their operations and their ability to attract new members. On the other hand, it reflects a more general increase in the population’s awareness of the health and fitness market.

However, analysis of the growth over the last three years shows the pace tapering off. The number of clubs remained consistent at approximately 6,500 and although membership increased by 7.5 per cent in 2000 and 8.3 per cent in 2001, this slowed down to a 2.6 per cent increase in 2002.

selected operators

Since 2001, Deloitte & Touche has been issuing a quarterly newsletter with the most recent figures of selected health club operators in the German health and fitness industry.

The large fitness operators (non-franchise and franchise) are growing much faster than the overall market. However, even they have experienced a slower growth rate in the last three years. Whereas the membership of larger operators grew by approximately 41 per cent in 2000, and 34 per cent in 2001, this growth dropped to 22 per cent in 2002. This decline comes hand in hand with significant downward adjustments to their budgeted growth.

The top four players in Germany account for approximately 75 per cent of the total membership of the selected non-franchise studios. The largest fitness operators in Germany are experiencing increased growth in membership figures despite the overall economic downturn. The outlook for 2003 is mostly optimistic and focuses on growth through new club openings or through growth in membership at existing clubs.

In recent years, the German health and fitness market has experienced market consolidation, expressed through the growth of the selected studio operators, which continues to be well above the market average.

Furthermore, growth is generated through existing clubs. This goes hand in hand with a further increase in the average number of members per studio. The trend is exhibited by large clubs, with an average of 1,500sq m to 2,500sq m, with a few clubs over 10,000 sq m. However, the market share of the five largest fitness operators in Germany was only approximately 7 per cent in 2000, less than the market share of the five largest fitness clubs in the UK of approximately 25 per cent. By the year 2005, we forecast the market share in Germany and the UK for the top five players to be approximately 16 per cent and 25 per cent respectively.

trends forecast

We predict that the larger fitness operators will increase their share of the German health and fitness market and, in the long run, consolidation will continue to push the smaller, single site fitness clubs out of the German market. Large fitness operations are well-managed and employ professional staff, and the image of fitness clubs attracting only ‘Schwarzenegger wannabes’ is long gone. The new clubs are clean, equipped with the most recent cardiovascular and resistance machines and attract a totally different type of member.

New requirements relating to bank loans are also making it harder for smaller fitness operators to access external capital, exacerbating what is already a difficult situation for them. Without access to appropriate financing, smaller operators are often poorly managed and cannot effectively compete with the chains. Unable to invest in new equipment and professional staff, often their only solution is to close.

Another important trend in the coming year will be the development of more premium and country clubs in Germany. Clubs in this sector are usually are very large (more than 2000sq m) and most have 25m swimming pools, tennis courts and sometimes even golf courses, targeting the upper-middle to upper class members. In our study ‘The German Health & Fitness Market in the Year 2005’, we forecast that the market share of premium and country clubs will increase from 3 per cent in 2001 to 9 per cent in 2005.

The German health club market will continue to grow and we predict that further consolidation in the industry will be driven by the large operators.

For further information, please contact Karsten Hollasch, head of the health and fitness competence center of Deloitte & Touche in Germany. Details: khollasch@deloitte.de

| Deloitte & Touche
Further information:
http://www.innovations-report.de/images/indwirt/deloitte/deloitte_touche.pdf
http://www.deloitte.de/

More articles from Studies and Analyses:

nachricht A sudden drop in outdoor temperature increases the risk of respiratory infections
11.01.2017 | University of Gothenburg

nachricht Urbanization to convert 300,000 km2 of prime croplands
27.12.2016 | Mercator Research Institute on Global Commons and Climate Change (MCC) gGmbH

All articles from Studies and Analyses >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: Interfacial Superconductivity: Magnetic and superconducting order revealed simultaneously

Researchers from the University of Hamburg in Germany, in collaboration with colleagues from the University of Aarhus in Denmark, have synthesized a new superconducting material by growing a few layers of an antiferromagnetic transition-metal chalcogenide on a bismuth-based topological insulator, both being non-superconducting materials.

While superconductivity and magnetism are generally believed to be mutually exclusive, surprisingly, in this new material, superconducting correlations...

Im Focus: Studying fundamental particles in materials

Laser-driving of semimetals allows creating novel quasiparticle states within condensed matter systems and switching between different states on ultrafast time scales

Studying properties of fundamental particles in condensed matter systems is a promising approach to quantum field theory. Quasiparticles offer the opportunity...

Im Focus: Designing Architecture with Solar Building Envelopes

Among the general public, solar thermal energy is currently associated with dark blue, rectangular collectors on building roofs. Technologies are needed for aesthetically high quality architecture which offer the architect more room for manoeuvre when it comes to low- and plus-energy buildings. With the “ArKol” project, researchers at Fraunhofer ISE together with partners are currently developing two façade collectors for solar thermal energy generation, which permit a high degree of design flexibility: a strip collector for opaque façade sections and a solar thermal blind for transparent sections. The current state of the two developments will be presented at the BAU 2017 trade fair.

As part of the “ArKol – development of architecturally highly integrated façade collectors with heat pipes” project, Fraunhofer ISE together with its partners...

Im Focus: How to inflate a hardened concrete shell with a weight of 80 t

At TU Wien, an alternative for resource intensive formwork for the construction of concrete domes was developed. It is now used in a test dome for the Austrian Federal Railways Infrastructure (ÖBB Infrastruktur).

Concrete shells are efficient structures, but not very resource efficient. The formwork for the construction of concrete domes alone requires a high amount of...

Im Focus: Bacterial Pac Man molecule snaps at sugar

Many pathogens use certain sugar compounds from their host to help conceal themselves against the immune system. Scientists at the University of Bonn have now, in cooperation with researchers at the University of York in the United Kingdom, analyzed the dynamics of a bacterial molecule that is involved in this process. They demonstrate that the protein grabs onto the sugar molecule with a Pac Man-like chewing motion and holds it until it can be used. Their results could help design therapeutics that could make the protein poorer at grabbing and holding and hence compromise the pathogen in the host. The study has now been published in “Biophysical Journal”.

The cells of the mouth, nose and intestinal mucosa produce large quantities of a chemical called sialic acid. Many bacteria possess a special transport system...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

12V, 48V, high-voltage – trends in E/E automotive architecture

10.01.2017 | Event News

2nd Conference on Non-Textual Information on 10 and 11 May 2017 in Hannover

09.01.2017 | Event News

Nothing will happen without batteries making it happen!

05.01.2017 | Event News

 
Latest News

Water - as the underlying driver of the Earth’s carbon cycle

17.01.2017 | Earth Sciences

Interfacial Superconductivity: Magnetic and superconducting order revealed simultaneously

17.01.2017 | Materials Sciences

Smart homes will “LISTEN” to your voice

17.01.2017 | Architecture and Construction

VideoLinks
B2B-VideoLinks
More VideoLinks >>>