Fitness fans swap cardio for weights to ‘feel and look strong’, gym boss says

Dan Coatsworth, head of markets at AJ Bell, said: “Healthy equals wealthy, according to Gym Group’s rule book.

“It is riding the fitness boom with explosive profit growth, generating fistfuls of cash to fund even more gyms.

“While it may seem as if the gym market is already well-served, price points vary massively and that leaves room for multiple brands to thrive.

“Gym Group used to be the Travelodge of the fitness sector – functional yet a bit shabby.

“Now it has upgraded to be Premier Inn-like – affordable and decent quality.

“Total flexibility around memberships appeals to large swathes of the public who want to dip their toe into the fitness water but not be locked into a contract.

“A lot of attention goes into improving returns from existing stores, so they don’t go stale.

“The group is also tapping into sources of customers including a partnership with a corporate wellness scheme.

“Offering free or discounted gym membership as part of someone’s remuneration scheme is an easy win – the employee could become healthier, and the workplace perk is seen as a valuable part of their overall package.

“The more Gym Group can muscle in on these schemes, the richer the potential flow of extra customers.”