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KX Pilates: a new take on fitness

Sarah Stowe

Aaron Smith is changing the way Australians think about fitness with his business KX Pilates, which specialises in the delivery of pilates-style classes that involve the use of a reformer machine.   

Smith first came across dynamic pilates while living in London, and he was set on bringing a similar concept to Australia. 

“I loved the style and concept behind dynamic pilates, but I thought I could do it my way and a little bit better, so I came back to Australia and opened a studio in Melbourne in 2010.

"We opened another studio in 2011, a third in year three, and last year was our big year – we opened three company-owned studios in 2013 and now we’ve got six franchises as well," he recalls. 

The classes

KX Pilates instructors facilitate small group classes comprising between 10 and 12 people. They perform movements with the aid of a reformer machine, which has been customised specifically to suit the company’s style.  

“I kind of explain it [the company’s style] like a Pump class on a reformer machine, so people get the benefits of pilates but at the same time a high endurance cardio element is added in there as well, so it is really quite fast paced – it is a form of high intensity interval training (HIIT),” Smith says.

“HIIT is getting really, really popular because it works – not only do people burn more calories during their session, their metabolism gets elevated so they continue to burn calories afterwards too.”

Smith says followers of traditional pilates aren’t exactly fans of the brand, however he believes the practice is in need of a shake-up.

“Normal pilates people out there don’t really like us – pilates is very traditional and very ‘there is one way to do it right and the rest is wrong,’ so they kind of see us as the rebels who are doing it differently.

“I think the consumer is bored of normal pilates – after five weeks they get over it and move on,” he explains.

To prevent the onset of boredom, Smith says KX Pilates classes are rarely the same. “The workouts always vary and change, and our trainers are able to ‘freestyle’ their classes.

“I’ve got clients who have been coming in since I opened my first studio years ago; they still come every day or every second day.”

Smith believes the company’s small class sizes, which usually include no more than 12 people, also differentiate it from other pilates studios. “We run an average of 10 to 12 classes per day and there are three different levels of classes, so across the week there tends to be around 55 classes.

“The yoga and pilates studios in Sydney have a minimum of 20 to 30 people, which from a business point of view is great; however it means each person is seen as a dollar sign. I wanted to create an experience around the classes and treat clients as people not numbers,” he adds.

Growth and expansion

Smith recently opened his first Sydney studio in Surry Hills, and he has relocated to the city to focus on further expanding there.

“We’ve got four territories locked down in Sydney and we are currently looking for sites. Bondi Junction is going to be the next studio [after Surry Hills], which should open in January,” he says.

“We hope to open 10 studios in Sydney within the next 12 months.”

Smith will cast his sights further afield next year, and hopes to secure sites in both Brisbane and Perth.

“We are going to start looking for sites in Brisbane by March or April next year, and probably 12 months from now we will move to Perth and do the same thing there,” he says.

Smith also owns four KX Barre studios and a yoga studio in Melbourne, and he runs fitness retreats in Bali, which are soon to expand into Vanuatu.   

“Barre is kind of like a dance version of pilates,” he explains.

“The yoga studio is fully assisted – there’s an instructor as well as a person who assists people with their technique.

“I am still deciding if we will franchise the yoga brand, and the barre studio is really good to add on to a pilates studio if there is enough room,” adds Smith.

The state of the industry

Smith explains the fitness industry is split into two at present. “There are the 24/7, $10 per week gyms where people sign up and if they don’t go it doesn’t really matter because it is only $10 per week, and then there is boutique fitness which is where we are – it’s personalised group instruction where people are treated as more than just a number.”

He predicts boutique fitness will boom over the next 12 to 24 months in Australia. “If someone has a great idea and they package it into a boutique, architecturally designed studio their concept could go crazy.

“I think we will find fads will come in, but they will probably die pretty quickly. That’s why we are confident in our brand – pilates has been around for years, we’ve just put our spin on it.”

Smith adds people are shifting their focus to strength and conditioning as opposed to simply increasing visible muscle mass.

“I think everyone is realising now that flexibility and core conditioning are really beneficial – gone are the days where people want to be big and bulky and just bench press and squat.”

The ideal franchisee

Smith says existing franchisees are either former clients or trainers; however franchisees don’t need to facilitate classes.

“They don’t have to be an instructor – we have franchisees who work front-of-house and do all of their work from a reception/admin point of view, and we have franchisees who do a combination of both,” he adds.

Smith seeks people who demonstrate a passion for the brand and concept. “We say no to people who just go ‘I have a couple of hundred grand to throw into something, what can I do?’ because we want people who will fit with our brand and personality.

“They need to love the brand and the style of fitness that we provide, and they need to be people orientated people that want to work in their business for a minimum of six to 12 months and really get to know their clients,” he explains.

“Quality control in the service industry is really tough, and that’s why we look for really high quality people – we are quite happy to hold off until we find the right person.”  

Cost

A KX Pilates franchise costs between $150,000 and $200,000, Smith explains.  

“We have a $50,000 upfront franchise fee, which includes everything from marketing materials and initial inventories to training for instructors, who go through our six week KX academy course, support with opening day, uniforms and more.  

“The remaining $100,000 to $150,000 is purely dependent on the space that franchisees find and how much it is going to cost to do the build.”  

He adds there’s an eight percent royalty and two percent marketing fee.