We know that there is big money in fitness. And just this week a German fitness firm with 17 brands operating across Europe has snagged one of the iconic gym brands, Gold’s Gyms, for a whopping US$100m.

Despite the pandemic, despite lockdowns, this company can see massive potential for growth with the global Gold’s Gym as part of its portfolio.

According to the new owners, this 55-year-old brand has a global appeal with brand awareness near 96 per cent among gym-goers. That’s a huge advantage for a business.

However that massive purchase price pales when you consider the rip-roaring success of F45, an Aussie brand forging a global path with new ownership.

The US company looking to complete its staggering US$845m purchase towards the end of 2020, said of the fitness sensation: “F45’s high profit margins, exceptional franchisee economics and repeatable business model position it for continued rapid expansion.”

Traditionally the rest of the world has looked to the US for fitness trends. The Californian fitness obsession and healthy way of life translates easily to the Aussie marketplace, and that’s why so many franchise brands operating here started in the US.

However there are some great Aussie innovations – new ideas aren’t limited to American brands, either with new concepts to fill a gap in the market, or processes and tools that boost the business operations and build customer loyalty.

Aussie or US fitness brands?

While American brands operate in a country with more than 328 million people, Australia has just 26 million residents.

However, reportedly less than 20 per cent of the population use a gym. So that allows for plenty of potential to build a brand.

And that’s why US franchisors and Aussie entrepreneurs are keen to bring in American brands.

Think 9Round, 12RND (known as UBX overseas), Anytime Fitness, Curves, Gold’s Gym, Orangetheory Fitness, Snap Fitness, Xtend Barre.

New to Australia is American chain CycleBar which has just appointed a local master franchisee to lead expansion.

What these brands offer is significant experience operating large numbers of franchises across different regions. That means experience in training and marketing as well as often high brand recognition.

Most franchise brands operating here have local master franchisees, who act as the franchisor, adapting ideas and marketing to suit the local market. They may develop local training and operating processes too.

Franchisees buying into an overseas brand would expect there to be a strong infrastructure of support and investment in the brand. Much of the research in fitness techniques and the development of new concepts is generated in the US.

And for some gym users, there’s a buzz about signing up as a member to a global brand.

Buying an Aussie fitness franchise

However there are plenty of homegrown brands proving their worth across the country, and overseas.

Think of Fernwood Fitness, Fitstop Australia, Infinite Cycle, Jetts Fitness, KX Pilates, Peak Physique Hot Yoga, Plus Fitness, Studio Pilates, Zadi Fitness.

Often Aussie fitness brands are designed for the local consumer, there’s an understanding of how the fitness scene works here built into the structure of the business. All the support is local and developments in the business are created specifically to suit the Australian market.

But scaling the model through franchising also gives brands a platform to grow internationally.

The local touch has an emotional appeal for some gym users who love being part of a smaller, local brand and are keen to support Aussie businesses.

It’s a personal choice

So if you’re looking to invest into a fitness franchise, you are absolutely spoilt for choice. As is the consumer.

Of course many gym users may have no idea if a brand has a local or overseas origin – what matters is the level of customer service, friendliness, the convenience factor, high hygiene standards and of course good equipment.

As a potential franchisee, investment levels must come into the equation. It’s important to be confident of great training and marketing too.

There are pros and cons for both Aussie or overseas brands – and the starting point should be a brand that appeals to you, has something distinctive about it, has potential to grow, and can deliver what you need in terms of support .