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Fitness franchises: the Jetts Gym difference

Sarah Stowe

Jetts Gym is a 24/7 gym marketed to members of all ages, both men and women from 14-80+. Sites are a key part of success at Jetts Fitness. Image: Jetts Fitness  

“Jetts was the first 24/7 operator in Australia, and the first to offer no lock in contracts as standard across all memberships,” says Brendon Levenson, managing director.

He says the brand’s unique selling proposition is to allow members to work out on their terms with access to more than 270 clubs and cancel without any hassle.

Revenue is driven primarily from membership fees, with more than 85 percent of members paying on a fortnightly direct debit in advance.

Jetts’ partnership with Virgin Velocity has enabled members to earn frequent flyer points by both joining and attending the gym. Levenson believes this has been a great initiative that has driven growth, usage and retention across the membership base, since the partnership was launched back in 2014.

“Our operational support team work with both business owners and club managers to ensure they are delivering these standards to maximise their club membership and in turn their revenue and profitability,” he explains.

Levenson says the brand has proven to be an equally suitable business for single site owners, or multi-unit owners who own three or more clubs

“We typically do not see any performance differences where we have a single site operator or a multi-site operator, where they are both committing the same time, resources and skill to the business.”   

As for fitness trends, Levenson says that Jetts has a mantra of “rarely first, never last” when implementing new concepts into the model. This means the brand is typically reluctant to jump straight onto the next big thing, but when a trend shifts into the norm, investment and implementation follow.

The initial investment cost of a Jetts Gym franchise is $550,000 – $700,000 specific to factors including size of location, fit out and starting capital required. Accredited funding is also available from Westpac which can provide new franchisees financing solutions specific to establishing the business.

Sites are also a key part of the puzzle.

“If number one is having the product proposition of 24/7 access and no lock in contracts, then having a great location is a close number two.”

Ideal Jetts Gym sites are typically  in shopping villages or main street locations close to people’s homes.  To cater for their time poor members who seek convenience, clubs are situated where they can shop or drive by each day.

“Our leases are typically five to seven years in duration, so it is a long legacy to leave if you get it wrong,” he adds.

Levenson says that being a franchisee comes with challenges and opportunities. Although franchisees can be constrained by the rules of the franchise system, their access to a business blueprint and strong brand can drive growth.

“One of the biggest misconceptions is the “build it and they will come” mentality that I have seen in our industry, particularly in the 24/7 sector,” he admits.

Ideal franchisees are everyone from ex-CEOs, finance executives to personal trainers. A common trait in the best operators is that they have a genuine care factor for their team, members and community. Levenson also says business owners should also live a healthy lifestyle and “practice what they preach.”

He adds that franchise buyers should invest to make money, but not at all costs.

“Business owners who solely focus on making money in the fitness industry end up rarely making any at all.”

His advice for potential franchisees is to take their time when deciding to buy a business in the fitness industry.

“Partner with a leading brand that can support you across all areas of your business, and don’t rush into securing a site unless it ticks all the right boxes,” says Levenson.

Does this sound like a franchise fit? Take the next steps to becoming a Jetts Gym franchisee.