Health and beauty Oct, 12 2013

Associate to get your biz in a profitable shape

With mushrooming gyms and health centres, the industry of manufacturing fitness goods are also growing by leaps and bounds. Let’s browse the business opportunities it offers to potential franchisees.

By Yamini S Verma, TFW Bureau
Sr. Sub-editor
Associate to get your biz in a profitable shape

The personality of a person is the reflection of his mental, physical and emotional health. A fit body and a healthy mind lead to a better life which could be achieved only with balanced diet and off course a regular exercising regime. With rising urbanization and growing disposable incomes in the country, the Indian fitness equipment market is growing rapidly. The market is decked up with myriad of fitness equipments for both domestic and for commercial use.

Akin to any other western country, the trade of fitness equipment is also flourishing in India.  Gyms and health centres are sourcing these equipments from overseas for the commercial use while on the other hand many corporate sectors having tie ups with the manufacturing brands are seeking supply for the office purpose. Well that is not the end. People with less time to devote in the gym or health clubs prefer to keep these fitness gizmos handy at the residences and are making great use of their little time by sweating out the toxins at the convenience of their home.

Market Overview

As per the study of Bharat Book Bureau, a business information facilitator, Indian fitness and slimming industry constitutes about 8% of the wellness market.  Presently, the fitness industry is in its nascent stages. The industry is fairly fragmented since the majority of the market appears to be dominated by a large number of mom-and-pop gyms. Organized fitness services account for merely 25% of the overall fitness industry.

Hypoxi, Fluid- tech fitness and OTO Bodycare are some of the influential and big shots in the field of fitness retail. As determination and the right knowledge of exercising the biggest concern to stay fit and healthy, these brands are retailing fitness equipments as per the demand of right approach and ample of concentration. Along with keeping one in good shape and healthy, the business opportunity these franchise brands are offering can fetch  great profits in the long run.

OTO Bodycare with over 30 years’ experience of creating innovative healthcare products has refined its biomedical knowledge by perfecting the balance of traditional learning’s from the East, and revolutionary technologies from the West. In India – Avante wellness has joined hands with OTO International to spread its presence in Indian market.

Another brand HYPOXI, offers an effective means for targeted body-shaping, without negative side effects, strict diets or painful recovery. The brand has expanded its presence in over 40 countries across the world and presents a huge opportunity in Health, Wellness and Beauty sector in India with huge number of centres running in over 65 towns. For its franchise studios, the company is looking for retailers and first time entrepreneurs who believe that the Health, Beauty and Wellness industry is vastly under penetrated compared to several developed and developing countries across the world.

Retail insight

Fluid- Tech Fitness is a manufacturer of hydraulic cylinders, pneumatic control valves and cylinders for EXER-ROW, a fitness equipment primarily for home gym.  The brand is in the process of opening  franchise, i.e. 30 minutes circuit training fitness center at Jabalpur, Madhya Pradesh, Greater Kailash, New Delhi, Faridabad very soon and one in Chennai and Bangalore which is in finalisation stage.

Talking about the opportunities in the retail industry of fitness equipments PS Luthra, Managing Director, Fluid- Tech Fitness says, “The thirty minute workout gym at Fluid -Tech is a perfect business opportunity for someone wanting to have fun, getting slim and making money at the same time. This module is a cardio plus strength training, circuit training for men, women, seniors and kids.” Fluid-Tech Fitness has entered into the world of fitness since 1989 with rowers in the name of EXER-ROW primarily for home gym for the first time in India.

Coporate tie –ups

With the strategy to strengthen the brand’s franchise network, almost all companies have corporate tie ups. These fitness equipment manufacturers offers setups of the fitness equipments to the corporate, which does a lot of saving on company’s as well as franchisees end. However, these retail brands have also worked with a strong dealer network, as they understand and appreciate the quality and performance of these equipments.

Training and support

The fitness equipment retail brands provide ongoing support to its franchisees. Marketing support in terms of advertising, public relations, national media and regional advertising are additional provisions to the franchisees from the company. Whereas staff training and recruitment is concerned, the chain also assists in recruiting local staff by the franchisee that helps in getting started on the right foot on the first few days of the opening. 

Expansion plans

Fluid –Tech Fitness is planning to expand via franchise route in  Mumbai, Delhi, Kolkata, Bangalore, Hyderabad, Pune, Chandigarh, Nasik and Baroda, Jabalpur, Lucknow, Guwahati, Indore, Bhopal, Coimbatore and many more. To attain the franchise of Fluid –Tech, the franchisee should have the passion for fitness as the primary requisite. Apart from this the initial franchisee investment of Rs. 21- 25 lakh along with an area 800 - 1000 sq. ft is required for the 30 minute fitness center either rented or owned.

Hypoxi is targeting more than eight outlets by the end of 2013, and 20 by 2014. The Company is focusing on cities like Mumbai, Pune, Nagpur, Bengaluru apart from Rajkot, Surat and Baroda in Gujarat for roll out. For its franchise studios, the brand is looking at retailers and first time entrepreneurs. Hypoxi offers a model which returns a great return per annum and the breakeven can be achieved between 8 to 9 months depending upon the cities along with the investment of Rs 1.30 crores and required area of 800-1000 sq. ft. Meanwhile OTO Bodycare is looking for an individual who has a zeal to excel and ability to think global and act local. 

§ The health and fitness market in India is estimated at around Rs 2,900 crore

§ Growing at an annual rate of 15%, as compared to the rest.

§ A fragmented industry with diverse players such as heath clubs, gyms and trainers

§ Indians were never too particular about the fitness regime but slowly there is a change in the attitude    while more people are thronging to these gyms.

Related: Beautifying biz of making profits

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