The Fitness Industry in India
Profile 2009
Indian Fitness Equipment Industry
Stretch, jog, pump iron and get on the treadmill — is an integral part of the modern
metropolitan mantra. In recent years, the fitness industry in India is seeing a paradigm
shift with the change in middle- and upper-class lifestyles in small but significant ways;
for instance, earlier, one used to walk to the local marketplace, now one drives to the
malls. So people are now feeling the need to set aside a time for dedicated exercising.
Even our role models have become leaner and tougher . Now, people are aspiring for
complete wellness rather than just staying fit . With surging work pressure and stress
related ailments rampant amongst the corporate crowd, there is a need to increase the
value and necessity of being fit and healthy in life. Also, due to diseases, increasing
pollution in metro cities like Mumbai, Delhi and others, today wellness is becoming the
must factor for everyone. The average urban Indian professional is increasingly
becoming health conscious and feeling the need to get into a fitness mode
It is projected that Indian fitness industry will rise on the graph annually by 20 to 30%.
The fitness industry in India – valued at anything between a whopping Rs 2,000 crore
and a more modest Rs 300 crore — however is not celebrating just yet. In fact, it’s still a
fragmented industry with diverse players such as health clubs, gyms and trainers. The
health club approach and a feel good factor — for a highly stressed out segment — is
the growing focus of the fitness industry in India.” For corporate executives, health is
often an important consideration. They have various problems ranging from
spondilyosis, to posture and stress-related issues.
Pune and Bangalore are also fast emerging as India’s fitness capitals and can probably boast of the
largest number of premium gyms and fitness centres in the country. The large number of IT companies in
these cities with their fitness-conscious employees are obvious targets of the gyms. They have high
pressure jobs and travel a lot. Corporates, on their part, are today very conscious about employees’
health and fitness issues
Fitness Equipment Market – India
Overview :
The fitness equipment market in India is estimated to be worth 12.5 bn IN 2008 ; and is
expected to reach INR 63.3 bn by 2012. The annual growth rate is expected to be
around 50%. The key segments in the sector are the home segment and the
institutional segment.
The fitness equipments can be classified as :• Cardiovascular Equipments : Treadmills, stationary bicycles, stair climbers,
rowing machines, elliptical cross-trainers
• Weight Training Equipment : Weight lifting machines, barbells, various types of
benches bars and racks.
Market Size and Growth
INR bn
100
50
+50%
0
2006
2007
2008
2009
2010
2011
2012
Segment Share
24%
Home Segment
76% Institutional segment
The fitness industry has a huge growth potential as only 1.5% of the urban Indian
population regularly practices workout.
End-User Segment :
They are divided into two segments :1)
Residential or Home Segment
2)
Institutional Segment
Residential Segment :
•
•
•
Sold to individuals who prefer working out/exercising at home due to paucity of
time or convenience.
Equipments used for residential purpose are generally built with lighter materials
Cost is the prime factor while making the buying decision
Top 3 Equipment in Home segment are :Equipments
Approximate Cost
Treadmills
Exercise Bikes
Mini Multi Gym
INR 35k – 0.15 mn
INR 4k – 40k
INR 18k – 0.10 mn
Institutional Segment :
•
•
•
Bulk of equipments sold to health clubs / gyms and corporate houses
Equipments used by institutions are more sturdily built and expensive compared
to those used at home.
Quality is the prime consideration and buyers are ready to pay premium for better
quality and technologically advanced products
Top 3 Equipment in Institutional segment are :Equipments
Approximate Cost
Treadmills
Dumbbells and Plates
Plate loaded Fitness Equipments
INR 0.2 – 0.6 mn
INR 14 – 275 per kg
INR 26k – 0.45 mn
DRIVERS & CHALLENGES OF THE FITNESS EQUIPMENT MARKET
DRIVERS
• Indian becoming health and
fitness conscious
• Growing demand from
companies
• Entry of foreign fitness chains /
clubs
• Reduction in prices and import
duties
• Real estate boom
CHALLENGES
• Lack of R&D facilities in India
• Lack of Consumer Confidence in
Indian equipments
• Lack of good fitness trainers
• Lack of space in residential
complexes
KEY TRENDS
1)
Health chains enter equipment retailing
•
•
Leading health club chains are moving towards equipment retailing
Fitness One, a health club, is all set to foray into fitness equipment
retailing
- The company will sell equipment from Precor of the US and its inhouse brand “Propel Fitness”
- The company will outsource the manufacturing of Propel Fitness
equipment to Taiwan and Korea
•
2)
Emergence of New Distribution Channels
•
•
•
3)
Talwalkar, Indian Fitness Chain, plans to sell fitness equipments by
opening store in shopping malls
- Company plans to open 50 ‘Talwalkar Fit & Active’ stores in
shopping malls across the country by 2010
With the advent of cable television and internet, tele-shopping and online
shopping have emerged as new distribution channels in fitness industry
People prefer buying fitness equipments online as it allows product
comparisons, saves time and convenient
Tele-shopping networks sell home fitness equipments through telemarketing
- Abdominal exerciser is a popular fitness equipment sold through
tele-marketing
Introduction of Innovative products
Enhancing existing products
•
•
•
Manufacturers enhancing the existing
products with new features like giving
entertainment options in equipment
Cardio machines with build in LCD TV
screens, iPod connectivity and mobile
phone chargers are available in market
- Technogym’s has launched
treadmill with an integrated TV
and radio
New concept of time efficient machines
which enables user to spend less time
to remain fit as compared with
conventional machines
Introduction of new products
•
•
Singapore based company, OSIM and
Indian manufacturer Proline fitness
have launched massage chairs for the
Indian market.
- These are pre-programmed
massage chairs which simulate
the experience of a live
massage
Power Plate International has tied-up
with Hero Motors Ltd. to introduce
premium vibration devices in the Indian
market
- Company has opened Power
Plate Studios at the Club,
Mumbai and Asian Roots,
Delhi
COMPETITION
Franchisee route is preferred market entry route for foreign players
•
•
Majority of the high end fitness equipment (treadmills, arc trainers, etc) sold in
India are imported
- American fitness equipment brands are more popular in India
- Most of the American and European manufacturers have fabrication units
in China and Taiwan
Domestic manufacturers lack R&D facilities and compromise on quality in order
to reduce prices
- Domestic fitness equipments are available at half the price of any foreign
brands
GOVERNMENT FDI POLICY
•
•
Indian Government allows 51% FDI in single-brand retail and 100% FDI in
wholesale cash and carry operations
Indian Government is considering allowing foreign direct investment (FDI) to take
a 49% stake in multi-brand retailers
FRANCHISEE ROUTE
•
•
•
Foreign players market their products through distributors / importers in India
Foreign company can appoint a master licensee to market and distribute their
brands
Master licensee in turn appoints sub-dealers to distribute the brand in India
FOREIGN PLAYERS IN THE GYM EQUIPMENT MARKET
Foreign
Player
Products
India Strategy
Accell
Fitness
Tread mills, cycles, muscle
Trainers, ellipticals and rowers
•
•
Body Solid
Cybex
Horizon
Fitness
Life fitness
Home gyms, functional trainers,
free weight systems, free weight
machines, benches and racks,
weights and dumbbells
Treadmills, cross trainers, exercise
bikes and various plate loaded
equipment
•
Treadmills, Elliptical trainers,
exercise bikes, ascent trainer
Treadmills, elliptical cross trainers,
exercise bikes, summit trainers,
home gyms, and racks
•
•
•
•
•
•
Precor
Nautilus
Cycles, stretch trainer, strength
systems, treadmills, elliptical cross
trainers and climbers
•
Cycles, stepper, climber, treadmills,
dumbbells, home gyms, ellipticals,
and benches
•
•
•
Vibrogym
Vibration machine based fitness
equipment
•
•
•
Vision
Fitness
Treadmills, elliptical trainers,
cycles, Cardio and strength
products
•
It has appointed Fitline as its marketing partner
in India
Accell Fitness is looking for growth in Tier I and
II cities in India
Body solid has a tie-up with Proline fitness for
distribution in India
Cybex is distributing its products in India
through Fitline
Cybex is introducing latest technology products
in India based on its expertise in biomechanics,
ergonomics and physiology
Horizon Fitness distribute its products in India
through Proline fitness
Life fitness has tied up with Cardio Fitness for
distribution
It has tied up with HDFC Bank to offer finance
loan to consumers upto INR 0.5 mn for buying
‘Life’ fitness equipment
It is now planning to set up six company- owned
‘Celebrate Life’ showrooms in India at an
investment of INR 100 mn
Precor has appointed Gympac as its sole
marketing partner in India
Apart from hotels and fitness clubs, Precor is
targeting companies, which are setting up inhouse fitness centers
Nautilus has been awarded an over INR 50
million by Talwalkars, India’s largest chain of
health centers
In India for its Bowflex range it has appointed
Ace Sporting & Fitness for distribution
It has a distribution tie-up with Trinity Healthcare
Pvt. Ltd.
Launched two variants of the equipment –
‘VibroGym Professional’ and ‘VibroGym
Domestic’
Recently sold its equipment to Bodyline gym in
Bangalore
Vision Fitness has appointed Proline to
distribute its products
DOMESTIC PLAYERS
Indian
Player
Asian
Sports &
Enterprises
Products
Business Outlook
Vibratory belts, home gym,
abdominal machine, motorized
jogger, climbers and stair steppers
•
The company also manufactures
equipment custom built as per client
requirement
• The company is an authorized distributor
of Cosco, Jonex, Silver, Eastern Shoes,
B.D.M., Champs, Sunny and Self
• Its customers include government,
corporate offices, heritage hotels, big
resorts, reputed schools and colleges
Jerai
Plate loaded equipment, cardio
• It manufactures most extensive line of
Fitness
equipment, racks and benches
free-weight and multi-station exercise
Pvt. Ltd.
equipment in the industry
• Plans to introduce innovative products on
a continuing basis
National
Weight lifting bars and weight lifting • Manufactures custom built product
Sports
plates
according to client specifications
TI Cycles
Treadmill, steppers and ellipticals
• Plans to launch an exclusive retail stores
to sell fitness equipment
• TI Cycles plans to offer financing
schemes to customers and has tied up
with various firms
Other domestic manufacturers include Advansys, Bullworker Enterprises.
Domestic manufacturers are involved only in low-end fitness equipments
DISTRIBUTORS
Indian Distributor
Ace Sporting &
Fitness
Acme Fitness
Cardio Fitness
Overview
• Products range includes home gyms, treadmills,
dumbbells, climbers and various accessories
• The company is based in Delhi the company
distributes its products through various subdealers and organized retail chains like
Hometown and Homestop
• Product range includes Cardio-vascular
equipments, strength equipments and accessories
• It has nationwide presence with centers in
Chennai, Pune, Mumbai, Bangalore, Delhi,
Cochin, Kolkatta and Coimbatore
•
•
It deals in treadmills, climbers, exercise bikes,
elliptical cross trainers and plate loaded
equipment
Cardio Fitness is based in Delhi with branches in
Mumbai, Hyderabad, Bangalore and Chennai
Foreign Tie-ups
• Bowflex
•
•
True Fitness, BH
Fitness, Tuff Stuff,
PaceMaster, BodySolid, Lexco,
Octane Fitness,
Concept2,
WaterRower
Hammer Strength
Cardiomed
•
•
Gympac
•
•
•
•
Grand Slam
Fitness
•
•
M.K. Marketing
•
Proline Fitness
•
•
•
•
•
Stayfit
•
•
Trinity
Healthcare
•
•
•
Deals in Cardio Equipments, Strength Training,
Functional Training , Sauna and Steam
Cardiomed is based in Delhi with branches in
Mumbai, Bangalore, Hyderabad and Kerala
Company deals in Elliptical cross trainers,
treadmills, cycles, strength systems
Gympac is based in Chennai with branch offices
in Bangalore, New Delhi, Pune, Hyderabad, Kochi
and Chandigarh
The company has sales and after-sales teams in
all major cities
In addition to hotels, fitness clubs and high-net
worth individuals, Gympac is targeting companies,
which are setting up in-house fitness centers
It has 70 exclusive fitness stores across India
The company is planning to expand to 200 stores
in the next two years
The company deals in treadmills, ellipticals,
rowers, strength training equipment and various
accessories
The company is based in Hyderabad
Company deals in Home gyms, bikes, ellipticals,
treadmills and strength equipment
Proline Fitness has a pan India presence with 58
exclusive showrooms in over 35 cities with an
effective and efficient after sales back up
Company plans to set up two stores in Sri Lanka
The company plans to increase its presence in tier
I and II cities
Product range includes treadmills, bikes, elliptical
cross trainers, steppers, rowing machines, multi
gyms, benches, massagers, fitness accessories
Stayfit is based in Bangalore and provides nation
wide after sales support
Trinity Healthcare deals in vibration machine
based fitness equipment
The company is expanding its business to West
Asia and South East Asia
It has opened shops in Bangalore, and Mumbai
and plans to open a shop in Delhi
•
FreeMotion, Keyton,
Jacobs Ladder, Pro
Court, and BSW
•
Precor, Hur and
Inflight
•
SportsArt Fitness,
Kettler and
Turbuster
Maxfit, California
fitness, sportop
•
•
Horizon Fitness,
Vision Fitness,
Matrix, Body Solid,
Johnson Health
Tech. Co. Ltd.
•
Icon Health &
Fitness
•
Vibrogym
After sales service and geographical coverage of the distributors are the differentiating
factor in this industry
CONCLUSION
Thus we can say that The fitness equipment in India is already doing a business of Rs.
1000 approximately all over the country. In some parts of the country, there is already
an annual growth of 50%.
In cities like Bangalore, Mumbai, Chennai, Hyderabad, New Delhi big corporation
houses like Air Tel, Wipro, call centers are already fitting fitness equipments and
elliptical machines, Exercise Bikes, Treadmills, Mini Stair Steppers, and other gym
equipments in their premises for a healthy work force.
Now the demand to remain fit in the second rung of cities have also began. This
awareness has awakened the young and old to various ways to exercise and loose
weight.
Many fitness companies from US, Australia and Europe have come in the Indian
markets with their products seeing the large potential that the industry has generated.