Boasting over 2.5 million active members and generating billions in revenue, the LA Fitness powerhouse exemplifies an industry that is flexing some seriously impressive muscles, as seen in a 2023 landscape where global fitness revenue soared to nearly $100 billion.
Key Takeaways
- In 2023, the global fitness industry generated $96.7 billion in revenue, marking a 7.1% increase from 2022
- US fitness industry membership reached 67.4 million in 2023, up 12.5% year-over-year
- Average annual revenue per fitness center in the US was $1.2 million in 2023
- In 2023, 64.3 million Americans had gym memberships, representing 25% of US adults over 18
- 58% of US gym members visited clubs 4 or more times per week in 2023
- Women accounted for 52% of total US fitness memberships in 2023
- LA Fitness membership exceeded 2.5 million active members across its clubs in 2023
- LA Fitness generated approximately $2.2 billion in annual revenue in 2022 estimates
- LA Fitness operates 719 locations as of late 2023, making it the third-largest US chain
- US fitness centers total 41,190 locations in 2023 with average size of 11,000 sq ft
- Average employee per fitness center in US is 18.5 full-time equivalents in 2023
- Gym equipment maintenance costs average $50,000 annually per US club in 2023
- Fitness industry expected to grow at 7.8% CAGR to $125 billion globally by 2030
- US gym membership projected to hit 75 million by 2026, CAGR 3.5% from 2023
- Wearable tech integration in gyms to boost revenue 15% by 2028
The global fitness industry is seeing strong growth and a definitive shift back towards in-person gym attendance.
Company Performance
- LA Fitness membership exceeded 2.5 million active members across its clubs in 2023
- LA Fitness generated approximately $2.2 billion in annual revenue in 2022 estimates
- LA Fitness operates 719 locations as of late 2023, making it the third-largest US chain
- Average LA Fitness club size is 35,000 square feet with capacity for 1,500 members per location
- LA Fitness employee count surpassed 20,000 full and part-time staff in 2023
- LA Fitness monthly membership dues average $29.99 for multi-club access in 2023
- In 2023, LA Fitness expanded by opening 12 new clubs primarily in Texas and Florida
- LA Fitness retention rate averaged 75% annually based on 2023 industry benchmarks for the chain
- LA Fitness offers over 100 group fitness classes weekly per club on average in 2023
- The chain invested $150 million in club renovations across 100 locations in 2023
- LA Fitness personal training revenue contributes 15% to total club earnings in 2023
- Membership growth for LA Fitness was 8% year-over-year in 2023 post-pandemic recovery
- LA Fitness holds 4.2% share of the US fitness center market by locations in 2023
- Average daily attendance per LA Fitness club reached 450 members in 2023
- LA Fitness acquired City Sports clubs adding 9 locations in 2023
- The chain's app downloads exceeded 5 million in 2023 for virtual class access
- LA Fitness basketball courts are available in 60% of its clubs as of 2023
Company Performance Interpretation
With 2.5 million members collectively paying around $30 a month to largely not go, LA Fitness has perfected the art of profiting from our good intentions, all while building a real estate empire the size of a small country.
Consumer Behavior
- In 2023, 64.3 million Americans had gym memberships, representing 25% of US adults over 18
- 58% of US gym members visited clubs 4 or more times per week in 2023
- Women accounted for 52% of total US fitness memberships in 2023
- Millennials (ages 27-42) made up 42% of gym-goers in 2023
- 71% of fitness consumers prefer gyms with group classes in 2023 surveys
- Average gym membership fee in the US rose to $58 per month in 2023
- 45% of members cancel gym memberships within the first year due to lack of time, per 2023 data
- Post-pandemic, 67% of consumers prioritize mental health in fitness choices in 2023
- Home workout participation dropped to 29% from 49% pre-2023 among US adults
- Gen Z (18-26) gym membership growth was 15.2% in 2023, fastest demographic
- 82% of gym members use apps for tracking workouts in 2023
- Hispanic consumers represented 19% of new gym sign-ups in US 2023
- Peak gym visit times shifted to 6-8 AM (35% of visits) in 2023 post-COVID
- 55% of members prefer 24/7 access gyms in 2023 surveys
- Average time spent per gym visit increased to 72 minutes in 2023
Consumer Behavior Interpretation
It seems the modern gym-goer is a well-tracked, morning-loving, class-taking, fee-paying paradox, who joins with community and mental wellness in mind yet often cancels within a year, all while Gen Z quietly and rapidly floods the gates.
Future Projections
- Fitness industry expected to grow at 7.8% CAGR to $125 billion globally by 2030
- US gym membership projected to hit 75 million by 2026, CAGR 3.5% from 2023
- Wearable tech integration in gyms to boost revenue 15% by 2028
- Virtual reality fitness classes projected to capture 10% market share by 2030
- AI-personalized training to reduce churn by 20% in gyms by 2027
- Boutique studios growth at 9.2% CAGR to 2028 in US
- Home gym equipment sales to decline 5% annually post-2025 as clubs rebound
- Senior fitness programs to grow 12% yearly to 2030 demographic shift
- Metaverse fitness platforms revenue to $5 billion by 2030
- Low-cost chains like Planet Fitness to hold 50% market by 2027
- Global fitness tourism market to reach $45 billion by 2032, CAGR 15.6%
- E-sports gym integrations projected in 20% of clubs by 2028
- Women's only gyms to double in number by 2030 US projections
- Sustainability features in gyms to influence 40% membership decisions by 2027
- Corporate gym partnerships to rise 25% by 2026 wellness mandates
- LA Fitness plans 50 new openings by 2028 focusing on Sun Belt states
- Fitness franchising growth at 4.1% CAGR to 2030 in emerging markets
- Gamified fitness apps retention to improve 30% by 2027 tech advances
- Obesity crisis to drive 10% annual membership surge in medical fitness by 2030
- Hybrid club models (physical+virtual) to dominate 60% market by 2029
Future Projections Interpretation
The fitness industry is sprinting towards a $125 billion future by 2030, where our collective anxiety about the obesity crisis, aging populations, and corporate wellness mandates will be profitably soothed by AI coaches, VR spin classes, and the comforting knowledge that half of us will be working out in a Planet Fitness.
Market Size and Growth
- In 2023, the global fitness industry generated $96.7 billion in revenue, marking a 7.1% increase from 2022
- US fitness industry membership reached 67.4 million in 2023, up 12.5% year-over-year
- Average annual revenue per fitness center in the US was $1.2 million in 2023
- Fitness industry penetration rate in the US stood at 21.1% of the population in 2023
- Global fitness equipment market size was valued at $14.6 billion in 2023, projected to grow to $20.1 billion by 2030
- LA Fitness reported over 700 club locations across 27 states and Puerto Rico as of 2023
- US gym industry revenue hit $35.2 billion in 2022, recovering 96% from pre-pandemic levels
- Online fitness market segment grew by 33.1% in 2023 to $30.4 billion globally
- Boutique fitness studios accounted for 12% of total US fitness revenue in 2023
- Corporate wellness programs drove 15% of fitness industry growth in North America in 2023
- Fitness app downloads worldwide exceeded 1.2 billion in 2023
- US fitness centers numbered 41,190 in 2023, a 2.3% increase from 2022
- Premium gym segment revenue grew 8.9% annually in the US from 2018-2023
- Wearable fitness tech market reached $61.3 billion globally in 2023
- Low-cost gym chains captured 45% of US market share by revenue in 2023
Market Size and Growth Interpretation
The gym industry's surge to nearly $97 billion globally, fueled by our collective New Year's resolutions and an army of wearables tracking them, proves we're now paying more for the guilt of not working out than for the actual workouts themselves.
Operational Data
- US fitness centers total 41,190 locations in 2023 with average size of 11,000 sq ft
- Average employee per fitness center in US is 18.5 full-time equivalents in 2023
- Gym equipment maintenance costs average $50,000 annually per US club in 2023
- 24/7 staffed gyms represent 28% of total US fitness centers in 2023
- Utility costs for a typical gym average 12% of operating expenses in 2023
- Personal trainers earn average $50/hour in US gyms per 2023 data
- Group fitness instructors lead 45 classes weekly on average per club in 2023
- Digital check-in systems used in 85% of US gyms in 2023
- Cleaning and sanitation staff hours increased 20% post-2023 pandemic standards
- Treadmills account for 25% of cardio equipment inventory in average US gyms 2023
- Front desk staffing averages 2 employees per shift in mid-sized gyms 2023
- Annual marketing spend per club averages $25,000 in competitive US markets 2023
- Pool maintenance in aquatic-equipped gyms costs $30,000 yearly average 2023
- CRM software adoption in gyms reached 92% for membership management in 2023
Operational Data Interpretation
The American fitness industry, a sprawling ecosystem of 41,190 temples to sweat, is a complex machine where the dream of a six-pack is powered by eighteen-and-a-half employees, fifty-thousand-dollar equipment repairs, and a relentless, digitally-checked-in, twice-sanitized hustle for your membership dollar.
Sources & References
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