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European success: Kieser Training operates in five countries “ Fully fledged fitness clubs run under a franchise agreement in the UK have suffered more from the lack of investment by the potential franchisee than from concept. ” —David Minton, founder, the Leisure Database Company. FRANCHISER SNAPSHOTS Curves International, Inc Founded: 1992 (franchising since 1995). 2007 revenues: e1.360 billion. Number of units in 2007: 10,000+ worldwide; 731 in Europe, including 258 in the UK. 2007 membership (worldwide): 4 million+. Costs: Initial franchise fee: e25,227 to e32,649 (varies by country). Annual royalties also vary by country. Some are a flat fee of e337; some are 6%, with a minimum of e201 and a maximum of e610. Support: Site selection, sales, marketing, education, training. Contact: Jim Johnson, VP of International Operations, jjohnson@curves.com, www.buycurves.com. energie Group Founded: 2003. 2007 revenues: e7,728,304. Number of units in 2007: 33. Current membership: 20,000. Costs: Start up costs from e26,670.07. Royalties depend on franchise product purchased and size of premises. Support: Sales, marketing, education, training. Contact: www.energiefranchise.com; +44 0845 363 1020. 20 Club Business Europe � JANUARY/FEBRUARY 2008 � www.ihrsa.org Turning Passion into Profit continued In France, the public’s perception of the sector is still coloured by a number of business failures, including franchises, where members lost money and faith in fitness clubs. “The concept of franchising fitness in the UK has been slow to take off on anything bigger than a small matchbox. Think single room for Curves or hired space for class format,” says David Minton, founder of the Leisure Database Company. “Fully fledged fitness clubs run under a franchise agreement in the UK have suffered more from the lack of investment by the potential franchisee than from concept,” says Minton. “Energie Fitness has not been immune to this form of under-investment. However, the more stringent financial barriers to entry the company is employing are now starting to pay dividends.” Today, energie is one of the fastest moving companies in this market. Recently, it launched SHOKK Energie, a franchise for children, in a joint venture with SHOKK Ltd, the operator of youth gyms for children, which will provide equipment and training. The first UK SHOKK Energie franchise opened last Summer, and three more have been sold. SHOKK intends to launch the franchise concept into its global network, with Ireland, Portugal and China committing to sites late last year. Energie also has plans for men’s, personal training, and day spa franchises. Franchise products will be introduced at various price points to accommodate a range of budgets from e6,970 to more than e209,000. “Now that our operational systems, support network and training provision are well established and demonstrating success, we are ready to expand our product offering,” says Jan Spaticchia, founder and chief executive of the energie Group in the UK. The company hopes to move into mainland Europe soon. � Next in the March/April issue: Franchising as the way of the future. Catherine Larner, IHRSA’s reporter in London, can be reached at cbe@catherinelarner.com. SHOKK Ltd Founded: 1999. 2007 revenues: e2,731,000-e4,097,000. Number of units in 2007: 175 company-owned facilities worldwide, 148 in the UK, and four SHOKK Energie franchises open or sold in the UK. 2007 membership: 100,000+ youth. Costs: e40,965+. Support: All areas of management, operations and marketing. Contact: www.energiefranchise.com; +44 0845 363 1020. SHOKK-ing: the first SHOKK Energie opened last summer
NEW &IMPROVED The 2007 IHRSA European Market Report is the best effort yet What do club operators say they covet most? The highest quality data they can get on the industry, with analysis to match. The 2007 IHRSA European Market Report, with its industry outlook, baseline statistics and analysis of the individual markets, is the answer. Produced in conjunction with Deloitte and sponsored by Matrix Fitness Systems/Johnson Health Tech, the report is a strategic tool not only for club owners and operators, but also for researchers, banks, investors, governments, insurance companies and suppliers. “Compiling useful industry data throughout Europe can be a Herculean task,” says Jay Ablondi, IHRSA’s Vice President of Publishing. “Since we established this report with Deloitte three years ago, our goal has been to improve upon the quality of information available to club leaders and manufacturers operating in Europe, and The 2007 IHRSA European Market Report does just that.” � www.ihrsa.org � JANUARY/FEBRUARY 2008 � Club Business Europe 21
Page 1 and 2: Club Business January/February 2008
Page 3 and 4: The world’s first Adaptive Motion
Page 6 and 7: Club Business EUROPE FEATURES page
Page 8 and 9: ihrsa.org A 2007 Sponsored by Infor
Page 10 and 11: News & Notes 9th Forum Il Nuovo Clu
Page 12 and 13: News & Notes continued Vivafit chai
Page 14: News & Notes continued Velocity and
Page 18 and 19: Interview We will work with our par
Page 20 and 21: PART I: LESSONS FROM THE PAST Turni
Page 24 and 25: NEW & IMPROVED! continued “ With
Page 26 and 27: Products � Torque Fitness, LLC, (
Page 28 and 29: Calendar of Events 2008 2008 IHRSA
Page 30 and 31: The Finish Line Tracy Powell One Hu
Page 32: Champions train with Technogym ® w

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