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How much does it cost to open a gym? Why did it go out of business so quickly?

author:Machin90

Handsome and beautiful, swim fitness to understand? This is a phrase that is often heard on the street.

How much does it cost to open a gym? Why did it go out of business so quickly?

At present, the pace of social life is getting faster and faster, and fitness has become fashionable, a hot demand, and even a social label. More and more people like and love fitness, regardless of age or gender. In the first-tier cities, the north, Shanghai, Guangzhou, and Shenzhen are very obvious, and there are many gyms, so how big is the market volume? Then, the problem came too. Many people also estimate that they have noticed that the gym has a short lifespan, and often a newly opened gym in the surrounding area does not take long to close.

How much does it cost to open a gym? Why did it go out of business so quickly?

Many fitness customers who do card office naturally complain that there is no door, and the gym has closed down, resulting in the recharge of money can not be returned! According to the "Analysis of Complaints Accepted by the National Consumer Association in the First Half of 2019" released by the China Consumer Association, fitness services have become the hardest hit areas for consumer complaints in the first half of 2019. At present, the fitness industry is encountering a "mid-life crisis", and more than 60% of traditional gyms are difficult to operate, facing losses or even bankruptcy. The simple summary is that the lack of funds can no longer operate!

How much does it cost to open a gym? Why did it go out of business so quickly?

What does the cost of the gym include?

1) Storefront rent

Rent is a large part of the proportion, let alone in first-tier cities. It's hard to operate without adequate cash flow!

2) The upfront cost mainly includes: equipment, decoration, office supplies

The equipment is also divided into aerobic, anaerobic, bicycle and other parts, and the estimated amount is also hundreds of thousands;

Decoration includes suspended ceilings, wooden floors, floor mats, mirrors, lamps, toilets, painting, bathrooms, etc.; hundreds of thousands can not come down;

Office supplies such as desks, chairs, computers, etc., the amount of this side is estimated to be slightly smaller.

3) Labor costs: salaries of sales, coaches, and cleaning managers.

4) Other costs: such as property, water and electricity, consumables, maintenance costs, etc

At present, many models of fitness business are through the sale of membership cards, and it seems that the transformation is imminent! Otherwise, the sustainability is poor and the customer experience is not good.