Seemingly unaffected by the COVID-19 related lockdowns and restrictions, recent months have seen Australian founded fitness brands F45, Body Fit Training and Fitstop attract unprecedented investment that looks set to drive expansion and development.
Charting this growth, Kunal Sawhney, Chief Executive of investor relation group and media house, Kalkine Media (and regular Australasian Leisure Management contributor) explains how, despite how the pandemic hit the fitness industry, these three companies are making substantial progress with new ventures, innovation and financing.
Body Fit Training (BFT): aiming to become a world leader following the US deal
Following the US$60 million licensing deal with the USA’s largest boutique fitness franchiser Xponential, Body Fit Training aims to lead the US and the world fitness market.
Currently operating in Australia, New Zealand, and Singapore, the Australian-based group workout provider recently entered an agreement to sell its intellectual property to the US-based Xponential Fitness Inc - with Xponential to manage the brand in the USA and Canada.
Through this deal, BFT will benefit from Xponential’s global presence, with the company currently having around 35,000 members worldwide, and aiming to cross the 40,000 mark by the end of this year.
Company officials have hinted that BFT plans to expand the business to Europe and the Middle East. Additionally, it is building a clear direction and strategy for the Asia Pacific and later for the Middle Eastern and European markets.
BFT’s USP (unique selling proposition) is its scientifically proven techniques to reduce fat and build a fit body by training sessions in a dynamic group environment.
In 2020 itself, the brand received the APAC (Asia-Pacific) Franchise of the Year Award.
F45: Ground-breaking entry in the New York Stock Exchange and the tussle with BFT
F45 is known to be the most recent Australian originated global fitness phenomenon. In July, F45 captured market headlines with its debut on the New York Stock Exchange under the ticker symbol, ‘FXLV’.
The brand is currently operating more than 1500 studios and more than 2800 franchises across 63 countries. Additionally, it aims to operate 23000 studios worldwide.
BFT and F45 are engaged in a legal tussle in the USA courts. F45 has claimed that BFT has interfered in F45’s innovation patents of management of its franchises via a central computer system.
Additionally, it has also claimed that it suffered significant financial losses because of the infringement. The next hearing for the case is due this month.
Fitstop’s worldwide expansion plans
The announcement in June that US-based global fitness and wellness company Lift Brands had acquired a 30% stake in Fitstop brings on a massive scope for international expansion for the Brisbane-founded functional training franchise.
Growing its revenue by 50% year on year - generating $10 million of revenue in 2020 - Fitstop is expecting to generate revenue of $15 million in the 2021 financial year.
Source: Kalkine Media.
Images: Mark Wahlberg (left) and F45 Chief Executive, Adam Gilchrist on the day of the brand's floatation on the New York Stock Exchange (top, credit: Source: NYSE) and exercisers enjoying Body Fit Training (below).
About the author
Kunal Sawhney
Chief Executive, Kalkine Group
An entrepreneur with revolutionary ideas, Kunal Sawhney is a financial professional with wealth of knowledge in equities who aims to transform the delivery of equity research through tech-driven digital platforms
With his knowledge, skillset, and overarching vision, Sawhney established Kalkine (a business that is based on Digitally Powered Architecture and Extensive Data Science led Premium Research) that has become one of the fastest growing equity market research firms across Australia in 2014; and subsequently, in other emerging and developed markets.
Sawhney’s entrepreneurial and commercial skills backed by the passion to establish a tech-empowered research platform, helped in building Kalkine’s global presence across diverse geographies - Australia, New Zealand, Canada, and the United Kingdom. Further, the plans for the US launch in 2021, have set the premise for attaining an all-encompassing client reach for Kalkine’s Subscription and Media Operations.
With a Master of Business Administration degree from University of Technology, Sydney; Sawhney’s business acumen has enabled his brainchild, Kalkine, help clients navigate through equity related matters in a proficient and seamless manner.
Sawhney is featured regularly on CNBC, Sky Business, Biz News, Daily Mail, Yahoo Finance, KCBS Radio (Audacy), Bloomberg, Sydney Morning Herald, Global Banking and Financial Review and many more.
Click here to visit the Kalkine website.
Read more from this author
Related Articles
2nd November 2021 - All Viva Leisure locations now open
28th October 2021 - Viva Leisure tipped for ‘substantial’ stock market growth
29th October 2021 - UAE fitness market to be worth US$600 million by 2025
25th October 2021 - IHRSA 2021 ignites fitness industry comeback
21st October 2021 - 2021 Fitness Australia Award winners announced
21st October 2021 - Fitstop takes functional fitness franchise to New Zealand
20th October 2021 - 2021 Global Report reveals key trends for the new fitness landscape
15th October 2021 - Body Fit Training to expand in the USA with $60 million intellectual property sale to Xponential Fitness
14th October 2021 - Plus Fitness opens 200th club
7th October 2021 - Exerp explains inclusion of government mandates in fitness clubs’ reopening processes
13th September 2021 - Wallabies star to open new Fitstop franchise in Perth
9th September 2021 - New Les Mills Global Fitness Report suggests members ready to ‘flock’ back to facilities
30th August 2021 - Jetts Fitness and Fitness Playground named among Best Places to work in Australia
28th June 2021 - Lift Brands investment to fast-track Fitstop’s global expansion plans
19th May 2021 - Body Fit Training named Asia-Pacific Franchise of the Year at Singapore’s Fit Summit Conference
12th March 2021 - Fitstop reaches 10,000 member landmark
22nd January 2021 - Body Fit Training founder shares insights into top fitness trends for 2021
21st January 2021 - Fitstop Australia co-founders to split
21st December 2020 - F45 ends listing plans but keeps up legal action against competitor Body Fit Training
26th November 2020 - Body Fit Training announces exponential growth plan with 50 studios set to open in the next three months
9th October 2020 - Body Fit Training and F45 ramp up legal battle over patents
17th December 2019 - F45 Training takes legal action against Body Fit Training over alleged patent infringement
19th September 2019 - Fitstop to highlight business opportunities at The Fitness Show in Melbourne
17th July 2019 - Evolt announced as exclusive body composition supplier for Body Fit Training
