Home business Two leading fitness firms in good health

Watchiranont Thongtep The Nation September 18, 2012 1:00 am

Fitness First (Thailand) has earmarked Bt1.5 billion to establish 15 new clubs within the next five years, while True Fitness plans to invest more than Bt360 million for four new branches next year.

Thailand is a fast-growing market for the UK-based Fitness First group in terms of profits and branch expansion despite the global economic downturn, said Mark Buchanan, managing director of the Thai unit.

He said the company was looking at setting up small clubs of about 1,000-1,500 square metres, targeting small communities in high-density areas of Bangkok with easy access to the mass-transit system. Currently, Fitness First clubs average 3,000sqm. The new type of club will also be seen in the provinces.

The company aims to see a return on each new project within four years. This year, it projects revenue growth of 10-15 per cent to Bt1.5 billion from the 23 clubs it operates currently. This will help the company enjoy a 40-per-cent surge in profit.

Buchanan said there was more room to grow in the fitness business in the Kingdom as only 2 per cent of the population use such a service.

"We believe we can create more than 50 jobs for each club and also support sports-science education," he said.

The company employs about 1,200 people, 70-75 per cent of whom are fitness instructors with full international certification.

Next year, True Fitness plans to facelift its six clubs in Thailand with an investment of Bt180 million. Founder and chief executive officer Patrick Wee said the company had 30 centres across the region, in Singapore, Malaysia, Taiwan, mainland China and Thailand. It aims to expand to 50 centres in the region within five years.

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Two leading fitness firms in good health