FORECAST FOR 2021: EVERY TENTH GYM IN RUSSIA WILL BE CLOSED

Representatives of the Association of Fitness Industry Operators (AFIO) raised an issue of a negative scenario for the development of the industry, which has not recovered from the consequences of the restrictions regime introduced during the pandemic. About 10% of organizations offering fitness services will be liquidated by the end of 2021.

The President of AFIO Olga Kiseleva told the Izvestia newspaper that the revenue of fitness centers in May would be 10% lower than in 2019. Despite the fact that the industry has begun to recover, it has not yet been able to return to pre-crisis levels. According to Kiseleva, the long public holidays in May had a negative impact on business, having reduced the flow of customers by 5-7% compared to the pre-crisis indicators.

Considering that a quarter of fitness organizations were liquidated over the past year, and the summer season traditionally sags in revenue, a significant part of companies and individual entrepreneurs run the risk of being left without any money at all. Some of them are concerned about serious losses.

According to experts, there are several factors that continue to negatively influence the industry.

First of all, during the period of the pandemic, citizens have developed a habit of doing sports on the street.

Very often, coaches who do not have the necessary knowledge and skills, provide them with compensated assistance in this. As a result, the gyms are left without clients, while to a slim and healthy body lovers, such workouts can often do more harm than good.

Staff shortages have become a serious problem for the fitness industry. The pandemic forced many employees, who previously worked in gyms of capital and large cities, to return to their small homeland. Many have changed jobs. First of all, experts speak about the lack of service personnel.

A significant part of the employees left their previous place of work, having completely changed their occupation.

The situation is aggravated by the fact that financial liabilities accumulated over the year are forcing the management and owners of gyms to deal with debts. If large network projects can still optimize and close underperforming branches, then small individual centers may be threatened with complete termination of activities.