Leading fitness group, Smart Fit, has big plans for
expanding its network of gym academies. With an ambitious “wishlist”
for the end of this year and throughout the next, the company aims to identify
the best locations to establish their brands. In addition to Smart Fit, the
net work includes BioRitmo and the Race Bootcamp, Tonus Gym, Vidya Body &
Mind, and Jab House studios.
Diogo Corona, Chief Oper ating Officer (COO) of Smart Fit,
explains that they have a carefully curated list of desired locations where
they want to be present. These openings might happen in Brazil or even in
Mexico. However, timing and location play a crucial role, and the company is
willing to wait for the right opportunities to arise.
Considering that the payback period for a gym academy is
around five years, making the right choice is crucial to the success of the
operation. Corona emphasizes that within just three months, they can determine
if a location is viable or not. Although there is a margin of error, quick
feedback is essential for making swift adjustments.
With 1,274 gym academies across 15 countries (994 of which
are owned by Smart Fit), the company is frequently questioned about the need
for further expansion. However, Corona sees no reason to slow down. Expansion
has always been a core strength of Smart Fit, and as they branch out into more
geographies, it becomes easier for them to open a significant number of
academies .
In addition to their growth in gym academies, Smart Fit has
also been focusing on the corporate market through TotalPass, their B2B brand.
This initiative gained momentum when their main competitor, Gympass, reached an
agreement with the Brazilian antitrust authority regarding exclusivity
contracts with gyms. Today, TotalPass serves more than 3,000 companies,
including Volkswagen, Ford, Banco Original, Itaú, and Amil.
With its stock price rising by 49.8% in 2023, the Smart Fit
stock is currently valued at R$20.08, delivering a positive outlook for the
company’s future prospects. As Smart Fit continues t o innovate and expand its
offerings, Diogo Corona is confident in the company’s ability to maintain its
market leadership and serve a growing customer base.
In conclusion, Smart Fit’s “wishlist” for growth
coupled with its focus on the corporate market positions the company for
sustained success in the fitness industry. Through carefu l location selection
and a strong ecosystem that includes TotalPass, Smart Fit is poised to continue
its expansion and offer fitness solutions to an increasing number of
individuals and businesses.