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Bally Total Fitness Case

In: Business and Management

Submitted By maxeum
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Group 1 BALLY TOTAL FITNESS 10/02/2014

1. What is this case about?

This case is about Bally Total Fitness, an U.S. health club industry founded in 1962. But more generally this case is about the health club industry in the USA and throughout the world.
In a first part, there is a general presentation of the U.S. health club industry characteristics. We have some information about people who go to these clubs, proposed activities, equipment and facilities. It presents the different ways of formats in this industry, how the industry is organized: owner-operated clubs, franchised clubs, Design and management companies and health spas. We have some explanations about pricing, ways of sales, general operations and an analysis about the different trends within this industry. We
In a second part, we have a deep presentation of Bally Total Fitness. We have information about its foundation, generated revenues, growing, current CEO (Paul Toback). We have a description of the process to sign in with Bally Total Fitness, how a typical club is organized. This part is about the strategic decisions of Bally Total Fitness about its marketing, accounting policies to attract clients.
In a third part, we have a quick presentation of Bally Total Fitness’ competitors (YMCA, Gold’s Gym, 24 Hour Fitness and Curves International). We have crucial information about their histories, main leaders, policies, revenues and differences from Bally Total Fitness.
Finally, there are some comparative financial tables about revenues evolution. This case offers a general view about strategies and positioning within a specific market. We can observe each brand evolution depending their strategic choices.

2. Segment the US Health Club industry (combining applications, clients and technology variables), select the most relevant segments and identify their respective Key

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