|[March 14, 2017]
Retro Fitness on Track to Add 100 Gyms in the Next Two Years
With high-cost boutique concepts crowding the $81
billion health club sector, Retro
Fitness has stood against the competition, building success by
pushing the envelope on current fitness trends.
The national low-cost, high-value fitness
franchise opened 14 gyms and signed more than 20 new franchise
agreements for new or emerging market development in 2016. The 155-unit
franchise has 100-plus gyms in its development pipeline and has already
opened four locations this year. All told, Retro Fitness is on track to
have 250 gyms open in the next two years.
A key impetus influencing the brand's success is its history of taking
proven, popular fitness trends and making them affordable for a wide
range of consumers, all while boasting a similar, and oftentimes better,
workout experience. For example, when group fitness classes began
gaining popularity, a second-tier membership at Retro Fitness was
introduced at $29.99/month for unlimited group fitness classes, ranging
from spin and yoga to boxing and Zumba. Flash forward to today and
consumers will find the New Exercise Order, a sub-brand launched by
Retro Fitness CEO Eric Casaburi in response to the growing popularity of
"We're taking the best of functional training and boot camp classes and
making it a far more effective and affordable fitness regimen for our
members than what they would get at a boutique fitness studio," Casaburi
commented about the New Exercise Order.
The New Exercise Order provides a solution to members of all fitness
levels and desired price points by offering three training tiers
comprised of Team Conditioning (TEAM), Small Group Strength Training
(SGST) and One on One Training (1:1). The program powers the franchise's
Retro Results personal training program, which also incorporates
cutting-edge technology that gamifies the workout experience. It sarts
at $69.99/month and began entering Retro Fitness gyms in late 2016 with
a network-wide rollout this year.
"Our members can join at the lowest training membership tier and get the
same workout that they would pay $149/month for at a boutique concept.
We are innovating fitness and doing it at affordable prices, something
we've done since our inception," Casaburi said. "This is a game changer
for our brand. Member adoption continues to rise rapidly and franchise
prospects are increasingly becoming interested in our position in the
Franchise investors aren't the only ones noticing the company's growth.
Retro Fitness has ranked for three consecutive years on Forbes magazine's
esteemed list of "Best Franchises to Buy" - placing No. 6 in 2016. This
is in addition to the accolades already awarded in 2017, which include
Retro Fitness earning the 34th spot on Franchise Times magazine's
"Fast & Serious" list of the smartest growing brands that have the
staying power to succeed, as well as No. 119 in Entrepreneur Magazine's
"Franchise 500" ranking of the top franchises in the nation.
Casaburi added, "Our gyms attract inexperienced and seasoned exercisers
of all ages because we combine affordable membership options with a
first-class gym experience. We incorporate state of the art equipment
associated with big-box clubs and the high-end amenities and training
associated with boutique concepts. The unification of these services
ultimately make our model very attractive to today's investors."
Retro Fitness has been gaining popularity amongst a diverse group of
franchise prospects and has an eclectic franchise system that includes
former company executives, police officers, military veterans,
stockbrokers, contractors, professional athletes, multi-brand
franchisees, doctors and a pop star. The franchise flourishes on this
diversity and seeks franchisees who are going to help build and support
the Retro Fitness brand for decades.
"I think the success our clubs have shown over the years is what
attracted our diverse franchise system," said Casaburi. "We have
franchisees from all walks of life. Some are friends or family members
of franchisees who watched the success first-hand. Others are
sophisticated investors simply looking for a viable business investment.
We disclose revenue numbers in our FDD, so they recognize that outside
of unit growth, our gyms perform exceptionally well from a financial
The top 10 percent of the company's franchise units are outperforming
the national industry average with $2,175,471 average gross sales per
unit, $851,008 average EBITDA, 6,000-plus average membership base and
$149.50 average revenue per square foot.**
** The top 10 percent of Retro Fitness clubs average, gross
sales, average EBITDA and average revenue per square foot numbers as
published in Item 19 of the Retro Fitness 2016 Franchise Disclosure
19�in its entirety for important defined terms,
assumptions and qualifiers relating to these figures.
About Retro Fitness
Founded in 2004 by entrepreneur Eric Casaburi, Retro Fitness has evolved
from a regional Northeast gym concept into a national fitness system
with more than 155 gyms open in 16 states. Under Casaburi's leadership,
Retro Fitness is expanding its footprint with more than 100 gyms in its
development pipeline and plans to have 250 gyms open in the next two
years in new, major markets, such as Florida, Illinois, California,
Maryland, Michigan, New York, North Carolina, Pennsylvania, Texas, Utah,
Virginia, and Washington, D.C. Each Retro Fitness location is equipped
with a full-service fitness center, including 60-100 pieces of equipment
supplied by leading manufacturers. The burgeoning franchise has placed
in the top 300 of Entrepreneur's magazine's prestigious Franchise
500 list for six consecutive years. For more information, please visit www.retrofitness.com,
and to learn more about franchise opportunities visit�www.retrofranchising.com.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170314006341/en/
[ InfoTech Spotlight's Homepage ]