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Monday, May 12, 2008
Fitness First makes its debut in India
Publication: Business Standard, Edition: Bangalore/Chennai/Delhi/Hyderabad/Kolkata/Mumbai/Pune, Journalist: Archana Jahangirdar, Page No: 12, Location: Middle-Right, Width(cms): 16, Height(cms): 12
, Size(sq.cms): 192
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Fitness First makes its debut in India
LIFESTYLE The global health chain has set up a club in Gurgaon
ARCHANA JAHAGIRDAR
P hysical fitness has never come naturally to a large number of Indians. Body forms in ancient sculptures are well-endowed and sensuous, cer­tainly not lean and fit. And that India is the diabetes capital of the world surprises few. You could blame it on the weather here, which makes outdoor ex­ercise a tough challenge dur­ing most parts of the year.
However, like other national traits (cricket and films in­cluded), the physical fitness sce­nario in India too is seeing a change, though at a slower pace. And it has caught the eye of global fitness chains. Fitness First, which claims to be the world's largest, is ready to set up shop in India. Its first club (this is what it calls its gyms) has come up at Gurgaon in the suburbs of Delhi. The sec­ond in downtown Delhi will open later this month. Mum-
bai and Bangalore come next.
Vikram Aditya Bhatia, the managing director of Fitness First India Private Ltd, says that each of these will be a large-format gym. The one at Con-naught Place in New Delhi will be spread over 26,000 square feet, for instance. The com­pany plans to invest $3-4 mil­lion (Rs 12-16 crore) in each club. All told, it has plans to in­vest Rs 200 crore over the next three years in India.
"We want to provide fitness where you live, where you work and where you transit. Our USP is scale, comfort and service," says Bhatia, who along with oth­er senior staff, owns 17 per cent stock in the company.
That may be fine, but Bha­tia has lost the first mover's ad­vantage to others like Gold Gym and the homegrown Tal-walkar's. Both are now well-es­tablished brands in the market with a rapidly-expanding pres­ence. The market might be nas-
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The company plans to invest Rs 200 crore over the next three years in India
cent (a McKinsey study pegs the figure at around Rs 2,000 crore per annum, though Bha­tia feels it could be closer to Rs 2,400 crore), but the competi­tion is already stiff.
Bhatia, a keen sportsman who played tennis at the national level, says what will help the chain is its value-for-money proposition. 'What we will give is five-star fitness at afford­able prices," he says. The month­ly membership, which inciden-
tally also allows access to any of the Fitness First clubs any­where in India, will be approx­imately Rs 2,600 plus taxes.
Globally, Fitness First has managed to build scale, though it started only in 1992 with one gym at Bournemouth, UK—it runs over 540 clubs, has a turnover of $1.6 billion. Bha-tia's challenge is to replicate it in India. All he needs to do is to get Indians to sweat it out on Fitness First tread-mills.