Dr A.P.J.

ABDUL KALAM TECHNICAL

UNIVERSITY LUCKNOW

A
Project
Report
On
Innovation Idea for Product &
Services TOPIC:- BUSINESS IDEA ON
GYM

UTTAM GROUP OF INSTITUTIONS

Submitted By:- ANKIT

SINGH
MBA 1st Sem.

2006170700014 ANKIT SINGH

 TABLE OF CONTENTS
Chapter No. Subject Page No.

1 Executive Summary 7

2 Overview 8
a. Objectives 10
b. Research methodology 12

3 Background to the problem 17

4 Review of literature 19

5 arketing strategies 26

6 Industry Profile 30

2006170700014 ANKIT SINGH

 Acknowledgement
I am using this opportunity to express my gratitude to everyone who supported me
throughout the course of this MBA project. I am thankful for their aspiring
guidance, invaluably constructive criticism and friendy advice during the project
work. I am sincerely grateful to them for sharing their truthful and illuminating
views on a number of issues related to the project.

I express my warm thanks to for their support and guidance.

I would also like to thank my project external guide and all the people who
provided me with the facilities being required and conductive conditions for my
MBA project.

Thank you,
EXECUTIVE SUMMARY

Training at Addiction-India Health & Fitness Club has given me thorough insight into the Indian
Health industry sector. Addiction is a chain of fitness centres spanned over the Delhi and Noida
region.

I was assigned to work in the MANAGEMENT department which looks after the sales,
memberships and corporate services of the Addiction club in Kaushambi. Under Marketing division
there has been a further subdivision into various groups which handle the different marketing
solutions provided by the organization.

As a part of my training I was required to find out the “Understanding of consumer behavior for
Brand development”

The significance of this dissertation is four-fold:

 To provide a snapshot of the health club market in Delhi and Noida, India.

 To reveal trends in the health and wellness industry with special reference to Addiction-India
fitness centre.

 To identify the demography of the users of Addiction-India fitness centers.

 To define marketing strategies to be used by ‘Addiction-India health club’

I covered four areas in the duration of two - months internship, as follows:

1. Personal Marketing/Relationship Marketing/Corporate Marketing

2. Cold calling/Customer Relationship Management
3. Responsibility as a Manager
4. Drafting a Case / Presentation
OVERVIEW
Addiction is a chain of unique and premier health club in Delhi and Noida. Addiction promises a
healthy and balanced life to you. In a short span from its launch of services, Addiction is one of the
most respected names in the Indian Fitness sector and has acquired an enviable list of customers.

Our mission is to provide fitness solutions to people by using our team of expert trainers and
dieticians. Spread in thousands of square feet in approved commercial premises with extraordinary
ambience, Addiction is the only club with a combination of luxury and professionalism. Excellent
interiors with state-of-the-art infrastructure and highly advanced equipments have contributed to the
success of our Brand.

With exotic spas and sauna facilities, Addiction guarantees a more relaxed and fit you.

Relationship marketing is a valuable element when it comes to a successful business. This marketing
type focuses on the fact that customer retention and the overall satisfaction of those customers as a
whole is an essential component to the overall success of a business. There were a number of
marketing campaigns conducted in the decade of the sixties and the eighties which implemented the
use of direct responses in order to confirm the basis of the relationship marketing practice.

The scope of relationship marketing is to zoom in on a particular audience when it comes the
promotion of certain services and various products. This form of marketing takes the interests of the
people that it is seeking to appeal to, and uses that information in order to appeal to the senses of
these people. Relationship marketing is a key component to creating, and building long term
relationships that can be productive, beneficial, and long lasting to all of the individuals, clients,
and businesses involved.

Addiction health and fitness club is the place to relax, retreat, and re-connect. With seven running
centers and two other centers in the pipeline. The staff makes sure you have everything you need to
be perfectly comfortable.

It Provides facilities & services for:

 Main workout area

 Cardio Area/ Theatre
 Group Exercises Classes
 Aerobics
 Gymnasium & SPA
OBJECTIVES

It is well evident that work experience is an indispensable part of every professional course. In the
same manner practical training in any organization is must for each and every individual who is
undergoing management course.

Without the practical exposure one cannot consider himself or herself as a qualified capable manager.
During the training period the student learn through his own experience, the real situation of the
corporate world and to put his theoretical knowledge into practice. This experience is very valuable
for the student and plays a leading and an important role in the career of the student.

Hence to fulfill this requirement, I had completed my two months Training in MBS Gymkhana
Limited , Sector 16-A, Film city, Noida-201301

Entering in an organization is like a stepping into altogether a new world. At first everything seems
to be strange and unheard but at the same time when the time passes one understands the concept and
working of the organization and thereby developed professional relationship.

Initially, it felt as if classroom study was irrelevant and it is useless in any concerns working but
gradually it is realized that all the basic fundamental concepts studies and linked in one or the other
ways to the organization. But how and what can be done with fundamentals depend upon the
intellectual and applicability of the individuals. It is just a matter to modify the theory so as to apply
it to given practical solution.

I worked on all the Practice Areas as a trainee with the Management team in the company. My
foremost objective was for gaining maximum experience and exposure in the company. It always was
a goal for me to complete the given Projects with in the Time constraints and with full efficiency.

I covered four areas in the duration of two - months internship, as follows:

1. Personal Marketing/Relationship Marketing/Corporate Marketing

2. Cold calling/Customer Relationship Management
3. Responsibility as a Manager
 4. Drafting a Case / Presentation

I sincerely believe that there is no better place to learn this practical side of management than the
industry itself.

I once again thank all the employees of the MBS Group who have helped me out in the preparation of
the project report and have exposed me into the industry.

Research Methodology

Primary Objectives:

 To provide a snapshot of the health club market in Delhi and Noida, India

 To reveal trends in the health and wellness industry with special reference to Addiction-India
fitness centre

 To identify the demography of the users of Addiction-India fitness centers.

 To define marketing strategies to be used by ‘Addiction-India health club’

Secondary Objectives:

 Personal Marketing/Relationship Marketing/Corporate Marketing

 Cold calling/Customer Relationship Management/Direct Marketing
 Responsibility as a Manager
 Drafting a Case / Presentation
METHODOLOGY

Choice of research design

Despite the difficulty of establishing an entirely satisfactory classification system, it is helpful to

classify marketing research on the basis of the fundamental objectives of the research. Consideration
of the different types, their applicability, their strengths, and their weakness will help the student to
select the type best suited to a specific problem.

The three general types of research are as follows:

1). FUNDAMENTAL RESEARCH

2) ANALYTICAL RESEARCH

3) DESCRIPTIVE RESEARCH

Descriptive research includes surveys and fact finding enquiries of different kinds. The major
purpose of descriptive research is description of the state of affairs as it exists at present. In social
science and business research we quiet often use the tern ex post facto research for descriptive
research studies. I have used this research in order to accomplish my project. What I did in my
project report is explained below.

First, I had to know about Addiction Gym and its branches all over Delhi and NCR. Before doing the
survey I had to know about the competitors available. Since marketing is a important issue that is
mostly look after by the managers hence I had to trace the market and segment.

SAMPLING TECHNIQUE USED & SAMPLE SIZE - WHY?

Sample design is a definite plan of obtaining some items from the whole population. The sample
design used in this project is two state sampling i.e. Cluster and convenience. In the probability
sampling methods, each items in the sample is chosen one at a time from a complete list of universe
elements. In marketing research practice, it will sometimes be more expedient to select clusters or
groups of universe elements, rather than to choose sample items individually.
SAMPLING METHOD

Sample design is a definite plan of obtaining some items from the whole population. The sample
design used in this project is two state sampling i.e. cluster sampling and convenience sampling. The
whole city was divided into some geographical areas and I have chosen East Patel Nagar, Shalimar
Bagh, Vikas Puri, Noida, South Extension, Janak Puri, and Kaushambi.

CLUSTER SAMPLING

Here the whole area is divided into some geographical area and a definite number of consumers were
to be surveyed.

AREA SAMPLING
Area sampling is a sampling technique in which the work is divided according to area. My mentor
has given me a eastern area of new Delhi in which I visited various retailers to know the market
standing of Addiction Health Club.

CONVINIENCE SAMPLING
This type of sampling is chosen purely on the basis of convenience and according to convenience. I
visited malls and some customers. This technique comes under non probability sampling.

SAMPLING

1. Sampling Technique : Non probability sampling

(A non probability sampling technique

is That in which each element in the

Population does not have an equal

Chance of getting selected)

 2. Sample Unit : people who work in Gym.

3. Sample size 8

4. Method : Direct interview through questionnaire.

5. Data analysis method : Graphical method.

6. Area of survey : Kaushambi (Ghaziabad).

7. Timing of survey : 09:00 am to 06:00 pm

DATA COLLECTION TOOLS

 Primary data. The major source of primary data was the information and questionnaire
collected from the journal and the customers. The information collected from the journals and the
trainer can also be referred to as the primary data.

 Secondary data. The major source of secondary data was the reference books and company’s
website. The company’s articles and magazines were also referred to for the information.

GYM ACTIVITY- METHOD USED FOR DATA COLLECTION

I. Questionnaire was prepared keeping the objective of project in mind.

II. Questions were asked to respondents as regards to there willingness to join the Gym.

III. The help of questionnaires conducted direct interviews, in order to get accurate information.
 IV. Customer has approached me for accurate information about the Gym.

BACKGROUND OF THE PROBLEM

Brands are some of the most valuable assets companies own. The overall goal of this is to analyze the
brand management decisions that must be made to build, measure, and manage a brand. Particular
emphasis is placed on understanding psychological principles at the consumer or customer level that
will improve managerial decision-making with respect to brands

“Addiction” is a new brand that has entered the health industries in past three years. Consumers and
retirement homes have turned brain-fitness games and exercises into commercial hits, so now some
consumers and employers are incorporating them into wellness programs that promote health for the
mind as well as the body. As there are many health and fitness clubs that are already major players in
this market. Addiction has to create its brand awareness in the mind of the customers.
Upon completion of the project we
 have to attain a thorough understanding consumers develop brand attitudes and behaviors,

 know the issues, techniques, and decision options in analyzing, planning and managing
brands,

 be able to apply the acquired knowledge to make informed and more successful decisions in
real-world branding problems.

Consumer behavior is the fundamental to marketing as marketing is concerned with supplying and
anticipating customer requirements; therefore understanding how customers behave is at the very
heart of the marketing concept. To understand the consumer behavior was the main aim as the
behavior of the consumer differ according the demography. Like the quarterly charges for the
Kaushambi branch was Rs 5000/- whereas the same scheme was worth Rs 12000/- in the south
extension part of the Delhi and Rs 9000/- in the Noida branch.

The major players with Addiction in the market were Gold gym which is an internationally acclaimed
gym, second is Fitness First which is again an international player and has over 50 centres in India.
Thirdly Talwalkar’s which started from Mumbai and now has 18 centres across India.

To develop brand name “Addiction” and creating its brand awareness was the main goal.
LITERATURE REVIEW

CONSUMER BEHAVIOR

Consumer behavior (in consumer business context) is referred to as the study of when, why, how,
where and what people do or do not buy products. It blends elements from psychology, sociology,
social psychology, anthropology and economics. It attempts to understand the buyer decision making
process, both individually and in groups. It studies characteristics of individual consumers such as
demographics and behavioral variables in an attempt to understand people's wants. It also tries to
assess influences on the consumer from groups such as family, friends, reference groups, and society
in general .Customer behavior study is based on consumer buying behavior, with the customer
playing the three distinct roles of user, payer and buyer.

Relationship marketing is an influential asset for customer behavior analysis as it has a keen interest
in the re-discovery of the true meaning of marketing through the re-affirmation of the importance of
the customer or buyer. A greater importance is also placed on consumer retention, customer
relationship management, personalization, customization and one-to-one marketing.

In Addiction our main motive was to study the consumer behavior of the clients in respect to
demographics. According to demography Kaushambi (Ghaziabad) is not high locality area where
people can afford an annual gym worth 30000 thousands. So according to the area the annual gym
scheme was offered at 15000 which was quite reasonable according to the locality whereas in south
extension branch the same scheme was offered at 45000 thousands which people can afford easily.

Consumer behavior as 'the process and activities people engage in when searching for, selecting,
purchasing, using, evaluating, and disposing of products and services so as to satisfy their needs and
desires'.

Consumer behavior yesterday, today and tomorrow

The individual-oriented consumer behavior of the post will change a more collective style in the
1990s.
As the new decade creeped in and the new century approached, a time has come to reflect upon and
predict the consumer's behavior in the marketplace. Many things have changed since the end of mass
marketing and the beginning of market segmentation.

In the past females never carved for gymnasiums, but which the changing environment females want
fitness programmes to keep them fit.

Addiction according to the changing consumer behavior designed special female fitness
programmes. Contrary to popular belief, weight and resistance training is very important for
women of all ages. Instructed properly under the tutelage of Addiction's trainers, the risk of
injury is mitigated to non-existent levels.

To address the other concern or inhibition as it may be appropriately described. Weight training
programs at Addiction are not designed to make you look like "masculine". Strength training
programs for women ensure well-balanced, injury free lifestyles for modern living.

MARKING YOUR MARK - BRANDING THE GYM

If we think only big corporate names need to think about things like brand names, think again. Our
brand says a lot about us and our business, and that's as true for a local gymnastics gym as it is for a
multi-national conglomerate. In this we look at how creating a strong brand for our business can help
us set ourselves apart and lay the right foundation for the growth of our business.
Our brand is more than just our business name or the logo on the newspaper ad. It is our corporate
identity. An effective brand tells people who you are, what you do and how you do it, while at the
same time establishing your relevance to your customers.

Your brand is how your business is perceived by customers. If your brand has a high perceived value,
you enjoy many advantages over your competition, especially when it comes to pricing. Why do you
think people are prepared to pay exorbitant money for brand items? Perceived value; perceived value
as a result of very effective brand promotion resulting in high recognition.
.
As the Addiction logo reflects in its punch line “Discover a new you in YOU”. This suggests that
Addiction promises you the results and changes in your activities and stamina.
The main reason for creating our own brand is to differentiate ourselves from your competition.
Gymnastics programs can be located blocks apart from each other. You need to constantly be looking
for ways to set yourself apart from your competition. Our brand can do that for us.
Another good reason for creating our own brand is to make our marketing more effective and
efficient. You don't have to spend your time with a new client explaining who you are, what you do
and how you do it. Our brand can already communicate that for us. You can spend your time
focusing on students rather than educating your customers about your business.

Your brand needs to say who you are, what you do and how you do it. It needs to do all these things
at the same time as establishing your relevance to your prospective customers. It is absolutely
essential as you build your own brand, that you have a firm grasp of who you are.
A good place to begin thinking about your mission is to put yourself in the shoes of your customers.
If you're in the market for a gymnastics club, what things are important to you? Different people will
be looking for different benefits but you can bet that they want their child to be safe and well cared
for. Cost is also likely to be high on the list as is the training they will receive. These things will be
highly important to some and less important to others. So focus on the benefits that are likely to be
highly relevant to the majority of your target market.

Your mission statement might read something like "Discover a new you in YOU” That's a pretty
general statement and if you decide to focus on a particular niche of the gymnastics market.
When we created our brand, we kept the who, what and how firmly in mind but also use the brand to
establish our relevance to our target market and build credibility with that market.

BRAND AWARENESS OF “ADDICTION”AMONG CUSTOMERS BY

FORMULATION OF DIFFERENT SCHEMES

Increasing brand awareness is one of the major goals of the company. Addiction also to increase the
brand awareness and their clientale launched different schemes according to demography. As on 3rd
of may 2009 Addiction opened its new centres at Kaushambi and Janakpuri introducing an inaugural
offer scheme “BUY 2 QUARTERS GET 2 QUARTERS FREE”. In a month’s time Kaushambi
branch had a sale of Rs12 lakh in its first month. The members who joined in the first month were
around 200. The inaugural scheme was a great success. It was more than what the company had
expected. The marketing strategies used by the company was advertising in the leading newspapers
like Hindustan times and Times of India.

Gradually in the month of June first 15 days the sale dropped from 12 lakh to 4.5 lakh the reason
being the availability of the schemes. Their was only one scheme running in the month of June that
was 25% discount on any scheme you take let it be a quarterly scheme, half yearly, annual or lifetime
membership. The marketing team was questioned by the Heads of the departments. One reason
which could be thought for this downfall was less availability of schemes and weak brand awareness.

Addiction marketing team, as I was also a part of it designed some new schemes. We started with
Happy hours (11:00am-17:00pm) in which the charges were less. This scheme was basically to tap
the Ladies/females who were home makers. Their was a difference of rupees 1500 in happy hours
and regular hours.

Another scheme that was introduced was rupees 35/- per day for an annual gym. It came out to be
rupees 12775/- for a year.

A monthly scheme was also introduced in which the member could avail gym facility in just rupees
1999/-.

To increase the brand awareness of the company the marketing strategies adopted by the company
were:

 Direct marketing
 Telemarketing
 Couponing
 Corporate marketing (corporate tie ups)
 Co branding
 Door to door leaflet marketing
 Advertising in newspapers
 Direct mails.
MARKETING STRATEGIES – “ADDICTION”

DIRECT MARKETING

Direct marketing was a sub-discipline and type of marketing. There were two main definitional
characteristics which distinguished it from other types of marketing. The first was that it attempts to
send its messages directly to consumers, without the use of intervening media. This involved
commercial communication (direct mail, e-mail, telemarketing) with consumers or businesses,
usually unsolicited. The second characteristic was that it focused on driving a specific "call-to-
action." This aspect of direct marketing involved an emphasis on trackable, measurable positive (but
not negative) responses from consumers (known simply as "response" in the industry) regardless of
medium.

Direct marketing is attractive to many marketers, because in many cases its positive effect (but not
negative results) were measured directly. For example, we send out five thousand solicitations by
mail, and three thousand customers were tracked as having responded to the promotion, we could say
with some confidence that the campaign led directly to the responses. The number of recipients who
are offended by the junk mail/spam, however, were not easily measured.

CHANNELS

We also used media such as door hangers, package inserts, magazines, newspapers, radio,
television, email, internet banner ads, digital campaigns, billboards.

TELEMARKETING
The second most common form of direct marketing used was telemarketing in which we contacted
consumers by phone. By this process many of the consumers were informed about the different
schemes.
People interested could register on the phone also to avail the special schemes.
COUPONING
Coupons in newspapers and magazines cannot be considered direct marketing, since the marketer
incurs the cost of supporting a third-party medium (the newspaper or magazine); coupons were
designed specifying different schemes available for the month of July. Coupon were the most
effective way to increase the brand awareness and sales of the company

CORPORATE MARKETING
Addiction had corporate tie ups with Ienegizer, Rock man search group. We customized our
schemes for different branches and offered special discounts to the employees of both these
organizations.

CO BRANDING

To put in the words of inter-brand definition, "Co-branding is a form of co-operation, in which all
the participants' brand names are retained."

Co-branding as, "two or more well-known brands combined in an offer" like Addiction and Kazo
(the apparel brand) and each brand sponsors expect that the other brand name will strengthen the
brand preference or purchase intention and hope to reach a new audience.

Most companies have explored co-branding at one time or another. But few have realized its full
potential. While there are many forms of co-branding; before a company can decide which option
makes the most sense for its situation, it must fully explore four main types of co-branding.

DOOR TO DOOR LEAFLET MARKETING

Leaflet Distribution services were used extensively by the health industries, and many other business
focusing on a local catchment Business to consumer business model, similar to direct mail marketing,
this method is targeted purely by area.

DIRECT MAILS

The most common form of direct marketing is direct mails sometimes called junk mail, used by
advertisers who send paper mail to all postal customers in an area or to all customers on a list.
Any low-budget medium that can be used to deliver a communication to a customer can be employed
in direct marketing. Probably the most commonly used medium for direct marketing is mail, in which
marketing communications are sent to customers using the postal service. The term direct mail is
used in the direct marketing industry to refer to communication deliveries by the Post Office, which
may also be referred to as "junk mail" or "ad mail" or "crap mail" and may involve bulk mail.

INDUSTRY PROFILE

BUSINESS OF GOOD HEALTH

A modern day gym is a facility where you work out, meditate doing some yoga, feel good with some
aerobics exercise, and relax your senses with a day spa and then look good by grooming at the
saloon. Personal trainers get more and more pro•fessional and gyms make sure your follow the diet
prescribed by providing the meals at your doorstep! This industry combines luxury and exclusivity to
the experience of a fitness centre with a professional approach to help individuals develop to the best
of their needs.
Not many years ago a plump Sridevi or a flabby Rishi Kapoor were accepted as superstars by
their fans. Things have changed now and today, the badshaahs of the in dustry require six-pack abs
and the queens need lissome charms to woo their fans. A well-toned body is not merely a
requirement but an obsession. The craze among the Bollywood stars is only a reflection of the society
that is getting serious about battling the bulge. Encashing this trend are the modern gymnasiums
that are adopting a comprehensive approach to the health and well being of its members.
Gymnasiums have thrived for long in small apartments converted into exercise dens. However, with
popular international health chains entering the country and do•mestic players getting organized, this
new base of theirs is becoming a haven for the fit•ness freaks. Largely referred as 'fitness or health
centers’, these are no less than 10,000 sq ft in area and include a work out area, yoga studios,
aerobics studios, sauna and steam rooms, day spas, swimming pools, massage centres, food courts
serving holistic food and even DVD libraries ensur•ing relaxation and entertainment!
As per recent estimates, the fitness and wellness segment in India can be valued at Rs 2,500 crore.
The growing segment and increasing number of health conscious Indians is attracting global players.
For instance, Fitness First, UK's popular international chain of health dubs, recently made its debut in
India. Vikram Aditya Bhatia, the managing director of Fitness First India Private Ltd, describes the
facility as a large-format gym.
Apart from modern equipment and machines, members can avail free beverages and DVD library.
"The idea is to create a place other than the place to love and work. The comfortable ambience would
encourage people to spend quality time here," says Bhatia. The first center has come up in Gurgaon
and next will open soon in Connaught Place in New Delhi. It will be spread over 24,000 square feet.
The company plans to invest Rs 12-16 crore in each dub and Rs 200 crore over the next three years in
India. The center promises to provide five-star fitness at afford•able prices. The membership is
available at Rs 3000 per month ex•clusive of taxes. If one opts for a per•sonal trainer, Fitness First
offers a wide variety of packages ranging be•tween Rs 600 to Rs 1,500 per session. Another popular
international chain Gold Gym already has its presence in India. It offers the latest equipment and
services including group exercises, personal training, cardiovascular equipment, spinning and yoga,
while maintaining its core weight lifting tradition. Additional facilities include steam, luxury
massages and a juice bar.
The idea of complete fitness centre has attracted many entrepreneurs as well. Take for instance, the
two IIM Ahmedabad graduates Nikhil Vaswani and Rohit Shankar. Their brainchild Wellocity is a
‘wellness centre’ offering programs customized to your requirements. The USP of this centre is to
focus on “helping you implement the programs” essential for your fitness. Our extensive service lines
ensure that the requirements of your wellness programs are fulfilled and obstacles experienced in
your path to wellness are minimized.
It is well known that a healthy diet plays a significant role in keeping your body fit. Yet maintaining
that diet is the biggest obstacle given the modern hectic lifestyles and temptations of fast food. A side
from gymnasium that offers a customized workout package. Addiction offers an aerobic studio, a
yoga studio, a kickboxing center, a day spa and saloon. The centre takes care of providing the right
atmosphere to exercise. While live DJ creates lively ambience at the gymnasium, peppy music
provides an ideal setting for aerobics workouts.
A healthy mind is vital for attaining a healthy body. What better way to unwind your mind through
yoga or may be a relaxing massage.

THE RISE OF THE GYM THROUGH HISTORY

Many of us have gym membership or attend classes at a local gym on a frequent basis: in India, gyms
are a million industry, and it's estimated that 12% of the population regularly attend the gym.
But fifty years ago, gyms as we know them today just didn't exist.
Ancient Greece: The First Gyms

The word "gym" is a contraction of "gymnasium" - derived from the ancient Greek word gymnasion.
The ancient Greek gymnasiums were places where athletes trained for public games such as the
Olympics. Many had libraries (going a bit further than the traditional stack of magazines in modern
gyms...)

19th Century Gyms: Schools, Colleges, YMCA and Turners

After the ancient Greeks, gyms disappeared for centuries. Medieval and Renaissance life was
physically arduous enough, and ordinary people got all the exercise they needed working on the land
and carrying out chores.

By the 19th century, though, schools and colleges were building gymnasiums (and even today, the
word "gym" means "school gym class" to many people). The YMCA also built a number of gyms for
physical exercise and social sports and games.

During the mid 19th century, the Turnvereins (gymnastics unions) movement led to the founding of
Turners, German-American gymnastics clubs. These had a political as well as an athletic element.

1930s - Boxing Gyms

A form of gym known as the "boxing gym" began to appear in the 1930s, with the founding of Cus
D'Amanto's Gramercy Gym in Manhattan in 1939.These gyms were to train fighters and boxers - not
places for general exercise.

1960s and 1970s - Early Gym Chains

Gold's gym chain, still going to day, was founded by Joe Gold in 1965 in Venice, California, which
became a landmark for bodybuilders (despite the dirty state of its equipment). Joe Gold founded the
World Gym chain in 1977.
 1980s - Corporate Gyms

More and more gym chains were founded during the 1980s, including 24 Hour Fitness (1983) and
LA Fitness (1984).

Do you work in an office building with its own gym? The trend of corporate gyms began in the
1980s, too, as employers began to take on a greater responsibility for employee's health

Try This Today? If you work for a company without a gym, ask your boss about getting corporate
membership with a local chain - or get together with a bunch of colleagues and approach the gym
yourself.

1990s onwards - Mass Popularization

Today, lots of people are or have been gym members - people who would never call themselves
"bodybuilders", "fighters" or even especially sporty. New gym chains have sprung up over the past
couple of decades; Lifetime Fitness in 1990, Equinox Fitness in 1991, and Virgin Active in 1999.

Widespread celebrity gym-going has encouraged the boon in gym membership, and gyms look set to
be popular for decades to come.

Try This Today? If you've thought about joining a gym, or going to an exercise class, give it a go
(most gyms offer free trials). You don't have to be "sporty", fit or co-ordinated to enjoy modern
gyms.
MAJOR PLAYERS IN INDIAN HEALTH CLUB INDUSTRY

GOLD GYM

Gold’s Gym started in Venice California in 1965, and soon became the hotbed for the development
of training techniques, equipment and nutritional concepts that formed the foundation for the modern
fitness revolution. In 1975, Gold’s Gym received international attention when it was featured in the
major motion picture, ‘Pumping Iron’. It was thus effectively established as the ‘Mecca of
Bodybuilding’.

Today, Gold’s Gym has over 680 facilities. It is the largest international gym chain in the world
recognized for its passion, unique heritage, and experience as the final authority in fitness and
lifestyle.

The India chapter of Gold’s Gym started in 2002, when the first Gold’s Gym India branch was set up
at Nepean Sea Road, Mumbai. In the next few years this number grew, and today Gold’s Gym has
cut out for itself 18 gym facilities in various cities of the country in Mumbai - at Nepean Sea Road,
Bandra, Worli, Santacruz, Andheri, Chembur, Mulund and Vashi and outside Mumbai at Chennai,
Ahmedabad, Baroda, Surat, Bangalore, Pune, Noida, Ludhiana, Kolkata, Jaipur, Jalandhar and
outside India in Dhaka, Bangladesh.

Gold’s Gym India has slowly and steadily carved its name in the Indian market and built a
reputation to reckon with.

FITNESS FIRST

Fitness First Gym & Health Club started as a single health and fitness club in Bournemouth, UK in
1992.

Since then, it has grown quite a bit - we're now the largest gym, health and fitness club group in the
world with more than 1.5 million Fitness First members in over 550 clubs worldwide. In Asia Pacific
alone, we have over 140 clubs! But we still keep that Fitness First one-health club mentality - every
single Fitness First member counts.

It has a motto at Fitness First that sets us apart – Real People, Real Results. We're proud to say that
more people achieve their health and fitness goals with Fitness First than at any other fitness club!

As the fastest growing fitness chain club, it will continue to deliver on its promise of guaranteed
value and its aim is to help you achieve your fitness goals - a simple formula with a proven track
record of success!18 countries, over 500 clubs, 1.4 million members and growing worldwide.

POWERHOUSE GYM

Powerhouse gym India is brought to you by Q’s Fitness Studio. Q’s Fitness Studio was started in the
year 1999. It was in the year 2005 when Q’s Fitness Studio brought Powerhouse Gym to India.
Powerhouse Gym had a launch of its Indian operation on 26th November 2005 with state of art 6000
sq ft area facility at Concorde Co-op Housing Society, Ns Road No 10, Juhu.

Two existing braches running under Q’s Fitness Studio are now called Powerhouse Gym.
Powerhouse Gym India is a Ltd Company concern of Powerhouse Fitness Ltd, the chairperson,
Ashok Gupta who has a Master Franchisee for SAARC Countries (India, Nepal, Bhutan, Pakistan,
Bangladesh, Srilanka and Maldives).Powerhouse Gym India has state of art facilities, be it
equipments, technology and fitness programs that are required to get the desired results for the
members.

TALWALKAR’S

Established in 1932, Talwalkar’s Better Value Pvt Ltd (TBVF), commonly famous as Talwalkar’s, is
India's largest chain of health centres. It has 45 ultramodern branches across major cities in the
country, with 50,000 members.

Talwalkar’s' phenomenal growth can be attributed directly to the trust our customers have in us, and
the benefits they derive from our expert advice, personalized supervision, on-going facility upgrades,
result-oriented approach, and above all from Talwalkar’s' immense know-how and experience in this
field over 75 years of existence.

Talwalkar’s was founded by the late V.R.Talwalkar in 1932, as a single one-room facility in City
light, Mumbai. Son Madhukar Talwalkar’s gave the business a new direction by imparting a
scientific, disciplined and customer-friendly perspective to the fitness and health regimes offered at
the gyms. Today, Talwalkar’s gyms are perceived not as a meeting place for boisterous bodybuilders,
but as a health centre where customer health priorities are managed with sensitivity and care. The
user-friendly environs and world-class facilities make the Talwalkar’s' experience wholesome and
encouraging.

CELEBRITY FITNESS

Celebrity Fitness was founded by John Franklin in 2003, and commenced operations in February
2004 with the opening of Jakarta's groundbreaking EX club. The Celebrity Fitness name was chosen
for a reason: it is meant to convey each member can exercise as if they are a celebrity as the clubs are
2006170700014 ANKIT SINGH
designed with Hollywood and Beverly Hills' standards in mind, to pamper and give first quality
service to our members. Staying true to the entertainment ambiance, Celebrity Fitness' venues are
exclusive malls so that members can conveniently shop, dine-in and go to the cinema after working
out in the gym.

Celebrity Fitness pioneered the concept of combining a fitness center and entertainment ambiance in
Indonesia. Moreover, Celebrity Fitness contributes tremendously to the increased awareness of
health and fitness in its operating markets today. Celebrity's gym experience proved hugely popular,
prompting the group to expand its gym network in Jakarta and grow overseas (starting in 2005 with
the 1 Utama club in Kuala Lumpur). As the premier regional fitness center, Celebrity Fitness
constantly pushes to provide the best service to its members by tailoring programs and offerings for
our members' satisfaction.

In December 2007, Navis Capital Partners ("Navis") partnered with Celebrity Fitness. Navis will
bring its various resources to assist Celebrity Fitness to expand its product offering in its existing
markets, as well as internationally.

Celebrity Fitness is the fastest growing fitness company in Asia with 41,000 active members just in
Jakarta alone. The branches in Surabaya, Kuala Lumpur and Penang have been getting enthusiastic,
positive feedback from members. Celebrity Fitness enjoys its image as trendy destinations for the
vigorous, urban and cosmopolitan community and will continue to strive to provide the best fitness
experience possible. Celebrity Fitness launched India with the club at JMD Mall Gurgaon, and
expects to open more clubs in its existing markets in the near future.

ADDICTION VISION STATEMENT & BRAND POSITIONING

In the upcoming years Addiction will be the most admired brand in India:

 Loved by more customers

 Targeted by top talent
 Benchmarked by more business

“In a service industry like fitness, people live a brand 24X7. It’s all about experience
and for Addiction ‘Brand consumer experience’ says Director, Brijmohan Daga, MBS
group ltd.
That’s now, but when fitness industries began in India a decade ago, the brand was all about aspiration.
That’s understandable, an annual gym package costs about Rs 30000/- .

Naturally, the target customer was clearly defined: elite, up market professionals and entrepreneurs. “We
positioned Addiction as an aspirational and lifestyle brand, in a way that trivialized the price in the mind
of the consumer. It was pitched not merely as a health service, but as something that gave him a badge
value”

Addiction was on a power trip: logo was black, uppercase bold lettering, and the base line was
“experience the best moments of life”. From day one, it was decided that the brand should always
connote leadership- be it in services, innovations or offerings.

This was also a time when customers needed to be educated: interest levels were high, but customers
exposure to the fitness world was limited. Addiction took out full and half ads in newspapers,
answering queries like “how to keep fit?”, “how to reduce weight?”

In 2007, the rules of game changed. The focus now was on the endless possibilities of technology to
make life good and healthy and advertising became two pronged, a service driven that showcased
new offerings like the Spouse membership, students membership that showed an emotional
communication that showed younger people.

The following year Addiction adopted the “Discover a new you in YOU” positioning, which is
also the current tagline. Now, the emotional angle was predominant- and stark, black and white
imagery to stand out in what was becoming a highly commoditized, crowded market.

“Customer service would prove more critical, We were very clear that Addiction will be a service
led brand” says director.
 CONCLUSION
Being fit and exercising has an infinite amount of benefits to your health. It
will help you live longer. It will help you enjoy the happiness and the
sadness in life. It will keep your body strong and give a good impression of
your sense of self-worth to those around you.

As you get older, your body goes through a number of natural degenerative
musculoskeletal processes that can be countered with exercises to
invigorate your functionality, mobility, and overall health. Although it may be
more difficult to engage in the same sports and training regimens as were
possible in youthful days, there are many ways to keep fit. The bottom line
is that you are never too old to exercise.

Strength training, or weight-lifting (using either freeweights or machines

such as Nautilus), is beneficial to the strength of your entire
musculoskeletal system. The advantages of this type of exercise include
increased muscle mass and accelerated metabolism as well as the
maintenance of weight and blood sugar levels. Perhaps equally important
is its ability to aid in the prevention of osteoporosis.