How to Open a Gym Business in 2024

With rising lifestyle health concerns due to dietary changes and a sedentary work culture, the people in the country are turning to fitness solutions as the only way to improve their overall well-being. The fitness industry is projected to hit $6.1 billion by 2024, and this is the perfect time to capitalise on this escalating trend by starting your own gym business. More than stashing your gym with the latest equipment alone is not going to give your customers an exceptional fitness experience, but focussing on a bit of planning and customised guidance and suggestions shall give you an idea of an ideal gym business. In this blog, we shall try to cover the step-by-step guide on how to open a gym in 2024.

You may have a couple of questions on how to start a gym business in India like:

• What is the first step to setting up your gym business?
• What will be the overall gym opening cost in India?
• How will you be pricing the membership fee, and how much will you pay your trainers?
• How will you market your gym business plan in India?
• Which brand of gym equipment will be cost-friendly and also serve the purpose?

Launching your own gym business in the fitness industry can be both exciting and rewarding. The key objective is helping others achieve their health goals. However, thorough market research, a strong business plan, and securing the right location and equipment are the keys to success. A step-by-step plan can be handy in deciding your gym’s unique selling proposition. It covers a few elements that are essential to setting up gym requirements.

A few steps on gym requirements are given above. Beyond this are a few more points to be decided upon for starting your gym business.  Learn How to start most profitable business in india.

Choose a Business Model 

The business model you choose can gauge how well your gym can do in the area you have set up. Depending on what you are willing to settle on, your business models can be: 

1. Membership Model
2. Pay as you go Model
3. Dynamic Pricing Model
4. Integrated Model. 

Membership Model - Customers pay a fixed monthly fee for regular access to the gym, ensuring a stable revenue stream. This model works best in areas where there is a high demand for gym services, providing steady income for the business. 

Benefits -
- Provides steady, predictable income.
- Ideal for areas with high demand.

Example -
Cost: Rs. 1,000/month
Break-even: 50 members for Rs. 50,000 expenses

Pay As You Go Model - This model is flexible and allows customers to pay per visit, thus making it appealing to new or irregular users who don’t want a long-term commitment. 

Benefits -
- Attracts new or irregular customers
- No long-term commitment required

Example -
Customers can purchase 10 visits for Rs. 1,000, offering them the convenience to pay as they use the services.

Dynamic Pricing Model - In this model, packages are based on specific fitness goals, such as weight loss or bodybuilding. Pricing is tailored to individual needs, making it highly attractive in affluent areas where clients may be willing to pay more for personalised fitness solutions.

Benefits -
-Tailored pricing for customer needs
- High potential in upscale localities

Integrated Model - An integrated pricing strategy combines multiple models to cater to a broader range of customers; this ensures flexibility, steady revenue, and personalised services. 

Benefits -
- Steady, predictable income from memberships
- Flexibility for irregular customers with pay-per-visit options
- Customised packages for specific fitness goals, appealing to higher-end clients

Example -
The gym can offer a Membership Model, where customers pay a monthly fee (Rs.1,000) for regular access. This provides predictable income and is ideal for areas with high demand, with break-even at 50 members covering Rs.50,000 in expenses. 

.Gym investment cost in India

Soon after deciding on the gym’s location, the next step involves arranging the required funds. Gym investment costs in India may be anywhere around Rs.10 lakhs to 25 lakhs. You can arrange for a business loan, as paying such a huge amount from one’s savings is not always possible. You can research how much it costs to open a gym before applying for a business loan. 

You can explore the following finance options that have the financial breakdown and tips for budget management:

Conclusion

India is set to make it big in the fitness industry, with more and more people prioritising their health over everything. The profitability of a gym depends largely on its location, quality equipment, skilled trainers, and a sound business model. A person with prior experience in the fitness industry or a beginner looking into the gym business can earn well in this rewarding venture. One can tap into the growing demand for fitness services and establish a profitable gym business today.
 

FAQs

Q1. What is the minimum area required for a gym?

Ans. Experts advise planning 36 square feet per member and 45-75 square feet per piece of equipment, so you will need at least 1,000 square feet to open a basic gym. Divide the space into different zones, for example, cardio equipment in one area, strength training in another, and the remaining rooms for specialised classes.

Q2. How much does gym equipment cost in India?

Ans. The cost of gym equipment in India depends on the quality and brand of products you choose. While modern gear can easily cost lakhs, old school or even second-hand pieces will be cheaper. Gym equipment, including cardio machines, costs around Rs. 2 to 3 lakhs in India.

Q3. What facilities are available at the gym?

Ans. A basic gym must have the following facilities:

• Yoga space.
• Charging station.
• Changing room.
• Complimentary toiletries.
• Accessibility for customers with disabilities.
• Group exercise.
• Locker space.
• Lounge area.

Q4. What is a gym plan?

Ans. This is usually a written record of your fitness routine. A plan like this includes the types of exercises you need to do and how long you need to do them. This plan helps you maintain a consistent routine, so you can achieve your fitness goals. It gives you an organised structure of how your exercise should go