Of the key trends in social media for 2011, digital curation will be an important one. Why ? Because over 70% of social media users only consume information. They don't share it. New technologies are making it easier for people to start to participate in curation, meaning they will be more apt to engage in editorializing and sharing content - an important step in the evolution of social media and its becoming completely mainstream.
What does this mean for fitness and wellness, and for the health club industry ? The likelihood that members or clients will increasingly share and engage in social media is directly tied to the idea of curation because the more people participate in social, not just consume, the more relevant the trend will be and the more impact it will have.
Growth, Consumer Misperceptions, Physician Referrals, Internet Driven Sales and Social Media.
Interestingly, there are a lot of similarities between Australia and the US. Watch the interview below and tell me, Bryan O'Rourke, what you think about the similarities between the two countries regarding the health club industry ?
BTW, if you are interested in physician referrals, which Justin mentions, check out www.carywing.com to learn more.
Its going to be a long week, but I'm not complaining I live for this stuff ! Having arrived late last night in San Francisco, I got a 6 mile run in before meeting up with my friend and partner Robert Dyer for breakfast (fun as always). It is rare we get to spend time alone uninterrupted . Our first meeting of the IHRSA 2011 show was with our strategic partner, Les Mills International (if you don't know by now fitmarc distributes Les Mills in 12 U.S. states to over 600 customers).
Arriving without his luggage that was misplaced by the airline and after visiting his son in Los Angeles, Les Mills founder Phillip Mills and I sat down for a chat about Les Mills, its future and our business relationship. He recently has a new 3 month old grand son, and is trying to recoup from the terrible earthquake in New Zealand, where he lives, which destroyed two of his Les Mills gyms.
My partner and fitmarc CEO Robert Dyer was, as always, animated and positive and the rest of the group including LMI's CFO, General Counsel and Marketing Brand Guru (see picture on left and yes I was the guy holding the camera) exchanged pleasant and frank views about how we could continue our great relationship and potentially expand our relationship. This, the beginning of a full week of discussions and meetings about the future of the fitness industry and where we might possibly have a role. There was considerable interest among Les Mills executives about the recent strategic advisory alliance our companies Fitmarc , Integerus and I have with Star Trac and its owner Michael Bruno. All was positive as our business is broadening its influence and relevance in the industry. I know Robert and I both, as well as our customers, partners, employees and stakeholders are delighted at the prospects. I'll be sharing more each day as the IHRSA 2011 30th anniversary unfolds.
My friend Michael Scudder Skyped me this am and asked if I had seen the news on Borders, who just filed for Chapter 11. His skype text said,
Good morning, Bryan! I assume you saw that Borders declared bankruptcy this morning. You called that shot a couple of years ago. Indications for the bricks-and-mortar fitness industry??
I wish I were that smart Michael. However, it is true that the head winds contributing to the book industry's reinvention, ala Borders, are also being faced by the Bricks and Mortar fitness industry.
THE key component of business model viability is this: can an organization consistently create and deliver something at a certain cost and sell it at a higher price ? This is a challenge for many industries and it is instructive to watch what is happening in the book store business today as the "middle men", the publishing and retail book store industries are getting squeezed. The entire book industry is starting to experience what every business is going to experience: tremendous upheaval as creators have more options to create and distribute goods and services. Thus alternative solutions to customer needs are reinventing markets and business models.
Geoffrey Fowler and Jeffrey Trachtenberg wrote a great WSJ article titled, "Vanity Press Goes Digital" , which dissect the shift occurring in book creation. Here is a excerpt:
But some publishers say that online self-publishing and the entry of newcomers such as Amazon into the market could mark a sea change in publishing.
"It's a threat to publishers' control over authors," said Richard Nash, former publisher of Soft Skull Press who recently launched Cursor Inc., a new publishing company. "It shows best-selling authors that there are alternatives—they can hire their own publicist, their own online marketing specialist, a freelance editor, and a distribution service."
In the fitness industry, as with many other industries, there are similarities to the book business. If you are skeptical of what I am saying realize history includes many examples. Long before there were iPads and Kindles were other disruptive technologies like the printing press and Guttenberg Bible. turned the world on its head. We are here again. I think the bricks and mortar fitness business will survive, but there will be increasing competition from alternative digital services and competitors who blend a combination of digital and personal delivery that create unique customer member experience.
So tell me, Bryan O'Rourke, what do you think ? Does the Border's Bankrtupcy relate to the health club industry ? Are changes in the business models for health clubs going to create opportunities and disruptions in the industry ?
Watch the interesting video below and thanks for your thoughts.
I've touched on bifurcation in the fitness facility business as a key trend. Budget models and niche experiential models are going to comprise most growth in the coming decade while anything in the middle will have a tough go. Further evidence of this bifurcation trend, in my opinion, is the concept Waybeyond. The first concept is opened in San Diego and its designed for children. Talk about a niche. but its pretty interesting. Check out the online tour . Brian Blacher is co-founder.
Tell me what do you think about Waybeyond ? Can a fitness concept that focuses on the kids niche thrive ?
Of the key trends in social media for 2011, digital curation will be an important one. Why ? Because over 70% of social media users only consume information. They don't share it. New technologies are making it easier for people to start to participate in curation, meaning they will be more apt to engage in editorializing and sharing content - an important step in the evolution of social media and its becoming completely mainstream.
