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Emerald Emerging Markets Case Studies

“Fit in” fitness point


Stuti Saxena,
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Stuti Saxena, (2018) "“Fit in” fitness point", Emerald Emerging Markets Case Studies, Vol. 8 Issue: 2, pp.1-19, https://
doi.org/10.1108/EEMCS-05-2013-0046
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“Fit in” fitness point
Stuti Saxena

I Stuti Saxena is Research


Assistant at the Indian
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Mukesh and Naina, owners of “Fit in” fitness point, were assessing the results of their recent Institute of Management,
customer-centric marketing initiatives, which were astounding. They, of course, were elated Ahmedabad, Ahmedabad,
at the individual weight and fat loss successes. Concurrently, the couple was also hoping India.
for some positive outcomes for their business. “Fit in” is based in Ahmedabad on the ninth
floor of a high-rise building, which happens to house a shopping mall, multiplex theatre and
several food joints. Beta-Gamma is one of the most prominent shopping malls located in
Vastrapur – a prominent locale in Ahmedabad. The shopping mall boasts of housing
famous food joints and apparel stores. There is a residential complex close by and an
internationally acclaimed hotel at a distance of some 100 feet from there. The multiplex
theatre has five screens and is being run on a franchisee basis by a leading multiplex
theatre chain.

Ahmedabad
Situated in the mid-western territorial bounds of India, the state of Gujarat houses its
commercially significant city, Ahmedabad[1]. Named after the local ruler, Ahmad Shah[2]
(1411-1442) of the Muzaffarid dynasty, Ahmedabad is known for its very rich cultural
heritage and Mahatma Gandhi’s association with the region, in particular. Ahmedabad is
also known for Vikram Sarabhai’s achievements as well as the successful “Gujarat-model
of economic development” in the country. The best management school in India – Indian
Institute of Management (IIM), Ahmedabad – vying for top position in the global B-School
ranking charts – is also located in Vastrapur locale of the city. There are numerous places
of tourist interest a few miles away from the main city. The city is unique in that there is an
amazing blend of the “old” and the “new” cultures. Post-independence, this blending has
tapered off a little; however, this cultural juxtaposition may be witnessed in the interior
quarters of the city. Commerce is a flourishing activity in the city and the city is
acknowledged for its commercial and trading successes. Also, with the ongoing drives for
globalization of economy, the business matrix has changed a lot. In the health-care sector,
for instance, niche segments have made a mark of their own.

Fitness and slimming industry


The nature of occupations, and, hence, the work, pursued by individuals has changed
dramatically. The family composition and associated dimensions (for instance, women Disclaimer. This case is written
solely for educational
entering the workforce; preference for nuclear families; families brewing with early “empty purposes and is not intended
nests” symptoms, etc.) have given rise to diverse life styles. Rising incomes and yearning to represent successful or
unsuccessful managerial
for a comfortable life has contributed to a sedentary life style and its concomitant health decision-making. The authors
ailments (obesity, diabetes, cardio-vascular problems, etc.). Thus, health consciousness is may have disguised names;
financial and other
being emphasized a lot these days to combat the ill-effects of such a sedentary life style. recognizable information to
“Health is wealth” – an oft-quoted aphorism is catching pace in the health-care industry. protect confidentiality.

DOI 10.1108/EEMCS-05-2013-0046 VOL. 8 NO. 2 2018, pp. 1-19, © Emerald Publishing Limited, ISSN 2045-0621 EMERALD EMERGING MARKETS CASE STUDIES PAGE 1
Therefore, fitness is assuming importance in the lives of the people. In fact, it is becoming
a status symbol with people flaunting their membership cards in social circles.
The Indian health-care industry, which comprises hospitals, medical infrastructure, medical
devices, clinical trials, outsourcing, telemedicine, health insurance and medical
equipment, is expected to reach US$160bn by 2017[3]. An important component of the
health-care industry is the fitness and slimming industry. The latter is said to be estimated
at Rs 60,000 crore (2012 figures)[4]. The fitness industry is currently pegged at US$0.78bn
and is stated to grow at a CAGR of 25 per cent to reach US$2.4bn by 2015[5]. The sector
comprises both products (equipments and medicines) as well as services (physical and
experiential exercises).
Local and branded players dominate the Ahmedabad market. For instance, there are a
number of international players which are occupying the competitive landscape. Likewise,
there are some family-run fitness centers which operate in a niche segment. A brief on the
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key market players operating in the Ahmedabad’s fitness industry and their marketing
strategies are provided in Table I. Gold’s Gym rests its forte in personal training,
physiotherapy and aerobics. Intensity Gym has a select location in Bopal (a locale in
Ahmedabad) and has been in specializing in weights and strength training, cardio and
functional training, zumba and aerobics besides diet and nutrition counseling. Black
Panthers Health Club provides services across weight-loss, body building, inch loss, figure
shaping, aerobics, etc. While some of the competitors are providing localized services in
select locations, others such as Talwalkers and Gold’s Gym have spread out themselves in
major locales of the city. They do offer attractive offers as well to win customers. For
instance, Vala’s Fitness Centre offers monthly (one month, three months, six months) and
yearly packages for subscribing services linked with gym, cardio, aerobic exercises.
Likewise, Parsana Wellness provides membership packages for three months, six months
and one year. A 24 ⫻ 7 Fitness centre provides premium membership offers by granting
privilege cards to its members.

Fit in
“Fit in” primarily caters to the weight and fat loss programmes. Apart from this, the centre
also offers gymnasium facilities for its regular clients. Mukesh and Naina are married and
are in mid-30s. “Fit in” is barely two years old and was kick-started with the support of the
couple’s meager savings. Earlier, the couple worked as physical instructors in a local
school. However, owing to the school’s permanent closure, the couple conceived the idea
of starting a business venture dedicated to the provision of fitness facilities. There were a
number of reasons why they picked this venture. For one, both were fitness freaks
themselves. Not a day would go by without some physical activity or other. They would go
for a walk and do some meditation at home. Should it be rainy outside, they would do
aerobics indoors. They had motivated some of their neighbors and close friends as well
and would invite them to do exercises together. Second, in those years, Ahmedabad was
in its initial stages of the learning curve as far as developing health consciousness was
concerned. The typical Gujarati cuisine is very oily, and most of the food items are fried in
vegetable fat. People are prone to health ailments – in particular, obesity. Obesity is a
cause of concern in India, and Gujarat ranks among the top-notch states in the obesity
charts[6]. The couple saw an opportunity in the health and fitness sector by providing
fitness solutions to combat the menace of obesity among the residents.
Initially, the fitness centre was housed in two rooms with a cover area of about 1,200 square
feet. Presently, the fitness centre has expanded to a cover area of 4,000 square feet. “Fit
in” is located at a strategic point in Vastrapur, being close to several residential colonies
around that area. In the start-up phase, the couple would personally design pamphlets and
distribute them in the neighbourhood. They would stick some of the advertisement bills on
the notice boards of the residential complexes. Or, they would make cold calls on some of

PAGE 2 EMERALD EMERGING MARKETS CASE STUDIES VOL. 8 NO. 2 2018


the prospective clients. They spread the word around among their ex-colleagues in their
previous organization as well, and their efforts rewarded themselves as well as they were
able to convince many people to join their fitness centre.

Fit in: in the now


The centre was running successfully all this while; however, the clientele was dropping
steadily. With its increasing membership, it was becoming unwieldy to render the same
kind of personal attention, which they could give earlier. Moreover, it was time-consuming
and cumbersome. Hence, a good number of “loyal” clients were dissociating themselves
from the fitness centre. At the same time, there was problem of motivating the existing
clients. The second problem was to increase the enrollment rates of members. Mukesh and
Naina were wondering if they could run the fitness centre profitably simply by offering less
of the advisory services and emphasizing more on the selling of their fitness packages/
“combos”. Further, would it pay off if they could continue with their existing model of hiring
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physical trainers and instructors on a contractual basis, instead of hiring costly employees?
Should the rendering of personal advisory services be delegated to these employees,
which were, hitherto, being provided by the couple themselves and were counted among
the fitness centre’s USP?
Whenever a new member would join “Fit in”, Mukesh and Naina would try to get to know the
client on an individual basis by providing personalized attention. They would administer a
personal training session to the client on the first day itself. A “Fit in” kit was given to the
client. This kit contained their “Fit in” identity card, diet diary, self-monitoring notepad,
measuring tape, calculator, pen and voucher plans. The diet diary would contain the
prescribed diet schedule for the week, which needed to be followed rigorously. The
self-monitoring notepad was meant to record the exercise schedule, daily weight and
“inch-loss” measurements, twice a day. For those preferring gym services, details
regarding the physical activity per hour and daily diet were scribbled in the notepad.
As soon as the client entered the premises of “Fit in”, he/she would be greeted with
appropriate salutations. The client would be introduced to other members as well. Thus,
there was an informal atmosphere at the centre. Both Mukesh and Naina would further
facilitate this welcoming gesture by conducting competitions among the clients themselves
by dividing the groups into pairs of two’s and three’s. Such camaraderie evolved quite
successfully and boosted the development of personal ties among the clients. In fact, the
fitness centre would appear more like a place to “hang-out” with their companions, rather
than being a place to “work-out”.
However, as the membership increased, achieving this socio-emotional building up of ties
was becoming difficult. Thus, Mukesh and Naina had to figure out how to ensure that while
all this social networking goes on, there is a concomitant increase in membership.
Therefore, they wondered if any change in the operating strategy was required. With
growing fitness and health consciousness among the people, it was important to project
their message to attract as many clients as possible.

Mukesh and Naina


Mukesh Kumar and Naina Patel were batch mates at a leading college based in North India
and specializing in physical education courses. After their studies, they decided to settle
down at Ahmedabad, where they were employed in a local middle school as “Physical
Trainers and Instructors (PTEs)”[7]. They had been working in this school for more than nine
years. There were 1,200 students and 26 faculty members in the school. As things were, a
sudden demise of the chief proprietor of the school, coupled with some internal family
squabbles, led to the premature closure of the school. In line with their specialization area,
Mukesh and Naina decided to start-up their own fitness centre in 2005. Their nine-year long
residence at Ahmedabad was enough to acquaint them with the city and its cultural fabric.

VOL. 8 NO. 2 2018 EMERALD EMERGING MARKETS CASE STUDIES PAGE 3


They were able to gauge the need for opening up a fitness centre in their area. They
realized that obesity in Ahmedabad folks – women, in particular – was becoming a common
spectacle owing to their sedentary life style. The food habits were highly distorted being
habituated to oily and fried cuisine without any concern for cutting down excess fat. Early
risk of diabetes and other ailments were taking a toll on their health. There was no place for
physical activity like jogging, walking or aerobics in their daily routine. People were overly
occupied with their day-to-day professional lives. Mukesh and Naina predicted that a
fitness centre would be able to pitch in the latent need of work-outs and physical activity to
ward off problems associated with being inactive in their lives. They wanted to drive home
the point that physical fitness is very important for their disease-free, happy and long life.
The couple believed that “Being fit boosts one’s morale and confidence; it adds spice to
one’s life; nurtures the mind; keeps stress-related problems at bay; improves emotional and
social well-being; activates the body cells; improves body metabolism; and tones up the
body. Thus, physical activity must be included in the daily routine of every individual”.
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The couple’s belief in staying fit and healthy is summed up in the tag-line used against the
“Fit in” centre’s name – “Keeping fit is our topmost priority!” (Exhibit 1) The logo was simple
enough. There were three slender cylindrical figures of three different colours arranged in
a unique manner. All figures were slender to underscore the key philosophy of “Fit in”, that
is, staying fit and being in shape. “Fit in” believes in environment-friendliness and hence the
colour green was used to depict the logo. Mukesh and Naina placed an emphasis upon
being vegetarians. As such, the alphabets of “Fit in” were coloured in blue to visualize blue
waters of the ocean, which would give tranquillity to the restless mind. Furthermore, the
logo was emblematic of the progress made in individual fitness by being associated with
“Fit in”. The underlying purpose of designing the logo of “Fit in” was to facilitate
camaraderie among the clients and promote a healthy life style among them.
Indeed, Mukesh and Naina were very successful in kick-starting the new venture. For one,
both were natives of Vastrapur area in Ahmedabad where the fitness centre was located,
and this helped them in winning the clients and convincing them easily. Their first client was
their neighbour living next door. Second, they had a large social circle owing to their
association with their previous employment in the school. The faculty of the school became
increasingly interested in the new venture of Mukesh and Naina – initially, for the sake of
“trying it out”, and, gradually, for becoming full-time members of the centre. By the third
month of their running the “Fit in”, 20 clients had come from the school. Incidentally, the
couple were also members of Buddhism (Soka Gakkai)[8]. Many of the members chanted
the “Daimoku” for curing their ailments. The members had a monthly meeting, where they
would retell their stories of “victory” in their personal lives. Being happy and leading a
happy life was very important for all – this was the underlying message in such meetings.
Thus, that monthly meeting was reserved for the members to share their successful life
experiences and how they had overcome their troubles by chanting prayers to the
Almighty. For instance, one of the members was a depression patient. She had been
hospitalized thrice for her treatment. Doctors had cautioned her that should there be any
further attack of depression, she would have serious complications. Her personal life was
fraught with many problems, and she would join the fellow members in chanting prayers.
Mukesh and Naina convinced her that physical activity and meditation would help her get
out of such recurrent depression bouts. Similarly, another member was suffering from
chronic diabetes. Being a successful technocrat, she was unable to take out time for
pursuing any physical activity. Naina made her realize that a “regular” “Fit in” package
would work best for her. Another member was overly obese. He had undergone liposuction
operations thrice, but his weight would refuse to settle down at a respectable figure.
Mukesh persuaded him to join their fitness centre and impressed upon him the benefits of
regular work-outs and aerobics. During one such meeting, Mukesh and Naina addressed
the members and recounted how they had lost their employment and were facing immense
trouble in making ends meet; how they decided to kick-start a fitness centre; and how they

PAGE 4 EMERALD EMERGING MARKETS CASE STUDIES VOL. 8 NO. 2 2018


convinced people to join the centre in the initial phases. They said that fitness leads to
intrinsic happiness and gives an individual the courage to face everyday challenges with
aplomb. They said that most of the diseases may be warded off by including an element of
physical activity in their life. Because leading a happy and healthy life was every member’s
motive, staying fit must be their priority. They urged the members to join their centre and
avail discounts. In this way, their Buddhist friends were impressed upon to adopt a healthy
life style. By May 2006, 53 Buddhist members were among the “regular” clients in their
fitness centre. To add to their advantage, it was intriguing to note that theirs was the only
fitness centre in that area. In fact, the next fitness centre, which was old and more popular,
was located at a distance of more than 17 miles. Cumulatively, these factors aided in
pushing forth the growth in membership of the centre.

II
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Philosophy
“Fit in” believes in social networking to let the clients enjoy their work-out regimen with zest.
With increasing friendships and healthy relationships, members will be motivated to
maintain and continue with their fitness schedule. The service delivery is based on mutual
understanding which is instantly initiated when a member joins the centre. The staff are
highly encouraging and supportive to the members. Mukesh and Naina handle most of the
advisory and training aspects without charging any extra costs.

Members
Currently, there are 120 members (as of October, 2007) who have enrolled themselves
under different plans. Most of the members are females with an average age of 32 years.
Most of the members were the friends of Mukesh and Naina, while other members hailed
from nearby residential areas. Being highly satisfied with the services, the members
provide ample referrals to “Fit in”. The members encourage their relatives to join “Fit in”,
and, get discounts in return.

Functionality
As mentioned earlier, “Fit in” caters to obese as well as regular health-conscious
customers. It is a self-sufficient fitness centre with well-maintained fitness equipment like
motorized treadmills, exercise bikes, elliptical trainers and strength equipment. There are
20 cubicles which are each 10 by 5 ft, with a “vibrations” machine each catering to body
toning, inch-loss and individual oil massaging. Each cubicle has a small couch with a
side-table on which the machine and other necessary articles are placed. There is separate
attire for the individuals who are being massaged and administered toning in these
cubicles. There is a helper who assists in making preliminary and wounding up
arrangements for the machine set-up. Separate staff administer the conduct of these
individualized services for men and women. There is a separate hall for conducting fitness
classes and member workouts. Men and women engage in workouts together. The staff
comprises contractual trainers and massagers: there are three cleaners, two security
guards, eight helpers and two receptionists. Till now, all the staff members have stayed with
the centre. Because the current employees were paid well, they were satisfied with their
work and did not express any grudges at all. There are no attrition issues at all. In fact, what
is lacking was manpower itself. “Fit in” is badly in need of more employees. However,
surprisingly, efforts are not being made by Mukesh and Naina in that direction. Their only
concern is maintenance of a solid customer base.
Mukesh and Naina design the diet chart and schedule for each client, which is revised
on a weekly basis depending upon the individual results. The diet chart ensures that a
balanced nutritive diet is given to the client every day (Exhibit 2).

VOL. 8 NO. 2 2018 EMERALD EMERGING MARKETS CASE STUDIES PAGE 5


“Fit in” also provides a day-care facility for children during the summer months (April to
June) at a fixed rate. The day-care facility is meant for children of 5-10 years age only.
Children can avail a 4-h or 8-h stay in the centre. There is a fixed intake of ten children at
a point in time. Only two female helpers (temporarily appointed for the three months at a
stipend of Rs 2,200 per month) are entrusted to monitor and take care of the kids. Children
are being offered games, toys, books and snacks. However, their day-care facility does not
evince much success (Table III).
The ambience of “Fit in” is amazing. Soft music wafts the air in the lobby section, which
continues to enchant you through the cubicles. Further, workout is conducted with different
genres of music.

Programmes
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The clients who have enrolled themselves exclusively for the weight-loss programme have
options from the following:
 Festival pack: Special discounts are being offered during the festival season.
 Family pack: Special discounts are being offered depending on the number of
members joining the centre from the same family. For referrals, there are further
discounts.
 Working women/men pack: Flexible schedules are being designed for the working
men/women as per their work timings and time-management.
 Morning pack: These sessions are for two hours each in the morning starting from
6:00 a.m. to noon. (6:00 a.m. to 8:00 a.m.; 8:00 a.m. to 10:00 a.m.; 10:00 a.m. to
12:00 p.m.)
 Afternoon pack: These sessions are for two hours each in the afternoon starting from
12:00 p.m. to 4:00 p.m. (12:00 p.m. to 2:00 p.m.; 2:00 p.m. to 4:00 p.m.)
 Evening pack: These sessions are for two hours each in the evening starting from
4:00 p.m. to 8:00 p.m. (4:00 p.m. to 6:00 p.m.; 6:00 p.m. to 8:00 p.m.)
Furthermore, each of these packs has the following categories:
 5 kg weight loss and inch loss programme (5-month programme).
 10 kg weight loss and inch loss programme (8-month programme).
 15 kg weight loss and inch loss programme (10-month programme).
 Exclusive diet programme (variable duration programme).
 Exclusive yoga programme (variable duration programme).
 Combo packs (variable duration programme).
As far as the “regular” clients are concerned, there are three categories:
 Body toning programme (variable duration programme).
 Body-building programme (variable duration programme).
 Exclusive yoga programme (variable duration programme).
 Combo packs (variable duration programme).
Further, the package may be modified depending upon the period for which a particular
member is interested in pursuing the programme. The rigour of the regimen depends
on the stage where one has joined the programme. For a new-comer, the schedule is
not so strenuous. However, as time passes by, the schedule begins to change.

PAGE 6 EMERALD EMERGING MARKETS CASE STUDIES VOL. 8 NO. 2 2018


There are two options as far as the day-care facility for children (aged 5-10 years) is
concerned:

1. 4 h duration: Rs 1,400/month.
2. 8 h duration: Rs 4,500/month.

Clientele
The fitness centre attracts people from all age groups. While the youth are attracted to
the fact that the centre offers gymnasium benefits and body-building activities, the
middle-aged have weight-loss in their wish-list. “Fit in” appears to have a magic wand
to cater to all these things. Some of the clients were advised by doctors to practice yoga
under a trained instructor and “Fit in” has the requisite training facilities for providing
yoga lessons. Therefore, light breathing and physical exercises are advised for such
clients. Then, there are boys and men who wish to have a body built like some of the
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film-stars and other celebrities. Or, there are some very obese women in their 40s
aiming to have body toning like models. Aspiration levels are very high, indeed. Some
of the clients suffer from ailments which entail prohibition of certain strenuous
exercises. Further, there are demands that the duration of the packages should be
reduced. Clients want quick solutions for their problems. It is difficult to convince them,
at times, that the benefits of regular exercises would show in due course of time.
Besides, there is a miniscule section of customers who are so emaciated that they want
weight-gain. “Fit in” is able to cater to this coterie of demands and manages its clients’
needs with commitment.

Pricing
“Fit in” charges a one-time initiation fee along with the stipulated membership fee,
depending upon the plan which they choose. The initiation fee includes the I-card charges,
one personal training-cum-monitoring session with body fat testing and nutritional
consultation. Further, should the client need additional personal training sessions, such
services are liable to be charged in addition. There are two categories for pricing: monthly
and package-wise. Pricing for all the offers ranges from 200 per month to 4,500 per
package. Discounts are being offered for festival packages and loyal customers (those
who are the clients of the fitness centre for more six months).

Promotion and marketing


The main marketing channels for “Fit in” consist of print-advertisements in the local
newspapers and word of mouth marketing. Mukesh and Naina have not yet made a robust
online presence in the sense that there is no website or networking on the internet. They are
so busy round-the-clock that this idea of launching a website has remained unimplemented
so far.
“Fit in” also conducts contests for the clients. One such contest was the “Bonus for Minus”,
where individual and team-based contests were held among the members to ascertain the
weight-loss and/or inch-loss. Depending upon the weight-loss, bonus points were awarded
to that team/individual. Further, gifts like T-shirts, electric irons, watches or cookware were
given away as prizes.

III
Moving forward
Mukesh and Naina are good at diet prescriptions and providing trained physical exercises.
However, they do not offer dietary supplements/tonics/health drinks or medicinal products,
which may bring about the desired results aspired by the customers. People claim that do
not have the time for visiting gym/fitness centers. They would rather have some capsules

VOL. 8 NO. 2 2018 EMERALD EMERGING MARKETS CASE STUDIES PAGE 7


or ointments to give one-stop solutions in a much shorter time. This was true in the case of
those customers who were emaciated and had joined “Fit in” for weight gain and body
toning. Some of them had already left the fitness centre and opted alternative therapies and
treatments. On the other hand are some conservatives, doubting the long-term effects of
these quick and expensive one-time solutions, who would prefer the arduous way of
exercising their way to fitness by following habits such as swimming, cycling to the office
or climbing stairs. The ability to convince the prospective customers, as well as the existing
ones, against taking the short-cut routes to fitness is a tough job. Because some of these
individuals/companies, advising “popping pills” for easy solutions for slim and toned body,
are claiming 100 per cent results, “Fit in” is grappling with the membership issues. Some
of the customers’ testimonials are as follows:
Said: “I have been a member of “Fit in” for the last ten months. I weighed 145 pounds when
I had joined the fitness centre. However, after availing a regular membership for these
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bygone months, I have lost 45 pounds. Thanks to Mukesh and Naina! They work very hard
on us. Flexible timings at the fitness centre help me in attending to my work and home as
well”.
Aflah: “I have been associated with “Fit in” for a little more than 3 months. I will stop availing
the services of the fitness centre this month. I had joined the fitness centre primarily for the
weight-gain purpose. However, my friends advise me that a homeopathic solution would
better solve my problem. There is a fool-proof guarantee for the effectiveness of the
medicine. However, I am afraid I do not have faith in the fitness solutions as far as long-term
effects are concerned”.
Al-hadhrami: “I am a hexagenarian now. I have been advised by my personal doctor to
opt for regular yoga and meditation. I shall be completing one month of association with
the fitness centre next week. I am afraid that all through this period of my association
with the “Fit in”, I have not been instructed to perform the traditional Yoga “mudra”. Most
of these postures are a modern aerobic legacy. I think I would prefer to join a nearby
Yoga centre where the experts- specializing in Yoga studies- instruct the attendees”.

Moreover
Despite the efforts of “Fit in” to provide best services to the customers, the membership
was tapering off. Investment and attention per member seemed to be declining over
time. Mukesh and Naina were thinking of alternative operating plans for ensuring that
their time be better managed, and their expertise in offering professional advice should
also proceed in an equitable manner. Till now, theirs was the lone fitness centre in the
area. At the same time, it was possible that new competitors would be grabbing the
nearby spaces, and this would be a major setback to “Fit in”. There are yoga centres
run by professionals. Some of the leading brands like VLCC and Talwalkars have plans
of capturing the Ahmedabad market[9]. Thus, retaining members was a big challenge
before the couple. Third, to ensure that their venture remains a success in the fitness
space, they were wondering about the manpower management issues. Fourth, there is
an internationally acclaimed hotel in the vicinity. “Fit in” should attempt to link up with
the hotel and offer its services there as well. Alternatively, the hotel guests may also visit
the centre for availing its services. Manpower may be shared with the hotel or additional
manpower may be recruited by Mukesh and Naina. Finally, it was curious to note that
among the clientele, not one was a child or an adolescent. Obesity among children and
Keywords: adolescents is increasing. But Mukesh and Naina did not target this segment for
Marketing, widening its customer base. Besides, depsite offering day-care facilities for kids; they
Fitness, did not convince their guardians to involve the latter in physical training. Surprisingly,
Customer relationship they did not convince the students studying in the previous employment; they only
management tapped the faculty members. Is “Fit in” losing out somewhere? (Tables I-IV)

PAGE 8 EMERALD EMERGING MARKETS CASE STUDIES VOL. 8 NO. 2 2018


Table I Key players in Ahmedabad’s fitness sector
Fitness joint Website Fitness programmes and services

Gold’s Gym www.goldsgymindia.com Strength training, Free-weight area, Personal training,


Spinning studio, Cardio, Group exercises/aerobics,
Massages; Physiotherapist; etc.
Intensity Gym http://intensitygym.in/index.html On-Floor (Cardio, Strength routines, Free Weight;
Zumba Classes, Kick Boxing Bags and Training,
Monkey Bar Functional Training and Circuit Training)
and Off-Floor (live DJ Panel, Physiotherapy, Diet
Counseling and Health RX) facilities
Symbo Gym www.symbogym.com/ Body building; Aerobics; Yoga/Power Yoga; Medical
counselling/Physiotherapy; Diet counselling; Personal
training; Toning; Floor exercises; Cardio; Strength
exercises
Liheave Fitness www.liheavefitness.com/ Home fitness (Treadmill; Bike; Home gym) &
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Commercial fitness (Cardio; Strength exercises)


Talwalkars http://talwalkars.net Gyms, Spas, Aerobics and Health counselling
Diyus Fitness Point www.diyusfitnesspoint.com Body building, Weight loss, Cardio, Aerobics;
Individual training
YFC www.yourfitnessclub.in Sports nutrition; Training
Neha’s Fitness Studio www.nehasfitnessstudio.com Fitness batches; Reebok certification course; HOT
MOMZ-Pregnancy and beyond; Body composition
analysis & diet counseling
Anytime Fitness www.anytimefitness.co.in/gyms/IN-1015/ Cardio; Strength exercises
gym-Ahmedabad-Gujarat-fitness-center
24⫻7 Fitness www.24x7fitness.in Personal training; Yoga; Physiotherapy; Aerobics; Diet
counseling
Parsana Wellness www.parsanawellness.com/ Diet consultation; Fitness consultation; Ayurvedic
consultation; Physiotherapy; Aerobics and Yoga
Wellocity www.wellocity.com/ Individual training and professional consulting
Vala’s Gym http://valasgym.in/ Aerobics; Cardio; Strength; Power lifting; Fitness;
Yoga
Anantaa Wellness http://anantaawellness.com/ Fitness studio; Diet; Spa; Cosmetology; Corporate
wellness
Ellysbridge www.ellisbridgegymkhana.com Aerobics; Steam; Sauna; Massage; Showers;
Gymkhana Acupressure; Healing; Yoga
Black Panthers http://blackpanthersgym.blogspot.in/ Weightloss; Body Building; Inch Loss; Figure Shaping;
Health Club Aerobics; Yoga; Kick Boxing; Karate; Diet Advice
Zeus Fitness Point http://fitnesspoint.in/ Strength exercises; Yoga; Cardio; Spa; Physiotherapy;
Diet and nutritional guidance

Table II Membership in the “Fit-in”


Year/Month April August December

2005 5 (2 regular) 34 (10 regular) 64 (34 regular)


2006 88 (57 regular) 123 (64 regular) 112 (60 regular)
2007 118 (55 regular) 97 (48 regular) Figures unavailable
Note: Regular: Customers who were members for 6 months or more

Table III Children in the day-care facility in the “Fit in”


April May June
Year/Month 4 h duration 8 h duration 4 h duration 8 h duration 4 h duration 8 h duration

2005 1 2 3 2 1 0
2006 0 0 2 1 0 0
2007 1 1 1 0 0 1

VOL. 8 NO. 2 2018 EMERALD EMERGING MARKETS CASE STUDIES PAGE 9


Table IV Profit and loss account statement (inclusive of day-care facility) (INR)
2005 (April) 2006 (April) 2007 (December)

Sales 10,500 88,276 1,23,000


Direct cost of sales 5,600 23,000 59,000
Other production expenses 0 0 0
Total cost of sales 5,600 23,000 59,000
Gross margin 4,900 65,276 64,000
Gross margin (%) 46.67 73.94 52.03
Expenses
Payroll 2,000 12,000 14,000
Sales and marketing and other expenses 150 100 175
Depreciation 100 100 100
Leased equipment 0 0 0
Utilities 2500 2500 2500
Insurance 2500 2500 2500
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Rent 0 0 0
Other 50 50 50
Total operating expenses 7300 17250 19325
Profit before interest and taxes ⫺2400 48026 44675
EBITDA ⫺2300 48126 44775
Interest expense 1200 1300 1450
Taxes incurred 1500 1600 1750

Notes
1. http://en.wikipedia.org/wiki/Ahmedabad (accessed 12 October, 2016).
2. http://en.wikipedia.org/wiki/Ahmed_Shah_of_Gujarat (accessed 12 October, 2016).
3. www.ibef.org/industry/healthcare-india.aspx (accessed 12 October, 2016).
4. www.business-standard.com/article/companies/indian-wellness-industry-to-touch-rs-1-lakh-
crore-by-2015-study-113080500653_1.html (accessed 12 October, 2016).
5. www.researchandmarkets.com/reports/2113983/fitness_and_slimming_industry_in_india_20111
5 (accessed 12 October 2016).
6. http://en.wikipedia.org/wiki/Obesity_in_India (accessed 12 October, 2016).
7. This is merely a designation for the staff members offering physical training and education to the
children.
8. http://bharatsokagakkai.org/ (accessed 12 October, 2016).
9. Both of them eventually did come up in Ahmedabad. VLCC has, for instance, two centres in
Ahmedabad. Talwalkars have three centres in Ahmedabad.

PAGE 10 EMERALD EMERGING MARKETS CASE STUDIES VOL. 8 NO. 2 2018


Exhibit 1.

Figure E1 Logo of Fit-in


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Exhibit 2.

Table EI Diet chart


Quantity of
Time Suggested meal intake (approx.)

6:00-6:30 AM Milk; Eggs; Oatmeal; Honey-Lime Juice; Lemon water; 150 ml (liquid);
Vegetable salad; Fruit juice; Fruits; Green/Cinnamon/ 75 gm (solid)
Black/Chamomile Tea
9:00-9:30 AM “Idli”a; Sprouts; Boiled lentils 75 gm
1:00-2:00 PM Brown bread; Brown rice; Meat; Fish; Eggs; Salad; 100 gm
Fruits; Vegetables
5:00-5:30 PM Fruit juice; Fruits; Light snacks; Tea 40 gm (solid);
100 ml (liquid)
7:30-8:30 PM “Idli”; Brown bread; Fish; Meat; Eggs; Salad; Fruits; 80 gm
Vegetables
Note: ahttp://en.wikipedia.org/wiki/Idli (accessed 13 October 2016)

Corresponding author
Stuti Saxena can be contacted at: stuti.razia@gmail.com

VOL. 8 NO. 2 2018 EMERALD EMERGING MARKETS CASE STUDIES PAGE 11

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