Gym Competitive Analysis

Direct competitors are other gyms that offer the same or very similar services to yours.

Indirect competitors are other options that customers have to workout that aren’t direct competitors. This includes fitness equipment that customers can purchase and use at home. It includes public recreation centers. It even might include customers who workout without any facilities (e.g., outdoor running).

While you want to mention indirect competitors to show you understand the competitive landscape, the majority of this section should focus on direct competition. These will be gymes with which you compete. Most likely, these will be gyms offering similar offerings to your gym and which are located close to your location.

For each such competitor, provide an overview of their businesses and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as:

• • What types of customers do they serve?

• • What services/products do they offer?

• • What is their pricing (premium, low, etc.)?

• • What are they good at?

• • What are their weaknesses?

With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to stand outside your competitors’ locations and ask customers as they leave what they like most and least about them.

The final part of your competitive analysis section is to document your areas of competitive advantage. For example:

• • Will you provide better facilities (equipment, cleanliness)?

• • Will you provide better services or services that your competitors don’t?

• • Will you make it easier or faster for customers to use your services (e.g., better location than competition)?

• • Will you provide better customer service?

• • Will you offer better pricing?

Think about ways you will outperform your competition and document them in this section of your plan.