How a fitness equipment manufacturer understood the attractiveness of the market and increased the sales by 10%
Background and Challenge
Client’s Background:
- The client is selling equipment and digital technologies for fitness, sport and health based in Cesena, Italy. Technogym has been Official Supplier to eight Olympic Games including the Tokyo 2020 games
- The company had a headcount of 2,300 employees as of 2020
Challenges Faced by Client:
- Challenges in Market Assessment: The client wanted to understand Potential in KSA fitness Equipment market and fitness services market with understanding detailed assessment on market size segment and profile of Gyms in KSA.
- Difficulties in assessing competition in the industry: The client also wanted to assess competition framework in the KSA market to understand positioning for each major player and their plans.
Fitness Equipment Industry at Glance:
- The progressive outlook of the government to launch women-centric fitness clubs to raise awareness of the importance of physical activity acted as a major catalyst for the surge in demand for fitness equipment in Saudi Arabia.
- Further, the launch and expansion of hotel projects such as Radisson and Hyatt by 2030, coupled with various government initiatives such as “Your Home, Your Gym” campaign is expected to contribute to the increased demand for fitness equipment in coming years which will induce the growth of the fitness equipment industry in the future.
Approach and Recommendations
Phase 1: Provided the study on fitness equipment market and ecosystem of players
- Ken collaborated with its client to curate a detailed market assessment and feasibility check of market size for Fitness equipment Industry in KSA.
- Ken Research’s Team also curated a list of major players operating in fitness equipment market across the country to build up a quality Ecosystem of the market.
- These discussions gave the client possible indication to get a know-how of the Fitness Services Industry in KSA.
Phase 2: Key Analysis of the market
- In the second phase of work Ken team has performed a detailed research on Fitness equipment market and identified a list of dealers/manufacturers and traders operating in the market
- Ken did a market assessment to help the client understand the potential of fitness equipment and fitness services market too, from the standpoint of end user demand
- This helped the client to get clarity on market space in KSA with eminent and noteworthy Primary Research by Ken Research in short span of time duration.
Phase 3: Competition analysis and white space identification
- After identifying and analyzing the market, ken also gave a competition analysis which covered parameters to understand the market better, which included; Fitness Equipment, Fitness Services, Operational and Financial Performance, Business Model, Revenues, Penetration Rate,, etc.
- Ken Research also provided info about White Space and Niche Existing in the Market, End User Analysis, Cardio Equipment and Strength Equipment, Future Outlook and Projections , Analyst Recommendations
- Ken has provided a clear road map to the client to understand the white space and gaps that exists in the demand.
Result and Conclusion
Identification of the right TAM
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The client has been able to successfully get holistic view for the fitness equipment Industry to the client with detailed assessment on market size and competition framework
Identify white spaces and gaps
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End user fitness center Survey conducted by the team was able to support the client to understand the white space and gaps that exists in the demand
Detailed landscape on competition
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Team has detailed landscape on competition across major competitors and cross compared them across multiple operational and financial parameters to understand penetration
Business Impact
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Achieved Incremental Growth of 10% in Sales
