Open fitness centers are seeing fewer COVID-19 cases, boding well for Planet Fitness
View above about Model Issue: Our Odds that Planet Fitness is One of a Few Alternatives for its Current Members
Research Category: TAM and Industry Trends for Planet Fitness, Inc.
Governor Andrew Cuomo says gyms and fitness centers that are allowed to be open are seeing fewer cases of COVID-19. The company Planet Fitness says their data proves that. The chain has over 650,000 members in New York State. Only 55 members have tested positive for the coronavirus since gyms re-opened in August. Company officials say fitness centers are a safe place to be during the pandemic. Planet Fitness says there is zero evidence that any of its members who tested positive for COVID-19 were infected at the gym.
Secular shift from midtier gym memberships to virtual fitness offerings leaves fewer brick-and-mortar alternatives for PLNT
View above about Model Issue: Our Odds that Planet Fitness is One of a Few Alternatives for its Current Members
If consumers combine Peloton’s at-home instruction with a low-cost gym membership, Planet Fitness could actually stand out, according to Golding. “Enter Planet Fitness—with its almost 2,100 stores and Black Card reciprocity, and with a 50% gym membership rate across Peloton subscribers as an example across in-home platforms, we think Planet Fitness is poised to become the de facto bricks-and-mortar gym for many looking to diversify their fitness offerings,” Golding wrote. “And of course, reciprocity comes by virtue of being open and well capitalized.” Pointing to industrywide struggles, Golding thinks Planet Fitness can benefit from consolidation.
Planet Fitness scores essential business classification in California, allowing them to reopen ahead of competitors
View above about Model Issue: Our Odds that Planet Fitness is One of a Few Alternatives for its Current Members
Planet Fitness undeniably got a massive win in Kern County, California. This county has begun to reopen businesses following shut down for the global pandemic, but gyms are yet to be allowed to open their doors. However it seems that the purple clad fitness chain was able to score the classification of being an essential business, allowing them to open their doors again before other gyms. This is a big win for Planet Fitness, who will using strict social distancing measures for their members, as well as the other safety guidelines needed to let people in to train. Apparently this was an effort that had been taking place for several months, with advocates pointing to the fact that there have been no issues with the other locations which have reopened in other locations in the United States. They believe that the standards they have put in place will be more strict than those that are even set up by government officials.