AI is changing many industries and sectors, from healthcare to finance. However, one industry that has not fully exploited the possibilities of AI is fitness. The fitness industry still depends heavily on human-led processes such as sales, service request management, marketing, finance, member communication, and retention-based activities. This restricts the scalability, accessibility and affordability of fitness services. A recent report by McKinsey & Company found that the GCC is ahead in the adoption of AI in at least one business function within organisations surveyed, surpassing North America in second place. I firmly believe this is due to a more progressive approach and a shared vision of the potential for AI; a lesson the global fitness industry can learn from.

Why are we so far behind?

The fitness industry is trailing in AI adoption due to four main factors:

1. Lack of vision and realisation from leadership on the value of AI: building strategy and dedicating resources.
2. Lack of the right skill set to use AI: Technical know-how, which can be bridged with domain knowledge.
3. Lack of the proper infrastructure to support AI: fragmented heterogeneous data and systems and lack of tools.
4. Lack of effective change management programmes to enable AI adoption: instilled values, HR support, and training.

At GymNation these are four factors we have ingrained in our digital strategy and organisational values to gain impact from AI.

But what are the use cases?

We should first realise that AI is not only about LLMs (large language models). In fact, 80% of the AI applications in business today are based on machine learning methods, rather than deep learning and transformers, which are used for generative AI.

The traditional techniques such as classification, regression, and clustering still have a significant impact when applied correctly. They can help manage risk, forecast, segmenting members for personalisation and determine the best timing and mode of communication with members. Then, when we consider generative AI, we open “Pandora’s box” of possibilities, such as hyper-personalised communication and smart automation. By combining these technologies, we can achieve a new paradigm of scalability in service efficiency, quality and effectiveness.

Where should the focus be?

AI significantly enhances business operations across various domains with its diverse applications. In the world of sales and marketing it streamlines lead generation, customises offers, and fine-tunes pricing strategies for optimal impact. It plays a crucial role in risk management by pinpointing and addressing potential threats like churn, fraud, and safety concerns. In research and development, AI accelerates innovation, facilitating quicker testing and more responsive feedback mechanisms. When it comes to strategy and finance, AI supports more informed decision-making, enhances forecasting, and streamlines budgeting processes. For product development, it enables the creation of engaging, effective solutions, including virtual coaching/programming and personalised experiences, enhancing user engagement. In service operations, AI automates and refines processes such as scheduling, ticketing, booking, and billing, leading to improved efficiency and customer service. Through these applications, AI drives efficiency, innovation, and enhanced customer experiences across the board.

To sum up, AI has tremendous potential and benefit for the fitness industry, which has not been fully exploited yet. By adopting a more forward-looking approach, like the GCC, operators in the fitness industry can use AI to enhance their products, processes, and results, and create a more satisfying and rewarding experience. Ultimately, they can improve their operations, lower costs, and increase revenues. A win-win if you ask me!

About Karl Foster

Karl is currently serving as the Chief Technology & Innovation Officer (CTIO) at GymNation. He began his career in the fitness industry 15 years ago on the ground as a personal trainer, laying a strong foundation for his future work. His career path took a technologically innovative turn, positioning him at the forefront of integrating data architecture, machine learning and artificial intelligence within the fitness sector. His expertise, initially honed in developing AI algorithmic systems for digital assets in the financial world, has evolved over six years into crafting advanced business intelligence and AI systems for the commercial fitness sector, driving impact on all operational areas but particularly retention, personalisation and customer service excellence.