Boutique
Insights

Market Players

Boutique Strains, Pains & Gains in 2024

In 2024, boutique fitness shifted away from hybrid models, back to more personalised, in-studio experiences. With some top-tier brands securing funding and stable revenue streams, weaker players struggled, even with good community models. More price sensitive consumers, who remain quite fickly in their loyalty to the majority of brands, have chosen other means of servicing their health and wellbeing – including a sizable number now using larger clubs or cheaper HVLP offerings. Boutique fitness franchising slowed quite considerably in 2024 with many modalities contracting, including spin, yoga and aqua bag boxing. The bright stars were strength and conditioning, and pilates boutiques who bucked the trend and are flourishing. In addition, wellness boutiques also experienced growth, albeit from a lower base, especially recovery concepts. Overall, boutique cost structures remain challenging, with high costs for talent and a ceiling on the revenue they can earn per unit. Boutiques will continue to feel increased competitive pressures in 2025, and we expect consolidation to happen as they seek economies of scale for greater profitability.

Sarah Luna

President,
XPONENTIAL Health & Wellness Brands

Boutique fitness has become the heartbeat of wellness culture—intimate, immersive, and personal. Yet, scale and intimacy can seem at odds. Our focus is proving they’re not. Success now hinges on blending consistency with authenticity, empowering franchisees with tools to thrive, and delivering exceptional member experiences no matter the platform. The boutique space is also uniquely positioned to benefit from global trends: shifting values around self-care, smarter use of real estate, and technology that removes barriers to engagement. The growth we’re seeing internationally tells a story of how deeply this resonates across cultures. It’s a thrilling time to be at the forefront of this space, defining how the world connects through wellness.

The boutique fitness market has been on the rise for the past several years. People increasingly seek personalized, community-focused fitness experiences that balance technology and human elements, and boutique fitness brands are uniquely situated to address this demand. At Orangetheory Fitness, for example, we innovate with personalization in mind, equipping our coaches and members with the tools and technology they need to customize in-studio experiences and outcomes. By offering various class formats, allowing members to target specific goals in strength and endurance, and providing best-in-class coaching, we’ve been able to meet consumers where they are and cultivate a loyal community that uplifts one another. As we look to 2025, we’re eager for more global expansion, so that we can help people live healthier lives and bring our science-backed, inclusive experience to even more communities.

Dave Long

Co-Founder and CEO
Orangetheory Fitness

Bryan Myers

President & CEO
[solidcore]

2024 was a banner year for boutique fitness here in the US! The year brought back some semblance of normalcy after several years of choppiness. [solidcore] is proud to have led the industry in one of the first major buyout transactions since the onset of pandemic within boutique fitness, partnering with L Catterton for our next phase of growth. But, importantly, we hope that our transaction is not just a success for us, but also serves as the catalyst for deeper investment by high quality partners to build upon the momentum that our industry has created and the incredible work that we all do. What I’m most proud of within our industry as I look ahead to 2025, is the work that we are all doing to continue to create differentiated products and amazing client experiences that we’re introducing to the market through responsible, measured growth that is resulting in businesses that I think will have longer-term, more durable success than we’ve ever seen in our space.

Most club owners I’ve talked to around the world say they’re still only back to 85-90% pre-covid membership levels. They’ve increased prices and cut costs to get back to profitability, but this is a trap. Customers notice the cost cuts and go looking for something better. Clubs that are investing exciting new workouts and products are getting great results. We also have a generational change with Gen Z, and with that new tastes and trends to be catered for. As always, under 30’s are by far our biggest new joiner group, and they will tend to come back to their first club over and over throughout their lives. New group workout trends are packing out classes in clubs worldwide. Don’t miss this huge opportunity!
Phillip Mills

Founder & Executive Director
Les Mills International