High-end gym chain Fit24 announced to stop business operations from October 5 due to “objective reasons of force majeure”.
Notifying members, Fit24 admitted that this decision caused “inconvenience” and affirmed that it is “doing our best to overcome the situation and return to service soon”.
Mr. Le Chi Trung, Director of Fit24, said the chain encountered difficulties in business because customers tightened spending on gym services in the face of difficult economic circumstances. At the same time, the brand faces fierce competition from new chains.
However, he said the system has not been completely closed. “I will work with shareholders to find the optimal solution to bring Fit24 back into operation as well as ensure members’ rights,” he added.
Pursuing a high-end model, Fit24 opened its first gym in District 7, Ho Chi Minh City in 2012. By 2022, the chain had 6 facilities in Ho Chi Minh City, then reduced to 5 before stopping operations. Not only does it provide a workout space with modern equipment, the chain also organizes many classes such as yoga, zumba, and kickboxing.
A Fit24 exercise class in 2022. Photo: Fanpage Fit24
Some practicing members said they have not received detailed information on how to handle upcoming benefits. Mr. Chi An, who owns a workout package until April 2025, said he only learned of the situation when Fit24 suddenly posted a notice to stop operations on the company’s fanpage. “My contract care worker didn’t know anything else and advised me to wait,” he said.
Fit24 temporarily suspending operations is a new signal that the gym market is facing many difficulties. Previously, another high-end gym chain, Getfit Gym & Yoga, also closed all branches from September 4 due to “force majeure reasons beyond their control”. By September 28, 2 of the 3 facilities reopened after shareholders injected more capital.
However, Mr. Nguyen Huu Phuc, Co-Founder, Member of the Board of Directors of Getfit Holdings – the owner of Getfit Gym & Yoga – admitted that the gym service industry is facing many challenges. “The economy is facing many difficulties and the gym industry is also affected,” he said.
According to survey by VnExpressin the past 2 years, most major gym brands have narrowed or not changed the number of clubs, partly showing that the market is slowing down. Not to mention, competition in the industry is increasingly fierce in terms of network, price and new forms.
In addition, with gyms shrinking in size and suddenly closing, the market is at risk of difficulties in doing business, due to facing psychological barriers when convincing members to part with money. Ms. Thanh Thanh, District 7, recently decided to hire a personal trainer (PT) to come to the gym at her apartment building to work out instead of going to large gym chains. “Spending tens of millions of dong on long-term training packages while big brands can suddenly announce their closure is too risky,” she said.
Mr. Chi An is also researching some new chain brands to continue practicing. However, this time, in addition to learning about the network coverage, quality of facilities and PT’s attitude, he said he was also interested in the business situation of the brands to reduce worries.