The COVID-19 Pandemic has shed light on the importance of regular exercise and healthy habits for MENA population to be more physically active and has transitioned demand for virtual fitness classes and mental health options
October 2021
Ken Research as a knowledge
partner for upcoming event-Dubai Active is set to launch forward-looking
industry report on “Assessment for Impact of Health and Fitness Clubs
to MENA Economy – Outlook to 2025”. The report is prepared in
collaboration with IHRSA, the Global Health & Fitness Association and the
Global Health & Fitness Alliance (GHFA) to demonstrate to the World Health
Organization, OECD, UN Agencies, National Governments and other policy makers
and influencers around the World of the value of the Health & Fitness
Industry to the Health continuum including contributing to meeting the goals of
WHO’s Global Action Plan on Physical Activity (GAPPA)
MENA Fitness industry is
envisaged to grow @18-19% CAGR during 2020-2025 with boutique fitness centers
anticipated to showcase highest growth, rising from ~1,600 in 2020 to ~2,600 in
2025. Member penetration across fitness centers are likely to incline to 2.4%
as major organized gym chains are focusing towards expanding their services
into sub - urban areas.
Some of the
key findings covered in the research include:
- UAE fitness industry is expected to reach over
US$ 600 Mn by 2025, growing at a CAGR of 10.9% with member penetration in
offline fitness centers to increase to 6.3% by 2025.
- Online Health and Fitness Market in UAE is
expected to contribute US$36.5 Mn revenue in 2025, growing at a CAGR of
16.0%.
- Digital fitness app penetration in UAE to
increase to 15.9%in 2025 from 9.8% in 2020 due to the growing trend of
online fitness training and escalating emphasis on maintaining a healthy
lifestyle post pandemic.
Potential
Health Implications and Health Cost Reductions:
MENA total spending on health
accounts for around 5-6% GDP with UAE accounting for ~26.0% of the total
healthcare spend in the GCC. Assuming a significant percentage of the
population affected with lifestyle diseases goes to a fitness centre, the
estimated savings in direct health care costs from UAE’s fitness centres is
$9.8 Bn in a year. The largest component of this saving arises from the avoided
costs of cardiovascular disease, along with increase in workforce participation
and increase in workforce productivity 28.3% and 45% respectively.
Impact of
COVID 19: The forced closure of gyms in
MENA during COVID has had a massive impact on the fitness industry with more
than 20.0% of the industry employees laid off. However, it showcased resilience
and prospered with 8-10% increase in membership participating rate
for on-demand and livestream group classes along with 55.0% more fitness app
installations during the first half of 2020 compared to H1 of 2019.
Catalyzed by the pandemic,
consumer awareness of exercise has increased rapidly with more than 25.0%
population working out 3-5 hours per week in 2021 as compared to less than
15.0% in 2020. Home workouts are gaining traction and majority of
the population intend to make virtual classes a regular part of their routine,
even after studios reopen.
The research paper will provide
coverage on the direct and indirect economic impact on each Middle Eastern
country in fitness industry by providing a clear distinction between pre and
post COVID outlook in the sector. This report will also cover perspective on
fitness penetration in each country, challenges and opportunities, employment
generation by fitness industry along with assessment of socio economic impact
by fitness industry on health care costs, productivity and life expectancy.
We are looking forward for your
participation in Dubai Active, scheduled for 28th October to 30th
October, to unveil the research report on Assessment for Impact of
Health and Fitness Clubs to MENA Economy – Outlook to 2025. If you
wish to request for a copy for our publication, kindly contact us:
Related
Reports
Contact Us:-
Ken Research
Ankur Gupta, Head Marketing &
Communications
