EPL side Newcastle Owner Mike Ashley promised to “revolutionise” the fitness industry by launching club membership of £5 ($8) a month at his new chain of
Sports Direct gyms, according to Roger Blitz of the FINANCIAL TIMES. The retail entrepreneur "will open a purpose-built gym in Merseyside next month, the first of a planned 200-gym portfolio." Users will be required to pay a £10 ($15) joining fee "and sign up for a minimum 12-month contract." His bargain-basement offer "threatens to disrupt yet further an industry already being reshaped by the entry of low-cost operators." Budget gyms "are taking an increasingly bigger slice of the market, forcing mid-market operators to trade upwards or refinance." Fitness First spent £50M ($80M) on rebranding, while in February, the Bannatyne Group, the U.K.’s largest independently owned health club operator, completed a £92M ($146M) sale and leaseback deal to reduce debt. Sports Direct said in a statement, “This will be affordable fitness on an unprecedented scale. It will revolutionise the market by making private gym membership a realistic lifestyle choice for millions of people" (
FT, 11/11).