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Tough Mudder Exceeds Expectations For Fitness Clubs

Obstacle course race participation has experienced more modest growth compared to earlier this decadeGETTY IMAGES

Tough Mudder has sold 30 franchises of its new boutique fitness clubs around the U.S. since launching sales just over one year ago, far eclipsing its initial target of 10 in the first 12 months. Execs on Saturday will celebrate the opening of the “flagship” location in Burlington, Mass., owned by former investor and fitness trainer Henry Pott. It is the quintessential location for the Tough Mudder bootcamps, which Founder & CEO Will Dean has said are best-suited for suburban locales and markets outside of L.A. and N.Y., where the fitness scene is saturated. Other markets with sold studios include Houston, Florida, Las Vegas, the S.F. Bay Area and Minnesota. With participation in Tough Mudder’s intense 10-12 mile obstacle course racing experiencing more modest growth compared to the industry’s heyday earlier this decade, Tough Mudder has sought in recent years to expand its merchandising, sponsorship and media business. The bootcamps franchises, which sell for $50,000, are intended to be both fitness centers, brand extensions and retail sales centers. “Apple stores help sell products, but they also help educate the consumer on what the Apple products are, and how they can be used,” Dean said. "The idea is that the gyms become a sales channel for Tough Mudder tickets." Dean said he expects at least 10 facilities to be open by the close of this year; its target is 100 franchises sold by then. All told, Tough Mudder said franchisees will spend between $200,000-300,000 to open their doors.

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