week 4 t

Business Model and Strategic Plan Part I: Conceptualizing a New Product or Service Division of an Existing Business

John Herbert-Doing

BUS/475

October 9th 2017

Linda McKee

The creation of new business methods are very important for any business that expects to keep their business and products popular must have a clear mission, unique creativity and values will be very successful. Anytime Fitness is a company that works solely around the their clients personal needs which is setting a unique business model that is fitting to their goals of being able to reach out to those expecting to better themselves at an affordable rate. This paper will present and explain the new changes to the current business model and the new field of personalized on-line training at Anytime Fitness.

New Product or Service

The newest service that the Anytime Fitness brand will be offering to their clients is the ability to conduct training online on their own time. This is very useful for those that cannot make it to a gym or location other than work or home. This allows new methods of change for those who are suffering from obesity, medical issues or are just interested in getting healthier. This program will outline a regimented online training program that includes a virtual train, measurements of vitals and daily log book entries to assist the clients to meet the needs of their clients. Additionally, this will lead to a new forum where all online trainees can express their goals and accomplishments with others that encourage others to continue to reach their goals.

Mission Statement

At Anytime Fitness, the main objective is to give people the opportunity in the most affordable way to reach their personal fitness goals. Our mission is to motivate those who are driven to change and provide different avenues that one may take during their time in the program and to have the ability to exercise anywhere with the assistance of the internet.

Product or Service Differential

Anytime Fitness utilizes numerous tools like a weekly training matrix, weekly dieting tips, blogs and other logs to help those in the program. This is very important to the world based off the changes in technology that are taking place every single day. This program will offer services unlike a gym or other trainers because they have the set regiment and do not put the client in control of their own training plan. This tool can help decide exactly which exercises the client wants to complete set on their individual goals and that the programs artificial intelligence assists in the motivation and daily reminders to utilize all the tools that were previously mentioned inside the new product description. Another added benefit is that each person can adjust the intensity and levels of the training programs with tips from the virtual trainers input. The safety features that are associated with this training program are proven to keep the levels and intensity levels moderate to prevent a medical emergency.

Customer Needs and Competitive Advantages

In the world we live in today, everyone is constantly on the go but we all find time to get onto the internet or social media at some point during the day. Years ago it was not uncommon for people to have only one job, but today you will see people that are work numerous jobs to make it in the world we live in today. People have less time to get the extra things that are wanted or needed to get done in their lives that help them maintain a healthy lifestyle which the world today is also to blame with all the fast food and unhealthy food choices that are easily made. Science has proven that someone who wants to stay healthy should exercise, however people are still having a hard time fitting their workouts into their busy lives. This is where the online training program and trainers can be life changing for those who are trying to make the changes to live a healthy life. It is well known that most people that have never worked out in a gym can find it intimidating and get the feel of being out of place. Having the benefit of working out in your own home where the client is comfortable makes it easier to concentrate on their specific goals.

The program that is unlike anything else in the fitness market is truly hard to duplicate. The ability to have an open field advantage on the competition makes this program a potential for higher profit gains for the company and gives those new methods to reaching their goals. The competitive edge that Anytime Fitness has on this market, gives everyone involved the ability to workout at home, which helps lower the costs to the client not having to get “dressed up” for the gym and seeing a virtual trainer via their smart device or computer. The clients that continue to do their workouts at the gym can use this program to help them maintain their fitness in the event that they cannot make it to the gym that day. This would coincide with the 24/7 gyms that are opening but would give Anytime Fitness the advantage.

Vision

The outlook or vision for this online training tool is to motivate people to pursue a healthy lifestyle by giving the public alternative ways to accomplish their goals without interfering with their daily lives. The virtual trainer’s main objective is to give the client the tools to be successful at their regimented program and to provide this service in their own home where most people feel comfortable. It was shown in studies among those who travel to a gym, uses energy just sitting in traffic or waiting for public transportation to get to and from the gym. Parents can now enjoy a family workout at home and not worry about finding babysitters or exercising separately from their significant others.

Business Model

Business

Anytime Fitness’ gyms are open 24 hours a day and give clients access to products and services that is friendly, affordable and mostly fun.

New Division Idea

The newest product will be an interactive personal training online program that allows clients get their workouts done at home that are given the chance to get to the gym during regular hours or just out of convenience.

Customers

The target audiences are both men and women of all ages that have busy lifestyles that are able to complete workouts in the comfort of their own home. This would be a fine tool for parents and those who cannot afford the costs of personal training at a gym.

Market

There are many programs on the internet that provide a similar service but do not reach the levels of this program. These older programs are not setup for each individual but for a group of people that the producers think their goals “should” be. This takes away from personalization which gives our program the competitive edge.

Product/Service

Other companies like Optimum Body, but they do not have the new features that the virtual training service provides (don’t have to clean the room or get dressed up). The clients exercise program is designed by your own individual health and goals, which is monitored by the provided heart monitor and other safety features.

Valuation

Optimum Body programs range from $70 to $129 depending on duration of the program, but Optimum is an online-based company, which limits them in innovating prices ("Optimum Body, Llc", 2015).  Anytime Fitness currently has established locations in North and South America and Canada that gives the company the ability to curve its prices and provide client more flexibility and options. It is expected that Anytime Fitness will charge anywhere from $35-$40 for the program and will include a discount for those that choose to add on a membership at the gym as well rather than just at home. This is giving our client numerous options to stay on top of their goals. The expected clientele is the businessmen and women, middle class workers and those who are unable to get to outside locations for training.

Financial Analysis

There is required equipment that is required for this program; the smart watch/wristband, software and digital scale; leaves the estimated needed investment of 10 million.

Marketing Plan

The analysis of this market was conducted, about the new information that is associated with the new division, the methods of completion and expectations of the customers were properly analyzed and researched. The information that was discovered during the research showed that services on websites are full of consumers that are looking to find new information and are targeted from social media sites.

Competition

The main competition for Anytime Fitness is Optimum Body, which is not a company or organization that has a lot in common with the programs that Anytime Fitness is producing for their clients with exceptions to some of the programs that show very small similarities to the exercising programs. Unlike Anytime Fitness, Optimum use real life trainers and does not offer the virtual characters or artificial intelligence. The artificial intelligence works with the client and guides them through the program rather than force the regiment on them like the Optimum Body program. The technology is much different because of the fact that our product is gaining real time data that helps the program evolve around the individual.

Risk

Anytime Fitness will face both reward and risks with this situation due to the fact that there is a high level of money that is required to bring this program to life and there is no set guarantee that we can give the consumers because results will vary from person to person. In the event that the program is successful and members stop utilizing the in person facilities that will be a loss in profits and costs for these locations would go up to maintain and advertise.

Mission and Vision Alignment

Anytime Fitness Mission is to help members achieve their wellness goals, open affordable, welcoming, and conveniently-locations in new neighborhoods, and help franchise owners achieve a balanced lifestyle while still owning a thriving business (Anytime Fitness, 2015). The company wants to keep with traditional values that bring in the new online training if it is closely aligned with the company’s mission statement staying accessible to everyone.

Summary of Vision, Mission, and Values

The mission, vision and values have been thoroughly thought out and strategically integrated with the development of the virtual online personal training programs. The success and the overall satisfaction of the consumers is the main focus of the vision to help them complete their goals.

Guiding Principles and Values

The divisions’ principles have been referred to more than one in this paper due to the fact the principles and the values are taken from the company’s mission statement and have the same ideology. These principles are affordable, fun and convenient. The consumers will receive a schedule and training matrix that will both be affordable and exciting to new clients.

Conclusion

It is very important that every business have a mission statement that it sticks to and outlines the vision, mission and values to help make a viable model to follow to make this business successful.

References

Anytime Fitness. (2015). Retrieved from http://anytimefitness.com/

Optimum Body, LLC. (2015). Retrieved from http://www.optimumbody.com/virtual-on-line-personal-training-programs/