Starting online gym and fitness gear rental marketplace will be a profitable business idea in Covid-19 or post Covid-19 world. Because the gyms and fitness centers are such places where physical contact is very difficult to avoid during the Covid-19 pandemic. Most of fitness gears constantly changes hands as people come and go to perform their workout. Keeping the equipment sanitized at all times is a challenging task for gym owners, that why renting or buying gym equipment from marketplace like aesfitness.com make sense. What is the best way to create a marketplace where multiple equipment owners or supplier list their fitness gears for rent like aesfitness.com?
As per Allied Market Research, the fitness equipment market size was valued at $11.5 billion in 2019 and is projected to reach $15.2 billion by 2027.
The COVID-19 outbreak has indeed shaken up the health and fitness industry in a way no one could have imagined a few years ago. The national lockdowns meant the gyms and fitness centers had to remain shut until the virus could be contained. This is an unprecedented crisis for a number of gyms around the world, but the situation has spurred businesses to adopt new ways to cater to their loyal clientele.
Gear rental is one way in which fitness centers are looking to serve their customers. This is a sensible approach as it allows gym enthusiasts with much-needed gear such as resistance bands, cycling bikes, weights, treadmill, dumbbells, and many more to continue their training at home without the risk of being exposed to the virus. The idea of gym equipment rental was popularized at the start of the pandemic by GymLend - a Sydney-based startup that invited local gyms in the region to list their equipment on rent. GymLend quickly shot to success and is now serving multiple cities across Australia.
This is clear evidence that the concept of a gym and fitness gear rental is both feasible and profitable.
Let’s take a look at Gym & Fitness Gear Rental Marketplace Business Model
An online fitness gear rental marketplace comprises a marketplace owner(admin), several gym gear owners(renter/vendors), and individual customers wanting to rent the said gear(rentees).
The rentees can look up listings on the platform based on their geographical location. They can select the gear they would like to rent. Once a gear rental request is placed, it needs to get approval from the gear owner. On approval, commission charges are transferred to the owner’s(Admin) account.
Rentees can select the shipping method that’s most convenient to them, viz. self pick-up or doorstep delivery while placing the request. Since gear safety remains a major concern, a safety deposit is usually maintained in the Admin’s account. This can be refunded back to the rentee upon a safe gear return.
Revenue generation model of a Fitness Gear Rental Platform
An online gym and fitness gear rental marketplace can generate revenue from multiple channels such as follows: -
Commission through every transaction
Advertising on the marketplace
Featured listing as an initial focus during peak hours
Subscription plan with a wide range of benefits such as free delivery, fixed discounts & much more
Key Players Dominating The Gym Equipment Rental Industry
In 2019, the fitness industry valued at nearly $100 billion globally. Some of the vital players that dominate the market globally are A.E.S. Fitness in New Jersey generating a handsome revenue of $1.5 million, FitDel in Texas earned $0.6 million profit, and HireFitness in the United Kingdom claimed a turnover of around $3 million.
How to Set-up a Gym & Fitness Gear Rental Marketplace?
Instead of building such a marketplace from scratch that would be an expensive and time-consuming process, I recommend going in for a white label turnkey solution such as Yo!Rent that can be deployed in a few days. It offers all the essential features to launch an online gym and fitness gear rental marketplace such as: -
Renting & Selling option.
Real-Time Stock availability.
Intuitive UX design.
Powerful Mobile Apps.
In-Built Analytics & Reporting.
If you have any queries regarding the information shared in this answer or need expert advice for setting up an online gym and fitness gear rental marketplace - https://www.fatbit.com/fab/guide-to-start-online-gym-fitness-equipment-rental-marketplace/, please feel free to connect with me.