This document discusses how technology is impacting the fitness industry. It notes that 5 megatrends - globalism, demographics, technologies, economics, and sustainability - are converging and driving change. The health and education industries have been most impacted. COVID-19 accelerated existing technology trends. Big tech companies like Apple are moving into health and see it as a major business opportunity. Technologies provide both opportunities and challenges for gyms and fitness businesses. To succeed, businesses need to focus on excellent user experiences, sustainable business models, and effective execution through technology.

1. The Impact Of Technology On Fitness
@BryanKORourke October 2020 ARMAH SPORTS COMPANY KSA

3. @bryankorourke
bryankorourke@gmail.com

4. “ODAVAD”
“HYBRIDIZATION”
On Demand Anywhere Virtual Anytime Digital Fitness
http://bit.ly/BKO2030
Big Tech’s Impact

5. CONVERGENCE OF 5 MEGATRENDS
DRIVING INDUSTRY CHANGE NARRATIVE
An interconnected
multi-cultural world.
Changing
demography with an
aging population.
Increasingly
empowered and
knowledgable buyers.
Always on and
connected with more
intelligence.
Sustainability and the
fourth industrial
revolution.
ConsumersGlobalism Demographics Technologies Economics

6. TREND NARRATIVE - CONVERGENCE

7. Health & Education Industries Most Impacted

8. COVID19 Accelerated Trends
Convergences Already There

9. O P P O R T U N I T Y & C H A L L E N G E S

10. A DIFFERENT FUTURE
INDUSTRY

11. 2007
ALWAYS ON
BIG TECH
IT ALL REALLY
STARTED WITH
THE MOBILE
INTERNET

12. 2020 BIG TECH ACCESS EVERYWHERE

13. @bryankorourke 2019 13
BIG TECH ABOUT TO CHANGE AGAIN
ALWAY ON CHEAPER AND FASTER

16. KSA 48%

17. KSA 31%

18. KSA 60%

19. KSA 92%

20. KSA 3:05

22. KSA 64%

24. KSA 72%

25. KSA 62%

26. KSA 20%

28. How People Buy Things Has
Changed A LOT

29. WORK TRENDS PRE-COVID

33. KSA MARKET
1,280 CLUBS
1.2M MEMBERS
$1B US DOLLARS

34. OVER 1.2B FITNESS APP USERS
GLOBALLY DOUBLE DIGIT GROWTH

35. AT HOME AND ON THE GO FITNESS

36. NOOM HAS 50M USERS
NOT JUST FITNESS NEW TYPES OF APPS

37. CALM 2M USERS $150M REVENUE
NOT JUST FITNESS NEW TYPES OF APPS

38. TECHNOLOGIES HAVE BEEN HARMFUL
TO OUR HEALTH - BACKLASH

39. KSA 66%

40. KSA 52%

41. The newly released 2019 Edelman Trust Barometer reveals that trust has changed
profoundly in the past year, with “my employer” emerging as the most trusted
institution. Globally, “my employer” (75 percent) is significantly more trusted than
NGOs (57 percent), business (56 percent), government (48 percent) and media (47
percent).

43. MOST TRUSTED BRANDS TECHNOLOGY
https://www.visualcapitalist.com/the-most-loved-brands/

44. What Is Your Gym Business Becoming ?
How Should You Think About It ?
TECH VISION

45. Industry Drivers

46. Current Industry State &
What Industry Exactly ?

48. Environment For Capital - M&A Strong

49. TECH ASSET BUBBLE

50. $50B VALUATION
TECH ASSET BUBBLE

51. $18.5 Billion Valuation 2 Million Users
Underlying Economics Don’t Justify Value

52. $150M MapMyFitness 2013
$85M Endomondo $475M MyFitnessPal 2015
Never Made A Nickel

53. NO LONGER A GROWTH STOCK
VALUE $4.5 Billion

54. CONSOLIDATORS

55. Digital Fitness Has
Little Impact On
Gym Usage
10%

56. Top Brands Going Vertical
Owning The Member & Hybrids

57. More Global Industry

58. NEW DIFFERENTIATED MODELS
ADDING GROWTH
BUT STILL OVER PAYING

59. FITNESS PART OF A LARGER MARKETPLACE
competing for share of wallet
http://bit.ly/wellnessreport2018

60. NEW ALTERNATIVE
WELLBEING EXPERIENCES

61. FITNESS & WELLBEING ARE BEING
DELIVERED VIA MANY NEW CHANNELS

62. OPPORTUNITIES & THREATS
DIGITAL GROWTH | HUMAN VALUE
LARGEST GYM CHAIN IS NOW
INSTAGRAM

63. Hyper - Personalized
ALTERNATIVE AND NEW DIGITAL FITNESS
AND HEALTH EXPERIENCES

64. “We’re extremely interested in this area
(health care). And, yes, it is a business
opportunity. If you look at it, medical
health activity is the largest or second-
largest component of the economy,
depending on which country in the
world you’re dealing with.”
Tim Cook
Fortune Magazine Interview
September 2017

65. Apple Access To
Cheap Capital
Needs Continued Growth

69. Health is Apple’s next big arena
www.bryankorourke.com @bryankorourke
devices = data
= personalization
= services

73. "If you zoom out into the future, and
you look back, and you ask the
question, 'What was Apple's greatest
contribution to mankind?' It will be
about health.”
Tim Cook
Jim Cramer Interview
January 2019

74. Gangster Move Of 21st Century
Apple First Store 2001
Now Over 500 Stores in 25 Countries

75. MOST
TRUSTED
BRANDS ARE
TECHNOLOGY
BASED
https://www.visualcapitalist.com/the-most-loved-brands/

76. MOST
TRUSTED
BRANDS ARE
TECHNOLOGY
BASED

77. Global Smartwatch Market Revenue
up 20% in H1 2020, Led by Apple

79. “ODAVAD” “HYBRIDIZATION” TABLE STAKES

80. Apple Wants To Be In Health

81. Singapore Government Initiative

82. Not The End
Apple EcoSystem Expanding

83. Strategies To Excel

84. ECONOMIC PRESSURES OF DIGITIZATION

85. THE IOT
THE INTERNET OF EVERYTHING

87. FACIAL RECOGNITION

88. VR OCCULUS QUEST 2

89. AUGMENTED & VIRTUAL REALITY

90. PAYMENT SYSTEMS A BIG DEAL

91. HYPER PERSONAL VOICE INTERFACE

92. VALUE WHAT IS HUMAN - SPORTS

93. VALUE WHAT IS HUMAN - GROUP FITNESS
VALUE WHAT IS HUMAN - EVENTS

94. VALUE WHAT IS HUMAN - GROUP FITNESS

95. VALUE WHAT IS HUMAN - COACHING

96. OPPORTUNITY
DIFFERENTIATE YOUR
OFFERINGS

97. OPPORTUNITY
MAKE YOUR EXPERIENCE
100% EASIER
CONVENIENCE IS THE
NEW CURRENCY

98. “FRICTIONLESS USER EXPERIENCES :
DIGITAL CONVENIENCE” -

99. IN CLUB TECH & OMNI-CHANNEL
GAMIFICATION

100. IMMERSIVE SCREEN EXPERIENCES
NEW ERA OF DESIGN

101. HIGH TECH HIGH TOUCH
DIGITAL CONVENIENCE

102. 01 02 03
ASSESSMENT
WHERE IS YOUR
BUSINESS REALLY
TODAY ?
MINDSET
HOW DO YOU SEE THE
WORLD ?
USER X
ARE YOU ALIGNED TO
THE 4 PILLARS OF
EXCEPTIONAL UX ?
04
ECONOMICS
DO YOU HAVE A
SUSTAINABLE BUSINESS
MODEL ?
05
EXECUTION
ARE YOU EMBRACING
THE 4 PILLARS OF
EXECUTION ?
HAVE A REAL STRATEGY : CHOICES

103. 1. OBJECTIVE ASSESSMENT

104. E
N
3. USER EXPERIENCE
Are You Integrating The
Keys To Excellent UX ?
2. MINDSET
How Do You See The World
And What Do You Believe ?
5. EXECUTION ENGINES
Are You Focusing On The 4
Pillars Of Execution ?
4. NEW ECONOMICS
What Is Your True
Business Model ?M
U
DEFINE YOUR
THE MUNE MATRIX

105. CONTROLLING TO
EMPOWERING
PLANNING TO
EXPERIMENTATION
PRIVACY TO
TRANSPARENCY
PREDICTABLE TO
UNPREDICTABLE
PROFIT TO
PURPOSE
HIERARCHIES TO
NETWORKS
CHALLENGE THE ‘WHY’ BEHIND YOUR MINDSET

106. RETHINK STRATEGY RESOURCES TO CHECK OUT

107. Hyper-Personal Frictionless Strategic Experience Omni-Channel
1 2 3 4
FOUR INTERCONNECTED KEYS TO EXCELLENT UX
DIGITAL CONVENIENCE

108. Michael Doe
IMAGE
PLACEHOLDER
Jeniffer Thompson
IMAGE
PLACEHOLDER
Erica Doe
AUTOMATION
ENTERPRISE
PLATFORMS
SENSORS AND
DATA
HUMAN CAPITAL
EXECUTION ENGINES IMPROVE EXPERIENCE LOWERS COST = SUSTAINABLE
HOW WILL YOU COMPETE IN THE FUTURE ?
TECHNOLOGY EXECUTION ENGINES

109. MARKETING AND SERVICE AUTOMATION

110. EMBRACE ENTERPRISE NON-SILO’D SYSTEMS
CONSOLIDATION OF PLAYERS UNDERWAY
OPPORUNITY

111. AUTOMATE KEY FUNCTIONS
HIGH TECH HIGH TOUCH

112. INVEST IN A TRAIN GREAT PEOPLE
FINDING TALENTED PEOPLE AND CREATING NEW BUSINESS
MODELS AROUND THEM BE KEY
GREAT CULTURE & TALENT

113. DISRUPTION IN THE ERA
OF MASS ACCELERATION
LEARN FROM OTHER INDUSTRIES

115. http://www.fittechcouncil.org/podcast/
FITNESS PLUS TECHNOLOGY PODCAST

116. GO DIGITAL WHILE BECOMING
EVEN MORE HUMAN

117. DON’T FORGET THE WHY. IN A WORLD OF GREAT
CHANGE YOU MAKE THE WORLD A BETTER PLACE

118. Thank you @bryankorourke
bryankorourke@gmail.com