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2019 Fitness Industry Technology Trend Report

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Fitness is changing and technology among other mega-trends are influencing what is the growing market of wellbeing, betterment, and wellness of which fitness is a part. Bryan O'Rourke and the fitness industry technology council share 5 key trends for 2019 and beyond for fitness, technology, wellbeing, betterment, wellness and more. Learn more via www.fittechcouncil.org , listen to the fitness + technology podcast , and please share this content and make comments. Thank you.

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2019 Fitness Industry Technology Trend Report

  1. 1. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T | W W W . F I T T E C H C O U N C I L . O R G 2019 FITNESS INDUSTRY TECHNOLOGY TRENDS F I V E U N D E R LY I N G T R E N D S W I L L I N C R E A S I N G LY D R I V E T H E W E L L B E I N G & F I T N E S S I N D U S T R Y I N 2 0 1 9 A N D B E Y O N D +
  2. 2. 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T + INTRODUCTION F I T N E S S I N D U S T R Y T E C H N O L O G Y C O U N C I L Our mission at FIT-C is to promote the responsible and effective adoption of technology in order to enhance user experience, business models, and as a result grow the overall marketplace for fitness, wellbeing, and betterment product and services. Each year we share a report based on feedback from our board of directors, partners, supporters, and colleagues to help professionals and brands to consider key trends that will increasingly impact the market and the business models serving the market. Please visit us at fittechcouncil.org, subscribe to our newsletter, and listen to our Fitness + Technology Podcast. Our content is free. We are a 501(c) 6 non-profit and thank our many supporters and board of directors for their leadership, contributions, and insights. Bryan K. O’Rourke Chief Executive FITTECHCOUNCIL.COM @FITTECHCOUNCIL
  3. 3. ABOUT FIT-C E S T. 2 0 0 8 For ten years the fitness industry technology council has been working with innovators in the fitness industry to promote the responsible and effective adoption of technology to enhance user experience, improve business models, and grow the marketplace. Over forty global brands provide their support, including fitness operators, equipment manufacturers, associations, executives, and technology developers for their insights, contributions, and collaboration. We thanks those brands and their leadership. Every year we release our key trends report for free to the world and provide resources to support increased adoption of innovative technologies. We hope you like it. If you would like to get involved let us know info@fittechcouncil.org and follow us @fittechcouncil on most digital networks. We are a 501(c)6 non-profit that has the support and involvement of leading global betterment, wellbeing, and fitness technology brands. We spend all of our funds on educating and supporting the adoption of technology to enhance user experience, improve business models, and growth the marketplace. A Non-Profit Consortium Over 20,000 fitness professionals and decision makers receive our monthly newsletters, with tens of thousands listening to our Fitness + Technology Podcast weekly. Our videos and presentations around the world also share thought leadership. Information Resources Our board of directors include global technology leaders: Kelly Card of ABC Financial, Ted Vickey of FitWell, LLC, John Ford of eGym, Paul Lockington of ShapeLog, and Bryan O’Rourke of Vedere Ventures. We thank them for their leadership and contributions. Leading Board Of Directors FITTECHCOUNCIL.COM @FITTECHCOUNCIL
  4. 4. + 2019 TRENDS IN CONTEXT I T I S N O T J U S T A B O U T T E C H N O L O G Y As the Gartner Hype Cycle attests there are many “technologies” emerging, from VR, to AI and from voice to quantum computing. The list is long. What is “new” isn’t going to impact business models and markets in the next 12 months but might in 24-36. Just consider home voice devices and platforms like Google Home and Amazon Alexa; those came out of nowhere. Each year many “trends” are identified using generic terms with misunderstood implications. “Wearables” as an example are just sensors and their current use cases are still evolving; what does that exactly mean when terms like these are identified as a key trend ? We try to be more contextual in our report so that it can hopefully be more useful in redefining UX and enhancing business models and strategies. FITC attempts to contextualize technology based on underlying megatrends, the way consumers and organizations view the world, and how those customers and business models are evolving. It is not just about technology, it is about how we work, live, exercise, eat, learn, socialize, purchase, and more. It’s not just about fitness; it is about a larger ecosystem of wellbeing and betterment.
  5. 5. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T | W W W . F I T T E C H C O U N C I L . O R G FIVE UNDERLYING MEGATRENDS T E C H N O L O G Y I S A B I G PA R T O F T H E G R O W I N G E C O S Y S T E M O F W E L L B E I N G W H I C H I S C H A N G I N G F A S T A S A R E S U LT O F T H E S E F I V E M E G A T R E N D S T H AT A R E I M PA C T I N G A L L I N D U S T R I E S . T E C H N O L O G I E S S E R V E A S A S Y M B I O T I C D R I V E R I M PA C T I N G B E H AV I O R S A N D C R E AT I N G M O R E O P T I O N S , A LT E R N AT I V E S , A N D C H O I C E S G I V E N T H E S E T R E N D S . ConsumersGlobalism Demographics Technologies Economics An interconnected multi- cultural world creating new markets, cross boarder competition, and innovation. Changing demography with an aging population, the decline in brith rates, and heightened cross generational dynamics. Increasingly empowered and knowledgable buyers have higher expectations of everyone and everything. Always on and connected with more intelligence along with distrust and ethics being a bigger concern. Sustainability and the fourth industrial revolution recreating industries, jobs, production, capital and payment.
  6. 6. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T | W W W . F I T T E C H C O U N C I L . O R G A NEW LENSE FOR ORGANIZATIONS E N 2. USER EXPERIENCE The experiences brands seek to create for their employees, customers, and stakeholders are the key differentiator in a competitive world. Omni-presence, hyper-personalization, frictionless commerce, strategic, facilitated, and convenient are all things that combine to evoke feelings in humans. 1. MINDSET How brands and organizations see the world, how their values are basis of their culture, and how they interact with and deliver value to their employees, stakeholders and customers. Mindset is the most important aspect of foundational success today because it impacts what people see as possible. 4. EXECUTION ENGINES The foundation to executing experience in a sustainable business now requires fundamental tools : enterprise systems, human capital, automation, data collection, and machine intelligence. Without attention to these engines UX and New Economics cannot work. 3. NEW ECONOMICS New ways to create and monetize the business as a platform, digital-physical delivery, dynamic pricing, the way businesses can sustainably monetize has expanded into many many options. Transaction is the lowest common denominator with platforms enabling the highest value creation dynamic. M U T H E F O U R K E Y C O M P O N E N T S O F S U C C E S S F U L B U S I N E S S M O D E L S T O D AY A R E T H E M U N E D Y N A M I C S . T E C H N O L O G I C A L T O O L S A L O N E W I L L N O T M A K E A S I G N I F I C A N T I M PA C T W I T H O U T O R G A N I Z AT I O N S U N D E R S TA N D I N G A N D E M B R A C I N G T H E S E M U N E D Y N A M I C S : M I N D S E T , U S E R E X P E R I E N C E , N E W E C O N O M I C S A N D E X E C U T I O N E N G I N E S A N D P R I O R I T I Z I N G T H E M A C C O R D I N G LY.
  7. 7. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T | W W W . F I T T E C H C O U N C I L . O R G MINDSET IS THE NEW STRATEGIC ADVANTAGE T H E K E Y C O M P O N E N T S O F S U C C E S S F U L B U S I N E S S M O D E L S T O D AY A R E B A S E D O N H O W O R G A N I Z AT I O N S V I E W T H E W O R L D . O L D W AY S A N D S E E I N G T H E F U T U R E A S A R E F L E C T I O N O F T H E PA S T L I M I T S P O S S I B I L I T I E S W H I L E T H I N K I N G A N E W C R E AT E S O P P O R T U N I T I E S . CONTROLLING TO EMPOWERING In The New Era Of Openness Telling People What To Do Is Not As Effective As Inspiring And Connecting Purpose. PLANNING TO EXPERIMENTATION The Only Way To Learn The New Is To Try Things Work On An 80-20 Ratio Of Existing And New Business PRIVACY TO TRANSPARENCY Opening Information To All Enables The Other 5 Keys To Flourish In The New Era. PREDICTABLE TO UNPREDICTABLE The Past Is Not Predictor For The Future. Assumption To Knowledge Ratios Have Changed. PROFIT TO PURPOSE Short Term Aims Undermine Long Term Value. Attracting Customers And Partners Takes A Vision HIERARCHIES TO NETWORKS Interoperable Organization Leverage Capacities Better Results Through Collaboration.
  8. 8. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T | W W W . F I T T E C H C O U N C I L . O R G NEW BUSINESS ECONOMICS T H E M A N N E R I N W H I C H B U S I N E S S E S G E N E R AT E VA L U E I S F U N D A M E N TA L LY C H A N G I N G . T H I N G S L I K E F L E X I B I L I T Y, L E A R N I N G F R O M D ATA , A N D W E L L D E S I G N E D E X P E R I E N C E S , G E N E R AT E M O R E VA L U E A S T I M E G O E S O N . O W N I N G T H E C U S T O M E R E X P E R I E N C E I S K E Y. 1. GREAT PRODUCT SERVICE You Must Have Products And Services Designed To Fit Specific Markets And That Have A Clear Distinct Proposition. 2. ATTRACTION OF CUSTOMERS Attracting Your Target Market Means Advertising In New Ways.Mostly Through Great Product & Service. 3. USERS - MEMBERS When Obtaining Members You Need To Obtain Their Data. 6. INCREASE INSIGHTS Insights Result That Drive Better Product And Service Innovation. 5. DATA ON EVERYTHING By Tracking Everything About Your Customer You Begin To Learn About What They Really Want. 4. CREATES INTERACTIONS As Members Use Your Products And Services You Must Track Their Interactions.
  9. 9. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T | W W W . F I T T E C H C O U N C I L . O R G P PERSONAL SERVICES COMMUNICATION TO SPECIFIC USERS. CREATE LOYALTY. E EASY FRICTIONLESS BUYING, SIMPLE FAST FUNCTIONAL F FACILITATED BUYING SERVICES ACROSS PLATFORMS S STRATEGIC INVEST IN WHERE THINGS ARE HEADING. VIDEO, MOBILE, VOICE O OMNICHANNEL OWNING THE CUSTOMER 24/7 U S E R E X P E R I E N C E I S N O W K I N G F O R O R G A N I Z AT I O N ’ S T H AT W A N T T O S U C C E E D . T H E S E P I L L A R S O F U S E R E X P E R I E N C E A R E N O W R E Q U I R E D F O R R E L E VA N C E . RETHINKING USER EXPERIENCE
  10. 10. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T | W W W . F I T T E C H C O U N C I L . O R G Michael Doe IMAGE PLACEHOLDER Jeniffer Thompson IMAGE PLACEHOLDER Erica Doe AUTOMATION ENTERPRISE CLOUD SOLUTIONS SENSORS - DATA HUMAN CAPITAL I N O R D E R T O O P E R AT E I N T H E N E W E C O N O M I C M O D E L S A N D T O D E L I V E R O N U S E R E X P E R I E N C E T H E S E E X E C U T I O N E N G I N E S A S A M U S T F O R A N Y O R G A N I Z AT I O N . H O W T E C H I S A P P L I E D A N D W H Y I T I S A P P L I E D I S M O R E I M P O R TA N T T H A N T H E T E C H I T S E L F. THE NEED FOR THESE EXECUTION ENGINES
  11. 11. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T | W W W . F I T T E C H C O U N C I L . O R G Ethical Technology Re-Mixing Re-Inventing Hybrid Brands Engineered Wellbeing Escape Experiences 2019 FITNESS INDUSTRY TECHNOLOGY TRENDS T H E F I V E T R E N D S T O K E E P A N E Y E O N I N 2 0 1 9 A N D B E Y O N D
  12. 12. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T 1 ESCAPE EXPERIENCES N E W I M PA C T F U L E X P E R I E N C E S W I L L C O N T I N U E T O D I F F E R E N T I AT E A N D D E L I V E R G R E AT E R VA L U E T O U S E R S . T E C H N O L O G I E S W I L L B E A B I G C O N T R I B U T O R T O T H E S E N E W E X P E R I E N C E S . Apps that influence behaviors, like Nudge and Noom are only the start. Technologies like Wexer, FOD, MYZONE that take information, content, and interfaces to support change and to inspire will increasingly enhance wellbeing and fitness experiences. Motivational & Inspirational Virtual reality, augmented reality, voice, gamification, and gesture interface: the way we experience experiences will be impacted by how we interface with technologies. Experiences will be beyond the range of normal physical human experience. Transcendent With AirBNB offering “trips” which include culinary, mind body, or fitness experience, with Equinox offering fitness travel experiences and more a new world of experiences driving new value and new business models is notable. Beyond The Ordinary New venues and the integration of technologies are enabling new conveniences and ways to more easily consume wellbeing; from Peloton and Mirror at home or Equinox on the go, to Habit for customized home delivered nutrition. Hyper-Convenient
  13. 13. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T 2 ETHICAL TECH Consumers are responding to an increasingly chaotic and uncertain world by demanding proof over promise. Consumers want to support brands that strike a balance between purpose and functionality and understand the WHY behind tech. Show Don’t Tell Brands should stand for what is meaningful and relevant to them and their customers in the advent of technological innovation. Using technology to their benefit without ethical application is a path to value erosion and distrust. Brands Take A Stand For Users Win Full disclosure requires simpler explanations of privacy policies and clearer and more transparent uses of data giving users greater control of what they surrender and the cost benefit of their sharing their data. Privacy Consumers have very high expectations for how brands can use innovative technologies, but most are afraid of how those same technologies might disrupt their lives adversely. Innovation Meets Ethics A S D ATA A N D A I A R E U S E D A N D R E L I E D U P O N M O R E B R A N D S W I L L B E C H A L L E N G E D T O B E R E S P O N S I B L E I N H O W T H E Y U S E I T.
  14. 14. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T 3 RE-MIXING & RE-INVENTING Community based business models can create high value using technology platforms. The most successful brands will understand, engage, listen to, and love their communities who will be creators and collaborators for creating , supporting, and advocating products and services. Communities In a world of diminishing resources, rising costs of pollution, and irresponsible past practices consumers want to see smart sustainable technology practices. Technologies are helping Adidas and Parley for example create shoes from recycled plastics. Expect more of these initiatives that re-invent sustainably. Sustainability Re-purposing assets and re-mixing their delivery to create new fitness experiences is innovative. New music licensing arrangements and technology solutions like Aaptiv and CLASSPASS are creating new applications for music streaming with fitness. Other examples will emerge. Unseen Opportunities The open-source fitness platform CROSSFIT emerged from part-time hacking by thousands of fitness enthusiasts scattered all over the planet, connected only by the Internet and the WOD. McFit’s Maria might be another emerging example. Open Source L E V E R A G I N G D ATA A N D C O M M U N I T I E S W I L L R E Q U I R E M O R E O P E N C O N N E C T I V I T Y. S M A R T O R G A N I Z AT I O N S W I L L R E LY O N N E W U S E R A N D PA R T N E R C O L L A B O R AT I O N S T O R E - I N V E N T A N D I N N O VAT E .
  15. 15. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T 4 ENGINEERED WELLBEING Major companies like Apple and Amazon are entering health care to integrate sources of data including those from their wearable devices, apps, along with other innovations to enhance the quality of care while reducing costs. Medical In 2017, the US meditation market generated $1.2B in revenue and is forecasted to reach $2.08B in revenue by 2022. Self-care apps topped Apple’s 2018 trends list, with consumers spending $32M on mindfulness apps like Calm and Headspace. Mindfulness 10 new DNA tests are coming to market every day and the cost of DNA tests are dropping significantly. A long list of customized fitness, nutrition, and other solutions are available based on those tests including DNAFIT and others. DNA Data 70% of the world population is either reducing meat consumption or forgoing meat altogether. Technologies will generate better meat and dairy substitutes. Customized nutrition solutions based on DNA and other factors will expand. Nutrition W I T H G R E AT E R A C C E S S T O I N F O R M AT I O N W E W I L L B E A B L E T O B E T T E R E N G I N E E R O U R W E L L B E I N G .
  16. 16. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T HYBRID BRANDS GymShark is a fitness brand wrapped in an apparel business using online content. Bandier puts fitness studios in its boutiques. Fitness Kitchen delivers healthy fit foods. New models will combine different aspects of wellbeing in new ways. Fashion & Nutrition Meet Fitness McFit is innovating and launching new models, Equinox is hybridizing. Health care providers are innovating. Service providers are innovating. Discovering new ways to meet trends and new markets will be a major undertaking by legacy brands. Legacy Models Hybridize New models like Diamandis’ HLI have created sequenced genomes and phenotypic (physical traits) databases to uncover insights capable of transforming “sick-care” from reactive to proactive with prescriptions for fitness, nutrition, and more. Sick-care Meets Prevention Equinox hotels open in New York City and Los Angeles in 2019. Equinox’s bespoke travel experiences, will launch in 2019 with 8 to 15 tours planned. Fitness and Wellbeing are extending increasingly into travel and travel experiences. Fitness Meets New Avenues T H E C O N V E R G E N C E A N D D I V E R G E N C E O F I N D U S T R I E S M O D E L S W I L L L E A D T O N E W B U S I N E S S M O D E L S A N D M A R K E T S .
  17. 17. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T “ Y O U C A N ’ T W A I T F O R I N S P I R AT I O N , Y O U H AV E T O G O A F T E R I T W I T H A C L U B ” JACK LANDON I F Y O U A R E I N T E R E S T E D I N L E A R N I N G H O W Y O U R O R G A N I Z AT I O N C A N TA K E A D VA N TA G E O F T H E S E T R E N D S A N D I N N O VAT E L E T U S K N O W .
  18. 18. F I T C 2 0 1 9 F I T N E S S T E C H N O L O G Y T R E N D R E P O R T JOIN FIT-C TODAY. SUBSCRIBE TO OUR FREE FITNESS + TECHNOLOGY PODCAST AND OUR NEWSLETTER. P L E A S E S H A R E T H I S R E P O R T A N D G I V E U S Y O U R C O M M E N T S . R E A C H O U T T O U S I N F O @ F I T T E C H C O U N C I L . O R G T O L E A R N M O R E T H A N K Y O U .

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