As the world emerges from the pandemic crisis, the fitness industry is finding itself at a pivotal crossroads.
The global health emergency forced gyms, studios, and wellness centres to close their doors for months, accelerating a shift toward digital fitness solutions. While some businesses struggled to survive the initial impact, others found innovative ways to adapt, sparking new opportunities and reshaping consumer expectations.
Now, with the pandemic crisis history, the fitness landscape is being redefined, with both challenges and opportunities on the horizon.
For many gyms, retaining members who turned to at-home workouts during the pandemic remains a critical concern. Consumers have become accustomed to the flexibility and convenience of virtual classes and on-demand content, and some are reluctant to return to in-person sessions. However, these shifts also present a chance for the fitness industry to expand its offerings, blending digital and in-person experiences in ways that cater to a wider range of preferences. Moreover, increased focus on mental health and wellness during the pandemic has driven a surge in demand for holistic fitness experiences, pushing the industry to rethink its role in promoting overall well-being.
Looking toward 2025, several trends are expected to dominate the fitness industry. First, hybrid fitness models—combining in-person and virtual classes—are set to continue growing, offering customers more flexibility and convenience. Wearable tech will play an even larger role, with more advanced devices providing personalized insights to help users optimize their workouts. Additionally, sustainability will be a key focus, with eco-conscious gyms and fitness products gaining popularity. Mental health integration will also become more prevalent, as wellness programs expand to include mindfulness, stress management, and emotional well-being, reflecting the evolving understanding of fitness as a holistic lifestyle.
In this Special Report, Retail Insider talked to some fitness industry experts to get their thoughts on the current state of the sector and the key trends to watch for this year.
Blake MacDonald, President, Orangetheory Fitness Canada
Reflecting on the state of the fitness industry, MacDonald noted, “We’re still trying to feel our way through it. For 2024, the industry is showing a negative 3.8% compounded annual growth rate over the last five years. The fitness industry has not returned to its prior glories in terms of revenues. I think it’s projected at $4.5 billion for 2024 for the fitness industry in Canada, down from 2019.”
He said COVID was a big disruptor for the industry and coming out of the pandemic many people were hit with some financial constraints, time constraints. In general, people have less money to spend as consumers.
“Like a lot of industries I think you’re seeing some contraction in terms of the overall business,” he said.
Despite the setbacks, Orangetheory continues to thrive, with their studios performing at 85-95% of pre-COVID revenue and membership levels. “We’re not back to where we were in 2019. We continue to grow year over year, opening new studios and expanding,” MacDonald shared. “The Orangetheory business model is still on track for growth, and we remain bullish on the future.”
When it comes to fitness trends, MacDonald highlighted the growing interest in hybrid training—combining strength and endurance workouts. He also emphasized the importance of active recovery and regenerative periods, which has become a critical part of many fitness routines. “Not working out every day, but spacing it out to allow for recovery is gaining traction,” he said. Additionally, technology and wearable devices are reshaping fitness, providing users with more data and insights into their performance.
MacDonald also pointed to a significant shift in the social dynamics of fitness. “Group fitness continues to gain popularity. A lot of people are looking for a sense of community,” he explained. “The gym or fitness studio is becoming the new social hub, replacing traditional venues like bars or nightclubs. This is the new bar. This is the new nightclub. Going to the gym, or going to the fitness studio, and meeting people.”
Another trend that is reshaping the fitness industry is the focus on mature adult fitness. MacDonald noted, “There’s a big push towards strength training for those over 40 to prolong their functional fitness and improve quality of life.” He also mentioned the rise of specialized concepts like assisted stretching, where people can have professionals guide them through stretches to improve flexibility.
As for Orangetheory’s member base, MacDonald shared that there has been no significant change in the demographics since 2019. “We still have a 70-30 female-to-male ratio, and our average member age is the same as before,” he said. However, he acknowledged the broader industry trend toward attracting older adults, with fitness concepts increasingly catering to this demographic.
Looking ahead, MacDonald remains optimistic about the future of fitness. “We’re seeing growth, and I think the industry is evolving with new concepts that resonate with what consumers want today—community, recovery, and results.”
Brazier highlighted exciting developments in fitness trends and the growing importance of community, wellness, and mental health.
“In my 18 years in the industry, there has never been a more exciting time than right now. That sounds strange given that we’ve come through a pandemic. The pandemic was a huge challenge for many businesses, including ours, and some might say fitness was among the hardest hit,” she said.
“But it did something really interesting. Today, we are back to pre-COVID numbers. But we’re seeing more members use our clubs now than we did pre-COVID. Check-ins are significantly higher than it was prior to the shutdown. It’s a clear indication that people are focused on their health and well-being, and that’s a trend we expect to see through 2025 and beyond.”
Brazier believes the surge in gym attendance is tied to a renewed focus on health, a shift that the pandemic catalyzed. “COVID heightened the focus on health and well-being for many people, not just physically, but people’s mental health as well,” she explained. “The isolation and loneliness that many of us experienced during COVID really heightened the desire for community and connection with others. And certainly, we know that fitness has a positive impact on mental well-being.”
According to Brazier, the fitness industry is adapting to these changing needs by emphasizing wellness beyond traditional workouts. “Recovery and wellness hubs continue to be a big trend,” she shared. “Fitness today is about thriving in all areas of life. Our clubs are evolving with the inclusion of recovery studios that come fully equipped with top-of-the-line recovery tools from human touch massage chairs, cryotherapy chair, leg compression sleeves, handheld devices in addition to recovery focused classes all designed to support overall health and well-being. We will have over 30 recovery studios by the end of 2025.”
Group fitness and community-building are also central to GoodLife’s strategy. “Social connection is a big reason for people coming to the gym. For many, the gym has become their third space away from home and work,” said Brazier. “Our clubs offer a variety of group fitness classes and challenges as well as performance workouts, and we are always trying to foster a sense of community within the club. It’s like that old TV show, Cheers, where you want to go where everyone knows your name. The challenge is to create environments where people feel they belong and that they’re welcome.”
Mental health is another focus at GoodLife, with the company actively promoting the connection between physical activity and mental well-being. “For many GoodLife members, mental health is their top reason for coming to the gym,” Brazier noted. “Sometimes a visit to the gym includes a recovery session in a massage chair or hot yoga, just to move and body and to unwind. It doesn’t have to be an intense workout every time.”
“It’s a very exciting time to be in the industry,” Brazier concluded. “As we look at 2025, people are very focused on New Year’s resolutions, but we see growth well into the Spring. It’s really an exciting time to be in fitness. The fitness landscape is thriving, and we’re excited for what the future holds.”
The fitness industry is entering 2025 with renewed energy, according to Smith.
“This is the breakout year,” Smith stated, emphasizing the industry’s recovery from what he described as the “negative COVID bubble.”
“It lasted for about 18 months and was caused by the infusion of massive amounts of liquidity into the economy by almost every government on the planet.” But those savings dried up and hurt the economy, trickling down to every industry.
The subsequent economic downturn hit the fitness industry hard, but Smith sees brighter days ahead. “I feel like we came out of it maybe three or four months ago, and things are kind of getting back to normal, if you will . . . You can definitely feel the difference in 2025 – to the positive.”
As for trends shaping the industry in 2025, Smith highlighted the resurgence of strength training. “Customers, especially women, are showing a renewed interest in resistance training,” he said. Strength training, including weight training, has always been a fitness staple, but its popularity is surging. “Females are becoming more and more interested in taking creatine,” Smith noted, revealing HOTWORX’s plans to introduce a creatine supplement designed specifically for women.
HOTWORX, known for its innovative isometric workouts like hot yoga and hot Pilates, is also expanding its offerings to include more strength training options. “We have a whole area in our studios with kettlebells, dumbbells, and we’re about to add a new weight machine for glutes only. We’re calling it the Gluteus Max,” Smith announced, reflecting the company’s commitment to evolving with customer preferences.
Gabriel Hardy, Executive Director, Fitness Industry Council of Canada
The fitness industry in Canada is on the road to recovery after the challenges faced during the COVID-19 pandemic, according to Hardy. With almost 1,000 members representing the country’s 6,500 gyms, FIC plays a crucial role in supporting the fitness sector, advocating for its interests, and providing a platform for its growth.
“The health of the industry is pretty good,” he said.
While the pandemic dealt a significant blow to gyms across Canada, with some provinces experiencing closures for up to 18 months in some provinces, Hardy highlighted that the industry is bouncing back. He estimates that approximately 20 to 25% of gyms in Canada closed permanently due to the pandemic, although exact figures are not yet available. “The big players are still there, but many small gyms struggled to survive,” Hardy noted.
Despite the setbacks, Hardy remains optimistic about the overall health of the industry. “People have become more aware of the importance of health and prevention. The pandemic has made it clear that health is not just the absence of disease, but our ability to cope with it.”
This heightened awareness of health and wellness has led to increased demand for services focused on longevity, mental health, strength, and overall fitness. “People now want to know their VO2 max, take care of their bone health, and focus on strength because we know it’s related to longevity,” Hardy explained.
Additionally, there has been a noticeable shift in the demographics of gym-goers, with Gen Z emerging as a major force in the fitness world. “Gen Z is really, really coming to the gym a lot,” Hardy said. “Gyms are full, and while some may have fewer members than before, those who come are attending more often. The sense of community and working out with friends is what keeps them coming back.”
The fitness industry in Canada is now looking ahead with a positive outlook. As gyms continue to fill up and trends around health, longevity, and community engagement take centre stage, the future of the fitness industry appears bright. “People are seeking to live healthier and longer. This is really what we see as a big trend. It’s pretty rare nowadays to have somebody come to the gym asking to lose some weight. It’s not something we see a lot . . . What we see right now is people coming through our doors and asking for mental and physical health.
“We are looking at an industry that is prevention that is complementary to healthcare. People are really looking more and more and more as the industry as healthcare. This is a big trend.”
“The vibe is really great right now, and gyms are looking to the future with optimism,” Hardy concluded.
Here are the top 10 trends expected in the fitness studio industry in Canada by 2025:
- Hybrid Fitness Models: Combination of in-person and virtual classes to cater to diverse member preferences.
- Wearable Technology Integration: Greater use of smart devices (e.g., fitness trackers, heart rate monitors) to track progress and provide personalized insights.
- Personalized Fitness Plans: AI-driven programs offering customized workout and nutrition plans based on individual goals and data.
- Mental Health and Wellness Focus: Increased emphasis on programs that integrate mindfulness, stress relief, and mental wellness alongside physical fitness.
- Sustainability Initiatives: Eco-friendly gyms using sustainable equipment, reducing waste, and promoting green practices (e.g., solar-powered gyms, recycling).
- Inclusive Fitness Offerings: Programs designed for diverse demographics, including seniors, disabled individuals, and culturally diverse groups.
- Community Building and Social Fitness: A stronger focus on community engagement through group challenges, events, and social connections within fitness spaces.
- On-Demand and Virtual Workouts: Expansion of streaming platforms for live and pre-recorded workout sessions, allowing flexibility for remote members.
- Recovery and Holistic Wellness Services: Growth in services like cryotherapy, infrared saunas, and massage therapy to complement fitness routines and aid recovery.
- Boutique Fitness Studio Growth: Continued rise of specialized, small-scale studios offering niche classes (e.g., yoga, cycling, Pilates) for more personalized experiences.
These trends reflect how the fitness studio industry in Canada is evolving, driven by a blend of technological advancements, wellness-focused shifts, and evolving consumer expectations.
