Sports Unlimited B.V. (SU) is a fitness organization founded in 1993, located in Zoetermeer. Since October 2015, SU expanded with a second gym also located in Zoetermeer to offer extra possibilities for their customers. It is one of the largest fitness centers in Zoetermeer that offers low-budget subscription fees. Thereafter they offer additional services, such as group lessons, boxing, wellness and outdoor activities. They have the mission to help their customers to reach its goals. They want to accomplish this by providing them with personal service and appropriate fitness equipment. This includes personal training, food advice and diet schemes and instructions to take home. However, there is a new trend within the fitness market through the rise of fitness applications. Most fitness applications allow people to track their progress. User can log workouts, and track statistics on runs, walks and bike rides. User can gain great insights which helps them to improve. Moreover, it is often possible to count calories, which helps people in making the right food choices. Additionally, certain apps can adjust workouts based on fitness level and available time, making it easier for people to get their workout in, no matter where they are and how much time they have
SU is being threatened by competitors like Anytime Fitness and Basic-Fit, which are able to optimize service levels but also manage to reduce costs. They have implemented an application which enables users to find gym location and information, view club offers and promotions and provide feedback about the gym. Users who are also members can view their membership status, update personal information, change billing information, communicate with their virtual coach and friends and set and track progress towards automated and manual goals. This trend forces SU to digitally transform into an organization which offers the same as the competitors, and hopefully even more. That is why we proposed the solution to introduce an application which helps people reaching their goals by providing an information platform. The application would include: members’ personal information, tutorials on how to use certain machines, optimization of personal schedules (including exercises for at home), appropriate diet suggestions based on a member’s personal input and information about member’s progress toward their goal. Hence, it will be possible to reduce costly personnel, but still provide a better customer experience through the application. Strategically, this will be necessary in order to keep up with the competition. Additionally, SU is determined to create value for customers by providing them an environment in which people can reach their goals. It is therefore an attractive option which also fits in the current business model. Moreover, the cost & benefits analysis shows that the application will generate profits within two years. The first year costs will he higher than benefits, because of the high development costs. Because these costs only occur once, the second year will already be profitable. Overall, implementing the application will have a positive a positive effect on the performance, strategically as well as financially.
Group 15