<\/p>\n
Kickboxing brand Kickhouse is one of two brands that Giant Ideas acquired this week.<\/p>\n
At platform company Giant Ideas, skill-based fitness is the name of the game.<\/p>\n
Using that term, rather than the all-encompassing \u201cboutique\u201d fitness, \u201caligns more with what Legends Boxing has been since 2012,\u201d Giant Ideas CEO Rob Scott said. The company owns eight brands, including Legends Boxing. \u201cThen when COVID hit and the [boutique fitness] market flattened. We really needed to market ourselves separately and differently than boutique fitness.\u201d<\/p>\n
The company\u2019s fitness concepts are centered around teaching new skills with the added bonus of getting a solid workout, rather than focusing only on burning as many calories as possible like some other exercise classes.<\/p>\n
Giant Ideas acquired two more boxing concepts this week: Kickhouse and Mayweather Boxing and Fitness. Scott couldn\u2019t share terms of the transactions. Those brands plus Legends are supported by the same team, but Giant Ideas is keeping them separate.<\/p>\n
\u201cThe methodology will be very similar,\u201d Scott said. Adding Mayweather and Kickhouse \u201cwas such a natural fit\u201d with the concepts in Giant Ideas\u2019 portfolio, he said.<\/p>\n
The company\u2019s other brands include Bootlegged Barber and Atmosphere Chiropractic & Wellness, which don\u2019t franchise. It holds retail brands Legends Boxing Gear and Cage Punch\u2014which sells \u201cdeath spray\u201d to clean fitness equipment by \u201cknocking out germs with zero mercy,\u201d according to the brand\u2019s website.<\/p>\n
At Legends, which paused franchise opportunities, Giant Ideas developed its own version of the traditional belt system. It put the brakes on franchising while Giant worked to stabilize the existing studios.<\/p>\n
\u201cWe have a new location opening next month, which I didn\u2019t think was ever going to happen again after COVID,\u201d Scott said. \u201cNow we\u2019re growing, and we\u2019re growing much smarter. We\u2019re growing much slower.\u201d<\/p>\n
Now it\u2019s time for the same approach at Mayweather and Kickhouse, he said.<\/p>\n
When boxing champion Floyd Mayweather launched his boxing concept, Scott said he thought Legends would have \u201ca real competitor.\u201d But instead the brand shifted toward heart-rate monitoring and high-intensity training, rather than teaching boxing skills, Scott said.<\/p>\n
\u201cWe\u2019re changing the programming in Mayweather to where it is skill-based fitness rather than high-intensity training,\u201d Scott said.<\/p>\n
Kickhouse<\/a> already had a heavier focus on teaching kickboxing, so there\u2019s less for Giant Ideas to change for that brand. Kickhouse\u2019s skill classes are its most-attended of its offerings, Scott said, \u201cwhich was really good to hear.\u201d<\/p>\n When the company bought Kickhouse and Mayweather, Scott promised franchisees that they were his first priority.<\/p>\n \u201cI think the franchise model has been broken, in my opinion, for a long time. I think that the broker sales stuff really hurts the franchisees, so the only people that win are the sales people and the broker,\u201d Scott said. \u201cMy commitment to them is that we\u2019re not going to sell another franchise location until we\u2019re at 70 percent profit across the board.\u201d<\/p>\n The boxing fitness segment has a few competitors, including 9Round<\/a>, which founder Shannon Hudson bought back this year from Lift Brands, which bought a majority stake in 2013. Extraordinary Brands, meanwhile, announced last week that it bought Rumble Boxing<\/a>\u00a0from Xponential Fitness.<\/p>\n There are about 70 locations across the three boxing brands.<\/p>\n The model Giant Ideas uses works, Scott said. He believes that franchisors shouldn\u2019t charge their franchisees steep fees to stay in the system. Getting to that 70 percent profit mark in part comes from Giant Ideas\u2019 cutting down franchise fees, he said.<\/p>\n \u201cI really think that it got so normal to charge absurd fees and high tech fees and big royalties and jacking up brand development fees. We\u2019re going through and cleaning all of that up,\u201d Scott said. \u201cI\u2019d say that helps about half of the gyms to at least break even. After that, we\u2019ll work on driving revenue and adding in the skill-based fitness.\u201d<\/p>\n Because the company produces boxing equipment and gloves, franchisees get \u201ca significant margin there,\u201d Scott said. Bundled with in-house marketing teams, recurring membership revenue and forming a sustainable business model, Scott believes the brands can hit that stabilization goal by April 1, 2026.<\/p>\n","protected":false},"excerpt":{"rendered":"Kickboxing brand Kickhouse is one of two brands that Giant Ideas acquired this week. At platform company Giant…\n","protected":false},"author":2,"featured_media":70627,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[571],"tags":[64,63,55607,802,26700,55599,55609,55604,55602,55608,55605,55600,55603,55606,85,55601],"class_list":["post-70626","post","type-post","status-publish","format-standard","has-post-thumbnail","category-boxing","tag-au","tag-australia","tag-bootlegged-barber","tag-boxing","tag-floyd-mayweather","tag-floyd-mayweather-jr","tag-giant-ideas","tag-kickhouse","tag-lift-brands","tag-mayweather","tag-mayweather-boxing-and-fitness","tag-rob-scott","tag-rumble-boxing","tag-shannon-hudson","tag-sports","tag-xponential-fitness"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/70626","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=70626"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/70626\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/70627"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=70626"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=70626"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=70626"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}