Online Fitness Apps - Global Market Share and Ranking, Overall Sales and Demand Forecast 2024-2030

7NXT expands its presence in Europe through the acquisition of Buddyfit highlighting the rapid growth of the Online Fitness industry on the continent

Geneva, Switzerland — September 12, 2024

German fitness and well-being company 7NXT, known for operating Gymondo and 7Mind, has made a significant leap in its European expansion by acquiring Buddyfit, an Italian digital fitness platform. This move increases 7NXT’s total subscriber base to over 800,000 and enhances its market presence in Southern Europe, particularly in Italy and Spain where Buddyfit enjoys strong growth and a loyal customer base.

Founded in 2019 in Genoa, Buddyfit offers a wide array of online fitness solutions, including live workouts, mindfulness sessions, and personalized nutrition plans, catering to over 100,000 paying subscribers. The acquisition strengthens 7NXT’s ambition to integrate fitness and mental well-being services under the Gymondo umbrella. With the addition of Buddyfit, 7NXT continues to expand beyond its home market of Germany, Austria, and Switzerland (DACH region), moving into key markets such as France and the Nordic countries.

The company has been on a strategic growth path, including its 2024 acquisition of 7Mind, a German mental health and mindfulness platform, positioning Gymondo as a holistic digital platform for mental and physical health. The Buddyfit deal is expected to unlock new opportunities for 7NXT in the €3 billion European fitness and wellness market, enabling it to further strengthen its competitive position by offering tailored services to both B2C and B2B clients.

Markan Karajica, the CEO and founder of 7NXT, commented on the acquisition, stating:
"Buddyfit's impressive presence in Italy and Spain will help us enhance our footprint in key European markets, complementing our existing business in the DACH region. This acquisition aligns with our mission to build a leading fitness and well-being platform across Europe."

Giovanni Ciferri, CEO of Buddyfit, added:
"This acquisition completes the first stage of our strategic growth plan, following four years of significant expansion. By combining our expertise with Gymondo, we are well-positioned to become a major player in the European fitness industry."

7NXT is supported by Oakley Capital, a private equity firm known for driving the company’s growth through strategic investments. Peter Dubens, founder and managing partner of Oakley Capital, emphasized that the acquisition is part of a broader plan to expand Gymondo’s reach across Europe through a mix of organic growth and M&A activity. He noted that these moves are integral to Gymondo’s goal of becoming Europe’s leading fitness and well-being platform.

Policy Analysis

The European online fitness industry has seen substantial growth in recent years, driven by evolving consumer behavior, technological advancements, and a shift toward more health-conscious lifestyles. Several factors contribute to this dynamic sector, which is expected to see further expansion in the coming years.

Key Growth Drivers:

Increased Internet and Smartphone Penetration: As Europe boasts high internet penetration rates, with more than 90% of its population online, the adoption of digital fitness platforms has skyrocketed. The accessibility of smartphones and mobile apps allows consumers to engage with fitness solutions anywhere, anytime, a major factor in the industry's growth.

Technological Advancements: The integration of AI and data analytics into fitness platforms has enabled a personalized user experience. AI-driven algorithms provide tailored workout recommendations based on individual fitness levels, preferences, and performance metrics. This level of customization, which also incorporates real-time feedback, has made digital fitness more appealing to a broad audience. Wearable devices like fitness trackers and smartwatches further enhance this experience by syncing workout data to apps, making it easier for users to monitor their progress.

COVID-19 Pandemic's Impact: The COVID-19 pandemic significantly accelerated the adoption of virtual fitness platforms, as lockdowns and social distancing made in-person gym sessions difficult. Many consumers turned to on-demand and live-streaming workout options, resulting in a surge in user subscriptions to platforms like Peloton, Apple Fitness, and Fitbit. This shift is expected to continue, as many users have grown accustomed to the convenience of home workouts.

Hybrid Fitness Models: Many companies have embraced a hybrid model, combining both virtual and in-person classes. This trend offers more flexibility for users, providing virtual workouts to complement physical gym sessions. For example, some fitness brands offer live-streamed classes that can be followed from home, paired with in-person gym experiences for a more holistic approach.

Increased Health Awareness: The growing awareness of the importance of physical and mental health has spurred demand for online fitness solutions. Many platforms now offer integrated services that combine physical exercise with mindfulness and nutrition. For instance, companies like Gymondo and Fiit provide holistic wellness programs that address both mental and physical fitness.

Challenges Facing the Industry:

Technical Issues: Streaming workouts online is not without challenges. Issues such as server downtime, poor internet connectivity in certain regions, and software bugs can disrupt user experience and lead to customer dissatisfaction. These technical pitfalls need to be addressed by investing in reliable technology infrastructure.

User Retention and Engagement: While many users are initially enthusiastic about digital fitness, retaining their engagement over time remains a challenge. Factors such as lack of motivation, uninspired content, or failure to achieve personal fitness goals can lead to churn. Platforms need to focus on creating interactive, high-quality content and fostering community engagement to keep users committed.

Privacy and Data Security: With the increasing use of data analytics and AI in fitness platforms, ensuring the privacy and security of user data is a growing concern. Regulations such as the GDPR (General Data Protection Regulation) require companies to maintain strict data protection standards, which can be resource-intensive.

Policy and Regulatory Landscape:

Data Privacy and Protection: Europe’s strict data protection regulations, particularly the GDPR, play a significant role in shaping the online fitness market. Fitness apps and platforms must comply with these regulations, ensuring that user data is handled securely. This includes transparency in how user data is collected, stored, and used. Companies that fail to comply risk heavy fines and damage to their reputations.

Public Health Initiatives: European governments are increasingly promoting public health initiatives that encourage digital fitness as part of a broader strategy to combat lifestyle-related diseases like obesity and cardiovascular conditions. Some countries are providing incentives, such as tax benefits or subsidies, for consumers to invest in fitness platforms. For example, insurance companies in certain countries offer discounts or vouchers for virtual fitness memberships.

Inclusivity and Accessibility: There is also a push for making online fitness platforms more inclusive, particularly for older adults and people with disabilities. Some platforms are creating tailored programs for seniors to address mobility issues and chronic conditions. Additionally, many platforms are working to ensure that their content is accessible in multiple languages and caters to diverse fitness levels.

Future Trends:

Integration with Wearable Technology: As wearable fitness technology becomes more sophisticated, online fitness platforms are expected to integrate more seamlessly with devices like smartwatches and biometric trackers. This will enhance the user experience by providing real-time health data, such as heart rate, calorie burn, and sleep quality, which can be used to personalize workouts.

Expanding to Underserved Markets: While countries like Germany, France, and the UK lead in the adoption of online fitness platforms, there is growing potential in underserved regions of Europe, such as Eastern Europe and the Nordic countries. Expansion into these markets could provide significant growth opportunities.

Market Overview

The European online fitness market is rapidly expanding, driven by technological advancements, increased health awareness, and the growing demand for convenient home-based fitness solutions. The market is projected to see significant growth, with an anticipated addition of USD 14 billion between 2024 and 2030.

Key Market Trends:

Growth of Hybrid Fitness Models: A notable trend in Europe is the rise of hybrid fitness models, where online platforms combine digital classes with in-person experiences. This allows users the flexibility to attend virtual fitness classes from home while also participating in traditional gym sessions. The on-demand streaming segment, which allows users to access fitness content anytime, is expected to generate significant revenue, reaching USD 107 billion globally by 2030.

Personalization Through AI and Wearable Technology: The integration of artificial intelligence (AI) and wearable technology is transforming the online fitness landscape. AI is used to offer personalized workout plans, and wearable devices like fitness trackers and smartwatches provide real-time data on health metrics such as heart rate, calories burned, and sleep patterns. These innovations are making fitness experiences more tailored to individual needs.

Increased Health Awareness and Inclusivity: The COVID-19 pandemic accelerated the adoption of online fitness platforms as people sought safe alternatives to gym-based workouts. The sector is becoming more inclusive, with fitness platforms offering adaptive workouts for different physical abilities and fitness levels, as well as specialized content for seniors. This is in response to the growing demand for holistic fitness solutions that cater to both physical and mental health, integrating features like mindfulness and meditation.

Rise of Mobile Fitness Apps: The mobile fitness app segment dominates the European online fitness market. With the proliferation of smartphones, apps like Freeletics, MyFitnessPal, and Runtastic have become integral to European fitness culture. These apps provide workout routines, nutrition tracking, and virtual personal training options, making fitness accessible from anywhere.

Regional Insights:

Germany leads the European market due to its strong technological infrastructure and the rapid digitalization of fitness services. The country has seen a surge in fitness apps, wearable technology, and online personal training sessions.

Other leading countries include the UK, France, Italy, and Spain, which have embraced online platforms and live-streaming fitness classes.

Challenges:

Despite the rapid growth, the industry faces several challenges, including technical issues like server downtime and connectivity problems, particularly in regions with poor internet infrastructure. Another significant challenge is user retention, as many users start enthusiastically but gradually lose motivation, leading to high churn rates. Addressing these issues will require investment in technology and content innovation.

Future Outlook

The future outlook for the European online fitness industry is highly dynamic, with substantial growth expected across several areas driven by changing consumer preferences, technological advancements, and ongoing health trends.

1. Hybrid Fitness Models

One of the most transformative trends shaping the future of the online fitness industry in Europe is the rise of hybrid fitness models, which combine virtual and in-person experiences. This model allows fitness enthusiasts to switch between online classes, live-streamed sessions, and physical gym visits. The demand for hybrid fitness solutions has surged, largely due to the flexibility they offer. This model addresses the growing consumer preference for home-based workouts and also satisfies those who value the social and motivational aspects of in-person gym training. Hybrid models are particularly popular in countries like Germany and the UK, where gym chains and boutique fitness studios are incorporating virtual offerings alongside their traditional services.

2. Technological Advancements: AI and Wearables

The integration of artificial intelligence (AI) and wearable devices is reshaping the way fitness programs are delivered. AI technologies enable platforms to analyze user data and provide personalized workout recommendations, improving the overall fitness experience. AI can also track users' progress, offering customized feedback to enhance workout efficiency. Wearable fitness devices such as fitness trackers and smartwatches further contribute to this trend by allowing users to monitor key health metrics like heart rate, sleep quality, and calorie burn in real-time. These devices, when synced with mobile apps, provide users with comprehensive insights into their fitness journey.

3. Increased Health Awareness and Market Growth

In the post-pandemic world, consumer behavior has shifted towards prioritizing health and wellness. The increased demand for health-centric solutions has positioned Europe as a critical market for fitness apps and online platforms. The European online fitness market is expected to grow significantly, with estimates predicting an additional USD 14 billion in revenue from 2024 to 2030. Countries like Germany, France, and Italy are leading this trend, with a high uptake of online personal training, fitness apps, and live workout classes.

4. Personalized and Inclusive Fitness Programs

There is a growing emphasis on personalization in the fitness industry. Online platforms are increasingly offering tailored fitness solutions based on individual user data, making fitness programs more effective and engaging for users with varying fitness levels and goals. Furthermore, inclusivity is becoming a priority, with platforms offering adaptive workouts for seniors and individuals with physical limitations. This broadens the appeal of online fitness programs and ensures that diverse demographic groups can access fitness solutions that suit their needs.

5. Sustainability of Virtual Fitness

Another aspect shaping the future of the industry is the sustainability of virtual fitness as a business model. During the pandemic, virtual fitness saw explosive growth, with a 210% increase in online fitness class engagement and a 170% increase in consumer spending on virtual fitness subscriptions. As consumer interest in virtual fitness remains high, this trend is expected to persist, with more companies investing in the digital space to complement in-person services. Virtual fitness also reduces operational costs for businesses, allowing them to reach wider audiences without the need for significant infrastructure investments.

6. Expansion into New Markets and Segments

With online fitness gaining popularity, European companies are also expanding into new markets, including underserved regions such as Eastern Europe. There is also an increasing focus on offering fitness programs targeted at specific demographics, such as corporate wellness programs, sports institutes, and rehabilitation centers. These segments offer opportunities for businesses to cater to a wide range of users, from professional athletes to individuals recovering from injuries.

Challenges

The European online fitness industry, while poised for significant growth, faces several key challenges as it continues to evolve. Here are some of the most prominent hurdles:

1. Technical Issues and Connectivity

One of the primary challenges for the online fitness market is the reliance on stable internet connectivity. Many users, particularly in areas with poor internet infrastructure, face difficulties streaming live or on-demand fitness content without interruptions. Technical glitches like server downtime or software bugs can disrupt the user experience, leading to frustration and potential customer loss. Addressing these issues requires investment in robust technology infrastructure to ensure seamless delivery of fitness services.

2. User Retention and Engagement

Retention is a critical challenge for online fitness platforms. While many users are initially enthusiastic about virtual fitness, keeping them engaged over the long term is difficult. Motivation tends to decrease over time, leading to churn. This challenge is exacerbated by the competition in the market, where numerous platforms offer similar services, making it easy for users to switch. Platforms must focus on curating high-quality, personalized content and leveraging community-driven features like virtual fitness challenges to maintain user interest.

3. Content Quality and Personalization

Ensuring the quality and effectiveness of workouts is another challenge. Poorly designed or generic fitness programs can result in user dissatisfaction. Consumers are increasingly seeking personalized workout plans that cater to their unique fitness goals and levels. This demand for personalized experiences, often driven by artificial intelligence and data analytics, means that platforms need to invest heavily in customization features to meet diverse user needs.

4. Data Privacy and Security

With the rise of wearable devices and fitness apps that track user data, privacy and security have become significant concerns. Online fitness platforms must ensure that they handle sensitive user data, such as health metrics, responsibly and in compliance with data protection regulations like the General Data Protection Regulation (GDPR) in Europe. Any failure in data privacy can result in a loss of user trust and potential legal consequences.

5. Competing with Traditional Fitness Models

Although online fitness saw a major boost during the pandemic, many consumers still prefer the social and immersive experience of in-person gyms and fitness studios. The challenge for online platforms is to replicate this sense of community and real-time interaction virtually. The rise of hybrid fitness models, which combine in-person and online classes, is one solution, but executing these models effectively requires strategic planning and resources.

Investment Opportunities

The European online fitness industry offers several promising investment opportunities driven by digital transformation, health awareness, and evolving consumer demands. Here are some key areas to consider:

1. Hybrid Fitness Models

Investing in hybrid fitness models that combine both online and offline fitness experiences is a significant opportunity. These models provide flexibility for users to attend virtual classes alongside in-person sessions, catering to a post-pandemic shift in consumer behavior. As demand grows for home-based workouts, hybrid models are gaining traction in major European markets like Germany and the UK.

2. Wearable Technology and Integration

The rise of wearable fitness technology presents another major investment opportunity. Devices such as fitness trackers and smartwatches are increasingly integrated with online fitness platforms, allowing users to monitor their health metrics and receive personalized workout recommendations. This area is expected to experience sustained growth, driven by the convenience and personalization these devices offer.

3. On-Demand Fitness Platforms

On-demand fitness services allow users to access workouts anytime and anywhere, providing a high level of flexibility. This segment is expected to grow significantly, reaching over USD 107 billion globally by 2030. Investors can focus on expanding platforms that offer diverse content, including yoga, strength training, and HIIT, to attract a wide demographic.

4. Personalized Wellness Solutions

There is increasing demand for personalized wellness solutions that integrate fitness with mental health and nutrition. Online platforms are enhancing their offerings by providing holistic experiences that include not just physical workouts but also mindfulness practices and dietary advice. This integrated approach is attracting more users, making it a key area for investment.

5. Mobile Fitness Applications

Investing in mobile fitness apps remains lucrative as smartphones continue to dominate the device segment. Apps that use AI and data analytics to offer customized fitness programs, combined with integration into wearable tech, are in high demand. This segment has significant growth potential as fitness apps become more popular across various demographics in Europe.

By focusing on these opportunities, investors can tap into the expanding European online fitness market, which is driven by consumer demand for convenience, personalization, and digital health solutions.

Related Market Reports From QY Research

QY Research Releases Comprehensive Market Reports on the online fitness Market, as shown in the links below. These reports provide an in-depth analysis of the current market landscape, key trends, and future growth opportunities.

Global Online Fitness Apps Market Insights, Forecast to 2030

https://www.qyresearch.com/reports/3119636/online-fitness-apps

Global Online Fitness Apps Market Research Report 2024

https://www.qyresearch.com/reports/2456120/online-fitness-apps

Online Fitness Classes - Global Market Share and Ranking, Overall Sales and Demand Forecast 2024-2030

https://www.qyresearch.com/reports/2508934/online-fitness-classes

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