Strong competition among fitness centers has forced one early market leader to look to China for future expansion.
"With competition heating up in Taiwan, exploring new markets is very important," said Candy Tang (唐雅君), chairwoman of Alexander Health Club (亞歷山大俱樂部).
Opening its first gym in 1992, the company operates 22 stores nationwide and boasts 160,000 members.
Over 90 percent of its stores are in Taipei and the average customer is female between the ages of 20 and 40.
But the draw of the China market and its massive population is proving hard to resist.
"Shanghai is a good place to start our business in China, as residents there are more open to Western lifestyles and lots of foreign businessmen live there," Tang said.
With plans to open its first gym in China in April, the chain has invested NT$150 million into the 2,500 ping (756m2) facility in downtown Shanghai, which is strategically located next to a cinema and a shopping center.
But Alexander will not be the first to offer stair-steppers and universal weight machines in Shanghai.
Several international gym operators from the US and Hong Kong have already set up shop in China's financial center, Tang said.
Tang says plans are in the works for five Alexander gyms to be set up in Shanghai and Beijing by 2003. The group hopes to break even within two years of each center's opening.
Facing stiff outside competition, Alexander has in recent days slowed its domestic expansion.
"Two years ago, we expanded our market in Taiwan rapidly, opening up eight new branches a year. That number is down to two this year," Tang said.
Foreign fitness peddlers, however, are still betting on Taiwan's future potential. US-based California Fitness Center has opened three gyms in Taipei's hot spots.
"We try to blend exercise into people's lives, so we choose locations near MRT lines and entertainment districts," said Clare Chang (
The company's three centers are all in downtown Taipei: One is near the Dinghao shopping District, another is across from the Taipei train station and the third is in Hsimending.
The next California center is planned for Taichung.
"We are still looking for suitable place to open a new center in Taipei. Right now, however, we plan to enter other cities first," Chang said.
The company said the market still has plenty of room for growth.
"With our study, we found only 3 percent of Taiwanese go to gyms regularly. That's far behind Hong Kong's 5 percent and the US' 12 percent. Therefore, there are still a lot potential customers out there," Chang said.
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