Due be inferred that one person out of seven

Due to rising peak of demands, service businesses have been seen as one of the first investment choices when it comes to generating the highest profit margins out of total earnings. Meanwhile, the enthusiasm of fitness club investment has become the major driving force during the 1990s (Pamben, 2017). In particular, many European home-grown brand fitness clubs were established contiguously during that time (Tawse and Keogh, 1998). According to The 2017 State of the UK Fitness Industry Report, it showed that “UK fitness club memberships rose by 5.1 percent to 9.7 million which boosted the penetration rate to an all-time high of 14.9 percent, up from 14.3 percent in 2016.” It also could be inferred that one person out of seven in UK has joined a membership in a private fitness club. After all, the movement of individuals who are taking care of their health is increasing not only in Europe continent but also Asia.  

One of the gigantic international fitness chain company, Fitness First said that their business presence in Asian countries like Hong Kong, India, and Southeast Asia has been a huge success so far (Holliday, 2014). They added more that the fitness participants rate in total population had surged toward 15 percent; compared to 30 percent participation rate of the mature market in the U.S., it is definitely a great start for emerging market (Holliday, 2014).

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Talking about fitness industries in Southeast Asia, the whole markets including fitness private club, supplement, and sport-wear apparel have made an aggressive growth between 15 to 20 percent every year from the last five years, comparing to 5 percent in the beginning (Rapoport, 2015). The local major players in this field are Singapore, Malaysia, and Thailand; these countries have pushed the trends to its neighboring countries like Vietnam, Myanmar, and Cambodia (Rapoport, 2015).

 

Looking back to Cambodia population, potential market growth in young generation is quite huge due to the fact that this country has a very young population with median age of 24.3 years. According to Worldometers (2017), 3.4 million people accounted for 21.4% out of total population are living in Phnom Penh city, and most of them are the active young population who are studying and working in the city. According to Phnom Penh Post, they reported that the number of clubs in Phnom Penh is growing to meet the increasing demand (Phnompenh Post, 2013). Cambodian people start to go to the gyms, however, as they become more aware of the benefits of fitness, as incomes rise and governments’ promote healthier lifestyles to combat rising obesity. We have seen a phenomenal development in this sector. Comparing from 2010 to 2015, the participation rate of Cambodian people going to the gym has been increasing in average 23.4 percent annually (KH Report, 2015). Base on the official website of Ministry of Tourism Cambodia, there are approximately more 107 fitness centers which are operating daily around Phnom Penh city in 2017. Aside from the growth of fitness center, there were few concern dissatisfactions feedback and review from foreigner tourists due to the insufficient standard of fitness facilities and service to meet their expectation. However, later on, there are few incoming fitness establishments of premium quality bring to the city.