Boutique Brands Must Think Beyond Fitness, Top CEOs Say
CEOs from four leading boutique fitness brands give their thoughts on the state of the industry in 2025, and where it’s heading in the years to come
The boutique fitness sector is at a crossroads – in-person fitness is more popular than ever as people seek community but increasing competition from low-price gyms and a vast array of options means many brands are struggling to gain market share.
Despite these challenges, boutique fitness executives are bullish on the industry’s future, pointing to the human power of group fitness – and the rising demand for fitness experiences in general. They also believe boutique fitness brands must think outside the four walls of the studio, embracing trends like longevity, recovery and holistic health to appeal to more sophisticated and knowledgeable consumers.
Athletech News spoke with CEOs of four of the top companies in boutique fitness to get their thoughts on the state of the industry in 2025, and where it’s heading in the years to come.
Xponential Eyes International Expansion
Xponential Fitness is the world’s largest boutique fitness and wellness franchisor, operating well over 2,000 studios across its eight brands, 470 of which are outside of the United States. In 2025, Xponential is looking to become even more well-known across the globe.
“Looking back at 2024, what stands out most among many milestones are the range of brand-level wins we saw across our portfolio, especially in the area of international expansion – a key strategic pillar for this next phase of our business,” Xponential Fitness CEO Mark King tells ATN.
Xponential brands including Rumble Boxing, Pure Barre, YogaSix, Club Pilates and Body Fit Training (BFT) all made big international expansion moves this past year. In 2024, Xponential’s various brands entered or strengthened their presence in countries including Japan, Mexico and Germany, along with additional expansion moves across the Middle East, Asia and Europe.
King believes Xponential is well-positioned to thrive in a new era for boutique fitness as consumers seek holistic experiences that extend beyond just working out.
“Boutique fitness is evolving to offer a more holistic approach to health, moving beyond just workouts to include stretching, metabolic health and structured recovery programs,” he says. “Consumers are looking for fitness solutions that support their well-being in a more comprehensive way, which is why concepts like StretchLab and Lindora have seen such strong demand.”
“Recovery, in particular, is becoming a key part of the fitness journey, with people seeking guided solutions that help them move better, reduce injury risk and optimize performance,” King adds.
While King recently announced his decision to retire from Xponential once the company completes a search for his replacement as CEO, the former Taco Bell chief executive is bullish on the long-term future of boutique fitness, pointing to its ability to bring people together for human connection.
“While economic pressures persist, the boutique fitness and wellness sector has proven its resilience by offering more than just workouts – it provides community, accountability and a sense of belonging,” King says.
FIT House of Brands Brings It All Under One Roof
On March 12, F45 Training unveiled FIT House of Brands, a new name for the umbrella entity that operates F45 (HIIT-focused) FS8 (Pilates, yoga and tone) Vaura Pilates (athletic-style pilates)
It’s the latest step in CEO Tom Dowd’s mission to turn FIT into the ultimate brand – one that marries traditional boutique fitness workouts with the latest trends in health, wellness, recovery and longevity.
“The future of fitness is about more than just workouts; it’s about total wellness, community, and data-driven training,” Dowd tells ATN. “FIT House of Brands has evolved beyond HIIT, leading the way with multi-modality fitness across our brands, recovery solutions, smart technology and experiential community-led integrations.”
In recent months, FIT has struck partnerships with brands including Hyrox, Red Bull and telehealth platform Dr. B. According to the company, it achieved all-time highs in average studio revenue globally in 2024, with F45 Training increasing by 12.4%, FS8 by 23.9%, and Vaura by 51.1%. FIT opened 75 new studios and signed an additional 87 franchise agreements across its brands in 2024.
FIT’s strategic priorities for 2025 include strategic global expansion, building awareness through more partnerships and supporting franchisees through optimized studio operations, technology and additional revenue streams such as recovery services (F45 recently unveiled “Recovery by F45 Training,” and FS8 and Vaura are exploring similar concepts).
Dowd points to the rise of “functional training for longevity,” as one of the biggest trends in the industry – and an opportunity for operators.
“There is a massive opportunity in the above-50s market, and we are uniquely positioned to serve this demographic,” he says. “People are living longer, staying active, and looking for the fitness solutions that we offer to help them move well, stay strong, and maintain their quality of life well into later years.”
Challenges include a “shortage of skilled trainers,” standing out in a crowded boutique fitness marketplace and thoughtfully integrating technology like AI, wearables and virtual training into the in-person fitness experience, Dowd says.
Barre3 Trusts the Science
Barre3 is one of the biggest brands in boutique fitness, now counting over 200 locations open or in development.
Co-founded by CEO Sadie Lincoln and her husband Chris back in 2008, the Portland, Oregon-based barre brand has become a success thanks to the power of its barre-oriented workouts, by supporting franchisees and by acquiring smaller barre brands, especially in recent months.
Looking ahead, Lincoln tells ATN that barre3 intends to continue integrating technology like wearables into its workouts and following the science wherever it leads, especially in the area of women’s health.
“One thing that makes barre3 different is our ability to evolve our workouts based on science and the changing needs of our clients,” Lincoln says. “We are not tied to a strict methodology or heritage nor equipment that limits the variety of our movement. Instead, we focus on evolving our workouts and empowering our clients with our mindful approach so they can leverage the body wisdom they are bringing in that day.”
Lincoln encourages her industry peers to get on board with this science-first approach, believing this will help fitness and wellness brands earn a better reputation in the eyes of the public and with lawmakers in Washington, D.C.
“It is safe to say that all of us in fitness would like to be considered an essential business should another health epidemic hit,” Lincoln says. “Related to this, a greater emphasis on connecting fitness and wellness products and services as proven preventative health care is still needed.”
“We are noticing some improvement with more physicians referring their patients to barre3 as a preventative measure for anything from preventing bone loss to building strength or as a way to support patients pre and post-surgery,” she notes.
Under Purpose Brands, Orangetheory Is Primed for the Future
Already one of the world’s largest boutique fitness brands, Orangetheory Fitness got even bigger in 2024 when it merged with Anytime Fitness parent Self Esteem Brands to create Purpose Brands, a holding company that controls nearly 8,000 locations across the globe.
Orangetheory itself has over 1,5000 studios worldwide, and under Purpose Brands, the boutique fitness giant is eyeing even more growth, including in international markets like Canada, Latin America and the Gulf Cooperation Council (GCC).
“We are singularly focused on growing our footprint while helping our franchise owners deliver better health outcomes for members and achieve stronger financial growth,” Purpose Brands CEO Tom Leverton tells ATN. “Our targets are to reach 10 million members and 10,000 combined locations worldwide by 2030. ”
Leverton points to personalization as a key trend shaping the industry. Tech tools like AI-driven coaching will help brands personalize fitness, but so will taking a human approach.
“Inclusivity and accessibility remain major trends shaping the industry,” Leverton says. “Today’s fitness consumers are more diverse and informed than ever before, seeking solutions that cater to individual needs – whether through adaptive workouts, mental wellness programs or culturally relevant offerings.”
As people become increasingly tuned into their own health and longevity, fitness brands must fight to gain favorable status among political and business leaders, Leverton believes.
“We must remain vigilant as an advocate for regulations and policies that can positively affect consumers’ options to manage their health and longevity, including essential status for fitness and wellness services, insurance mandates for services memberships and more,” he says. “And we must closely follow geopolitical dynamics to anticipate any supply chain impacts that we will need to navigate as we continue to expand and modernize our existing footprint.”
This article originally appeared in ATN’s 2025 State of the Industry Outlook Report, a go-to guide for understanding the next-generation concepts that will shape the fitness and wellness industry in the upcoming decade. Download the free report.