As low-price gyms race to expand, Crunch is investing in new equipment and amenities, but also in community and AI-powered technology to keep members engaged
The fitness franchise model is in a moment of reinvention. Amid constant expansion and stiffer competition for budget-conscious fitness fans (particularly Gen Z), high-value, low-price (HVLP) gyms now find themselves at an inflection point.
The category that made fitness more affordable than ever is also facing a more complex consumer, one motivated by mental health, longevity and social connection as much as physical transformation.
As HVLP gyms race to expand, Crunch Fitness, which counts more than 500 locations and three million members worldwide, believes the next stage of growth won’t come from cheaper memberships, but rather connection, recovery and technology that keeps members engaged
“Our job isn’t just to sell memberships,” Crunch vice president of group fitness Jake McLendon told Athletech News. “It’s to help people feel good about moving their bodies, no matter where they’re starting from.”
That mindset (belonging as a service) may prove to be the fitness franchise’s most valuable amenity yet.
The ‘No Judgments’ Model, Reframed
With its famous “no judgments” tagline, Crunch’s founding philosophy has always been about acceptance, but in 2025, it’s a message that lands differently as the Centers for Disease Control and Prevention reports that more than 40% of U.S. adults qualify as obese under medical definitions.
“The updated medical definitions remind us that health looks different for everyone and that gyms need to be spaces where all members and body types feel welcome,” McLendon said. “Our ‘No Judgments’ philosophy has always been about creating an environment where anyone, regardless of fitness level, can take that first step and feel supported.”
Instead of assuming a new member arrives ready for high-intensity training, Crunch trains its staff to meet people where they are, connecting each person with a service or class that feels enjoyable from the start.
“Our focus is connecting new members with a product or service they love to do,” McLendon said. “Fitness has to be fun and enjoyable. For us, it’s moving members to a state of intrinsic motivation where they ‘want to work out,’ not feel like they have to.”
Strength & Recovery in the GLP-1 Era
The GLP-1 revolution has altered the fitness conversation in new ways. While the medications were initially seen as competitors to gyms, McLendon said they’ve actually expanded the population thinking seriously about long-term health.
“We’ve seen more members coming in with health goals tied to overall strength and wellness rather than weight loss alone,” he said. “Some are using GLP-1 medications, and others are simply rethinking what fitness means to them. Our members have increasingly prioritized strength training, recovery longevity and a holistic approach to wellness.”
It’s a shift that is changing program design across Crunch clubs. McLendon emphasized that strength classes are critical for all members, especially those taking GLP-1s, due to the medication’s risk of muscle mass.
“Classes that focus on strength should be a backbone for all members, especially those on GLP-1,” he said. “A large percentage of people forget about this component of health when focusing totally on weight loss. The benefits of strength training have a wide span and are able to have a greater impact on people’s daily activities and lifestyle.”
The company has also invested in new recovery zones and modalities under its Relax & Recover brand, featuring compression sleeves, red light therapy and infrared saunas. The approach appeals equally to GLP-1 users managing energy levels and to traditional members chasing performance gains.
Experience as the Differentiator
Unveiled in early 2025, Crunch’s new 3.0 design template signals how far the HVLP gym model has evolved. The new model upgrades clubs with modernized color palettes and dedicated zones for its Relax & Recover services. It also folds in AI technology that powers the personal training floor.
“Our personal training programming is powered by an AI workout builder that allows our personal trainers to optimize programs based on a member’s goals,” Crunch senior vice president of experience John Tate told ATN. “Our recommendation engine is fed information from progress checks on seca TRU machines, and the workout builder continues to optimize the program as a member progresses on their fitness journey.”
Crunch’s leaders agree that the brand’s staying power comes from its human connections as much as its price point. Tate described community as a measurable business advantage: members who join with a friend or engage in group classes renew at higher rates and spend more time in the club.
“The goal of the first week is to help new members feel supported as they build confidence in their new gym and routine,” he said. A cornerstone of that process is the CrunchONE Kickoff, a one-hour session with a certified personal trainer that helps new members map out goals.
“Members taking advantage of a kickoff are 80% more likely to meet their fitness goals,” Tate added.
Franchisees are also experimenting with local community-building tactics that Crunch hopes to scale, from friendly challenges to micro-competitions that cultivate motivation.
“There’s something special about sweating next to someone and being pushed beyond what you thought you were capable of doing,” Tate said. “We’re working to build upon that insight to bring more gamification and competition to our experience in both big and small ways.”
What’s Coming Next
As HVLP gyms are projected to see strong growth in the years ahead, Crunch is gearing up for what could be a defining stretch for the category.
“High-value gyms are expected to see far more growth in 2026,” McLendon noted. “With costs rising across the board, people are looking for ways to get fit without breaking the bank.”
To meet the expectations, Crunch is giving franchisees more ways to compete on experience. The brand’s new design blueprint includes optional hot studios for heated yoga, Pilates and mobility classes, alongside expanded recovery technology and digital enhancements.
Tate hinted at more to come: “We’ll also be leaning into AI in a very meaningful way to enhance both the member and team member experience. Stay tuned.”
A version of this article originally appeared in ATN’s “Franchise Landscape” report, which breaks down the business of fitness and wellness franchising, drawing on interviews, executive-level insights and new market data. Download the free report.
