CASE STUDY
ÉNERGIE FITNESS: TRANSFORMING THE SUPPLY CHAIN & DELIVERING SIGNIFICANT BUSINESS SAVINGS
THE CLIENT
énergie Fitness is a UK & Ireland gym franchise. Launched in 2003, the operator has 105 clubs in its network, with over 140,000 members. The gym chain will be launching into Europe, India and USA later this year (2020).
THE REQUIREMENTS
énergie Fitness initially approached Thirty Six to audit its suppliers and buying behaviours, as part of a review into the business’ procurement processes. This formed part of a major project to re-shape the gym chain’s getting into business programme to support new franchisees, known as Enterprise.
The review looked at how gyms in the network purchased all key components required to operate the facility. This included fitness equipment, access control, air conditioning, signage, and fixtures and fittings.
The aim was to work towards a solution that created greater synergies across the organisation, to better support franchisees and the énergie central business and to deliver a more streamlined approach to purchasing.
Upon completion of the audit, Thirty Six implemented a new procurement structure with a Nominated Supplier list, with Thirty Six leading on the negotiations with all suppliers to secure better prices for franchisees and standardisation across the énergie network. The result was better buying power across the business and much-improved relationships with suppliers, plus even greater engagement with franchisees. Since the work with Thirty Six, the company’s annual conference, évolution, has also seen its best attendance in the event’s history, with the Supplier Showcase oversubscribed.
In addition, Thirty Six managed a number of projects, including the design and implementation of énergie’s new studio space. Known as ‘thé Yard’, the group training concept aimed to tap into the popular boutique fitness trend, comprising HIIT, boxing, cardio and strength training in one functional training space. thé Yard was first installed at énergie Fitness Sheldon in August 2017 and continues to be rolled out across the énergie network, with Thirty Six refining the model to secure even better prices for franchisees.
There is no doubt that Thirty Six has fundamentally improved our supply chain and helped the business to leverage its buying power.
Our suppliers now understand our business objectives and want to work with us; this has improved the relationships we have with them and the value we can then offer back to our network.
They are a great company to work with and always display a ‘can do’ attitude, with nothing seeming impossible.