Pandemic teaches Kuwait’s fitness industry a healthy business lesson

1 / 3
Fitness centers in Kuwait have adopted novel business approaches in the wake of stringent virus curbs, including renting out equipment. Supplied
2 / 3
Fitness centers in Kuwait have adopted novel business approaches in the wake of stringent virus curbs, including renting out equipment. Supplied
3 / 3
Fitness centers in Kuwait have adopted novel business approaches in the wake of stringent virus curbs, including renting out equipment. Supplied
Short Url
Updated 05 December 2020
Follow

Pandemic teaches Kuwait’s fitness industry a healthy business lesson

  • Gyms and fitness clubs in Kuwait were forced to shut down in mid-March and not allowed to resume until the end of August
  • To survive the pandemic, club owners were forced to innovate: renting out equipment and moving training sessions online

KUWAIT: The COVID-19 outbreak has had devastating effects on almost all aspects of business in the region, and the gym and fitness sectors are no exception. In response to this unprecedented challenge, some operators have come up with innovative ways to stay afloat and continue serving their customers.

Before the virus hit, the fitness market in Kuwait had achieved a steady annual growth rate of around 6 percent between 2012 and 2017. This expansion was fueled by an increasing expatriate population, widespread obesity, and a rise in health consciousness that has led to a shift in lifestyle. The growth rate was expected to hit around 10 percent in 2022, based on a report by Research And Markets.

“The COVID-19 pandemic has affected our business greatly over the past six months and will continue to do so until people feel safe to return to the normality of life,” said Anthony Brown, operations manager at Elite Fitness, a facility in Kuwait that offers personal training, group fitness classes and aerial yoga, among other fitness activities.

Gyms and fitness clubs in Kuwait were forced to shut down in mid-March. As part of the government’s reopening plan, the sector was not allowed to resume operations until the end of August with certain restrictions in place to limit the spread of the disease among gym-goers.

“You put people together in a closed environment, particularly where they engage in strenuous activity that may involve them producing droplets, heavy breathing, shouting, whatever else,” Dr. Mike Ryan, an epidemiologist and the executive director of the World Health Organization’s Health Emergencies Program, said in a Q&A session on COVID-19.

With six full months of complete business shutdown, Elite Fitness — as other fitness businesses in Kuwait — had to innovate to remain afloat and ensure their staff of almost 70 people can survive.

“We immediately went online, offering classes and personal training sessions to be conducted through apps such as Zoom and Instagram,” Brown said.

According to him, that was not enough because a gym’s main source of revenue is people walking through the door and buying a membership. Thus, Elite Fitness and some of its peers decided to move the gym to customers’ homes.

“We are very fortunate in that we have a huge stockpile of equipment, so we were able to do this without compromising any equipment which we use in our facilities on a day-to-day basis,” Brown said.

IN NUMBER

6% Annual growth rate of Kuwait’s fitness sector in 2012-2017.

Over this period, the maintenance workers, receptionists and management team successfully rented out various gym equipment to over 100 customers. Most of the gear was delivered and unloaded in homes to ensure it arrived safely and in proper working order.

“People are now in the habit of (exercising) at home; they have seen the ease with which it can be done and the time and money they can potentially save,” Brown said.

While this shift might not be in the best financial interest of the gym industry, adapting to the new reality has helped Elite Fitness deal partly with the devastation the pandemic has caused.

Furthermore, current restrictions on the number of people allowed into fitness facilities increase the burden on the industry as it tries to recover. “We have over 3,500 square meters (of space). For our business to be functioning and profitable, we need to keep it busy,” Brown said.

Before COVID-19, Elite Fitness delivered over 200 sessions of personal training daily. Limits on how often members can come to the gym and the fact that classes can no longer be back to back to allow for cleaning have significantly impacted the number of training sessions the company can currently offer.

Brown, however, is not worried about the long-term prospects of his industry. “I think, with time, more people will start coming back. Gyms in Kuwait are very social and give people an outlet to interact, so inevitably they will again want to do this,” he said.

“As the market begins to recover and the population starts to regain confidence in getting out and (being) social, the industry will again start to boom, as it has over the past 10-15 years.”

_________________________

ª This report is being published by Arab News as a partner of the Middle East Exchange, which was launched by the Mohammed bin Rashid Al Maktoum Global Initiatives to reflect the vision of the UAE prime minister and ruler of Dubai to explore the possibility of changing the status of the Arab region.

 


Huge blast at military base used by Iraqi Popular Mobilization Forces, army sources say

Updated 6 sec ago
Follow

Huge blast at military base used by Iraqi Popular Mobilization Forces, army sources say

BAGHDAD: A huge blast rocked a military base used by Iraq’s Popular Mobilization Forces (PMF) to the south of Baghdad late on Friday, army sources told Reuters.

 


Leaders of Jordan and Pakistan call UAE president to express concern about effects of severe storm

Updated 19 April 2024
Follow

Leaders of Jordan and Pakistan call UAE president to express concern about effects of severe storm

  • Leaders passed on their best wishes to the country as it recovers from the storms

DUBAI: The president of the UAE, Sheikh Mohammed bin Zayed Al-Nahyan, received telephone calls from King Abdullah of Jordan and Pakistan’s Prime Minister Shehbaz Sharif on Friday, during which they expressed concern about the effects of the severe weather, including unusually heavy rainfall, that battered parts of the country this week.

They also passed on their best wishes to the country as it recovers from the storms and “conveyed their heartfelt hopes for the safety and prosperity of the UAE and its people, praying for their protection from any harm,” the Emirates News Agency reported.

Sheikh Mohammed thanked both leaders for their warm sentiments, and emphasized the strong bonds between the UAE and their nations.

The UAE and neighboring Oman were hit by unprecedented rainfall and flooding on Tuesday, with more than 250 millimeters of rain falling in parts of the Emirates, considerably more than is normally seen in a year. Dubai International Airport was forced to close temporarily when runways were flooded.
 


Peshmerga fighter dies in Turkish strike in north Iraq

Updated 19 April 2024
Follow

Peshmerga fighter dies in Turkish strike in north Iraq

JEDDAH: A member of the Kurdish Peshmerga security forces was killed on Friday in a Turkish drone strike in the autonomous Kurdistan region of northern Iraq.

Ankara regularly carries out ground and air operations in the region against positions of the outlawed PKK, the Kurdish separatist group that has waged a decades-long insurgency against the Turkish state.
The victim of Friday’s attack died in a drone strike on his vehicle, said Ihsan Chalabi, mayor of the mountainous Sidakan district near Iraq’s borders with Turkiye and Iran.
For decades, Turkiye has operated several dozen military bases in northern Iraq in its war against the PKK, which Ankara and its Western allies consider a terrorist group.
Both Baghdad and the Kurdish regional government have been accused of tolerating Turkiye’s military activities to preserve their close economic ties.
At the beginning of April, a man described as “high-ranking military official” from the PKK was killed in a Turkish drone strike on a car in the mountainous Sinjar region, according to the Kurdistan counterterrorism services.
Turkish President Recep Tayyip Erdogan is expected to visit Baghdad on Monday on his first official visit to Iraq since 2011.
Iraq’s Defense Minister Thabet Al-Abassi in March ruled out joint military operations against the PKK, but said that Turkiye and Iraq would “work to set up a joint intelligence coordination center.”


Middle East in ‘shadow of uncertainty due to regional conflicts’

Updated 19 April 2024
Follow

Middle East in ‘shadow of uncertainty due to regional conflicts’

WASHINGTON: Economies in the Middle East and North Africa face a “shadow of uncertainty” from ongoing tensions in the region, a senior IMF official said.
“We are in a context where the overall outlook is cast into shadows,” Jihad Azour, the International Monetary Fund’s director for the Middle East and Central Asia department, said in an interview in Washington.
“The shadow of uncertainty on the geopolitical side is an important one,” added Azour, a recent candidate for the next Lebanese president.
In the face of the ongoing conflicts in Gaza and Sudan and a recent cut to oil supplies by Gulf countries, the IMF has pared back its growth outlook for the Middle East and North Africa region once again.

FASTFACT

Economic activity in Gaza has ‘come to a standstill’ and the IMF estimates that economic output in the West Bank and Gaza contracted by six percent last year.

The IMF expects growth in MENA of 2.7 percent this year — 0.2 percentage points below its January forecast — before picking up again next year, the IMF said in its regional economic outlook report.
The risks to growth in the MENA region remain heightened, the IMF said, pointing to the danger of greater regional spillovers from the ongoing Israel-Gaza war.
“We have concerns about the immediate and lasting impact of conflict,” Azour said.
The IMF report said that economic activity in Gaza has “come to a standstill” and estimates that economic output in the West Bank and Gaza contracted by 6 percent last year.
The IMF said the report excludes economic projections for the West Bank and Gaza for the next five years “on account of the unusually high degree of uncertainty.”
The IMF cannot lend to the West Bank and Gaza because they are not IMF member countries.
However, Azour said it has provided the Palestinian Authority and the central bank with technical assistance during the current conflict.
“When we move into the reconstruction phase, we will be part of the international community support to the region,” he added.
Azour also discussed the situation in Sudan, where thousands have been killed in a civil war that has also devastated the economy, causing it to contract by almost 20 percent last year, according to the IMF.
“The country is barely functioning, institutions have been dismantled,” he said.
“And for an economy, for a country like Sudan, with all this potential, it’s important to stop the bleeding very quickly and move to a phase of reconstruction,” he added.
The recent Houthi attacks have particularly badly hit the Egyptian economy on Red Sea shipping, which caused trade through the Egypt-run Suez Canal to more than halve — depriving the country of a key source of foreign exchange.
Egypt reached an agreement last month to increase an existing IMF loan package from $3 billion to $8 billion after its central bank hiked interest rates and allowed the pound to plunge by nearly 40 percent.
A key pillar of the current IMF program is the privatization of Egypt’s state-owned enterprises, many of which are owned by or linked to the military.
“This is a priority for Egypt,” Azour said. Egypt needs to have a growing private sector and give space for the private sector to create more jobs.”
“We have an opportunity to re-engineer the state’s role, to give the state more responsibility as an enabler and less as a competitor,” he said.

 


Oxfam director urges global support for refugees in Jordan

Updated 19 April 2024
Follow

Oxfam director urges global support for refugees in Jordan

  • Dmitry Medlev speaks of impact of over 3m people from neighboring areas

LONDON: Oxfam’s country director in Jordan said on Friday the global community had a responsibility to support refugees, especially in light of unrest in the Middle East.

In an interview with the Jordan News Agency, Dmitry Medlev described how an influx of over 3 million refugees from neighboring areas had stretched Jordan’s economic resources, disrupted local communities, and burdened public services.

He described the refugee’s experience as harrowing, often involving the painful process of abandoning the individual’s homeland and everything they held dear.

He said: “We are sending a message to the world not to overlook the refugee problem and to keep its focus on the new global disasters created by humans or caused by natural disasters, and the conflicts that have emerged in several countries recently, because the refugee problem is draining host countries and imposing additional burdens on them that they may not be able to bear in the future.”

Medlev called for enhanced international cooperation and adherence to international humanitarian law in supporting refugees, underscoring the need for long-term solutions to the ongoing crisis.

He also spoke of Oxfam’s initiatives in Jordan, such as the Waste to Positive Energy project in partnership with the Federal Ministry of Economic Cooperation and Development, and the EU, and executed with the German Corporation for International Cooperation. The project focuses on waste management and recycling in Zaatari Camp and Mafraq Governorate, processing about 30 tonnes of waste per day.

Medlev also pointed out Oxfam’s efforts in promoting economic and climate justice through grants aimed at empowering local projects led by women and youngsters. These grants help enhance project efficiency, ensure sustainability, and connect beneficiaries with supportive institutions.

He outlined Oxfam’s five-year strategy in Jordan, which focuses on gender justice, climate justice, and economic justice, and aims to bolster the country’s preparedness for disasters, enhance employment opportunities, and provide humanitarian support for refugees.

Jordan’s King Abdullah II told the UN General Assembly in September that the world must not abandon Palestinian refugees to the forces of despair.