The Great Fitness Consolidation: Big Tech & Boutique Brands

Key Takeaways

• Record gym membership: A record 81 million Americans belonged to a gym, studio, or fitness facility in 2025, reaching 26.1% penetration of the U.S. population ages 6 and older.
• $7.5 billion mega-merger: Playlist (parent of Mindbody, Booker, and ClassPass) completed its merger with EGYM in March 2026, creating the world's largest fitness technology platform spanning over 40,000 businesses, 88,000 ClassPass venues, and 20,000 corporate wellness partners.
• Big-box gym acquisition wave: EoS Fitness acquired 14 gyms and signed 11 new leases in Q1 2026, while LongRange Capital and Mark Mastrov acquired 24 Hour Fitness, signaling aggressive consolidation among traditional gym chains.
• Boutique fitness boom: Pilates participation grew nearly 40% from 9.2 million in 2019 to nearly 13 million in 2025, with Club Pilates expanding beyond 1,200 locations and the boutique gym market projected to reach $13 billion globally by 2032.
• Retention over acquisition: Studios saw cancellations drop 6% in 2025 while gym cancellations rose 8%, with retention costing 5 to 25 times less than new member acquisition, driving investment in AI-powered personalization and engagement tools.

The $7.5 Billion Merger Reshaping Fitness Technology

In March 2026, Playlist completed its merger with EGYM, uniting the world's two largest fitness technology platforms into a single $7.5 billion enterprise. The combined company brings together Mindbody's gym management software, ClassPass's class discovery marketplace, and EGYM's connected strength equipment and AI-driven training systems under one roof.

The scale is staggering. At closing, the merged entity served more than 40,000 Mindbody-powered fitness businesses, listed over 88,000 venues on ClassPass, and partnered with more than 20,000 employers through EGYM Wellpass corporate wellness programs. The deal raised $785 million in new equity investments, signaling strong investor confidence in the consolidation thesis.

For everyday gym-goers and ClassPass users, this merger means the platforms you already use will likely become more integrated and personalized. The combined company has announced plans to invest further in AI, personalization, and platform connectivity, promising smarter class recommendations, tighter data sharing across your workouts, and more seamless experiences whether you're booking a spin class or logging sets on connected equipment.

Big-Box Gyms Are Buying, Building, and Reinventing

Traditional gym chains are consolidating rapidly in 2026. EoS Fitness acquired 14 gyms, signed 11 new leases, and opened three new locations in the first quarter of 2026 alone, with each acquired location undergoing full redesign before reopening under the EoS brand. The redesigned spaces feature dedicated strength and performance zones, immersive lighting and sound, AI technology integration, specialized group fitness studios, recovery-focused areas, and flexible training zones.

Meanwhile, LongRange Capital and Mark Mastrov, the original founder of 24 Hour Fitness, partnered to acquire the fitness club chain, signaling that legacy brands are being reimagined by experienced operators and private equity. Separately, Life Time increased in-center revenue by 14.4% in late 2025 by repositioning itself as a premium wellness destination and focusing on "Dynamic Personal Training" and high-end services rather than competing as a traditional gym.

These moves reflect a broader industry strategy: acquire scale, invest in technology and design, and elevate the member experience to justify higher price points and improve retention.

Boutique Fitness Franchises Scale Up Behind the Scenes

Boutique fitness is thriving in 2026, but increasingly it's being scaled through franchise consolidation and umbrella ownership groups. Club Pilates, part of Xponential Fitness, has surpassed 1,200 locations and continues expanding in the U.S. and global markets. Pilates has become the breakout fitness modality of the decade, with active participation growing nearly 40% from 9.2 million in 2019 to nearly 13 million in 2025, driven in part by celebrity endorsements.

Other boutique brands are following similar growth trajectories. Fitness Together, owned by WellBiz Brands, finished 2025 with about 90 studios. Bodybar expanded from 48 locations in 17 states to 75 locations in 26 states over the past few years. Miami-based Jetset Pilates added roughly 25 new studios in 2025, bringing its total to more than 40 locations. Extraordinary Brands, an umbrella franchisor of boutique fitness brands, acquired Basecamp Fitness from Purpose Brands, with Basecamp operating more than 20 units in the United States.

The boutique fitness studio market is projected to reach $59 billion by 2030, with a compound annual growth rate of about 8%. The boutique gym market is valued at $5.4 billion globally, with projections to reach nearly $13 billion by 2032. Strength training and functional fitness formats have seen the fastest growth trajectory entering 2026, reflecting a consumer shift toward resistance training and longevity-focused exercise.

For readers, this consolidation means boutique studios are increasingly backed by umbrella franchisors that provide centralized technology support, marketing, and operational expertise. The result: more consistency, scalability, and staying power in the boutique experience you love.

Why Retention Has Become More Important Than New Sign-Ups

A strategic shift is underway in 2026. Successful fitness businesses are prioritizing member retention over new member acquisition, driven by hard economics: it costs 5 to 25 times more to acquire a new member than to keep an existing one.

The numbers back this up. Studios saw cancellations drop by 6% in 2025, while gyms saw cancellations rise by 8%. Studios that lean into community building, habit support, and stronger member experiences are outperforming on the metrics that matter most. This explains why platforms like the merged Playlist/EGYM entity and software providers like Mindbody are investing heavily in AI-driven personalization and member engagement tools designed to reduce churn.

Operators are using AI for operational efficiency, with 44% leveraging it for automated marketing content creation, customer service chatbots, and predictive analytics that identify at-risk members before they cancel. This technology-enabled focus on retention is reshaping how studios and gyms interact with members on a day-to-day basis.

What This Means for Readers

Editorial analysis — not reported fact:

The fitness industry you interact with in 2026 is consolidating into fewer, more powerful platforms. If you use ClassPass, book classes through Mindbody, or work out at a gym with EGYM equipment, expect tighter integration, more personalized recommendations, and potentially more data sharing across platforms in the months ahead. That can mean a smoother experience, but it also means fewer independent alternatives and more of your workout data flowing through a single ecosystem.

If you're a gym member at a chain like EoS or 24 Hour Fitness, the acquisition wave likely means renovated facilities, better technology integration, and higher-quality amenities, but it may also mean higher membership fees as operators position themselves as premium wellness destinations rather than budget gyms. If you prefer boutique studios, the franchise consolidation trend suggests your favorite studio is more likely to survive and expand, but it may also lose some of its local, independent character as it's folded into a larger brand portfolio.

Most importantly, the industry's pivot toward retention over acquisition is good news for members. Expect more personalized outreach, better community programming, and studios that work harder to keep you engaged and coming back. The flip side: more AI-driven messaging and predictive analytics tracking your attendance patterns. If you value your fitness privacy, now is a good time to review app permissions and data-sharing settings on platforms like ClassPass and Mindbody.

Sources & Further Reading

• IHRSA: Mindbody Parent Company Playlist Completes Merger with EGYM — Coverage of the March 2026 merger, enterprise valuation, and combined platform scale
• Club Industry: EoS Fitness Acquires 14 Gyms, Signs 11 New Leases Year to Date — Q1 2026 acquisition and expansion activity, facility redesign features
• Club Industry: LongRange Capital, Mark Mastrov Acquire 24 Hour Fitness — Details on the legacy brand acquisition and operator background
• Club Industry: Life Time Increases In-Center Revenue 14.4 Percent Focusing on Dynamic Personal Training — Premium repositioning strategy and late 2025 revenue growth
• Franchising.com: Boutique Fitness Trends 2026 — Club Pilates expansion, Pilates participation growth, boutique market projections, franchise acquisitions
• Club Industry: Retention Over Acquisition for Boutique Fitness Studios in 2026 — Cost differentials, cancellation trends, AI adoption for member engagement

Editorial coverage of publicly reported health, fitness, wellness, nutrition, and active living developments. Move Weekly has no commercial relationship with any companies, gyms, studios, brands, events, experts, products, or organizations named.