Gen Z consumers swap bar tabs for gym memberships

At 7 p.m. in London, a gym lobby in Soho resembles a members’ club, with smoothie bars and steady arrivals for reformer Pilates. Across the U.K. and U.S., younger consumers are redirecting discretionary spending from nightlife to fitness as alcohol consumption declines. Bank of America reports rising gym-related spending among Gen Z and millennials. Mintel data shows 30% of U.S. Gen Z consumers spend more on gym memberships and classes than a year ago, with fitness taking a broader role in daily life. Gyms and studios increasingly fill gaps left by bars, restaurants, and even offices. Fitness is becoming a must-do social activity, with boutique and premium locations providing structure, familiarity, and community.

"At 7 p.m. on a Friday in London, the lobby of Third Space in Soho looks more like a members' club than a gym. There's a humming smoothie bar, twenty- and thirtysomethings in color-coordinated workout sets and a steady stream of arrivals heading to reformer Pilates classes. A decade ago, this crowd might have been outside the pub, drinking anything but a smoothie."

"Across the U.K. and the U.S., younger consumers are redirecting their discretionary income from nightlife to fitness. Gym-related spending among Gen Zers and millennials is rising as alcohol consumption continues to decline, according to a February report from Bank of America. And, according to market intelligence firm Mintel, 30% of US Gen Z consumers say they're spending more on gym memberships and classes than a year ago, as fitness takes a broader role in their lives."

"Tassin says gyms and studios are filling a gap once occupied by bars, restaurants and even offices. Meeting people at a gym or through pickup sports activities is nothing new, but younger people are investing in fitness as their must-do social activity instead of just a healthy habit for their bodies. As a result, boutique fitness and premium gyms are increasingly functioning as social hubs for younger consumers, offering the structure, familiarity and community they've lost elsewhere."

Read at Los Angeles Times