5 Crucial Pivots: Stepz Fitness CEO Sam Waller on Transforming the Franchise with a Hybrid Model, Aggressive Rebranding, and High-Impact Support
Episode Timeline
- 0:00 – Intro
- 1:20 – Sam takes over the business at age 22, transitioning from franchise owner to franchisor
- 4:15 – Rebranding the business with professional market research and a future-proof brand strategy
- 8:40 – Increasing operational support and introducing benchmarking and practical ‘how-to’ operational manuals
- 13:20 – Transitioning to a hybrid gym business model after the 24/7 gym boom
- 16:25 – Building a head office team to scale and support the growing network
In this episode of the Franchise Everything podcast, we sit down with Sam Waller, CEO and Franchisor of Stepz Fitness, to discuss the five crucial inflection points that have transformed the business from a struggling 24/7 gym brand into the successful, high-value hybrid fitness franchise it is today.
Sam Waller, who took over the business in 2017 at a young age, outlines the strategic changes that were necessary for the brand’s survival and subsequent rapid growth.
The 5 Key Success Factors:
- CEO Takeover & Vision: Sam, a successful franchisee himself, stepped up to take the reins in 2017 amid franchisee unhappiness, bringing a new vision, a deep understanding of the operator’s needs, and the drive to implement immediate, necessary change.
- Radical Rebranding: An ambitious and complete overhaul of the brand, marketing, and messaging was executed. The focus shifted away from the saturated young demographic to target underserved markets like middle-aged mothers, retirees, and shift workers, using razor-sharp, well-thought-out strategies.
- Enhanced Franchisee Support: Support systems were refined, simplifying operations manuals and implementing transparent benchmarking by sharing key performance numbers across the network. This created healthy competition and gave franchisees the tools to drive their own success.
- The Hybrid Model Pivot: The most crucial strategic change was the transition to a hybrid service model, combining 24/7 gym access with highly competitive, boutique-quality functional group fitness under one affordable membership. This eliminated the need for customers to pay for two separate memberships.
- Staffing Up Head Office: Recognizing the need to shift focus from day-to-day administration, Sam invested heavily in hiring top-tier, experienced head office personnel, allowing the leadership team to focus on strategic growth, support, and the network’s expansion.
