Orangetheory Fitness Announces Major Expansion in Japan
Purpose Brands announced on February 26th that its master franchisor in Japan has signed a 10-year renewal agreement. The deal for Orangetheory Fitness includes plans to expand the brand's presence to 100 studios across the country. This signals a significant long-term commitment to the Japanese fitness market.
This expansion builds on a foundation laid a decade ago, when Orangetheory Fitness first entered the Japanese market. The initial 2016 master franchise agreement with Orangetheory Japan Co., Ltd. set out a plan to open 70 studios over ten years. The new agreement for 100 total studios, including 86 new locations, represents a significant acceleration and a renewed long-term commitment. The Japanese master franchisor, Orangetheory Japan Co., Ltd., is part of the ITS Co., Ltd. portfolio. The leadership behind this expansion includes Kunikazu Okubo, Chairman of ITS Co., Ltd., and Takamasa Okubo, CEO of Orangetheory Japan Co., Ltd. The first new studios will open in and around Tokyo, including Kanagawa, Chiba, and Saitama, with future locations planned as far as Nagoya. Currently, there are at least 15 Orangetheory studios operating in Japan, with a strong concentration in the Tokyo area. Locations include the flagship studio in Azabu-Juban, as well as studios in Higashi-Kurume, Musashikoganei, Hachioji, Mitaka, and Machida, with a new opening in Shimokitazawa in the spring of 2024. This existing footprint provides a base for the newly announced large-scale expansion. The global company backing this push, Purpose Brands, is a relatively new entity formed from the 2024 merger of Orangetheory and Self Esteem Brands, the parent company of Anytime Fitness. This merger created a fitness giant with over 7,000 locations worldwide, positioning it for aggressive global growth. Orangetheory is expanding into a Japanese fitness market that is increasingly embracing boutique and specialized studios. The market is seeing a rise in high-intensity interval training (HIIT) workouts, with competitors including the Australian HIIT franchise F45, as well as various CrossFit boxes. The Asia-Pacific region is the second-largest physical activity market globally, valued at $240 billion, and is projected to become the largest by 2023. Japan's fitness market itself is substantial, representing a multi-billion dollar industry with a growing demand for specialized and tech-integrated workout experiences.
