Assisted stretching with a proprietary method at Stretch Zone. The brand grew by nearly 75 percent in 2022.
With nearly 75 percent systemwide sales growth in 2022 and an investment from Princeton Equity Group earlier this year, big things are coming for Stretch Zone, a stretching concept in the franchised fitness space.
Stretch Zone grew its sales substantially last year, from $47 million to $83 million—a 74.8 percent increase. Roughly 30 percent of growth can be attributed to existing franchisees looking to expand, CEO Tony Zaccario said.
“It makes growing much easier, when it’s coming from internal rather than having to bring external franchisees on board,” he said. “They’re finding financial success, but also they’re enjoying the experience of being in the franchise system.”
Related: Stretch Zone Gets Princeton Equity Investment After Hitting 250-Unit Milestone
Stretch Zone started in 2004 when founder Jorden Gould, who has a physiology background, founded the brand. In 2009, the brand partnered with NBA teams and, in 2010, with NFL teams. Stretch Zone opened its first commercial store in 2015. In 2020, it hit 100 units. Last year, it ended with 278 studios open.
When Zaccario got started at Stretch Zone, there were just four locations open. That was in 2016.
“At the time … the stretch itself was robust and comprehensive, and we hadn’t figured out yet was really the business around stretching,” Zaccario said. The company started franchising in 2017.
At another stretching concept, StretchLab, President Verdine Baker has been president for six years and a customer for two.
StretchLab employees assist clients with full-body stretching. The brand doubled its sales in 2022.
“I’m fully drinking all the Kool-Aid,” Baker said. He played soccer, football and ran track growing up and he has enough past injuries to fill a few pages if written down. “As I continue to stay active and be able to do the things that I love to do outside … with my two little kids, I certainly have been taking advantage of the benefits of stretching and have felt a significant difference in how well my body is able to move.”
In the crowded fitness and wellness space, StretchLab is the top grower, doubling sales to $100 million, based on Franchise Times’ estimate. The brand also doubled its unit count, from 151 to 305.
“Our real estate team does a tremendous job of creating relationships around the country with some of the largest commercial spaces out there,” Baker said. “We’re tapped into that world, where we can anticipate when a space is going to be available and be able to find that spot with our partner. … Our partners have been eager to get studios open.”
StretchLab is owned by Xponential Fitness, which also owns Pure Barre and CycleBar, among other fitness brands.
The fitness category’s sales hit $9.5 billion, up 20.7 percent over 2021.
The largest fitness brand in terms of sales is Planet Fitness, which finished 2022 with $3.9 billion in sales. Other billion-plus brands in the category are Orangetheory Fitness, which had $1.25 billion, and Anytime Fitness with $2.1 billion. Minnesota-based Anytime is the leader in units, with 5,059 gyms open worldwide.
Every brand in the category increased sales or remained consistent with 2021 sales. The only franchise to close stores is Snap Fitness, which closed 62 stores, a 5.6 percent dip.