Sample Answer
International Marketing and Sales (IMS)
Task One: International Marketing Plan for PureGym
Introduction
PureGym is the UK’s largest budget fitness chain, known for its affordable pricing, 24/7 accessibility, and no-contract model. As domestic market saturation increases, international expansion offers a vital growth avenue. This plan proposes PureGym’s entry into Spain, a promising European fitness market with increasing health awareness, strong urban populations, and a growing demand for low-cost fitness options. The plan evaluates market entry, positioning, marketing mix, and implementation, supported by international marketing theory but focused on real-world execution.
Market Analysis
Country Overview (Spain)
Spain has one of the highest obesity rates in Europe but a strong cultural emphasis on appearance and leisure. According to EuropeActive (2023), over 6 million Spaniards are gym members, with a growing shift toward flexible, contract-free fitness models. Urban areas like Madrid, Barcelona, and Valencia are particularly attractive due to population density and high disposable income.
Market Opportunity
The Spanish fitness market is dominated by premium and mid-tier gyms like VivaGym, McFIT, and Basic-Fit. However, the budget gym segment is underdeveloped compared to the UK, creating a gap for PureGym’s low-cost, digital-first approach. Post-COVID, many consumers favour affordable, accessible gyms that allow independence from traditional memberships.
Competitor Analysis
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VivaGym – mid-cost Spanish chain offering class access and modern facilities.
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Basic-Fit – operates a low-cost model but lacks 24-hour accessibility in most cities.
PureGym’s ability to combine low cost with technology-led access (digital check-ins, app-based booking, online support) gives it a clear differentiator.
Market Entry Strategy
PureGym should adopt a joint venture approach with a local partner (for example, a Spanish property or fitness investment group). This reduces regulatory barriers, eases real estate acquisition, and facilitates cultural understanding. The Uppsala model supports gradual internationalisation: PureGym can begin with flagship gyms in Madrid and Barcelona before expanding to Valencia and Seville.
Market entry timeline:
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Year 1: Feasibility analysis, partnership formation, and two pilot gyms.
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Year 2–3: Expansion to 8–10 locations.
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Year 4–5: National rollout and local leadership training for scalability.
Target Market and Positioning
Target Market:
Urban professionals aged 20–40, price-conscious but health-oriented, seeking convenience and flexibility.
Positioning Statement:
“PureGym Spain – the smart, affordable way to stay fit, anytime and anywhere.”
Unique Selling Proposition (USP):
24/7 access, no contracts, digital booking, and high-quality equipment at a fraction of traditional gym costs.
Marketing Mix (4Ps)
Product:
Streamlined gyms with top-tier cardio and resistance machines, group fitness areas, and digital check-ins. No luxury add-ons like pools or spas. Optional premium upgrades (PT sessions, nutrition coaching).
Price:
Adopt penetration pricing around €19–€25/month, undercutting local competitors. Offer dynamic pricing models for off-peak hours and digital memberships.
Place:
Gyms in central and commuter-friendly zones. Strong digital ecosystem (website, app, virtual tours). Use online channels for sign-ups and customer support.
Promotion:
Digital-first strategy:
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Social media ads on Instagram, TikTok, and YouTube.
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Collaborations with Spanish fitness influencers.
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Free “first session” campaigns to attract trial members.
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Outdoor ads near business districts and universities.
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Sponsorship of local fitness events.
