Pandemic to Prosperity: A Stepz Fitness Journey
31st Oct 2024
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By Emily Ainsworth
When Daniel Hotchkis opened his first Stepz Fitness franchise in Dapto, New South Wales, in December 2019, he couldn't have predicted the perfect storm ahead.
Three months into operations, COVID-19 forced his doors shut.
Then, during lockdown, disaster struck again when a burst hot water system flooded his newly built gym.
“We had to rebuild during lockdown before we could reopen,” Daniel recalls. “But there were a lot of people in the world worse off than I was. You just do it – you get things done.”
Full speed ahead.
With a strong group training clientele complementing his 24/7 offering, Daniel's gym broke even in its first month. Today, with over half a million dollars in yearly revenue, the Dapto business is a consistently strong performer.
“I'm not business savvy,” Daniel admits. “But the support you get from Stepz is amazing.
“That's what franchising’s about – you follow the model, and it works.”
His success soon led to expansion opportunities, becoming Master Franchisor for the ACT region and Operations Manager for Stepz Fitness nationally.
Under his leadership, the ACT network has grown to three locations, including Stepz Gungahlin, owned by his wife Tammy, with another two sites planned to open in the next six months.
Meanwhile, he oversees new gym builds across the country – including two soon to open in Maitland and Albury – while being the driving force at Dapto.
“I want to share this success with others in the ACT while achieving my mission of helping as many Australians as possible improve their health and wellbeing through fitness.”
From trucks to treadmills: an accidental gym boss.
Daniel's journey to the industry started in the driver's seat – but not of a gym.
At 19, he started a trucking business, eventually growing it to six vehicles. But weighing 150 kilos and living an unhealthy lifestyle, he knew something had to change.
“I lost the weight and found I had a passion for helping others do the same thing. It sounds corny, but if I could do it and help people feel better about themselves too, that's what I wanted to do.”
Steps to success.
As a turnkey franchise, Stepz Fitness is involved in every step of the process, from location scouting and lease negotiations to pre-launch marketing and member retention.
Daniel attributes his achievements to several fundamental principles.
“Clean gyms, tidy gyms – people notice what you don't do,” he emphasises. “Do the basics and do them well. Build a community through genuine engagement with members.
“Sure, we’ve got automated text messages but nothing beats picking up the phone. And in the gym, my staff must engage. Even if it’s just a ‘g’day’ before class, talking to someone can make their day on a bad day.”
Unlike other operators focused primarily on sign-ups, Daniel prioritises retention.
“If members aren't cancelling you don't have to focus so hard on sales, which gives you more time to engage with your community. It's a cycle.”
The Stepz advantage.
The Stepz Fitness hybrid model, combining 24/7 gym access with group training under one roof, has proven particularly successful.
Their Platinum Flexi membership at $29.95 weekly offers unlimited classes and full 24/7 access, making fitness accessible to everyone.
“We're the only true model in Australia that does it,” Daniel says.
“The structure of the franchise is fantastic, and there's always support. You can always pick up the phone and speak to someone from head office.”
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