This is a YouTube video titled "Orangetheory evaluated at over a Billion $$$" containing a conversation from June 15, 2022, featuring Allison Maslan interviewing another speaker about the rapid growth and franchise model of Orangetheory Fitness. The discussion focuses on the company's expansion strategy, franchise consistency, and partnership challenges.
So you went from 30,000 a year to valued at a billion dollars. And in the last three years alone you've grown 137%. Oh my gosh. So we know that. And you said over a thousand franchises. What do you think has been the secret to the. Because there are a lot of franchises out there. But man, yours is like, it's on like geo force speed.
Yeah, yeah. Growth on steroids. Absolutely.
Why? Why is that you think?
Yeah, well, our model is an ar, which is an area rep and franchise model. And that is really a big key where we find individuals who want to own an area. Maybe they own half of Texas or a section of Texas or, you know, South Florida or whatever the case may be. And then they become our partners to develop that area. So we're not solely having to develop, you know, that area. That's a franchise model. And they have open up studios, but they also find franchisees that they come in and develop. And really that model is what worked incredibly. And now that we're international in 23 countries, we have we call master franchisees. So in Australia, that's a master franchisee. Who has that country of Australia? You know, the toughest part of that is of course finding the right people. Right. Because now these are partners with you. You know, we were even talking about partnership a little earlier that it's like dating before you get married. You know, you kind of want to know these partners and you know, are they on the same wavelength and are they really understanding where you want to go as well as are they willing to stay strictly and adhere to the model? Right. Because in a franchise, for those of you who are doing it, it's all about that identical model being performed. And at each one of those locations, that's very challenging. Now you don't walk in a McDonald's and you get 13 pickles on a hamburger in one place and get two pickles on the hamburger in another.
Right.
You know, you need that consistency. So, you know, those were some of the challenges with finding the right partners. But when you find the right partners, they explode your business like crazy.
