Bally Total Fitness

Technology in Motion

Why Mobile at Bally–Fitness corresponds with freedom, movement and action –Natural environmental and cultural fit–Mobile would amplify the experience and environment

5

Where to BeginObservations: •Members

• Already using mobile while working out• Using social networks to talk about Bally, but not

to engage with Bally• 10% of web visitors using a mobile device

•Employees •Interacting with consumers while in motion, but

then tethered for system access and transactions

•Using mobile in personal lives

6

Culture and Technology

• IT culture needed to change from “order taker” with long implementation cycles to business driver with quick turn around times

• Technology needed to become more interactive, engaging, and supportive of a mobile workforce and consumer

7

Fostering IT Innovation

• Formal innovation processes– Annual IT Innovation Summit– Embedded IT– IT Develop Exploration

• Real results

8

Innovation Process: Annual IT Innovation Summit

• Annual summit involving all IT personnel• Innovation focus areas and teams formed• Research conducted and solutions proposed

by cross-functional teams• Innovation ideas presented to IT leadership

during multi-day innovation summit

9

Innovation Process: Embedded IT

• Permanently embedded IT staff– Provides open communication with all levels of fitness

and call center staff– First hand observation of technology, business

processes and member communications

• Seasonally embedded IT staff– Peak season IT staff embedded in fitness centers– Shared experiences and conversations with fitness

center staff– Post peak season debrief focused on how to improve

technology and processes

10

Innovation Process: IT Developer Exploration

• After the annual innovation summit, block time for developers to explore technology in support of innovation ideas

• Innovation and exploration bandwidth is built into resource allocations on project plans

11

2011 Real Results

• Results Center– 2012 Digital Sign Expo APEX Award Bronze

Medalist

• Mobile Applications– Robust mobile vision– Numerous iPad applications– Employee facing iPhone applications – Consumer facing applications in development

12

2011 Innovation Projects: Results Center

13

• Show a member what their future self would look like if they adopt a healthy lifestyle• Provide members and potential members with a library of exercise videos for major muscle groups

Key Innovation: Large scale interactive video display based upon Microsoft Kinect

Mobile Technology Vision

•Employees interacting with consumers

•Employees interacting with the environment

•Consumers interacting with the environment

•Consumers interacting with employees

•Consumers interacting with each other

•Work anywhere, on any device

14

Employee to ConsumeriPad Apps

– Club Tour– Membership and Personal

Training Presentation– Membership and Personal

Training Sales– Registered Guests– Who is in my club

15

Employee to Environment

iPhone Apps– Facility Maintenance– Workout Equipment

Maintenance– Preventative Maintenance

16

Consumer to Environment

QR Codes on fitness equipment for workout tips or instruction

17

Mobile Web– Guest pass

downloads– Find a club– Group Ex

Schedules

Consumer to EnvironmentiPhone/Android App

– Profile maintenance– Class schedules and details– Membership ID– Order a smoothie

17

Consumer to EnvironmentWiFi Location Awareness (802.11)

– Automatic check-in– Post messages to Facebook– Personalized marketing

18

Consumer to Employee

iPhone/Android App– Find a trainer– Personal trainer interaction

• Fitness advisor• Nutrition advisor

19

Consumer to Consumer - Social

• iPhone/Android – design stages– Find a workout friend– Self-organizing interactive communities based on

workout preferences– Gamification - Competition fostering between

individuals or locations

20

Work Anywhere – On Any Device

• Bally IT is 80% virtual• Employees can work anywhere

on any device using virtual desktops – iPad being the most prevalent

• iPad based executive reporting• Reduced IT office space by 50%• Reduced desktop hardware and

software support by 60%

21

Key Considerations• User Experience is everything

– Augment the environment– Foster interaction without feeling intrusive– Emotions through technology– Common digital language across technologies

• Security – Transactional security– Secure access for consumers

• Vendors– User experience– Experience with similar design goals

22

Enterprise Benefits of Mobile

In locations with new technology:• Juice Bar sales up 100%• Member retention up 10%• Top membership sales in the chain• Reduced maintenance costs and downtime

23

Future of Mobile• Context aware, personalized marketing and

services– How often do I workout and at which location(s)– Where do I spend time in the location– What services do I use (PT, Group Ex)– What products have I purchased– What people have I 'teamed up with'

• Expansive community and social integration• Mobile Intercept App using natural• Private label apps within a container app

24

Summary

25

• Observe the world around you– How are consumers/employees interacting with

other organizations versus your organization– How are consumers/employees interacting with

each other and can your organization facilitate or participate in the conversation

• Use technology to amplify your relationship with consumers