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Dan Arft

on 12 April 2013

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Question 1: Snap Fitness has positioned itself as a “neighborhood” chain of fitness centers and claims that the majority of its members are within a two-mile drive of the center to which they belong. How big of a competitive advantage do you think this positioning strategy provides Snap Fitness?
Huge competitive advantage over its competitors
Great for people with loaded schedules
General Membership
Anytime Fitness $29, Snap Fitness $40
Question 2: What type of franchise makes the most sense for Snap Fitness?

- Area Franchise agreement
- Single Franchisor
- Multiple-Unit Franchisees Question 3: What type of characteristics do you think Snap Fitness looks for in its Franchisees? Financial Aspects: Net Worth: $250,000
Liquid Asset: $500,000
Franchise fee: $15,000
Royalty fee: $499/month
Five Year Commitment
Question 3: What types of characteristics do you think Snap Fitness looks for in its franchisees? The Owner:
Own more than one franchise
Semi-retirees or have other jobs
Now attracts young people Question 4: What do you think lies ahead for Snap Fitness? What are some of the things that can go right and wrong as the firm grows?

Increase in Franchisees/Profits
Straying from Business Standards
Franchisees struggling
About Snap Fitness:
Founded by Pete Taunton in 2004
Not obligated to sign a contract
Members build their own web pages
Franchise Opportunities
"Top 21 Franchises for young entrepreneurs"
#35 on Franchise 500 list Group 5: Case 15.1
Daniel Arft, Carla Panetta, Megan Reeves, Yoko Wilson
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