Why Market Research is Crucial Before Entering Saudi Arabia’s Booming Fitness Industry

Saudi Arabia’s fitness sector is experiencing rapid growth, driven by Vision 2030 goals, evolving lifestyles, and heightened health awareness. The market is expected to rise from approximately USD 1.14 billion in 2024 to nearly USD 1.79 billion by 2030, reflecting an annual growth rate of 8–10%. While this creates an attractive opportunity for investors and entrepreneurs, the competitive and regulatory landscape makes informed decision-making essential. The country’s gym ecosystem is diverse, ranging from dominant players like Leejam Sports (Fitness Time) and major international franchises to a growing number of boutique studios and low-cost fitness centers. Without accurate market intelligence, new entrants risk misjudging consumer preferences, underestimating competition, or positioning their brand ineffectively.

One of the fastest-growing segments is the Low-Cost, High-Value (LCHV) model, targeting the large share of potential members who find traditional gyms expensive. However, identifying the right pricing strategy is critical—too high risks alienating cost-conscious users, too low impacts profitability. Market research helps determine the optimal pricing and service mix to balance value and margins. Regulatory compliance is another key factor. Setting up a gym requires approvals from bodies like the Ministry of Investment (MISA) and the Ministry of Sport, with licensing timelines typically around 15–20 working days. Detailed research ensures clarity on costs, documentation, and compliance requirements, preventing costly delays.