Monday, October 3, 2016

The Great Khali eyes gym chain

The professional wrestler Dalip Singh Rana, better known by his ring name The Great Khali, to flex his muscles at the gym, is planning to set up 50 gyms in India in a year and then look abroad. The USP being a combination of gym with fitness and wrestling.

‘’The theme of the gyms would look like a wrestling ring. As members enter the gym, 
Khali will greet them with an automated voice message. There will be a Khali gallery, which will display and sell merchandise like clothes and boots,’’ says Ankur Makan, Khali’s man handling the project.

To be launched as the The Great 
Khali Gym & Fitness Club, the large format gyms spread across 4,500-5,000 sq ft will come with unique features like a lounge, kids area, the Khali gallery, marathon track and usual ones like two spas, two Jacuzzis, sweat room, which can be used by 40-45 people at any given time. Users will have to shell out Rs 27,000-28,000 a year, which is similar to what premium gyms charge in Indian metros. 

Khali’s franchisees will have to invest Rs 3.5 crore in 
gym infrastructure, including approximately Rs 35 lakh sign-up fees to be paid to Khali. A franchisee will also incur variable costs of Rs 50-60 lakh a year, but can hope to make revenues of Rs 3.5 crore a year. ‘’Assuming a gym can get 700 members, it can make Rs 2 crore per annum purely from gym revenues. Plus, it could hope to make Rs 1.5 crore in revenues from the lounge, the Khali gallery, self-defence training for kids, zumba, aerobics, power yoga,’’ says Makan.

The lounge will sell food supplements like protein bars that sell for Rs 2,000/kg while the gallery will sell merchandise for wrestling. These are likely to be the two key non-
gym revenues, says Makan. Every gym will be personally inaugurated by Khali. ‘’He doesn’t want to compromise on the service parameters like hygiene, personal trainers, and wants to ensure that it doesn’t spoil his name,’’ says Makan. 

The first 
gym will come up in Jaipur by January, and the second one in Delhi. Gyms in Tier-II or Tier-III cities will be smaller— these will have fewer machines, and one spa and one Jacuzzi. Khali is doing this project under Continental Wrestling Entertainment (CWE), his company which has set up a wrestling academy in Jalandhar in Punjab that has over 350 students. After India, Khali wants to open gyms in markets like the US, Canada and Dubai, where he enjoys good following.

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