In this episode, we sit down with Joe Pepe Jr., CEO of IGNITE Fitness Holdings, one of the largest Planet Fitness area developers and a second-generation leader in the health club industry. Born into a family deeply rooted in fitness entrepreneurship, with his father tracing back to the industry’s early days, Joe shares his path evolving from a family-owned gym business to building one of the most successful Planet Fitness franchises in the country.
Pete and Joe also touch on how early risk-taking, embracing disruptive business models, and leveraging private equity fueled explosive growth from just a handful of clubs in Connecticut to over 100 locations across the U.S. and Canada. Joe also discusses the importance of company culture, strategies for scaling teams, the role of marketing, and the impact of industry partnerships, along with a look ahead at opportunities in acquisitions and market development.
On the topic of 'front desk to leadership' and the importance of investing in people, Pepe states, "There are so many stories of people that came in as a minimum wage, front desk worker and now have progressed three, four, five layers on. It's great to see, brings you a lot of joy to see people develop that are truly bought in and enjoy being part of something bigger."
Key themes discussed
- Family legacy in health club industry
- Early adoption of Planet Fitness model
- Transition to private equity ownership
- Franchisee network’s role in best practices
- Marketing strategies for continuous growth
- Building and developing internal talent
- Expansion through acquisitions and greenfield development
A Few Key Takeaways
1. Legacy and Early Adoption of Planet Fitness: Joe shared how his family were early movers in the Planet Fitness brand, converting legacy clubs into some of the first Planet locations in the early 2000's. Their willingness to switch from big-box gyms like World Gym and Gold’s Gym to the Planet Fitness model positioned them as pioneers and benefitted from the new brand’s explosive growth.
2. Scaling with Private Equity: He described the pivotal shift from a family-run operation to a private equity-backed enterprise. Bringing on investors enabled them to accelerate growth, hire specialized talent, and reach over 100 locations through both acquisitions and new builds, something not possible without significant capital and operational rigor.
3. Power of the Franchisee Network: This episode also highlighted how valuable the Planet Fitness franchisee network is for knowledge sharing and best practices. Regular meetings, councils, and conferences foster collaboration and have been instrumental for operators like Pepe to learn, share, and refine their approaches.
4. Continuous Investment in Marketing: A key component of Planet Fitness’s success is relentless, ongoing marketing at both national and local levels. Planet does not throttle back on ad spending after grand openings, but instead works year-round to attract first-time gym goers and continue fueling growth, maintaining brand visibility and saturation.
5. Growth through M&A and Internal Talent Development: Joe discussed the increasing opportunities in acquiring independent gyms and legacy operators as a growth channel, emphasizing respectful integration and understanding of sellers’ perspectives. Additionally, internal development and promotion, from front-desk to leadership, remain core values, creating a culture of advancement and loyalty.
- Joe Pepe Jr: https://www.linkedin.com/in/joepepe
- IGNITE Fitness Holdings: https://www.ignitefh.com/
- Planet Fitness: https://www.planetfitness.com
- Integrity Square: https://www.integritysq.com
- Prospect Wizard: https://www.theprospectwizard.com
- Promotion Vault: https://www.promotionvault.com
- HigherDose: https://www.higherdose.com