S03E129 - Fitness Industry Faceoff: CrossFit versus Nike?
Ready to unravel a true game-changer in the fitness industry? This is your chance to get abreast of the implications of Nike's entry into the fitness equipment industry and the new Nike Training Studios.
We'll be analyzing their brand power and size, and how this might stir up the current market scene. We share our personal perspectives on brand loyalty and investigate how this giant step by Nike could impact us as consumers. With the possibility of Nike sponsoring events, we contemplate how this move might redefine the fitness industry landscape.
We discuss the significance of trainer credentials, the potential impact on gym schedules and programs and keeping our focus on the fitness industry, we also ponder Nike's venture into the world of CrossFit.
What are the potential dangers of large corporations stepping into the market and how it might affect affiliates? From the possibility of Nike buying a gym, sponsoring the Games, to the powerful influence of their marketing, we leave no stone unturned. How can CrossFit affiliates be prepared to withstand future competition?
@crossfitbison @crossfittraining @crossfit @crossfitgames #crossfit #sports #exercise #health #movement #crossfitcoach #agoq #clean #fitness #ItAllStartsHere #CrossFitOpen #CrossFit #CrossFitCommunity @CrossFitAffiliates #supportyourlocalbox #crossfitaffiliate #personalizedfitness
00:00:05 Nike's Fitness Equipment and Studios
00:10:05 Comparing Gym Schedules and Programs
00:16:16 CrossFit Training With Nike Studios
00:25:44 Nike's Potential Impact on CrossFit
00:31:17 Concerns and Urgency for CrossFit HQ
S03E129 - Fitness Industry Faceoff: CrossFit versus Nike?
[00:00:00] David Syvertsen: All right. Welcome back to the HerdFit Podcast. I'm coach David Syvertsen. I'm here with my co host, Dr. and coach Sam Rhee. And we have an interesting topic today coming in today. There's a lot of information about this that we don't know yet. So we're going to kind of, to quote Sam, spitball a little bit.
Um, but as an affiliate owner, This is something that caught my attention and very few things catch my attention like this. And it's Nike. Nike recently came out with their own fitness equipment line. First time in, I think over five decades, they've been a business. They have not been in fitness equipment at all.
Golf clubs, you know, clothing, shoes, but actual equipment that we have in the room next to us at CrossFit Bison. This is a first. And now they're coming out with group fitness studios and running studios. And they have Nike trainers. They have a lot of money. They have a huge brand. You know, people follow Nike like they follow the Bible, right?
With some of the big athletes that endorse them and follow them. They are a huge brand. I don't even think many people understand how big Nike is. And the fact that they're making such an aggressive move all of a sudden, out of nowhere, to me, I didn't know anything about this. Like, I almost had to look at it.
On Instagram, I was like, wait, is this a fake account? That's, that's putting this information out. So they're coming at, they have barbells, dumbbells, plates, kettlebells, benches, dip machines, basically a lot of what you would see in a CrossFit gym. A lot of the stuff that we use here. And, Sam, when you saw that, let's start off with the equipment first.
What was your reaction to it, and did you go down any sort of, as we call them, rabbit holes, with the fact that they're coming out fitness equipment?
[00:01:57] Sam Rhee: Uh, ye If you wanted to say, the sky is falling, you could say that for CrossFit. You could say, look, they're eating Rogue's lunch. They're going to eat CrossFit's lunch.
They're going to, this is the monster that's going to envelop this, uh, you know, and eat everything, take over market share. They're going to open up these fitness studios. They're going to compete with boxes. They're going to be selling their own fitness equipment. Uh, the sky is falling. That, that, that would be my, my first scary thought, I guess, with this.
[00:02:27] David Syvertsen: And The other side of it's like, as an affiliate owner, I'm kind of like, I kind of want to see their stuff. Like, I want to see if it's any good. I'm sure, I'm sure it is good. Um, but I'm also kind of a loyal person, even to a fault. Um, like I'll buy something from Rogue, even when it's more expensive than from another company, because I, I want to support Rogue.
Um, and I think they're a great company, American company. Um, if you get into all this like international trade stuff, you know, where Nike makes their, all their material, um, you know, that that's going to be part of the angle as a gym owner. Do we want to look into their equipment? What would you do if you came here and all of a sudden you started seeing Nike barbells and Nike plates and would you care?
I mean, I know you're a coach here and you're a very involved coach. But as an, as a member, would that be something that you kind of like raise your eyebrows to? Or it's just like, ah, new stuff.
[00:03:19] Sam Rhee: Sellout. No. Well, you bought true grit boxes and that was after they sponsored legends and they were awesome. You also bought your land mats.
So I don't have a problem with the brand per se. I know you support, you buy products for the companies you want to support. They sponsor. competitions that are good, that you like, that, you know, sort of give back to us, then you're gonna give back to them. And, and that was, that's sort of been, I think any, every affiliate owner should do that.
You should buy from the companies that you feel are supporting you, your affiliate, your brand, um, you know,
[00:03:58] David Syvertsen: your business. Right. And You know, again, like you said, I did make a couple of equipment orders from True Grit, which we did here. Ah, nevermind. We're not gonna say anything about that. Um, um, your land.
And again, those are, we were supporting them because they supported something that I feel really passionate about. And it's master sport. And I had, I met them at Legends. I said, Hey, I'll put a big order in for you guys. And they were great. Uh, but. I'm still 90 percent rogue, you know, and again, they have my loyalty, they have Bison's loyalty, and Chris feels the same way.
Uh, but we're going to be meeting a new equipment vendor out in Tempe at Legends this year, and we're in the market for some new boxes, um, and I do want to talk to them. They have a very specific kind of Soft slash hard box that we're in the market. We're searching for right now and we're having a hard time finding that I do.
I'll go down that same path. So Nike, I don't really have any affiliation with them. I'd actually don't even like their shoes. They don't fit well with my feet, don't have a lot of Nike stuff, but I would, if they reached out to us or they supported something that we do, like let's say they came and sponsored, um, our open party, our 10 year anniversary party in February and.
They wanted to like let us see some things and like TYR when they came out for our open party We had a lot of people buy their shoes, right? I bought two pairs. I would I would be all about it Because I think that competition is a good thing. If anything, I think this should make Rogue Maybe almost double down on some of the processes and equipment.
I'm not going to throw them under the bus too much, but I've gotten some stuff from Rogue for the gym over the past six months. And I've had other people say the same thing, members and coaches. It's not what it used to be like simple stuff. Our rollers. You know, we had like 11 rollers pop after we bought them from their, uh, the red bands and green bands are snapping.
The chalk is different. Um, so is that a business that's getting bigger that can't handle the growth and some of their quality is going down? Maybe. And I think that Nike coming to the market could easily, it's like a gym opening up down the street. It makes you check your own processes a little bit and be like, Hey, could we be doing something a little bit better?
Um, Noble, they're struggling, right? They just laid off a huge. Uh, portion of their workforce. They're still around. They still have huge, um, contingent of games athletes that support their stuff, but they're definitely, you know, not on the rise. From my perspective, do you see the Noble CrossFit Games ever becoming the Nike CrossFit
[00:06:28] Sam Rhee: Games?
I don't think so. I think Nike looks like they want to do their thing. And this, their fitness studios, their running, their training programs, they, I don't, I can't see them ever wanting to go niche. They would rather just, I think, do their thing. That's my guess. That's my guess. Matt Fraser.
[00:06:50] David Syvertsen: Noah Olsen, Sarah Sigmundsdottir, Laura Horvath, and a growing list of CrossFitters are Nike athletes.
Now, that doesn't mean they're going to enter the CrossFit space, but they're in it. And I view this equipment... And the fact that they're sponsoring these athletes, they're trying to enter the CrossFit space. I think they're trying to make a name for themselves. I do believe it's a long shot to think that they would ever be the title sponsor.
Uh, because it looks like they're going to become a direct competitor to Rogue. And Rogue is like, in tight with CrossFit and Castro forever. Like, I don't see that bond ever, ever fracturing. As long as these people are in leadership, which... CrossFit leadership has had changes every two years, so who knows who's going to be at the top in two, three years from now.
Um, but what about the fitness studios? I want to introduce this and then talk about my sky is falling idea in relation to CrossFit gyms. Here, here's the write up from their website. These are fitness studios, Nike training, they call it. Group fitness classes featuring fun and challenging workouts led by Nike trainers that meet your evolving needs.
A pretty good model there. And where are they starting? California, Santa Monica, Newport Beach, West Hollywood, and Tegan from Morning Chalk Up, love her work. She put in her article that there are some Austin, Texas teasers being thrown out there. So they're definitely going to expand, and it's funny, this almost sounds like this is the inception of CrossFit.
This is where it started, West Coast, California. Um, and I remember Joey Dill telling me years ago, he goes, West Coast CrossFit is into and they're kind of like they're like a year ahead of East Coast like so just pay attention So there's something about West Coast fitness and I've been out there a few times you have to it is a much more active lifestyle Out there.
So if they're trendsetters is what I'm trying to get at. They're gonna be making their way out here at some point To the East coast, these Nike training studios, as long as they get some traction out there, they're 149 per month, which is pretty standard for a gym that is offering group fitness. There's a couple of gyms in our area that are bootcampy.
They don't have a lot of equipment. Programming isn't as diverse or, um, I should say complex. And that's, you know, 150 to 200 a month is usually where most of them reside. So I don't think they're trying to undercut the market. The, their barbell prices are right in line with Rogue. I mean, that's just, um, I don't think there's anything that to read into there, but.
If these things start popping up, there's two questions I want to ask you. Do you feel this is going to be a competitor like Orange Theory F45 to CrossFit gyms?
[00:09:41] Sam Rhee: Uh, let me, I looked at the Newport Beach location and uh, I looked at their schedule and their trainers and what they're doing. Let me throw that in and then you can sort of see, compare that to say maybe what we're doing at our gym.
So, they're actually starting on the 15th, and so their daily class schedule, Monday through Friday, will be 5am, 6am, 7am, 8. 30, a noon class. And then a 5, 15, and a 6, 30 evening class. That's Monday through Friday.
[00:10:15] David Syvertsen: So, 7, 7 classes a day?
[00:10:16] Sam Rhee: 5, yeah, 7 classes a day. Okay. On Saturday, they have 3 classes, 8, 30, And then on Sunday, they have 2 classes, 9, 30, What, are they on our website?
I know! It's like... I was like, wow, this sounds a lot like a bison sort of thing. Uh, except we actually have more classes. Yeah,
[00:10:32] David Syvertsen: we do. Yeah. So that's a pretty typical CrossFit gym schedule.
[00:10:35] Sam Rhee: To me that it struck me very much like a CrossFit gym schedule. Yep. Um, they have three types of classes. They have what's called force, a force class, which is starting on Monday.
It says power through every rep of this strength focused workout that features classic hinging and pushing movements. Along with an upbeat mix of athletic conditioning exercises, primary muscles, hamstring, glutes, chest, triceps, primary movements, deadlifts, shoulder presses, pushups, hip thrusters.
[00:11:05] David Syvertsen: So they're not really releasing workouts, they're just telling you kind of what you're working?
[00:11:09] Sam Rhee: That's the force day. That's, you know, whatever, on Wednesdays or whatever it is, Friday, Thursdays. The max day is take your condition, take your strength to the max with a challenging mix of squats and pulling and keep the energy high with heart pumping conditioning work. Muscles, backs, quads, glutes, biceps, movements, squats, lunges, rows, pull ups.
That, that's a max day. And then their med con day is all in the name and improve your capacity, burn calories, blah, blah, blah. Inspired by our signature training shoe. Of course, right. Primary muscles, full body movements, jumps, swings, rotations, agility drills. So they have three types of days.
[00:11:50] David Syvertsen: And is it always like Monday, Tuesday,
[00:11:51] Sam Rhee: Wednesday?
I don't know. I just saw the class. They only released the class schedule this week. They're starting Wednesday. It's Metcon Wednesday, Force Thursday, Max Friday, Metcon Saturday. Okay. So, so those are sort of what they're doing. So to me, it strikes me as less... Uh, more corporate y, more vanilla, more Barry's Boot Camp than it is CrossFit.
Like, it's more like And the trainers, one of them is an L. A. Rams cheerleader, professional dancer. Other one was a former SoulCycle fitness trainer who now trains at, like, Lifetime Fitness. Another one is a, quote, entertainer, sports coach, dancer, yoga, personal trainer, dance fitness guy. Um, and all of them are like very beautiful looking people, like totally like what you might see on a fitness ad, right?
So, um, so to me, this is one super LA looking. Two, very sort of, yeah, watered down.
[00:12:55] David Syvertsen: ChatGBT
[00:12:56] Sam Rhee: wrote all of that. That, yeah, pretty much. Like if, if, if an AI had to write a fitness program and like have a fitness studio, this is sort of what it would look like. Super airbrushed. Um, you know, I don't really know how that will translate into.
Our fitness space. I just don't, I mean, I could see it working with the Newport Beach crowd and all these guys, but like when you come into Sioux City, Iowa and open up a Nike training studio, like, you know what, it's really just going to be Bill, who was at like 24 hour, and someone else who's like, you know, kind of opening it and, you know,
[00:13:37] David Syvertsen: you know what I'm saying?
Yep. No, I know what you're saying. The crowd is going to be... Very select. Right. So I
[00:13:43] Sam Rhee: feel like if they want to keep the super glitz stuff, they're just going to have a few, um, iconic studios, like in New York, in Manhattan, in Miami, in, you know how Reebok used to have CrossFit's? Yeah. And they were sort of the flagships, like these super glitzy, nice ones.
[00:14:00] David Syvertsen: Attached to like a retail store and that's where they made most of their money. Right. So to
[00:14:04] Sam Rhee: me, I can't see Nike opening up like 5, 000 affiliates
[00:14:09] David Syvertsen: across the country. Franklin Lakes, New Jersey kind of thing. Right. So I mean what so even for the gyms that are in these areas right now There's a lot of gyms in Santa Monica, Newport Beach, West Hollywood, CrossFit, right?
This is a question that we always ask ourselves as a staff. I'm thinking about this all the time Even with again competition's not a bad thing. I always like to welcome it because I think it makes us better But this is probably more in the genre of Orange Theory Fitness. Yeah, what a Nike training studio will be I mean, they're gonna have barbells and dumbbells.
So Probably the program would be a little different, and I always ask myself. Alright, what do we do different, or what can we do different, to just make sure we know, and they know, and the people that are trying to decide between the two, you know, they're not the same. You're gonna like this one or that one, but you're not gonna have to pick between the two, because they're, they're not the same.
And I have four. Really things that kind kind of have us stand out from a Nike training studio, which we don't want know much about, or something that's a group fitness class that not, is not CrossFit trainer credentials. Okay. CrossFit is doing, trying really hard right now to push education. Hey, everyone should get L one.
Everyone should get L two. Everyone should get L three. Why don't, why don't you have your L four yet? Right. And I'd be lying if I said like in the back of my head, I'm saying I should probably be getting my L three. Next time I'm up my research, which you know, it could be a process right to study for the test It's a little bit harder tougher to do Um, and I know a couple other CrossFit coaches here have said the same thing I listen to best hour of their day sometimes with Jason Ackerman and Fernandez and I think he has like, he's going to have like four or five L4s on his staff, which is, you know, pretty impressive.
You know, I'm not one to, you know, put on, on my back wall, what credentials I have and what, and my, uh, everything that I've graduated from or all these accomplishments that I have. Um, I do that think in some industries, fitness being one of them that can get overrated, but a CrossFit credential, it, it means something.
Not because you're the most educated, intelligent person in the world, but you, you can really understand CrossFit in that way and teach some of these movements. I mean, I, I know trainers that have every, you know, certification under the, under the, under the moon. And can tell you every muscle group and every function in the body.
They can't teach you a deadlift. I
[00:16:38] Sam Rhee: would say I have a counterpoint. So yeah, the NSAM, like CPT qualifications and all that are useless, but getting your L1 and we've seen this, so I would say the floor and the ceiling for CrossFit training certification is both lower
[00:16:57] David Syvertsen: and higher. Absolutely. Great point. So
[00:16:59] Sam Rhee: we've seen many CrossFit boxes where.
Their training is abysmal, and then we've seen many CrossFit boxes, or some, where the training is unparalleled and definitely the best in the business, there's no doubt. So, what CrossFit's trying to do is raise the floor and be like, let's get rid of the really bad training and push everyone higher so that we can get to...
where we should be, which is where they are truly knowledgeable about fitness training, which I truly believe if you are a really experienced, good CrossFit trainer who, um, has the credentials and has the experience, you're going to be better than anyone else out there. I agree. But the problem is, is that we're not there from the bottom, like, part of it.
[00:17:46] David Syvertsen: Yeah, getting your L1 does not mean much. No, and It means something. It doesn't mean much. It doesn't mean you're ready to rock.
[00:17:52] Sam Rhee: Right. And so my question is, is when do we get to a point where you would say, Hey, Brock, you can go to, you know, anywhere and drop into a gym and have a pretty good experience.
Right now. It's like, you got to do a little bit of background research and coin flip, if not worse. Right. And so CrossFit has a huge burden or their responsibility right now, and they're working on it. They're trying to try to try to elevate
[00:18:17] David Syvertsen: that. Programming, you know, I mean, and, and, I'm trying to think.
The programming within CrossFit, it probably will not be that different than Nike Force and Nike Metcon, right? But... I like to see what the workouts are. I really want to see, before I really pass big judgment on these Nike studios and if they're worth the time of day, I want to see the workouts and you know how I am with programming.
Um, but I don't want to just see, oh, a hinge and a pole and um, full body triceps and lats. I don't like that kind of stuff because I, it just makes me think about a globo gym, uh, the guy like using cables and like a leg extension machine, which again, I'm not against, but that's not. Really what we're going for here at CrossFit.
Um, I would love to see the programming. I think CrossFit can combat any sort of competition with their programming, if it's done properly. Again, great illustration on the ceiling being higher and the floor being lower because programming, if done incorrectly, could be a lot worse than anything and a lot more dangerous.
than what you see at a Nike studio slash an Orange Theory or F45. Uh, but I do think quality CrossFit programming and quality workouts, it's still the best way in the world to work out.
[00:19:36] Sam Rhee: I feel like most of these, and I, I don't, I, again, I can't. You're right, we gotta look at the programming and see what they do, but if it's anything like most of the bootcampy things that I've seen at other places, and I don't, I've never gone, I just watch on, people post their workouts all the time at these different places on Instagram and I watch them and some of them are my friends and, and these dudes are using like 20, 25 pound dumbbells and they're doing bicep curls and then they're doing some, some shoulder press with it and then some, yeah, pec deck, right, pec, yeah, and then I'm watching and then they do these half assed Burpees where they're just kind of jumping and then, but not all the way down and just kind of jumping around and, you know, and then they do the battle ropes and then they do this and, and I watch it and I'm like, this is better than nothing, but this is all training wheel stuff.
Like you can't really. develop a lot of functional fitness with this. Now, you're not going to hurt yourself, probably. That's true. And you're not going to necessarily, but you're not going to really sort of push yourself to the potential you can. Now, in CrossFit, done well, you can achieve way more than I think an any other fitness modality, otherwise I wouldn't be doing it.
However, there are no training wheels. Anytime you engage in something where you are reaching a higher level of your potential, you do have to be very knowledgeable. You do have to work with people. You do have to be, um, uh, you know, you can't just go in. I feel like we've done a really good job. I watch our new athletes at our gym and I think we're doing a better job now than we ever have in the past 10 years taking people to the next level in a better, more fit way than anything that I've seen at these sports.
Bootcamp, slash, high intensity studios, you know, personal training type stuff. Um, but there's always going to be a market for the person who's like, I need the glitz, I need safe, I need, you know, uh,
[00:21:41] David Syvertsen: whatever. And I bet these places, because of Nike, I bet they're going to be beautiful. I bet they're going to be awesome to look at.
Look
[00:21:48] Sam Rhee: gorgeous to me. Yeah. But, um... You know, it's just, it's just, I have a hard time with the kind of programming that they do at all of these places. I feel like it's CrossFit lite on so many levels. Right. And Nicole Carroll has said this, like, they're stealing from us. Right. Like this stuff. Absolutely. Is BS, watered down, CrossFit.
Yep. And you know what, go to the well and drink the real stuff. Don't drink the fake. S that these guys are selling because this is what they're doing and trying to, you know, remark it to you as something that's new or that they're doing better. No, we did it first and we're doing it better than anyone else.
Yeah, absolutely.
[00:22:27] David Syvertsen: Now, what these, Nike Studio also doesn't have, and I'll admit I am so, such a big supporter of the Open and the games, but we have that. Nobody else has that. Nike, like, and that, if done correctly, can tie everything together. The community. The fitness and sport variables, um, you know, your Nike studio, they're not going to have that, even if they come out with the Nike, the Nike games, it's not going to be the same.
It's just not. And this is one of the most, this is why Reason One 107, why I think everyone should be doing the Open, affiliate owners should be pushing it, it's so unique. Nobody else has this stuff, and it could be even better if we get more people involved. And that's something that CrossFit affiliate owners, if you start to feel threatened by this, it's something you can cling to that others don't have.
Again, you have to try and separate yourself. You have to try and show consumers, your members, prospective members, what makes you different. And group training to some people is group training. Right? Whether they're drinking out of the rich well or the poor well, what Sam just talked about. We don't, we can't get that message into everyone's head.
So you have to set yourself apart and I think that and the CrossFit Journal, those are the two things. I know it sounds funny that the those two, they're huge assets as an affiliate owner and as a coach that you have that these Nike studios and Nike trainers will not have. And if you haven't been a reader of the CrossFit Journal, I'm talking articles that were out 15, 20 years ago, you could easily lose yourself in them and start to fall in love with CrossFit all over again, and even give yourself a broader understanding of what this is and what it can be.
And if you have that knowledge in your head, and you support the open, and you are setting yourself on a different level, setting yourself up on a different level than a Nike training studio that has maybe some bells and whistles that you don't have, So again, I think that's something an affiliate owner and coach should lean into.
We have
[00:24:37] Sam Rhee: pro, pro athletes in the games that are unlike any other fitness, anything else in the fitness injury industry. And we've always talked in the past couple of years, what was our peak when we had them on ESPN, when we were seeing these people, when we had a whole sort of, we had momentum because one was feeding into the other.
Um, I really hope CrossFit HQ figures out how to work that. Nike, for what they've got, they have a lot of athletes. And if those athletes on every sport, golf, football, basketball, CrossFit, start pushing this Nike studio, which I don't know if they're gonna plan on doing that, but they could cross pollinate quite
[00:25:20] David Syvertsen: a bit.
I'll tell you what, all it takes is one of those games athletes to like open up their own. Yeah. And now they're running CrossFit classes. That would hurt. Like if a Noah Olsen... and Sarah Sigmundsdottir open up Nike training Miami. I don't think he will, but you never know. Money talks, right? And they're doing CrossFit in that gym.
They're just not calling it CrossFit. You know, they're doing thrusters and pull ups and, you know, wall balls and handstand walks. That hurts. That would be the first sign of like, okay, like this is, this needs, I'm just saying, I think it's smart as an affiliate owner to look at this. What are you going to do if that happens?
Let's try to figure that out now.
[00:25:55] Sam Rhee: That would be tough because I would want to go there, too. Yeah, I know. Like, that would be something
[00:25:59] David Syvertsen: I would want to do. Absolutely. And Nike, if they're But that's the power of the marketing that you're saying. Yeah. That's why they, they That's why LeBron James and Yeah.
You know, all these athletes, they They have such pull on the market. Yeah. So if
[00:26:11] Sam Rhee: Nike actually decides to go all in and starts pulling that stuff out Yep. Then CrossFit Better watch out. You're
[00:26:17] David Syvertsen: in trouble, yeah. That's really scary. So again, you should start doing things now to combat this. So, the conclusion here, Affiliate owners, do you have a price?
I actually texted an affiliate owner about this article when it came out, and I was like imagine Nike comes in and tries to buy your gym and he goes, how much? And... You know, again, I love the line, everyone has a price. In some cases it's true, in some cases it's not. Um, but in this one, I think everyone has a price.
Like, would you sell to Nike if they offered this to you? Um, could you ever see them coming in trying to buy? Like, especially if they had. Let's pretend they get Noah Olsen to start endorsing this. And Matt Fraser, right? Nike athlete. Horvath, Nike athlete. And again, they can still compete in the games. Like, they don't really have that much allegiance across it, I don't think.
Of course. So, hey, we're just gonna put more money in your pocket, own this gym, and train here, and market it for us. You know, now if Nike comes in to a cross at Bison, or a cross at whatever, wherever you're at. And they say, Hey, we're going to offer you this much money. You're no longer a CrossFit bison, you know, you're now Nike training studio, Midland Park, that's, that's your identity.
We're going to do this to the space. We're gonna do this, but now we kind of split ownership with you. You know, you guys own 50%. We own 50 percent or some sort of agreement. Do you have a price on that? I'm sure you do. And. I think everyone should think about
[00:27:39] Sam Rhee: that. What is, what is your price? I'm not telling you a million, 2 million, 10, 10, 10 million, dude.
It's
[00:27:47] David Syvertsen: less than that. I guarantee it's definitely less than that. Let me look at my upcoming bills. All right. 18 a
[00:27:56] Sam Rhee: latte plus a no. Um, you know, these guys are. Expanding in different ways. Like this is certainly a foray. They're experimenting. They're going to, they're going to do some research with this, see what, what goes.
But they also have a Nike training club app. They have home workouts. Ooh, there you are, the app! I'm telling you, these guys are approaching it from every different Vantage point. You're,
[00:28:19] David Syvertsen: you're gonna die on that hill. I do. Did you see who else just came out with an app? Who else came out? Comptrain. Yes,
[00:28:24] Sam Rhee: a new app.
Ben Bergeron was talking about how awesome this new app is. I am telling you that AppSpace is going to be the next battleground. Whoever dominates that in the fitness industry is going to win the next generation of You know, who's going to come out on top.
[00:28:42] David Syvertsen: Who's going to be the next CrossFit, the fastest growing chain in business history.
[00:28:47] Sam Rhee: For sure, because not only do you get a worldwide market with an app, but the data that you collect from this app will drive your bricks and mortar places, the revenue that you get from advertising, the data on every athlete or person who's working out. I don't get me started
[00:29:06] David Syvertsen: again on this. No, no, I actually, I mean, down the road.
I actually would like listening to you talk about this, so we'll do it. We'll do an episode on the app, but we'll send it to our buddy, Don, Don fall.
[00:29:17] Sam Rhee: So, um, but I listen, Nike is not dumb. They are trying all sorts of different things, whatever sticks they're going to run with. They just haven't decided right now.
I think what to do with this training studio, but if they find that it is positive, I think they're trying to get data. Yeah. Yeah. Really? They are. And, and if it, if it looks promising and they start moving all in, this would be the 900 pound gorilla that could, uh, that could smush us.
[00:29:42] David Syvertsen: I don't have, like, very great business acumen, so you could take my word for it, Grand Assault.
I, I think this is something. What's going on right now, I think it's something. Um... You know, I, I think Nike sees what CrossFit is. I think Nike sees that CrossFit can't hand, can't hang onto ACEO for, to save their life right now. Um, there is as much animosity towards CrossFit as there is support. Maybe I shouldn't say that.
There's a lot of animosity towards CrossFit with loud talking heads. They are the minority minority, but it's a growing trend that it's just constantly being killed and crushed, uh, by a lot of people. that have some loud voices and some followers, right? This could be them setting up for themselves at some point going in for the kill.
And do they buy CrossFit at some point? Do they partner with CrossFit at some point? Do they sponsor the games? Those are all possibilities. But I think affiliate owners and people that work for CrossFit HQ at the top, this should put some urgency into whatever you're trying to do. Because they are so big and the second a big corporation like this gets momentum, you're toast.
And, you know, local affiliates, I don't think you need to be that scared, but it's something that, you know, because again, a lot of these CrossFit communities, like, you're good, with or without the CrossFit name, and a lot of us support it out of loyalty, but, so I think a lot of you guys are going to be fine, but CrossFit HQ, I'd be a little scared, and if you don't have a strong community, you know, and you're just kind of like, Constantly going back and forth, ups and downs with the business.
Um, this is something I think you should start putting some attention to. And again, just create some urgency in what you're trying to accomplish. Tick tock, tick tock. All right. Thank you guys. See you next week.
