Crunch Club Issues - Assignment Example

Crunch’s demographic market was that of young adults. Their core demographic market rested in the American suburban. These were people who would be in their twenty-somethings. Thus the demographic market Crunch is young and peppy.

Crunch stood out as a brand for its innovative offerings. They always tried to project a big image of their company. The Crunch logo symbolized fitness apparel manufacturers and they had that logo licensed. A point came during its tenure when aerobics was no longer central to the company’s programs. Crunch continued to gain popularity and attention by coming up with group exercise concepts that were not available.

Levine drew his motivation from the positive results that he was getting for the work that he was doing. His investments in new and innovative products were being welcomed in the market. His biggest strength was his urge to take risks and try new things. This helped him project an eclectic image of his company as it helped ensure that the company was always on the road to development and innovation, the key traits needed for a successful stint in entrepreneurship.

Crunch as a brand was larger than life. They had gone for above-the-line promotion and had ensured that no stones were left turned in promoting it properly. They had a TV show running in its name and they had people licensing the product and selling it as if it would not be available. However, there was no corporate organization and everything rested at the club level. Crunch’s staff was at the club level only and most of its employees stayed in the Manhattan club. There was heavy dependence on external accounting firms, PR agencies, consultants, and advertising agencies. However now that crunch was considering expanding its foray into bigger ventures, Levine was considering preparing a systematic mode of corporate organization.

Yes, it’s a good fit for Crunch because it is in sync with the overall branding of Crunch. It will not just add another big name to their pool but will also be monumental in promoting the image of Crunch as a brand. It will attract more customers and is also likely to take Crunch to newer and bigger heights.

SportsLine will mean Crunch will have a whole new market base added to its customer base. Those gyms are Olympic sizes, they are huge and widely revered by the people of Atlanta.  There were membership installment plans that were being offered to the customers of Sports Life. While acquiring SportsLife would mean drifting away a bit from Crunch’s typical business model what could be done could be to acquire it and then customize it according to Crunch’s branding itself and the needs and perception of the people of Atlanta.