Bally Total Fitness

Technology in Motion

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• Mobile at Bally• Fostering Enterprise Innovation• Bally’s Mobile Technology Vision• Key Considerations• Enterprise Benefits• Future Thoughts

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Mobile at BallyWhy mobile

– Fitness corresponds with freedom, movement and action – Environmental and cultural fit– Mobile would amplify the experience and environment

Pictures do not convey the environment!

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Mobile at BallyWhat did we see

– Members already using mobile, but not to engage with Bally

– Employees interacting with consumers while in motion, but then tethered for system access and transactions

– Technology is detracting from the experience!

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Evolution of Mobile at Bally

Innovation Summit Kickoff

Innovation Summit Presentations

Approved Project Kickoffs

Vendor Selection

Designs/Requirements

Development/Test

First Club Live

Dec ’10 Jan ’11 Feb ’11 Mar ’11 Apr ’11 May ’11 Jun ’11 Jul ‘11

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Fostering Enterprise Innovation

• Formal innovation processes– Annual IT Innovation Summit– Embedded IT– IT Develop Exploration

• Real results

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Innovation Process: Annual IT Innovation Summit

• Annual summit involving all IT personnel• Innovation focus areas and teams formed• Research conducted and solutions

proposed by cross-functional teams• Innovation ideas presented to IT

leadership during multi-day innovation summit

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Innovation Process: Embedded IT

• Permanently embedded IT staff– Provides open communication with all levels of fitness

and call center staff– First hand observation of technology, business

processes and member communications

• Seasonally embedded IT staff– Peak season IT staff embedded in fitness centers– Shared experiences and conversations with fitness

center staff– Post peak season debrief focused on how to improve

technology and processes

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Innovation Process: IT Developer Exploration

• After the annual innovation summit, block time for developers to explore technology in support of innovation ideas

• Innovation and exploration bandwidth is built into resource allocations on project plans

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2011 Innovation Projects: Results Center

• Show a member what their future self would look like if they adopt a healthy lifestyle• Provide members and potential members with a library of exercise videos for major muscle groups

Key Innovation: Large scale interactive video display based upon Microsoft Kinect

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Mobile Technology Vision

• Employees interacting with consumers• Employees interacting with the environment• Consumers interacting with the environment• Consumers interacting with employees• Consumers interacting with each other• Work anywhere, on any device

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Employee to Consumer

• iPad Apps– Club Tour– Membership and Personal Training Presentation– Membership and Personal Training Sales– Registered Guests– Who is in my club

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Employee to Environment

• iPhone Apps– Facility Maintenance– Workout Equipment Maintenance

• iPad Apps– Repair Requests

• RFID Mobile– Fixed Asset Inventory– Preventative Maintenance

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Consumer to Environment• QR Codes on fitness equipment• Mobile Web

– Guest pass downloads– Find a club– Group Ex Schedules

• iPhone/Android App– Profile maintenance– Order a smoothie– Invite a friend– Kids club streaming video– Membership ID

• Streaming group ex classes

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Consumer to Environment

• WiFi Location Awareness (802.11)– Automatic check-in– Post messages to Facebook– Personalized marketing

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Consumer to Employee

• iPhone/Android App– Find a trainer– Personal trainer interaction

• Fitness advisor• Nutrition advisor

• Web– Meal planner– Workout planner

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Consumer to Consumer - Social

• iPhone/Android – design stages– Find a workout friend– Self-organizing interactive communities– Competition fostering between individuals or

locations

• Web – Facebook communities– Auto-Tweet activities

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Work Anywhere – On Any Device

• Bally IT is 80% virtual• Employees can work anywhere on any

device using virtual desktops – iPad being the most prevalent

• Reduced IT office space by 50%• Reduced desktop hardware and software

support by 60% • Roll-out to other departments in 2012

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Key Considerations• User Experience is everything

– Augment the environment– Foster interaction without feeling intrusive– Emotions through technology– Common digital language across technologies

• Security – Transactional security– Secure access for consumers

• Vendors– User experience– Design elements

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Enterprise Benefits of Mobile

In locations with new technology:• Juice Bar sales up 100%• Member retention up 10%• Top membership sales in the chain• Reduced maintenance costs and downtime

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Future of Mobile• Context aware, personalized marketing and

services– How often do I workout and at which location(s)– Where do I spend time in the location– What services do I use (PT, Group Ex)– What products have I purchased

• Expansive community and social integration• Mobile Intercept App using natural language• Voice biometric security

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Summary• Observe the world around you

– How are consumers/employees interacting with other organizations versus your organization

– How are consumers/employees interacting with each other and can your organization facilitate or participate in the conversation

• Use technology to amplify your relationship with consumers

• Almost anything you can imagine is possible, so innovate