The launch of Replify's AI Growth Engine arrives amid strong growth signals in the fitness industry despite ongoing operational challenges. The 2025 US Health & Fitness Consumer Report reveals that 77 million Americans hold gym memberships, with fitness and wellness revenues increasing 9. 9% year-over-year. However, many operators struggle with profitability; while membership dues make up 76. 5% of revenue, payroll costs consume 38. 4%, resulting in average EBITDA margins of just 23. 6%. Member retention is 66. 4%, forcing operators to continually refill sales pipelines to sustain growth. Tony Small, Replify’s founder and CEO, notes that although gyms experience robust top-line growth, labor and operational expenses erode margins. Market fragmentation is growing as 25% of consumers join multiple facilities and emerging formats like pickleball (participation doubled) and Pilates (up 8%) diversify fitness offerings. Small estimates facilities lose 40-60% of potential members due to slow or inconsistent lead follow-up. A survey of hundreds of gym operators found that despite receiving 50-100 inquiries weekly, only 10-15% convert to memberships, with follow-up speed and consistency as the main issues rather than sales quality. Replify’s AI Growth Engine automates lead management by linking gym lead databases and deploying outbound campaigns via phone, SMS, and email at scale.

It integrates with existing CRM and gym management software, allowing operators to enhance follow-up efficiency. Club 24 Concept Gyms, a seven-location operator, now processes over 3, 000 automated outbound calls each month, cutting acquisition costs by 35% and boosting contact rates by 60%. Other adopters include UFC Gym, Gold's Gym, Zoom Tan, and Arena Sports. Founded in 2023 by Small, Spencer Rascoff (CEO of Match Group and Zillow co-founder), and CTO Anna Rodriguez, Replify launched initially as heyLibby before rebranding in November 2025. Its pricing model features no setup fees or long-term contracts, aiming to ease AI adoption barriers for cautious gym operators. With 32% of consumers engaging in small group training and boutique fitness rapidly expanding, gyms face heightened competition. AI-driven automation of lead follow-up and member engagement presents a scalable solution that avoids expanding physical space or outsourcing. Small emphasizes that although AI won’t replace personal trainer relationships, it relieves administrative burdens limiting growth. The AI Growth Engine is available for existing Replify customers on custom plans, with demos accessible via Replify. ai. Industry data referenced: The 2025 US Health & Fitness Consumer Report: Expanded Insights Media Contact: Nate Corliss, Replify, 1 206-231-5978, [email protected], https://www. replify. ai Twitter, LinkedIn SOURCE: Replify