One thing moving markets…

…is the growth of the health and wellness industry. As of 2024, the global wellness market — which includes categories like fitness, health, sleep, nutrition, and more — is worth $480 billion.¹ And it has continued to expand at a rate of 5-10% each year.

Breaking a sweat

The average American’s wellness spending exceeds $5,300 per year — the fifth highest level in the world.² According to Empower research, 1 in 5 Americans consider having a fitness membership or personal trainer as a luxury experience, while 10% view it as a peace-of-mind service.

Fitness has especially caught on with younger generations: More than half (56%) of Gen Z Americans consider it to be a “very high priority”, well above the 40% figure for consumers overall.¹

Investing in health

This trend is reflected in young Americans’ shopping habits. Nearly 1 in 5 Gen Zers and more than a quarter of Millennials regularly spend on fitness, buying gym memberships, workout classes, equipment, and more.¹ Both generations outpace the national average when it comes to nutrition-related purchases, such as food-based subscriptions, and mindfulness services, like meditation apps. 

New habits, new innovations

In 2020, many consumers made the most of their time at home by prioritizing fitness goals and splurging on workout equipment.

Since, the influx of demand and spending has driven innovation across the industry from the Peloton Bike to fitness “wearables”. Devices like the Apple Watch, Fitbit, and Oura Ring have become increasingly high-tech, and popular.

The market for fitness trackers is forecasted to grow is projected to grow from $62.03 billion in 2024 to $290.85 billion by 2032, exhibiting an annual growth rate of 21.3%.³ This market also includes emerging technologies, like smart scales that track body mass index.

Motivation vs. inflation

Earlier this year, Planet Fitness raised prices for the first time in more than a quarter of a century, bumping its monthly membership fee from $10 to $15.⁴ Zooming out, fitness businesses across the globe have raised prices annually by 8-10% on average.⁵

But that might not be enough to dissuade fitness enthusiasts: While Empower research shows 82% of Americans say their money doesn’t go as far as it used to, nearly a third value the return on happiness they get from breaking a sweat at the gym (27%). Plus, more than 4 in 5 gym-goers (85%) will accept price hikes, so long as they know the reasoning behind them.⁵

More recent data suggests a short-term pullback in fitness spending may be looming, but that may be part of the wellness spending cycle: Americans’ spending on fitness will often surge in the first quarter, when New Year’s resolutions are fresh of mind.⁶ So even if the industry does ebb in the final months of this year, fitness may flow back stronger than ever to kick off the next one.

And a few top headlines

The housing market is back in a big way.

• Home sales surged nearly 20% annually in July, which also marked the first monthly increase in about five months. The Northeast was the biggest source of these gains, while the market in the Midwest held fairly steady.⁷

Speaking of housing, home prices hit a record high, again.

• U.S. home prices rose more than 5% year-over-year to a new all-time high, based on a three-month running average ended in June.⁸ Prices popped in major metros like Las Vegas, New York City, and San Diego, while smaller cities like Portland, Oregon saw only modest gains.

Rate cuts on the horizon.

• Federal Reserve Chair Jerome Powell strongly suggested that there will be a rate cut at the central bank’s September meeting, as the market widely expected.⁹ 

Meet football’s new superfans: Private equity firms.

• NFL owners voted to approve private equity investments. Funds can now purchase passive ownership of up to 10% in any football team.¹⁰

Bridgerton sparks more travel to Great Britain.

• U.K.-centric content like Netflix’s viral hit Bridgerton is driving tourism spending across the pond — to the tune of about £5 million.¹¹ Empower research shows London takes the number 2 spot on Americans most-desired travel destinations this year, with travelers anticipating spending $2,904 per international trip.