Is it more beneficial for Gymshark to invest in influencer partnerships or develop its own fitness app ecosystem?

Introduction

The trade-off we're examining today is whether Gymshark should invest in influencer partnerships or develop its own fitness app ecosystem. This decision is crucial for Gymshark's growth strategy and market positioning. I'll analyze both options, considering their impact on user acquisition, brand loyalty, and long-term revenue potential.

Step 1

Clarifying Questions (3 minutes)

• Based on Gymshark's current market position, I'm thinking influencer partnerships might be a key driver of their success. Could you share more about the current scale and effectiveness of their influencer program?

Why it matters: Helps assess the potential impact of doubling down on this strategy Expected answer: Significant contributor to brand awareness and sales Impact on approach: Would influence the decision to expand or pivot from influencer partnerships

• Considering the competitive landscape, I'm curious about Gymshark's technical capabilities. Do they have any existing mobile app development experience or partnerships?

Why it matters: Determines the feasibility and timeline for developing a fitness app ecosystem Expected answer: Limited in-house experience, but open to partnerships Impact on approach: Would affect the resource allocation and timeline for app development

• Looking at user behavior, I'm wondering about the engagement levels of Gymshark's target audience with fitness apps. Do we have data on their app usage patterns or preferences?

Why it matters: Indicates potential adoption rate and value proposition of a Gymshark app Expected answer: High engagement with fitness apps, but market is saturated Impact on approach: Would influence app features and differentiation strategy

• Considering Gymshark's revenue model, I'm thinking about how a fitness app might fit in. What are the current primary revenue streams, and how might an app ecosystem contribute?

Why it matters: Helps align the app strategy with overall business goals Expected answer: Primarily e-commerce, looking to diversify revenue streams Impact on approach: Would shape the monetization strategy for the app ecosystem