I was invited to enjoy a great dinner at the newly-opened DeVito restaurant in Miami's ultra-chic SoFi (South of Fifth) neighborhood, an area fast becoming known for its A-list residents and new... A-list chefs.

Upon entering the building, I noticed the use of "living walls," one of the design features that we use throughout many of our elements clubs... the designers has used it to add character to the building exterior, as well as add intrigue to the space.  It was a great evening, a delicious gourmet italian meal, and a nice opportunity to hear growing and very positive feedback on BalanceD, our interactive weight loss portal, which is now beings used by many of the cities top trainers, and of course their clients... our mention in media, from the NY Times to the Miami Herald has made us "the" diet... funny that was not the original intention at-all, BalanceD is a very well rounded portal aimed at the average woman with more than 10lbs to lose... but its hard to say no to great press!

Im not sure why I was so surprised to see the cover of Time magazine... I mean, we all know that obesity and overweightness are one of the top killers of Americans...  we know that each geneeration is producing heavier and heavier children.  Still, you must admit, there is something very in-your-face about the cover of Time magazine.   

The article (and countless studies) went on to detail the various factors to blame... increased portion sizes, trans-fats, and parents failing to teach proper eating and healthy lifestyle tips to their children.

It doesn't take a scientist to recognize that there is a dangerous trend at work. I believe that most parents with overweight childen are aware of the dangers, but are lacking easy solution on how to adapt a change. Let's face it, parenting is tough work, having to                                                       gingely coach a child into exercising and eating right, on top of the other 1,000 challenges just makes an already challenging job that much tougher. 

One proven solution is to be a positive role model. Many published studies show that overweght parents are more than 100% more likely to have overweight children than their fit-an-trim counterparts. Again, this really makes sense- a child grows up seeing the importnace of exercise, watching their mom and dad make time for the gym, selecting healthier options. Exercise can (and should be) a family acitivity. Healthy cooking can be a part of an everyday lifestyle. At elements and BalanceD, few of our clients initially realize that hiring a personal trainer or a diet coach can also be a true benefit to their families, they generally will begin coaching or a weight loss program for a personal solution. While this is great, it is a true bonus in my opinion when that knowledge is shared to create a healthy lifestyle for the family. Our lifestyle coaches make shopping lists, suggest recipes, and can even adapt your family's favorites into a lighter version.  Parents making better food and cooking choices makes for a healthier (and slimmer) family.  What more compelling reason could their be to begin a wellness program today?

Going green is the buzzword these days... rising fuel costs has made it not only politically correct, but often necessary to consider environmental and efficiency issues in our everyday lives.

Going green comes from our inherit desire to do good... recycling, conserving, and helping others ultimately make us feel better about ourselves.  The most successful, or more established we become in our own lives, the stronger the desire is to give back, and do good for the community. It is not surprising to me how many executives are drawn to elements because of the desire to franchise or own a business which can do good for others. The fitness and wellness industries are very lucrative, due to their explosive double-digit growth and re-occurring membership revenue model, but I still maintain that the true success stories in our industry are those owners who truly enjoy what they do, and who are proud to own a business which does so much good for the community.

elements was featured on ABC news today, for our technologically advanced Smartcard Workouts... click here to watch the video

We are in the business of branding. We are also in the business of business development. elements for women is a growing network of 41 health clubs internationally, a mix of franchise clubs as well as company owned locations. As such, our creative team is always developing strategies to help increase revenue.

We have assembled what we refer to as "Rainy Day Contingency" which are action plans that our business partners can turn to in times of need. Emergency funding options, backup staffing plans, contingency plans in the event of fire or natural disaster... even contingency plans in the event of the death of a franchisee... many investors and potential franchise partners are surprised to see how much we have invested into contingency and backup planning.

We have developed backup resources and IT plans to protect our clubs information, databases, and media networks in the event of failure.

Our brand team has even developed marketing plans to promote during actual rainy days! The Umbrella Day Changeout is a popular elements program which works extremely well in urban markets. Well positioned marketing teams are placed caddy corner, and offer umbrellas, or to replace plain black umbrellas with our signature elements baby blue umbrellas. These umbrellas are a perennial favorite with consumers - and the ultimate result is a sea of baby blue "e" logos in what would be an otherwise dark and gloomy intersection. Its a great promotion which also gets the brand excellent exposure.

Our hand-picked creative team is one of the best in the biz, and includes an acclaimed art director from Uni Lever, award-winning NYC based Publicity and PR team, talented magazine and brand copywriters, even a "conceptual thinker".

Charlotte is a great example of a thriving American City....  not too big, not too small - and enough energy to make you feel as if you are in the middle of a happening place. Somewhat by accident, during the 1980's all of the major US banks found themselves with a headquarters there. Now, the streets of this 2nd-largest Southern City are lined with 70 floor office towers, and a dizzying array of public gardens and street fountains.

The city is packed during the day with thousands of executive and corporate women. While the competition from local health club operators is high, elements occupies a envieable market niche - we are only national upscale fitness brand for women. Since elements opened in Charlotte 2 years ago, we had caused two smaller fitness clubs, including Curves to close their doors, and acquired their membership bases. In general, it is very tough for these "microclubs" to compete against full-service women's concepts, such as elements, as their members get bored very quickly. Member retention is an ongoing, and significant dilemma, for fitness center under 1,000 square feet. It is simply common sense... members are intelligent people, they are looking to improve the way they look... with only one service option - the circuit workout - a member will alwyas plateau, or simply get bored.  Amenities such as treadmills, cardio, personal training, and classes foster social interaction, and offer diverse options for members, resulting in a higher retention rate. 

After weeks of market analysis, Our team landed in Charlotte last week to announced our relaunch and expansion plan for the market, which I will detail later this week...  [subscribe now] to receive this blog in your inbox.

Turn on any radio or television, read any newspaper, and the stories all have a similar tone... steep price jumps in groceries and gasoline, two important staples and a powerful indicator of economic performance.

One of the primary functions of a strategist is to forecast economic trends, well prior to them happening, and set the company course accordingly. As far as I know, elements is the only non-publicly traded lifestyle or fitness company to have a strategist as a part of the brand team. This foresight allows us to outperform many competitors on both a club and corporate level. The corporate performance is especially important for our franchisees and stockholders, as a powerful "mother ship" helps to ensure the success of all local clubs, programs and franchisees.

We had predicted the economic softening many months ahead of its arrival, and has also predicted that in the diet and fitness sectors, consumer purchases under $300 would hold fairly streadily, and consumer purchases under $100 would actually increase. This is attributed to several factors including the high perceived value from a fitness membership, especially at a premium club such as elements. It is also attributed to Americans canceling larger leisure purchases, such as golf outings and trips, in favor of smaller ticket, value driven purchases, such as fitness club memberships and weight loss programs. Even though elements is perceived as an upscale brand by consumers, it is not considered a frivolous or luxury purchase (such as a $700 pair of Gucci shoes), rather a necessity to maintain a healthy lifestyle.

We have taken several steps ahead of time to rally during this economic downtown, including focusing more of our corporate resources on developing and acquiring company owned stores and fitness clubs. This type of economy makes a great acquisition scenario for experienced operations team such as ours, and allows the company to derive more revenue from consumer-driven purchases, such as our BalanceD online diet and local club operations. This diversity in income makes elements significant more recession-resistant than our competitors, many of which have announced significant closings and cutbacks, while we continue to scale in the other direction. I do also attribute this to our prudent strategies on acquisitions and contracts, and my personal belief that each deal must stand on its own, and make sense on its own merits.

For well educated entrepreneurs, an economic downturn is absolutely the best time to start a business. Many long term agreements, such as real estate leases can be well-negotiated, sites are easier to come by, and contractors are more eager for the job, making prices more flexible. It takes 5-10 months to get a club open, start to finish, so the new location will be very well positioned upon opening, and will have a very solid financial foundation.   We will be announcing several expansion deals this month including Nashville area clubs, Columbus Ohio regional development, and several very upmarket cities in the Northeast. Although the areas are diverse, each of the groups shares one common component, a well educated entrepreneur at the help. 

I am heading to Charlotte, North Carolina this week, as we prepare to announce the expansion of our uptown Charlotte location, and the development of a company owned BalanceD Diet store, in uptown's banking district.

  Getting Beach Ready

As summer approaches, we prepare for the launch of 5 additional elements™ locations, in major cities around the country. We are opening a second and third Atlanta location, and will soon be announcing number 4 in the popular market. Atlanta is a great example of our "cluster based" approach to club development. The Southern States cluster is supported by our Atlanta operations office, and includes clubs in North and South Carolina, as well as Georgia and Northern Florida. This "hub and spoke" approach to development allows elements for women to better support and manage growth, and to provide stronger training for our franchise and company club personnel.

We will soon be announcing the re-launch and expansion of our uptown Charlotte location, as well as new operations HUBs in Chicago, Miami, and California. The Miami HUB will support central and South Florida, and will also include a multinational support staff to launch Latin America growth and the brand continues our wave of international expansions.

elements living online magazine and media channel is now boasting a reach of nearly 3 million viewers monthly. Our magazine features great content, expert advice from our All Star Advisory Board, daily tips, and inspiration.

We have recently added video as the newest dimension of the elements living experience. The following clip features Olympic Rower Victoria Draper, shot in site in Santa Monica. Do you see what a difference the video adds? I think it tremendously enhances the personality of the media channel.

We use the elements living media channel as a tool to help create awareness for the elements "lifestyle."

Members and prospective guests for elements clubs, BalanceD Diet clubs, and BalanceD online all receive complimentary subscriptions to elements living magazine, as well as motivational emails sent to their inbox.

The magazine allows the elements brand to remain "front of mind" with our consumers, and also substantially adds to the well-rounded lifestyle experience for our members and guests. Soon, an online store will be added to showcase a select line of hand picked fitness tools, accessories, and top tier weight loss and supplement lines. 

elements is the only fitness brand to offer such a complete media "backbone" to support the franchisees and club members, we are truly delivering a complete lifestyle experience.

We were very excited this week to formally announce Bruce Fabel as the new CEO of elements for women. Selecting the perfect CEO for an organization is no easy task, my search lasted nearly one year, and began with a relatively short list of hand-picked names.

To me, it was essential that our top executive possessed the experience, leadership, and knowledge to take the elements and BalanceD brand from 41 locations to 800. Our CEO also needed to have the ability to relate to many types of people, in many types of situations. I was immediately impressed with Bruce. His references were impeccable - having worked with the likes of Donald Trump, Steven Spielberg, and Calvin Klein. He conveyed class, professionalism, but also a warm and inviting persona which I knew would be essential in building elements at the fundamental grass-roots and staffing levels.

As elements and BalanceD Diet continue to explode internationally, we have continued to invest into leadership to ensure that our executive team remains  the leader in the industry. We will soon be announcing two of the largest names in the beauty and leisure industries as the newest additions to our Board of Directors. The elements board is quickly becoming a collection of who's-who in business and media (something that I am delighted about).

I have been asked for many of the details of Bruce's background, and 5 year vision plan for elements for women. Please find the text from the news release below, and business announcements posted online.

MIAMI, FL – elements™, the upscale fitness and living brand, announces the addition of leading global entrepreneur Bruce Fabel to their corporate team. A former Vice President of Nike Global Retail, Mr. Fabel will fill the role of Chief Executive Officer as the nationally-recognized women’s health and wellness brand grows from 21 to 320 units globally, and launches a multi-million dollar weight loss brand, BalanceD, with 800 planned retail locations and robust interactive website.

Mr. Fabel joins elements™ after acting as Vice President of Nike Global Retail, where he led a comprehensive global expansion of Nike’s retail market share through the opening of 150 Niketown and Nike Outlet stores worldwide. Recruited from Nike by Calvin Klein Inc., he became executive Vice President of Global Retail and managed the expansion of the multi-billion dollar Calvin Klein brand into European, Asian and American markets by successfully completing 66 licensed stores.

Mr. Fabel was also integral in the creation and design of Warner Bros. Studio Stores throughout the U.S. and Europe as Vice President of Retail Development. This included the real estate construction rollout of 156 stores over a period of five years, as well as the 40,000-square foot flagship locations in New York City and London.

In addition to his strong management background, creativity and proven track record of creating and implementing successful marketing and growth strategies, Mr. Fabel also brings an outstanding record of successful and profitable business expansions and global brand development. Under Mr. Fabel’s leadership, elements™ plans to increase industry market dominance, accelerate rollout of franchised locations in premium US and international cities, launch “BalanceD™”, a major online and retail diet brand, as well as a developing company-owned locations in key urban markets.

For more information on Bruce Fabel or the elements™ clubs and brand, visit www.elementsforwomen.com and www.elementsliving.tv, or our online diet at www.balanceyourelements.com

In life, they say that we wouldn't be anywhere without our friends. I believe the same principal should apply in business.  There is something to be said for doing business with good people, people who you can develop friendships and successful relationships with over time. As with any good friendship, other introductions are made, expanding our circle of contacts, and eventually... friends.   We use a tongue-in-cheek lingo of "friends of elements" to describe anyone who has gone the extra mile to help make our brand successful. Lately, our friends list has been rapidly expanding to include a who's who of top political, business and media figures.

    I received a call this Friday morning from Paris, from the founder of one of the world's leading beauty brands. On a recent visit to NYC, he had heard some buzz about the elements fitness and lifestyle brand and wanted to take a closer look... we were on the phone for about 45 minutes, talking strategy, branding, and marketing. He had grown a 1 million dollar enterprise to a billion dollar conglomerate, and was even more excited than me about the future of our brand(s). It was certainly a great start to the day.

Later that Friday, I received a call from the CEO of one of the largest health club brands (another "friend of elements"), wanting to speak about the elements brand and take a closer look at the programs we are developing, specifically "elements living," our online magazine. With a viewer base climbing into the millions, the magazine and media channel has certainly become a much-discussed brand builder. The popularity of our syndicated columns, such as "Ask Dr. Fab" is growing with each issue. The magazine helps to add to the consumer experience, and is helping to get elements into more media channels, such as Yahoo and Forbes online.

We announced March 1 that elements fitness was teaming up with Pierce Mattie, one of the world's leading PR and media firms, to begin the launch of BalanceD Diet, as well as to propel the elements for women brand.

Last week we conducted strategy sessions with our full PR team, and met desk-side last week with the top editors of over 22 lifestyle magazines, including SELF, Shape, Vogue, Elle, Fitness, Glamour, among many others. This is the beginning of a major press launch.

Armed with my new AirBook, the world's thinnest laptop and an array of elements multimedia presentations, the world's media heads were extremely impressed with our branding, Advisory Board, award winning gyms, and online diet... the components of a major lifestyle brand have really come together - as is evidenced each day with elements gather attention in more media, and top publications.

Typically, face to face meetings with editors last only 5-10 minutes, since these are some of the busiest people in the world. The idea that we were sitting with them for 30-45 minutes at a time, fielding all types of questions and listening to their feedback is a sign that we are of high interest to them, and more importantly, the readers. Our intent when designing the elements and BalanceD brands is always to put the consumer experience first... I feel like we are certainly on track.

The results of our media tour through New York City have been quite promising. Already we have been placed in major media, with some very exciting features and business stories in the works.

This week brought us back to the West Coast as we joined the International, Racquet, and Sportclub Association (knows as IHRSA) for their annual convention. Thousands of fitness business owners converged in Southern California for the 4 day conference, joined by the top vendors and business professionals. This year our team was meeting with many franchisees and potential international developers, in what proved to be a marathon session!  It is easy to feel off of the energy and pulse of the convention, and I think IHRSA serves as a great and powerful reminder of why many of us entered the fitness industry in the first place, to make a lasting impact on the wellness of America. It is so refreshing to be involved in an industry that profits from helping others reach a healthier lifestyle.   The outlook and growth statistics for the fitness industry are very robust, as the industry continues to benefit from double digit growth, new market sectors, and  widening usage numbers both nationally and abroad.

There was a definite warm spot in the cold Chicago winter, as elements launched the first club in the Chicagoland metro.

Chicago is an exciting market for us to enter. Not only does it represent one of America's top cities, but it also geographically allows us to develop the midwest, and create support networks for the franchises using our "hub and spoke" approach.

We were very excited to see the brand new club featured on a major news segment. Watching the clip provides a great snapshot of a few things to me: the energy inside of an elements club, and the excitement of our owners. This club is locally owned by Kim Branch, who is a dynamic and talented owner. She was able to utilize her past business experience in real estate to supervise not only the construction, but also the successful launch of the club - which was able to pre-sell hundred memberships in the month prior to opening. Part of the fabric that makes elements a great national brand is the local expertise that is contributed by each elements club owner. Personal attention to detail, and higher levels of service help to continue to make elements the category leader in fitness clubs for women.

There are some moments where it becomes apparent that elements is truly a global brand. Today I was enjoying a healthy lunch on Ocean Drive, a few blocks from our offices. I was on a call with Mats Manderbaka, the CEO of the HUR Company, the manufacturer of our smartcard equipment. elements has renewed an exclusive agreement with HUR to feature the smartcard workout technology in our clubs, and we are also planning some very advanced technological enhancements to the system, including Blackberry and iPhone compatibility (our plan is to offer members the option to access and pre-set their workouts from home, the office, or on the go)

Mats mentioned that he was working from Dubai this week, as HUR continues to expand its international network of rehab and senior equipment dealers worldwide. We ended our conversation and I began my lunch.

By the end of my salad, I received another call, this one from a prospective franchisee... in Dubai.
We had spoken before, and she was calling to ask some final questions and move ahead with developing a club. Many of her questions related to the smartcard technology. I was able to take advantage of this great timing to put the two groups in touch... which resulted in a highly productive business meeting at a Dubai hotel lobby.  We are very excited about our launch into the mid-east markets, as to our corporate team it represents how truly customizable the brand is, to be able to speak directly to women, and convey a message of wellness and empowerment, regardless of geography.

  One of the things, in my opinion, which truly sets elements apart from other wellness brands is our All Star Fitness Advisory Board. The board is a well rounded panel of true experts and leaders in various wellness fields. We refer to elements as a "living brand," meaning that is is real, touchable, and attainable by our consumers, staff and team members, and community. Rather than a celebrity spokesperson, which to me seemed cold or fake, we choose to showcase personalities which we believe will enhance the experience and lifestyle of elements. We generally will feature our All Star panelists in media outlets, such as our elements living magazine, elements syndicated columns featured in other major online sites or magazines, news and television features, and radio programming. This allows us to market the brand, our advisory board members, while at the same time educating.

We were very proud to begin an association with Dr. Melina, "America's Diet Doctor" from the Discovery Channel network. Dr. Melina began by discussing our new BalanceD diet on ABC, as one of the top "Diet Secrets for 2008" this week. This was great timing, which coincided with the soft launch of the online diet and wellness mega-site.  We have some very exciting major media announcements coming up this year, as elements begins its association with Pierce Maddie, one of the top public relations firms in the country... more to come on that!   
Click here to view the clip.
Click Here to get more information on elements.

We began this morning with a branding strategy session with our full creative team, led by our new creative director, fresh from Unilever. With the development of such consumer favorites such as Dove, Lipton, Ragu, and Skippy, under her belt, Irmgard's consumer knowledge is second to none. Since coming on board 2 months ago, she has developed a comprehensive visual and online strategy for the brand which will integrate our elements diet and fitness clubs, elements living online magazine and media channel, and our new "BalanceD" online wellness portal and weight loss brand. It takes a skilled brand team to operate within both the online and  "bricks and mortar" realm, but by doing so, we are able to expand the reach of our brands much more rapidly, and also offer a more robust consumer experience, which translates into more revenue for our clubs.

In business, it is very important to set and manage expectations - in franchising and branding, it is even more important to define standards, and create procedures and training for each protocol in the business. When done well, it will allow each and every  club operator to maximize the efficiency of their teams, without having to allocate tedious time to re-inventing the wheel, or more dangerously... trial and error.  This months project for the team was the re-development of a complete brand standards manual... an extremely comprehensive "how to" guidebook which is a step-by-step marketing, advertising, and branding guide, complete with all mockups and direct-to-print resources. As we near the completion of this project, and I thumb through this 100 page book, I cannot help but to notice how far the elements brand, our guidance, and operations team are ahead of any other franchise brands within the industry. Again... it reinforces our belief that the most solid foundation will build the most solid brand, and clubs.

Properly growing a category-leading fitness brand requires us to take many approaches. elements diet and fitness is very distinct from other health club providers, largely due to our vision of growing elements™ as a total lifestyle brand: online magazine, All-Star Fitness Experts, Expert Advice, Online Diet and Wellness Portals, and a full service health club network. All of these components combine to create a unique synergy, and allow us to support our guests and members in a way our competitors cannot. elements™ is in many ways more than simply a fitness brand, it is a lifestyle movement... we encourage club and online members to interact, share their stories, successes, and their journeys. This social network creates a powerful force, and makes the membership to an elements club far more valuable to the consumer. It also helps to drive retention and referral rates in our popular clubs.

One way that we have expanded the reach of the brand is through our popular syndicated lifestyle columns. Our "elements" personalities create monthly branded columns, such as  "Ask Dr. Fab" and "elements of a Healthy Relationship." These columns are then shared with other online magazines and websites who share similar demographics. Readers can enjoy the columns and then for more, link back to our magazine and websites. This allows our magazine (and brand) to have a reach into the millions for each issue, and has proved to be a great source of media for us.  Click here for the latest issue of elements living, and to see some of our featured columns...

I was asked by a colleague the other day what I would do for my profession if I were handed 20 million dollars, but still needed to be employed.... my answer came fast - and it was to keep doing exactly what I am doing today. It is very fulfilling personally to watch businesses (and people) grow. elements™ began with one simple concept, to create a complete, upscale lifestyle brand for women. We continue to carefully select the best business partners, franchisees, and locations, and grow steadily.

I know my vision and enthusiasm is also shared by our corporate team, our franchisees, and our club "lifestyle consultants." I hear it on each phone call, and I see it each time I visit a club, as I did this week in Atlanta. Our initial club location is busier than ever, and will soon be joined by two additional great clubs in the market. Each location will offer a unique amenity mix and will really help to define the brand as a market leader in Atlanta. We have a total of 7 locations planned for the metro.

On Friday I flew back to Miami Beach, welcomed warmly by the eighty degree January weather. We had a busy end-of week,  as the International Franchise Expo was held across the street from our Miami Beach headquarters. This was a great opportunity to meet with potential franchisees and business development partners from around the world, and our team hosted several receptions and events for a variety of  guests who had flown in for the weekend.

 
  Today was the launch of the winter issue of elements living magazine. The magazine audience, is deliberately separate from the clubs audience. While the clubs specifically focus upon upscale women, serving a 30-65 demographic in premium US markets, elements living is designed to be the "living" representation of our brand. Our expert panelists come to life with articles, video's, tips, recipes, and more, and are complimented with articles from our staff of writers.

I was more than usually excited about this issue, as it represents our first of three branded columns, which we will begin to syndicate nationally to a planned audience of 1,200,000. We expect this audience to double by years end, due to the growing relationships elements is building with other publishers and content resources... this translates into a wide audience for our brand, and more potential members for the elements clubs.

The first of the three columns is "elements of a Healthy Relationships" by acclaimed columnist Letty Livingston, and will be joined by our "Ask Dr. Fab write in column, and "Q&A with the Nutrition Twins". The idea is to make the brand more interactive, and also to give us a wide reach, beyond simply the markets where we currently have clubs. By expanding our reach as a fitness information resource and media brand, the popularity and credibility of the elements clubs will continue to grow, and our unique branding will continue to grow a loyal following.

     With so much happening around the elements fitness clubs and elements diet brand each week, it is important that we make time for media inquiries to help showcase the inner-workings of the company, and our international  expansion. Media calls to our corporate center in Miami Beach are frequent, as are the articles and news stories in the press. Our recent relationship with Entrepreneur magazine, beginning with January's Franchise 500 issue, along with our new status as a "hot choice" franchise has made these calls even more frequent.

This week I was recently invited to host Franchise Radio, on World Talk Radio. It was a nice surprise to be invited to host this popular show, and to join company with directors of such brands as Subway and Dunkin Doughnuts. The theme of the show was up-and-coming concepts, and also lifestyle based businesses. We already have received many positive comments from the half hour show, where we discussed a wide range of tips and topics - from "How to select the perfect franchise" to  details on the elements for women  opportunity. Click here to listen to the show.

   Next week, after the New Year's Holiday, we will be holding a press conference in Miami to announce the details of BalanceD™, our new online diet mega-site.   As the nation was busy preparing for the Holidays this year, we are working extra hard on all of the unimaginable inner-workings that surround such a massive project... from technology strategies, to member integration.. from choosing the perfect recipes, to adapting the program for every hundreds of possible consumer scenarios, to creating the hand-to hand marketing and consumer sales literature... launching the new diet company has been an immense undertaking, and one which I believe will be one of the finest products released from the elements™ creative team to date.

We plan to use the online portal to expand the current diet programs and services available within the elements™ clubs as well, adding a powerful revenue center to the existing operators. Diet and weight loss is a multi-billion dollar industry, and when positioned properly, is an ideal component of a successful fitness program. I have been working within the fitness industry for over 10 years, in all levels from club owner to Brand Director,  and truly have not seen such a well-integrated approach as we are about to unveil. We certainly expect elements to solidify its position as a category leader in this sector. Look for further details on BalanceD to come very soon.

Just as the Fortune 500 list denotes the "who's who" of American Corporations, Entrepreneur Magazine's annual "Franchise 500" issue is the most widely read magazine issue in the Franchising world. As elements for women is gearing up for a major facility rollout during 2008 (with over 15 new locations opening, from Chicago to Seattle), our newly expanded corporate team is excited about our new relationship with the magazine.

The elements fitness team has really focused our efforts in 2006 and 2007 to brand and infrastructure building, making sure all of the necessary support components are in place prior to a large scale development.  With such powerful and unique support features such as a robust owner's intranet and operations software, we feel very confident that operators of elements clubs will be prepared for success. Staff training remains at the forefront of our club development... it simply goes without saying that as the premium fitness brand for women, our clubs must be staffed by the best of the best. As the corporate team, we make it our job to assist with national recruiting, as well as staff training. Our employee handbooks  are designed to instruct as well as inspire, and help to foster our vision of a wellness community. Locally, each club team is empowered to create a community that will help to grow itself... rather than strict step-by-step policy, we prefer to be highly selective with choosing franchisees and Club Directors, and then empower them with the tool sets needed to create great clubs, and a great brand.

   We woke up this morning to find elements the headline story of the South Florida Business Journal. The business journals are important regional media resources, and feed into the larger, national Wall Street Journal and startup journal. elements has appeared for several of our developments in these regional papers in many markets, including Boston, Charlotte, and Atlanta. Today's feature was highlighting our launch as a national franchise, and our unique positioning as the only premium fitness and diet brand for women. Our fresh,  South Beach based programming has received many national accolades, and we are excited to further expand and enhance these programs in the upcoming year. 

It's back to the airports this week for our corporate team...  travel is an essential component of developing a brand, and we are no strangers to the skies. Our team is fairly hands-on with club development and media, so it is important to us to visit sites, meet developers, etc.. in their own markets. Since we customize the elements clubs for each location, we take time to study local market flavor and trends.  As I am writing this,  I am packing bags for a tour through Orlando (for the ABC, Athletic Business Conference), where we will hold several high level meetings. One of our key meetings will be  with the executives of HUR, who are flying in from Finland, to discuss next generation versions of our elements "smart" workouts, as well as web integration with our online lifestyle portals. Our vision for elements online is a seamless portal for elements members where they will be able to book classes, shop for product, review their workout stats, and plan their diet/menus all from the comfort of home or computer... we are very close to accomplishing this reality.

Industry conferences, such as ABC and IHRSA, are great opportunities to meet with leaders in the finance, leisure, and finance industries. Reflecting back, elements has really had great success at each show we attend, in terms of strengthening the brand.

Orlando is a great city to study concepts, experiences, and overall retail marketing, especially during the Holiday Season. One of my favorite places to visit to get design inspiration is Disneyworld, and its surrounding marketplaces. In these environments, designers can let themselves create with no limitations...  "magic" is the key word used during design. The result is some of the most stunning (and profitable) store locations. By studying the use of signage, colors, lighting, and traffic, we can take inspiration back to our designer to weave into the fabric of the clubs... see, you can learn alot from a mouse!

As we fast approach the peak season for fitness and lifestyle consumer purchases, there is a higher level of excitement than usual in our corporate offices... we have recently opened a new operations office in mid-town Atlanta, and have recently expanded our Miami brand showcase center as well. Our entire corporate team and club owners are preparing for a banner 2008 season.

Typically, December, and the beginning of the year mark high season for both franchise purchases  and also fitness purchases, making it a doubly busy time for us. This is coupled now with the unveiling of our large online diet and wellness portal which will be debuting December 31. We have fielded a higher-than-usual amount of press inquiries regarding elements and also the online wellness hub - Tuesday morning was spent in a photo shoot for the national business journals. On Monday, I have an interview for Franchise Radio, and our Advisory Board members are  looking like a who's who of fitness celebrities, with sightings on CBS, MTV, Shape, Fitness Magazine, Prevention and Woman's World.

It is very exciting to see the growing attention to the brand, and our clubs... and to watch the number of consumer and membership inquiries rise in response to the exposure. elements, and our online magazine elements living are very well positioned to be the market leading fitness and lifestyle brand for women.

IHRSA (the International Health Racquet and Sportclub Association) is the largest trade association for fitness clubs worldwide, with tens of thousands of professional members. One of the goals of IHRSA is to grow US Health Club membership to 120 million members in 2010, representing 25% growth from today's numbers. Currently, the growing US health club population is under served by the number of clubs, according to many industry analysts. John McCarthy was the Executive Director of IHRSA  for its initial 25 years. In his years of service to the fitness industry, the knowledge John McCarthy has amassed is as immeasurable as the wisdom he has dispensed. The following is an excerpt from one of his columns, which was published in CBI (Club Business International) magazine, on our timing being involved in the fitness industry.

Could there possibly be a better time to be in the health club business than now? If:

• you had a product that reduced the risk of dying from heart disease and cancer by 50%?

• You had a product that played an important role in the prevention and cure of diabetes,
arthritis, osteoperosis, insomnia, obesity, and hypertension...

• Your product made people leaner, lighter, more flexible, agile, more alert, energetic, confident, optimistic and more sexually attractive...

• Former Surgeon Generals of the United States went on record to say that not using your product was the physiological equivalent to smoking a pack of cigarettes every day....

• It was becoming better know, every year, of the value of your product - while important at every age - becomes even more important as women and men advance from their 30's into their 40's, 50's, 60's, and 70's.

And... If all the preceding were true...

• Could there possibly be another business that's capable of helping more people, in more ways, than our own?

• Could there possible be another business that offers a more exciting, energizing, and long-term opportunity than our own?

• Could there possible be a better time to be in this business than now?

  Last week we announced the development of elements diet, a major online portal which shall serve as the backbone of our new diet and weight loss services. We are excited about this major brand development, and proud to announce the development 4 months ahead of schedule.

This 8 month project represents several thousands of hours of development and research time, from our branding, design, technology, and nutrition teams. It is quite complicated to develop a site which appears so simple to the end user!   
It is our goal to deliver a unique and well branded consumer lifestyle site which would marry the upscale feel of elements with the knowledge of the leading fitness and nutrition experts. The idea is to couple this online portal with the diet coaching services available within the elements clubs, and from time to time feature specials from our acclaimed Advisory Board members, such as Dr. Fab and the Nutrition Twins. Our online magazine, elements living, will also be an important part of this portal as the provider of relevant content and forums regarding healthy living. Our site will also feature "Ask the Lifestyle Consultant," where any member or user can write in to a lifestyle consultant with their nutrition or exercise question, and receive a personalized answer via email - we are the first online site to offer this level of personalized service.

The elements diet portal is set for launch on December 31, 2007 both online (site to be announced.. keep posted to this site) and also within the elements clubs. Many of the clubs will also be holding a monthly long promotional event to help launch the new diet and lifestyle program.

   One of the most unique features of our elements clubs is our exclusive  "smartcard workouts." In Fall of 2005, while on a discovery trip to Europe, we discovered a unique line of equipment with a Finnish design, from a manufacturer named HUR™.  This "smart" equipment was being used by a elite training studio,  and "recognized" each member by name, "remembered" her settings and preferences (and self-adjusted to them), and tracked her progress. Even better, clients could purchase or borrow a heart rate watch to track their cardio levels throughout the workout as well.  The system featured a state-of-the-art software package which tracked each users workouts over time, and was able to give highly detailed reporting of progress and gains. We took some time to watch the system in use, at several locations throughout Europe. After a trip to meet the manufacturer, we knew we had discovered an important piece of the elements experience - the "smart" workout.

From  Daily Candy to the Miami Herald, elements, and our exclusive use of this technology has attracted headlines (and members!) We have recently worked with the manufacturer to create further enhancements to the systems, such as colorized touch screens and more workout options. There are several enhancement projects in the works, including one which will make smart workouts at elements web based, so users will be able to track their progress and plan their workouts from home or office... another elements exclusive!

As the New Year fast approaches, we are gearing up for "high season." January through March has always been a welcome time for the fitness industry, as membership levels spike to their highest points of the year, and old members begin to use the facilities once again with fervor. The commitment to have a healthy and balanced lifestyle is one again renewed...

The New Year marks another wave of activity for elements as well, which is the marked increase in prospective franchisees seeking a quality business to build and own. More and more well-educated families are realizing that business ownership, especially aligning with a proven business model in a fast-growing industry, is a great way to build a future. 
I was having lunch this week with the CEO of a major fast food franchise, and the VP of one of the largest car repair brands. Although both were legends in the franchising industry, it was extremely complimentary to hear how well regarded elements had become, in their opinion. In fact, the wife of one of my collegues had even suggested his wife as a candidate to own an elements club.

We are getting ready to make a major development announcement in the upcoming week regarding the brand, as well as announcing new locations in Atlanta and Chicago which will begin pre-selling memberships, to capitalize on the New Year's season.

   There are two major fitness industry conventions each year, where new innovations and products are released. As the premium diet and fitness brand for women, our team is always on the search for products and services which can improve the member experience, or attract new potential guests to our clubs. As a franchisor, i believe it is one of our primary responsibilities to monitor closely the trends, and the pulse of the industry... and then share this information with our club owners and, of course, members.

On one of my frequent visits to Europe, I had noticed a rather interesting fitness innovation, and was surprised to see it at Harrod's, arguably the top fashion retailer in London. Health clubs in London are, in my opinion, a step above the US fitness clubs in terms of their appearance and amenities. From Holmes Place to Virgin Active, these luxurious facilities redefine working out in style. Where US fitness consumers have come to regard a clean facility as superior, the European consumer is much more discerning. We can learn much about improving the club experience through our key Euro markets, but I digress...

At Harrods, on the eight floor, in between a healthy mix of D&G, Prada, and Chanel, is a Power Plate fitness studio, which is catering to a decidedly upscale clientele, of mostly females. Closer inspection reveals a new method of "acceleration training" which is grounded in over 80 years of NASA-type science. The general premise is that precise vibrations are used, in conjunction with exercises, to achieve the results of a 100 minute workout in just 25 minutes. Harrods was charging 20LB ($45 US dollars) per 25 minute session, and was fully booked. Needless to say, I was intrigued...

I was happy to further research Power Plate again at the Club Industry show in Chicago last week, and had the opportunity to do a full workout on one of the devices, along with a visit to the Power Plate Institute, located downtown. I see a potential mega-trend emerging here, and a great portal to lead more time-conscious consumers to our elements clubs. Our goal at elements™ clubs is to offer a mix of lifestyle and wellness services, where the consumer can create a customized routine... from diet coaching to candlelight yoga, smartcard workouts to massage, there is a unique blend of amenities to attract and retain the most discerning clients. 

This is shaping up to be a busy week, kicked off with the Columbus Day Holiday. Although holidays are optional work days for our corporate staff, we found ourselves extremely busy this Monday (in both Atlanta and Miami offices) with the sequence of events that were about to be kicked off. Ella Storm, from our All Star Fitness Experts, begins a 5 part series on "ultimate fitness" taped for CBS. The exposure will be great for elements in key markets, so our publicist spent the day prepping her for the tapings. We are hoping to use this newly formed relationship to help increase exposure on both CBS and UPN, with additional Advisory Board members slated for future tapings this season. We will air these clips as they become available on elements living, our online magazine.   

One thousand miles north, Chicago is gearing up for Club Industry, one of the largest fitness conventions of the year. The Club Industry event attracts thousands of health club owners, investors, equipment vendors, and suppliers, ina one week trade show and educational event. The elements team is hosting many events at the show, including education seminars, presentations for future owners, and an on-site training at our new Chicago location, which will be arriving this winter. Shows such as club industry are an excellent time to feel the pulse of the fitness industry, and to get a feel for just how rapidly the industry is expanding. As I read about the record warm weather in Chicago this past weekend, I can only hope the trend continues throughout the week, as I am becoming accustomed to the heat of Miami!

   
The mission of the elements™ brand is to promote a balanced approach to a healthy lifestyle: body, beauty, and mind. From our boutique style elements fitness clubs to our online magazine, elements living, consumers can find innovative classes, highly trained instructors, acclaimed experts, and entertaining information to help them reach their personal lifestyle goals.  elements™ is one of the very few lifestyle brands to offer both a physical health club network, and an online lifestyle brand as well... translating to a more complete experience for our members and consumers. In the fitness industry, often members find themselves too busy  to maintain a regular workout routine at certain points of the year. Our online portals are designed to allow members to continue to achieve their healthy lifestyle goals, on their own schedule and place. We have found that these programs translate to a obviously higher member satisfaction and retention rate.

In my opinion, one facet which makes elements a truly unique brand is the personality of our All-Star Fitness Advisory Board, comprised of acclaimed leaders and experts in various wellness fields - from longevity to dance, our growing panel is a collection of top names in their fields. We are soon preparing to announce our newest addition to this expert panel, Michelle Khai... our Flexibility and Motion Expert. It is common the fitness industry for master trainers to have specialties, but very rarely  do we encounter someone with the depth of knowledge and versatility of Michelle - from training ballerinas and dancers at the NYC and Miami City Ballet to Olympic Athletes, Michelle is certainly a master at strength and balance. Her pioneering work with Kettle Bells, has transformed this once-powerlifting concept into one of today's hottest workouts by the celebrity elite... she is frequently featured on TV and major magazines as the workout trend continues to explode.   Very often in our industry, women are shy to weight train for fear of becoming "bulky," Michelle is a perfect example of the poise, grace, and balance that comes as a result of incorporating resistance training into your lifestyle.

I began this morning with an outdoor breakfast at the Raleigh Hotel in South Beach. The Raleigh is a great spot for celebrity watching, at any hour of the day. As I was sitting at the tropical outdoor patio waiting for my egg white omlette, a quick look about revealed Fran Dresher (from TV's The Nanny) at one of the tables alongside of us, enjoying a plate of fresh fruit.

Today, I was joined by one of our strategic planners, to discuss some of the international ventures that elements is launching. The international reach of our brand never ceases to impress me... from Brasil to South Africa, we receive a steady stream of inquiries from highly qualified international developers.  American fitness brands have the potential to enjoy tremendous success in international markets such as South America and Asia, as geography builds credibility in the mind of those consumers (Much the same was American consumers perceive an article of clothing to be more valuable if it was designed in Milan or Paris) elements™, as the only upscale fitness and lifestyle brand for women, receives special attention from development groups who are looking to create a market niche in their country or region.

Our corporate team has a time-tested formula to evaluate international groups, and opportunities, which really help us to streamline the normally time-intensive process. We also must understand how to culturally translate the brand in respective international markets to position the developer for success.

We had a progress call on Friday with a mid-east group, based in Lebanon. It struck me that amid all of the turmoil in the region, this group had a remarkable entrepreneurial spirit. They were discussing possible development rights for Saudi Arabia and Dubai (now the development mecca of the region) as well.  Dubai is of particular interest to us strategically in the international marketplace, and the group has an impressive array of real estate and branded holdings.  Many of our international prospective owners will converge with our corporate team and US Club owners at the Club Industry fitness conference in Chicago next month, which is always an exciting industry event... from our perspective, it is impressive that we have more than tripled our attendance figures at the show each year. In 2005, we began with only 5 elements attendees, and are expecting well over 60 (representing our club owners, club directors, and corporate team) at this year's show and educational events.

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There are certain times to visit places to really experience the best they have to offer ... The Holiday Season in New York... Paris in the Spring... and, of course,  New England in the Fall.

This week I was traveling through New England as we continue to grow the elements brand in the region. The trip has been extremely productive, and packed with meetings, but there have certainly been some clear highlights.

While in Boston yesterday, I had a lunch-time meeting with Joe Moore, the president of IHRSA (the International Health Racquet and Sportclub Association). IHRSA is the leading organization for health clubs across the world. It was interesting to hear the plans to have 120,000,000 health club members by 2012, which represents nearly a doubling of our current size. The trends are extremely favorable for the fitness and lifestyle industry, as more and more consumers enter the marketplace, meaning that the industry will soon be under-served by the number of clubs. We also discussed the premium nature of the elements brand, and the fact that premium clubs tend to attract and retain the best members, who are willing to pay top rates- giving premium brands a nice market distinction.

I spent Tuesday afternoon visiting elements in Exeter, NH. This New England town, known for famed Exeter Prep and legendary Crew (rowing) teams, is the home to a beautiful elements™ club. The club features robust diet and fitness amenities, and has been a huge success with the surrounding communities.

You can feel the energy as you enter the lobby, and it is inspiring to hear the transformation stories of the members. The club follows our design plan of distinct "lifestyle zones," and features a plush locker room and members lounge (complete with sauna and massage), a grand fitness studio as well as "energy room."  What is perhaps more impressive than the design of the club, is the fact that in under one year, elements™ in Exeter has become a powerful social hub for the community... following our brand mission of wellness, balance, and empowerment. It is our membership philosophy to teach owners to build strong communities within their clubs, because communities will continue to grow themselves, creating a powerful force  for women, and a successful business for our owners.

Today elements for women announced a partnership with GRAVITY®, the leader in total-body conditioning systems, and also the creator of the famed "Total Gym." Our management team has enjoyed a long relationship with the owners of EFI Sports Medicine, their parent company, and are pleased to offer this amenity in all new elements™ club locations. (GRAVITY is presently offered in our Atlanta club, and is extremely popular with the membership and clients there). elements™ fitness clubs are unique as they offer multiple "fitness zones," including smartcard workouts, cardio, group fitness, and yoga/pilates - members can create a customized workout experience, complimented with personal coaching and an attentive staff.

The goal of elements™, as a brand, is to foster a movement of wellness - worldwide. elements™ living is about a balanced approach to a healthy lifestyle - body, beauty and mind. As we continue to announce exciting new locations (including additional Atlanta clubs, expansion in Charlotte, the launch of Ohio and Seattle) it is very exciting to see the message of community, wellness, and empowerment reach the local level.

Our award-winning elements™ clubs are uniquely complimented by our online magazine and media channel, elements living. With the announcement of a major diet and wellness portal arriving later this year - the consumer experience

Readership to online portals are measured by "impressions"... essentially how many screens a site is delivered to, and also by subscribers. Our new elements living magazine is now boasting over 150,000 impressions weekly, a number which we expect to soon climb into the millions, as a result of some key strategic partnerships. Unique features, such as syndicated columnist and our "expert guide to elements living" (now officially a part of the online magazine) has been attracting new readers and mag reviewers by the dozens each day. It is certainly exciting to see this media portal grow, it allows us a unique platform to tie in our All Star Fitness Experts with fresh and inviting content. As expected, it is also delivering the elements™ brand and message to a targeted, and captive audience.

The word Karma has been coming up in conversations more frequently. Some attribute success in business to luck, others to fate, and others to hard work. In reality, success is likely a mix of all three - but the focus of Karma in our conversations today, was actually on tile... Karma Tile.

Details are something which are not lost on me, nor my design and creative team. The difference of great brands lies completely in the details... the selections of artwork, carefully staging the right look for photos, designs for clubs, locations, products, even the way phones are answered. Details add up to the total experience by which a consumer experience is measured.

For us, details begin with a location search. elements™ clubs can be found in premium US and world markets, in top retail centers. We have a highly successful track record of lease negotiation, in part because top national landlords recognize our attention to detail, and welcome elements™ as an asset to their retail center.

Our clubs are designed to be drawing cards for members, using many trade secrets and imported materials, such as the Karma Glass tile, which we source from Italy. It is not only the use of these materials, but being able to deliver the maximum impact for the lowest cost which makes our design team excellent at what they do. Value engineering the construction process allows clubs to achieve break-even (and profitability) much more quickly.

We often say that to our club owners that the goal is to design a club which looks great not only to your members... but to your accountant as well! This is really the philosophy behind each of our club development modules, a blend offering top programming and distinct experiences to our members, and leveraging our years of industry experience and purchasing power to lower operational costs for our owners, often significantly so. It is very common for a new elements club owner to save well over the cost of their franchise fees in hard costs, and about the same in soft costs all prior to opening, making the decision to align with our brand an easy one.

Today, elements™ moved a step forward to announcing our major diet and lifestyle unveiling. The "official announcement" will come later this year, in October, but our branding and development team members have been working diligently to create a program, sales system, and major portal which will allow us to introduce our upscale fitness and lifestyle brand into the weight loss and diet markets.

Obviously this is a major announcement which will dramatically shift the revenue matrix for the brand. In terms of total dollars spent, diet and weight loss outperform fitness nearly 5:1 in America. Many fitness brands, even the most successful ones, are not well positioned to offer diet or lifestyle programming in a major way. We believe that these portals must be firmly engineered into the fabric of the brand, something that we at elements™ have done since our inception.

Our multi-million dollar diet program will feature the "best of" the elements brand... merging our upscale presence, our highly trained lifestyle consultants, and our All-Star Fitness Advisory Team. It will also include a major online portal, offering weight loss, nutrition, and health information with an emphasis on balance, healthy lifestyle, and customizations.

We are quite excited to see this program develop so nicely, and also excited about the large scale media relationships which will come with us launching our lifestyle portals.

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Any reader to this website knows that elements™ is the premium lifestyle and fitness brand for women, and that our network of boutique-style fitness clubs is quickly expanding to major world markets. Less obvious, is the legwork that our corporate team is doing to expand the elements™ brand into a household name in fitness and lifestyle. Several critical consumer modules, including "the expert Guide to elements living" have been launched to an active consumer audience, to display our vast array of knowledge and advice on wellness, fashion, fitness, and lifestyle topics. Major developments in our online diet and supplement portals will be the next developments to create a complete lifestyle solution, available to all consumers, regardless of physical location.

Several major consumer deals are in the works, with significant brand partners, helping to propel the popularity of these new consumer sites and the elements™ brand in general... as our corporate team returns to Miami today from several important strategy trips, we are looking forward to a productive week of executing these expansion plans.  Look for a major announcement to be unveiled on this site near the end of the month. Its time to live the elements™ lifestyle... everywhere!

There has been much buzz about our new prototype location in Atlanta... half spa/ half health club. This breathtaking 10,000 square feet, 2 floor facility is currently under construction, with an anticipated December 2007 opening - in conjunction with Moda Spa, Atlanta's top spa operator. The facility will feature a full service spa, salon, health club, and diet coaching.

The dramatic space features a 30 foot ceiling height, full length windows and glass, and a classic Georgian brick exterior. The elements design team is creating a rich, yet modern interior featuring chandeliers, Murano-glass crystal wall coverings, and dramatic "living walls" throughout. Full length velvet drapes and other surprise design components will certainly make this club a conversation piece.

Two additional (similar) facilities are also planned for the Atlanta market. We expect this hybrid facility to be a prototype for the next generation of spa/fitness, and have received many media inquiries from spa, lifestyle, and fitness trade publications. From the standpoint of an operator, there are practically limitless variations of packing, co-branding, and marketing. One of the secrets to building a successful fitness business is through generating referrals, something this club should have no trouble doing. 

elements clubs range from 4,000 square feet and up, with upscale amenities including smartcard workouts, yoga, pilates, private exercise areas, diet consulting, lifestyle coaching, retail and more.  Our philosophy regarding profit centers for each facility is not to offer the service unless we can be the category leader. In other words, it would not be enough for an elements to simply offer one room for facials, a club offering spa as an amenitiy must be able to compete with top spas in that particular market.  Having each club feature as the absolute best ensures that the clubs remain the market leaders, and the brand is continually recognized as a category leader.

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elements hosts several quarterly advanced training events for our owners and club directors. In keeping with the elements™ lifestyle, we generally try to hold our corporate events in top travel destinations, allowing our club owners and training team to combine hard work with some well-deserved R&R.

Much of our focus this week was in preparations for ELI™ (elements leadership institute), a four day Advanced Sales and Club Operations event, which will be taking place oceanfront at the historic National Hotel in South Beach next week.  Our corporate offices in Miami were bustling this week with team members from Miami, Atlanta, and New York in preparation for the event.

Sales training and continuing education is a particularly important focal point for elements™ clubs. To maintain our position as a category leader, continuing education and training for all staff members is essential.  As a brand, we offer some of the top training and staff development programs in the industry. The experience level of our club owners ranges greatly, from first time operations to multi-unit developers with other established franchises, therefore we have education and training programming with multiple depth levels. While reading the new set of six training manuals (brand, operations, sales, fitness and diet programming, pre-opening, and recruiting) I realized how much more advanced our operations training and programs are, when compared to many top chains in the industry. Our corporate management team is behind some of the top names in retail and fitness, including Crunch, World Gym, Guess, and Clinique.... elements™ represents a fusion of the "best of" many lifestyle brands, combined with new, cutting-edge operations and back office systems.

We spent last night attending a benefit function hosted by Miami Living magazine at the Ritz Carlton in Miami Beach. The benefit was attended by many local celebrities, politicians, and a who's-who crowd ...  great for our brand networking. Generally such events help to add to an already-impressive roladex full of potential magazine contributors, business contacts, celebrities, hoteliers, etc...

Tonights event took a surprise turn as I learned I was nominated for one of Miami's "50 Savviest Singles" (whatever that might mean). I'm sure I am in good company, so I accepted the nomination with a smile. Certainly the worst case scenario would be newspaper mention, and the upside might be great. I was certainly intrigued at how many attendees were asking detailed questions of myself and our key staff members at the event... where are the next elements™ club openings? International development... who is the next "All-Star" Board member? Our online magazine is a strong consumer hit, already thousdands of subscribers ahead of projections... our staff is hard at work on the next issue, which will be unveiling in several weeks.   You cannot help to be both flattered and excited after a night like this, realizing that only 2 years ago, not a single person in that room knew of our brand, and now we are becoming the clear category leader in women's lifestyle and fitness.

As the temperature in Miami nears a steady 100 degrees, this week we have out thoughts firmly planted on the cooler days of Fall. With elements diet and fitness clubs opening in 5 new markets, from Cleveland, Ohio to Nashville, TN within the next 8 months - our development team must assist the clubs with development to ensure an on-time opening.  The scope of support provided from our corporate offices to the local clubs is extensive, we assist with all phases of project development, from site selection and lease negotiations to club layout & design. We also handle much of the local press and pr. from our offices.

We are installing additional large plasma screen televisions to our Lincoln Road (Miami) offices, to assist with presentations and filming. While I believe this work should best be done after hours, a scheduling conflict meant that this was the "something extra" to our Wednesday.  The loud sawing and drilling forced me outside to a nearby cafe to do some phone calls.

On Wednesdays, I like to connect with our club owners to discuss member feedback, and to catch up on new development projects. As part of our comprehensive club operations training, we have a set of 5 manuals which is continually enhanced by our operations team. We monitor pilot programs to track success and usage rates, and rely heavily on market sampling, testing, and feedback to enhance programs. Today, the focus is on standardization and themed offerings within the group fitness programming, and also several enhancements to the membership sales forms library. It is quite interesting in speaking to the local owners, to see national trends evolve (regardless of locale), as I hear common requests and suggestions throughout the morning.

Our local club philosophy is that each club should reflect the upscale elements™ brand and our values of a balanced, healthy lifestyle... but also have a voice to the local market - this approach allows the clubs to build strong local communities, which are enhanced by our national presence.

Of course we all know that there is no magic pill for weight loss... but that does not stop billions of dollars from being spent each year by Americans in this pursuit. I have often said that the key ingredient when designing a lifestyle or weight loss plan is to include the inspiration, the motivation, and also the dream that the results can be achieved.  As elements™ prepares for several major announcement surrounding our new diet programs, we find ourselves deeply entrenched in the study of consumer patterns, both past and present.  The elements™ brand was created as a lifestyle brand, one that can easily resonante with a consumer whether they were seeking weight loss, fitness, or simply a lifestyle change.

Our elements™ clubs are designed with multiple revenue centers, including powerful weight loss and diet coaching programs. The new developments at elements brand headquarters will very likely position us as a category leader in lifestyle. This morning involved calls to various agencies, including a key manufacturer and distributor of product. Luckily, this process is made much easier since many of our management team are seasoned industry veterans. I find that our brand name is well known in the product industry, and we have had several vendors offer to partner with us on the launch, and although this is likely not the route we will go - it is certainly complimentary as it affirms their strong belief in our brand and product.

elements™ is becoming known as the "category leader" in women's health and fitness. I say this because more people are saying it to me. I received a warm phone call yesterday from the director of the most reputable worldwide fitness certifications, who had read about elements™ in a recent trade article.  Our one hour phone conversation certainly opened up a relationship for strong collaborations. Not only are relationships like this important for business, but they are also strong signs that elements™ is a respected  brand among the industry elite.

Most of the premium goods or services in America are sold to increase our "quality of life." In fact, lifestyle has become an industry in-and-of itself. Hotel chains are now selling their goods online, in a successful effort to have "resort style living" at home. Internationally, brands are extending their core offerings to consumers in an effort to increase both recognition and market share.

The fitness industry seems a bit lost in this regard. We have watched for years other brands miss key opportunities to tap into the lucrative consumer goods market. One of the key differences with elements™, is that we are developing a complete lifestyle brand, not simple a health club chain. This approach is more complete, and translates into a more robust consumer experience. It is very difficult to include the "lifestyle" after-the-fact, it must be engineered into the core of the brand. This explains why so few players in the fitness industry are able to execute this approach. Consumers can relate to "elements living" and our balanced approach to a healthy lifestyle, regardless of locale. With a premium health club network, combined with fast-growing online portals, elements living is becoming a way of life for more and more American women. When brand extensions make sense, they add value for all. We are frequently approached with licensing and branding deals, and are quick to decline if we feel they do not fit with the core mission or growth objectives. Sometimes, however, co-branding deals make great sense for both groups, and a winning strategy can be created to help achieve fast market penetration, leveraging the strength of the two brands. We have been approached, and have had several meetings with a large Caribbean resort group, with the idea of creating a lifestyle fitness DVD series, and branded fitness amenities and offerings at the resorts. Such a relationship is great exposure for elements, and also adds to our credibility as a leading US fitness brand. With our All Star Fitness Advisory Board, we are able to combine branded personalities and expert knowledge to the programming. The resort chain adds value to their guest by delivering a branded amenity with higher service levels, and elements™ benefits from the exposure to millions of present and future prospective guests.... a win/win.

As the premium fitness and lifestyle brand for women, we place a higher emphasis on real estate and site selection than most. elements™ is on a growth plan to develop 800 US locations, all in "name markets." (meaning tier 1 and 2 cities) We place great emphasis on our relationships with current and future landlords, and have several members of our corporate team who solely focus on real estate and club design. elements™ has developed a detailed kit specifically for landlords which greatly helps our club owners and brokers during site selection and lease negotiations.

Some people say that luck in business is simply when preparation meets opportunity. I do believe this, and believe that much of the intense development legwork our team has invested over the years is paying off with some potential landmark locations around the world. Several of the newest locations we are considering are at top international addresses - the elements brand truly has the cache to pull off... with great success.

We began discussions today with top members of the MGM/Mirage real estate team, to discuss a potential 10,000 square foot location inside the ultra-lux City Center, the new upscale heart of the  Las Vegas strip. City Center is one of those few retail projects which represent a collection of the top retailers in the world - even being considered is quite an honor. We spent much of Friday afternoon getting a better understanding of the project scope, potential interior locations inside the massive project, which includes 5 hotels and over 18,000 rooms and residential units. Part of our brand growth objective is to develop 5 top world flagship stores, to help define elements as the market leader... City Center certainly fits the bill.

All looks and no brains is not a compliment! We frequently receive accolades on how beautiful and inviting our cubs are, and this is something elements™ places great emphasis upon, however one of the most unique features in our clubs I believe is the smart workout technology. elements™ fitness clubs feature forward thinking technology, designed to enhance the member experience.

Several years ago, while in Europe at an industry trade show, we came across an innovative line of equipment which featured "smart workouts." The member would take her card, insert it into each machine, which would self-adjust to her settings, and record her progress. The machine would even tell her where to go next, and track her heart rate during each exercise. This valuable data was stored at the club, so that a member would be able to see her progression over time, and would be able to discuss her progress with a club's lifestyle consultants. We felt that this system could be an ideal fit to the elements™ experience, and decided to exclusively feature it at our US clubs. "Smartcard" equipment has become a major selling tool at the clubs, and is a top choice of our members. We are working on new enhancements to the system to allow even more integration in the near future, in conjunction with several major portals we are now developing.

Technology is a buzzword at elements™... we are now working with our software developers to integrate a new technology, which will allow each elements™ club member to have their own web portal "my elements™" where they will be able to monitor and manage all of their account settings, including checking workout stats, account information, booking a class, or scheduling a personal coaching session. Other personalized services and retailing is also planned to be added to this module.  Full club class schedules will also be available online, in real time by this fall, making elements™ one of the few fitness brands to be able to manage the consumer experience with such precision.

In corporate America, it is standard to pay tens of thousands of dollars for a session with an experienced Brand Strategists. Companies will frequently seek the input of other, outside branding gurus to establish benchmarks and to ensure that their planning and development is on track.

I lucked out this morning, at Starbucks. While in line I spotted David Himmel, a noted Branding Expert who has developed many lux and ultra luxury brands, including Grand Marnier- the top branded French Congac. No stranger to the luxury or lifestyle markets, David was familiar with elements and our rapid international growth.  We had the opportunity to sit and have an extended conversation about elements, the launch of our "elements living" magazine and media site, and some other projects that are in the near horizon, including a major diet program unveiling.

As I was leaving Starbucks to head to our Lincoln Road Branding Offices, I received an unexpected phone call from our potential regional developers in the Mid-East. The Arab nations represent a high-growth opportunity, especially considering the cultural pressures for men and women to exercise separately. Our developer is a obviously well-funded group, with prior experience in franchise and restaurant  development.  They are proposing a 12  club system for elements, which would represent weight loss and fitness  services with our signature upscale branding.

Meanwhile, closer to home, I was now running 10 minutes late for a meeting with a luxury hotel group who has proposed developing an elements club inside one of their top properties. This would be a unique deal, as we generally prefer street level retail for our fitness clubs, however the owners have made a strong case for their property, and the success of a potential location there.

Christopher palumbo, elements for women, By Chris Palumbo. Many people are surprised to learn that elements now maintains three major consumer websites, all tied together, with a major web expansion initiative already in place to more than double the current scope and size over the next 10 months.

I believe my favorite elements for women website is our consumer blog... the "official guide to elements living" tips, advice, and secrets from our lifestyle experts...

As the premium brand of health clubs for women, elements™ features a host of experts in the fitness, diet, and lifestyle realm. From our corporate offices in New York City to our Brand Headquarters on Miami's fashionable Lincoln Road, we are right in the heart of all things trendy, upscale, and cool. As our team began to notice a growing collection of great ideas, products, food, and tips, we imagined this new website as a platform to share our finds with the world... little did we realize how popular it would become - with thousands of views daily from around the country, and a growing list of loyal subscribers.

The spirit of this consumer site is to share our favorite picks for the very things that define our consumers and members "elements™ women." The highly popular site includes our favorite products, beauty tips, travel insights, fashion, and more.

This "expert guide" with its frequent updates is part of the new elements living media channel we are unveiling this summer (online magazine, podcasts and music, video clips, and journals) Our goal is to get readership well into the hundreds of thousands, to increase the overall strength of the brand, and to further position elements as the premium fitness and lifestyle brand for women.