Tampa City Boxing: Punching Strategically to Grow Members
Following a boxing match between celebrities Logan Paul and Rob Gronkowski in May of 2021, Tampa City Boxing (TCB) experienced a growth spurt, which carried the gym through the COVID pandemic into 2022, when a declining economy began spurring member cancelations. Gym owner Omar Albanil decided to strategize on ways to increase membership. He wondered how he could reduce the psychological barrier to entry, which was the fear of becoming a punching bag. He further wondered whether to pursue a low cost, premium, or niche strategy to differentiate TCB from its peers, such as Mayweather Boxing + Fitness and Punch Boxing for Fitness. TCB’s competitive distinction was its focus on competitive boxing, which primarily served 18 to 34-year-old men. Its competitors primarily focused on fitness, which attracted women. Albanil wanted a long-term plan to achieve a competitive advantage and sustainability, while deciding on the best growth strategy for the business.
Upon completion of this case, students will be able to:
1. Develop a SWOT (strengths, weaknesses, opportunities, threats) analysis to identify a company’s marketplace position.
2. Evaluate an industry’s size and potential.
3. Evaluate the appropriateness of cost-cutting, premium, and niche business strategies to achieve a sustainable competitive advantage in a small business.
4. Identify ways to achieve organizational legitimacy in an industry with legitimacy