Business Journal - 9 August, 2005 -

Circuit training is nothing new, John Gennaro freely admits. Neither is the idea of a 30-minute circuit workout, perfected for women by Curves. What was new about Mr. Gennaro's creation was its target consumer: men. With the establishment of Cuts Fitness for Men in 2003, Mr. Gennaro who now serves as president of the company launched a new kind of men's workout. This year, he will roll out Cuts Fitness for Women another unique conception, he says. As both franchises are headquartered in New Jersey and continue to expand, he says it is just a matter of time before they reach Central Jersey. Mr. Gennaro is relatively new to the fitness business. He worked for 25 years in the hair care and beauty industry, for Conair and Vidal Sassoon, among others. In the early 1990s, he left the corporate world, and in the mid-1990s he developed an abdominal exerciser. It wasn't until 2002 that Mr. Gennaro says he became interested in starting a fitness company. He watched Curves grow and become successful marketing a 30-minute workout for women. "I wondered why no one ever did it for men," he said. "I never got a good answer so I decided to start one in my little town." That town is Clark, and Mr. Gennaro opened a store there in May 2003. The company's corporate headquarters remain in Clark. Two years later, 180 Cuts franchises have been sold, and Mr. Gennaro says 80 to 90 of those are open now. They are now in 30 states and five countries. Phyllis Cianfrano and Edward Bucci opened their Ewing franchise on June 27. Ms. Cianfrano manages the location, signing up new customers, greeting current customers and monitoring those working out. She prides herself on the personalized nature of the workouts; she checks in with exercisers to make sure they're not overdoing their workouts and creates health histories for each new client. Each franchise maintains consistency in its look and membership costs. Most of the circuit machines are the same, although franchise operators have some flexibility. Mr. Gennaro says they are required to have a certain number of resistance and cardiovascular stations. The company focuses on suburban areas, seeking to keep the fitness centers within 10 minutes of clients' homes. Stores are typically 1,500 to 2,000 square feet and are often located in strip malls in order to be easily accessible with plenty of parking. Cuts Fitness for Women will share these characteristics, as well as the 30-minute circuit workout base. However, Mr. Genarro says Cuts Fitness for Women will diverge from both Cuts Fitness for Men and Curves in its look, target clientele and exercises. Each store will feature upscale equipment and fashionable d cor, Mr. Gennaro says. "It's for women who are a little more fit, a little more hip, and less price-sensitive," Mr. Gennaro says. Cuts Fitness for Women costs $49 per month, while the men's version is $39 per month, Mr. Gennaro says. The franchise fee for a men's store is $39,950, as compared to the $69,950 fee for the women's store. As Mr. Gennaro looks to the future, he hopes to expand both Cuts Fitness for Men and Cuts Fitness for Women. He says he expects to have 1,000 total locations, domestic and international, of each in the next three to five years. Ideally, Mr. Gennaro would like many of these locations to be side-by-side, as they will be in Cleveland when Cuts Fitness for Women opens. Mr. Gennaro remains confident that the workout offered by Cuts Fitness for Men and for Women will draw in customers. Ms. Cianfrano said just two of the customers who have tried the circuit training at her location have not signed up for a membership. "We want to make (exercise) as quick and painless as possible," Mr. Gennaro says. "It needs to be part of your lifestyle."

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