Fitness App Industry ESG Thematic Report, 2023

Environmental, Social, and Governance (ESG) in the Fitness App Industry

The current trend of investments is largely influenced by the introduction of policies in areas of Environment, Social and Governance.

Wide range of products in the fitness app industry create a positive impact on the health of the consumers, engaging them in a healthy lifestyle where fitness and heath are prioritized, promoting healthy lifestyle through their products. Increase in awareness of healthy lifestyle and the demand for performance enhancement are the key factors that drive the pre workout supplement market, also shape the initiatives and the policies in the sphere of ESG.

Social distancing and restricted access to gymnasiums and fitness infrastructures as well as health awareness amongst the consumers has led to the increase in the usage of fitness apps, creating an impact on social health.

ESG Trends

The usage of products of fitness app Industry have surged by 46% due to the Covid-19 pandemic around the globe. The UN SDG (United Nations Sustainable Development Goals) 3:Good Health and Wellbeing for allis being positively influenced and promoted through the market, by guiding the users about the exercise regimen and diet plans.

这些应用程序跟踪等参数的数量calories burnt and the food and water intake, blood pressure and workout routines, by considering the relative data such as body types, weight, and fitness goals, impacting human health at community scale, there by achieving the UN SDG 3.

Conversely there are certain challenges pertaining to the governance aspect of ESG within this sector. Certain products of the industry use smart devices such as smart watches and wearable devices, which acquire the real time data related to individuals, such as heart rate, blood pressure and health issues and stores them. The data parameters are private data and companies operating in this sector have challenges protecting the privacy of this data. These have a direct impact on UNSDG 16:Peace Justice and Strong Institutions,hindering companies operating in this sector from attaining this goal.

There were reports of breach of private data by the users, which was due to lack security in the firmware of the devices, causing direct or indirect breach of the privacy of the consumer, transmitting most data without the consent of the user.

To counter act these kinds of data breaches, one of the players of the fitness app industry has made data protection and privacy policies giving the consumer a free choice and adheres to the international as well as the local legal policies and frameworks regarding the data protection.

Additionally, it has improved the technology to align with the aforesaid policies, making the technology more responsible in terms of data privacy and protection. Further, it has also made certain policies on data breach, making it digitally more responsible, thus reflecting its core ethical governance values, reflecting the Governance part of the ESG.

Growth of the Fitness App market

The Fitness App market at global scale was valued economically at USD 1.1 million as of 2021 and is forecasted to expand with a CAGR (compound annual growth rate) of 17.6% from 2022 to 2030. The Fitness App market although creates an impact on the social health aspect of the ESG, the data privacy and protection are remaining a challenge in the governance arena, still leaving the scope to integrate the UNSDG Goal 16.

Key Companies in this theme

• Adidas

• Appster

• Fitbit, Inc.

• FitnessKeeper

• Azumio, Inc.

Scope of theFitness AppIndustry ESG Thematic Report

• Macro-economic and ESG-variable analysis of the industry, including regulatory, policy, and innovation landscape

• Key insights on infrastructure developments and ESG issues affecting the theme

• Identify key initiatives and challenges within the industry

• Identify ESG leaders within the industry

• Understand key initiatives and the impact of companies within the sector to fuel an informed decision-making process

• Analysis of industry activities based on multi-media sources, including significant controversies and market sentiment

Key Aspects of theFitness AppIndustry ESG Thematic Report

• Offers a global perspective of the fitness app industry and the policies and measures taken by the players, for overcoming the challenges faced in terms of Environment, Social and Governance.

• Key insights into the sustainability practices of major players in the market.