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Jim Rowley: The biggest change has really been 2 formats. The boutique format, which has been kind of this cultivated nuanced type of fitness and so forth. And we've seen massive expansion there and we're starting to see contraction in that space and also what we call the HVLP. The high value low price. There has been an expansion in that area as well, which is creating new customer base really.

Katherine Ross: The fitness industry is obviously subject to fads and trends. I mean we've got the Apple Watch, we've got Peloton. I'm wondering how do you stay current, while also staying true to your core?

Jim Rowley: Yeah, that's a great question. So we've been in business for 30 years. This is actually our 30th birthday year. So Crunch stays current really by staying active with the trends on the streets, seeing what's happening kind of with dance cause we do a lot of group fitness and so forth. That's really kind of the heart of our business is group fitness. We traveled to Europe, we spent a lot of time in Los Angeles, in San Francisco. We meet all the new equipment vendors. So we look for new ideas on kind of what's trending. And I think the personal training aspect of our business also tends to continue to help us stay at the tip of the spear. And that's something we've been known for.

Are you a gym rat or a fan of Peloton?

Jim Rowley, CEO of Crunch, sat down with TheStreet to talk about how the sector is changing in light of IPO's from companies like Peloton. 

"The biggest change has really been to formats. The boutique format, which has been kind of this cultivated nuanced type of fitness and so forth. And we've seen massive expansion there and we're starting to see a contraction in that space and also what we call the HVLP. The high-value low price has been an expansion in that area as well, which is creating a new customer base," said Rowley. 

But how is Crunch adapting to trends without giving up what's led the company to be successful for the past 30 years?

"So Crunch stays current really by staying active with the trends on the streets, seeing what's happening," explained Rowley.

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