Sports Padding At Rae-Line we manufacture high quality sports padding, gym mats, foam mats and protective padding, suitable for a range of different facilities. Our sports padding is…read more
Hong Kong Consumer Council slams California Fitness for aggressive sales practices
Hong Kong-based gym chain California Fitness has been named and criticised by the Hong Kong Consumer Council (HKCC) for deploying intimidation and misleading sales practices to press consumers into purchasing memberships and high-priced private lessons.
HKCC Chief Executive Gilly Wong Fung-han advised that the naming was a “necessary move” in response to rampant sales practices and “uncooperative attitude” by the fitness operator.
As reported by the South China Morning Post, the move is the first time the Council had publicly named a fitness centre brand,
Wong explained that complaints against California Fitness “showed no signs of decline after we met with the management in January to express our dissatisfaction against their continued undesirable sales tactics”.
She added that sales practices has since became more aggressive.
In 2015, the number of complaints lodged against the fitness chain increased by 30% to 296 cases, comprising 51% of all the complaints the Council received.
A total amount of HK$8.5 million was involved in the cases against California Fitness, a 20% increase compared to the previous year.
Among the complaints against the chain, 22 cases involved over HK$100,000 each. In one case, the involved amount was as much as $570,000.
Half of the complaints against the gym chain came from new members, who claimed they were pressured or misled into signing membership agreements.
One of the most common sales practices was to lure new customers from the street with lucky draws or free trials. Several staff would then take turns to hard sell memberships and courses for two to three hours, according to the council.
Some staff members also asked new members to enter their bank cards’ personal identification numbers for “identify verification purposes”, then completed transactions without their consent, some complainants alleged.
Even existing members were not immune to the dubious sales tactics.
In one case, a complainant with a seven-year membership was persuaded to purchase private classes worth as much as HK$550,000. But the centre required members to use those classes within a short period of time. When the complainant asked for a refund of HK$200,000, the centre refused, and agreed to pay only HK$120,000.
The Council reminded gym users to avoid signing too many contracts that would lead to losses if they could not complete classes within a limited time period.
It also called for legislation to introduce a cooling-off period as a way to safeguard consumer rights.
The Council urged the Hong Kong Government to take urgent action to study the legislation, as the intimidating and misleading sales practices deployed by the fitness and beautify industries had become more rampant in recent years.
California Fitness operates nine centres in Hong Kong, where it is the second largest gym chain in the city, along wil clubs in Mainland China and Singapore.
17th December 2015 - HONG KONG FITNESS COACH JAILED OVER HK$1.4 MILLION CREDIT CARD FRAUD
14th July 2014 - SINGAPORE FITNESS CLUBS HIT BY COMPLAINTS
6th December 2010 - CALIFORNIA FITNESS’ LATEST HONG KONG CLUB
26th October 2010 - WORLD GYM ACQUIRES CALIFORNIA FITNESS IN TAIWAN
Asking a small favour
We hope that you value the news that we publish so while you're here can we ask for your support?
The news we publish at www.ausleisure.com.au is independent, credible (we hope) and free for you to access, with no pay walls and no annoying pop-up ads.
However, as an independent publisher, can we ask for you to support us by subscribing to the printed Australasian Leisure Management magazine - if you don't already do so.
Published bi-monthly since 1997, the printed Australasian Leisure Management differs from this website in that it publishes longer, in-depth and analytical features covering aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues management.
Subscriptions cost just $90 a year.
Click here to subscribe.
The Complete Guide to Leisure Industry Products & Services.
Headquartered in Brisbane with an Australia-wide network of satellite offices, PaySmart is one of Australia’s largest and longest-standing direct debit billing companies. In 1996 we began…read more
Goplay designs and manufactures specialised playground equipment for indoor play centres, hotels, food chains, clubs and resorts. If our years of experience and dedication have taught us one thing,…read more
Since 1989 Elite Pool Covers have designed and manufactured an extensive range of high quality affordable manual,semi-automatic and fully-automatic pool cover systems for the harsh Australian…read more
Life Fitness Cardio Life Fitness Strength Hammer Strength Group Cycling Rowers Certified Refurbished Freeweights Benches & Racks Flooring Life Fitness is the global leader in the fitness…read more
The Fitness Generation is now part of NovoFit - see www.ausleisure.com.au/suppliers/novofit/read more
Established in 1994, Ceramic Solutions has excelled at the supply and installation of swimming pool tiles and equipment for the pool and leisure industry, with a focus on the needs of end-users. …read more
Smart Connection Consultancy is a boutique sport and recreation consultancy who has become one of Australia’s leading advocates for the use of synthetic sports surfaces as a vehicle to grow…read more
get listed with our suppliers directory
Get your business noticed in our targeted directory. Viewed by 10,000 industry professionals per week!