Stephen Schwartz and TCA on the Move
by Don Longwell
Editor
Stephen Schwartz, President and CEO of TCA (Tennis Corporation of America) is investing $30 million U.S. in rebranding and renovating their club division. The 13 clubs in the U.S. and Canada (Le Sporting Club du Sanctuaire in Montreal) will all become Midtown Athletic Clubs. Club du Sanctuaire (profiled in FBC, Jan.2001) will be renamed as Midtown Club Athletique Sanctuaire.
Schwartz describes TCA as the “worldwide leader in upscale athletic club and sports resort management.” Some Canadian operators might dispute an application of this claim to the Canadian market (responses invited!) but he clearly stands ready to support his position.
“..the health club industry will continue to divide into various segments..”
“As the health club industry matures, it will continue to divide into various segments based on price, facilities and service,” he says. “Our re-branding efforts reinforce our position as the leader of the upscale niche. Having one strong brand allows us to better communicate our special attributes to our members, as well as to develop new product standards that continue to redefine upscale athletic clubs and sports resorts.”
As part of the re-branding effort, Midtown Athletic Clubs will invest in health, fitness and sports programming designed to keep members “fit-for-life.” In addition, Midtown will be offering a new food and beverage concept, the “M Café,” designed by James Beard Award-winning chef, ‘Taco’ Borga. The ‘M Café’ will feature an innovative menu that is a fusion of European and Latin flavors served in a comfortable space where members can connect with friends.
Five million U.S. $ will be invested in Montreal’s Midtown Club Sanctuaire which has manager Francois Leduc ecstatic over the new features. “It’s going to be outstanding! Out of this world”, said Leduc.
Included in the new program innovations is an Adult Beginner’s program and their Junior Development Pathway for young tennis players between 4 and 11 years of age. The program features different size courts and different types of balls (includes soft, squishy foam balls) and has resulted in “a dramatic improvement in the way kids learn to play tennis.” Tennis is one third of Midtown’s business.
“When the chains hit, it will really shake some people up.”
We asked how operating in the Canadian market differed from the U.S. “It’s not as competitive as here in the U.S.” Schwartz replied. “You don’t have the hard charging, big scale discounters like L.A. Fitness, Lifetime Fitness, 24 Hr. Fitness.” “When the chains hit (Canada), it will really shake some people up.”
Any expansion plans in Canada?
“Nothing immediate but we would really like to expand in Canada. In Montreal.”
In conclusion?
“We always felt that individual club names for the upscale market were very valuable. It was from the country club tradition. People don’t want to join a chain of country clubs. But – following the lead of Canadian firms like Four Seasons!, you’re capable of creating an upscale brand, even in the health club business. That’s what we are trying to do.”
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