BILLION DOLLAR BABIES: WELCOME TO HVLP 3.0

From Volume Play to Platform Business

That platform evolution may be the most important—and perhaps least understood—aspect of HVLP’s growth.

“HVLP used to be about maximizing volume,” says Idgar. “Now it operates as a platform where data, technology, and layered services deliver a personalized experience at scale.”

Jobson echoed that perspective.

“The model has shifted from maximizing memberships to optimizing engagement across an ecosystem,” she says. “Operators are layering in digital products, ancillary services, and partnerships. Data is central to everything.”

This shift changes how success is measured. While it was once about how many members walk through the door, it’s now about how often they return, how they engage, and how their lifetime value evolves over time.

Engineering Efficiency at Scale

Of course, delivering more value at lower price points comes with operational complexity.

“The operators getting this right have re-engineered the model around efficiency at scale,” Idgar says. “They’re using technology to reduce labor intensity, standardizing buildouts, and maximizing utilization per square foot.”

But efficiency alone isn’t enough. The key is knowing where to invest.

“You take cost out where the member doesn’t feel it,” he says, “and double down where they do: cleanliness, friendliness, equipment uptime, and a frictionless experience.”

Jobson described a similar balance.

“It’s disciplined simplicity,” she says. “Standardize design, centralize procurement, automate where possible, but be intentional about where quality matters most.”

That discipline is what allows HVLP operators to scale without eroding the member experience.

The Squeeze on the Middle

As HVLP expands and premium brands refine their offerings, mid-market operators are feeling the pressure.

“The biggest challenge for the middle is differentiation,” Idgar says. “Consumers have very clear options: accessibility and value, or high-end experience.”

That clarity is compressing the middle.

“HVLP has improved the quality of experience, while boutique and luxury have deepened specialization,” he says. “It’s become harder to sit in between.”

Jobson framed the issue even more bluntly.

“Mid-market brands often lack a clear identity,” she says. “They sit between affordability and experience without owning either.”

The path forward, for those operators, is reinvention.

“The opportunity is to specialize,” Jobson adds. “Either double down on community and programming or move toward a more efficient, value-led model.”

A Barbell Effect with Blurred Lines

The result is what many describe as a “barbell effect,” with growth concentrated at the high and low ends of the market.

“It does seem to be splitting between accessibility and experience,” Idgar says.

But the lines are not as rigid as they once were.

“Value operators are investing heavily in boutique-style studios and recovery,” he notes. “The future may look less like two separate worlds and more like scalable platforms delivering premium experiences.”

Jobson agrees—up to a point.

“The barbell effect is real,” she says. “But it’s not absolute. There will always be space in the middle for operators who are sharply positioned and locally relevant.”

The difference now is that the burden of proof is higher.

Engagement, Reimagined

Perhaps the biggest misconception about HVLP is that lower prices lead to lower engagement. In reality, the opposite may be true.

“HVLP succeeds when scale and experience grow together,” Idgar says. “Accessibility brings people in, but innovation keeps them coming back.”

At EōS, that includes recovery concepts like contrast therapy, infrared saunas, and assisted stretch services, offerings once associated almost exclusively with premium clubs.

Jobson describes the shift as a move toward “efficient excellence.”

“It’s not about high-touch service,” she says. “It’s about consistency, reliability, and high-frequency relevance.”

In other words, engagement is no longer defined by intensity. It’s defined by habit.