Planet Fitness CEO steps in a key time

New Planet Fitness chief faces headwinds

What you probably already know: Hampton, N.H.-based Planet Fitness has been struggling lately and, last year, forced out its longtime CEO Chris Rondeau. Shares fell sharply after he stepped down and announced layoffs. Shares had since stabilized but then the company was disrupted again by a PR issue.

Why? A woman at a Planet Fitness in Alaska snapped a photo of a transgender club member shaving in the women’s locker room, and the company suspended the woman for taking photos in the locker room. She took things to social media and her post went viral as people criticized the company’s inclusive locker-room policies. Membership sign-ups plummeted.

What it means: Like Bud Light, which has yet to recover sales after featuring a transgender person in one of the company’s ads, Planet Fitness has been thrust into the culture war. The company has had this policy for more than a decade without issue — but one viral post and everything can change. Planet Fitness has stood by its policy, though, and many have been supportive of its decision to do so.

What happens now: Colleen Keating steps in at a key time for the company. But this isn’t her first rodeo. She took over FirstKey Homes, a single-family home rental property management company, just before the pandemic completely disrupted the industry.