How To Create a Company Fitness Challenge in 7 Steps

Employee wellness programs have become an essential part of fostering a healthy and engaged workforce, and one of the most effective ways to encourage physical activity in the workplace is through a company fitness challenge. These challenges not only promote movement but also enhance morale, strengthen team connections, and support mental well-being.

However, launching a successful fitness challenge requires more than just asking employees to count their steps. A well-designed challenge should have clear goals, structured participation, and meaningful incentives to maintain engagement. This guide will walk you through the process of creating an effective company fitness challenge that delivers results for both employees and employers.

Why a Company Fitness Challenge Matters

A company fitness challenge isn’t just about logging steps or burning extra calories for a week or two; it’s about cultivating a culture of well-being that benefits both employees and the business. Research consistently shows that workplace wellness initiatives contribute to lower absenteeism, increased productivity, and improved employee satisfaction. In fact, the CDC reports that organizations with strong health programs see reduced sick days, improved morale, and healthier lifestyle choices among employees.

But beyond the statistics, fitness challenges create meaningful connections among employees. Whether your team is in-office, remote, or hybrid, a structured wellness challenge provides an opportunity for employees to support one another, celebrate progress, and build habits that extend well beyond the workplace.

Step-by-Step Guide to Creating a Company Fitness Challenge

Step 1: Define Goals and Objectives

Every successful fitness challenge begins with a clear purpose. Are you aiming to increase daily movement, reduce stress, foster teamwork, or all of the above? Clarifying your objectives upfront will shape the challenge structure and determine how you measure success.

Rather than setting broad, vague goals like “help employees be healthier,” establish specific, measurable targets that drive participation and results. For example, instead of simply encouraging movement, set a clear benchmark: “Engage 75% of employees in tracking at least 5,000 steps per day for a month.”

By defining concrete objectives, you ensure the challenge is focused, motivating, and impactful, giving employees a clear sense of purpose while providing the company with tangible outcomes to track progress and success.

Step 2: Choose the Right Type of Challenge

The type of fitness challenge you select will directly impact its engagement and effectiveness. A well-designed challenge should align with your company’s goals and appeal to a diverse workforce.

One of the most popular formats is a step-count challenge, where employees track daily steps. A simple, accessible format like this encourages consistent movement and friendly competition. However, for a more inclusive approach, consider an activity-based challenge, where employees have the opportunity to log a variety of workouts, such as yoga, running, cycling, or strength training, rather than focusing solely on steps.

For companies that emphasize teamwork and collaboration, a team-based challenge can drive engagement by encouraging departments or small groups to compete for collective fitness points.

Step 3: Set Rules and Duration

To maintain fairness and participation, the challenge must have clear rules and structure. Most fitness challenges last between four to eight weeks, providing enough time to build lasting habits without losing engagement. Establish how employees will track their progress, whether through a fitness app, a shared spreadsheet, or an internal company portal.

Participation criteria should be inclusive, allowing employees of all fitness levels to engage comfortably. A points-based system can be utilized to award different types of activity equally — for example, assigning one point for every 1,000 steps or 10 minutes of any other physical activity. This ensures that employees who prefer different forms of exercise still have a fair chance to compete.

Step 4: Provide Tools and Resources

A well-supported fitness challenge leads to higher participation and better results. Employees are more likely to stay engaged when they have the right tools, guidance, and incentives to succeed.

Start by ensuring employees have access to fitness tracking tools like MyFitnessPal, Fitbit, or Apple Health to easily log their progress. Providing company-sponsored wearables or app subscriptions can further boost engagement.

Beyond technology, consider offering additional wellness support to keep motivation high, such as:

• Virtual fitness classes (yoga, HIIT, strength training)

• Nutrition webinars led by registered dietitians

• Mindfulness sessions to reduce stress and improve focus

For example, Salesforce integrates virtual fitness programs and mental wellness resources into its corporate wellness initiatives, ensuring employees have both the knowledge and motivation to make lasting health improvements.

Step 5: Create a Reward System

A well-structured reward system is one of the most powerful ways to sustain engagement and motivation throughout a company fitness challenge. The right mix of incentives ensures that all employees — regardless of fitness level — feel encouraged to participate and stay committed.

Types of Rewards to Consider

• Monetary and Practical Rewards – Gift cards, wellness stipends, or extra PTO days can provide meaningful incentives.

• Experiential Rewards – Gym memberships, fitness class passes, or massage vouchers promote ongoing wellness beyond the challenge.

• Company Swag and Recognition – Branded apparel, water bottles, or leaderboards highlighting achievements can foster camaraderie.

Balancing Performance & Participation-Based Rewards

To create a fair and inclusive challenge, companies should combine performance-based rewards (for top achievers) with participation-based incentives (to encourage engagement from all employees).

A tiered reward structure can ensure sustained motivation, so that everyone can feel included:

• Baseline Engagement – Employees who log at least 5,000 steps per day (or an equivalent activity) are entered into a weekly prize drawing.

• Consistent High Performance – Participants who maintain 10,000+ steps per day could receive a mid-tier reward at the end of the challenge, such as a $10 gift card or wellness credit.

• Top Achievers – The highest-performing individuals or teams at the end of the challenge can compete for premium prizes, like a smartwatch, fitness tracker, or gym membership.

Step 6: Promote Engagement and Participation

A successful fitness challenge should feel like a shared experience rather than a solo effort. Creating a sense of community and excitement around the challenge can significantly boost participation and sustain motivation. 

To maximize visibility, companies should promote the challenge through multiple internal channels, such as:

• Email or Announcements – Regular updates featuring challenge milestones, tips, and success stories.

• Slack or Microsoft Teams Messages – Daily or weekly reminders, friendly competition updates, and encouragement.

• Company Meetings – Announcements and shoutouts to reinforce participation and celebrate progress.

Beyond announcements, fostering an interactive environment can deepen participation. An internal leaderboard tracking progress encourages friendly competition, while a dedicated chat channel allows employees to share updates, post photos, and offer motivational tips. Weekly mini-challenges, such as “Most Improved Step Count” or “Best Walking Selfie,” can introduce variety and keep the challenge fresh.

Additionally, when executives and managers actively take part, employees are more likely to feel encouraged and motivated. Leaders can set an example by sharing their progress, offering team shoutouts, and engaging in lighthearted competition with employees. 

By turning the challenge into a company-wide event rather than an individual task, organizations can cultivate a culture of health, connection, and motivation that lasts far beyond the competition itself.

Step 7: Track Progress and Keep Motivation High

Maintaining momentum throughout the challenge is essential. Sending weekly progress updates with current leaderboard standings, participant shoutouts, and motivational content can keep engagement high. Mid-challenge check-ins, such as virtual meetings or surprise incentives, can help sustain motivation and prevent drop-off.

Technology can also be utilized to make tracking seamless. At GoCo, we use our platform’s Magic Flows feature to track our GoCompete fitness and wellness competitions twice a year, with teams of employees competing for prizes by tracking their progress each day for a month.

Measuring Success and Iterating for the Future

As the wellness challenge wraps up, the next step is to analyze its impact and use those insights to refine future initiatives. A thorough evaluation goes beyond simply tallying participation numbers; it involves assessing engagement levels, gathering employee feedback, and determining whether the challenge met its intended goals.

Key Metrics to Evaluate Success

• Participation Rates – How many employees actively engaged? Did participation remain steady or drop off over time?

• Engagement Levels – Beyond sign-ups, how frequently did employees track their progress, attend events, or interact with challenge resources?

• Employee Feedback – Direct input from participants through surveys or focus groups can uncover what resonated, what didn’t, and what barriers may have prevented deeper involvement.

Analyzing these metrics can help identify trends, such as whether a shorter or longer challenge duration would be more effective, if reward structures need adjustment, or if alternative activities would encourage broader participation.

Turning a One-Time Challenge into a Year-Round Wellness Culture

If the challenge sees strong engagement, consider expanding it into an ongoing wellness program. Instead of a once-a-year event, companies can integrate wellness into their culture with:

• Quarterly or Monthly Challenges – Rotating themes like mindfulness, hydration, strength training, or financial wellness can keep employees engaged throughout the year.

• Team-Based Activities – Encouraging group participation fosters camaraderie and accountability, making wellness a shared goal rather than an individual effort.

• Incentives for Consistency – Rewarding sustained participation, rather than just short-term bursts of activity, can reinforce long-term healthy habits.

• Flexible Wellness Initiatives – Offer options that cater to diverse needs, such as on-demand fitness classes or guided yoga sessions.

By iterating and improving based on data and feedback, companies can take wellness challenges from one-time events to ongoing, engaging programs that contribute to a healthier, more connected workplace.

Final Thoughts

A well-crafted company fitness challenge goes beyond just counting steps to build motivation, camaraderie, and a culture of well-being. By prioritizing inclusivity, engagement, and strategic incentives, companies can create a program that employees look forward to, rather than feel obligated to join.

Success doesn’t end with a single challenge. The real impact comes from sustaining momentum and continuously evolving wellness initiatives to keep them fresh and inspiring. Whether you’re starting from scratch or refining an existing challenge, the key is to make it fun, fair, and rewarding. Take the first step today — your team’s health, happiness, and productivity will thank you.