With the popularity of spas at hotels and resorts growing at a tremendous rate during the past several years, so has competition and the challenges to produce a positive financial result. Whether you are planning to add a spa or you already have one, it is important to realize that the spa isn't just a viable amenity. Right from the very beginning of the planning and design process through pre and post opening, one should develop the most appropriate operating and promotional modality in order to produce black ink to the bottom line. This is particularly true in the very challenging economic environment that pervades the entire hospitality industry worldwide.

Numerous factors have an impact on bottom line potential (e.g. location, competition, spa size and design, outside local market potential, operating structure, et. al.); however, the two most critical factors influencing net operating income are: operational efficiency and a successful marketing approach. Spa revenue can come from a variety of sources, but the typical drivers come most frequently from the number and types of services, retail product sales and from membership and/or daily usage fees. Expenses that need to be monitored to foster a positive bottom line include first and foremost ...