Spas are as susceptible as any service business to the challenges and pitfalls of today's difficult economic environment. The perception was that spas and the luxury service segment (hotels, retail products, restaurants, etc.) were reasonably insulated to severe economic downturn. We know now that this isn't the case, and spas are facing challenges that didn't exist just six months ago. In order to position your spa to maximize the chance for operational and financial success, one should pay more attention today to the pre-opening and planning phases. Creating a delineative identity in combination with a well thought out timeline for opening will give your spa the best chance for a successful launch. READ MORE

There is an assumption that is prevalent among owners and developers who are considering the inclusion of a spa which is that a spa which is operationally sound will ultimately drive enough revenue to generate a positive bottom line. This is not a given, particularly in urban spas, in what has become a highly competitive marketplace. Thus, creative promotion combined with consistent staff training, public relations, advertising and grass roots sales efforts have become ever more important to generating consistent revenue which is enough to produce a positive net operating income for the spa. READ MORE

Our previous installments focused on factors requisite to the planning, design and launch of a spa. These included an understanding of your market and customer base, local and regional competition, creation of a viable space program and a thorough financial analysis. The development of a critical path and timeline are also vital to the successful opening of any spa and should be incorporated into the pre-opening process. As mentioned, it is always best to develop a plan which can then serve as a "roadmap" to opening for the best chance to achieve both operational and financial success; this can be accomplished, in part, through the development of a feasibility or needs analysis study. READ MORE

Spas have continued their geometric growth throughout the hospitality industry. For many hotel and resort properties, spas have become an integral part of the site's amenity requirements. That said, a question that often arises is "If I build it, they will come?" As spas are expensive to build and operate, a premium must be placed on how best to maximize revenue, control expenses and optimize the chances for a positive bottom line. A spa needs to be operated and promoted effectively if it is to achieve net operating profits while positively impacting the overall performance of the property at large. READ MORE

In consumer surveys 'thrill of finding a great deal' still dominates purchasing behavior over pure price. In short, the shopper has been taught to shop for a deal and this behavior will be difficult to change in the future. Certainly our future guests will be expecting value and the 'value deal'. In the value experience, fun trumps thrift. n the new economic stability, the more conservative shopper wants to enjoy experiences yet feel that they are getting a great deal. In this article we will look at ways to put the spa experience and value back in our spas. READ MORE